Latest news with #DigitalAlly
Yahoo
29-05-2025
- Business
- Yahoo
Digital Ally Inc (DGLY) Q1 2025 Earnings Call Highlights: A Turnaround Quarter with Positive ...
Release Date: May 28, 2025 For the complete transcript of the earnings call, please refer to the full earnings call transcript. Digital Ally Inc (NASDAQ:DGLY) reported a significant improvement in gross margin percentage, increasing from 28% to 36% year-over-year. The company successfully reduced SG&A expenses by $2.6 million, a 72% improvement, contributing to a better operating loss position. Net income turned positive at $4.2 million in Q1 2025, compared to a $3.9 million loss in Q1 2024, marking an $8 million turnaround. The balance sheet showed a strong improvement with a positive working capital of $3.4 million, up from a $19.4 million deficit at the end of 2024. Digital Ally Inc (NASDAQ:DGLY) successfully raised $14 million through a public offering, significantly enhancing liquidity and financial stability. Year-over-year revenues declined by 19%, primarily due to a significant drop in video product sales. The company had to implement two reverse stock splits to meet NASDAQ compliance, which was described as a painful but necessary action. Despite improvements, the company still faces challenges with a $2 million backlog due to supply chain issues. The entertainment segment's revenues were down, although profits increased due to shedding uneconomical sponsorships. Digital Ally Inc (NASDAQ:DGLY) is still working to meet NASDAQ's $1 minimum bid price requirement, with compliance pending for 10 consecutive trading days. Warning! GuruFocus has detected 6 Warning Signs with DGLY. Q: Can you provide more details on the financial improvements seen in the first quarter of 2025? A: Tom Heckman, CFO, explained that the first quarter of 2025 was a significant turnaround for Digital Ally. Despite a 19% drop in revenue, gross margin dollars improved by $78,000, and the overall gross margin percentage increased to 36% from 28% the previous year. SG&A expenses were reduced by $2.6 million, leading to a 73% improvement in operating loss. The company also saw a net income of $4.2 million compared to a $3.9 million loss in 2024. Q: What steps has Digital Ally taken to address NASDAQ compliance issues? A: Tom Heckman, CFO, stated that Digital Ally has made significant progress in addressing NASDAQ compliance issues. The company filed its overdue Form 10-K and Form 10-Q, and improved its equity position to $11.6 million, surpassing the $2.5 million requirement. The remaining issue is the $1 minimum bid price, which they are addressing through reverse stock splits. Q: How has the company's balance sheet improved following the recent public offering? A: Tom Heckman, CFO, highlighted that the $14 million public offering in February 2025 significantly improved the company's liquidity. Cash on the balance sheet increased from $400,000 to $3.8 million, and working capital turned positive at $3.4 million. The company also reduced accounts payable by $6.7 million and overall debt by $5.1 million. Q: What are the future plans for the entertainment segment, particularly Custom 440? A: Stanton Ross, CEO, discussed plans for the entertainment segment, focusing on Custom 440. The company has secured headliners for the 2026 Country Stampede, allowing for immediate ticket renewals and improved cash flow. They plan to expand the number of events from 8 in 2025 to significantly more in 2026, leveraging their growing industry reputation. Q: Can you elaborate on the strategic focus for Digital Ally moving forward? A: Stanton Ross, CEO, emphasized a strategic focus on core businesses, particularly video solutions and custom entertainment. The company aims to capitalize on new products and patents, with announcements expected in upcoming quarters. They are also exploring opportunities in both law enforcement and commercial markets to drive growth. For the complete transcript of the earnings call, please refer to the full earnings call transcript. This article first appeared on GuruFocus.
Associated Press
25-02-2025
- Automotive
- Associated Press
Digital Ally Announces Six New Patents Issued by USPTO
Lenexa, KS, Feb. 25, 2025 (GLOBE NEWSWIRE) -- Digital Ally, Inc. (NASDAQ: DGLY)(the 'Company' or 'Digital Ally'), a leading provider of video solutions that develops, manufactures, and markets advanced video recording products and other critical safety products for law enforcement, emergency management, fleet safety, and event security, is forging ahead with cutting-edge innovations and strong leadership aimed at reshaping the future of security and efficiency in video technology systems. The Company today announced that it has been granted six new patents by the United States Patent and Trademark Office (USPTO) over the past 12 months. These patents span multiple industries, products, and technologies, reinforcing Digital Ally's leadership in video technology and safety solutions. Covering applications from law enforcement to commercial fleet, from body-worn cameras to in-car video systems, and from VuLink to breathalyzers, these patents further strengthen the Company's robust intellectual property portfolio. The newly issued patents include: 11, 950,017 – Redundant Mobile Video Recording 12,036,013 – Breath Analyzer, System, and Computer Program for Authenticating, Preserving, and Presenting Breath Analysis Data 12,062,287 – Tracking and Analysis of Drivers Within a Fleet of Vehicles 12,136,436 – Computer Program, Method, and System for Managing Multiple Data Recording Devices 12,151,623 – Portable Video and Imaging Systems 12,160,688 – System for Automatically Triggering a Recording 'We have always strived to lead the industry in innovation,' said Stan Ross, CEO of Digital Ally. 'These new patents reflect our ongoing commitment to developing cutting-edge solutions that not only meet the needs of our partners today but also anticipate the challenges of tomorrow. Our team remains dedicated to pushing the boundaries of what's possible, ensuring that law enforcement agencies, commercial fleets, and other industries have access to the most advanced, reliable, and efficient tools available.' About Digital Ally Digital Ally through its video solutions segment specializes in the development and manufacturing of video and analytics solutions for law enforcement, emergency management, and commercial applications. With a focus on delivering reliable and innovative technology, Digital Ally empowers organizations to enhance safety, streamline operations, and mitigate risks. TicketSmarter, Inc. ('Ticket Smarter'), a wholly owned subsidiary of Digital Ally, is focused on primary and secondary ticketing options for live events and concerts. TicketSmarter offers tickets to more than 125,000 live events ranging from concerts to sports and theatre shows. TicketSmarter is the official ticket resale partner of 35+ collegiate conferences, 300+ universities, and hundreds of events and venues nationally. Kustom Entertainment, Inc., ('Kustom') a wholly owned subsidiary of Digital Ally, specializes in attracting, managing and promoting concerts, sports and private events. Kustom is unique in that it can integrate Ticket Smarter's primary and secondary ticketing platform, in addition to its well-established relationships with artists, venues, and municipalities. For additional news and information please visit Forward-Looking Statements: The press release may contain 'forward-looking statements' within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934, each as amended. Forward-looking statements include all statements that do not relate solely to historical or current facts, including without limitation statements regarding the closing of the proposed offering, and can be identified by the use of words such as 'may,' 'will,' 'expect,' 'project,' 'estimate,' 'anticipate,' 'plan,' 'believe,' 'potential,' 'should,' 'continue' or the negative versions of those words or other comparable words. Forward-looking statements are not guarantees of future actions or performance. These forward-looking statements are based on information currently available to the Company and its current plans or expectations and are subject to a number of risks and uncertainties that could significantly affect current plans. Should one or more of these risks or uncertainties materialize, or the underlying assumptions prove incorrect, actual results may differ significantly from those anticipated, believed, estimated, expected, intended, or planned. Although the Company believes that the expectations reflected in the forward-looking statements are reasonable, the Company cannot guarantee future results, performance, or achievements. Except as required by applicable law, including the security laws of the United States, the Company does not intend to update any of the forward-looking statements to conform these statements to actual results. Contact Information Stanton Ross, CEO Tom Heckman, CFO Digital Ally, Inc. 913-814-7774
