Ocean Power Technologies Secures $3M Deal to Expand Cutting-Edge Marine Innovations in Latin America

Ocean Power Technologies (OPT), a leader in low-carbon marine power and data solutions, has announced a significant expansion of its presence in Latin America through a new partnership. The partnership includes $3 million in purchase order commitments over the next 36 months, an increase of $1.5 million over previously announced commitments in the region. This landmark deal highlights the growing demand for OPT’s innovative technologies and solidifies its position as a maritime artificial intelligence robotics sector leader.

Headquartered in Monroe Township, New Jersey, Ocean Power Technologies is a micro-cap company with an approximately $43 million market value. It specializes in intelligent maritime solutions, providing products such as PowerBuoy platforms for clean and reliable electric power, WAM-V autonomous surface vessels, and marine robotics services. These solutions cater to diverse sectors, including defense, oil and gas, research, and offshore wind, ensuring that OPT remains at the forefront of marine innovation.

The deployment of WAM-V Unmanned Surface Vehicles (USVs) is at the heart of this new partnership. Renowned for their cutting-edge technology and versatility, WAM-Vs are designed to perform various hydrographic applications. Their adaptability and reliability make them an unrivaled multi-application solution for the challenges of marine operations. These vehicles will provide advanced solutions and reinforce OPT’s commitment to delivering unparalleled services to its customers in Latin America.

Philipp Stratmann, President and CEO of Ocean Power Technologies, expressed enthusiasm for this strategic expansion. “We are thrilled to have a new partnership in Latin America that builds on the growth we have seen in this region recently,” he stated. “This order highlights our continued commitment to delivering unparalleled solutions to the region that redefine possibilities in marine artificial intelligence.”

OPT’s financial performance underscores its growth trajectory. The company has demonstrated strong revenue growth of nearly 69% over the past 12 months, while its backlog increased by 71% to $5.3 million, reflecting the momentum of its Latin American projects and long-term leasing contracts. Despite operating at a loss, OPT has made significant strides in cost control, reducing its net loss by over 35% and cutting operating expenses by 39% to $4.9 million in Q1 FY25. The company also reported steady revenues of $1.3 million during the same period, mirroring results from the prior year.

Strategic partnerships with industry leaders such as AT&T and Teledyne Marine have further bolstered OPT’s growth strategy. These collaborations aim to enhance system functionality and improve the performance of its autonomous ocean monitoring systems. With a robust pipeline valued at approximately $92 million—the largest in its history—the company is well-positioned to capitalize on growing demand across various sectors. CEO Philipp Stratmann anticipates profitability by Q4 FY25, driven by increased revenue from defense and security markets, which are expected to account for more than 50% of total revenue.

While the company’s outlook is promising, OPT faces challenges transitioning from grant-funded projects to commercially viable operations. However, its healthy balance sheet, with more cash than debt and a current ratio of 2.16, ensures strong short-term liquidity to support ongoing expansion efforts. These financial metrics provide stability as OPT continues to execute its growth strategy.

The latest developments also highlight the importance of OPT’s technological innovations. The WAM-V USVs are a testament to the company’s engineering expertise and a critical component of its efforts to address the evolving needs of its customers. These vehicles’ advanced capabilities will be pivotal in hydrographic and other marine applications, offering versatile and reliable solutions.

As part of its commitment to transparency and accountability, Ocean Power Technologies has advised stakeholders to refer to its filings with the U.S. Securities and Exchange Commission for detailed discussions on potential risks and uncertainties associated with its operations. The company focuses on maintaining its leadership in the maritime artificial intelligence robotics sector while expanding its global footprint through strategic partnerships.

With this $3 million Latin America deal, Ocean Power Technologies continues to redefine what is possible in marine technology. The company’s dedication to innovation, customer satisfaction, and sustainable practices positions it as a trailblazer in the industry. As OPT advances toward its goal of profitability, it remains steadfast in its mission to deliver intelligent maritime solutions that meet the demands of a rapidly changing world.