Dragonfly Energy Reports Second Quarter 2025 Results

Core Insights - Dragonfly Energy Holdings Corp. reported a strong second quarter with net sales increasing by 23% year-over-year, driven by a 50.6% growth in OEM sales despite economic uncertainties [2][4][6] - The company is focused on optimizing its operations and strengthening its balance sheet, which includes the recent exchange of preferred shares and a public offering to enhance financial flexibility [2][5][9] - For the third quarter, the company anticipates net sales of approximately $15.9 million, representing a projected 25% year-over-year increase [9][10] Financial Highlights - Net sales for the second quarter of 2025 were $16.2 million, compared to $13.2 million in the prior year, marking a 23% increase [4][6] - OEM sales reached $10.1 million, up from $6.7 million, while DTC sales decreased by 9% to $5.9 million due to macroeconomic pressures [4][6] - Gross profit increased by 45.4% to $4.6 million, with a gross margin expansion of 430 basis points to 28.3% [5][6] - Operating expenses decreased to $7.9 million from $9.9 million, primarily due to lower R&D costs [5][6] Loss and Adjusted EBITDA - The company reported a net loss of $(7.0) million, an improvement from a net loss of $(13.6) million in the previous year [7][28] - Adjusted EBITDA was $(2.2) million, compared to $(6.2) million in the prior year, indicating improved operational performance [6][7] Strategic Outlook - The company emphasizes the effectiveness of its strategic initiatives and the sustained market demand for its energy storage solutions [9] - Dragonfly Energy is well-positioned for continued growth, supported by deepening customer relationships and operational efficiency [9]