Coda Octopus Group, Inc. (NASDAQ: CODA), a market leader in underwater imaging and sonar technologies, has announced a $1.5 million order from the U.S. Navy for its Diver Augmented Vision Display (DAVD) tethered systems, which will be deployed alongside its proprietary Echoscope® sonar. The deal highlights the Navy’s sustained commitment to incorporating advanced underwater vision technologies into its subsea operations.
With a current market capitalization of $75.58 million and a solid financial standing—featuring more cash than debt, according to InvestingPro data—Coda Octopus continues to demonstrate strength in both innovation and operational efficiency. The company boasts a gross profit margin of 68.91% and 15.63% revenue growth over the past twelve months.
The DAVD tethered systems are already in use across nine U.S. Navy commands and are quickly gaining traction. This order follows the company’s March 2025 contract for 16 untethered DAVD units for the Special Operations Command, further signaling the military’s growing reliance on Coda’s cutting-edge technology.
Blair Cunningham, President of Technology at Coda Octopus, commented:
“This latest order underlines the growing role of Echoscope PIPE® real-time 3D Volumetric Sonar in diving and underwater inspection operations. It also highlights the increasing interest in our DAVD technology from foreign navies and the commercial subsea market.”
Coda Octopus has recently enhanced its DAVD systems by introducing a new-generation Head-Up-Display (HUD) with higher resolution and compatibility with specialized dive helmets—advancements aimed at opening new markets and broadening global adoption. These efforts are part of the company’s ongoing DUS Hardening Program, which seeks to further develop and deploy ruggedized underwater systems for extreme environments.
Founded in 1994, Coda Octopus develops advanced hardware and software solutions for underwater markets, including defense, offshore renewables, salvage operations, and port security. Its flagship Echoscope® sonar system is widely regarded for real-time 3D visualization in zero-visibility conditions.
The company's recent acquisition of Precision Acoustics Limited, a specialist in hydrophone design and non-destructive testing (NDT), further enhances its technical portfolio and diversification strategy.
In its latest quarterly earnings, Coda reported a slight miss on EPS—$0.08 compared to the forecasted $0.10—but achieved a notable 16.8% year-over-year revenue increase, reaching $5.21 million. The company also secured two additional U.S. government orders totaling $1.3 million for proprietary parts in its Defense Engineering Services Business.
Coda Octopus has reiterated its strategic goal of returning to pre-COVID revenue levels and has signaled intent for further acquisitions to bolster its presence in the defense sector.
Reference: https://www.investing.com/news/company-news/coda-octopus-secures-15m-navy-order-for-sonar-systems-93CH-4041319
