Eltek Ltd. Reports Second-Quarter 2026 Results
PETACH TIKVA, Israel, Aug. 18, 2026 /PRNewswire/ -- Eltek Ltd. (NASDAQ: ELTK), a leading global manufacturer of high-quality printed circuit boards, today announced its financial results for the quarter ended June 30, 2026.
Second Quarter 2026 Highlights
Eli Yaffe, Chief Executive Officer, stated:
"Our second-quarter 2026 results reflected a loss as we remain in an important transition period focused on stabilizing our manufacturing operations and building the human and operational infrastructure required to support our next phase of growth. The stabilization of our production system and the integration of our new production lines are progressing, although the process is not yet complete.
We are well advanced in the implementation of our new ERP system, which we believe will provide a stronger foundation for managing and scaling our operations. We are also completing the installation of our newly arrived PCB plating line, while conducting acceptance testing in parallel, and expect to begin the qualification process during the third quarter.
Although the transition is not yet complete, we are making steady progress across the key areas of our business. We remain focused on completing the stabilization of our manufacturing operations, strengthening our organization and infrastructure and improving operational efficiency. We believe these steps are establishing a stronger foundation for improved operational and financial performance in the periods ahead."
Second Quarter 2026 GAAP Financial Results
Revenues for the second quarter of 2026 were $11.5 million compared to $12.5 million in the second quarter of 2025.
Gross loss for the second quarter of 2026 was $1.0 million compared to gross profit of $3.0 million (24% of revenues) in the second quarter of 2025.
Operating loss for the second quarter of 2026 was $2.5 million compared to operating profit of $1.5 million in the second quarter of 2025.
Financial expenses for the second quarter of 2026 were $0.7 million compared to $1.0 million in the second quarter of 2025. Financial expenses primarily resulted from the erosion of the U.S. dollar against the NIS.
Net loss for the second quarter of 2026 was $2.7 million or $0.41 per fully diluted share compared to net income of $0.4 million or $0.05 per fully diluted share in the second quarter of 2025.
Second Quarter 2026 Non-GAAP Financial Results
EBITDA loss for the second quarter of 2026 was $1.9 million compared to EBITDA of $2.0 million (15.6% of revenues) in the second quarter of 2025.
Six Months Ended June 30, 2026 GAAP Financial Results
Revenues for the first six months of 2026 were $22.0 million compared to $25.3 million in the first six months of 2025.
Gross loss for the first six months of 2026 was $2.8 million compared to gross profit of $5.2 million (21% of revenues) in the first six months of 2025.
Operating loss for the first six months of 2026 was $5.8 million compared to operating profit of $2.2 million in the first six months of 2025.
Financial expenses for the first six months of 2026 were $0.8 million compared to $0.5 million in the first six months of 2025. Financial expenses primarily resulted from the erosion of the U.S. dollar against the NIS.
Net loss for the first six months of 2026 was $5.6 million or $0.83 per fully diluted share compared to net profit of $1.4 million or $0.20 per fully diluted share in the first six months of 2025.
Six Months Ended June 30, 2026 Non-GAAP Financial Results
EBITDA loss for the first six months of 2026 was a $4.6 million compared to EBITDA of $3.1 million (12% of revenues) in the first six months of 2025.
About our Non-GAAP Financial Information
The Company reports financial results in accordance with U.S. GAAP and herein provides EBITDA, a non-GAAP measure. This non-GAAP measure is not in accordance with, nor is it a substitute for, GAAP measures. This non-GAAP measure is intended to supplement the Company's presentation of its financial results that are prepared in accordance with GAAP. The Company uses the non-GAAP measure presented to evaluate and manage the Company's operations internally. The Company is also providing this information to assist investors in performing additional financial analysis. Reconciliation between the Company's results on a GAAP and non-GAAP basis is provided in a table below.
Conference Call
Today, Tuesday, August 18, 2026, at 8:30am Eastern Time (15:30pm Israel Time, 5:30am Pacific Time), Eltek will conduct a conference call to discuss the results. The call will feature remarks by Eli Yaffe, Chief Executive Officer and Ron Freund, Chief Financial Officer.
To participate, please call the following teleconference numbers. Please allow for additional time to connect prior to the call:
United States: 1-866-860-9642
Israel: 03-918-0691
International: +972-3-918-0691
To Access a Replay of the Call
A replay of the call will be available for 30 days on the Investor Info section on Eltek's corporate website at http://www.nisteceltek.com approximately 24 hours after the conference call is completed.
About Eltek
Eltek – "Innovation Across the Board", is a global manufacturer and supplier of technologically advanced solutions in the field of printed circuit boards (PCBs) and is an Israeli leading company in this industry. PCBs are the core circuitry of most electronic devices. Eltek specializes in the manufacture and supply of complex and high-quality PCBs, HDI, multilayered and flex-rigid boards for the high-end market. Eltek is ITAR compliant and has AS-9100 and NADCAP Electronics certifications. Its customers include leading companies in the defense, aerospace and medical industries in Israel, the United States, Europe and Asia.
Eltek was founded in 1970. The Company's headquarters, R&D, production and marketing center are located in Israel. Eltek also operates through its subsidiary in North America and by agents and distributors in Europe, India, South Africa and South America.
For more information, visit Eltek's web site at www.nisteceltek.com
Forward Looking Statement
Some of the statements included in this press release may be forward-looking statements that involve a number of risks and uncertainties including, but not limited to expected results in future quarters, the impact of currency movements between the US Dollar exchange rate against the Israeli Shekel, the impact of the Coronavirus on the economy and our operations, risks in product and technology development and rapid technological change, product demand, the impact of competitive products and pricing, market acceptance, the sales cycle, changing economic conditions and other risk factors detailed in the Company's Annual Report on Form 20-F and other filings with the United States Securities and Exchange Commission. Any forward-looking statements set forth in this press release speak only as of the date of this press release. The information found on our website is not incorporated by reference into this press release and is included for reference purposes only.
Investor Contact
Ron Freund
Chief Financial Officer
[email protected]
+972-3-939-5023
Eltek Ltd.
Consolidated Statements of Income
U.S dollars in thousands (except per share data)
Three months ended
Six months ended
June 30,
June 30,
2026
2025
2026
2025
Revenues
11,534
12,529
21,970
25,285
Costs of revenues
(12,498)
(9,510)
(24,786)
(20,054)
Gross profit (loss)
(964)
3,019
(2,816)
5,231
Research and development expenses, net
-
-
0
(50)
Selling, general and administrative expenses
(1,582)
(1,563)
(2,997)
(3,000)
Operating income (loss)
(2,546)
1,456
(5,813)
2,181
Financial expense, net
(698)
(1,012)
(792)
(508)
Income (loss) before income tax
(3,244)
444
(6,605)
1,673
Income tax expenses (tax benefit)
(500)
79
(1,008)
306
Net income (loss)
(2,744)
365
(5,597)
1,367
Earnings per share:
Basic net income (loss) per ordinary share
(0.41)
0.05
(0.83)
0.20
Diluted net income (loss) per ordinary share
(0.41)
0.05
(0.83)
0.20
Weighted average number of ordinary shares used to compute
basic net income (loss) per ordinary share (in thousands)
6,720
6,715
6,720
6,715
Weighted average number of ordinary shares used to compute
diluted net income (loss) per ordinary share (in thousands)
6,785
6,784
6,785
6,785
Eltek Ltd.
Consolidated Balance Sheets
U.S dollars in thousands
June 30,
December 31,
2026
2025
Assets
Current assets:
Cash and cash equivalents
9,390
2,481
Short-term bank deposits
2,117
9,643
Trade receivables (net of allowance for credit losses)
11,656
14,789
Inventories
10,295
11,154
Other accounts receivable and prepaid expenses
970
607
Total current assets
34,428
38,674
Long term assets:
Severance pay fund
76
65
Deferred tax assets, net
1,504
387
Operating lease right of use assets
12,466
6,272
Total long term assets
14,046
6,724
Property and equipment, net
24,664
20,862
Total Assets
73,138
66,260
Liabilities and Shareholder's equity
Current liabilities:
Trade payables
8,544
6,047
Other accounts payable and accrued expenses
6,735
6,565
Short-term operating lease liabilities
718
1,100
Total current liabilities
15,997
13,712
Long-term liabilities:
Accrued severance pay
578
515
Long-term operating lease liabilities
12,199
5,296
Total long-term liabilities
12,777
5,811
Shareholders' equity:
Ordinary shares of NIS 3.0 par value – Authorized: 10,000,000 shares at
June 30, 2026 and December 31, 2025; Issued and outstanding: 6,720,827
shares at June 30, 2026 and 6,719,827 shares at December 31, 2025
6,012
6,012
Foreign currency translation adjustments
9,088
6,111
Additional paid-in capital
35,928
35,681
Accumulated deficit
(6,664)
(1,067)
Total shareholders' equity
44,364
46,737
Total liabilities and shareholders' equity
73,138
66,260
Eltek Ltd.
Unaudited Non-GAAP EBITDA Reconciliations
U.S dollars in thousands
Three months ended
Six months ended
June 30,
June 30,
2026
2025
2026
2025
GAAP net income (loss)
(2,744)
365
(5,597)
1,367
Add back items:
Financial expenses (income), net
698
1,012
792
508
Income tax expenses (benefit)
(500)
79
(1,008)
306
Depreciation
613
500
1,203
966
Non-GAAP EBITDA
(1,933)
1,956
(4,610)
3,147
Eltek Ltd.
Consolidated Statement of Cash flow
U.S dollars in thousands
Three months ended
Six months ended
June 30,
June 30,
2026
2025
2026
2025
Cash flows from operating activities:
Net Income (loss)
(2,744)
365
(5,597)
1,367
Adjustments to reconcile net income to net cash flows
provided by operating activities:
Depreciation
613
500
1,203
967
Unrealized financing expenses (income), net
(86)
595
(155)
466
Share-based compensation
127
132
242
270
Decrease in deferred tax assets
(534)
120
(1,064)
202
120
1,347
226
1,905
Decrease (increase) in operating lease right-of-use assets
162
(1)
311
-
Decrease (increase) in trade receivables
470
(1,378)
4,088
(1,733)
Decrease (increase) in other receivables and prepaid expenses
(224)
314
(312)
247
Decrease (increase) in inventories
(281)
(2,282)
1,614
(2,612)
Increase (decrease) in trade payables
2,736
(1,138)
229
(2,000)
Increase (decrease) in other liabilities and accrued expenses
424
(201)
(290)
(28)
Increase (decrease) in employee severance benefits, net
11
39
20
46
3,298
(4,647)
5,660
(6,080)
Net cash provided by (used in) operating activities
674
(2,935)
289
(2,808)
Cash flows from investing activities:
Purchase of fixed assets
(934)
(1,743)
(1,673)
(2,880)
Withdrawal of (investment in) short-term bank deposits, net
(2,092)
-
7,620
534
Net cash provided by (used in) investing activities
(3,026)
(1,743)
5,947
(2,346)
Cash flows from financing activities:
Exercise of options
5
8
5
8
Dividend distribution
-
(1,276)
-
(1,276)
Issuance of shares, net
-
-
-
-
Net cash provided by (used in) financing activities
5
(1,268)
5
(1,268)
Effect of translation adjustments
683
1,250
668
617
Net increase (decrease) in cash and cash equivalents
(1,664)
(4,696)
6,909
(5,805)
Cash and cash equivalents at the beginning of the period
11,054
6,466
2,481
7,575
Cash and cash equivalents at the end of the period
9,390
1,770
9,390
1,770
SOURCE Eltek Ltd.