Draganfly shares fell 10.4% after earnings, as investors focused on slightly lower revenue and sharply squeezed gross margin: Q3 revenue declined year over year, while gross margin was 6.3%. Management highlighted defense opportunities and certifications, but the transcript provides no quantified outlook to offset the weak quarter’s financial signals.
- Q3 revenue was CAD 2.05 million, a slight decrease from the prior year.
- Gross profit was CAD 128,000, with gross margin of 6.3%; management said margin was squeezed.
- Cash balance was over CAD 128 million.
- The company said Canada selected its low-cost tactical ISR drones for an order of up to 5,000 units, valued at CAD 25 million; the first 100 drones are to be delivered for training and testing, with subsequent orders dependent on demand.
- Draganfly received FAA 44807 clearance for its Heavy Lift drone to fly BVLOS over highways and people, and qualified in all five categories of Canada’s RFSA.
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