RCAT Earnings Prediction
The chart below shows how RCAT performed 10 days before and after its earnings report, based on data from the past quarters. Typically, RCAT sees a -1.61% change in stock price 10 days leading up to the earnings, and a +19.53% change 10 days following the report. On the earnings day itself, the stock moves by +3.03%. This data can give you a slight idea of what to expect for the next quarter's release.
RCAT Key Earning Data
2024/Q4
Year Over Year
Quarter Over Quarter
Total Revenue
1.53M
-60.96%
-44.73%
Gross Margin
-1.53%
-105.01%
-91.21%
Operating Margin
-594.01%
377.27%
116.04%
Net Margin
-868.86%
551.27%
94.29%
EPS
-0.18
-63.64%
5.88%
No Data Available
RCAT Earnings Analysis
Red Cat Holdings, Inc. Common Stock Corporation (RCAT.O) Earnings Conference Call
Positive
US Army Program Win: We are excited to announce that we have been selected as the winner of the US Army's Short Range Reconnaissance Program of Record.
Acquisition of Flight Wave: We closed the acquisition of Flight Wave, adding the Edge 130 to our product mix.
Future Gross Margin Expectations: We expect to reach up to 50% gross margins in the future under mass production.
Operational Cash Increase: Cash used in operations totaled $12.5 million, representing an 11% increase compared to the same period last year.
Customer Quotes Received: We have received $14.7 million in quotes for Black Widow customers.
Negative
Revenue Decline Analysis: Year-to-date revenues totaled $4.3 million compared to $5.7 million for the same period last year, representing a 24% year-over-year decrease due to the company's strategic decision to focus on Black Widow.
Gross Margin Decline: Gross margin year-to-date was negative 12% of revenue compared to positive 25% in the same period last year, primarily due to the final delivery of the prototypes for the SRR Tranche 2 program at the start of the fiscal year.
Acquisition Impact on Margins: During quarter two, we closed the acquisition of Flight Wave, adding the Edge 130 to our product mix, which has resulted in lower than targeted gross margins.
Operational Cash Increase: Cash used in operations totaled $12.5 million, representing an 11% increase compared to the same period last year, indicating rising operational costs.
Strategic Manufacturing Shift: We have dramatically shifted manufacturing and sales efforts to prepare for mass production of Black Widow in calendar 2025, prioritizing long-term growth over short-term revenue.
RCAT FAQs
How does RCAT typically perform around its earnings report dates?
Is Red Cat Holdings, Inc. (RCAT) Q2 2025 Earnings Call Summary positive or negative?
How can historical earnings data help predict future stock performance?
RCAT Earning Call Sentiment
Red Cat Holdings, Inc. (RCAT) Q2 2025 Earnings Call Transcript
1.0x
00:00
00:00
RCAT.O
4.56%Positive
The earnings call reveals several concerns: a 24% revenue decline, negative gross margins, and increased cash usage. Despite potential cash inflows, reliance on external financing and competitive pressures add uncertainty. The Q&A highlights unclear responses on revenue per drone and NATO contracts, indicating potential risks. While partnerships and strategic initiatives show promise, the financial health and market competition issues overshadow them, suggesting a negative stock reaction.
