Coda Octopus Group Q3 revenue climbs 9.2% to $7.7 million

• Coda Octopus Group (NASDAQ:CODA) reported fiscal Q3 2026 revenue of $7.7 million, up 9.2% year over year.
• Defense Engineering Services revenue increased 68.3%, helping offset weaker Marine Technology sales affected by geopolitical instability.
• Net income rose to $1.4 million, while cash increased to $31.7 million.

Coda Octopus Group (NASDAQ:CODA) reported fiscal third-quarter 2026 revenue of $7.7 million for the period ended July 31, 2026, representing a 9.2% increase compared with the same period last year.

The company’s growth was supported by strong performance in Defense Engineering Services, which increased 68.3% year over year to $2.7 million.

Marine Technology revenue declined 15.2% to $3.4 million, with the company citing geopolitical instability in the Middle East and Asia as factors affecting demand.

Acoustics Sensors and Materials revenue increased 10.4% to $1.6 million.

Gross profit increased to $5.1 million, while gross margin was 65.4%, compared with 68.3% in the prior-year quarter.

Operating income increased 11.1% to $1.5 million, while pre-tax income rose 16.0% to $1.8 million.

Net income reached $1.4 million, or $0.12 per diluted share, compared with $1.3 million, or $0.11 per diluted share, in Q3 2025.

Research and development expenses increased 27.4% to $0.7 million, while selling, general and administrative expenses declined 2.9% to $2.8 million.

Coda Octopus ended the quarter with $31.7 million in cash, up from $28.7 million as of October 31, 2025.

The company also reported approximately $1.4 million in orders during the quarter for its DAVD tethered systems and related peripherals.