Elauwit Connection, Inc. Q2 FY26 Results

The second quarter of 2026 was Elauwit’s best-ever quarter-over-quarter and year-over-year increase in contracted units, signing almost 5,900 units across 21 properties in 10 states and the District of Columbia. These wins will drive significant construction activity in the second half of 2026 and a substantial expansion of our recurring service revenue under long-lived contracts as they come online later this year and throughout 2027. Year-to-date, we have signed more than 10,000 units, and the momentum continues into the September quarter with already multiple new property awards. This growth demonstrates that our sales focus on large, multi-property operators can generate significant repeat awards across an owner’s portfolio. For example, we recently announced major wins with two large REIT owners, contracting more than 4,100 units across 14 properties and five states. These two operators plan to roll out managed services across their portfolios, which include hundreds of thousands of units of additional opportunity, and our sales pipeline has a number of similarly sized opportunities. Given this confirmation that large portfolios are rapidly converting properties to managed services, we are sharpening our sales focus on key markets where we have higher density. This also enables increased attention to smaller and middle-tier property owners in those markets for our Network-as-a-Service (“NaaS”) product while doing so with greater operating efficiency. In summary, the well-documented message that choosing Elauwit’s managed services solutions can secure increased revenue, higher valuations, and more satisfied residents is resonating with owners and driving deals to closing, affirming our position that contracted units are the most important KPI in our business and best indicator or our future performance. We now have almost 43,000 units under contract and expect to exceed 50,000 units under contract before year end, achieving what would be a more than 46% annualized increase in contracted units for 2026. These wins will drive both construction revenue and long-term recurring service revenue as we seek to build a robust and durable business at Elauwit.

The change in quarterly revenue reflected the timing of large construction projects to install networks into contracted properties, which are variable and weighted to the second half during 2026. Our continued contracting activity is driving new projects that will generate both increased construction activity and growing revenue from billed units as we progress through the year, keeping us on track to achieve our targeted performance metrics. Additionally, we anticipate beginning to see the benefit of our cost efficiency initiatives in the second half of the year as we work to optimize our profitability as we scale the business.