Vancouver, BC., May 14, 2024 (GLOBE NEWSWIRE) -- Draganfly Inc. (NASDAQ: DPRO) (CSE: DPRO) (FSE: 3U8) (“Draganfly” or the “Company”), an award-winning, industry-leading drone solutions and systems developer, is pleased to announce its first quarter financial results.
Key Financial and Operational Highlights for Q1 2024:
| ● | Revenue for the first quarter of 2024 was $1,329,581 which represents a 45% quarter over quarter increase and was down 17% year over year. Product sales of $1,237,948 made up the bulk of the revenue with the remainder coming from drone services. This is compared to total Q1 Revenue in 2023 of $1,601,486. | |
| ● | Gross profit for Q1 2024 was $280,011 down $163,423 over the same period in 2023. Gross margin percentage for Q1 2024 was 21.1% compared to 27.7% in Q1 2023. Gross profit would have been $428,771 and gross margin would have been 32.2%, not including a one-time write down of inventory of $148,760. The increase is due to the sales mix of the products sold. | |
| ● | The Company recorded a comprehensive loss of $1,884,416 in the first quarter of 2024 compared to a comprehensive loss of $7,096,995 in the first quarter of 2023. The comprehensive loss for the period includes non-cash changes comprised of a positive change in fair value derivative of $1,817,569, a write down of inventory of $148,760, and an impairment gain on notes receivable of $6,751 and would otherwise be a comprehensive loss of $3,559,976. Contributors to the year-over-year decrease are lower office and miscellaneous, professional fees, research and development, and wages. | |
| ● | Cash balance on March 31, 2024 of $4,339,736 compared to $3,093,612 on December 31, 2023. | |
| ● | Draganfly secured an agreement with Mass General Brigham to provide drone delivery and solutions for their Home Hospital patients, improving access to healthcare services. Draganfly’s innovative drone technology will facilitate the efficient delivery of essential medical supplies and lab work, enhancing care and reducing transportation delays within the greater Boston area. This partnership underscores the paradigm shift in healthcare delivery envisioned by Mass General Brigham, aiming to bring quality care directly into patients’ homes. | |
| ● | Draganfly was chosen as the primary solutions provider by Arabian Aero Investment LLC, a Dubai-based entity backed by a member of the Dubai Royal Family. The collaboration aims to integrate Draganfly’s Unmanned Aerial Vehicles (UAVs) into the UAE’s pioneering solar-powered charging platform, which combines renewable energy with efficient last-mile delivery. This innovative initiative is a cornerstone in the UAE’s ambitious goal to decarbonize its transportation system over the next three years. Following COP28, this project reflects the urgent need for renewable energy adoption and improved energy efficiency, with Draganfly’s drone technology playing a critical role. | |
| ● | Draganfly Inc. enrolled its Commander 3XL platform in the Green UAS program, managed by the Association for Uncrewed Vehicle Systems International (AUVSI), to bolster cybersecurity compliance and supply chain standards. The program aligns with the National Defense Authorization Act (NDAA), paving the way for the Commander 3XL to be among the first commercial drones to obtain Green UAS certification. Achieving this certification will expedite its adoption by U.S. federal and state agencies, as it provides a pathway to the Blue UAS cleared list, qualifying it for Department of Defense procurement. |
| ● | Draganfly Inc. was chosen by MMS Products, Inc. to develop a drone-based tactical multi-drop payload system that leverages the adaptable Mjolnir delivery device for versatile and effective tactical operations. The system will feature universal mount capabilities for easy attachment across various drone models, optimized for use with the Draganfly Commander 3XL. This collaboration aims to produce a turnkey tactical solution that enhances safety, efficiency, and performance for military and industrial applications. | |
| ● | Draganfly announced that its Commander 3XL drone won Best Enterprise Drone, Best Search and Rescue Drone, and Best Delivery Drone at The Droning Company’s Annual Droning Awards. The Commander 3XL, nicknamed the “Swiss Army Knife of Drones,” is recognized for its versatile design, ease of assembly, and rapid deployment. It can transport up to 24 pounds using its drop and winch-down systems and is equipped to withstand challenging weather conditions. This marks the second consecutive year the Commander 3XL has won the Best Enterprise Drone award, highlighting its reliability across various industries. | |
| ● | Draganfly Inc. was appointed the exclusive partner of the Ulkatcho Group of Companies (UGoC), the corporate arm of the Ulkatcho First Nation, to expand UAV solutions and capabilities within the Ulkatcho First Nation’s Traditional Territory. This partnership will involve commercial UAV services for mapping, surveying, resource and wildlife management, emergency response, and wildfire monitoring. The collaboration aims to support economic growth and resilience through advanced UAV technology and comprehensive training programs. | |
| ● | On February 26th Draganfly closed its previously announced underwritten public offering of 13,400,000 units, raising approximately $3.6 million in gross proceeds. Each unit comprises one common share (or one pre-funded warrant) and one warrant to purchase a common share, priced at $0.27 per unit. The associated warrants have an exercise price of $0.36 per share, were immediately exercisable, and will expire five years after issuance. Maxim Group LLC acted as the sole book-running manager for the offering. Draganfly intends to use the net proceeds to meet the demand for new products, fund growth initiatives, and support working capital requirements such as product development, acquisitions, and research. The offering was conducted under an effective shelf registration statement filed with the U.S. Securities and Exchange Commission (SEC) and a Canadian base shelf prospectus. | |
| ● | Draganfly Inc. was selected by Knightscope, Inc. (NASDAQ: KSCP) to integrate its drone technology with Knightscope’s Autonomous Security Robots (ASRs) and emergency communication products. This partnership aims to develop a comprehensive, AI-driven security solution that combines Draganfly’s advanced drones with Knightscope’s ASRs, communication platforms, and Security Operations Center (KSOC) monitoring system. The result will be a rapidly deployable, scalable security solution offering surveillance, intervention, and post-event evidentiary support. By adding aerial surveillance to Knightscope’s ground-based technologies, Draganfly drones will enhance situational awareness and provide real-time responses to alarms and incidents. This collaboration aims to redefine modern public safety, bringing significant benefits to critical infrastructure protection, public safety, and private security operations. |
Draganfly will hold a shareholder update and earnings call on May 14, 2024 at 2:30 p.m. PDT / 5:30 p.m. EDT.
