Draganfly (NASDAQ:DPRO) Releases Earnings Results, Misses Estimates By $0.13 EPS

Draganfly (NASDAQ:DPRO) issued its quarterly earnings data on Monday, August 10th. The company reported ($0.24) EPS for the quarter, missing the consensus estimate of ($0.11) by ($0.13), Zacks reports. The firm had revenue of $1.93 million during the quarter, compared to the consensus estimate of $2.56 million. Draganfly had a negative return on equity of 26.61% and a negative net margin of 355.34%.The firm’s quarterly revenue was up 26.0% compared to the same quarter last year.

Here are the key takeaways from Draganfly’s conference call:

• Record Q2 revenue reached CAD 2.664 million, up 26% year over year, with product sales exceeding CAD 2.5 million and gross profit of approximately CAD 533,000.
• The company’s comprehensive loss widened to CAD 11.8 million from CAD 4.7 million a year earlier, while adjusted gross margin declined to 21.7% from 24.3% amid higher operating, R&D, personnel, and professional costs.
• Draganfly highlighted a pipeline of more than 50 campuses following its exclusive IACLEA agreement and said its Small and Rural Association partnership could address roughly 80% of U.S. police forces, although the rollout will be phased through pilot programs.
• The DEVCOM counter-drone contract, new Special Forces selections for the Flex FPV, and the Skip Dynamix acquisition strengthen the company’s defense portfolio; management estimates the counter-UAS opportunity could represent hundreds of millions of Canadian dollars over several years.
• Draganfly ended the quarter with CAD 131.9 million in cash and minimal debt, while management expects significant Canadian defense procurement and additional U.S. manufacturing capacity to support a future revenue ramp, though it acknowledged the company is several quarters behind some industry peers.

Draganfly Stock Down 1.5%

NASDAQ DPRO traded down $0.09 during trading hours on Friday, reaching $5.67. The company’s stock had a trading volume of 1,050,641 shares, compared to its average volume of 1,745,300. The firm’s 50-day moving average price is $4.78 and its 200-day moving average price is $5.46. Draganfly has a 1 year low of $3.78 and a 1 year high of $14.40. The company has a market capitalization of $194.74 million, a price-to-earnings ratio of -7.25 and a beta of 2.80.

Analysts Set New Price Targets

Several brokerages recently issued reports on DPRO. Wall Street Zen lowered shares of Draganfly from a “sell” rating to a “strong sell” rating in a research report on Saturday, August 15th. Needham & Company LLC decreased their target price on Draganfly from $12.00 to $8.00 and set a “buy” rating on the stock in a report on Tuesday, August 11th. LADENBURG THALM/SH SH cut their price target on Draganfly from $12.75 to $11.50 and set a “buy” rating for the company in a report on Thursday, August 13th. Finally, HC Wainwright began coverage on Draganfly in a research report on Friday, May 29th. They issued a “buy” rating and a $14.00 price target for the company. One research analyst has rated the stock with a Strong Buy rating and three have issued a Buy rating to the company’s stock. According to MarketBeat.com, the stock currently has a consensus rating of “Buy” and a consensus target price of $11.62.

About Draganfly

Draganfly Inc is a Canadian drone technology company that develops unmanned aerial vehicles, software and related services for commercial, public-safety and government applications. Founded in 1999, the company describes itself as one of the longest-operating commercial drone manufacturers.

Its product portfolio includes multirotor and specialized drone platforms, including the Commander 3 XL, Flex FPV and Heavy Lift systems. Draganfly also provides drone-based data collection, aerial imaging, mapping, inspection, artificial intelligence and analytics solutions, as well as pilot training and related professional services.

The company serves markets such as public safety, agriculture, industrial inspection, surveying and mapping, logistics, humanitarian operations and environmental monitoring.