AI Earnings Predictions for Palladyne AI Corp (PDYNW)

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Exhibit 99.1

Palladyne AI Reports Second Quarter 2026 Results

Revenue increased 470% year-over-year and 63% sequentially to $5.8 million, driven by both acquisitions and organic growth

Backlog of $24.6 million as of June 30, 2026, net of revenue recognized, reflects approximately $13.0 million in new contract awards during the quarter

Reiterates full-year 2026 revenue guidance of $24 million to $27 million (357% - 415% growth); expects sequential revenue growth in Q3

SALT LAKE CITY – August 6, 2026 – Palladyne AI Corp. (NASDAQ: PDYN and PDYNW) (“Palladyne AI” or “the Company”), a U.S.-based aerospace, defense and industrial technology company delivering embodied AI-powered collaborative autonomy solutions, advanced avionics, precision-manufactured components, UAVs, and advanced aerospace engineering services, today announced financial results for the second quarter ended June 30, 2026.

Ben Wolff, President and Chief Executive Officer of Palladyne AI, commented:

“The headline this quarter is the $13 million of new contract awards, and it is why we are comfortable reiterating guidance for the year. Backlog stands at nearly $25 million even after we recognized a record quarter of revenue, and it remains the number I watch most closely because it is the foundation the next several quarters are built on.

“From a product standpoint, the milestone was executing Ivy Mass and hitting every objective we set for it. Ivy Mass was the first in a series of 4th Infantry Division exercises we were competitively selected for under the Army's Disruptive Applications program. Over the course of three weeks, we integrated SwarmOS with the Army's Next-Generation Command and Control prototype ecosystem. SwarmOS enabled us to operate drones from four different manufacturers, including our own Gremlin-X mini bomber, under a single operator. We also just completed another major DoW exercise in late July, and we have been invited to five more over the next 8 months, starting with Northern Strike, which is underway now.

“We also signed our partnership with Israel Aerospace Industries (IAI) during the quarter, which gives us exclusive U.S. rights to Americanize, manufacture, integrate and market IAI’s HARPY, HAROP and Mini HARPY loitering munitions to the Department of War. These are long-range, battle-proven systems for suppressing and destroying enemy air defenses, and they fill a capability gap that the U.S. arsenal has today. I believe systems like these could not only reduce the kind of aircraft losses we have seen in recent operations in the Middle East, but also do it far more cost-effectively than current methods for eliminating enemy air defenses. Since signing, we have been working alongside IAI

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on the strategy and planning for bringing the Department of War on board with these systems, including Americanization requirements and manufacturing readiness.

“Financially, every part of the business grew this quarter. Our operating cash burn1 ran higher than last quarter. That increase reflects two things: we are still early in scaling revenue against our cost base, and we made deliberate investments ahead of that ramp. We made some one-time capital expenditures, added business development and program management headcount in our Aerospace and Defense division to pursue and support Department of War work, and brought on additional engineers to support existing contracts and advance programs, including Gremlin-X. Those are costs we are taking on against contracts we can already see, and we expect quarterly cash usage to come down as revenue and margins ramp through the second half.”

1The Company defines operating cash burn as cash used in operations plus capital expenditures (capex).

Second Quarter 2026 Strategic and Operational Highlights

• Signed an exclusive partnership with IAI covering U.S. rights to the HARPY, HAROP and Mini HARPY long-range loitering munitions, with no upfront payment and up to ten years of exclusivity;

• Competitively selected for two U.S. Army contracts under the Disruptive Applications Broad Agency Announcement to operationally validate SwarmOS and Gremlin-X with 4th Infantry Division warfighters;

• Secured $2.6 million in orders for BRAIN flight computers from a defense prime, including a $2.3 million contract supporting a low-cost kinetic counter-UAS interceptor;

• Commenced previously announced $4.2 million Air Force Research Laboratory HANGTIME contract, integrating satellites into a coordinated sensor network for the first time;

• Received a $2.9 million U.S. Air Force STRATFI option exercise for the Palladyne IQ embodied AI architecture, bringing total program value to over $10.6 million;

• Demonstrated SwarmOS and Gremlin-X at the Army's Ivy Mass exercise, subsequently participated in an additional Department of War exercise in July, and have been invited to five more through March 2027;

• Selected as one of 14 companies i

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Exhibit 99.1

Palladyne AI Announces Preliminary Second Quarter 2026 Revenue of Approximately $5.8 Million and Backlog of Approximately $24.0 Million

Preliminary second quarter revenue expected to be approximately $5.8 million, up approximately 480% year over year and 66% sequentially

Backlog grew to approximately $24.0 million from $17.3 million at the end of the first quarter

Cash, cash equivalents and marketable securities remained roughly flat from the first quarter at approximately $44.0 million

SALT LAKE CITY – July 8, 2026 – Palladyne AI Corp. (NASDAQ: PDYN and PDYNW) (“Palladyne AI” or “the Company”), a U.S.-based defense and industrial technology company delivering embodied AI-powered collaborative autonomy solutions, advanced avionics, precision-manufactured components, UAVs, and advanced aerospace engineering services, today announced preliminary financial results for its second fiscal quarter ended June 30, 2026.

Select Preliminary 2Q26 Results

In $M

2Q FY26

2Q FY25

2Q FY26 vs. 2Q FY 25

1Q FY26

2Q FY26 Vs. 1QFY 26

Revenue

~$5.8

$1.0

~480%

$3.5

~66%

Backlog

~$24.0

$1.7

~1312%

$17.3

~39%

Ben Wolff, President and Chief Executive Officer of Palladyne AI, commented:

"The second quarter was another quarter where we delivered on our stated plan. Revenue grew substantially again, both year over year and sequentially vs Q1, and we continued to win new business across all of our operations.

“Our plan for this year has been straightforward from the start. We had spent years building the underlying autonomy technology. With the acquisitions we completed in November, we became a vertically integrated, autonomy-based defense technology company, with the engineering, manufacturing and program capability that laid the groundwork for what we announced on June 8.

"That announcement, our partnership with Israel Aerospace Industries, the largest Israeli defense company and pioneer of the loitering munition category more than 40 years ago, was a major step forward for us. This partnership gives us exclusive U.S. rights to a family of combat-proven systems, the HARPY, HAROP and Mini HARPY, that fill gaps in the U.S.

arsenal for which there is no direct domestic equivalent. Despite hundreds of millions of dollars invested by others in this space, no other company has replicated what this family of loitering munitions systems delivers, particularly when it comes to battle-tested capabilities to suppress and destroy enemy air defenses. This partnership, together with the battlefield exercises we participated in this past quarter with SwarmOS™ and Gremlin-X™ and the first large purchase of our BRAIN flight computer by a defense prime for use on a counter-UAS system, has given us even greater optimism about the long-term prospects for our aerospace and defense business."

Second Quarter 2026 Preliminary Financial Highlights

• Revenue of approximately $5.8 million, an increase of approximately 480% compared to $1.0 million in the second quarter of 2025;

o Sequential revenue growth of approximately 66% compared to $3.5 million in the first quarter of 2026;

• Backlog of approximately $24.0 million as of June 30, 2026, up from $17.3 million as of March 31, 2026;

o Gross new contracts added during the quarter of approximately $12.5 million;

• Cash, cash equivalents and marketable securities of approximately $44.0 million as of June 30, 2026, roughly flat compared to March 31, 2026.

Backlog and Contracted Demand

As of June 30, 2026, backlog was approximately $24.0 million, up from $17.3 million as of March 31, 2026, reflecting approximately $12.5 million in new customer programs and contract awards secured across the Company’s operations during the quarter, net of revenue recognized. Backlog represents the total value of committed customer contracts and purchase orders. Palladyne AI expects a majority of this backlog to be recognized as revenue over the next 12 to 18 months.

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About Palladyne AI

Palladyne AI is a U.S.-based technology company developing patented embodied artificial intelligence, collaborative autonomy solutions, advanced avionics, autonomous systems, advanced UAV engineering services, and precision-manufactured components for defense and industrial markets. Palladyne AI delivers secure, American-developed and operated platforms designed to meet the stringent requirements of U.S. government and public-sector customers, including data sovereignty, security, and compliance.

Palladyne AI’s embodied AI is designed to operate in complex, contested, and high-risk environments, enabling distributed tasking, human-on-the-loop decision-making, degraded-communications resilience, and multi-domain coordination. Its platform-agnostic autonomy stack combines real-time sensor fusion, adaptive AI models, and edge-native orchestration, without vendor lock-in, to support autonomous and collaborative systems across air, ground, maritime, and indu

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Exhibit 99.1

Palladyne AI Reports First Quarter 2026 Results

First full quarter as a vertically integrated defense and industrial AI company; revenue increased 107% year-over-year to $3.5 million

Backlog of approximately $17 million as of March 31, 2026, net of revenue recognized, reflects approximately $7 million in new contract awards during the quarter

Reiterates full-year 2026 revenue guidance of $24 million to $27 million (357% - 415% growth); expects sequential revenue growth each quarter with ramp accelerating in the second half of the year

SALT LAKE CITY – May 5, 2026 – Palladyne AI Corp. (NASDAQ: PDYN and PDYNW) (“Palladyne AI” or “the Company”), a U.S.-based defense and industrial technology company delivering embodied AI-powered collaborative autonomy solutions, advanced avionics, precision-manufactured components, UAVs, and advanced aerospace engineering services, today announced financial results for the first quarter ended March 31, 2026.

Ben Wolff, President and Chief Executive Officer of Palladyne AI, commented:

“Q1 was our first full quarter as a vertically integrated defense and industrial AI company. Revenue increased 107% year-over-year to $3.5 million, and the quarter saw broad-based activity across defense programs, commercial deployment and intellectual property development. That activity is reflected in our backlog, which grew to approximately $17 million as of March 31, and we remain on track to achieve our 2026 revenue guidance of $24 million to $27 million.

“The Department of War is committing historic resources to autonomous systems, collaborative swarming, counter-UAS, long-range precision fires and missile defense, and Palladyne AI is actively pursuing opportunities across those programs. We are executing on multiple fronts simultaneously with contracted backlog, deployed product and published intellectual property that together reflect the progress we are making and the category we are defining.”

First Quarter 2026 Strategic and Operational Highlights

Defense, Space and Autonomy

• Demonstrated collaborative autonomous swarming among the Gremlin-X (formerly Project Banshee) platform utilizing IntelliSwarm and multiple Red Cat (NASDAQ: RCAT) platforms operating with SwarmOS;

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• Progressed development of new BRAIN flight computer variants; received follow-on orders from an existing defense prime customer for the commercialized X2 variant for approximately $500,000;

• Expanded the Draganfly partnership, successfully testing SwarmOS across Draganfly’s defined mission-ready drone components and validated the system through completion of a successful flight simulation;

• Expanded into the space domain through the Air Force Research Lab (AFRL) HANGTIME award, deploying SwarmOS as the foundational technology to coordinate autonomous systems across satellite, aerial and ground domains, marking the first planned integration of Palladyne's collaborative autonomy platform with space-based assets;

• Secured a contract with Portal Space Systems, through GuideTech, to support development of next-generation maneuverable spacecraft platforms, providing navigation, guidance, spacecraft modeling, embedded software and avionics support across civil, defense and commercial applications;

• Secured a contract with a major U.S. defense prime contractor, through Palladyne Defense, to deliver a mission-critical propulsion subsystem for an existing U.S. missile system program, expected to contribute nearly $1 million in 2026 revenue.

Commercial and Industrial

• Hired Matt Muta as President of Commercial and Industrial to focus on capturing commercial opportunities;

• Initiated active deployment of Palladyne IQ 2.0 with the Company’s first commercial customer, with the initial robot systems integration underway;

• Continued advancing the IQ 2.0 pipeline and product roadmap to support expanded use cases and customer deployments.

Thought Leadership and Intellectual Property

• Published “Cloud AI Thinks. Edge Autonomy Acts.,” introducing the Decentralized Embodied Collaborative Autonomy (DECA) framework and establishing the biological and architectural case for edge-native AI as a distinct platform class;

• Published “From Remote Control to Collaborative Swarm Intelligence,” applying the SAE automotive autonomy framework to drone swarming and establishing

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Oracle-Class Wolf Pack Swarming as the highest level of collaborative autonomous capability – where SwarmOS operates;

• Strengthened intellectual property portfolio through a new patent issuance supporting advanced swarming and decentralized autonomy architectures, and filed two new patent applications related to Palladyne AI’s AI software products and technologies.

First Quarter 2026 Financial Highlights (vs. first quarter 2025)

• Revenue increased 107% to $3.5 million compared to $1.7 million;

• Operating loss of ($11.9) million compared to ($6.9) million, r