Red Cat Reports Sharp Revenue Surge

Red Cat Holdings closed out 2025 with a sharp acceleration in revenue, reflecting rising demand from defense and government customers and the company’s ability to scale quickly. Preliminary results for the fourth quarter and full year point to a step-change in the business, driven by stronger program activity and increased production capacity.

Fourth-quarter revenue is expected to range from $24 million to $26.5 million , representing a substantial increase compared with the same period last year. For the full year, revenue is projected between $38 million and $41 million , more than doubling the prior year’s total. The company attributed this growth to expanding government orders and improved execution across its operations.

Demand was concentrated in unmanned systems used for national security and defense missions, where customers continue to prioritize dependable, domestically produced technology. Red Cat reported that its teams were able to respond by ramping up manufacturing and delivery to meet time-sensitive requirements, helping convert a growing sales pipeline into recognized revenue.

The company’s portfolio spans aerial, land, and maritime systems, with momentum across both its core small unmanned aircraft offerings and its developing maritime platforms. Management pointed to increased adoption of integrated hardware and software solutions designed to operate across multiple domains, aligning with broader defense modernization efforts.

Red Cat emphasized that the reported figures are preliminary and unaudited, and may change as year-end accounting and audit work is completed. These results are intended to provide an early view of performance rather than a complete financial picture.

Looking into 2026, management expects growth to continue as customer demand remains strong and operating leverage improves. With a larger pipeline and broader engagement across defense and government agencies, the company is positioning itself to build on the momentum established in 2025 while expanding the reach of its unmanned systems into new mission areas.