Draganfly Q2 Earnings Call Highlights

Draganfly Q2 Earnings Call Highlights Written by MarketBeat August 10, 2026

Key Points Q2 revenue rose 26% year over year to CAD 2.7 million , driven primarily by product sales, while adjusted gross margin declined to 21.7% because of product and service mix. The company’s comprehensive loss widened to CAD 11.8 million amid higher operating expenses. Draganfly ended June with CAD 131.9 million in cash and minimal debt , supported by its February financing. Sequentially, revenue increased 15.2% and adjusted gross margin improved from 19.6% to 21.7%. The company is expanding its public-safety and defense pipeline through an IACLEA campus program, rural-agency initiatives, a DEVCOM counter-drone contract, and the Skip Dynamix acquisition. Management also highlighted partnerships and products aimed at military, government and international markets, while noting that related revenue opportunities remain forward-looking.

Draganfly NASDAQ: DPRO reported second-quarter 2026 revenue of CAD 2.7 million, up 26% from CAD 2.1 million a year earlier, as higher product sales helped drive growth. The drone technology company said it recorded CAD 2.6 million in product sales during the quarter, while drone services accounted for the remaining approximately CAD 100,000. Gross profit totaled CAD 533,100, compared with CAD 504,000 in the second quarter of 2025. The latest quarter included a CAD 43,700 non-cash inventory write-down. Excluding that charge, adjusted gross profit would have been CAD 576,800, according to Chief Financial Officer Paul Sun. Adjusted gross margin was 21.7%, down from 24.3% in the prior-year period, which Sun attributed to differences in product and service mix.

Draganfly’s total comprehensive loss widened to CAD 11.8 million from CAD 4.7 million in the prior-year quarter. Sun said the increase primarily reflected higher office and administrative costs, research and development spending, share-based compensation, professional fees, travel and wages. The quarterly result also included an CAD 8,900 fair-value loss related to a derivative liability from a February 2024 financing.

Revenue rose 15.2% sequentially from CAD 2.3 million in the first quarter, again driven primarily by product sales. Reported gross margin improved to 20% from 15% in the first quarter. On an adjusted basis, excluding inventory-related non-cash items, gross margin was 21.7% in the second quarter, compared with 19.6% in the first quarter.

The company ended June with CAD 131.9 million in cash, up from CAD 90.2 million at the end of 2025 following a financing completed in February. Total assets increased to CAD 154 million from CAD 101.3 million at year-end, while working capital surplus rose to CAD 144 million from CAD 95.2 million. Shareholders’ equity was CAD 148.9 million at quarter-end, compared with CAD 96.6 million at the end of 2025. Sun said Draganfly continued to carry minimal debt.

Chief Executive Officer and President Cameron Chell said Draganfly signed an exclusive agreement with the International Association of Campus Law Enforcement Administrators, or IACLEA, to provide drone and counter-unmanned aircraft system training, as well as products, to the association’s member campuses. Chell described IACLEA as representing roughly 3,000 campuses. According to Chell, more than 50 campuses have indicated interest in the program. Draganfly plans to begin with three campuses in the next quarter, assess the deployments, and then add further groups in a measured rollout. He said...