Fri, May 2, 9:19 PM (21 days ago)
**Summary of Digital Ally, Inc. (DGLY) Financial Performance:** **Financial Performance:** - **Revenue:** The company reported total revenues of $19,650,802 for the year ended December 31, 2024, a decrease of 30.4% from $28,248,344 in 2023. - **Net Income:** The company reported a net loss of $21,715,725 for 2024, an improvement of 15% from a net loss of $25,463,949 in 2023. - **Earnings per Share (EPS):** The basic and diluted loss per share was $5.58 for 2024, compared to $9.22 in 2023. **Segment Performance:** - **Video Solutions Segment:** Revenue decreased by 53.6% to $1,997,389 in 2024 from $4,303,369 in 2023. The segment faced increased competition and price-cutting actions by competitors. - **Revenue Cycle Management Segment:** Revenue decreased by 8.7% to $6,131,650 in 2024 from $6,713,678 in 2023 due to refinement within one of the recent acquisitions. - **Entertainment Segment:** Revenue decreased by 32.5% to $3,406,928 in 2024 from $5,044,576 in 2023 due to a reduction in scope of primary ticket sales by TicketSmarter. **Operating Expenses:** - **Cost of Revenue:** Total cost of revenue decreased by 41% to $14,161,470 in 2024 from $22,485,860 in 2023. - **Selling, General, and Administrative Expenses:** These expenses decreased by 26% to $20,690,872 in 2024 from $28,003,037 in 2023, primarily due to a reduction in new advertising sponsorships and a goodwill and intangible asset impairment charge. **Strategic Overview:** - The company is focusing on cost-cutting initiatives, right-sizing recent acquisitions, and transitioning to a service subscription-based model in the video solutions segment. - The company is also exploring strategic alternatives, including the sale of assets, properties, or individual businesses, or a merger or combination with another company. **Future Outlook:** - The company expects to continue its cost-cutting initiatives and strategic acquisitions to improve its financial performance. - The company will need to restore positive operating cash flows and/or raise additional capital in the short-term to fund operations and meet customary payment obligations. **Risk Factors:** - The company faces significant risks, including increased competition, economic uncertainty, and the need to raise additional capital. - The company's ability to execute its strategic plan and improve its financial performance is uncertain. **Financial Condition:** - The company had cash and cash equivalents of $454,314 as of December 31, 2024, a decrease from $778,149 in 2023. - The company had net negative working capital of $19,377,507 as of December 31, 2024. **Market Position Changes:** - The company's stock trades on the Nasdaq Capital Market under the symbol "DGLY." - The company had approximately 157 shareholders of record for its common stock as of May 2, 2025.