Dragonfly Energy Holdings Corp. (NASDAQ:DFLI) Earnings and Financial Health

Dragonfly Energy Holdings Corp. (NASDAQ:DFLI) operates within the electronics and miscellaneous products sector, focusing on innovative energy storage solutions, particularly lithium-ion battery technology (including its Battle Born Batteries brand). The company reported its preliminary fourth quarter and full-year 2025 financial results on March 16, 2026.

For the quarter ended December 31, 2025 (Q4 2025), Dragonfly Energy reported a net loss of approximately $45.0 million, or $14.92 per diluted share (a significant widening from the prior year’s quarterly net loss of $9.8 million, or $13.89 per share). The Zacks-reported adjusted quarterly loss was $4.57 per share, missing the consensus estimate of -$0.80 by 471.25% (a negative earnings surprise). Despite the miss, the company has beaten consensus EPS estimates in two of the past four quarters on an adjusted basis.

Revenue for Q4 2025 came in at $13.06 million (or approximately $13.1 million in preliminary figures), slightly beating the Zacks Consensus Estimate by 0.38%. This reflected a 6.9% year-over-year increase from $12.21 million, driven by strength in OEM sales (up ~30% to $8.1 million), though offset by a decline in direct-to-consumer (DTC) sales to $4.7 million from $5.7 million due to market softness and strategic shifts away from DTC focus. The company has surpassed consensus revenue estimates in three of the last four quarters.

For the full year 2025, net sales increased 15.8–16% to $58.6 million (from ~$50.65 million in 2024), primarily driven by 34% growth in OEM sales (to $36.9 million). Gross margin improved to 26.7% (up from prior periods due to better volume utilization), but the company reported a full-year net loss of approximately $69.9 million. Adjusted EBITDA was negative $11.8 million for the year (improved from more negative levels in 2024).

Dragonfly Energy has announced significant corporate actions to strengthen its financial position, including expense reductions, improved cost structure (e.g., ~20% payroll cuts via salary reductions replaced partly with equity, workforce reductions, lower DTC marketing, and facility consolidation), targeting annualized savings of ~$8.9 million. The company aims to achieve positive adjusted EBITDA at an annual revenue run rate of $70 million, with a strategic pivot toward OEM and commercial markets (including trucking applications, such as orders from Werner Enterprises).

However, DFLI’s financial metrics reflect ongoing challenges. The company has a deeply negative trailing P/E. Earnings yield is negative. The price-to-sales (P/S) ratio is low at approximately 0.07 (ttm, based on recent market data with a market cap around $25 million and trailing revenue ~$58.6 million), suggesting the stock trades at a significant discount to sales (potentially undervalued on a revenue basis, though high risk due to losses). Liquidity remains solid with a current ratio of 2.54 (mrq). 

Overall, while revenue shows positive momentum from OEM growth and cost initiatives signal a path to profitability, substantial net losses, negative EBITDA, and market headwinds (e.g., RV sector softness) continue to pose risks. Investors should review the full press release and any subsequent filings for complete details.