Digital Ally, Inc. Reports Remarkable First Quarter Growth
Digital Ally, Inc. Celebrates Positive First Quarter Outcomes
COMPANY REPORTS EARNINGS PER SHARE OF $1.41, REFLECTING A DRAMATIC TURNAROUND FROM LAST YEAR'S NET LOSS OF ($27.48) PER SHARE
Overland Park, KS – Digital Ally, Inc. (NASDAQ: DGLY), a leader in the development and manufacture of advanced video solutions and safety products, is excited to announce its operating results for the first quarter. The company has shown remarkable progress, as detailed in its Quarterly Report submitted to the SEC for the period ending March 31.
Key Highlights from the First Quarter:
- Total revenue declined by 19% to $4.4 million, compared to $5.5 million in the same quarter last year.
- Gross profit margins have significantly increased to 35.8% of revenue, up from 27.6% in the previous year.
- Selling, general, and administrative expenses saw a noteworthy decrease of 50.1% year-over-year.
- Operating losses improved dramatically by $2,664,354 or 73.2%, totaling $974,680.
- Non-operating gains of $5,241,762 displayed a significant improvement of $5,545,996 from the last year.
- Net income attributable to common stockholders surged to $4,263,471, which translates to $1.41 per diluted share, a sharp recovery from a net loss of ($3,931,020), or ($27.48) per share, recorded last year.
- Total working capital has improved to a positive $3,385,051, recovering from a deficit of $(19,377,507) at the end of 2024.
- Total stockholders’ equity rose to $11,569,375, marking a significant recovery from a deficit observed at the end of the previous year.
“Our initial quarter financial results reflect an operating leverage inherent in our business model, fueled by substantial cuts to overheads, a lower workforce, and successfully maneuvering our subscription-based sales strategy for video solutions,” commented Stanton E. Ross, CEO of Digital Ally, Inc. “Achievements in gross profits and decreased SG&A ratios enabled us to report an operating income improvement of $2,664,354 compared to the same timeframe last year. It is encouraging to note that these gains were realized amidst a challenging economic backdrop affecting government budgets that support our primary customer base.”
Ross further mentioned, “In this quarter, we executed a $14.3 million public equity offering that greatly bolstered our liquidity, bringing our stockholders’ equity well above the required $2.5 million for continued listing on Nasdaq. We remain diligent in our efforts to regain compliance with the minimum $1.00 bid price listing on Nasdaq.”
Looking ahead, Ross expressed optimism: “We foresee growth in our entertainment segment coinciding with the upcoming Country Stampede Music Festival. Even though the market for law enforcement products faces challenges, our proactive strategies to minimize costs and enhance operational efficiency have positioned Digital Ally as a nimble organization capable of adapting to industry shifts. The earnings recovery in the first quarter of 2025 is truly uplifting, and I am grateful to all employees, vendors, and management members for their hard work in achieving this remarkable milestone. Our focus remains on fostering sustainable profitability and enhancing shareholder value throughout this year.”
About Digital Ally, Inc.
Digital Ally Companies (NASDAQ: DGLY) specialize in innovative technology including video solutions, healthcare revenue cycle management, ticket sales, and event production. The company is continually pursuing strategic acquisitions to solidify its position in sectors exhibiting strong growth potential and synergy.
For further inquiries, feel free to contact:
Stanton E. Ross, CEO at (913) 814-7774
Frequently Asked Questions
What were the key financial results for Digital Ally in Q1 2025?
Digital Ally reported earnings of $4,263,471, translating to $1.41 per diluted share, with improvements in gross profit margins and reductions in overhead expenses.
How did the company’s revenue compare year-over-year?
The total revenue for the first quarter declined by 19% to $4.4 million compared to $5.5 million in the same period last year.
What measures has Digital Ally taken to improve its financial standing?
The company has focused on reducing general and administrative expenses, restructuring its sales organization, and transitioning to a subscription-based sales model.
What future growth opportunities does Digital Ally anticipate?
Digital Ally looks forward to potential revenue growth within its entertainment division, particularly concerning upcoming events like the Country Stampede Music Festival.
Who can I contact for more information on Digital Ally?
For additional information, you can reach out to Stanton E. Ross, CEO, at (913) 814-7774.
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