Dragonfly Energy Holdings Corp., maker of Battle Born Batteries, reported its financial and operational results for the third quarter ended Sept. 30.
Third quarter 2024 financial highlights:
- Net Sales were $12.7 million, compared to $15.9 million in Q3 2023
- Gross Profit was $2.9 million, compared to $4.6 million in Q3 2023
- Operating Expenses were $(8.9) million, compared to $(10.5) million in Q3 2023
- Net Loss of $(6.8) million, compared to Net Loss of $(10.0) million in Q3 2023
- Diluted Net Loss per share was $(0.11), compared to Net Loss of $(0.17) per share in Q3 2023
- EBITDA was $(0.8) million, compared to $(5.7) million in Q3 2023
- Adjusted EBITDA was $(5.5) million, compared to $(4.6) million in Q3 2023
Operational and business highlights:
- Completed a pilot demonstration of methane reduction power solutions for the oil and gas industry.
- Launched Dragonfly IntelLigence smart battery technology for the heavy-duty trucking industry, providing real-time system monitoring and app-based connectivity for fleets and drivers.
- Dragonfly Energy’s Battle Born Batteries are now available through Keystone Automotive Operations.
“We remain committed to advancing lithium-ion battery innovation despite challenging economic conditions,” said Denis Phares, CEO of Dragonfly Energy. “Our strategic expansion into the heavy-duty trucking and oil & gas industries, paired with advancements like our Dragonfly IntelLigence technology, showcase our resilience and vision. We believe these efforts are building a strong foundation for long-term growth, enabling us to diversify and strengthen partnerships while positioning us for future success.”
Third quarter 2024 Net Sales were $12.7 million, compared to $15.9 million in the third quarter of 2023. This decrease was primarily due to lower direct-to-consumers (DTC) battery sales offset by higher original equipment manufacturers’ battery and accessory, sales and licensing revenue.
The company had a Net Loss of $6.8 million, or $0.11 per diluted share in the third quarter of 2024, compared to Net Loss of $10 million or $0.17 per diluted share in the third quarter of 2023. This result was driven by lower sales partially offset by lower cost of goods sold, lower operating expenses and a decrease in other income (due to the change in fair market value of the company’s warrant liability).
EBITDA in the third quarter of 2024 was $0.8 million, compared to $5.7 million in the third quarter of 2023.
The company said it believes that the RV market continues to recover, though at a slower pace than previously anticipated. The company believes its entry into the heavy-duty trucking market has been successful, and the company has seen growth in the customer base, though conversion into purchase orders has lagged timeline expectations.