Red Cat Holdings has been awarded a new defense contract by an allied nation in the Asia-Pacific area. The agreement involves the supply of the company’s Black Widow™ drone systems, marking the second such order from the region in a short period. Deliveries under this contract are scheduled for 2026.
Financial Performance Shows Exponential Growth
Preliminary quarterly figures underscore the company’s accelerating momentum. For the fourth quarter of 2025, Red Cat estimates its revenue landed between $24.0 million and $26.5 million. This represents a dramatic surge from the $1.3 million reported for the same period the previous year. For the full 2025 fiscal year, management anticipates total revenues in the range of $38.0 million to $41.0 million.
These financial results demonstrate that the company’s strategic investments in production capacity and its recent contract wins are now translating into substantial income.
Contract Awarded Following Competitive Bidding
The allied government selected Red Cat’s offering in late December 2025 after a formal bidding process. Designed for military reconnaissance missions, the Black Widow systems provide real-time situational data to troops in the field. A typical system configuration includes two aircraft and a single ground control station.
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Jeff Thompson, the company’s Chief Executive Officer, stated that the order reflects the confidence of international partners in “secure, U.S.-manufactured drone technology.” Red Cat is part of the “Blue UAS” initiative, a group of manufacturers whose systems are certified as secure by the U.S. Department of Defense, making them eligible for use by allied military forces.
Upcoming Events: Financial Results and Innovation Showcase
The final audited financial statements for 2025 are due for release in late February. These figures will provide a clearer picture of how the remarkable revenue growth has impacted the company’s profit margins and bottom line.
Subsequently, on February 27, 2026, Red Cat will host an “Innovation Day” in West Palm Beach, Florida. The event will feature corporate updates, a product overview, and the formal introduction of its new maritime division, Blue Ops. Market observers are expected to use this forum to assess the company’s technological roadmap, particularly its developments beyond aerial drone systems.
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