WATT · Energous Corporation

Performance Summary

Energous Corporation reported significant revenue growth in FY 2025, with revenue increasing 633% year-over-year to $5.6 million from $0.8 million in FY 2024. This growth was primarily driven by expansion of commercial applications with multinational enterprise retailers, including two Fortune 10 companies, one of which accounted for 85% of 2025 revenue. The company's net loss improved by 48% to $9.6 million from $18.4 million in the prior year. Gross profit increased substantially to $2.0 million from $12,000, reflecting improved product margins as manufacturing volumes increased. Operating expenses decreased 35% to $12.0 million, with reductions across research and development (down 46%), sales and marketing (down 23%), and general and administrative (down 29%).

Revenue Analysis

Revenue growth of 633% was primarily attributed to PowerBridge transmitter sales to enterprise customers, with PowerBridge sales and shipping accounting for $5.5 million of total revenue. Geographic revenue distribution showed 92% from the United States ($5.2 million), 7% from Europe ($0.4 million), and less than 1% from other regions. The company noted that customer engagements expanded from early-stage proof-of-concept trials to larger deployments across multiple industry verticals. The introduction of the battery-free e-Sense tag and e-Compass cloud-based software platform in Q2 2025 supported the first end-to-end wireless power-enabled IoT device monitoring and management solution.

Margins & Profitability

Gross margin improved dramatically to 36.0% from 1.6% in the prior year, reflecting higher sales volume of PowerBridge Pro transmitters and continued ramp-up of volume manufacturing. Cost of revenue increased 376% to $3.6 million, consistent with the revenue growth. Operating loss was $10.0 million, representing a 46% improvement from the $18.4 million operating loss in FY 2024. The improvement in operating results was driven by both revenue growth and expense reductions. Research and development expenses decreased 46% to $4.1 million, sales and marketing decreased 23% to $2.4 million, and general and administrative decreased 29% to $4.5 million.

Cash Flow & Balance Sheet

Net cash used in operating activities was $12.4 million, an improvement from $17.6 million in the prior year. Cash flows from financing activities provided $21.6 million, primarily from $18.4 million in net proceeds from ATM offerings and $4.0 million from the sale of common stock and warrants. Cash and cash equivalents were $10.4 million as of December 31, 2025, compared to $1.4 million at the end of 2024. Total assets were $16.7 million, with current assets of $15.3 million including accounts receivable of $3.0 million and inventory of $1.5 million. Total liabilities were $4.2 million, with current liabilities of $3.7 million. Stockholders' equity was $12.5 million, with accumulated deficit of $410.0 million.

Outlook

The company believes it has sufficient cash on hand to fund the next 12 months of operations based on current operating levels and cost reduction efforts. Management anticipates the release of additional wireless power-enabled products as they continue to innovate technology applications. The company expects to pursue additional financing, which could include offerings of equity or debt securities, bank financing, or commercial agreements with customers or strategic partners. Key risk factors include the need for additional financing to achieve long-term business plans, limited history of generating meaningful product revenue, competitive industry with rapid technological change, and dependence on regulatory approvals for RF-based wireless power transmission.