Draganfly Inc. is a global provider specializing in the design, production, and distribution of commercial unmanned aerial vehicle (UAV) systems. Their product ...
Draganfly Inc. (NASDAQ: DPRO) designs, produces, and distributes commercial UAV systems and related solutions for customers that require dependable aerial data capture, live streaming, and workflow-ready analytics. The company operates across the full “systems” stack described in its business overview: it builds aerial platforms (including multi-rotor drones and fixed-wing aircraft), ...Draganfly Inc. (NASDAQ: DPRO) designs, produces, and distributes commercial UAV systems and related solutions for customers that require dependable aerial data capture, live streaming, and workflow-ready analytics. The company operates across the full “systems” stack described in its business overview: it builds aerial platforms (including multi-rotor drones and fixed-wing aircraft), develops ground-based robotic solutions, and provides handheld control units. A key differentiator is its proprietary software layer, which supports functions such as asset tracking, real-time video streaming, pilot training workflows, and data acquisition used by operational teams.
From a product and services perspective, Draganfly sells more than aircraft hardware. The company also provides bespoke engineering solutions tailored to customer requirements (e.g., specific mission payloads and operational environments). It additionally supports training programs including flight instruction, and consultation for simulations—helpful for organizations that need to operationalize drones safely and consistently. The company also offers wireless video transmission systems, which are central to many public safety and industrial inspection deployments because they influence latency, reliability, and usability in the field.
Business-wise, Draganfly’s go-to-market is oriented to sectors where UAVs are used operationally rather than only as consumer or hobby devices. The described end markets include emergency services, agricultural operations, industrial facility inspections, security applications, and geospatial mapping and surveying. These environments generally value repeatability (standardized systems), operational support (training, simulation, engineering), and data integrity (software for acquisition, streaming, and tracking).
Cost/BOM considerations for a UAV integrator like Draganfly typically include aircraft and propulsion components, onboard sensing/optics, wireless video and communications modules, controller hardware, and the engineering effort required to integrate mission software with customer workflows. While specific BOM line-items are not provided in the supplied sources, the company’s stated portfolio implies a multi-layer cost structure: (1) hardware manufacturing and supply of drone subsystems, (2) software development and ongoing updates for tracking/streaming/training/data acquisition, and (3) services delivery costs such as training, consultation, and custom engineering.
Financially, the provided FMP snapshot indicates negative profitability metrics on a trailing-twelve-month basis (e.g., negative operating and net profit margins), which is consistent with early-to-growth stage dynamics, hardware/software R&D intensity, and the higher fixed costs often associated with building and supporting specialized systems. The same dataset also reflects significant working-capital and cash-conversion dynamics typical of hardware and project-based delivery cycles.
Key people include CEO and President Cameron Chell, alongside senior leadership such as COO Paul Mullen, CFO Paul Sun, and Chief Legal Officer Deborah R. Greenberg. Draganfly was founded in 1998 and introduced its first commercialized systems in 1999, positioning it as an early mover in commercial multi-rotor UAVs.
Overall, Draganfly’s “wishes” for product success—implied by its offerings—are to deepen recurring adoption through (a) improved reliability and performance of its UAV systems, (b) stronger software capabilities that reduce operational friction for customers, and (c) expanded integration, training, and engineering services that turn hardware deployments into long-term mission programs.
YoYYoY means Year-over-Year. It compares the latest annual value with the previous annual value to show long-term trend strength.
QoQQoQ means Quarter-over-Quarter. It compares the latest quarter with the immediately previous quarter to show short-term momentum changes.
RevenueThe total money that came through the front door from selling things, before paying a single bill. Think of it as the grand total of every credit card swipe from customers. (YoY compares this year to last year's performance, while QoQ compares the current three months to the previous three).
$7.7M
+17.8%
+15.3%
Net IncomeThe absolute bottom line. If the company paid every single supplier, employee, banker, and tax collector, this is the actual money left in their pocket at the end of the day.
$-23.0M
-65.6%
-113.9%
Gross MarginThe basic markup. If they sell a $100 pair of sneakers, this percentage tells you how much of that price tag is profit right after paying for the rubber and shoelaces, but before paying for things like store rent or TV commercials.
+17.1%
-19.8%
-2.8%
Operating MarginThe 'day job' efficiency score. Out of every dollar a customer spends, this shows how many cents the company keeps after making the product AND paying for all the everyday corporate overhead (like salaries, marketing, and keeping the lights on).
-268.9%
-19.7%
-76.9%
Net MarginThe final take-home percentage. When you strip away every conceivable cost, tax, and interest payment, this is the exact number of cents the company truly gets to keep from every dollar in sales.
-297.3%
-40.5%
-85.5%
Free Cash FlowThe holy grail of corporate cash. It's the spendable, physical money left over after the business pays for its daily operations AND buys the big, expensive upgrades (like new factories or servers) it needs to survive. This is the 'free' money they can use to pay dividends or buy back stock.
$-24.8M
-106.5%
-61.6%
FCF MarginThe ultimate cash conversion rate. It shows how good the company is at turning regular sales directly into cold, hard, spendable cash. A high percentage means the business is an absolute cash-printing machine.
-320.5%
-75.2%
-40.2%
Debt / EquityThe financial risk gauge. It compares how much of the company's empire was built using borrowed money (loans) versus the owners' own money (shareholders). A high number means they are heavily leveraged and playing a riskier game; a low number means they are playing it safe.
0.3%
-96.9%
+1.7%
Current RatioThe 12-month survival check. It simply compares the cash they have right now (plus things they can quickly turn into cash) against the immediate bills they absolutely must pay this year. A score above 1 means they have enough in the wallet to cover the upcoming bills without panicking.
21.63x
+1147.1%
-3.3%
Total AssetsThe absolute size of the company's empire. It bundles together absolutely everything of value they own—from the cash in the register and the inventory in the warehouse, to the software patents in the vault and the factories on the ground.
Rolly Bustos: Hi, everybody. Welcome to our Q2 2026 earnings call. We'll just give this a minute. We just started it, but just letting people file in the room, and then we'll get started. Thank you. All right. I think to be respectful of everyone's time, we will get started just as people are still starting to file in. So as always, welcome and greetings to all the shareholders and stakeholders who always tend to join us on these calls. This time is the Draganfly 2026 Q2 Earnings Call. My name is Rolly Bustos. I'm the Internal Investor Relations rep here at Draganfly. We appreciate you all joining us as always. We'll start with our CEO and President, Cameron Chell. He'll be talking about and recapping the second quarter. Next up will be a detailed financial review with our CFO, Paul Sun. We'll then conclude by addressing the presubmitted questions we've received. As always, you're welcome to reach out to me directly at investor.relations@draganfly.com, if we didn't get to your question today. I remind everyone that this presentation may include forward-looking information and statements. These statements are not guarantees of future performance or financial results and undue reliance should not be placed on them. Any future events or financial results may differ from what might be discussed here. The company's results and statements are accurate as of today, August 10, 2026. We are under no obligation to update or renew these statements outside of material press release disclosure going forward. The full forward-looking disclaimer can be found on Page 2 of this presentation and on the screen right now. Cam, if you're ready, please go ahead.
Cameron Chell: Sounds great. Thanks Rolly. Sure appreciate it and appreciate everybody taking the time to afford us the opportunity to update our earnings call for this last quarter. So the net-net here is that Draganfly, we had a record quarter in our second quarter and we're really very pleased with the progress that we are moving forward with. It's super pragmatic. I understand that it's a very pragmatic approach compared to maybe, say, a number of other comps out in the industry, but we're super pleased with where we've ended up and what the pipeline looks like going forward. So our revenue was $2.664 million. That's a year-over-year increase of 26% with gross profit of $533,000 plus. We have a current cash balance of $131 million, and we did just over $2.5 million of product sales. Some of the highlights from the last quarter included IACLEA which is the International Association of Campus Law Enforcement Association or Officials/Professionals (sic) [ Administrators ]. This is a 3,000-strong campus association, and they signed an exclusive deal with Draganfly to provide their association members -- the 3,000 campuses that are a part of this -- with the training for drones and counter-drones on their campuses. It also includes product and they went through what I would call a pretty exhaustive series of …