Operator

Greetings, and welcome to Unusual Machines First Quarter 2026 Financial Results Conference Call and Webcast. [Operator Instructions] Please note, this conference is being recorded.

I will now turn the conference over to Christine Petraglia, Investor Relations for Unusual Machines.

Christine Petraglia

Thank you, operator. Good afternoon, everyone. With us today are Unusual Machines' CEO, Allan Evans; and CFO, Brian Hoff. During this call, management will make forward-looking statements, including statements about our expectations concerning the demand for our products, our ability to manage this demand, the growth of our operations, our business and our revenues, the growth of the NDAA compliant drone market, our anticipated gross margins and future costs, our plans to scale manufacturing capacity, including the timing and success of new production lines for motors, batteries, cameras and headsets, our battery manufacturer acquisition, our ability to achieve cash flow positive operations in the future and expected 2027 FAA rulemaking.

The results expected by some or all of these forward-looking statements may not occur. Factors that affect our ability to achieve these results, including the risks that enough of our customers receive orders under the Drone Dominance program or other government programs and in turn, place component orders with us as well as potential funding reductions, program delays or changes in procurement priorities.

Our dependence on a limited number of enterprise customers and the risk of customer concentration, the risks that our inventory buildup will become obsolete or that we cannot