WRAP

EX-99.1

2 ex99-1.htm

EX-99.1

Exhibit 99.1

Wrap Reports $1.1M Q1 Revenue; $3.2M in Bookings; Lands DHS Contract as Drone and Counter-UAS Pre-Orders Accelerate

Company Reports 45% Revenue Growth in First Quarter 2026; Operating Cash Expenses Improve 59% as SG&A Reflects Investment in Sales and Go-to-Market Expansion

Miami, FL – May 13, 2026 – Wrap Technologies, Inc. (NASDAQ: WRAP) (“Wrap” or, the “Company”), a global leader in non-lethal response, today announced financial and operating results for the first quarter ended March 31, 2026, highlighted by triple-digit growth in product sales, an expanding active installed base, and a strengthened balance sheet as the Company continues to execute against its target of approximately 100% revenue growth in 2026.

First Quarter 2026 Financial Highlights (vs. Q1 2025):

●Revenue increased 45% to $1.1 million, compared to $0.8 million in the prior-year period

●Bookings totaled $3.2 million in Q1 2026, including approximately $1.1 million from domestic sales and $2.1 million from international sales, reflecting continued global demand for Wrap’s Non-Lethal Response solutions.

●Product sales increased 186% to $0.9 million, compared to $0.3 million in the prior-year quarter, driven by increased domestic and international demand for the BolaWrap 150 product line

●Wrap received a purchase order for BolaWrap technology from the U.S. Department of Homeland Security, providing an early federal adoption milestone as the Company advances its Wrap Federal strategy across non-lethal response, drone interdiction, and counter-UAS markets.

●Gross profit increased 16% to $0.7 million, compared to $0.6 million in the prior-year period

●Gross margin was 62%, compared to 78% in the prior-year period

●Total operating expenses were $5.5 million, compared to $4.5 million in the prior-year period, with the year-over-year increase primarily reflecting higher non-cash share-based compensation expense

●Loss from operations was $(4.8) million, compared to $(3.9) million in the prior-year period

●Net loss was $(4.5) million compared to net income of $0.1 million in the prior-year period; the prior-year period included a $4.0 million non-cash gain from the change in fair value of warrant liabilities

●Cash and cash equivalents were $7.3 million at March 31, 2026, compared to $3.5 million at December 31, 2025

●Cash used in operating activities improved 59% to $(1.2) million, compared to $(3.1) million in the prior-year period

Business Highlights:

1. Drone Related Technology Expansion & Pre-Order Sales.

○ Wrap secured a binding pre-order for drone and counter-drone systems supporting expansion across the United Kingdom and Europe.

○ The Company also received a follow-on DFR-X drone interdiction order from a Panama-based partner, reflecting international interest in non-lethal aerial response technologies.

○ Wrap entered into a strategic agreement in India covering BolaWrap, WrapReality, and DFR-X drone interdiction systems, expanding its international market presence and integrated platform strategy.

2. R&D into Additional Platforms and Markets.

○Wrap continued its Made-in-America supply chain initiative.

○The Company established a drone testing and Non-Lethal Response training site in Florida in partnership with WOFT to accelerate product development, testing, and operational training capabilities.

○Wrap filed an intellectual property application for a next-generation multi-shot non-lethal response system and announced an R&D expansion into net-based drone interdiction, broadening its non-lethal counter-UAS portfolio and expanding into new operational applications.

3. Deepening Existing Customers with Additional Sales.

○Multiple agencies transitioned to department-wide BolaWrap 150 deployments for all sworn officers, consistent with the Company’s strategy of expanding from individual device placements to agency-wide programmatic adoption.

○Wrap expanded international training and certification activity through instructor retraining and program growth with the Malta National Police Force.

○Continued consumable reorder activity across the active installed base reinforced ongoing field utilization and recurring customer engagement.

Q1 2026 Management Commentary Summary:

Customers are increasingly resonating with technologies centered around early intervention, threat detection, and safer response outcomes, which aligns with the operational philosophy behind Wrap’s flagship BolaWrap platform. As public safety agencies continue seeking alternatives that can intervene earlier, reduce escalation risk, and integrate force governance considerations, the Company believes demand may expand beyond traditional handheld tools toward integrated systems capable of supporting safer autonomous and semi-autonomous response models over time. The foregoing are forward-looking statements subject to the risks and uncertainties described below under “Cautionary Note on Forward-Looking Statemen

EX-99.1

2 ex99-1.htm

EX-99.1

Exhibit 99.1

Wrap Accelerates Momentum Targeting 100% Revenue Growth in 2026; Company Reports Fourth Quarter and Full Year 2025 Results

Full Year Gross Revenue Grows 15%; Q4 Gross Revenue Up 62%; Full Year Technology-Enabled Services Revenue Increases 85%; Operating Loss Improves 13%

Miami, FL – March 26, 2026 – Wrap Technologies, Inc. (NASDAQ: WRAP) (“Wrap” or, the “Company”), a global leader in non-lethal response, today announced financial and operating results for the fourth quarter and full year ended December 31, 2025, highlighted by accelerating revenue growth, expanding margins, and improving operating efficiency as the Company targets approximately 100% revenue growth in 2026.

Fourth Quarter 2025 Financial Highlights (vs. Q4 2024):

●Gross revenue increased 62% to $1.4 million, compared to $0.9 million in the prior-year period

●Product sales more than doubled to $1.2 million, compared to $0.6 million in the prior-year quarter, driven by increased domestic and international demand for BolaWrap

●Gross profit increased 79% to $0.7 million, compared to $0.4 million in the prior-year period

●Gross margin increased from 47% to 52%

●Total operating expenses decreased 7% to $4.7 million, compared to $5.0 million in the prior-year quarter, suggesting continued cost discipline while investing in new products and market expansion

●Loss from Operations improved 15% to $(3.9) million, compared to $(4.6) million in the prior-year period

●Fourth quarter net loss improved 48% to $(3.9) million, compared to $(7.6) million in the prior-year period, aligning with the combined impact of revenue growth, margin expansion, and continued cost discipline

Full Year 2025 Financial Highlights (vs. FY 2024):

●Gross Revenue was up 15% year-over-year, going from $4.5 million in 2024 to $5.2 million in 2025

●Technology-enabled services revenue of $1.7 million in 2025, up 85% from $0.9 million in 2024, reflecting the acquisition of W1 in early 2025 and the expansion of training, managed services, and software subscriptions

●Gross Profit increased by 9.5%, or $0.2 million year-over-year, increasing from $2.5 million in 2024 to $2.7 million in 2025

●Gross Margin increased from 55% to 58%

●Total operating expenses decreased 10% to $16.2 million in 2025, down from $18.0 million in the prior-year period

●Loss from operations improved 13% to $(13.5) million, compared to $(15.6) million in 2024

●Net loss of $(10.3) million compared to $(5.9) million in 2024. The year-over-year increase was driven by a $6.4 million reduction in non-cash income from warrant fair value adjustments.

Business Highlights:

1.Customer Retention and Deepening Engagement. Nearly half of all departments trained in 2025 were existing customers returning for instructor recertification, suggesting sustained commitment to their programs and deepening engagement with Wrap’s training ecosystem

2.Training Drives Outcomes. Agencies supported through Wrap’s full Non-Lethal Response framework, including instructor certification, recertification, and solution integration, demonstrated a significantly higher field use success rate in 2025, reinforcing the link between ongoing training and real-world performance.

3.Shift to Fleet-Wide Deployments. Average deal size increased nearly sixfold from the first half to the fourth quarter of 2025, aligning with the Company’s strategic shift from individual device placements to comprehensive, fleet-wide Non-Lethal Response deployments that combine hardware and training.

4.Active Installed Base. Over 10,000 active BolaWrap units are deployed domestically, with more than 76% on the current-generation BolaWrap 150 platform. Consistent consumable reorder activity across agencies throughout 2025 suggests active field deployment in both training and real-world operations.

5.International Expansion. Wrap expanded its international presence in 2025 and early 2026, including new distribution partnerships and purchase orders spanning multiple continents, and recent entry into the Indian market through a strategic agreement covering BolaWrap, WrapReality, and DFR-X drone interdiction systems.

2025 Management Commentary Summary:

A year ago, we outlined our vision for transforming Wrap from a product company into something different. In 2025, we executed on that vision, and what emerged is a company we believe is positioned to lead an entirely new category in public safety; Non-Lethal Response (“Non-Lethal Response” or “NLR”). What we described last year as an evolving product roadmap is now an operational Non-Lethal Response framework; an integrated system of tools, training, and tactics designed to give public safety professionals proactive, lawful control of encounters.

We are no longer solely a device company. We are a solutions company. Our main solution is straightforward; safer outcomes. The outcome we have delivered so far is measurable: no injuries, no fatalities, and no resulting lit

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UNITED

STATES

SECURITIES

AND EXCHANGE COMMISSION

Washington,

D.C. 20549

FORM

8-K

CURRENT

REPORT

Pursuant to Section 13 or 15(d) of the

Securities Exchange Act of 1934

Date of Report (Date of earliest event reported): November 12, 2025

WRAP

TECHNOLOGIES, INC.

(Exact name of registrant as specified in its charter)

Delaware

001-38750

98-0551945

(State or other jurisdiction

of incorporation)

(Commission

File Number)

(IRS

Employer

Identification No.)

3480 Main Hwy, Suite 202

Miami, Florida 33133

(Address of principal executive offices) (Zip Code)

(800) 583-2652

(Registrant’s telephone number, including area code)

Not Applicable

(Former name or former address, if changed since last report)

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:

☐ Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

☐ Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

☐ Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

☐ Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

Securities registered pursuant to Section 12(b) of the Act:

Title of each class

Trading Symbol(s)

Name of each exchange on which registered

Common Stock, par value $0.0001 per share

WRAP

Nasdaq Capital Market

Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (17 CFR 230.405) or Rule 12b-2 of the Securities Exchange Act of 1934 (17 CFR 240.12b-2) ☐

Emerging growth company ☐

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐

Item 2.02 Results of Operations and Financial Condition.

On November 12, 2025, Wrap Technologies, Inc. (the “Company”) issued an earnings release to announce the Company’s financial results for its fiscal quarter ended September 30, 2025. A copy of the earnings release is attached to this Current Report on Form 8-K as Exhibit 99.1.

The information in this Current Report on Form 8-K, including the information set forth in Exhibit 99.1, is being furnished and shall not be deemed “filed” for purposes of Section 18 of the Securities Exchange Act of 1934, as amended (the “Exchange Act”), nor shall any exhibit filed herewith be deemed incorporated by reference in any filing under the Securities Act of 1933, as amended, or the Exchange Act, except as shall be expressly set forth by specific reference in such a filing.

Item 9.01 Financial Statements and Exhibits.

(d) Exhibits

Exhibit No.

Description

99.1

Press release dated November 12, 2025

104

Cover Page Interactive Data File (embedded within the Inline XBRL document)

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

WRAP

TECHNOLOGIES, INC.

Date: November 12, 2025 By: /s/ Scot Cohen

Scot Cohen

Chief Executive Officer

(Principal Executive Officer, Principal Financial Officer and Principal Accounting Officer)