Sales and Market Expansion - Byrna Technologies reported that international sales represented 8.0% of revenue in fiscal year 2024, up from 6.8% in fiscal year 2023, indicating a growing interest in Byrna devices among foreign law enforcement customers [30]. - Byrna's marketing strategy includes engaging key influencers and utilizing targeted digital marketing tools, which has led to significant increases in orders and brand recognition [32]. - The company aims to position Byrna as a consumer lifestyle brand, leveraging its brand to expand product lines and increase sales from both new and existing customers [21]. Product Development and Innovation - The company introduced the Byrna LE in 2023, featuring a higher average muzzle velocity of 330 feet per second and an effective range of 60 feet, enhancing its product offerings [22]. - The company has developed a proprietary long-range less lethal projectile for 12-gauge shotguns, introduced in January 2023, showcasing its commitment to innovation [36]. - Byrna's product portfolio includes a range of .68 caliber projectiles, including Byrna Max and Byrna Pepper, designed for effective self-defense applications [27]. - The Byrna SD and LE devices are designed to provide a less-lethal alternative to firearms, with effective ranges significantly greater than traditional self-defense tools [22]. - Byrna Technologies has established the capability to manufacture projectiles in-house, improving quality and availability while reducing dependence on third-party suppliers [35]. Acquisitions and Intellectual Property - Byrna Technologies acquired Fox Labs International in May 2022, enabling continued sales to the law enforcement market while expanding its product line to include defensive pepper sprays [24]. - The company holds numerous issued utility and design patents, with several newly filed provisional patents currently being prosecuted [38]. - The company has acquired one patent and one trademark from Mission Less Lethal, two patents and four trademarks from Ballistipax Holdings Inc., and several trademarks from Fox Labs [38]. Manufacturing and Operations - The company operates two manufacturing facilities, one in Fort Wayne, Indiana, and another in Pretoria, South Africa, with sufficient capacity to meet production needs for at least the next two years [33]. - The manufacture and sale of the company's products are subject to extensive federal, state, and international regulations, which could adversely affect demand and operational costs [40]. - The company is required to maintain several Federal Firearms License (FFL) and Federal Explosive License (FEL) licenses to operate its 40mm products [40]. Competition and Market Challenges - The company faces competition from established manufacturers with strong brand recognition and significant financial resources, necessitating continuous innovation and brand awareness efforts [39]. Employee Relations and Compliance - As of November 30, 2024, the company employed 167 individuals, with no collective bargaining agreements in place and a good employee relations environment [45]. - The company has not experienced any material adverse effects from compliance with environmental laws and regulations [46]. Company History - The company was incorporated in Delaware in 2005 and changed its name to Byrna Technologies Inc. in 2020, with a history of acquisitions and dissolutions of subsidiaries [47].
Byrna Technologies (BYRN) - 2024 Q4 - Annual Report