Palladyne AI beats Q3 revenue estimates, raises lower end of forecast
PDYN•Palladyne AI reported Q3 revenue of $8.6 million, up 895% year over year and above the $7.54 million analyst estimate. It raised the low end of its 2026 revenue forecast to $25 million, keeping the top end at $27 million.
1. Revenue and outlook
Palladyne AI’s Q3 revenue rose 895% year over year to $8.6 million, beating the $7.54 million consensus estimate. The company raised the lower end of its 2026 revenue guidance to $25 million and reiterated the $27 million upper end.
2. Backlog and spending
The company expects most of its $18.7 million backlog to be recognized as revenue over the next 12 to 18 months. It expects 2026 operating cash burn to be close to or slightly above the high end of its $32 million to $36 million range.
3. Business drivers
Revenue from government contracts rose 135% sequentially, while the components business grew 26%, driven by the first delivery of next-generation BRAIN FC-1 flight computers. Palladyne AI said its fully diluted share count fell 9% after warrants and contingent shares expired.
