HawkEye 360 Announces First Quarter 2026 Financial Results

HawkEye 360 Announces First Quarter 2026 Financial Results Record revenue of $49.8 million, up 116.5% year-over-year

Backlog of $285.0 million as of March 31, 2026

Raised approximately $435.9 million of net proceeds with the successful completion of an initial public offering in May 2026

HERNDON, Va., June 22, 2026 /PRNewswire/ -- HawkEye 360, Inc. (NYSE: HAWK), the global leader in signals intelligence data and analytics, today announced its financial results for the quarter ended March 31, 2026.

"2026 is off to an exceptional start as we continue to scale HawkEye 360's global signals intelligence platform to meet rapidly escalating demand across domestic and allied international customers. Our first quarter results included record revenue, reflecting the strength of our business model, diligent financial management, expanding capabilities and increasing adoption of our space-based RF intelligence solutions worldwide particularly in areas of geopolitical tension where high quality signals intelligence is exceptionally valuable," said Chief Executive Officer John Serafini.

Mr. Serafini continued, "We are continuing to expand our international presence, highlighted by several international contract wins so far in 2026 totaling over $100 million. Additionally, we successfully launched 6 satellites across Clusters 13 and 14 - putting substantial new collection capacity and capabilities on orbit. We also completed our initial public offering, providing substantial financial flexibility to support future growth. With a backlog of $285 million and strong demand globally, HawkEye 360 is well positioned to capitalize on the growing importance of RF intelligence and electronic warfare capabilities in today's evolving global security environment, while driving increasing profitability and long-term shareholder value."

First Quarter 2026 Financial Highlights:

First Quarter 2026 & Recent Business Highlights:

The Company will host its inaugural earnings call alongside its second quarter 2026 results and provide its 2026 financial outlook at that time.

About HawkEye 360

HawkEye 360 is equipping defense, intelligence and national security leaders with mission-critical signals intelligence to enable faster, better decision-making. By detecting, geolocating and characterizing radio-frequency emissions worldwide, HawkEye 360 delivers trusted domain awareness and early-warning indicators to the US Government and allied partners. Our space-based collection, proprietary signal processing and AI-powered analytics transform knowledge of RF spectrum into a strategic advantage. HawkEye 360 is redefining how signals intelligence strengthens national and global security.

Non-GAAP Financial Measures

In addition to the financial information prepared in accordance with U.S. generally accepted accounting principles ("GAAP"), the Company reports Adjusted EBITDA and Free Cash Flow, which are non-GAAP financial measures. The Company defines Adjusted EBITDA as net loss before interest, taxes, depreciation, and amortization, further adjusted to remove the impact of stock-based compensation, acquisition-related costs, offering-related costs, settlements, and change in fair value of warrant liabilities. The Company defines Free Cash Flow as net cash used in operating activities less purchases of satellites, property, and equipment.

The Company uses Adjusted EBITDA and Free Cash Flow in conjunction with other GAAP measures to evaluate the effectiveness of its business strategies, make strategic decisions, and communicate with its board of directors and investors concerning its financial performance. The Company uses these non-GAAP financial measures to assess its financial performance because they allow the Company to compare its operating performance on a consistent basis across periods by removing the effects of its capital structure (such as varying levels of interest expense and income), asset base (such as depreciation and capital expenditures) and other items (such as non-recurring or non-cash costs) that impact the comparability of financial results from period to period.

The Company believes that the presentation of these non-GAAP financial measures will provide useful information to investors and analysts in assessing its financial performance and results of operations across reporting periods by excluding items it does not believe are indicative of its core operating performance. Net loss is the U.S. GAAP measure most directly comparable to Adjusted EBITDA. Net cash used in operating activities is the U.S. GAAP measure most directly comparable to Free Cash Flow. Reconciliations of these non-GAAP measures to the most comparable GAAP measures are presented below under the headings "Reconciliation of Net Loss to Adjusted EBITDA" and "Reconciliation of Net Cash Used In Operating Activities to Free Cash Flow." The Company's non-GAAP financial measures should not be considered as an alternative to the most directly comparable U.S. GAAP financial measure. You are encouraged to evaluate each of these adjustments and the reasons management considers them appropriate for supplemental analysis.

In evaluating Adjusted EBITDA and Free Cash Flow, you should be aware that in the future the Company may incur expenses that are the same as or similar to some of the adjustments in such presentation. The Company's presentation of these non-GAAP financial measures should not be construed as an inference that its future results will be unaffected by unusual or non-recurring items. The Company may modify the presentation of Adjusted EBITDA and Free Cash Flow in the future, and any such modification may be material. Adjusted EBITDA and Free Cash Flow have important limitations as analytical tools, and you should not consider these non-GAAP financial measures in isolation or as a substitute for analysis of its operating results as reported under U.S. GAAP. Adjusted EBITDA and Free Cash Flow may be defined differently by other companies in its industry and may not be comparable to similarly titled measures of other companies, thereby diminishing their utility.

Other Key Metric

Backlog is a key measure of our business. Our backlog supports predictable revenue expansion through a recurring model, enabling forward revenue visibility. Management uses backlog to more effectively forecast the Company's future business and results, which supports decisions around capital allocation. It also helps the Company identify future growth or operating trends that may not otherwise be apparent. The Company also believes backlog is useful for investors in forecasting the Company's future results and understanding the growth of its business.

Our backlog represents the portion of legally binding contracts that are expected to result in future revenue. Backlog may also include change orders for any contracts that have been formally contracted. This includes firm contracts that contain remaining performance obligations, including the cancellable portion of the contract value for contracts that provide the customer with a right to terminate for convenience without incurring a substantive termination penalty. Backlog also can include up to the remaining ceiling on single award IDIQ contracts where no task orders have been issued. Backlog excludes the value of unexercised options to extend contracts, the value of multi-award IDIQ contracts, and the value of any contracts, or a portion thereof, where management deems execution to be unlikely to result in revenue due to customer-specific or other factors.

Forward-Looking Statements

This press release includes forward-looking statements within the meaning of the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995. All statements contained in this press release other than statements of historical fact, including statements regarding the Company's liquidity and financial flexibility, the Company's expanding international presence, the Company continuing to scale the business and growing customer demand, are forward-looking statements and represent the Company's views as of the date of this press release. The words "will," "expects," "plans," "could," "would," "believes," "anticipates," "intends," "may," "continue," "estimate," or similar expressions are intended to identify forward-looking statements. The Company has based these forward-looking statements on its current expectations and projections about future events and financial trends that the Company believes may affect its financial condition, results of operations, business strategy, short-term and long-term business operations and objectives and financial needs. These forward-looking statements are subject to a number of assumptions and risks and uncertainties, many of which involve factors or circumstances that are beyond the Company's control that could affect its financial results. These risks and uncertainties are detailed in the sections titled "Risk Factors" and "Management's Discussion and Analysis of Financial Condition and Results of Operations" in the Company's Quarterly Report on Form 10-Q filed with the SEC on June 18, 2026 and other filings that the Company makes from time to time with the SEC, which are available on the SEC's website at sec.gov. Moreover, the Company operates in a very competitive and rapidly changing environment. New risks emerge from time to time. It is not possible for management to predict all risks, nor can the Company assess the impact of all factors on its business or the extent to which any factor, or combination of factors, may cause actual results to differ materially from those contained in any forward-looking statements the Company may make. In light of these risks, uncertainties and assumptions, the future events and trends discussed in this press release may not occur and actual results could differ materially and adversely from those anticipated or implied in any forward-looking statements. Except as required by law, the Company is under no obligation to update these forward-looking statements subsequent to the date of this press release, or to update the reasons if actual results differ materially from those anticipated in the forward-looking statements.

HawkEye 360, Inc. and Subsidiaries

Condensed Consolidated Balance Sheets (Unaudited)

(in thousands, except per share and share amounts)

As of March

31, 2026

As of December

31, 2025

Assets

Current assets:

Cash and cash equivalents

$ 106,108

$ 92,686

Contract accounts receivable

38,238

32,320

Contract accounts receivable from related parties

20,969

Other accounts receivable

171

Inventory

3,660

4,025

Contract assets

7,770

4,639

Contract assets from related parties

4,590

4,748

Prepaid expenses and other current assets

11,296

9,183

Total current assets

171,838

168,591

Long-term assets:

Satellites, property and equipment, net

109,073

110,873

Intangibles, net

34,115

35,973

Goodwill

116,866

Operating lease - right-of-use-assets

14,461

15,403

Deposits

37,870

35,932

Restricted cash

4,587

Other long-term assets

1,658

1,715

Total long-term assets

318,630

321,349

Total assets

$ 490,468

$ 489,940

Liabilities, mezzanine equity and stockholders' deficit

Current liabilities:

Accounts payable

5,729

18,486

Accrued expenses and other current liabilities

11,658

5,017

Accrued compensation payable

2,331

10,511

Contract liabilities

1,652

3,262

Current tax payable

220

0.00

Current portion of operating lease liabilities

3,453

3,437

Total current liabilities

25,043

40,713

Long-term liabilities:

Long-term debt, net of unamortized debt issuance cost

46,562

46,315

Long term contract liabilities

19,892

Other liabilities

24,429

23,800

Deferred tax liabilities

820

977

Warrant liabilities

5,718

4,267

Operating lease liabilities, net of current portion

11,899

12,893

Total long-term liabilities

109,320

108,144

Total liabilities

$ 134,363

$ 148,857

Commitment and contingencies – Note 15

Mezzanine equity:

Redeemable, convertible preferred stock Series A – $0.0001 par value, 24,947,154 shares

authorized and outstanding 24,947,154 shares issued and outstanding for all periods presented

$ 34,174

Redeemable, convertible preferred stock Series B – $0.0001 par value, 11,574,841 shares

authorized and outstanding 11,574,841 shares issued and outstanding for all periods presented

66,442

Redeemable, convertible preferred stock Series C – $0.0001 par value, 6,960,439 shares

authorized and outstanding 6,960,439 shares issued and outstanding for all periods presented

48,761

Redeemable, convertible preferred stock Series D – $0.0001 par value, 12,857,720 shares

authorized and outstanding 12,857,720 shares issued and outstanding for all periods presented

136,715

Redeemable, convertible preferred stock Series D-1 –$0.0001 par value, 6,085,161 shares

authorized and outstanding 6,085,161 shares issued and outstanding for all periods presented

58,894

Redeemable, convertible preferred stock Series E – $.0001 par value, 14,578,457 shares

authorized and 6,562,673 shares issued and outstanding as of March 31, 2026 and 14,578,457

shares authorized and 5,567,364 shares issued and outstanding as of December 31, 2025.

120,668

102,600

Total mezzanine equity

$ 465,654

$ 447,586

Stockholders' deficit:

Common stock - $.0001 par value, 111,000,000 shares authorized and 5,590,142 shares

issued and outstanding as of March 31, 2026 and 111,000,000 shares authorized and 4,168,374

shares issued and outstanding as of December 31, 2025.

$ 2

Additional paid-in-capital

45,279

39,336

Accumulated deficit

(154,830)

(145,841)

Total stockholders' deficit

(109,549)

(106,503)

Total liabilities, mezzanine equity, and stockholders' deficit

$ 490,468

$ 489,940

HawkEye 360, Inc. and Subsidiaries

Condensed Consolidated Statements of Operations (Unaudited)

(in thousands, except per share and share amounts)

For the three months ended

March 31,

2026

March 31,

2025

Revenue

$ 44,941

$ 17,885

Revenue from related parties

4,857

5,117

Total revenue

49,798

23,002

Operating expenses:

Direct cost of sales, excluding depreciation and amortization

16,080

4,871

Indirect cost of sales and other expenses, excluding depreciation and amortization

4,340

348

Selling, general and administrative

18,111

7,935

Research and development

9,171

6,906

Depreciation and amortization

7,713

5,000

Total operating expenses

55,415

25,060

Loss from operations

(5,617)

(2,058)

Other income (expense):

Interest income

800

906

Interest expense

(1,332)

(18)

Loss from changes in fair value of financial liabilities

(2,923)

—

Other income (expense), net

(421)

Total other (expense), income, net

(3,392)

467

Loss before benefit for income taxes

(9,009)

(1,591)

Benefit for income taxes

—

Net loss

$ (8,989)

$ (1,591)

Preferred stock dividend

(548)

Income allocated to participating securities

—

Net loss attributable to common shareholders

$ (9,537)

$ (2,139)

Net loss per share of common stock, basic and diluted

$ (1.14)

$ (0.30)

Weighted-average shares outstanding, basic

8,359,379

7,232,097

Weighted-average shares outstanding, diluted

8,359,379

7,232,097

HawkEye 360, Inc. and Subsidiaries

Consolidated Statement of Cash Flows (Unaudited)

(in thousands)

For the three months ended

March 31, 2026

March 31, 2025

Cash flows from operating activities

Net loss

$ (8,989)

$ (1,591)

Adjustments to reconcile net loss to net cash provided by operating activities:

Depreciation and amortization

7,713

5,000

Amortization of debt issuance costs and discounts

332

Fair value loss on revaluation of warrants

2,293

421

Fair value loss on revaluation of deferred consideration

900

—

Fair value gain on revaluation of contingent consideration

(270)

—

Stock-based compensation

2,333

830

Non-cash lease expense

942

1,363

Realized gain (loss) on short-term investments

—

(6)

Changes in operating assets and liabilities, net of effect of acquisitions:

Contract accounts receivable

(5,918)

Contract accounts receivable from related parties

20,964

Other accounts receivable

(150)

Contract assets

(3,131)

(312)

Contract assets from related parties

158

(1,822)

Prepaid expenses and other assets

(3,629)

(132)

Operating lease liabilities

(978)

(1,269)

Accounts payable

(12,757)

(6,292)

Current tax payable

220

—

Accrued expenses and other current liabilities

6,641

(4,477)

Deferred tax liabilities

(157)

—

Accrued compensation payable

(8,180)

—

Contract liabilities

(1,611)

700

Net cash used in operating activities

(3,274)

(7,478)

Cash flows from investing activities

Proceeds from redemption of short-term investments

—

14,731

Purchase of satellites, property and equipment

(4,055)

(3,194)

Net cash (used in) provided by investing activities

(4,055)

11,537

Cash flows from financing activities

Payment of debt issuance cost

(85)

—

Exercise of Series D-1 warrants

—

Exercise of stock options

2,695

Proceeds from issuance of preferred stock, net

18,068

—

Net cash provided by financing activities

20,751

Net increase in cash, cash equivalents and restricted cash

13,422

4,084

Cash, cash equivalents and restricted cash, beginning of period

97,273

71,766

Cash, cash equivalents and restricted cash, end of period

$ 110,695

$ 75,850

Reconciliation of cash, cash equivalents and restricted cash

Cash and cash equivalents

$ 106,108

$ 71,263

Restricted cash

4,587

Total cash, cash equivalents and restricted cash at the end of the period

$ 110,695

$ 75,850

Supplemental disclosures of cash flow information

Cash paid for interest

$ 1,091

$ —

Operating cash outflows – payment on operating leases

$ 1,860

$ 780

Financing cash outflows – reclassification of warrant liability to equity

$ 842

$ —

Reconciliation of Net Loss to Adjusted EBITDA

The following table presents a reconciliation of Net Income (loss), the most directly comparable financial measure presented in accordance with U.S. GAAP, to Adjusted EBITDA:

Three months

ended March 31,

2026

Three months

ended March 31,

2025

(in thousands)

Net income (loss)

$ (8,989)

$ (1,591)

Adjusted for:

Interest income

(800)

(906)

Interest expense

1,332

Benefit for income taxes

(20)

—

Depreciation and amortization

7,713

5,000

Stock-based compensation

2,333

830

Acquisition costs (1)

775

—

One-time costs related to IPO (2)

2,073

—

Settlements, net of related legal expenses (3)

Change in fair value of contingent and deferred consideration

630

—

Change in fair value of warrant liabilities

2,293

421

Adjusted EBITDA

$ 7,390

$ 3,847

_____________________

(1)

Represents costs for legal, advisory fees and other costs incurred in connection with the December 2025 ISA Acquisition. Refer to

Note 3 of the accompanying notes to our unaudited condensed consolidated financial statements included elsewhere in this Quarterly

Report on Form 10-Q for additional information.

(2)

Represents costs incurred related to the IPO that do not meet the direct and incremental criteria per SEC Staff Accounting Bulletin

Topic 5.A to be netted against the gross proceeds of the offering and that are not expected to recur in the future.

(3)

Represents costs for legal fees and settlement related to litigation initiated by us against a third party, which are not part of our ordinary

legal expenses and not reflective of our core operating performance

Reconciliation of Net Cash Used in Operating Activities to Free Cash Flow

The following table presents a reconciliation of net cash (used in) provided by operating activities, the most directly comparable financial measure presented in accordance with U.S. GAAP, to Free Cash Flow:

(in thousands)

Three months

ended March 31,

2026

Three months

ended March 31,

2025

Net cash used in operating activities

$ (3,274)

$ (7,478)

Purchases of satellites, property, and equipment

(4,055)

(3,194)

Free Cash Flow

$ (7,329)

$ (10,672)

SOURCE HawkEye 360 Inc.