Palladyne AI Corporation (PDYN)

Palladyne AI Announces Employee Equity AwardsMay 22, 2026 4:05 PM
Business Wire Palladyne AI Corp. (Nasdaq: PDYN and PDYNW) (“Palladyne AI”), a U.S.-based defense and industrial technology company delivering embodied AI-powered collaborative autonomy solutions, advanced avionics, precision-manufactured components, UAVs, and advanced aerospace engineering services, today announced that effective May 20, 2026, the Compensation Committee of Palladyne AI’s Board of Directors approved the grant of, in the aggregate, 91,528 restricted stock units, or RSUs, as material inducements to three employees entering into employment with a subsidiary of Palladyne AI (the “New Hire Awards”). The New Hire Awards were made under Palladyne AI’s 2024 Inducement Equity Incentive Plan (the “2024 Inducement Plan”). Each of the New Hire Awards was granted as an inducement material to the employee's commencement of employment with a subsidiary of Palladyne AI pursuant to Nasdaq Listing Rule 5635(c)(4). All of the New Hire Awards will vest as to 25% of the RSUs on the one-year anniversary of the grant date and as to 1/12 of the remaining RSUs on each of May 20, August 20, November 20, and March 10 of the succeeding three years, subject to the recipient continuing to be a service provider to Palladyne AI or one of its subsidiaries. Each New Hire Award is subject to the terms and conditions of the 2024 Inducement Plan and the grant agreements covering the awards. Palladyne AI grants equity awards to certain of its employees to better align their interests with those of our stockholders, as a meaningful retention incentive and as a means of reducing cash used in compensation expense. About Palladyne AI Corp. Palladyne AI is a U.S.-based technology company developing patented embodied artificial intelligence, collaborative autonomy solutions, advanced avionics, autonomous systems, advanced UAV engineering services, and precision-manufactured components for defense and industrial markets. Palladyne AI delivers secure, American-developed and operated platforms designed to meet the stringent requirements of U.S. government and public-sector customers, including data sovereignty, security, and compliance. Palladyne AI’s embodied AI is designed to operate in complex, contested, and high-risk environments, enabling distributed tasking, human-on-the-loop decision-making, degraded-communications resilience, and multi-domain coordination. Its platform-agnostic autonomy stack combines real-time sensor fusion, adaptive AI models, and edge-native orchestration - without vendor lock-in - to support autonomous and collaborative systems across air, ground, maritime, and industrial domains where performance, resilience, and trust are paramount. For more information about Palladyne AI, including GuideTech and Palladyne Defense, please visit www.palladyneai.com/. Forward-Looking Statements This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, including statements regarding the capabilities or future capabilities of Palladyne AI’s products and services; and retention and compensation expense strategies. Forward-looking statements are inherently subject to risks, uncertainties, and assumptions. Generally, statements that are not historical facts, including statements concerning possible or assumed future actions, business strategies, events, or results of operations, are forward-looking statements. These statements may be preceded by, followed by, or include the words “believes,” “estimates,” “expects,” “projects,” “forecasts,” “may,” “will,” “should,” “seeks,” “plans,” “scheduled,” “anticipates,” “intends” or “continue” or similar expressions. Such forward-looking statements involve risks and uncertainties that may cause actual events, results, or performance to differ materially from those indicated by such statements. These forward-looking statements are based on Palladyne AI’s management’s current expectations and beliefs, as well as a number of assumptions concerning future events. However, there can be no assurance that the events, results, or trends identified in these forward-looking statements will occur or be achieved. Forward-looking statements speak only as of the date they are made, and Palladyne AI is not under any obligation and expressly disclaims any obligation to update, alter or otherwise revise any forward-looking statement, whether as a result of new information, future events, or otherwise, except as required by law. Readers should carefully review the statements set forth in the reports which Palladyne AI has filed or will file from time to time with the Securities and Exchange Commission (the “SEC”), in particular the risks and uncertainties set forth in the sections of those reports entitled “Risk Factors” and “Cautionary Note Regarding Forward-Looking Statements,” for a description of risks facing Palladyne AI and that could cause actual events, results or performance to differ from those indicated in the forward-looking statements contained herein. The documents filed by Palladyne AI with the SEC may be obtained free of charge at the SEC’s website at www.sec.gov. View source version on businesswire.com: https://www.businesswire.com/news/home/20260522964763/en/ Palladyne AI Investor Contact:
Brian S. Siegel, IRC®, M.B.A.
Senior Managing Director
Hayden IR - Chicago
(346) 396-8696 (o)
brian@haydenir.com
IR@palladyneai.com Palladyne AI Press Contact:
Heath Meyer
(858) 768-1527
PR@palladyneai.com Original: Palladyne AI Announces Employee Equity Awards

Palladyne AI Secures Additional Foundational Swarming U.S. Patent on AI-Driven Path Creation, Target Detection, and Behavioral PredictionApril 6, 2026 7:00 AM
Business Wire
Second Patent in Four Months Strengthens IP Protection Across Autonomous Robotics, Multi-Sensor Surveillance, and Intelligent Edge Computing Markets


Palladyne AI (NASDAQ: PDYN), a U.S.-based defense and industrial technology company commercializing embedded AI, collaborative autonomy, and advanced avionics for defense markets, today announced the issuance of U.S. Patent 12,517,525 B1, titled “Path Creation, Detection and Prediction Using Primitives,” protecting its proprietary Bayesian Program Learning (BPL) framework for intelligent target recognition, autonomous path planning, and real-time behavioral prediction across multiple types of sensors deployed across multi-domain environments (space, air, land, and maritime).


"We believe our patented BPL framework does three things no conventional AI system can match at the edge: it recognizes targets across multiple sensor types without the cloud, it turns a spoken instruction into an optimized robotic motion plan in seconds, and it keeps tracking even when the signal goes dark,” said Denis Garagic, CTO, Co-Founder, and Named Inventor, Palladyne AI.


This patent represents a significant expansion of Palladyne AI’s intellectual property portfolio and strengthens its competitive position across high-value commercial and defense markets covering three distinct capability domains:



Target Recognition: Detects, classifies, and tracks moving targets across EO, IR, LiDAR, radar, acoustic, and RF sensors: fully on-device, without cloud connectivity.



Autonomous Path Planning: Converts natural-language commands into optimized motion plans without manual reprogramming which accelerates deployment and reduces task changeover time from hours to minutes in manufacturing, logistics, and field operations.



Behavioral Prediction & Track Continuity: Predicts target behavior even through sensor dropout, occlusion, or jamming which enables persistent tracking in communications-denied and degraded environments.



“This patent is a direct expression of the long-term value we are building at Palladyne AI,” said Ben Wolff, President and CEO, Palladyne AI. “Our framework is not incremental, it is a fundamentally different approach to machine intelligence. We believe this IP is revolutionary and will compound in value as autonomous systems become central to both defense and industrial customers as they accelerate adoption of trusted, edge-native autonomy.”


For more information on Palladyne AI and its patented technology, please visit https://www.palladyneai.com.


About Palladyne AI


Palladyne AI is a U.S.-based technology company developing patented embodied artificial intelligence, collaborative autonomy solutions, advanced avionics, autonomous systems, advanced UAV engineering services, and precision-manufactured components for defense and industrial markets. Palladyne AI delivers secure, American-developed and operated platforms designed to meet the stringent requirements of U.S. government and public-sector customers, including data sovereignty, security, and compliance.


Palladyne AI’s embodied AI is designed to operate in complex, contested, and high-risk environments, enabling distributed tasking, human-on-the-loop decision-making, degraded-communications resilience, and multi-domain coordination. Its platform-agnostic autonomy stack combines real-time sensor fusion, adaptive AI models, and edge-native orchestration to support autonomous and collaborative systems across air, ground, maritime, and industrial domains where performance, resilience, and trust are paramount. For more information about Palladyne AI, including GuideTech and Palladyne Defense, please visit www.palladyneai.com.


Forward-Looking Statements


This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, including statements regarding the impact the patent will have on the company’s competitive position and long-term value, the long-term value of the patent and the related intellectual property and the IP protection afforded by the patent. Generally, statements that are not historical facts, including statements concerning possible or assumed future actions, business strategies, events, or results of operations, are forward-looking statements. These statements may be preceded by, followed by, or include the words “believes,” “estimates,” “expects,” “projects,” “forecasts,” “may,” “will,” “should,” “seeks,” “plans,” “scheduled,” “anticipates,” “intends” or “continue” or similar expressions. Such forward-looking statements involve risks and uncertainties that may cause actual events, results, or performance to differ materially from those indicated by such statements. These forward-looking statements are based on Palladyne AI’s management’s current expectations and beliefs, as well as a number of assumptions concerning future events. However, there can be no assurance that the events, results, or trends identified in these forward-looking statements will occur or be achieved. Forward-looking statements speak only as of the date they are made, and Palladyne AI is not under any obligation and expressly disclaims any obligation, to update, alter or otherwise revise any forward-looking statement, whether as a result of new information, future events, or otherwise, except as required by law.


Readers should carefully review the statements set forth in the reports which Palladyne AI has filed or will file from time to time with the Securities and Exchange Commission (the “SEC”), in particular the risks and uncertainties set forth in the sections of those reports entitled “Risk Factors” and “Cautionary Note Regarding Forward-Looking Statements,” for a description of risks facing Palladyne AI and that could cause actual events, results or performance to differ from those indicated in the forward-looking statements contained herein. The documents filed by Palladyne AI with the SEC may be obtained free of charge at the SEC’s website at www.sec.gov.

View source version on businesswire.com: https://www.businesswire.com/news/home/20260406135212/en/
Palladyne AI Investor Contact:

Brian S. Siegel, IRC®, M.B.A.

Senior Managing Director

Hayden IR - Chicago

(346) 396-8696 (o)

brian@haydenir.com

IR@palladyneai.com


Palladyne AI Press Contact:

Heath Meyer

(858) 768-1527

PR@palladyneai.com


Original: Palladyne AI Secures Additional Foundational Swarming U.S. Patent on AI-Driven Path Creation, Target Detection, and Behavioral Prediction

Palladyne AI shares jump 13% after Navy awards missile development contractMarch 18, 2026 7:15 AM
IH Market News
Shares of Palladyne AI Corp. (NASDAQ:PDYN) surged about 13% on Wednesday morning after the company announced that its subsidiary GuideTech had secured a contract from the U.S. Navy to develop a new air-launched missile system.The project involves the development of the Air-Launched Rapid Response Missile (ALRRM), a long-range weapon designed to achieve near-hypersonic speeds while remaining significantly cheaper than other air-breathing hypersonic missiles, the company said.According to Palladyne AI, the ALRRM is engineered to travel more than 350 nautical miles at high altitude while sustaining cruise speeds above Mach 4.0. The system will carry a 150-pound warhead and use an air-breathing solid-fuel ramjet propulsion system. The missile is also being designed to meet specific size and weight requirements set by the military.“The 2025 National Security Strategy explicitly states that the U.S. must build ’next-generation missiles with a clear and urgent need for cost-effective, high-performance strike capabilities’ for the U.S. military,” said Ben Wolff, President and CEO of Palladyne AI. “As identified by the U.S. Navy and evidenced by our recently awarded contract, the ALRRM system is designed to address this need — delivering near hypersonic speed and range at a fraction of the cost.”The company did not provide details about the financial value of the Navy contract.Palladyne AI stock price

Original: Palladyne AI shares jump 13% after Navy awards missile development contract

Palladyne AI Announces Employee Equity AwardsMarch 13, 2026 4:01 PM
Business Wire
Palladyne AI Corp. (Nasdaq: PDYN and PDYNW) (“Palladyne AI”), a U.S.-based defense and industrial technology company delivering embodied artificial intelligence software and autonomy solutions, today announced that effective March 10, 2026, the Compensation Committee of Palladyne AI’s Board of Directors approved the grant of, in the aggregate, 107,932 restricted stock units, or RSUs, as material inducements to seven employees entering into employment with a subsidiary of Palladyne AI (the “New Hire Awards”).


The New Hire Awards were made under Palladyne AI’s 2024 Inducement Equity Incentive Plan (the “2024 Inducement Plan”). Each of the New Hire Awards was granted as an inducement material to the employee's commencement of employment with a subsidiary of Palladyne AI pursuant to Nasdaq Listing Rule 5635(c)(4). Six of the New Hire Awards will vest as to 25% of the RSUs on the one-year anniversary of the grant date and as to 1/12 of the remaining RSUs on each of May 20, August 20, November 20, and March 10 of the succeeding three years, subject to the recipient continuing to be a service provider to Palladyne AI or one of its subsidiaries. One of the New Hire Awards will vest as to 25% of the RSUs on November 20, 2026 and as to 1/12 of the remaining RSUs on each of March 10, May 20, April 20, and November 20 of the succeeding three years, subject to the recipient continuing to be a service provider to Palladyne AI or one of its subsidiaries. Each New Hire Award is subject to the terms and conditions of the 2024 Inducement Plan and the grant agreements covering the awards.


The Company grants equity awards to certain of its employees to better align their interests with those of our stockholders, as a meaningful retention incentive and as a means of reducing cash used in compensation expense.


About Palladyne AI Corp.


Palladyne AI Corp. (Nasdaq: PDYN) is a U.S.-based technology company developing patented embodied artificial intelligence, collaborative autonomy solutions, advanced avionics, autonomous systems, advanced UAV engineering services, and precision-manufactured components for defense and industrial markets. Palladyne AI delivers secure, American-developed and operated platforms designed to meet the stringent requirements of U.S. government and public-sector customers, including data sovereignty, security, and compliance.


Palladyne AI’s embodied AI is designed to operate in complex, contested, and high-risk environments, enabling distributed tasking, human-on-the-loop decision-making, degraded-communications resilience, and multi-domain coordination. Its platform-agnostic autonomy stack combines real-time sensor fusion, adaptive AI models, and edge-native orchestration—without vendor lock-in—to support autonomous and collaborative systems across air, ground, maritime, and industrial domains where performance, resilience, and trust are paramount. For more information about Palladyne AI, including GuideTech and Palladyne Defense, please visit www.palladyneai.com.


Forward-Looking Statements


This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, including statements regarding the capabilities or future capabilities of the Company’s AI/ML foundational technology and related software products; the benefits of the software and the industries that could benefit from it; and the applicability of the software to different kinds of machines (such as UAVs, UGVs and ROVs). Forward-looking statements are inherently subject to risks, uncertainties, and assumptions. Generally, statements that are not historical facts, including statements concerning possible or assumed future actions, business strategies, events, or results of operations, are forward-looking statements. These statements may be preceded by, followed by, or include the words “believes,” “estimates,” “expects,” “projects,” “forecasts,” “may,” “will,” “should,” “seeks,” “plans,” “scheduled,” “anticipates,” “intends” or “continue” or similar expressions. Such forward-looking statements involve risks and uncertainties that may cause actual events, results, or performance to differ materially from those indicated by such statements. These forward-looking statements are based on Palladyne AI’s management’s current expectations and beliefs, as well as a number of assumptions concerning future events. However, there can be no assurance that the events, results, or trends identified in these forward-looking statements will occur or be achieved. Forward-looking statements speak only as of the date they are made, and Palladyne AI is not under any obligation and expressly disclaims any obligation, to update, alter or otherwise revise any forward-looking statement, whether as a result of new information, future events, or otherwise, except as required by law.


Readers should carefully review the statements set forth in the reports which Palladyne AI has filed or will file from time to time with the Securities and Exchange Commission (the “SEC”), in particular the risks and uncertainties set forth in the sections of those reports entitled “Risk Factors” and “Cautionary Note Regarding Forward-Looking Statements,” for a description of risks facing Palladyne AI and that could cause actual events, results or performance to differ from those indicated in the forward-looking statements contained herein. The documents filed by Palladyne AI with the SEC may be obtained free of charge at the SEC’s website at www.sec.gov.

View source version on businesswire.com: https://www.businesswire.com/news/home/20260313732506/en/
Palladyne AI Investor Contact:

Brian S. Siegel, IRC®, M.B.A.

Senior Managing Director

Hayden IR - Chicago

(346) 396-8696 (o)

brian@haydenir.com

IR@palladyneai.com
Palladyne AI Press Contact:

Heath Meyer

(858) 768-1527

PR@palladyneai.com


Original: Palladyne AI Announces Employee Equity Awards

this is just the start...

Palladyne AI highlights transformational 2025 as acquisitions boost backlogMarch 5, 2026 9:59 AM
IH Market News
Palladyne AI Corp (NASDAQ:PDYN) reported fourth-quarter and full-year 2025 results, pointing to a year of strategic transformation driven by acquisitions and expansion into defense and aerospace technologies.The company said its purchases of GuideTech, Warnke Precision Machining and MKR Fabricators in November 2025, alongside the launch of Palladyne Defense, marked a shift from a pure autonomy software developer to a broader defense and industrial technology platform. The group now spans advanced avionics, UAV and missile systems, engineering services and precision manufacturing, while also expanding into space-related projects with the Air Force Research Laboratory and Portal Space Systems.Fourth-quarter revenue rose 118% year over year to $1.7 million, although the operating loss widened to $9.3 million. For the full year, revenue declined 33% to $5.2 million, while operating loss reached $32.4 million, even as the company reported GAAP net income due to non-operational items.Operationally, Palladyne AI released Palladyne IQ 2.0 and secured its first commercial customer. The company also demonstrated autonomous swarming capabilities between its Gremlin-X UAV platform and systems from Red Cat Holdings, and signed a missile propulsion subsystem contract with a new defense prime.Backlog reached $13.5 million by the end of 2025 and rose to nearly $18 million by mid-February 2026. The company reiterated its 2026 revenue guidance of $24 million to $27 million, citing stronger visibility across air and space defense programs.During the year, Palladyne AI also appointed a new President of Commercial and Industrial operations, progressed development of its Gremlin-X mini-bomber and new BRAIN platform variants, and secured a new patent alongside multiple applications tied to decentralized autonomy and swarming technologies.More about Palladyne AI CorpPalladyne AI develops embodied AI and collaborative autonomy technologies for defense and industrial applications. Its systems combine sensor fusion, adaptive AI models and edge computing to enable distributed operations across air, ground, maritime and industrial environments.Through acquisitions such as GuideTech and the creation of Palladyne Defense, the company has expanded into UAV and missile development as well as certified U.S.-based manufacturing, positioning itself to pursue government, defense and commercial opportunities across multiple domains.

Original: Palladyne AI highlights transformational 2025 as acquisitions boost backlog

Horsts, you are certainly correct that there is " bigger trash" around Pdyn looks like their strategy to modify the core businesses within the new structure may be working.
My usual philosophy on considering companies to buy is " start with the chart.". Don't stop there, but look at how things seem to be going from a share value perspective

In the case of PDYN, something clearly significant happened at the start of the new year and has been working pretty well ever since. It'll be a couple of months from here, at least, before these upgrades impact the fundamentals. Everything for you depends on your investment strategy.

To me, it looks like some true value is starting to be created. This company has been on one of my watchlists for about half a year. It's the startups that can make big money over time, not the titans..usually.

That's it, bud. Glty.

THV

Palladyne AI Reports Fourth Quarter and Full Year 2025 Results and Reiterates 2026 Revenue Guidance of $24 to $27 MillionMarch 5, 2026 6:00 AM
Business Wire
2026 revenue guidance implies 357% to 415% year-over-year growth, with backlog increasing more than 30% since year-end to nearly $18 million midway through the first quarter


2025 culminated in structural repositioning following November acquisitions


Launch of Palladyne Defense and commercialization of Palladyne IQ 2.0 position Company for execution in 2026


Palladyne AI Corp. (NASDAQ: PDYN and PDYNW) (“Palladyne AI”), a U.S.-based defense and industrial technology company delivering embodied AI-powered collaborative autonomy solutions, advanced avionics, precision-manufactured components, UAVs, and advanced aerospace engineering services, today announced financial results for the fourth quarter and full year ended December 31, 2025.


Ben Wolff, President and Chief Executive Officer of Palladyne AI, commented:


“2025 was a year of operational validation that culminated in structural transformation. In November, we completed the acquisitions of GuideTech, Warnke Precision Machining and MKR Fabricators and launched Palladyne Defense. That repositioning expanded our capabilities beyond autonomy software to include advanced avionics, engineering services, proprietary airframe and missile development and certified U.S.-based manufacturing. We exited 2025 as a fundamentally different company, with expanded backlog, deeper defense engagement and an integrated autonomy-to-manufacturing stack aligned with evolving Department of War priorities.


“Over the past few months, we have moved decisively to execute across the defense and commercial parts of our business. We commercially released Palladyne IQ 2.0, integrating feedback from potential customers into its development, and recently signed our first customer for the product. We also introduced IntelliSwarm, integrating SwarmOS into the BRAIN X2 flight module, and demonstrated collaborative autonomy between our recently branded Gremlin-X™ (formerly Project Banshee) platform running IntelliSwarm and multiple Red Cat platforms operating with SwarmOS, validating distributed, multi-platform collaboration in real-world environments.


“We also established our presence in the space domain. Through our satellite-related development work with the Air Force Research Laboratory, we are extending SwarmOS capabilities to integrate communications with space-based systems. Separately, our engagement with Portal Space Systems advances propulsion design for next-generation space platforms and establishes a foundation for potential future collaboration surrounding collaborative autonomy.”


Recent Strategic and Operational Highlights



Launched Palladyne Defense following the acquisitions of GuideTech, Warnke Precision Machining and MKR Fabricators, integrating autonomy software, advanced avionics engineering and design, components, proprietary UAVs and missile systems, and certified U.S.-based manufacturing;



Commercially released Palladyne IQ 2.0 and signed an initial customer following customer-driven refinement throughout 2025;



Hired Matt Muta as President of Commercial and Industrial to focus on capturing commercial opportunities;



Branded Project Banshee (next-generation autonomous UAV mini-bomber platform currently under development) as Gremlin-X;



Demonstrated collaborative autonomous swarming between the Gremlin-X platform utilizing IntelliSwarm, and multiple Red Cat platforms operating with SwarmOS;



Expanded into the space domain through satellite-related development work with the Air Force Research Laboratory and propulsion design engagement with Portal Space Systems;



Progressed development milestones across Gremlin-X and new BRAIN variants;



Secured missile propulsion subsystem contract from a new defense prime customer; and



Strengthened intellectual property portfolio through a new patent issuance supporting advanced swarming and decentralized autonomy architectures and filed four new patent applications related to Palladyne’s AI software products and technologies.



Fourth Quarter 2025 Financial Highlights (vs. fourth quarter 2024)



Revenue increased 118% to $1.7 million compared to $0.8 million;



Operating loss of ($9.3) million compared to ($6.5) million;



GAAP net loss and basic and diluted loss per share (EPS) of ($1.5) million, and ($0.04), compared to ($53.0) million, and ($1.75);



*Non-GAAP net loss and Non-GAAP EPS of ($6.9) million, and ($0.16), compared to ($5.2) million, and ($0.17);



Cash, cash equivalents and marketable securities totaled $47.0 million at December 31, 2025;



Backlog as of December 31, 2025, was $13.5 million.



Full Year 2025 Financial Highlights (vs. full year 2024)



Revenue decreased 33% to $5.2 million compared to $7.8 million;



Operating loss of ($32.4) million compared to ($26.9) million;



GAAP net income and diluted EPS of $10.0 million, and $0.24, compared to a net loss of ($72.6) million, and ($2.71);



*Non-GAAP net loss and Non-GAAP EPS of ($25.2) million, and ($0.60), compared to ($22.6) million, and ($0.84).



*see GAAP to Non-GAAP reconciliation at the end of this press release


2026 Outlook


The Company reiterates its previously announced full year 2026 revenue guidance of $24 million to $27 million, representing expected year-over-year growth of approximately 357% to 415% compared to 2025 revenue of $5.2 million. Supporting this guidance, Palladyne AI had a contracted 12-18 month backlog of nearly $18.0 million as of mid-February 2026, a more than 30% increase since December 31, 2025.


The guidance reflects revenue contributions from acquired entities, backlog conversion and monetization of development programs secured during and following the Company’s fourth quarter repositioning. Management believes recent contract wins and expanding program activity across air and space domains provide increased visibility into achieving these targets.


The Company continues to advance product maturation milestones and pursue early customer wins across Palladyne IQ 2.0, SwarmOS and BRAIN platforms while maintaining a disciplined focus on execution.


Conference Call


Palladyne AI will host a conference call today, Thursday, March 5, 2026, at 8:00 a.m. Eastern Time to discuss its financial and operational results, strategy and future opportunities.




Dial-in and Webcast Information









 



Date/Time:







Thursday, March 5, 2026, at 8:00 a.m. Eastern Time








Toll-Free (North America):







1-877-407-0789








Toll/International:







1-201-689-8562








Conference Call ID:







13758938








Webcast Link:







 







https://viavid.webcasts.com/starthere.jsp?ei=1753897&tp_key=50d08a7821


Call me™: Participants can use the Guest dial-in #s above and be answered by an operator, or click the Call me™ link for instant telephone access to the event. Call me™ link will be made active 15 minutes prior to the scheduled start time. https://callme.viavid.com/viavid/?callme=true&passcode=13757186&h=true&info=company&r=true&B=6



Replay Information




 



Toll-Free (North America)







1-844-512-2921








Toll/International:







1-412-317-6671








Conference Call ID:







13758938








Expiration:







Thursday, March 19, 2026, 11:59 p.m. Central Time







About Palladyne AI


Palladyne AI is a U.S.-based technology company developing patented embodied artificial intelligence, collaborative autonomy solutions, advanced avionics, autonomous systems, advanced UAV engineering services, and precision-manufactured components for defense and industrial markets. Palladyne AI delivers secure, American-developed and operated platforms designed to meet the stringent requirements of U.S. government and public-sector customers, including data sovereignty, security, and compliance.


Palladyne AI’s embodied AI is designed to operate in complex, contested, and high-risk environments, enabling distributed tasking, human-on-the-loop decision-making, degraded-communications resilience, and multi-domain coordination. Its platform-agnostic autonomy stack combines real-time sensor fusion, adaptive AI models, and edge-native orchestration - without vendor lock-in - to support autonomous and collaborative systems across air, ground, maritime, and industrial domains where performance, resilience, and trust are paramount. For more information about Palladyne AI, including GuideTech and Palladyne Defense, please visit www.palladyneai.com/.


Forward-Looking Statements


This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, including statements regarding the capabilities or future capabilities of Palladyne AI’s technology and related products, including IntelliSwarm; anticipated growth, operating scale and operating inflection of the Company; the applicability of Palladyne AI’s products and technology to the space domain; 2026 expected financial performance, including expected revenue and sources of revenue; the time of customer acquisition, revenue recognition and backlog realization; the benefits of its AI software and other products and the markets for its products and services; and the applicability of IntelliSwarm and its autonomy software to different kinds of machines (such as UAVs, UGVs and ROVs); future development and qualification plans; and intended future target customers. Forward-looking statements are inherently subject to risks, uncertainties, and assumptions. Generally, statements that are not historical facts, including statements concerning possible or assumed future actions, business strategies, events, or results of operations, are forward-looking statements. These statements may be preceded by, followed by, or include the words “believes,” “estimates,” “expects,” “projects,” “forecasts,” “may,” “will,” “should,” “seeks,” “plans,” “scheduled,” “anticipates,” “intends” or “continue” or similar expressions. Such forward-looking statements involve risks and uncertainties that may cause actual events, results, or performance to differ materially from those indicated by such statements. These forward-looking statements are based on Palladyne AI’s management’s current expectations and beliefs, as well as a number of assumptions concerning future events. However, there can be no assurance that the events, results, or trends identified in these forward-looking statements will occur or be achieved. Forward-looking statements speak only as of the date they are made, and Palladyne AI is not under any obligation and expressly disclaims any obligation to update, alter or otherwise revise any forward-looking statement, whether as a result of new information, future events, or otherwise, except as required by law.


Readers should carefully review the statements set forth in the reports which Palladyne AI has filed or will file from time to time with the Securities and Exchange Commission (the “SEC”), in particular the risks and uncertainties set forth in the sections of those reports entitled “Risk Factors” and “Cautionary Note Regarding Forward-Looking Statements,” for a description of risks facing Palladyne AI and that could cause actual events, results or performance to differ from those indicated in the forward-looking statements contained herein. The documents filed by Palladyne AI with the SEC may be obtained free of charge at the SEC’s website at www.sec.gov.




PALLADYNE AI CORP.




CONSOLIDATED BALANCE SHEETS




(unaudited)




(in thousands, except share data)










 



 






 






As of






 








 






 






December 31, 2025






 






 






December 31, 2024






 








 






 






 






 






 






 






 








Assets






 






 






 






 






 






 








Current assets:






 






 






 






 






 






 








Cash and cash equivalents






 






$






18,219






 






 






$






31,188






 








Marketable securities






 






 






28,836






 






 






 






8,883






 








Accounts receivable, net of allowance for credit losses of $0.0 million and $0.3 million at December 31, 2025 and 2024, respectively






 






 






1,055






 






 






 






134






 








Unbilled receivables






 






 






2,455






 






 






 






1,179






 








Inventories






 






 






339






 






 






 






71






 








Prepaid expenses and other current assets






 






 






1,653






 






 






 






1,275






 








Total current assets






 






 






52,557






 






 






 






42,730






 








Property and equipment, net






 






 






8,889






 






 






 






4,244






 








Intangible assets, net






 






 






10,430






 






 






 






—






 








Goodwill






 






 






14,731






 






 






 






—






 








Operating lease assets






 






 






8,645






 






 






 






8,841






 








Other non-current assets






 






 






460






 






 






 






438






 








Total assets






 






$






95,712






 






 






$






56,253






 








Liabilities and stockholders’ equity (deficit)






 






 






 






 






 






 








Current liabilities:






 






 






 






 






 






 








Accounts payable






 






$






1,058






 






 






$






435






 








Accrued liabilities






 






 






3,550






 






 






 






2,919






 








Current operating lease liabilities






 






 






1,058






 






 






 






1,079






 








Total current liabilities






 






 






5,666






 






 






 






4,433






 








Warrant liabilities






 






 






2,772






 






 






 






51,396






 








Operating lease liabilities






 






 






9,725






 






 






 






9,957






 








Other non-current liabilities






 






 






2,874






 






 






 






—






 








Total liabilities






 






 






21,037






 






 






 






65,786






 








Commitments and contingencies






 






 






 






 






 






 








Stockholders’ equity (deficit):






 






 






 






 






 






 








Common stock, $0.0001 par value, 165,000,000 shares authorized as of December 31, 2025 and December 31, 2024; 46,117,164 and 33,883,894 shares issued and outstanding as of December 31, 2025 and December 31, 2024, respectively






 






 






5






 






 






 






3






 








Additional paid-in capital






 






 






555,451






 






 






 






481,289






 








Accumulated other comprehensive income






 






 






11






 






 






 






6






 








Accumulated deficit






 






 






(480,792






)






 






 






(490,831






)








Total stockholders’ equity (deficit)






 






 






74,675






 






 






 






(9,533






)








Total liabilities and stockholders’ equity (deficit)






 






$






95,712






 






 






$






56,253






 









PALLADYNE AI CORP.




CONSOLIDATED STATEMENTS OF OPERATIONS




(unaudited)




(in thousands, except share and per share data)













 





Three Months Ended December 31,






 







Year Ended December 31,






 








?






?






2025






 






 






2024






 






?






2025






 






 






2024






 








Revenue, net






?






$






1,661






 






 






$






761






 






?






$






5,246






 






 






$






7,786






 








Operating expenses:?






?






 






 






 






 






 






?






 






 






 






 






 








Cost of revenue (exclusive of items shown separately below)







 






1,402






 






 






 






554






 







 






2,690






 






 






 






3,488






 








Research and development






?






 






3,758






 






 






 






2,612






 






?






 






12,899






 






 






 






10,437






 








General and administrative






?






 






4,683






 






 






 






3,461






 






?






 






17,199






 






 






 






16,842






 








Sales and marketing






?






 






1,014






 






 






 






618






 






?






 






4,744






 






 






 






4,134






 








Asset write-down and restructuring






 






 






—






 






 






 






—






 






 






 






—






 






 






 






(192






)








Total operating expenses






?






 






10,975






 






 






 






7,245






 






?






 






37,650






 






 






 






34,709






 








Loss from operations







 






(9,314






)






 






 






(6,484






)







 






(32,404






)






 






 






(26,923






)








Interest income, net







 






432






 






 






 






277






 







 






1,944






 






 






 






1,244






 








Gain (loss) on warrant liabilities






 






 






4,630






 






 






 






(46,760






)






 






 






37,740






 






 






 






(46,935






)








Other income, net







 






221






 






 






 






—






 







 






221






 






 






 






2






 








Income (loss) before income tax expense







 






(4,031






)






 






 






(52,967






)







 






7,501






 






 






 






(72,612






)








Income tax benefit (expense)







 






2,538






 






 






 






(2






)







 






2,538






 






 






 






(5






)








Net income (loss)







$






(1,493






)






 






$






(52,969






)







$






10,039






 






 






$






(72,617






)








Net income (loss) per share






?






 






 






 






 






 






?






 






 






 






 






 








Basic






?






$






(0.04






)






 






$






(1.75






)






?






$






0.26






 






 






$






(2.71






)








Diluted






 






$






(0.04






)






 






$






(1.75






)






 






$






0.24






 






 






$






(2.71






)








Weighted-average shares used in computing net income (loss) per share






?






 






 






 






 






 






?






 






 






 






 






 








Basic






?






 






42,329,510






 






 






 






30,277,019






 






?






 






38,841,116






 






 






 






26,774,895






 








Diluted






 






 






42,329,510






 






 






 






30,277,019






 






?






 






42,125,932






 






 






 






26,774,895






 









PALLADYNE AI CORP.




CONSOLIDATED STATEMENTS OF CASH FLOWS




(unaudited)




(in thousands)






 










 



 






 






Year Ended December 31,








 






 






2025






 






 






2024






 








Cash flows from operating activities:






 






 






 






 






 






 








Net income (loss)






 






$






10,039






 






 






$






(72,617






)








Adjustments to reconcile net income (loss) to net cash used in operating activities:






 






 






 






 






 






 








Stock-based compensation






 






 






4,447






 






 






 






2,805






 








Depreciation of property and equipment






 






 






974






 






 






 






825






 








Amortization of intangible assets






 






 






118






 






 






 






—






 








Change in fair value of warrant liabilities






 






 






(37,740






)






 






 






46,935






 








Allowance for credit losses






 






 






—






 






 






 






285






 








Amortization of investment discount






 






 






(1,386






)






 






 






(75






)








Deferred income tax benefit






 






 






(2,541






)






 






 






—






 








Changes in operating assets and liabilities, net of acquisitions:






 






 






 






 






 






 








Accounts receivable






 






 






1,096






 






 






 






136






 








Unbilled receivable






 






 






(960






)






 






 






855






 








Inventories






 






 






58






 






 






 






994






 








Prepaid expenses and other current assets






 






 






(132






)






 






 






1,048






 








Operating lease assets & other non-current assets






 






 






1,005






 






 






 






1,242






 








Accounts payable






 






 






(708






)






 






 






(819






)








Accrued liabilities and current operating lease liabilities






 






 






(904






)






 






 






(3,164






)








Operating lease liabilities






 






 






(1,003






)






 






 






(1,077






)








Net cash used in operating activities






 






 






(27,637






)






 






 






(22,627






)








Cash flows from investing activities:






 






 






 






 






 






 








Purchases of property and equipment






 






 






(713






)






 






 






(265






)








Acquisition of a business, net of cash acquired






 






 






(5,302






)






 






 






—






 








Purchases of marketable securities






 






 






(75,563






)






 






 






(8,859






)








Maturities of marketable securities






 






 






57,000






 






 






 






16,000






 








Net cash (used in) provided by investing activities






 






 






(24,578






)






 






 






6,876






 








Cash flows from financing activities:






 






 






 






 






 






 








Proceeds from exercise of stock options






 






 






74






 






 






 






130






 








Proceeds from issuance of common stock under ESPP






 






 






148






 






 






 






—






 








Proceeds from the exercise of warrants






 






 






6,419






 






 






 






—






 








Shares repurchased for payment of tax withholdings






 






 






—






 






 






 






(105






)








Payment of obligations under finance leases






 






 






(20






)






 






 






(3






)








Payment of debt obligations






 






 






(3,696






)






 






 






—






 








Proceeds from the issuance of warrants






 






 






—






 






 






 






4,432






 








Proceeds from issuance of common stock






 






 






36,371






 






 






 






20,028






 








Payment of transaction costs related to issuance of common stock






 






 






(50






)






 






 






(682






)








Net cash provided by financing activities






 






 






39,246






 






 






 






23,800






 








Net (decrease) increase in cash and cash equivalents






 






 






(12,969






)






 






 






8,049






 








Cash and cash equivalents at beginning of period






 






 






31,188






 






 






 






23,139






 








Cash and cash equivalents at end of period






 






$






18,219






 






 






$






31,188






 








Supplemental disclosure of cash flow information:






 






 






 






 






 






 








Cash paid for income taxes






 






$






2






 






 






$






10






 








Supplemental disclosure of non-cash activities:






 






 






 






 






 






 








Common stock issued in connection with a business acquisition






 






$






15,872






 






 






$






—






 








Purchases of property and equipment financed through notes payable






 






$






113






 






 






$






—






 








Warrant liabilities reclassified to equity upon exercise






 






$






10,883






 






 






$






—






 









PALLADYNE AI CORP.

NON-GAAP FINANCIAL MEASURES

(Unaudited)






 







To supplement our financial statements presented in accordance with GAAP and to provide investors with additional information regarding our financial results, we have presented in this release non-GAAP net income (loss) and non-GAAP net income (loss) per share (non-GAAP EPS), each of which are non-GAAP financial measures. Non-GAAP net income (loss) and non-GAAP EPS are not based on any standardized methodology prescribed by GAAP and are not necessarily comparable to similarly titled measures presented by other companies.


We define non-GAAP net income (loss) as our GAAP measures of net income (loss) excluding the impacts of stock-based compensation expense, gain or loss on change in fair value of warrant liabilities, expenses related to business combinations and other non-recurring or non-operating expenses. We define non-GAAP EPS as non-GAAP net income (loss) divided by weighted average outstanding shares.


The most directly comparable GAAP measures to non-GAAP net income (loss) and non-GAAP EPS are net income (loss) and EPS, respectively. We believe excluding the impact of the previously listed items in calculating non-GAAP net income (loss) and non-GAAP EPS can provide a useful measure for period-to-period comparisons of our core operating performance. We monitor, and have presented in this release, non-GAAP net income (loss) and non-GAAP (EPS) because they are each a key measure used by our management and board of directors to understand and evaluate our operating performance and to establish budgets. We believe non-GAAP net income (loss) and non-GAAP EPS help identify underlying trends in our business that could otherwise be masked by the effect of the expenses that we include in net income (loss) but not in non-GAAP net income (loss). Accordingly, we believe non-GAAP net income (loss) and non-GAAP (EPS) provide useful information to investors, analysts and others in understanding and evaluating our operating results, enhancing the overall understanding of our past performance.


Non-GAAP net income (loss) and non-GAAP (EPS) are not prepared in accordance with GAAP and should not be considered in isolation of, or as an alternative to, measures prepared in accordance with GAAP. There are a number of limitations related to the use of non-GAAP net income (loss) and non-GAAP EPS rather than net income (loss) and EPS, which is for each the most directly comparable financial measure calculated and presented in accordance with GAAP. In addition, the expenses and other items that we exclude in our calculations of non-GAAP net income (loss) and non-GAAP EPS may differ from the expenses and other items, if any, that other companies may exclude from non-GAAP net income (loss) and non-GAAP EPS when they report their operating results, limiting the usefulness of non-GAAP net income (loss) and non-GAAP EPS for comparative purposes.


In addition, other companies may use other measures to evaluate their performance, all of which could reduce the usefulness of non-GAAP net income (loss) and non-GAAP EPS as tools for comparison.


The following table reconciles non-GAAP net income (loss) to net income (loss), the most directly comparable financial measure calculated and presented in accordance with GAAP (in thousands, except share and per share data):






Three Months Ended December 31,






 







Year Ended December 31,






 








?






?






2025






 






 






2024






 






?






2025






 






 






2024






 








Net income (loss)






 






$






(1,493






)






 






$






(52,969






)






 






$






10,039






 






 






$






(72,617






)








Non-GAAP adjustments:






 






 






 






 






 






 






 






 






 






 






 






 








Stock-based compensation expense






 






 






1,101






 






 






 






578






 






 






 






4,447






 






 






 






2,805






 








(Gain) loss on warrant liability






 






 






(4,630






)






 






 






46,760






 






 






 






(37,740






)






 






 






46,935






 








Asset write-down and restructuring (1)






 






 






—






 






 






 






—






 






 






 






—






 






 






 






(192






)








Transaction Expenses (2)






 






 






631






 






 






 






466






 






 






 






631






 






 






 






466






 








Income tax benefit related to business combinations






 






 






(2,541






)






 






 






—






 






 






 






(2,541






)






 






 






—






 








Non-GAAP net loss






 






$






(6,932






)






 






$






(5,165






)






 






$






(25,164






)






 






$






(22,603






)








Net income (loss) per share






 






 






 






 






 






 






 






 






 






 






 






 








Basic






 






$






(0.04






)






 






$






(1.75






)






 






$






0.26






 






 






$






(2.71






)








Diluted






 






$






(0.04






)






 






$






(1.75






)






 






$






0.24






 






 






$






(2.71






)








Non-GAAP net loss per share






 






 






 






 






 






 






 






 






 






 






 






 








Basic






 






$






(0.16






)






 






$






(0.17






)






 






$






(0.65






)






 






$






(0.84






)








Diluted






 






$






(0.16






)






 






$






(0.17






)






 






$






(0.60






)






 






$






(0.84






)








Weighted-average shares used in computing net loss per share






 






 






 






 






 






 






 






 






 






 






 






 








Basic






 






 






42,329,510






 






 






 






30,277,019






 






 






 






38,841,116






 






 






 






26,774,895






 








Diluted






 






 






42,329,510






 






 






 






30,277,019






 






 






 






42,125,932






 






 






 






26,774,895






 








(1)


Asset write-down and restructuring benefit for the twelve months ended December 31, 2024, reflects restructuring charges, net of estimate adjustments, and is included within general and administrative expenses within the consolidated statements of operations.







(2)


Transaction expenses for the twelve months ended December 31, 2025, primarily consisted of legal and accounting costs incurred in connection with the business combinations completed in November 2025. Transaction expenses for the twelve months ended December 31, 2024, primarily consisting of brokerage, legal and accounting fees incurred in connection with our issuance of warrants in November 2024. In both periods, these costs are included within general and administrative expenses within the consolidated statements of operations.







 

View source version on businesswire.com: https://www.businesswire.com/news/home/20260305148397/en/
Palladyne AI Investor Contact:

Brian S. Siegel, IRC®, M.B.A.

Senior Managing Director

Hayden IR - Chicago

(346) 396-8696 (o)

brian@haydenir.com

IR@palladyneai.com


Palladyne AI Press Contact:

Heath Meyer

(858) 768-1527

PR@palladyneai.com


Original: Palladyne AI Reports Fourth Quarter and Full Year 2025 Results and Reiterates 2026 Revenue Guidance of $24 to $27 Million