Vancouver, BC., April 19, 2021 (GLOBE NEWSWIRE) -- Draganfly Inc. (OTCQB: DFLYF) (CSE: DFLY) (FSE: 3U8) (“
Draganfly” or the “
Company”), an award-winning, industry-leading manufacturer and systems developer, is pleased to announce its fourth quarter and fiscal 2020 financial results. Revenue growth for the fourth quarter and the year was driven by a combination of organic growth, the acquisition of Dronelogics Systems Inc. (“
Dronelogics”), and sales from COVID-19 screening products.
The financial year 2020 was another milestone year for Draganfly. The Company successfully closed and integrated its Dronelogics acquisition which, as planned, became the driver of the bulk of Draganfly new product revenue sales. The Company’s main custom engineering customer effectively shut down this portion of its business in Q1 2020 primarily due to COVID-19; however, services revenues were successfully offset by other drone services work. 2020 revenues were up 216% year over year coming in at $4,363,511 versus $1,380,427 in the previous year. $645,756 represents custom engineering services work, $630,532 represents drone services work and the balance of revenue was from its hardware sales.
The Company recently added health monitoring and prevention to its product and service offering. Securing some key clients in this business line was key to proving out this new vertical. These clients were important for validation of this new technology, but more importantly, it demonstrated the Company’s ability to evolve and offer products and services that have global applicability.
Financial Highlights – 2020:
● Total revenue for the year ended December 31, 2020, increased by 216.1% to $4.36 million, compared to $1.38 million in 2019.
● As a result of increased product sales and service revenue, the Company’s gross profit increased by $597,973, or 51.5%. As a percentage of sales, gross margin(1) decreased from 84.1% in 2019 to 40.3% in 2020. This shift in gross margin is due to a higher percentage of hardware sales.
● The Company recorded a comprehensive loss of $8,015,709 compared to a comprehensive loss of $11,095,057 in 2019. The decreased loss was largely the result of the lack of listing expense resulting from the 2019 amalgamation and the funds received from the disposition of an investment that had been previously written off.
● The Company's cash balance on December 31, 2020, was $1.98 million compared to $2.43 million on December 31, 2019.
| For the year ended December 31, | 2020 | 2019 | ||||||
| Total revenues | $ | 4,363,511 | $ | 1,380,427 | ||||
| Gross Profit (as a % of revenues) | 40.3 | % | 84.1 | % | ||||
| Net loss | (8,015,813 | ) | (11,095,057 | ) | ||||
| Net loss per share ($) | ||||||||
| - Basic | (0.10 | ) | (0.23 | ) | ||||
| - Diluted | (0.10 | ) | (0.23 | ) | ||||
| Comprehensive loss | (8,015,709 | ) | (11,095,057 | ) | ||||
| Comprehensive loss per share ($) | ||||||||
| - Basic | (0.10 | ) | (0.23 | ) | ||||
| - Diluted | (0.10 | ) | (0.23 | ) | ||||
| Change in cash and cash equivalents | (447,063 | ) | 2,349,954 | |||||
| Total assets | 7,100,567 | 3,221,783 | ||||||
| Working capital | 1,214,371 | 2,037,906 | ||||||
| Total non-current liabilities | 104,885 | 93,073 | ||||||
| Shareholder’s equity (deficiency) | $ | 3,848,205 | $ | 2,191,353 | ||||
| Number of shares outstanding | 86,093,361 | 69,670,613 | ||||||
