Nauticus Robotics (NASDAQ:KITT) reported second-quarter 2026 revenue of $0.9 million, up $0.7 million sequentially but down $1.2 million from the prior-year quarter, as offshore oil and gas projects in the Gulf of Mexico were deferred amid cautious customer spending.
Interim Chief Financial Officer Jimena Begaries said the company remained focused during the quarter on strengthening its capital structure, managing costs and preserving its Nasdaq listing. Nauticus completed registration for an equity line of credit, filed its Series D certificate of designation and executed debt-to-equity exchanges that reduced outstanding debt by $5.5 million.
Adjusted net loss was $7 million, compared with $6.4 million in the first quarter and $7.4 million in the second quarter of 2025. Operating expenses were $6.9 million, down $1.6 million year over year but up $1 million from the prior quarter due partly to higher activity levels. General and administrative costs totaled $3.3 million, an improvement of $1.1 million from a year earlier and largely flat sequentially.
Offshore Market Delays Drive Operating Changes
Sales Lead Steve Walsh said offshore operators had based capital-spending plans on oil prices in the mid-$50 to $60-per-barrel range, contributing to a more cautious approach to Gulf of Mexico activity. Several projects Nauticus had expected to proceed in 2026 have instead been deferred to 2027 or later, he said.
In response, the company adjusted its operating model to avoid the expense of maintaining a fully mobilized vessel for an entire work season. Walsh said Nauticus intends to retain the flexibility to deploy personnel and equipment as projects advance while managing costs and financial resources.
The company is seeking to diversify beyond Gulf of Mexico oil and gas work. Walsh cited expansion into the East Coast offshore wind market, completed work for a major subsea cable-laying company, planned West Coast projects and international tender opportunities. Nauticus also said it is seeing a growing number of defense-sector opportunities and is investing in marketing, alliances, capabilities and business development to pursue that work.
ToolKITT Software Moves to Market
Revenue Lead Brian Allen said Nauticus has formally released its Nauticus ToolKITT software for remotely operated vehicles, or ROVs, for sale to underwater fleet operators in the energy and defense sectors. He said the software release is intended to begin creating recurring and more predictable revenue beginning in 2027.
Allen said the company’s services business has historically been difficult to forecast because it generally operates as a time-and-materials subcontractor, making its revenue dependent on contract awards and timing at companies above it in the contracting chain. He also noted that under time-and-materials pricing, the customer captures the economic benefit when Nauticus technology enables work to be completed faster.
Nauticus is pursuing greater pipeline coverage for 2027, expanding international sales activity and targeting defense opportunities, Allen said. The company plans to bid as a primary contractor on certain international projects, using fixed-price contracts that would enable it to retain the margin created by autonomy and software-enabled efficiencies.
During the question-and-answer session, Allen said the primary-contractor strategy would not require Nauticus to make long-term vessel-charter commitments. Instead, the company intends to use vessels of opportunity for specific projects, mobilizing and demobilizing equipment as needed. He said Nauticus is focusing on two types of contracts that fit ToolKITT’s capabilities, which he said should help limit execution risk.
Technology and Defense Development
Vice President of Growth and Go-To-Market Jason Close said ToolKITT continued to be used on active ROV projects during the quarter, improving vehicle stability, survey consistency and data quality. Nauticus also reported a successful deployment of a Comanche ROV integrated with ToolKITT software, which Walsh said improved operating efficiency and reduced pilot workload.
Close said Aquanaut completed its planned freshwater testing phase for autonomous mooring-line and riser-inspection workflows at the company’s Florida test location. Further progress on those applications requires an appropriate offshore testing environment, with timing dependent on customer budget cycles and site availability.
The company also completed a prototype of a next-generation electric manipulator. Close said the design is intended to require less manufacturing capital and aligns with Nauticus’ plan to manufacture in the United Arab Emirates. Functional and load testing are underway.
Defense and government work is receiving greater near-term emphasis because customers in those sectors are funding autonomous systems, subsea awareness and infrastructure-security programs, Close said. Nauticus completed an initial scope of work supporting evaluation of a broader multi-phase defense project. If awarded, the company said it anticipates revenue from that opportunity in 2026 and 2027.
Chief Executive Officer John Gibson said the company is refurbishing its Aquanaut vehicles and plans to return them to testing in Stuart, Florida, including work related to mine countermeasures. He said Nauticus has active defense proposals involving Aquanaut and is pursuing longer-term ROV contracts rather than accepting work that would require vessel commitments without adequate margins.
Listing Status and International Expansion
Gibson said Nauticus has no desire to conduct another reverse stock split. Based on the company’s current position and recent share-price recovery, he said a reverse split is not required to maintain the company’s Nasdaq listing, though management continues to monitor listing standards.
Internationally, Gibson said Nauticus has secured a facility in the United Arab Emirates, is expanding its business entity there and is planning future operations and manufacturing. He described the UAE as a potential regional hub as the company expands internationally.
Looking ahead, Gibson said Nauticus is prioritizing execution, conversion of its pipeline into contracts and development of more predictable, higher-margin revenue through software sales, fixed-price projects and recurring product and service revenue.
About Nauticus Robotics (NASDAQ:KITT)
Nauticus Robotics, Inc (NASDAQ: KITT) is a maritime robotics company focused on developing and deploying uncrewed surface and subsea vessels for inspection, survey and maintenance applications. The company’s solutions combine purpose-built hardware with advanced autonomy software and sensor integration, allowing operators to conduct offshore and in-shore missions without personnel aboard. By digitizing routine vessel operations, Nauticus Robotics aims to reduce the time, cost and risk associated with traditional crewed marine services.
The company’s product portfolio includes modular uncrewed surface vessels (USVs) and remotely operated vehicles (ROVs) equipped with high-resolution sonar, cameras and other environmental sensors.
