Unknown Executive Hello. Thank you for joining Wrap's Fourth Quarter and Full Year 2024 Earnings Call. On the call today is CEO and Chairman, Scot Cohen; and President and COO, Jared Novick. Good afternoon, everyone. At this time, I want to remind you that certain statements and assumptions in this conference call contain or are based upon forward-looking information and are being made pursuant to the safe harbor provisions of the federal securities regulations. Such forward-looking statements are subject t ...

Wrap Technologies' Strategic Reset and Outlook MIAMI, March 31, 2025 (GLOBE NEWSWIRE) -- Wrap Technologies, Inc, (NASDAQ: WRAP) ("Wrap" or, the "Company"), a global leader in innovative public safety technologies and non-lethal tools, today announced financial and operating results for the fourth quarter and full year ended December 31, 2024. Q4 2024 Financial Results: 2024 Financial Results: Recent Operational Highlights: 2024 Management Commentary Summary: 2024 was a transformational year for Wrap. The Co ...

Product Development and Innovation - The company delivered the BolaWrap 150 in Q1 2022, which is more robust, smaller, lighter, and simpler to deploy than the phased-out BolaWrap 100[24]. - The company has focused on enhancing its products through significant research and development investments, aiming to introduce new products in the future[30]. - The company has 31 issued US patents related to the BolaWrap technology and five additional US patents pending, with a total of 84 issued domestic and international patents[100]. - The company is investing substantial funds in developing and commercializing the Wrap Reality product line, which is in the early stages of launch in a competitive 3D Virtual Reality training market[124]. - The company expects the BolaWrap product to be the primary source of revenue in 2025[181]. Market Potential and Sales Strategy - The global market for non-lethal products is projected to grow to $16.1 billion by 2027, indicating significant market potential for the company's offerings[25]. - The company anticipates that international sales will represent a significant portion of future sales due to centralized purchase decision-making in large national police forces[35]. - The commercialization strategy targets over 18,000 law enforcement agencies in the US and aims to reach the 100 largest police forces internationally, representing over 12 million police officers[83]. - The company generated approximately 2% of its revenue from international sales during the year ended December 31, 2024, with expectations for a significant portion of future sales to come from international orders[140]. Training and Development - The Wrap Reality training platform includes 45 scenarios for law enforcement and corrections, enhancing training capabilities for public safety personnel[27]. - The company has invested in training programs for law enforcement agencies, which began charging for training services in Q3 2022, contributing to revenue growth[67]. - The company has launched the Wrap Reality Virtual Training platform, which now offers 38 training scenarios for law enforcement, following the acquisition of NSENA Inc. in December 2020[56]. Financial Performance and Projections - The net loss for the years ended December 31, 2024, and 2023 was $5.9 million and $30.2 million, respectively, with a decrease in net losses in 2024 primarily due to non-cash other income of approximately $9.6 million[115]. - Research and development expenditures were approximately $2.3 million in 2024, equating to 52% of revenue, compared to $3.3 million or 53% of revenue in 2023[105]. - The company has a history of operating losses and expects additional losses until sufficient revenue offsets operating costs[115]. - The company anticipates that fluctuations in operating results may adversely affect stock price and investor confidence[192]. Supply Chain and Manufacturing - The company has implemented a more automated supply chain for the BolaWrap 150 to support increased production volume[53]. - The manufacturing facility was relocated to Virginia to improve scalability and address supply chain challenges, with expectations for improvement in supplier availability by 2025[86]. - Approximately 70% of the company's supply chain is from domestic US suppliers, indicating a reliance on third-party suppliers for key components[148]. - The company has experienced supply chain disruptions and lacks long-term supply agreements, which could significantly delay production and adversely affect revenue and profitability[149]. Competition and Market Risks - The company faces competition from established firms with greater resources, which may hinder its ability to respond to market changes and develop new products[125]. - The law enforcement market is highly competitive, with risks of reduced sales and pricing pressure from larger, better-capitalized competitors[165]. - The company is materially dependent on the acceptance of its products by law enforcement agencies, with potential revenue impacts if expectations are not met[127]. - Negative publicity and legal claims related to product use could harm the company's reputation and adversely affect sales[142]. Regulatory and Compliance Challenges - The company faces strict government regulations regarding its products, classified as firearms, which could adversely affect sales and operational capabilities[155]. - The regulatory framework for AI technologies is rapidly evolving, which may affect the company's operations and compliance requirements[173]. - The EU AI Act, effective from August 2, 2024, may require additional compliance measures and increase operational costs[177]. - The company may need to adjust its systems in response to varying regulations across jurisdictions, leading to potential resource expenditure[178]. Corporate Governance and Shareholder Matters - The company currently has only 48,762 authorized and unissued shares of common stock available for capital-raising transactions, which is insufficient for significant capital raising[191]. - The company must maintain a closing bid price of at least $1.00 and stockholders' equity of $2.5 million to avoid delisting from Nasdaq[199]. - The company has never declared dividends on its common stock and does not anticipate doing so in the foreseeable future[208]. - The company is subject to potential securities litigation, which could divert management attention and incur substantial costs[196]. Acquisitions and Strategic Growth - In August 2023, the company acquired Intrensic, expanding its addressable market and enhancing its technology offerings in digital evidence management and body-worn cameras[62]. - The Intrensic platform includes features such as secure cloud storage and AI-powered functionalities, including video redaction and transcription, enhancing the efficiency of digital evidence management[64]. - The company acquired software assets in November 2022, Intrensic in August 2023, and W1 Global in February 2025, but successful integration and realization of synergies remain uncertain[151]. Operational Challenges - The company plans to expand its sales and marketing capabilities, but rapid growth may strain resources and affect operational efficiency[141]. - Cybersecurity threats pose significant risks, potentially leading to operational disruptions and increased costs[168]. - Economic conditions, including inflation and geopolitical issues, may negatively impact the company's financial condition and share price, leading to increased difficulty in obtaining debt or equity financing[150].

Focus on Exporting "Made in USA" Public Safety Services, Counter China Initiatives and financing strategies through the U.S. EXIM Bank and the DOD Office of Strategic Capital MIAMI, March 25, 2025 (GLOBE NEWSWIRE) -- Wrap Technologies (NASDAQ: WRAP) (“Wrap” or, the “Company”), a global leader in innovative public safety technologies and non-lethal tools, today announced the appointment of Stephen M. Renna as a Strategic Advisor to the Company. Mr. Renna brings more than 35 years of executive experience in b ...

MIAMI, March 24, 2025 (GLOBE NEWSWIRE) -- Wrap Technologies, Inc. (NASDAQ: WRAP) (“Wrap” or, the “Company”) today announced it will hold a conference call on Monday, March 31, 2025 at 4:30 p.m. Eastern Time (1:30 p.m. Pacific Time) to discuss its financial and operational results for the fourth quarter and full year ended December 31, 2024. Wrap management will host the presentation, followed by a question-and-answer period. Interested parties may submit questions to the Company prior to the call at ir@wrap ...

Core Viewpoint - Wrap Technologies, Inc. has appointed Joseph R. Bonavolonta as Domestic Head of Managed Services, leveraging his extensive experience from the FBI to enhance the company's global law enforcement network and security capabilities [1][3]. Group 1: Leadership and Experience - Joseph R. Bonavolonta brings over 27 years of experience from the FBI, culminating as Special Agent in Charge of the Boston Field Office, where he oversaw significant criminal and national security investigations [2]. - His leadership roles included managing Joint Terrorism Task Forces and directing the New England Region's Domestic Director of National Intelligence Program [2][5]. - Prior to joining Wrap, he served as Managing Partner at a global security firm, providing strategic security solutions for multinational corporations and critical institutions [4]. Group 2: Strategic Goals and Impact - In his new role, Bonavolonta is expected to drive growth and deepen Wrap's global law enforcement network, enhancing the company's mission to provide innovative, non-lethal public safety solutions [3][6]. - His connections within the law enforcement community and international security networks are anticipated to solidify Wrap's global relationships, strengthening its impact in law enforcement and risk mitigation [6]. Group 3: Complementary Expertise - Bonavolonta's addition is expected to complement the expertise gained from Wrap's recent acquisition of W1 Global, LLC, enhancing the company's security, technology, and investigative capabilities [7]. - He joins James DeStefano, a retired FBI executive, to further bolster Wrap's ability to deliver comprehensive technology security solutions to law enforcement agencies and commercial clients [8]. Group 4: Company Overview and Solutions - Wrap Technologies, Inc. is recognized as a global leader in public safety solutions, combining advanced technology with skilled personnel to address modern public safety challenges [9]. - The company's BolaWrap solution offers a non-lethal method for compliance, used by over 1,000 agencies across the U.S. and in 60 countries, emphasizing its commitment to public safety through innovative technology [10]. - Wrap Reality™ VR serves as an immersive training simulator for first responders, enhancing decision-making under pressure with realistic scenarios [11]. - The Intrensic solution is an advanced body-worn camera and evidence management system designed for efficiency and transparency in law enforcement operations [12][13].

Core Viewpoint - Wrap Technologies, Inc. is poised to capitalize on U.S. government efficiency initiatives by consolidating public safety technology, delivering cost savings, and reforming training solutions under the leadership of newly appointed President and COO Jared Novick [1][5]. Company Developments - Jared Novick has been promoted to President and COO, with expectations to launch efficiency-driven public safety offerings for law enforcement and federal agencies [1]. - The company has relocated its manufacturing headquarters to Virginia, enhancing its pursuit of U.S. Federal government contracts [1]. - Wrap's recent acquisition of W1 Global, LLC positions the company to identify inefficiencies and optimize public safety strategies for federal agencies [5][9]. Strategic Focus - Wrap aims to provide integrated technology solutions to streamline operations and reduce costs for federal, state, and local governments [2][5]. - The company plans to leverage established public-private partnership frameworks to implement efficient training solutions and advanced technologies [5]. - Wrap is strategically focusing on building relationships in Washington, D.C. to enhance its federal business expansion [6]. Leadership and Expertise - Jared Novick brings extensive experience from his career in U.S. Intelligence Agencies and as a successful entrepreneur, uniquely positioning him to lead Wrap's growth in public safety technology [8][10]. - His investment in Wrap through an affiliated partnership demonstrates his commitment to the company's long-term vision [3][4]. Product Offerings - Wrap's BolaWrap solution provides a non-lethal method for law enforcement to gain compliance, used by over 1,000 agencies in the U.S. and 60 countries [13]. - The Wrap Reality™ VR training simulator enhances decision-making for first responders through realistic scenarios [14]. - The Intrensic body-worn camera system is designed for efficiency and compliance in evidence management [15][16].

TEMPE, Ariz., Feb. 24, 2025 (GLOBE NEWSWIRE) -- Wrap Technologies (NASDAQ: WRAP) (“Wrap” or, the “Company”) today announced it that it has executed a securities purchase agreement with certain investment partnerships affiliated with the Company and certain accredited and institutional investors in a private placement for the purchase and sale of (i) an aggregate of 3,216,666 shares of common stock of the Company, at a purchase price of $1.80 per share of common stock, and (ii) accompanying warrants to purch ...

This news follows: Wrap Unveils Managed Safety and Response (MSR) Connected Ecosystem in Virginia TEMPE, Ariz., Feb. 24, 2025 (GLOBE NEWSWIRE) -- Wrap Technologies (NASDAQ:WRAP) ("Wrap" or, the "Company") today announced it has completed the acquisition of W1 Global, LLC ("W1") a preeminent professional services and consulting firm led by an executive team of former high-ranking law enforcement and U.S. Intelligence Community professionals, with deep competencies in complex international criminal investigat ...

Core Viewpoint - Wrap Technologies has launched its Managed Safety and Response (MSR) Connected Ecosystem in Virginia, aiming to modernize law enforcement training and safety solutions, with support from Governor Glenn Youngkin and local public safety institutions [1][7]. Group 1: Product and Service Offerings - The MSR Connected Ecosystem integrates enhanced training, automated support systems, and a scalable platform to meet the needs of law enforcement agencies [2][3]. - The ecosystem includes AI-powered reporting for body-worn cameras, a Drone as First Responder (DFR) program, and comprehensive VR training expansion to improve officer training and operational effectiveness [6][11]. - Wrap's BolaWrap solution is designed to safely restrain individuals from a distance, aiming to reduce escalation and enhance officer safety [10]. Group 2: Strategic Vision and Commitment - The company is focused on addressing the challenges faced by law enforcement in adopting new technologies and ensuring officers receive adequate training and resources [4][5]. - Wrap aims to simplify the adoption of its technologies by providing a fully managed service that consolidates fragmented tools into a cohesive solution, thereby enhancing officer safety and effectiveness [4][5]. - The commitment to a TAA-compliant, non-Chinese supply chain for body cameras emphasizes the company's focus on secure and reliable technology for law enforcement [6]. Group 3: Market Position and Future Outlook - The relocation of Wrap's facility to Southwest Virginia aligns with the state's goal to leverage innovative technologies for public safety, setting a new standard in law enforcement practices [7]. - The MSR Connected Ecosystem is designed to reduce cognitive load for officers, transforming their operational capabilities in critical situations [8]. - Wrap Technologies is positioned as a leading provider of advanced public safety solutions, integrating modern technology to address contemporary challenges faced by public safety organizations [9].