SKYX Platforms Corp. Q4 FY2024 earnings call

• Revenue grew 48% in 2024 from $58.8M in 2023 to $86.3M in 2024, with record sales of over $23.7M in Q4 2024.
• Expect products in 20,000 units/homes by Q1 2025 and tens of thousands more in 2025.
• Aim to be cash flow positive in the second half of 2025.
• Safety code standardization led by Mark Earley and Eric Jacobson, with positive reviews from leading safety experts for mandatory standardization of electrical sealing outlet receptacle technology.
• Partnerships with Home Depot, Wayfair, Cavco Homes, JIT Electrical Supply.
• New hires: Huey Long as head of SKYX e-platform, Greg St. John as President of Lighting Fans and Smart Home products.
• Gross profit increased 36% year-over-year by approximately $6.5 million.

SKYX Platforms Corporation saw revenue grow 48% in 2024, from $58.8 million in 2023 to $86.3 million in 2024. Net sales of advanced and smart home-related products surged over 1000%. Revenue grew for 4 consecutive quarters in 2024, from $19 million in Q1 to over $23.7 million in Q4. Gross profit increased 36% year-over-year by approximately $6.5 million. Revenue contribution details: Q4 2024 had record sales of over $23.7 million, compared to $22.2 million in Q4 2023.

• Expect products in 20,000 units/homes by Q1 2025 and tens of thousands more in 2025.
• Anticipate significant projects and order growth, leading to cash flow positive in the second half of 2025.
• Revenue growth for 4 consecutive quarters in 2024, from Q1 $19M to over $23.7M in Q4.
• Plan to have entire product assortment in place by Q2 to affect gross margins positively.

• Tariffs: Working with factories in Vietnam, Taiwan, Cambodia to mitigate impacts of new tariffs.
• Mandatory approval process for safety standards: While optimistic, the process is a risk but supported by leading safety experts and organizations.

Q: Could you touch on your partnership with Ruee and how to avoid tariff impacts?

A: We're already working with factories in Vietnam, Taiwan, Cambodia and Ruee, which has opened other options like sourcing from Cambodia and Vietnam to avoid tariff impacts.

Q: Any more insight into organizations helping expedite mandatory approval process?

A: Working with very high-level people and safety organizations, with confidence our technology meets criteria to become mandatory, hoping to announce progress soon.

Q: Thoughts on fourth quarter gross margin dip?

A: Blending in products from joint ventures with higher gross margins, anticipating Q2 to show improved gross margins with more products like ceiling fans, wall sconces, etc.

Q: Update on Home Depot and Wayfair collaborations?

A: Enhancing product assortment in Home Depot and Wayfair, with more products coming in and in-store programs in the works.

Q: Impact of Huey Long's hiring on strategy?

A: Huey Long, a veteran e-commerce expert, brings high-level talent to explore software options and increase conversion rates.

Q: Update on residential homebuilder channel expansion?

A: Expect 20,000 units/homes by end of Q1 2025 and tens of thousands more in 2025, with additional projects to be announced.

Q: Steps to achieve cash flow positive in second half of 2025?

A: Combination of orders, blade model products, collaborations with higher gross margins, and more projects to be announced.