Flux Power Achieves GAAP Profit on $14.1M Q2 Revenue and Telematics Launch
Flux Power’s Q2 revenue increased 7.2% sequentially to $14.1M, delivering its first GAAP net income of $0.6M (EPS $0.03) and $1.5M adjusted EBITDA. Gross margin rose to 34.7% as expenses fell 31%, while securing $3.6M in airline orders and launching patented State of Health battery tech and next-gen SkyLNK telematics.
1. Q2 Financial Highlights
Flux Power’s second quarter revenue rose 7.2% sequentially to $14.1 million, with gross profit of $4.9 million (34.7% margin). Operating expenses declined 31% to $4.1 million, driving operating income of $0.8 million versus a prior loss, resulting in GAAP net income of $0.6 million (EPS $0.03) and $1.5 million adjusted EBITDA.
2. Operational and Product Developments
The company secured over $3.6 million in additional purchase orders from an airline customer and bolstered its product portfolio by obtaining a patent for State of Health battery diagnostics. It also introduced next-generation SkyLNK telematics hardware with quadruple sensor capacity and launched a new mobile UI for SkyEMS, enhancing fleet monitoring and uptime.
3. Balance Sheet and Outlook
As of December 31, cash stood at $0.9 million, supplemented by a $16.0 million credit facility with Gibraltar Business Capital. Management expects a sequential revenue decline in Q3 due to tariff uncertainties but remains focused on strategic initiatives and operational efficiencies.