Business
Red Cat Holdings Reports Financial Results for Fiscal Second Quarter 2024 and Provides Corporate Update
SAN JUAN, Puerto Rico, Dec. 15, 2023 (GLOBE NEWSWIRE) -- Red Cat Holdings, Inc. (Nasdaq: RCAT) (“Red Cat” or “Company”), a drone technology company
About this update from Red Cat Holdings, Inc.
[{"type":"text","content":"SAN JUAN, Puerto Rico, Dec. 15, 2023 (GLOBE NEWSWIRE) -- Red Cat Holdings, Inc. (Nasdaq: RCAT) (“Red Cat” or “Company”), a drone technology company integrating robotic hardware and software for military, government, and commercial operations, reports its financial results for the second quarter ended October 31, 2023 and provides a business update. Operating Highlights: Selected by U.S. Army as a finalist for its Short Range Reconnaissance (SRR) Tranche 2 Drone ProgramReceived orders for 344 drones with a total value of approximately $5.2 million from a U.S. federal government agencySecured contract with U.S. Customs and Border protection for 106 Teal 2 Drone systemsPartnered with aerospace engineering firm ES Aero to facilitate rapid completion of customer specific projectsRemote ID certification received from the Federal Aviation Administration (FAA)Teal 2 sUAS now available for purchase through federal government’s GSA AdvantageContinued global expansion with entry into Latin America Financial Highlights: Record revenues of almost $4 million for fiscal second quarter ending October 31, 2023, representing growth of more than 400% compared to the prior-year period and 125% on a sequential basisGross margin tripled sequentially to more than 30% in the second quarter of fiscal 2024 compared to 10% in the first quarter of fiscal 2024, driven by continued improvements in the manufacturing process, an increase in units shipped, and higher margins on the SRR prototype contractBacklog grew to $4.5 million at October 31, 2023 and $7.4 million in early December 2023Raised $9.2 million in gross proceeds from an equity offering “Our Q2 results exceeded our guidance by 30% and was the highest quarterly revenue in Company history due to our launch of the Teal 2 drone in April 2023,” commented Jeff Thompson, Chief Executive Officer. “This brand new system is now fully integrated with artificial intelligence and computer vision capabilities, including Athena AI, AeroVironment’s Tomahawk Kinesis, Reveal Technologies’s Farsight, and ATAK by PAR Government. This technology stack gives the frontline warfighter a feature-rich capability never seen on a rucksack portable drone. “We are extremely honored to be downselected by the U.S. Army as a finalist for the Short Range Reconnaissance (SRR) program of record. With the ongoing shift to small tacti...