Safe Pro Group Inc. reported significant financial developments in its 10-Q filing for the quarter ending September 30, 2024. The company achieved total revenues of $330.8 million for the three months ended September 30, 2024, a substantial increase of 102.2% compared to $163.5 million in the same period of 2023. For the nine months ended September 30, 2024, total revenues reached $1.28 million, up 100.2% from $640.1 million in 2023. This growth was driven by a notable rise in both product sales, which increased to $98.6 million from $58.6 million, and service revenues, which surged to $232.1 million from $105.0 million year-over-year.

Despite the revenue growth, the company reported a net loss of $(3.7 million) for the third quarter of 2024, compared to a loss of $(679,784) in the same quarter of 2023. For the nine-month period, the net loss was $(6.0 million), significantly higher than the $(1.9 million) loss reported in the prior year. The increase in losses was attributed to a dramatic rise in total operating expenses, which soared to $3.7 million in Q3 2024 from $740,664 in Q3 2023, and $6.2 million for the nine months compared to $2.1 million in 2023. The increase in operating expenses was primarily driven by higher salaries, wages, and professional fees.

The company’s cash position improved markedly, with cash as of September 30, 2024, totaling $2.3 million, up from $703,368 at the end of 2023. Total current assets also rose to $3.3 million from $1.3 million, while total assets increased to $5.5 million from $3.4 million. Total liabilities decreased to $1.2 million from $1.7 million, resulting in total stockholders’ equity rising to $4.2 million from $1.8 million.

Strategically, Safe Pro Group completed its initial public offering (IPO) on August 29, 2024, raising gross proceeds of $5.1 million. The IPO involved the conversion of Series A and B preferred stock into common stock, significantly increasing the number of common shares outstanding. The company also made several acquisitions, including Safe Pro AI, which specializes in automated processing of aerial imagery, further diversifying its service offerings.

Overall, while Safe Pro Group Inc. demonstrated strong revenue growth and improved cash reserves, it faced challenges with rising operating expenses and net losses, reflecting the complexities of scaling its operations and integrating recent acquisitions.