Financial Data and Key Metrics Changes - Net revenue for Q4 2025 was $35.2 million, a 26% increase from $28 million in Q4 2024, driven by strong dealer and chain store performance [4] - For the full year 2025, net revenue totaled $118.1 million, up 38% from $85.8 million in 2024 [4] - Gross profit for Q4 2025 was $21.1 million, or 60% of net revenue, compared to $17.6 million, or 63% of net revenue for Q4 2024 [5] - Net income for Q4 2025 was $3.4 million, down from $9.7 million in Q4 2024, primarily due to a $5.6 million tax benefit in the prior year [9] - Adjusted EBITDA for Q4 2025 totaled $6 million, compared to $5 million in Q4 2024, bringing the full year adjusted EBITDA to $16.8 million, up from $11.5 million in the prior year [10] Business Line Data and Key Metrics Changes - Brick-and-mortar sales increased from $15.2 million in fiscal year 2024 to $31 million in fiscal year 2025, representing over 100% growth [13] - Chain store sales were a significant contributor, expanding from around 200 locations at the start of 2025 to approximately 900 by year-end [14] - International sales generated 66% growth from the prior year, while direct-to-consumer channels grew by 18.4% [22] Market Data and Key Metrics Changes - Byrna's brick-and-mortar dealers accounted for 26.7% of sales in 2025, up from 17.7% in 2024, indicating a strong growth segment [21] - Amazon.com sales grew by 46.9% year-over-year, now accounting for 28.6% of direct-to-consumer sales, up from 23.2% last year [23] Company Strategy and Development Direction - The company is transitioning from a direct-to-consumer model to a diversified multi-platform model, focusing on a broader audience through a nationwide dealer base [12] - Byrna plans to continue expanding its retail footprint, aiming for approximately 2,000 locations in 2026 [18] - The introduction of new products, including the Byrna Cam and modular launchers, is expected to enhance user experience and drive growth [36][70] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in continued strong top-line growth and expanding profitability in fiscal 2026, with expectations for gross margins to improve [37][41] - The company anticipates a favorable product mix and manufacturing efficiencies to contribute to margin expansion [41] - Byrna aims to maintain a growth rate and EBITDA margins that exceed the Rule of 40 threshold [39] Other Important Information - The company entered into a $20 million credit facility with Texas Capital Bank to support strategic growth initiatives [11] - Management is actively seeking strategic acquisition opportunities to further enhance product development and market reach [38] Q&A Session Summary Question: Insights on the new CL XL launcher and its margin profile - The CL XL will be priced at $579.99, with margins expected to be similar to the current CL, providing a strong value proposition for consumers [48][49] Question: Expectations for gross margin trends and revenue growth for 2026 - Gross margins are expected to grow incrementally throughout the year, aiming for a range of 63%-65% by the end of 2026 [60] - Revenue guidance was not provided, but the company expects to remain in growth mode [61] Question: Contribution of growth from existing and new retail partners - The company anticipates growth from both expanding existing relationships and onboarding new partners, with a focus on optimizing product and inventory support [76]

Financial Data and Key Metrics Changes - Net revenue for Q4 2025 was $35.2 million, a 26% increase from $28 million in Q4 2024, driven by strong dealer and chain store performance [4] - Full year 2025 net revenue totaled $118.1 million, up 38% from $85.8 million in 2024 [4] - Gross profit for Q4 2025 was $21.1 million, or 60% of net revenue, compared to $17.6 million, or 63% of net revenue for Q4 2024 [5] - Full year gross profit was $71.5 million, or 61% of net revenue, compared to $52.8 million, or 62% of net revenue in 2024 [6] - Net income for Q4 2025 was $3.4 million, down from $9.7 million in Q4 2024, primarily due to a $5.6 million tax benefit in the prior year [9] - Full year net income was $9.7 million, down from $12.8 million in 2024, but improved by $2.5 million when excluding the tax benefit [10] - Adjusted EBITDA for Q4 2025 totaled $6 million, compared to $5 million in Q4 2024, bringing full year adjusted EBITDA to $16.8 million, up from $11.5 million in 2024 [10] Business Line Data and Key Metrics Changes - Brick-and-mortar sales increased from $15.2 million in 2024 to $31 million in 2025, representing over 100% growth [13] - Chain store sales increased significantly, with show dealers up 20.9%, premier dealers up 40.4%, traditional dealers up 73.4%, and company-owned retail stores up 186.5% [14] - International sales showed strong momentum, generating 66% growth from the prior year [21] Market Data and Key Metrics Changes - DTC channels, including Byrna.com and Amazon.com, grew by 18.4% year-over-year, with Amazon growing at 46.9% [21][22] - Byrna's market presence expanded to over 1,500 retail locations, with expectations to grow to approximately 2,000 locations in 2026 [18] Company Strategy and Development Direction - The company transitioned from a direct-to-consumer model to a diversified multi-platform model, focusing on a broader audience through a nationwide dealer base [12] - Byrna plans to continue expanding its retail footprint and product offerings, including the introduction of the new Byrna CL XL and subscription-based products [32][36] - The company is exploring strategic acquisitions to support growth initiatives [37] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in continued strong top-line growth and profitability expansion in fiscal 2026, with expectations for improved gross margins [40][41] - The company anticipates a low point in inventory at the end of Q1 2026, followed by a ramp-up to support growth [11] - Management highlighted the growing acceptance of less lethal personal safety solutions and Byrna's position as a leader in this market [42] Other Important Information - Byrna implemented a price increase of 4%-5% as of February 1, 2026, to support margin improvement [7] - The company entered into a $20 million credit facility with Texas Capital Bank to support strategic growth initiatives [11] Q&A Session Summary Question: Can you provide insights on the new CL XL launcher and its margin profile? - The CL XL will be priced at $579.99, with margins expected to be similar to the current CL, providing a strong value proposition for consumers [49] Question: What are the expectations for gross margin trends and revenue growth in 2026? - Gross margins are expected to grow towards the 63%-65% range by the end of 2026, with continued revenue growth anticipated [62] Question: How does the company plan to handle the rollout of the camera product? - The camera will be developed with a third-party vendor and is expected to launch in late Q2 or early Q3 2026 [81]

Financial Data and Key Metrics Changes - Net revenue for Q3 2025 was $28.2 million, a 35% increase from $20.9 million in Q3 2024, driven by strong chain store and dealer sales [4][5] - Gross profit for Q3 2025 was $16.9 million, or 60% of net revenue, compared to $13 million, or 62% of net revenue for Q3 2024 [4][5] - Net income for Q3 2025 was $2.2 million, up from $1 million in Q3 2024, attributed to increased product sales [5] - Adjusted EBITDA totaled $3.7 million, up from $1.9 million for Q3 2024 [6] - Cash and cash equivalents totaled $9 million at August 31, 2025, down from $25.7 million at November 30, 2024, reflecting seasonal working capital timing [6] Business Line Data and Key Metrics Changes - The Byrna SD launcher accounts for about 50% of sales, while the Byrna Compact Launcher represents around 30% of sales [15] - Operating expenses for Q3 2025 were $14.1 million, compared to $12.2 million for Q3 2024, driven by increased selling expenses and marketing investments [5] Market Data and Key Metrics Changes - The company expanded its retail presence to over 1,000 stores nationwide, contributing to increased brand awareness and sales [11] - Average daily web sessions on Byrna.com increased from 33,000 to over 50,000, with September averaging 58,000 sessions per day [8][9] Company Strategy and Development Direction - The company is focusing on expanding its product offerings beyond less lethal weapons, integrating SOS alert capabilities with its launchers and sprays [17][19] - Plans to introduce a value-oriented 61-caliber launcher in 2026 to target budget-minded consumers [23] - The company aims to enhance its retail model and explore flagship markets for potential new stores [14] Management's Comments on Operating Environment and Future Outlook - Management expects full-year fiscal 2025 revenue growth to be between 35% and 40%, supported by strong sales momentum and holiday shopping [25] - The company anticipates that inventory levels will normalize after the peak season [7] - Management is optimistic about the potential for sustained multi-year growth, leveraging new advertising programs and expanded retail footprint [26] Other Important Information - The company has no current or long-term debt, and accounts receivable increased to $8.9 million, driven by higher dealer sales [6] - Inventory at August 31, 2025, totaled $34.1 million, reflecting strategic builds ahead of the holiday season [7] Q&A Session Summary Question: Thoughts on adding new influencers - The company has expanded its celebrity influencer campaign and is looking to bring on new brand ambassadors to reach a broader demographic [30] Question: Update on the lower price point unit - The next new launcher will be a value-oriented 61-caliber launcher, expected to launch next year, but the basic box configuration has not been as popular as anticipated [32] Question: ByrnaCare adoption status - ByrnaCare adoption is in line with expectations, with plans to enhance website integration for better sales [34] Question: Advertising campaign success and conversion rates - The company is seeing increased web traffic but acknowledges that conversion rates will take time to catch up [40][42] Question: Channel mix expectations for Q4 - Strong dealer and chain store sales are expected to continue, with DTC channels anticipated to be a higher percentage of overall sales [43] Question: Expense leverage in the model - The company expects to maintain expense leverage, although some additional marketing expenses will be incurred in Q4 [45] Question: Update on wholesale expansion - The company is focused on optimizing existing retail partnerships rather than aggressively expanding the number of stores [54][55] Question: Timeline for SOS alert technology - The connected safety platform is expected to be commercially available next year, with phased releases of various products [57]

Financial Data and Key Metrics Changes - Net revenue for Q3 2025 was $28.2 million, a 35% increase from $20.9 million in Q3 2024, driven by strong chain store and dealer sales [4][5] - Gross profit for Q3 2025 was $16.9 million, or 60% of net revenue, compared to $13 million, or 62% of net revenue for Q3 2024 [4][5] - Net income for Q3 2025 was $2.2 million, up from $1 million in Q3 2024, attributed to increased product sales [5] - Adjusted EBITDA totaled $3.7 million, up from $1.9 million in Q3 2024 [6] - Cash and cash equivalents at August 31, 2025, totaled $9 million, down from $25.7 million at November 30, 2024, reflecting seasonal working capital timing [6] Business Line Data and Key Metrics Changes - The sales mix shifted with the Compact Launcher accounting for around 30% of sales, while the SD launcher made up about 50% [15] - The company has seen strong dealer and international sales, contributing to gross margin performance [5][15] Market Data and Key Metrics Changes - The company expanded its retail presence to over 1,000 stores nationwide, including big-box partners and premier dealers [11] - Average daily sessions on Byrna.com increased from 33,000 to over 50,000, with September averaging 58,000 sessions per day [8][10] Company Strategy and Development Direction - The company is focusing on expanding its advertising initiatives and retail presence to drive sales growth [8][23] - Plans to integrate SOS alert technology with Byrna's products to enhance customer safety and create recurring revenue streams [20][21] - The mission statement has been modified to reflect a broader focus on providing safe, reliable, and effective less lethal alternatives to traditional firearms [16] Management's Comments on Operating Environment and Future Outlook - Management expects full-year fiscal 2025 revenue growth to be between 35% and 40%, supported by strong sales momentum and holiday shopping season [23][24] - The company anticipates continued improvement in conversion rates as web traffic increases, although it may take time to return to historical averages [40][41] Other Important Information - The company has no current or long-term debt, and accounts receivable increased significantly due to higher dealer sales [6][7] - Inventory at August 31, 2025, totaled $34.1 million, reflecting strategic builds ahead of the holiday season [7] Q&A Session Summary Question: Thoughts on adding new influencers - The company has expanded its celebrity influencer campaign and is looking to bring on new brand ambassadors to reach a broader customer demographic [28][29] Question: Update on new product launches - The next new launcher will be a 61-caliber launcher expected next year, while the basic box configuration has not been as popular as anticipated [32] Question: ByrnaCare adoption status - ByrnaCare adoption is in line with expectations, with plans to enhance website integration for better customer engagement [34] Question: Advertising campaign success and conversion rates - The company is seeing increased web traffic but is cautious about conversion rates, which typically take time to improve [40][41] Question: Wholesale expansion and retail footprint - The company plans to maintain its current retail footprint while focusing on enhancing existing partnerships and store performance [53][54]