Digital Ally Advances with Strong Sales and New Innovations

Rhea-AI Summary

Digital Ally (NASDAQ: DGLY) reported securing approximately 160 new subscription contracts throughout 2024 for its FirstVu PRO body-worn cameras and EVO-HD in-car video solutions. The company is currently addressing operational delays, including over $1.5 million in backordered products, which are expected to be fulfilled within the next 120 days. Digital Ally plans to introduce new advancements, including the FirstVu PRO Utility integrated body camera with multiple advanced features, and continues to release updates for its EVO-Web platform, with the latest version V2.3 focusing on bug fixes and new features.

Positive

• Secured 160 new subscription contracts in 2024
• Strong demand for FirstVu PRO and EVO-HD products
• $1.5 million in backorders indicating robust market demand

Negative

• Operational delays affecting product deliveries
• Extended 120-day timeline to fulfill existing backorders

Insights

Financial Analyst

The announcement reveals meaningful operational metrics and financial data that warrant investor attention. The $1.5 million backorder figure indicates strong product demand, though it also highlights supply chain challenges. The addition of 160 new subscription contracts in 2024 signals positive revenue momentum and recurring income potential. The planned 120-day timeline for fulfilling backorders provides a clear operational target that could translate to revenue recognition in upcoming quarters.

The company's focus on subscription-based products like FirstVu PRO and EVO-HD suggests a strategic shift toward more predictable revenue streams. However, investors should note that while backorders demonstrate demand, they also represent delayed revenue and potential customer satisfaction risks. The planned product enhancements and EVO-Web updates indicate ongoing R&D investment, which could impact near-term margins but support long-term competitiveness.

Lenexa, KS, Nov. 19, 2024 (GLOBE NEWSWIRE) -- Digital Ally, Inc. (NASDAQ: DGLY)(the “Company” or “Digital Ally”), a leading provider of video solutions that develops, manufactures, and markets advanced video recording products and other critical safety products for law enforcement, emergency management, fleet safety, and event security, is forging ahead with cutting-edge innovations and strong leadership aimed at reshaping the future of security and efficiency in video technology systems.

Today the Company announced that approximately 160 new subscription contracts were signed throughout 2024, continuing to display the strong demand for its FirstVu PRO body-worn cameras and EVO-HD in-car video solutions.

Widely recognized for its excellence in developing and manufacturing scalable video solutions, Digital Ally continues to set the industry benchmark with exceptional service and next-generation technology solutions.

In recent months, Digital Ally started addressing some operational delays, including over $1,500,000 in backordered products. The Company appreciates the patience and understanding of its valued clients and partners and reassures them that all possible measures are being implemented to mitigate these delays and streamline the delivery process. The Company anticipates such backorders will be filled over the next 120 days. 

Digital Ally plans to unveil several advancements in its suite of video solutions, including the FirstVu PRO Utility integrated on the body camera that allows for multiple advanced features requested by our growing customer base. Digital Ally is set to have continual EVO-Web version releases such as its latest release V2.3 including continued bug fixes and features, ensuring that client needs are both anticipated and meticulously addressed.

CEO Stan Ross remarks: "At Digital Ally, our commitment to innovation and excellence remains undeterred. We strive to not only meet the needs of our partners today but also anticipate the needs of tomorrow. As we navigate these dynamic times, we stand firm on our foundations of quality, service, and trust.”

About Digital Ally

Digital Ally, Inc. (NASDAQ: DGLY) specializes in the development and manufacturing of video and analytics solutions for law enforcement, emergency management, and commercial applications. With a focus on delivering reliable and innovative technology, Digital Ally empowers organizations to enhance safety, streamline operations, and mitigate risks.

For additional news and information please visit www.digitalallyinc.com.

Forward-Looking Statements:
This press release includes certain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, including statements regarding anticipated product releases, mitigation of operational delays and backorder fill dates, future business prospectus and strategy. These statements are based on the Company’s current expectations or beliefs and are subject to uncertainty and changes in circumstances. Actual results may vary materially from those expressed or implied by these forward-looking statements due to risks and uncertainties, including the Company’s history of losses in recent years, economic and other risks to the Company’s business from the effects of the COVID-19 pandemic, including the impacts on the Company’s law-enforcement and commercial customers, suppliers and employees and on the Company’s ability to raise capital as required, the Company’s ability to increase revenues, increase its margins and return to consistent profitability in the current economic and competitive environment, the Company’s operation in developing markets and uncertainty as to market acceptance of its technology and new products, the availability of funding from federal, state and local governments to facilitate the budgets of law enforcement agencies, including the timing, amount and restrictions on such funding, the Company’s ability to deliver its new product offerings as scheduled, and whether new products perform as planned or advertised and whether they will help increase revenues, whether the Company will be able to increase the sales, domestically and internationally, for its products in the future, the Company’s ability to maintain or expand its share of the market for its products in the domestic and international markets in which it competes, the Company’s ability to produce its products in a cost-effective manner, competition from larger, more established companies with far greater economic and human resources, the Company’s ability to attract and retain quality employees, risks related to dealing with governmental entities as customers, the Company’s expenditure of significant resources in anticipation of sales due to lengthy sales cycle and the potential to receive no revenue in return, risk related to rapid technological change, defects in the Company’s products that could impair the Company’s ability to sell its products or could result in litigation and other significant costs, dependence on key personnel, the Company’s reliance on third-party distributors and sales representatives for part of its marketing capability, the Company’s dependence on a few manufacturers and suppliers for components of its products and its dependence on domestic and foreign manufacturers for certain products, the Company’s ability to protect technology through patents and to protect proprietary technology and information, such as trade secrets, through other similar means, risks related to the Company’s ability to generate more recurring cloud and service revenues, risks related to the Company’s license arrangements, risks related to fluctuation in revenues and operating results from quarter to quarter, risks related to stock price volatility, and our ability to meet the standards for continued listing on the Nasdaq Capital Market, as well as those risks set forth in the Company’s filings with the SEC. The forward-looking statements in this press release speak only as of the date of this press release. The Company does not undertake any obligation to update or revise these forward-looking statements for any reason, except as required by law.

Contact Information
Stanton Ross, CEO
Tom Heckman, CFO
Digital Ally, Inc.
913-814-7774
info@digitalallyinc.com

FAQ

How many new subscription contracts did Digital Ally (DGLY) secure in 2024?

Digital Ally (DGLY) secured approximately 160 new subscription contracts throughout 2024 for their FirstVu PRO body-worn cameras and EVO-HD in-car video solutions.

What is the value of Digital Ally's (DGLY) current backorders?

Digital Ally (DGLY) reported over $1.5 million in backordered products.

When will Digital Ally (DGLY) fulfill its current backorders?

Digital Ally (DGLY) anticipates fulfilling the backorders over the next 120 days.

What new products is Digital Ally (DGLY) planning to release?

Digital Ally (DGLY) plans to unveil the FirstVu PRO Utility integrated body camera with multiple advanced features, and continue releasing updates for its EVO-Web platform.