Byrna Technologies Q2 Revenue Falls 43% to $16.4M, Loses $10.1M
BYRN•Byrna’s Q2 revenue plunged 43% to $16.4 M, sending gross profit down to $1.8 M with a $5.9 M inventory write-down and $3.5 M equipment impairment contributing to a $10.1 M net loss. The company signed a binding agreement to acquire HERO Defense Systems and saw a 30% conversion rate in its demo program.
1. Financial Results for Fiscal Q2 2026
Byrna reported net revenue of $16.4 M for the quarter ended May 31, down 43% from $28.5 M a year earlier. Gross profit fell to $1.8 M (11% margin) from $17.6 M (62% margin), reflecting a $5.9 M inventory write-down and $3.5 M equipment impairment; net loss was $10.1 M and adjusted EBITDA was a $0.6 M deficit.
2. Operational Highlights and Strategic Actions
During Q2, Byrna entered a binding agreement to acquire HERO Defense Systems, expanded its “try before you buy” pilot with a 30% conversion rate, and generated over 150,000 guided shopping responses, doubling conversion versus overall site rates. The company reduced launcher lines from four to two, ceased in-house ammunition manufacturing, activated a Fox Sports media partnership, realigned marketing functions, and appointed new agencies and a Chief Strategy Officer.
3. Liquidity Position and Inventory Management
As of May 31, Byrna held $10.4 M in cash, cash equivalents and marketable securities, down from $15.5 M at fiscal year-end. Inventory stood at $30.4 M, slightly below the November balance of $32.7 M, as the company focuses on working capital efficiency and inventory reduction.
