Revenue growth remains volatile and project-based, with the company reporting a net loss of $942.1K and a thin 18.0% gross margin in the most recent quarter.
| Sales/Revenue | 303.45K | 932.15K | 620.51K | 560.12K | 724.39K | 762.41K |
| Revenue Growth % | -67.45% | 50.22% | 10.78% | -22.68% | -4.99% | - |
| Cost of Goods Sold | 288.96K | 873.86K | 476.61K | 337.56K | 464.71K | 848.93K |
| COGS % of Revenue | 95.23% | 93.75% | 76.81% | 60.27% | 64.15% | 111.35% |
| Gross Profit | 14.48K | 58.29K | 143.9K | 222.55K | 259.68K | -86.52K |
| Gross Margin % | 4.77% | 6.25% | 23.19% | 39.73% | 35.85% | -11.35% |
| Gross Profit Growth % | -75.15% | -59.49% | -35.34% | -14.3% | 400.13% | - |
| Operating Expenses | 2.2M | 5.62M | 2.94M | 2.06M | 1.25M | 1.23M |
| OpEx % of Revenue | 725.87% | 603.37% | 474.37% | 367.99% | 172.16% | 161.76% |
| Selling, General & Admin | 5.26M | 3.48M | 1.96M | 1.03M | 643.4K | 914.43K |
| SG&A % of Revenue | 1733.13% | 373.44% | 316% | 184.15% | 88.82% | 119.94% |
| Research & Development | 677.9K | 2.14M | 636.8K | 640.33K | 603.7K | 318.87K |
| R&D % of Revenue | 223.4% | 229.94% | 102.63% | 114.32% | 83.34% | 41.82% |
| Other Operating Expenses | -3.73M | 0 | 345.93K | 389.4K | 0 | 0 |
| Operating Income | -2.19M | -5.57M | -2.8M | -1.84M | -987.43K | -1.32M |
| Operating Margin % | -721.09% | -597.12% | -451.18% | -328.25% | -136.31% | -173.11% |
| Operating Income Growth % | 60.69% | -98.82% | -52.27% | -86.2% | 25.18% | - |
| EBITDA | -2.18M | -5.54M | -2.79M | -1.82M | -969.8K | -1.3M |
| EBITDA Margin % | -718.31% | -594.67% | -450.43% | -324.95% | -133.88% | -170.89% |
| EBITDA Growth % | 60.68% | -98.33% | -53.56% | -87.68% | 25.57% | - |
| D&A (Non-Cash Add-back) | 8.46K | 22.81K | 4.63K | 18.5K | 17.63K | 16.92K |
| EBIT | -2.19M | -5.57M | -3.62M | -1.45M | -987.43K | -1.32M |
| Net Interest Income | 62.92K | 200.72K | 57.93K | 185.57K | 115.18K | -619.55K |
| Interest Income | 62.92K | 200.72K | 210.68K | 202.96K | 115.18K | -614.77K |
| Interest Expense | 0 | 0 | 152.75K | 17.39K | 0 | 4.77K |
| Other Income/Expense | 619.05K | -5.49M | -971.77K | 185.57K | 372.05K | -619.55K |
| Pretax Income | -1.57M | -11.05M | -3.77M | -1.65M | -615.38K | -1.94M |
| Pretax Margin % | -517.09% | -1185.88% | -607.79% | -295.12% | -84.95% | -254.37% |
| Income Tax | 0 | 0 | 0 | 0 | 0 | 0 |
| Effective Tax Rate % | 0% | 0% | 0% | 0% | 0% | 0% |
| Net Income | -1.57M | -11.05M | -3.77M | -1.65M | -615.38K | -1.94M |
| Net Margin % | -517.09% | -1185.88% | -607.79% | -295.12% | -84.95% | -254.37% |
| Net Income Growth % | 85.81% | -193.11% | -128.15% | -168.62% | 68.27% | - |
| Net Income (Continuing) | -1.57M | -11.05M | -3.77M | -1.65M | -615.38K | -1.94M |
| Discontinued Operations | 0 | 0 | 0 | 0 | 0 | 0 |
| Minority Interest | 0 | 0 | 0 | 0 | 0 | 0 |
| EPS (Diluted) | -0.09 | -0.99 | -0.77 | -0.28 | -0.10 | -0.33 |
| EPS Growth % | 90.93% | -28.57% | -175% | -180% | 69.7% | - |
| EPS (Basic) | -0.09 | -0.99 | -0.77 | -0.28 | -0.10 | -0.33 |
| Diluted Shares Outstanding | 17.47M | 11.13M | 4.89M | 5.95M | 5.95M | 5.95M |
| Basic Shares Outstanding | 17.47M | 11.13M | 4.89M | 5.95M | 5.95M | 5.95M |
| Dividend Payout Ratio | - | - | - | - | - | - |
Imminent Liquidity and Regulatory Risk
As indicated by the most recent quarterly filings, ParaZero's revenue trajectory remains highly erratic, with the company reporting $208.2K in the latest period, reflecting a lack of consistent demand and a heavy reliance on lumpy, project-based sales rather than a scalable, recurring revenue model.
The revenue profile suggests that the company is struggling to transition from a niche hardware provider to a standardized component supplier for major drone OEMs. Investors should monitor whether the recent 18.9% quarterly growth represents a genuine recovery or merely a temporary fluctuation in a business model that lacks clear, repeatable sales channels.
Based on reported financial statements, the company's gross margin has fluctuated significantly, reaching 18.0% in the most recent quarter, which highlights the difficulty of maintaining profitability when manufacturing costs and regulatory compliance expenses remain high relative to the current, limited volume of unit sales.
The inability to maintain consistent gross margins suggests that ParaZero faces significant pricing pressure or high per-unit production costs that prevent the realization of economies of scale. This margin volatility warrants further investigation into whether the company is effectively passing through integration costs or if it is forced to subsidize its hardware to maintain market presence.
According to the income statement data, ParaZero's operating expenses, particularly R&D and SG&A, consistently dwarf gross profit, resulting in a persistent operating loss that underscores the company's current inability to achieve operational efficiency at its existing scale of operations.
The high fixed-cost structure appears to be a byproduct of the intensive regulatory and engineering requirements necessary to maintain ASTM compliance. Without a significant increase in revenue, the current expense discipline may be insufficient to prevent further erosion of the company's limited cash reserves.
As highlighted by the company's heavy reliance on DJI airframes, the primary risk to the income statement is the potential for sudden regulatory obsolescence, which could render the company's entire product portfolio and R&D investment effectively worthless in the event of a U.S. legislative ban.
Short-sellers would likely focus on the company's precarious cash position of $677,516 relative to its ongoing operating losses, which suggests that the business may be nearing a point of insolvency. The lack of a clear path to profitability, combined with the binary nature of its regulatory-dependent demand, makes the current valuation appear highly speculative.
Quick answers to the most common questions about buying PRZO stock.
For fiscal year 2025, ParaZero Technologies Ltd. (PRZO) reported total revenue of $0.3M. This represents a 60.2% decline compared to $0.8M in 2020.
ParaZero Technologies Ltd. (PRZO) reported a net loss of $1.6M for the fiscal year ending 2025.
ParaZero Technologies Ltd. (PRZO) reported an operating income of $-2.2M, resulting in an operating profit margin of -721.1%. This margin reflects the operational efficiency of the business before interest and taxes.
ParaZero Technologies Ltd. (PRZO) generated $0.0M in gross profit for the year, representing a gross profit margin of 4.8%. This demonstrates the company's core pricing power and production efficiency.