Canada's EnWave Q2 revenue falls 69% on lower machine sales

Enwave

22/05/2026 14:13

Overview

Canada vacuum dehydration tech firm's Q2 revenue fell 69% yr/yr on fewer machine sales

Adjusted EBITDA swung to a loss in Q2

Company signed multiple new licensing and equipment agreements in Q2

Outlook

Company expects royalty revenue growth as partners build inventory for expanded sales

Result Drivers

FEWER MACHINE SALES - Co said revenue decline was primarily due to fewer machine sales and machines in fabrication, reflecting volatility in large-scale orders

LOWER ROYALTIES - Co said royalties decreased due to lower product sales and partner production for the quarter

HIGHER GROSS MARGIN - Gross margin increased to 35% from 33% due to lower fabrication costs from large-scale machines on contract

Company press release: ID:nGNX3HwcjG

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q2 Revenue
Beat
C$1.16 mln
C$1 mln (1 Analyst)
Q2 Net Income
-C$1.15 mln
Q2 Adjusted EBITDA
Miss
-C$775,000
-C$700,000 (1 Analyst)

Analyst Coverage

The one available analyst rating on the shares is "strong buy"

Wall Street's median 12-month price target for Enwave Corp is C$0.80, about 247.8% above its May 21 closing price of C$0.23

The stock recently traded at 42 times the next 12-month earnings vs. a P/E of 52 three months ago

For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)