Unusual Machines, Inc. (NYSE:UMAC) announced on Friday that it received an $800,000 order from Red Cat Holdings, Inc. (NASDAQ:RCAT), a drone technology company that develops robotic hardware and software for military, government, and commercial applications. Shares of both Unusual Machines and Red Cat were trading higher following the announcement.
The order covers Unusual Machines’ BLUE UAS-listed components, including the Aura Analog Camera, Aura VTX, Brave Flight Controller, Brave ESC, HDO+ Goggles, and motors.
These parts will be integrated into Red Cat’s FANG drones to meet demand for U.S.-made, NDAA-compliant systems used in defense, public safety, and other government applications.
Also Read: Red Cat Holdings Stock Falls After $150 Million Offering
Unusual Machines said the order underscores its growing role in the U.S. drone supply chain, where it provides components for defense, enterprise and consumer markets.
Stacy Wright, EVP of Revenue at Unusual Machines, stated, “High-quality, NDAA-compliant components are now table stakes, what truly matters is how fast you can deliver them. This order is another example of how our manufacturing readiness and speed-to-market capabilities help customers stay competitive in fast-moving government programs.”
“This partnership strengthens our ability to deliver high-performance, NDAA-compliant systems that defense and public safety operators can trust are secure, reliable, and available when and where they are needed,”, said Jeff Thompson, Red Cat CEO.
Quarterly Financial Performance
In August, Unusual Machines posted a second-quarter loss of 32 cents per share, missing analysts’ estimates of a 7-cent loss. The result compared with a loss of $0.16 per share in the same quarter last year. The revenue for the period totalled $2.12 million, exceeding the consensus estimate of $1.81 million and increasing 50.52% from $1.41 million in the same period last year.
Red Cat Holdings also reported second-quarter results in August, showing a loss of 15 cents per share, wider than analysts’ expectations for a 9-cent loss. The quarterly revenue came in at $3.22 million, falling short of the consensus estimate of $7.49 million.
Price Action: UMAC shares were trading higher by 11.98% to $16.76, while RCAT shares were also trading higher by 23.65% to $14.25 at last check Friday.
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