Revenue Growth and OEM Sales Increase
Dragonfly Energy reported a revenue growth of 6.8% in the first quarter, exceeding guidance. Net sales from OEM customers increased by 10.8% due to broader integration at the factory level.
Corporate Optimization and Operational Improvements
The company launched a corporate optimization program leading to increased production capacity without additional headcount, and enhanced use of automation under the leadership of the COO.
Strategic Position in Domestic Manufacturing
Dragonfly Energy's U.S.-based production capabilities provide a competitive advantage, with efforts to transition to North American-based sourcing and a lithium supply agreement with Ioneer.
Heavy-Duty Trucking Market Engagement
The dual flow power pack for the trucking market is gaining traction, offering cost-effective solutions for idle reduction and extending the life of truck batteries.
Improvement in Gross Profit and Margin
First quarter gross profit increased by 12.5% to $3.9 million, with a gross margin increase of 500 basis points to 29.4%.