8-K: Byrna Technologies Achieves Record Preliminary Q2 Revenue of $28.5 Million, Driven by Compact Launcher Success and Retail Expansion

Byrna Technologies Inc. announced preliminary unaudited fiscal second quarter 2025 revenues of $28.5 million, representing a 41% year-over-year increase, fueled by the successful launch of its new Compact Launcher and significant channel expansion.

Summary

• Byrna Technologies Inc. reported preliminary unaudited total revenue of $28.5 million for the fiscal second quarter ended May 31, 2025.
• This represents a 41% increase compared to $20.3 million in the fiscal second quarter of 2024.
• The record performance was primarily driven by strong early demand for the new Byrna Compact Launcher (CL), which launched on May 1, 2025.
• Meaningful channel expansion also contributed, including a 106% year-over-year increase in dealer sales to $7.5 million, partly due to a new partnership with Sportsmans Warehouse.
• E-commerce sales grew 15% year-over-year, supported by increasing brand recognition.
• International sales rose 86%, including approximately $800,000 in royalty revenue from Byrna LATAM.
• The company produced 38,237 Compact Launchers in the quarter, contributing to a total of 63,835 launchers manufactured to support the CL launch and build inventory.

Sentiment

Score: 9

Explanation: The sentiment is highly positive due to record preliminary revenues, substantial year-over-year growth, successful new product launch, significant channel expansion, and optimistic management outlook for sustained momentum.

Positives

• Achieved record preliminary revenue of $28.5 million for fiscal Q2 2025.
• Demonstrated strong year-over-year revenue growth of 41% compared to Q2 2024.
• Successful launch of the new Byrna Compact Launcher (CL) on May 1, 2025, driving significant demand.
• Experienced meaningful channel expansion, with dealer sales increasing 106% to $7.5 million.
• Secured a new partnership with Sportsmans Warehouse, with Byrna products soft-launched in select stores and Byrna Genius installations expected to begin in July.
• E-commerce sales grew 15% year-over-year, indicating strong direct-to-consumer engagement and brand recognition.
• International sales surged by 86%, including a notable $800,000 in royalty revenue from Byrna LATAM.
• Successfully ramped up production, manufacturing 38,237 Compact Launchers and a total of 63,835 launchers in the quarter to ensure sufficient supply.
• Expanded influencer roster with the addition of Tucker Carlson, expected to maintain marketing momentum.

Negatives

• Management noted softness in overall consumer spending throughout the quarter, indicating a challenging broader economic environment.

Risks

• Disappointing market responses to current or future products or services.
• Prolonged, new, or exacerbated disruption of the Company’s supply chain.
• Further or prolonged disruption of new product development.
• Production or distribution delays, or delays in entry or penetration of sales channels due to inventory constraints, competitive factors, increased shipping costs, or freight interruptions.
• Prototype, parts, and material shortages, particularly of parts sourced from limited or sole source providers.
• Determinations by third-party controlled distribution channels not to carry or reduce inventory of the Company's products.
• Determinations by advertisers to prohibit marketing of some or all Byrna products.
• Loss of marketing partners or endorsers.
• Potential cancellations of existing or future orders due to fulfillment delays, introduction of competing products, negative publicity, or other factors.
• Product design defects or recalls.
• Litigation, enforcement proceedings, or other regulatory or legal developments.
• Changes in consumer or political sentiment affecting product demand.
• Regulatory factors including the impact of commerce and trade laws and regulations.
• Import-export related matters or tariffs, sanctions, or embargos that could affect the Company's supply chain or markets.
• Delays in planned operations related to licensing, registration, or permit requirements.
• Future restrictions on the Company's cash resources, increased costs, and other events that could potentially reduce demand for the Company's products or result in order cancellations.

Future Outlook

Byrna Technologies plans to transition to a steady-state production cadence of 15,000 launchers per month. The company expects to maintain momentum through the second half of 2025 and beyond, supported by the ramping Sportsmans Warehouse partnership and an expanded influencer roster. Full financial results for the fiscal second quarter will be reported in July, accompanied by a conference call.

Management Comments

• Byrna CEO Bryan Ganz stated, "We are continuing to raise the bar at Byrna and are encouraged with our ability to generate a record $28.5 million in revenue for the second quarter."
• Bryan Ganz also noted, "While we saw softness in overall consumer spending throughout the quarter, the launch of the CL and sustained expansion of our total addressable market helped drive a 41% year-over-year increase in revenue."
• Ganz added, "This success is a testament to the growing strength of our brand and the innovation behind the CL."
• Regarding production, Ganz commented, "Over the past six months, we’ve steadily ramped production to support a successful launch of the CL. With the rollout now underway and a healthy inventory of SD and LE launchers in place, we are transitioning to a steady-state production cadence of 15,000 launchers per month."
• Ganz concluded, "Combined with the ramping Sportsmans Warehouse partnership and an expanded influencer roster—including the recent addition of Tucker Carlson—we’re well positioned to maintain momentum through the second half of 2025 and beyond."

Industry Context

Byrna Technologies operates in the less-lethal personal security solutions market. Despite management noting a general softness in overall consumer spending, the company's strong preliminary results suggest robust demand for its specific products, particularly the new Compact Launcher, and effective strategies in expanding its distribution channels and brand recognition within this niche.

Comparison to Industry Standards

• The document does not provide specific comparable companies or industry benchmarks to assess Byrna's performance against global standards.
• The reported 41% year-over-year revenue growth is a strong internal indicator of performance, but without industry-wide data for less-lethal personal security solutions, a direct comparison to industry averages or competitors is not possible from this filing.

Stakeholder Impact

• Shareholders: Positive preliminary financial results and strong growth drivers are likely to enhance shareholder value.
• Customers: Expanded retail presence (Sportsmans Warehouse) and new product availability (Compact Launcher) improve access to Byrna's solutions.
• Employees: Increased production and sales growth may indicate job stability and potential for growth within the company.
• Partners (e.g., Sportsmans Warehouse, Byrna LATAM): Strengthening partnerships and increased sales volume benefit collaborators.

Next Steps

• Byrna Genius installations are expected to begin in Sportsmans Warehouse stores in July 2025.
• Byrna plans to report its full financial results for the fiscal second quarter in July 2025.
• A conference call will be held in July to discuss the full results and address questions from investors and analysts.

Key Dates

Recommendation

Keywords

Byrna Technologies, BYRN, less-lethal, personal security, Compact Launcher, Q2 earnings, revenue growth, financial results, non-lethal defense, Sportsmans Warehouse, e-commerce sales, international sales