Full Press Release Details
Pro Reports Record 560% Revenue Growth in First Quarter as Artificial Intelligence Sales Surge 2,400%, Delivering AI Gross Margins Over
Government Sales Pipeline Driving Momentum Following Successful U.S. Army Exercises and Demonstrations in Q1
Fla. - May 15, 2026 - Safe Pro Group Inc. (Nasdaq: SPAI) (Safe Pro or the Company), a developer of artificial intelligence
(AI)-enabled defense, security, and situational awareness solutions, today announced financial results for the quarter ended March 31,
2026 reflecting the significant impact of a recently commercialized AI-powered Edge compute solution subcontract.
Quarter 2026 Financial and Recent Operational Highlights Include:
| - | Record quarterly revenue of $1,220,129 represents a 560% increase over $184,802 reported in the first quarter of 2025. | |
| - | Safe Pro AI quarterly revenue surged over 2,400%, driven by new contracted sales of the Company's AI-powered drone-based video and imagery analysis systems | |
| - | Quarterly consolidated gross margins were more than 68% inclusive of depreciation validating Safe Pro's highly scalable AI-powered business model. | |
| - | To date, the Company has repurchased 400,000 shares of its common stock under its existing stock repurchase program. | |
| - | The Company ended the quarter maintaining a strong balance sheet with $14.8 million in cash and minimal debt. |
| - | During the quarter the Company received, produced, and delivered multiple Edge processing systems under a $1,000,000 government subcontract , demonstrating its ability to rapidly scale production to meet customer demand. In April, through a contract modification, the subcontract was expanded to provide AI powered Edge processing system support. | |
| - | Interest in the Company's Navigation, Observation & Detection Engine (NODE) and newly introduced NODE-X miniaturized Edge processing solution continues to grow after successfully completing multiple live fire exercises and demonstrations conducted by the U.S. Army. Participation in these invite-only events provides the Company with opportunities to directly engage with defense sector decisionmakers who can provide a pathway to potential product acquisition and deployment. |
| - | In response to growing requests for product demonstration and evaluation by defense industry stakeholders, Safe Pro appointed Jarret Mathews, Colonel, U.S. Army (Retired), formerly the Director, Joint Acquisitions Task Force of the U.S. Army's Special Operations Command, as its Chief Operating Officer . | |
| - | Supporting further collaboration with U.S. government prime contractors, Safe Pro launched its new Growth Team led by Brian Mack, a former Anduril contracting executive as its Chief Growth Officer and Benjamin Chitty, the former Deputy Director and Senior Program Manager of the Joint Acquisition Task Force of the United States Special Operations Command, as VP of Government Growth. Collectively, the team is leading the Company's efforts to capture U.S. government contract awards through teaming agreements with Prime Contractors. |
first quarter results illustrate our AI focused business model is beginning to deliver significant value to our customers and strong
margins for our shareholders," said Dan Erdberg, Chairman and CEO of Safe Pro Group Inc. "We believe Safe Pro is well positioned
to capitalize on the AI era with the momentum we see building for our patented AI solutions within the U.S. Government. Supported by
a strong balance sheet, expanded team of accomplished military acquisition specialists, and an enhanced portfolio of real-world proven
solutions, we are excited about our future."
Company's Safe Pro Object Threat Detection (SPOTD) AI platform analyzes imagery and video from virtually any drone to automatically
detect and classify explosive threats and other objects of interest. The platform converts raw video into high-resolution 2D/3D geospatial
models that can be rapidly shared to support operational decision-making in defense, security, and humanitarian missions. SPOTD is capable
of identifying more than 150 types of landmines and UXO, enabling scalable situational awareness across large, high-risk areas.
SPOTD has been deployed in active operational environments in Ukraine for nearly three years and is supported by a growing proprietary
dataset comprising over 2.7 million analyzed images, more than 49,500 identified threats, and coverage of approximately
financial information included in this press release should be read in conjunction with the Company's Quarterly Report on Form
10-Q for the quarter ended March 31, 2026, to be filed with the Securities and Exchange Commission today.
more information about Safe Pro's real-world landmine and UXO detections, visit: https://safeproai.com/landmine-detections/.
For information about Safe Pro Group, its subsidiaries, and technologies, please visit https://safeprogroup.com and connect with
us on LinkedIn, Facebook, and X.
Pro Group Inc. (NASDAQ: SPAI) is a mission-driven technology company delivering AI-enabled security and defense solutions. Through cutting-edge
platforms like SPOTD, Safe Pro provides advanced situational awareness tools for defense, humanitarian, and homeland security applications
globally. It is a leading provider of artificial intelligence (AI) solutions specializing in drone imagery processing, leveraging commercially
available "off-the-shelf" drones with its proprietary machine learning and computer vision technology to enable rapid identification
of explosives threats, providing a much safer and more efficient alternative to traditional human-based analysis methods. Built on a
cloud-based ecosystem and powered by Amazon Web Services (AWS), Safe Pro Group's scalable platform is targeting multiple markets
that include commercial, government, law enforcement and humanitarian sectors where its Safe Pro AI software, Safe-Pro USA protective
gear and Airborne Response drone-based services can work in synergy to deliver safety and operational efficiency. For more information
on Safe Pro Group Inc., please visit https://safeprogroup.com/.
of the statements in this press release are forward-looking statements within the meaning of Section 27A of the Securities Act of 1933,
Section 21E of the Securities Exchange Act of 1934 and the Private Securities Litigation Reform Act of 1995, which involve risks and
uncertainties. Forward-looking statements relate to future events, future expectations, plans and prospects. Forward-looking statements
in this press release include, without limitation, statements regarding Safe Pro's ability to generate revenue from and achieve
high margins on its AI-powered products; perform under, expand or receive additional orders under government subcontracts; convert U.S.
Army exercises, demonstrations, customer evaluations, teaming agreements and growth-team initiatives into product acquisition, deployment
or additional contract awards; maintain or increase demand for its NODE, NODE-X and SPOTD solutions; and gain acceptance of its solutions
by potential government, military, defense, security and humanitarian organizations. Although Safe Pro Group believes the expectations
reflected in such forward-looking statements are reasonable as of the date made, expectations may prove to have been materially different
from the results expressed or implied by such forward-looking statements. Safe Pro Group has attempted to identify forward-looking statements
by terminology including believes,'' estimates,'' anticipates,''
expects,'' plans,'' projects,'' intends,''
potential,'' may,'' could,'' might,''
will,'' should,'' approximately'' or other words that convey
uncertainty of future events or outcomes to identify these forward-looking statements. These statements are only predictions and involve
known and unknown risks, uncertainties and other factors, including market and other conditions. More detailed information about the
Company and the risk factors that may affect the realization of forward-looking statements is set forth under Item 1A. in the Company's
most recently filed Form 10-K and updated from time to time in the Company's Form 10-Q filings and in other filings with the Securities
and Exchange Commission (the "SEC"), copies of which may be obtained from the SEC's website at www.sec.gov. Any forward-looking
statements contained in this press release speak only as of its date. Safe Pro Group undertakes no obligation to update any forward-looking
statements contained in this press release to reflect events or circumstances occurring after its date or to reflect the occurrence of
unanticipated events, except as required by law.
Relations for Safe Pro Group Inc.:
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Strategic Communications for Safe Pro Group Inc.