Filing Flows › Red Cat Holdings (RCAT) › Q2 2026
Red Cat Holdings (RCAT) Q2 2026 earnings results (second quarter 2026)
10-Q filed Aug 6, 2026
Red Cat Holdings (RCAT) reported revenue of $20.2M for the second quarter 2026 (Q2 2026), +527% from a year earlier and +30% from the quarter before. Operating margin was -191.4%, net loss $35.3M (174.6% of revenue).
Red Cat Holdings, Q2 2026: revenue $20.2M (+527% year over year), operating margin -191.4%, net loss $35.3M, operating cash flow −$46.8M. The chart follows the revenue to costs, profit and cash.
| Q2 2026 | Amount | Q/Q | Y/Y |
|---|---|---|---|
| Revenue | $20.2M | +30% | +527% |
| Operating profit | −$38.6M | — | — |
| Net earnings | −$35.3M | — | — |
| Operating cash flow | −$46.8M | — | — |
What changed
Revenue was $20.2M in Q2 2026, up 527% year over year and up 30% from the previous quarter. Product was the largest line at 98% of revenue. Product added $17.6M year over year (up 843%), 104% of the total change. Service declined 58%.
Gross margin was 16.1%, up 4.5 points from Q2 2025. Operating costs exceeded revenue by $38.6M, an operating margin of -191.4%. Operating expenses grew 222% against revenue growth of 527%. The fastest-growing cost line was Research & development (+295%). The quarter ended with a net loss of $35.3M, wider than the previous quarter's $26.6M loss.
Operating cash flow was −$46.8M. Non-cash charges added back $1.5M of depreciation and amortization and $5.0M of share-based compensation. Working capital and other items used $18.1M. Capital expenditures of $5.8M exceeded it, leaving free cash flow of −$52.6M.
Questions
What was Red Cat Holdings' revenue in the second quarter 2026?
Red Cat Holdings (RCAT) reported revenue of $20.2M for the second quarter 2026 (Q2 2026), +527% from a year earlier and +30% from the quarter before.
Was Red Cat Holdings profitable in the second quarter 2026?
Operating loss was $38.6M (-191.4% of revenue) and net loss $35.3M.
Source: Red Cat Holdings 10-Q on SEC EDGAR.