The earnings call reflected a positive sentiment overall. Despite the decline in revenue and the necessity of reverse stock splits, the company demonstrated significant improvements in gross margin, SG&A expenses, net income, and liquidity. The progress towards NASDAQ compliance and planned future initiatives in both the video solutions and entertainment segments further bolster confidence.

Company Guidance

During the Digital Ally First Quarter Earnings and Corporate Update Conference Call, significant guidance was provided concerning the company's financial performance and strategic direction. The company reported a 19% decline in year-over-year revenues for the first quarter of 2025, largely due to video product sales being down, although they had a substantial backlog of over $2 million, which they plan to fulfill in upcoming quarters. Despite the revenue drop, the gross margin dollars improved by $78,000, or 5%, with the overall gross margin percentage increasing to 36% from 28% last year. This was attributed to refocusing efforts in the Entertainment segment and cutting down on non-economical sponsorships. SG&A expenses saw a remarkable decrease of $2.6 million, or 72%, year-over-year, with improvements in head count, facilities expenses, and general overhead. The company achieved a net income of $4.2 million in the first quarter of 2025, a turnaround from a $3.9 million loss in the same period in 2024, resulting in a total net improvement of over $8 million. Additionally, the balance sheet was strengthened by a $14 million public offering in February 2025, which improved working capital to $3.4 million from a deficit of $19.4 million at the end of 2024. Digital Ally's equity improved by over $20 million, and they are now in a strong liquidity position to support their operational plans for 2025 and beyond. The company also addressed compliance issues with NASDAQ, implementing reverse stock splits to meet the $1 minimum bid price requirement and maintain their listing. Looking ahead, Digital Ally is optimistic about their video solutions and custom entertainment segments, with plans for new product announcements and an expansion of their event production group, Kustom 440.

Significant Improvement in Gross Margin

The overall gross margin percentage improved to 36% from 28% last year, marking a positive trend in profitability despite a drop in revenue.

Substantial Reduction in SG&A Expenses

SG&A expenses were reduced by $2.6 million, a 72% improvement year-over-year, due to strategic cost-cutting measures including headcount reduction and facility downsizing.

Strong Net Income Turnaround

Net income for Q1 2025 was $4.2 million, or $1.41 per share, compared to a $3.9 million loss in 2024, representing an $8 million positive swing.

Enhanced Balance Sheet and Liquidity

The company's cash position improved from $400,000 to $3.8 million in the first quarter, and working capital is now positive at $3.4 million, reflecting a $23 million improvement.

Progress in NASDAQ Compliance

The company has largely resolved NASDAQ compliance issues, improving equity to $11.6 million and addressing the minimum bid price requirement through reverse splits.

Digital Ally (DGLY) Earnings, Revenues Date & History

The upcoming earnings date is based on a company’s previous reporting, and may be updated when the actual date is announced

Daily Earnings Calendar >

DGLY Earnings History

Report Date	Fiscal Quarter	Forecast / EPS	Last Year's EPS	EPS YoY Change	Slides	Play Transcript
May 27, 2026	2026 (Q1)	- / -	2812.12	―	―	―
Aug 18, 2025	2025 (Q2)	-4.43 / -4.43	-3480	99.87% (+3475.57)	―	―
May 21, 2025	2025 (Q1)	- / 1.41	-2740	100.05% (+2741.41)	―	―
Apr 07, 2025	2024 (Q4)	- / 2814.50	-2740	202.72% (+5554.50)	―	―
Nov 13, 2024	2024 (Q3)	- / -	―	―	―	―
Aug 16, 2024	2024 (Q2)	- / -3480.00	-6020	42.19% (+2540.00)	―
May 21, 2024	2024 (Q1)	- / -	-2.22	―	―
Apr 02, 2024	2023 (Q4)	-4420.00 / -2740.00	-4440	38.29% (+1700.00)	―
Nov 15, 2023	2023 (Q3)	-4480.00 / -2640.00	-1600	-65.00% (-1040.00)	―
Aug 14, 2023	2023 (Q2)	-4660.00 / -6020.00	-800	-652.50% (-5220.00)	―

The table shows recent earnings report dates and whether the forecast was beat or missed. See the change in forecast and EPS from the previous year.

Beat

Missed

DGLY Earnings-Related Price Changes

Report Date	Price 1 Day Before	Price 1 Day After	Percentage Change
Aug 18, 2025	$1.72	$1.73	+0.58%
May 21, 2025	$3.60	$3.00	-16.67%
Apr 07, 2025	$70.00	$64.00	-8.57%
Nov 13, 2024	$1505.00	$1440.00	-4.32%

Earnings announcements can affect a stock’s price. This table shows the stock's price the day before and the day after recent earnings reports, including the percentage change.

FAQ

When does Digital Ally (DGLY) report earnings?

Digital Ally (DGLY) is schdueled to report earning on May 27, 2026, TBA (Confirmed).

What is Digital Ally (DGLY) earnings time?

Digital Ally (DGLY) earnings time is at May 27, 2026, TBA (Confirmed).

Where can I see when companies are reporting earnings?

You can see which companies are reporting today on our designated earnings calendar.

What companies are reporting earnings today?

You can see a list of the companies which are reporting today on TipRanks earnings calendar.

What is DGLY EPS forecast?

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