Odysight.ai Reports Q2 Revenue of $2.4M, Gross Profit of $0.1M, and Gross Margin of 37%.

Odysight.ai reported 1H revenue of $2.4M, with gross profit of $0.1M and a gross margin of 37%. The company's gross profit and margin decreased compared to Q1 2024. Operating expenses were not disclosed.

Odysight.ai Inc. (NASDAQ: ODYS), a leading provider of visual-based predictive maintenance (PdM) and condition-based monitoring (CBM) solutions, has reported its financial results for the first half of 2025. The company's revenue for the period stood at $2.4 million, marking a significant increase from the $1.4 million recorded in the same period last year [1]. However, the company's gross profit and margin decreased compared to the previous quarter.

The gross profit for the six months ended June 30, 2025, was $0.7 million, reflecting a gross margin of approximately 28%, compared to the gross profit of $0.3 million and gross margin of approximately 21% for the same period last year [1]. The decrease in gross profit and margin was primarily attributed to the increase in cost of revenues related to the fulfillment of a contract with a Fortune 500 medical company and an increase in revenues from the company's vision-based platform solutions for PdM and CBM [1].

Operating expenses were not disclosed in the company's financial results for the first half of 2025. However, the company's net loss for the period was $8.3 million, compared to the net loss of $5.3 million in the same period last year [1]. The increase in net loss was primarily driven by the expansion of the company's operations, including the development of new Industry 4.0 products, efforts to penetrate new markets, and one-time expenses related to the company's uplisting to Nasdaq [1].

Despite the mixed financial performance, Odysight.ai has made significant strides in its business operations. The company has strengthened its global presence with commercial achievements, including delivering a system for the Heron TP UAV platform with the Israeli Ministry of Defense (MOD) and Israeli Air Force (IAF), signing a strategic partnership with a multinational technology group, and partnering with Israel Railways to deploy its PHM system to prevent derailments and enhance railway safety [1].

The company's backlog as of June 30, 2025, was approximately $14.4 million, reflecting the company's ongoing efforts to secure new contracts and expand its customer base [1]. However, it is important to note that backlog is not a comprehensive indicator of future revenue and should be considered in addition to, not as a substitute for, or in isolation from, measures prepared in accordance with GAAP [1].

References:

[1] https://www.morningstar.com/news/globe-newswire/9512083/odysightai-reports-financial-results-for-the-first-half-of-2025-and-provides-business-update