SKYX Platforms Q4 Earnings Call Highlights

26 Mar 2026, 18:20 by Amy Steele · The Cerbat Gem

SKYX Platforms (NASDAQ:SKYX) executives highlighted record quarterly and annual revenue in 2025 and outlined several product and commercialization initiatives they believe can support continued growth, despite what management described as a multiyear downturn in lighting, home décor, and new homebuilding markets.

2025 results: record revenue and improved gross margin

President Steven Schmidt said the company posted another record quarter in the fourth quarter, reporting revenue of $25 million. He added that the quarter marked eight consecutive quarters of year-over-year revenue growth.

For the full year 2025, management reported record revenue of $92 million, up from $86 million in 2024. Schmidt said gross profit increased to $28 million in 2025 from $25 million in 2024, a $3 million, or 13%, increase. He also said operating cash used in 2025 was $13 million, compared with $18 million in 2024, representing a $5 million, or 27%, reduction.

CEO Leonard Sokolow reiterated the company’s revenue and gross profit gains and added that gross margin increased to 30% from 28%. Sokolow said SKYX is “highly focused” on financial metrics and expects further improvements in 2026 and beyond. He also noted that 2025 marked a third consecutive year of annual revenue growth over the last three years, even as the company’s end markets remained in what he called a significant slowdown.

Funding and key business updates

Schmidt said the company raised $29 million in Q1 2026 through investments from “fundamental institutions.”

Management also summarized several operational initiatives, including:

A collaboration with the NVIDIA AI Ecosystems Connect Program, which Schmidt said will expand SKYX’s work with NVIDIA into future smart home projects.
The launch of the company’s SkyFan & Turbo Heater on its e-commerce platform (which management described as 60 websites, including 1stoplighting.com) and through major U.S. retailers including Home Depot, Target, Lowe’s, and Walmart.
Plans to expand the “all-season ceiling fan” category—heating in winter and cooling in summer—by adding new designs and larger sizes based on demand.

Schmidt said the company expects to continue expanding initiatives in 2026 as it works toward becoming cash flow positive.

Product roadmap: all-season fans and an “All-In-One” platform

Executives repeatedly pointed to the Turbo Heater Fan as an early proof point for a new category. Sokolow described the all-season fan category as a “precursor” to an “All-In-One Smart Platform and hub,” which the company expects to launch beginning in Q3 2026. Executive Chairman Rani Kohen similarly said the company hopes to start production and launch the platform “around mid to Q3” of the year.

Kohen said early sales and indications for the Turbo Heater Fan have been encouraging, adding that the company launched a 24-inch model and is seeing demand for a 30-inch version. He also discussed potential future designs intended for larger spaces, including models up to 60 inches, though he did not provide a timeline for those introductions.

Management framed its strategy around a “plug-and-play” and “razor and blade” model, with Kohen noting that in some cases the company supplies the “razor” before the “blades,” and that the “blades” drive more revenue over time.

Projects, builders, hotels, and anticipated deployments

Schmidt said the company expects to supply advanced and smart home technologies to projects in multiple geographies, including New York, North Carolina, Austin and San Antonio in Texas, and South Florida, as well as overseas locations such as Saudi Arabia and Egypt. He said the company expects to deploy over 1 million units of its plug-and-play technologies over the course of those projects.

In response to an analyst question seeking a recap, Kohen said the company has announced around 12 projects in the past 10 months. He highlighted a Miami-area smart city project that he said grew from $3 billion to $4 billion and described site work as already underway, with SKYX hoping to begin supplying parts of the project toward the end of the year. He also referenced a Saudi Arabia joint venture-related effort that could include hotels, buildings, and homes, and said the company hopes it can begin in some capacity toward the end of the year. He added that an Austin project could start “very soon,” with San Antonio potentially in the second half of the year (or possibly earlier, depending on timing), and said a New York project could also be supplied “very soon.”

On the builder segment, Kohen said the company showed “significant growth” over the past 10 months and expects and hopes to continue growing there, though he did not provide specific figures.

Kohen also emphasized a hotel renovation opportunity, saying the company believes its technology can shorten electrical and lighting renovation timelines to “a few days rather than a few months.” He said SKYX demonstrated the concept in a Marriott renovation demo and referenced a $60.5 million investment led by the Shaner Group, which he said owns 80 hotels with more than 60 Marriotts. Kohen said the company’s goal is to grow in the hotel segment and that management hopes to share more in the near future.

Safety code standardization and e-commerce initiatives

During Q&A, Kohen discussed the company’s safety code standardization efforts, naming Mark Earley (former head of the National Electrical Code and former chief engineer of the National Fire Protection Association) and Eric Jacobson (former president and CEO of the American Lighting Association) as leaders in SKYX’s code division. Kohen said the company has received 10 votes in the National Electrical Code process and cited a vote by ANSI and NEMA specifying the company’s receptacle specifications as the standard. He characterized the company as “one step away from the mandatory” and said a “very senior member” recently joined the team to help move the effort through additional channels, including potential engagement with government-related safety organizations.

Schmidt also said SKYX plans to launch a new AI-driven software in 2026 for its e-commerce platform of 60 websites, which management expects could increase conversion rates by up to 30%. In Q&A, Kohen said the company has already converted about 15% of its sites to the new software and is seeing improvements, including, in some cases, higher gross margin.

Asked about product mix, Kohen said that over 90% of the company’s business remains its legacy business, while plug-and-play products are growing rapidly, though he did not provide a detailed revenue breakdown.

In discussing the path to cash flow breakeven, Kohen declined to provide a specific quarterly revenue target, but said he believed the level could be “quite lower than $35 million a quarter” due to a growing mix of higher-margin products, including those supported by joint ventures the company announced previously.

About SKYX Platforms (NASDAQ:SKYX)

SKYX Platforms (NASDAQ:SKYX) provides comprehensive maintenance, repair and overhaul (MRO) services and operational support for commercial unmanned aerial systems (UAS). Through its digital platform, the company streamlines the booking, tracking and management of drone maintenance events, ensuring that operators maintain compliance with aviation regulations and industry best practices. SKYX Platforms’ offering is designed to reduce downtime, improve safety and extend the service life of UAS fleets across a wide range of applications.

The company’s service portfolio includes scheduled and unscheduled maintenance, component repair, spare parts provisioning, firmware and software updates, and field support.