Byrna Technologies Reports Fiscal Third Quarter 2026 Results

What the company reported

Byrna disclosed select financial results for the quarter ended August 31, 2026. GAAP net revenue for Q3 2026 was $15,296 (reported in thousands in the condensed consolidated statements), down from $28,179 in Q3 2025. Gross profit on a GAAP basis for the quarter was $12,154 (79% of net revenue), which the company says includes a one-time $2.3 million refund of previously paid tariffs. Management reported net income (loss) of $(2,911) for the quarter and provided a non-GAAP adjusted EBITDA of $(1,360) for Q3 2026.

Sources: S1

Operational highlights disclosed by the issuer

The release lists several operational developments the company attributes to recent results: completion of the acquisition of HERO Defense Systems, LLC; onboarding more than 50 influencers with a combined following of 3.8 million through Acceleration Partners; redirecting iHeartMedia marketing toward The Bobby Bones Show; launching and selling through refurbished inventory; transitioning ammunition production to an outsourced model; and new senior hires and board appointments. These items are presented by management as drivers of margin expansion and brand development.

Sources: S1

Balance sheet and liquidity items

The condensed consolidated balance sheet shows cash and cash equivalents of $8,418 and marketable securities of $1,001 as of August 31, 2026. Inventory, net is reported as $29,974 at the same date. The company stated cash, cash equivalents and marketable securities totaled $9.4 million as of August 31, 2026 in the narrative portion of the release.

Sources: S1

Management commentary and company outlook (issuer statements)

CEO Conn Davis described the quarter as part of a transition and highlighted early indicators such as website sessions and improved conversion. Management framed their priorities as expanding awareness and distribution, extending into international and professional markets, improving operational efficiency, and evaluating strategic opportunities. These statements are labeled forward-looking by the issuer in the release.

Sources: S1

Inference: why this may matter

The quarter shows year-over-year revenue decline alongside reported gross margin expansion driven in part by a one-time tariff refund and operational changes the company highlights (manufacturing efficiencies and product mix). Inventories remain elevated on the balance sheet, and management positions upcoming holiday sell-through and marketing initiatives as catalysts for sequential improvement. These items could affect near-term working capital and margin dynamics if realized, but they are presented by the company as expectations rather than audited outcomes.

Sources: S1

What remains uncertain

• Reported improvements in adjusted gross margin exclude a one-time $2.3 million tariff refund and rely on non-GAAP measures the company uses to describe ongoing performance.
• Operational initiatives and marketing programs cited by management are forward-looking statements in the release and are not independently verified in this document.
• Inventory normalization and the timing and magnitude of any improvement in working capital and cash generation are presented as expectations by the issuer and may be subject to risks listed in the release.