Elauwit Connection Inc. posted a 46% year-over-year decline in revenue for the second quarter of 2026, falling to $2.9 million from $5.4 million a year earlier. The company’s gross profit narrowed to $400,000 from $800,000, though gross margin edged up to 15.5% from 15.1%. Operating expenses surged to $3.5 million, widening the operating loss to $3.1 million compared with a $700,000 loss in the same period of 2025. Net loss also deepened to $3.1 million from $900,000.
Despite the revenue decline, Elauwit’s backlog grew to $38.9 million, up from $35.9 million a year ago. The company’s contracted units reached 42,687 as of June 30, a 33% increase from 32,094 units a year earlier. Nearly 5,900 new units were contracted in the quarter across 21 properties, a 16% sequential rise. Year-to-date, more than 10,000 units have been signed.
Activated units rose 94% year-over-year to 27,134, while billed units jumped 163% to 22,967. Awarded contracts totaled 16,000 units across 57 properties and 21 ownership groups, with a broader pipeline exceeding 500 properties and 98,000 units. Two large national multifamily property REIT wins were highlighted as potential multi-year revenue sources.
Shares of Elauwit rose 4.34% in regular trading to $8.66, near the top of the 52-week range of $4.11 to $9.72. The company’s market capitalization stands at $57.3 million. After-hours trading showed no movement.
Management indicated that cost-saving measures totaling $1.9 million in annualized operating benefits are expected to materialize in the second half of 2026, with construction revenue and activity weighted toward the latter part of the year. Contracted units are projected to exceed 50,000 by year-end, representing a more than 46% annualized increase for 2026. Operating results and net losses are anticipated to improve in the second half and into 2027, executives said.
