Draganfly Inc (DPRO) Q2 2025 Earnings Call Highlights: Strong Revenue Growth Amidst ...
For the complete transcript of the earnings call, please refer to the full earnings call transcript.
Positive Points
Draganfly Inc (NASDAQ:DPRO) reported a 37% quarter-over-quarter increase and a 22% year-over-year increase in revenue for Q2 2025.
The company achieved a 100% success rate with its Commander 3 XL plus Drops payload system at the US Army Cemex 25 event.
Draganfly Inc (NASDAQ:DPRO) closed a $13.75 million public offering, significantly bolstering its balance sheet.
The company was selected for a US Southern Border drone pilot program, showcasing its advanced drone capabilities.
Draganfly Inc (NASDAQ:DPRO) secured a strategic military order for its Commander 3XL UAV systems, indicating strong demand in the defense sector.
Negative Points
The company reported a comprehensive loss of $4.7 million for the quarter, compared to a loss of $7.1 million in the same quarter last year.
Gross margin decreased to 24.4% from 34.4% year-over-year, indicating pressure on profitability.
Higher office and miscellaneous costs, wage costs, and share-based payments contributed to the increased loss.
The company is still in the process of obtaining Blue List and Green List certifications, which could impact future sales.
There are ongoing challenges in scaling production capacity to meet potential large contract demands.
Q & A Highlights
Warning! GuruFocus has detected 5 Warning Signs with DPRO.
Q: Can you comment on Draganfly's status on the AUVSI green list and the impact of the new drone memo by Secretary Heeth on these classifications? A: Cameron Shell, CEO, acknowledged that initially, the importance of being on the Blue List was underestimated. Draganfly is now in the process of testing for the Blue List and has submitted for the Green List. Despite the delay, it hasn't hindered sales into defense and law enforcement. The focus remains on demonstrating capabilities, performance, and compliance with supply chain criteria.
Q: With a healthy cash balance, what are Draganfly's plans for these funds? A: Cameron Shell, CEO, stated that the focus is on organic growth and scaling the ability to iterate quickly, which is crucial for maintaining a competitive advantage. While some M&A activity is being considered, the primary goal is to ensure customer confidence and support growth with a strong balance sheet.
Q: How is Draganfly positioned in terms of production capacity to handle potential large contracts? A: Cameron Shell, CEO, explained that Draganfly has built up production capacity over the last couple of years, which was necessary to secure current orders. The company is also pursuing additional contract manufacturing capabilities to scale further, ensuring readiness for detailed customer requirements.
Q: Has Draganfly seen increased interest from police departments adopting drones as first responders? A: Cameron Shell, CEO, noted significant interest, particularly from smaller and rural departments. While larger departments have been early adopters, the focus is on providing multi-mission drones to smaller agencies, which are quicker to move and have different budget constraints.
Q: Could an end to the Ukraine conflict negatively impact Draganfly or the drone industry? A: Cameron Shell, CEO, believes that the conflict has highlighted the essential role of drones, and their use will likely continue to increase even if the conflict ends. The focus will shift to areas like ISR logistics, demining, and reconstruction, ensuring continued demand for diverse drone applications.
For the complete transcript of the earnings call, please refer to the full earnings call transcript.
This article first appeared on GuruFocus.
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Yahoo
14 minutes ago
- Yahoo
Trump's Pay-For-Play Chips Deal Generates Alarm and Optimism
(Bloomberg) -- President Donald Trump's controversial plan to take a cut of revenue from chip sales to China is leading to concerns that the US government will find new ways to start charging companies for a range of business activities with other countries. Experts and people familiar with the matter said the surprise deal, in which Nvidia Corp. and Advanced Micro Devices Inc. agreed to pay 15% of their revenues from Chinese AI chip sales to the US, potentially provides a path to enter the Chinese market despite severe export controls, tariffs and other trade barriers. The US-Canadian Road Safety Gap Is Getting Wider Sunseeking Germans Face Swiss Backlash Over Alpine Holiday Congestion To Head Off Severe Storm Surges, Nova Scotia Invests in 'Living Shorelines' Five Years After Black Lives Matter, Brussels' Colonial Statues Remain For Homeless Cyclists, Bikes Bring an Escape From the Streets The question that companies must now confront is whether the risk is worth taking. People familiar with the matter, who asked not to be identified discussing private deliberations, said companies are struggling to figure out what the president's order means for their future, especially given the unpredictable nature of Trump's decision-making. 'This is truly bizarre and unusual, and the troubling thing — beyond the individual instances of AMD and Nvidia — is the possibility that this will be expanded,' said Gary Hufbauer, a senior fellow at the Peterson Institute for International Economics. 'Everything is now 'national security,' according to the new definition, which means it's all subject to export licenses and then they give you a license based on your contribution.' There are concerns that US trade agencies could begin charging fees to companies every time there's a meeting to discuss tariffs, according to people familiar with the matter who asked not to be identified discussing private deliberations. The Commerce Department's Bureau of Industry and Security, which issues export licenses, wasn't consulted about the revenue deal, according to people familiar with the matter who asked not to be identified discussing private conversations. Trump administration officials defend the idea as a smart way to generate revenue for the US government and suggest it will extend well beyond the chips sector. 'I think we could see it in other industries over time,' Treasury Secretary Scott Bessent said in an interview with Bloomberg Television on Wednesday. 'I think right now this is unique, but now that we have the model and the beta tests, why not expand it?' Bessent defended the deal and rejected any national-security concerns around the decision to sell Nvidia's H20 chip to China — something that had been earlier barred for fear of giving China a boost in the artificial-intelligence race. 'There are no national security concerns here,' Bessent said. 'We would not sell any of the advanced chips. So, the H20, I don't know whether you'd say they're four, five, six levels down the chips stack.' Either way, the deal highlights how Trump has pushed to open a wave of new revenue streams including by taking ownership shares of companies or extracting higher fees to live or work in the US. The US is weighing sales of a so-called 'gold card' residency permit, it won a 'golden share' to have direct say over corporate actions by United States Steel Corp., and it's secured investment pledges and potential revenue-sharing in country-level tariff talks. That's aside from the barrage of product tariffs that have at times left massive dislocations in globally traded markets. The matter further surprised China hawks in Congress, who have been unimpressed by the administration's reassurances. Rep. John Moolenaar, the Michigan Republican who chairs the US House Select Committee on China, questioned the legal basis for the move and suggested it does an end-run around controls put in place to limit the sale of sensitive technology to US adversaries. 'Export controls are a front-line defense in protecting our national security, and we should not set a precedent that incentivizes the government to grant licenses to sell China technology that will enhance its AI capabilities,' he said. It also raises questions about where the administration will steer the revenue. Trump has mused about issuing tariff rebate checks — though he has yet to seriously pursue the idea — while at other times he's said it would go toward narrowing the large budget deficit. The administration had debated launching a sovereign wealth fund before shelving those plans for now. It's too soon to say whether the administration will seek to revive the fund and steer revenue there, one official familiar with deliberations said. 'Trump's aides argue that these measures will strengthen America's AI leadership by maximizing its global influence and market share,' Hal Brands, a professor at the Johns Hopkins School of Advanced International Studies and a former Pentagon official, wrote in Bloomberg Opinion. 'Yet it is also possible that they will simply eat into America's innovation advantage.' --With assistance from Mackenzie Hawkins and Derek Wallbank. (Updates with details of consultation process in fifth paragraph.) Americans Are Getting Priced Out of Homeownership at Record Rates Dubai's Housing Boom Is Stoking Fears of Another Crash Bessent on Tariffs, Deficits and Embracing Trump's Economic Plan Why It's Actually a Good Time to Buy a House, According to a Zillow Economist The Electric Pickup Truck Boom Turned Into a Big Bust ©2025 Bloomberg L.P. Sign in to access your portfolio
Yahoo
14 minutes ago
- Yahoo
Udemy Launches AI-Powered Platform in Arabic, Fueling Skills Acceleration Across the Middle East
New expansion aims to empower over 300 million Arabic-speaking professionals with personalized, adaptive upskilling SAN FRANCISCO, August 14, 2025--(BUSINESS WIRE)--Udemy (Nasdaq: UDMY), a leading AI-powered skills acceleration platform, announced the recent launch of its platform in Arabic. This milestone reflects the global technology company's continued expansion across the Middle East, reinforcing Udemy's mission to empower learners and organizations worldwide with the skills they need to stay ahead in the age of AI. Spoken by more than 300 million people in various dialects, Arabic is one of the world's most widely used languages. The newly localized Udemy platform offers an enhanced user experience in Arabic, enabling organizations and professionals across the Middle East and North Africa region to upskill and reskill in high-growth, emerging roles. In the past year, over one million learners have enrolled in more than 7,000 Arabic-language courses from Udemy's Multi-Language Collection, covering a diverse range of topics from AI and cloud computing to communication and leadership. "At Udemy, we believe language should never be a barrier to professional growth," said Hugo Sarrazin, President and CEO of Udemy. "Localizing our platform in Arabic strengthens our ability to serve our growing customer base across the region with culturally relevant, high-quality reskilling experiences. With this launch, we're helping unlock new opportunities for workforce development, product innovation, and business growth throughout the Arabic-speaking world." "With Udemy's platform now available in Arabic, professionals in the region can seamlessly access high-quality, locally relevant learning experiences," said Dr. Ryan Ahmed, Udemy instructor, CEO of Stemplicity, and Assistant Professor at McMaster University. "This advancement not only removes language barriers but also empowers Arabic-speaking professionals and leaders to build critical skills with greater confidence, speed, and cultural resonance." Dr. Ahmed's course, Artificial Intelligence from Beginner to Professional, is available in Arabic to enterprise customers and learners on the Udemy platform. To access the Udemy platform in Arabic, visit About Udemy Udemy (Nasdaq: UDMY) is an AI-powered skills acceleration platform transforming how companies and individuals across the world build the capabilities needed to thrive in a rapidly evolving workplace. By combining on-demand, multi-language content with real-time innovation, Udemy delivers personalized experiences that empower organizations to scale workforce development and help individuals build the technical, business, and soft skills most relevant to their careers. Today, thousands of companies, including Ericsson, Samsung SDS America, On24, Tata Consultancy Services, The World Bank, and Volkswagen, rely on Udemy Business for its enterprise solutions to build agile, future-ready teams. Udemy is headquartered in San Francisco, with hubs across the United States, Australia, India, Ireland, Mexico, and Türkiye. View source version on Contacts Media Contact Risha TyagiSenior Global Corporate Communications Managerpress@
Business Wire
15 minutes ago
- Business Wire
Udemy Launches AI-Powered Platform in Arabic, Fueling Skills Acceleration Across the Middle East
SAN FRANCISCO--(BUSINESS WIRE)-- Udemy (Nasdaq: UDMY), a leading AI-powered skills acceleration platform, announced the recent launch of its platform in Arabic. This milestone reflects the global technology company's continued expansion across the Middle East, reinforcing Udemy's mission to empower learners and organizations worldwide with the skills they need to stay ahead in the age of AI. Spoken by more than 300 million people in various dialects, Arabic is one of the world's most widely used languages. The newly localized Udemy platform offers an enhanced user experience in Arabic, enabling organizations and professionals across the Middle East and North Africa region to upskill and reskill in high-growth, emerging roles. In the past year, over one million learners have enrolled in more than 7,000 Arabic-language courses from Udemy's Multi-Language Collection, covering a diverse range of topics from AI and cloud computing to communication and leadership. 'At Udemy, we believe language should never be a barrier to professional growth,' said Hugo Sarrazin, President and CEO of Udemy. 'Localizing our platform in Arabic strengthens our ability to serve our growing customer base across the region with culturally relevant, high-quality reskilling experiences. With this launch, we're helping unlock new opportunities for workforce development, product innovation, and business growth throughout the Arabic-speaking world.' 'With Udemy's platform now available in Arabic, professionals in the region can seamlessly access high-quality, locally relevant learning experiences," said Dr. Ryan Ahmed, Udemy instructor, CEO of Stemplicity, and Assistant Professor at McMaster University. "This advancement not only removes language barriers but also empowers Arabic-speaking professionals and leaders to build critical skills with greater confidence, speed, and cultural resonance.' Dr. Ahmed's course, Artificial Intelligence from Beginner to Professional, is available in Arabic to enterprise customers and learners on the Udemy platform. To access the Udemy platform in Arabic, visit About Udemy Udemy (Nasdaq: UDMY) is an AI-powered skills acceleration platform transforming how companies and individuals across the world build the capabilities needed to thrive in a rapidly evolving workplace. By combining on-demand, multi-language content with real-time innovation, Udemy delivers personalized experiences that empower organizations to scale workforce development and help individuals build the technical, business, and soft skills most relevant to their careers. Today, thousands of companies, including Ericsson, Samsung SDS America, On24, Tata Consultancy Services, The World Bank, and Volkswagen, rely on Udemy Business for its enterprise solutions to build agile, future-ready teams. Udemy is headquartered in San Francisco, with hubs across the United States, Australia, India, Ireland, Mexico, and Türkiye.
