Management Commentary
“These developments reinforce our belief that
“Looking ahead, we remain focused on expanding adoption across a wider range of unmanned systems, deepening our integration with manufacturers, and supporting programs as they transition from evaluation into scaled deployment. We will also continue to evaluate strategic opportunities that align with our long-term growth objectives and enhance our capabilities. As these initiatives mature, we believe
Second Quarter 2026 and Recent Operational Highlights
- Expanded the SkyKnight software licensing program, increasing the total contracted license value from
$2.9 million to$3.9 million . Existing customer upgrade options, if fully exercised, would bring the maximum arrangement value to approximately$14.2 million . - Partnered with
Oak Grove Technologies to integrate Swarmer’s autonomy software into the Chimera UAV platform, advancing autonomous swarming capabilities forU.S . Special Operations and defense missions. - Signed an MOU with Powerus to explore the integration of
Swarmer 's autonomy and swarming software across air and maritime autonomous systems. - Collaborated with Lantronix to develop a custom NDAA-compliant compute platform for Group 1 unmanned aerial systems, increasing onboard processing power by more than 400%.
- Partnered with Brightline Interactive to integrate
Swarmer 's autonomy software with Brightline’s platform and expand access to operational data for AI model training. - Established a strategic data partnership with Molfar Intelligence to integrate verified battlefield intelligence datasets into
Swarmer 's AI training pipeline. - Collaborated with
Tekmara andFlorida International University to evaluate autonomous drone swarms for environmental monitoring and coastal restoration applications.
Second Quarter 2026 Financial Results
Results compare Q2 2026 to the 2025 second quarter ended
- Revenue for Q2 2026 was
$216,413 , compared to$138,206 in Q2 2025. The Company invoiced$1.5 million under the SkyKnight program during the quarter, of which$1.4 million has been collected;$0.2 million was recognized as revenue,$0.1 million was recorded as deferred revenue, and the remainder was recorded as an advance on the balance sheet. - Gross margin for Q2 2026 was
$183,597 compared to$82,030 in Q2 2025, driven primarily by license revenue recognized under the SkyKnight program. - Operating expenses for Q2 2026 were
$7.5 million compared to$854,847 in Q2 2025. The increase primarily reflects investments in personnel, engineering, product development and platform integration capabilities, as well as higher consulting, legal and professional services expenses associated with operating as a public company. Q2 2026 operating expenses also included approximately$1.2 million of non-cash stock-based compensation expense and certain one-time equipment purchases that are not expected to recur on a regular basis. - Net loss for Q2 2026 was
$(7.3) million compared to$(1.6) million in Q2 2025, primarily reflecting higher operating expenses. - Cash and cash equivalents at
June 30, 2026 totaled$25.3 million compared to$9.3 million atDecember 31, 2025 . The increase primarily reflects proceeds of approximately$16.0 million from the IPO, net of underwriting costs,$8.8 million raised through the Company's equity line of credit and$3.5 million from the sale of Series A-1 convertible preferred stock. Cash usage in Q2 2026 included a one-time$2.2 million contractual prepayment under the SkyKnight program; excluding this payment, underlying cash burn was generally consistent with prior quarters. Subsequent to quarter end throughAugust 10, 2026 , the Company collected an additional$17.9 million from sales of common shares under its equity line of credit, including the$4.6 million receivable outstanding atJune 30, 2026 .
Conference Call
The Company’s management will host a conference call today,
Registration Link: https://swarmer-2q2026.open-exchange.net/
Please connect 5-10 minutes prior to the start time. If you have any difficulty connecting with the conference call, please contact
About Swarmer
Swarmer™ is a defense technology company that specializes in vendor-agnostic software which allows one operator to intuitively control hundreds of autonomous platforms in real time. Swarmer’s primary mission areas include autonomous swarm coordination, integration of multi-domain unmanned systems and AI-powered autonomy software for distributed operations. Swarmer is not a drone manufacturer and does not depend on any single platform, supplier or hardware lifecycle. Instead, Swarmer operates at the intelligence layer, developing autonomy, coordination and decision-making software that enables large numbers of low-cost unmanned systems to operate collectively as one coherent, resilient force. Swarmer’s technology has been rigorously validated in real-world kinetic environments and was first deployed in combat operations in Ukraine in April 2024. Since then, it has completed more than 100,000 combat missions, generating terabytes of proprietary data that informs its machine-learning models and enables the replication of advanced pilot performance at scale. Swarmer’s routine use in combat missions generates continuous streams of telemetry, sensor data and operational feedback which are then used to refine performance, increase resilience and accelerate learning. Swarmer has headquarters in Austin, Texas, and maintains operations and teams in Ukraine, Poland and Estonia.
Forward-Looking Statements
This press release contains forward-looking statements within the meaning of the federal securities laws, including Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Forward-looking statements include statements about Swarmer’s strategy, market opportunity, customer engagement, product development, technology integrations, expansion into new markets, future revenue opportunities, expected customer mix, potential deployments, and the anticipated benefits of the Company’s relationships, memoranda of understanding, partnerships, and other commercial initiatives; the Company's plans to expand adoption of its autonomy software across additional unmanned platforms and domains; the expected benefits of partnerships and collaborations with Oak Grove Technologies, Powerus, Lantronix, Brightline Interactive, Molfar Intelligence, Tekmara, and Florida International University; the Company's strategy to evaluate and pursue additional strategic opportunities; planned investment in engineering, product development, and platform integration capabilities; and the Company's ability to become a foundational software layer for autonomous and collaborative systems.
Forward-looking statements are based on current expectations, estimates, forecasts, and assumptions and are subject to risks and uncertainties that could cause actual results to differ materially from those expressed or implied. These risks and uncertainties include, among others: the Company’s limited operating history as a public company; its history of losses and limited current revenue; customer concentration and the timing, non-renewal, or loss of customer engagements; the Company’s ability to convert pilot programs, memoranda of understanding, and development-stage relationships into binding commercial contracts or revenue; defense procurement cycles and government budget priorities; geopolitical conditions affecting operations, customers, suppliers, and deployments in Ukraine and other regions; export control, sanctions, defense trade, procurement, and other regulatory requirements; competition in the defense technology and autonomous systems markets; the Company’s ability to develop, validate, scale, and integrate its software across third-party unmanned platforms; risks associated with artificial intelligence, machine learning, data availability, data quality, cybersecurity, and operational performance in real-world environments; reliance on key personnel and technical talent; supply chain and manufacturing constraints affecting the Company’s customers or partners; and the other risks described in the Company’s filings with the Securities and Exchange Commission.
Forward-looking statements speak only as of the date of this release. The Company undertakes no obligation to update or revise any forward-looking statements, except as required by law. Additional risks and uncertainties are described in Swarmer’s filings with the Securities and Exchange Commission, including under the caption “Risk Factors” in Swarmer’s most recent registration statement, most recent Quarterly Report on Form 10-Q and other filings filed with or furnished to the SEC.
Investor Relations Contact: SWMR@gateway-grp.com
Media Relations Contact: media@swarmer.tech
CONDENSED CONSOLIDATED BALANCE SHEETS (Unaudited) | ||||||||
2026 | 2025 | |||||||
| Assets | ||||||||
| Current assets: | ||||||||
| Cash and cash equivalents | $ | 25,289,260 | $ | 9,283,566 | ||||
| Accounts receivable | 95,580 | — | ||||||
| Receivable from sale of common stock | 4,625,269 | — | ||||||
| UAV deployment program advance payment | 1,845,000 | — | ||||||
| Prepaid expenses and other current assets | 1,137,379 | 115,473 | ||||||
| Total current assets | 32,992,488 | 9,399,039 | ||||||
| Property and equipment, net | 470,586 | 227,908 | ||||||
| Operating lease right-of-use asset | 99,610 | 131,184 | ||||||
| Intangible assets | 97,668 | — | ||||||
| Deferred offering costs | — | 471,719 | ||||||
| Other assets | 275,333 | 106,830 | ||||||
| Total assets | $ | 33,935,685 | $ | 10,336,680 | ||||
| Liabilities, convertible preferred stock and shareholders' equity (deficit) | ||||||||
| Current liabilities: | ||||||||
| Accounts payable | $ | 204,803 | $ | 223,236 | ||||
| Accrued expenses and other current liabilities | 1,329,493 | 680,782 | ||||||
| Grant advance | 178,381 | 189,200 | ||||||
| Deferred revenue | 107,121 | 23,272 | ||||||
| Operating lease liability - current | 73,453 | 70,703 | ||||||
| Advances received under combined arrangement | 793,092 | — | ||||||
| Total current liabilities | 2,686,343 | 1,187,193 | ||||||
| Operating lease liability - non-current | 38,757 | 76,273 | ||||||
| Total liabilities | 2,725,100 | 1,263,466 | ||||||
| Convertible preferred stock, par value | ||||||||
| Series A preferred stock: no shares authorized, issued or outstanding as of | — | 19,013,673 | ||||||
| Commitments and contingencies | ||||||||
| Shareholders' equity (deficit) | ||||||||
| Preferred stock, | — | — | ||||||
| Common stock, | 113 | 10 | ||||||
| Additional paid-in capital | 53,397,926 | 663,514 | ||||||
| Accumulated other comprehensive income (loss) | 195,502 | (4,900 | ) | |||||
| Accumulated deficit | (22,382,956 | ) | (10,599,083 | ) | ||||
| Total shareholders' equity (deficit) | 31,210,585 | (9,940,459 | ) | |||||
| Total liabilities, convertible preferred stock and shareholders' equity (deficit) | $ | 33,935,685 | $ | 10,336,680 | ||||
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE LOSS (Unaudited) | ||||||||||||||||
| Three Months Ended | Six Months Ended | |||||||||||||||
| 2026 | 2025 | 2026 | 2025 | |||||||||||||
| Revenue | $ | 216,413 | $ | 138,206 | $ | 236,738 | $ | 248,910 | ||||||||
| Cost of revenue | 32,816 | 56,176 | 72,740 | 101,718 | ||||||||||||
| Gross margin | 183,597 | 82,030 | 163,998 | 147,192 | ||||||||||||
| Operating expenses: | ||||||||||||||||
| Selling, general and administrative | 5,657,638 | 277,591 | 8,662,517 | 532,872 | ||||||||||||
| Research and development | 1,805,532 | 577,256 | 3,291,614 | 1,099,454 | ||||||||||||
| Total operating expenses | 7,463,170 | 854,847 | 11,954,131 | 1,632,326 | ||||||||||||
| Loss from operations | (7,279,573 | ) | (772,817 | ) | (11,790,133 | ) | (1,485,134 | ) | ||||||||
| Other income (expense): | ||||||||||||||||
| Change in fair value of Simple Agreement for Future Equity ("SAFE") liability | — | (869,000 | ) | — | (869,000 | ) | ||||||||||
| Change in fair value of Equity Line of Credit ("ELOC") derivative | (251,455 | ) | — | (251,455 | ) | — | ||||||||||
| Other income | 205,990 | 14,635 | 257,715 | 32,975 | ||||||||||||
| Loss before income taxes | (7,325,038 | ) | (1,627,182 | ) | (11,783,873 | ) | (2,321,159 | ) | ||||||||
| Income tax expense | — | — | — | — | ||||||||||||
| Net loss | $ | (7,325,038 | ) | $ | (1,627,182 | ) | $ | (11,783,873 | ) | $ | (2,321,159 | ) | ||||
| Net loss per share of common stock, basic and diluted | $ | (0.45 | ) | $ | (0.51 | ) | $ | (1.03 | ) | $ | (0.78 | ) | ||||
| Weighted-average shares of common stock outstanding, basic and diluted | 16,333,844 | 3,211,540 | 11,414,411 | 2,970,764 | ||||||||||||
| Comprehensive loss: | ||||||||||||||||
| Foreign currency translation adjustments | 223,943 | 14,478 | 200,402 | 14,744 | ||||||||||||
| Total comprehensive loss | $ | (7,101,095 | ) | $ | (1,612,704 | ) | $ | (11,583,471 | ) | $ | (2,306,415 | ) | ||||
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited) | ||||||||
| Six Months Ended | ||||||||
| Operating activities: | 2026 | 2025 | ||||||
| Net loss | $ | (11,783,873 | ) | $ | (2,321,159 | ) | ||
| Adjustments to reconcile net loss to net cash used in operating activities: | ||||||||
| Depreciation expense | 96,344 | — | ||||||
| Amortization of ROU asset | 31,574 | — | ||||||
| Change in fair value of ELOC derivative | 251,455 | — | ||||||
| Change in fair value of SAFE liability | — | 869,000 | ||||||
| Share-based compensation expense | 1,459,980 | 28,488 | ||||||
| Changes in operating assets and liabilities: | ||||||||
| Accounts receivable | (95,580 | ) | — | |||||
| Unbilled revenue | — | 3,193 | ||||||
| UAV deployment program advance payment | (1,845,000 | ) | — | |||||
| Prepaid expenses and other current assets | (557,503 | ) | (9,147 | ) | ||||
| Other assets | (168,979 | ) | (2,070 | ) | ||||
| Accounts payable | (18,019 | ) | (421 | ) | ||||
| Accrued expenses and other liabilities | 649,219 | (3,237 | ) | |||||
| Deferred revenue | 84,626 | 3,853 | ||||||
| Advances received under combined arrangement | 793,092 | — | ||||||
| Operating lease liability | (34,766 | ) | — | |||||
| Net cash used in operating activities | (11,137,430 | ) | (1,431,500 | ) | ||||
| Investing activities: | ||||||||
| Purchase of property and equipment | (347,997 | ) | — | |||||
| Purchase of intangible assets | (97,668 | ) | — | |||||
| Cash used in investing activities | (445,665 | ) | — | |||||
| Financing activities: | ||||||||
| Proceeds from initial public offering, net of underwriting discounts | 16,015,000 | — | ||||||
| Proceeds from ELOC | 8,826,408 | — | ||||||
| Proceeds from sale of Series A-1 convertible preferred stock | 3,472,095 | — | ||||||
| Payment of financing costs | (926,264 | ) | — | |||||
| Cash provided by financing activities | 27,387,239 | — | ||||||
| Effect of exchange rates on cash and cash equivalents | 201,550 | 14,261 | ||||||
| Net increase (decrease) in cash and cash equivalents | 16,005,694 | (1,417,239 | ) | |||||
| Cash and cash equivalents at the beginning of the period | 9,283,566 | 2,081,086 | ||||||
| Cash and cash equivalents at the end of the period | $ | 25,289,260 | $ | 663,847 | ||||
| Supplemental non-cash investing and financing activities: | ||||||||
| Conversion of Series A Preferred Stock into Common Stock | $ | 22,485,768 | $ | — | ||||
| Common stock issued under ELOC in exchange for receivable from sale of common stock | $ | 4,625,269 | $ | — | ||||
| Derivative asset recognized for draw priced but unsettled under the ELOC | $ | 74,970 | $ | — | ||||
