Shares of Octave Intelligence PLC (OCTV) plummeted 15.52% in Wednesday's pre-market trading session, following the release of the company's second-quarter 2026 financial results that revealed a sharp swing to a net loss and forward guidance that fell short of Wall Street expectations.

The company reported a net loss of $1.97 billion, or $7.34 per share, compared with a profit of $75.2 million, or $0.28 per share, a year earlier. The massive loss was primarily driven by $2.13 billion in non-cash impairment charges, including a $1.67 billion goodwill impairment and a $464 million trademark impairment related to the company's recent separation from Hexagon and brand transition. Total revenue declined 4% year-over-year to $398.4 million, slightly missing the FactSet consensus estimate of $400.05 million. While adjusted earnings of $0.36 per share beat the $0.32 estimate, investors focused on the top-line weakness and the disappointing outlook.

For the third quarter, Octave guided for total revenue of $400 million to $410 million, below the analyst consensus of $411.2 million. The full-year 2026 revenue forecast of $1.64 billion to $1.67 billion was in line with estimates at the midpoint, but the lower end of the range raised concerns about the company's growth trajectory as it navigates its transition to an independent, pure-play enterprise software company.