Fiscal Second Quarter 2026 and Recent Operational Highlights

• Entered into a binding agreement to purchase HERO Defense Systems, LLC, a complementary less-lethal self-defense company, expanding Byrna’s product portfolio across additional price points and everyday-carry form factors.
• Initiated and recently expanded its “try before you buy” pilot program, following early results achieving an approximately 30% conversion rate among participating customers who received a demo unit, with most conversions occurring in the second week of the two-week trial period.
• Generated over 150,000 responses on the “Find the Right Launcher” guided shopping experience on Byrna.com since it was introduced in April. Customers who used the product education tool converted at approximately twice the conversion rate of the overall website.
• Reduced launcher assembly operations from four lines at the end of fiscal Q1 to two lines by May and ceased in-house ammunition manufacturing to better align production with current demand, improve cost efficiency, and support the reduction of finished goods inventory over time.
• Activated its Fox Sports media partnership through iHeartMedia in June, expanding Byrna’s reach to a broad, highly engaged sports audience across radio and digital platforms.
• Realigned sales and marketing functions and initiated a search for dedicated leaders to support retail growth and brand expansion.
• Appointed HLK as agency of record to strengthen brand messaging, customer acquisition, and product education initiatives.
• Appointed Acceleration Partners as its influencer and affiliate marketing agency to build a broader social creator program, relaunch Byrna’s affiliate marketing program and improve the Company’s ability to measure customer acquisition across its e-commerce channels.
• Promoted industry veteran Matthew Campagni to Chief Strategy Officer to lead the Company’s strategic planning initiatives and support cross-functional execution.
  
  

Fiscal Second Quarter 2026 Financial Results
Results compare Q2 2026 to the 2025 fiscal second quarter ended May 31, 2025, unless otherwise indicated.

Net revenue for Q2 2026 was $16.4 million, compared to $28.5 million in the fiscal second quarter of 2025 (“Q2 2025”). The approximately 43% year-over-year decrease was driven primarily by a decrease in e-commerce sales and slower reorder activity from dealers and chain stores following substantial restocking in fiscal Q1 and slower-than-expected sell-through.

Gross profit for Q2 2026 was $1.8 million (11% of net revenue), down from $17.6 million (62% of net revenue) in Q2 2025. Reported gross margin included a one-time $5.9 million inventory write-down and a $3.5 million impairment of equipment, this was partially offset by a $1.1 million tariff refund recorded in cost of goods sold. Excluding these items, adjusted gross profit was $10.1 million, representing adjusted gross margin of approximately 62%.

Operating expenses for Q2 2026 were $14.6 million, compared to $14.2 million for Q2 2025, an increase of 2.7%. The increase primarily reflected an impairment charge of $1 million as well as continued investment in marketing, partially offset by the change in variable selling expenses associated with a decrease in sales.

Net income (loss) for Q2 2026 was $(10.1) million, compared to $2.4 million for Q2 2025. Net loss included non-cash impairment and inventory write-down charges of $10.4 million related to the shutdown of our ammunition manufacturing facility in Fort Wayne and strategic product rationalization. A tax benefit of $2.7 million was also recorded for the quarter.

Adjusted EBITDA¹, a non-GAAP metric reconciled below, for Q2 2026 totaled $(0.6) million, compared to $4.3 million in Q2 2025.

Cash, cash equivalents and marketable securities as of May 31, 2026 totaled $10.4 million, compared to $15.5 million at November 30, 2025. Inventory on May 31, 2026 totaled $30.4 million, compared with $32.7 million on November 30, 2025. The Company is focused on lowering inventory over time and improving working capital efficiency.

Management Commentary
“Our second quarter results did not reflect the level of performance we believe Byrna can deliver,” said Byrna CEO Conn Davis. “We expected the quarter to begin a transition period, but continued softness in our direct-to-consumer channel as well as a slower pace of reorders across retail partners led to a steeper reset than we initially expected.

“In e-commerce, web traffic remained weak, and while conversion rates showed modest improvement as a result of our website changes, overall conversion levels and average order value were below where we expected. In retail, our partners entered the quarter with elevated inventory levels following meaningful post-holiday restocking in Q1. Sell-through during the quarter did not occur at a pace that supported consistent reorder activity, which impacted revenue across both dealer and big box channels.

“From an operational standpoint, we took actions during the quarter to better align production and operating costs with current demand. We reduced production capacity in our launcher facility and exited in-house ammo manufacturing where we were not cost competitive. These actions reduce costs, operating complexity, and establish a more balanced operating baseline that should allow us to work down physical inventory through the second half of the year.

“We also advanced a number of initiatives designed to improve demand over both the near and longer term. Our top operational priority is improving customer conversion and retail productivity across all channels.

“We are seeing encouraging early results from our “try before you buy” program, which is attracting new customers to the brand and generating conversion rates of approximately 30%. This represents a meaningful improvement versus traditional e-commerce and provides a scalable pathway to reaccelerate direct-to-consumer growth over time.

“On the retail side, we are focused on continuing our store expansion while also working closely with our partners to improve customer discovery and sell-through. Initiatives such as in-store training, enhanced merchandising, including end-cap displays, and expanded demo experiences are producing stronger results in the locations where they have been implemented. Our focus now is applying those learnings more consistently across the wider footprint.

“In parallel, our messaging pivot is underway, as we work to broaden our reach and engage a wider set of customer segments. This includes partnerships such as Fox Sports, along with new social and influencer programs designed to introduce Byrna to previously underpenetrated audiences while continuing to build on the existing foundation with our core customers. We believe this approach will expand our addressable market while supporting more consistent and durable demand over time. We are also in the process of bringing on experienced leaders across marketing and retail to strengthen execution, improve accountability and support the next phase of growth.

“Based on current expectations, fiscal 2026 will not be a revenue-growth year. Q2 reset the revenue baseline, and we are planning the business around current demand trends rather than assuming a quick return to prior growth rates. We expect improvement from the first half of the fiscal year to the second half, as retailers prepare for the holidays and more of our marketing, conversion and customer-acquisition initiatives enter the market.

“We are building from a more realistic baseline, with the opportunity to improve as these initiatives begin to contribute. Our focus is on improving website traffic and conversion, strengthening retail sell-through and reorder cadence, reducing inventory and improving working capital efficiency. We believe the actions underway position Byrna to finish fiscal 2026 on stronger footing and enter fiscal 2027 with a business capable of delivering more consistent growth.”

Conference Call
The Company’s management will host a conference call today, July 9, 2026, at 9:00 a.m. Eastern time (6:00 a.m. Pacific time) to discuss these results, followed by a question-and-answer period.

Toll-Free Dial-In: 877-709-8150
International Dial-In: +1 201-689-8354
Confirmation: 13761119

Please call the conference telephone number 5-10 minutes prior to the start time of the conference call. An operator will register your name and organization. If you have any difficulty connecting with the conference call, please contact Gateway Group at 949-574-3860.

The conference call will be broadcast live and available for replay here and via the Investor Relations section of Byrna’s website.

About Byrna Technologies Inc.
Byrna is a personal defense technology company specializing in the development, manufacture, and sale of innovative less-lethal personal security solutions. For more information on the Company, please visit the corporate website here or the Company’s investor relations site here. The Company is the manufacturer of the Byrna^® CL, Byrna^® LE and Byrna^® SD personal security devices, state-of-the-art handheld CO2 powered launchers designed to provide a less-lethal alternative to a firearm for the consumer, private security, and law enforcement markets. To purchase Byrna products, visit the Company’s e-commerce store.

Forward-Looking Statements
This news release contains "forward-looking statements" within the meaning of the federal securities laws. All statements contained in this news release, other than statements of current and historical fact, are forward-looking statements. Often, but not always, forward-looking statements can be identified by the general use of words such as "plans," "expects," "intends," "anticipates," and "believes" and statements that certain actions, events or results "may," "could," "would," "should," "might," "occur," or "be achieved," or "will be taken." Forward-looking statements in this news release include but are not limited to our statements related to our expected net revenue and top-line performance during the transition period and in future periods, and our expectation that our operating results will continue to reflect the transition we are working through; our expectation that the operational and cost actions taken during the quarter, including the reduction of launcher assembly from four lines to two and the decision to cease in-house ammunition manufacturing, will reduce costs, operating complexity, and finished goods inventory over time and establish a more balanced and cash-efficient operating baseline; our plans to reduce inventory levels over time and improve working capital efficiency, including our expectation of working down physical inventory during the second half of fiscal 2026; the anticipated benefits and integration of our recently completed acquisition, including the expansion of the Company’s price points and product form factors; the early results, conversion rates, and scalability of our “try before you buy” program, and its potential to reaccelerate direct-to-consumer growth over time; the anticipated impact of our “Find the Right Launcher” guided shopping experience on website conversion; our plans to improve customer conversion, retail productivity, and sell-through across our e-commerce, dealer, and big-box channels, including through in-store training, enhanced merchandising and end-cap displays, and expanded demonstration experiences, and our intention to apply those initiatives more consistently across our retail footprint; our continued retail store expansion and our ability to collaborate with retail partners and grow productivity per store; our brand and messaging pivot and related marketing initiatives intended to broaden our reach and expand our addressable market, including our Fox Sports partnership activated through iHeartMedia, the appointment of HLK as our agency of record, and the engagement of Acceleration Partners for our influencer and affiliate marketing programs; our ability to attract, onboard, and retain experienced marketing and retail leaders, including the contributions of Matthew Campagni as Chief Strategy Officer, and to align the organization around near-term execution priorities while building toward our long-term strategic vision; brand awareness of Byrna and continued acceptance of the less-lethal personal defense market; our expectation that meaningful operational changes currently underway in demand generation, website conversion, retail productivity, and internal forecasting will, over time, result in improved operating performance; our expectation that we will emerge from this transition year with a more scalable and cash-efficient operating model; and, Byrna’s positioning for sustained and durable growth in future fiscal years. Forward-looking statements are not, and cannot be, a guarantee of future results or events. Forward-looking statements are based on, among other things, opinions, assumptions, estimates, and analyses that, while considered reasonable by the Company at the date the forward-looking information is provided, inherently are subject to significant risks, uncertainties, contingencies, and other factors that may cause actual results and events to be materially different from those expressed or implied.

Any number of risk factors could affect our actual results and cause them to differ materially from those expressed or implied by the forward-looking statements in this news release, including, but not limited to, disappointing market responses to current or future products or services; prolonged, new, or exacerbated disruption of our supply chain; the further or prolonged disruption of new product development; production or distribution disruption or delays in entry or penetration of sales channels due to inventory constraints, competitive factors, increased transportation costs or interruptions, including due to weather, flooding or fires; prototype, parts and material shortages, particularly of parts sourced from limited or sole source providers; determinations by third party controlled distribution channels, including Amazon, not to carry or reduce inventory of the Company’s products; determinations by advertisers or social media platforms, or legislation that prevents or limits marketing of some or all Byrna products; the loss of marketing partners; challenges arising from the transition to the new executive leadership and execution of new strategic priorities by the Company’s new management team; the risk that the anticipated benefits of our recently completed acquisition are not realized, or that we are unable to integrate the acquired business on the anticipated timeline or at all; the risk that our decision to cease in-house ammunition manufacturing increases our reliance on third-party ammunition suppliers, disrupts supply, or does not achieve anticipated cost savings; the risk that our “try before you buy” program does not convert participants at anticipated rates, is not scalable, or does not prove economically accretive; the risk that our planned reductions in inventory do not materialize on the anticipated timeline or result in additional inventory write-downs or reserves; investments in e-commerce enhancements or digital capabilities, including improvements to Byrna.com, do not yield anticipated improvements in conversion rates, customer acquisition, or revenue; the risk that efforts to broaden brand messaging or expand into new customer segments do not achieve anticipated market penetration or revenue results; increases in marketing expenditure may not yield expected revenue increases; potential cancellations of existing or future orders including as a result of any fulfillment delays, introduction of competing products, negative publicity, or other factors; product design or manufacturing defects or recalls; litigation, enforcement proceedings or other regulatory or legal developments; changes in consumer or political sentiment affecting product demand; regulatory factors including the impact of commerce and trade laws and regulations; changes in domestic or international trade policy, including the imposition of new or increased tariffs, export controls or other trade restrictions, that could result in an increase in the cost of materials, components or finished goods used or sold by the Company, and/ or that could disrupt the Company’s supply chain, or otherwise adversely affect the Company’s costs, revenues, or results of operations; the risk that price increases implemented in the first quarter are not sustained, are reversed in response to market or competitive conditions, or otherwise fail to contribute to gross margin improvement as anticipated; the risk that anticipated manufacturing efficiency improvements do not materialize or are offset by increases in input, labor, or overhead costs; the risk that planned retail store launches, including the targeted addition of up to 250 new retail locations, are delayed, reduced in scope, or not executed by retail partners on the anticipated timeline; and, future restrictions on the Company’s cash resources, increased costs and other events that could potentially reduce demand for the Company’s products or result in order cancellations. The order in which these factors appear should not be construed to indicate their relative importance or priority. We caution that these factors may not be exhaustive; accordingly, any forward-looking statements contained herein should not be relied upon as a prediction of actual results. Investors should carefully consider these and other relevant factors, including those risk factors in Part I, Item 1A, ("Risk Factors") in the Company’s most recent Form 10-K, and should understand it is impossible to predict or identify all such factors or risks, and should not consider the foregoing list, or the risks identified in the Company’s SEC filings, to be a complete discussion of all potential risks or uncertainties, and should not place undue reliance on forward-looking information. The Company assumes no obligation to update or revise any forward-looking information, except as required by applicable law.

Investor Contact:
Tom Colton and Alec Wilson
Gateway Group, Inc.
949-574-3860
BYRN@gateway-grp.com

Non-GAAP Financial Measures

In addition to providing financial measurements based on generally accepted accounting principles in the United States (GAAP), we provide an additional financial metric that is not prepared in accordance with GAAP (non-GAAP) with presenting non-GAAP adjusted EBITDA. Management uses this non-GAAP financial measure, in addition to GAAP financial measures, to understand and compare operating results across accounting periods, for financial and operational decision making, for planning and forecasting purposes and to evaluate our financial performance. We believe that this non-GAAP financial measure helps us to identify underlying trends in our business that could otherwise be masked by the effect of certain expenses that we exclude in the calculations of the non-GAAP financial measure.

Accordingly, we believe that this non-GAAP financial measure reflects our ongoing business in a manner that allows for meaningful comparisons and analysis of trends in the business and provides useful information to investors and others in understanding and evaluating our operating results, enhancing the overall understanding of our past performance and future prospects.

This non-GAAP financial measure does not replace the presentation of our GAAP financial results and should only be used as a supplement to, not as a substitute for, our financial results presented in accordance with GAAP. There are limitations in the use of non-GAAP measures, because they do not include all the expenses that must be included under GAAP and because they involve the exercise of judgment concerning exclusions of items from the comparable non-GAAP financial measure. In addition, other companies may use other non-GAAP measures to evaluate their performance, or may calculate non-GAAP measures differently, all of which could reduce the usefulness of our non-GAAP financial measure as a tool for comparison.

Adjusted EBITDA 

Adjusted EBITDA is defined as net (loss) income as reported in our condensed consolidated statements of operations and comprehensive (loss) income excluding the impact of (I) depreciation and amortization; (ii) income tax provision (benefit); (iii) interest income (expense); (iv) stock-based compensation expense, (v) impairment loss, and (vi) one time, non-recurring other expenses or income. Our Adjusted EBITDA measure eliminates potential differences in performance caused by variations in capital structures (affecting finance costs), tax positions, the cost and age of tangible assets (affecting relative depreciation expense) and the extent to which intangible assets are identifiable (affecting relative amortization expense). We also exclude certain one-time and non-cash costs. Reconciliation of Adjusted EBITDA to net (loss) income, the most directly comparable GAAP measure, is as follows (in thousands):

Adjusted Cost of goods sold and gross profit

Adjusted cost of goods sold is defined as cost of goods sold as reported in our condensed consolidated statements of operations and comprehensive (loss) income excluding the impact of (i)impairment loss; (ii) write down of ammunition inventory; (iii) inventory reserve due to strategic product rationalization, and (iv) refunds of previously paid tariffs. Our Adjusted cost of goods sold measure eliminates potential differences in performance caused by certain one-time or unusual events. Adjusted gross profit is defined as revenue as reported in our condensed consolidated statement of operations and comprehensive (loss) income less Adjusted cost of goods sold. Reconciliation of Adjusted cost of goods sold to Cost of goods sold, as well as a reconciliation of Adjusted Gross profit to Gross profit, the most directly comparable GAAP measures, are as follows (in thousands):

________________________________
_{¹ See non-GAAP financial measures at the end of this press release for a reconciliation and a discussion of non-GAAP financial measures.}

ANDOVER, Mass., July 08, 2026 (GLOBE NEWSWIRE) -- Byrna Technologies Inc. (“Byrna” or the “Company”) (Nasdaq: BYRN), a personal defense technology company specializing in the development, manufacture, and sale of innovative less-lethal personal security solutions, today announced that it has entered into a definitive asset purchase agreement to acquire substantially all of the assets of HERO Defense Systems, LLC (“HERO”), a complementary personal defense company offering compact, easy-to-use less-lethal self-defense products.

The planned acquisition is expected to expand Byrna’s product portfolio across additional price points and form factors, creating a new entry point for consumers who are interested in personal safety but may not initially enter the category through Byrna’s core launcher platform. HERO’s product portfolio includes the HERO 2020, a compact irritant launcher that deploys PAVA-filled projectiles through a cartridge system, and AIIRO, a smaller, extended range pepper-gel personal defense device designed for pocket, purse, and everyday carry. HERO also offers refill cartridges and other accessories, creating an entry-level approachable product family that supports Byrna’s focus on expanding its target audience, increasing consumer engagement frequency, and recurring consumable purchases.

“The acquisition of HERO is a small but strategically important step in expanding the Byrna ecosystem,” said Conn Davis, Chief Executive Officer of Byrna. “Our focus is on making less-lethal personal safety more accessible, understandable, and relevant to a wider set of consumers. Today, Byrna’s CL, LE, and SD launchers serve consumers looking for a robust less-lethal platform for personal defense and security applications. HERO fits below and adjacent to our existing platform by adding smaller, more discreet and accessible products that can introduce consumers to less-lethal personal safety through a lower friction entry point and a more approachable form factor.”

Davis continued, “We are focused on improving the full consumer journey from awareness and education to product selection, purchase, and long-term engagement. HERO’s compact form factors, simpler everyday-carry positioning, and lower opening price points give us more flexibility in how we introduce consumers to the category. Over time, we believe this creates a broader product portfolio and a more complete ecosystem that enables more consumers to enter the less-lethal personal protection space and trade up to our more robust launcher platform over time.”

The acquisition is part of Byrna’s effort to expand its addressable market and improve consumer acquisition across channels. HERO’s products also provide additional advertising, merchandising, and education opportunities across Byrna’s e-commerce, creator, affiliate, and retail channels.

Under the terms of the agreement, Byrna will acquire substantially all of HERO’s assets, including its product-related intellectual property, digital assets, customer and vendor relationships, inventory, equipment and related business assets. The transaction is structured as an asset purchase on a cash-free, debt-free basis, with consideration consisting of $625,000 in cash, $625,000 in restricted shares of Byrna common stock, and a performance-based royalty tied to future net sales of HERO products and derivative products. The shares of Byrna common stock to be issued as consideration will be issued in a private placement in reliance on an exemption from the registration requirements of the Securities Act of 1933, as amended, and will be subject to transfer restrictions. The transaction is expected to close within approximately 30 days, subject to customary closing conditions.

Following the closing, Byrna expects to begin integrating HERO’s products and related assets into its broader commercial and operating platform. HERO’s founders are expected to provide transition and integration support following the closing. The Company plans to evaluate opportunities to support the HERO product line through Byrna’s e-commerce channels, consumer education initiatives, retail relationships and evolving brand and performance marketing programs. Over time, Byrna expects to assess where HERO products can complement Byrna.com, Amazon, and retail merchandising.

About Byrna Technologies Inc.
Byrna is a personal defense technology company specializing in the development, manufacture, and sale of innovative less-lethal personal security solutions. For more information on the Company, please visit the corporate website here or the Company’s investor relations site here. The Company is the manufacturer of the Byrna^® CL, Byrna^® LE, and Byrna^® SD personal security devices, state-of-the-art handheld CO2 powered launchers designed to provide a less-lethal alternative to a firearm for the consumer, private security, and law enforcement markets. To purchase Byrna products, visit the Company’s e-commerce store.

Forward-Looking Statements
This press release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, Section 21E of the Securities Exchange Act of 1934, as amended, and the Private Securities Litigation Reform Act of 1995. All statements contained in this press release, other than statements of current and historical fact, are forward-looking. Often, but not always, forward-looking statements can be identified by the use of words such as “plans,” “expects,” “intends,” “anticipates,” “believes,” “aims,” “will,” “would,” “should,” “continue,” and similar expressions, and by statements that certain actions, events or results may, could, would, should or might occur, be achieved or be taken.

Forward-looking statements in this press release include, but are not limited to, statements regarding the expected completion and timing of the acquisition of substantially all of the assets of HERO; the satisfaction or waiver of the conditions to the closing of the acquisition, including the receipt of required governmental and regulatory approvals; the anticipated issuance of restricted shares of Byrna common stock, and the payment of the royalty, as consideration for the acquisition; the anticipated benefits of the acquisition, including the expansion of the Company’s product portfolio across additional form factors, price points and use cases and the creation of new, lower-friction entry points into the less-lethal personal safety category; the Company’s plans to integrate HERO’s products, intellectual property, digital assets and customer and vendor relationships into the Company’s commercial and operating platform; the expected role of HERO’s founders in providing transition and integration support following the closing; the Company’s plans to market, merchandise and distribute HERO products across its e-commerce, creator, affiliate and retail channels, including Byrna.com and Amazon; and the Company’s ability to translate the acquisition into an expanded addressable market, increased consumer engagement and recurring consumable purchases, improved customer acquisition and long-term shareholder value.

Forward-looking statements are not, and cannot be, a guarantee of future results or events. Forward-looking statements are based on, among other things, the Company’s current expectations, assumptions, estimates and analyses, all of which are subject to significant risks, uncertainties and contingencies that could cause actual results to differ materially from those expressed or implied in the forward-looking statements.

These risks and uncertainties include, among other things, the risk that the conditions to the closing of the acquisition are not satisfied or waived and that the acquisition is not completed within the anticipated timeframe or at all, including the risk that required governmental or regulatory approvals, including approvals under applicable firearms and export-control laws, are delayed, conditioned or not obtained; the risk that the Company does not realize the anticipated strategic, commercial or financial benefits of the acquisition; risks relating to the integration of HERO’s products, intellectual property, systems and customer and vendor relationships, and the diversion of management attention and resources associated with the transaction; the Company’s dependence on HERO’s founders for transition and integration support following the closing; the risk that assumed or unanticipated liabilities, or the performance of the acquired products and assets, differ from the Company’s expectations; the evolving and jurisdiction-specific legal and regulatory environment governing the marketing, sale, possession and use of the Company’s and HERO’s less-lethal products; the policies and practices of third-party e-commerce, social media and advertising platforms, including Amazon, which may restrict, remove, decline to carry or otherwise limit content or advertising relating to less-lethal or self-defense products and which may change without notice; consumer sentiment and reputational considerations associated with the Company and the less-lethal category; the issuance of restricted shares of Byrna common stock as consideration and the potential dilutive effect of such issuance; and the Company’s ability to attract and retain key personnel and to manage the legal, regulatory, market and other business conditions affecting the Company and its products.

Investors should carefully consider these and other relevant factors, including the risk factors in Part I, Item 1A, “Risk Factors” in the Company’s most recent Annual Report on Form 10-K and in the Company’s subsequent filings with the Securities and Exchange Commission. Forward-looking statements speak only as of the date of this press release, and the Company assumes no obligation to update or revise any forward-looking information, except as required by applicable law.

Investor Contact:
Tom Colton and Alec Wilson
Gateway Group, Inc.
949-574-3860
BYRN@gateway-grp.com

Acceleration Partners will help Byrna develop an organic, creator-led content network spanning established personalities and micro- and mid-sized creators, with an initial focus on Instagram, Facebook and YouTube. The initiative will reach audiences including women, families, runners, commuters and outdoor consumers through creator-driven content showing how Byrna’s products can support personal safety at home, while commuting, during exercise and travel, and in outdoor settings.

Acceleration Partners will also lead the relaunch and expansion of Byrna’s affiliate marketing program by recruiting new partners, including product review sites, editorial publishers and personal safety platforms.

Creator and affiliate activity will be measured across Byrna.com and Amazon, giving Byrna a more complete view of performance across its primary e-commerce channels and helping the Company refine partner incentives and marketing investments over time.

“One of our key near-term priorities is to make Byrna relevant and accessible to a broader set of consumers,” said Conn Davis, Chief Executive Officer of Byrna. “Acceleration Partners will help us do that by building a network of social creators who can show how Byrna fits into everyday personal safety needs and by relaunching our affiliate program as a more performance-based customer acquisition channel. These initiatives will work together to provide a more targeted and measurable way to reach new audiences, while giving us better visibility into which partners, messages and audiences are driving engagement and sales.”

Byrna has historically built awareness through national radio, podcasts and partnerships with prominent media and self-defense personalities. These channels have helped educate consumers about the less-lethal category and establish Byrna’s core customer base, and they will remain an important part of the Company’s marketing mix. The expanded creator strategy is intended to complement these channels and relationships by presenting Byrna in more specific, everyday personal safety contexts.

The initiative is expected to roll out in phases, beginning with creator onboarding and affiliate partner recruitment, followed by initial campaign launches and ongoing optimization ahead of the 2026 holiday season.

About Byrna Technologies Inc.
Byrna is a personal defense technology company specializing in the development, manufacture, and sale of innovative less-lethal personal security solutions. For more information on the Company, please visit the corporate website here or the Company’s investor relations site here. The Company is the manufacturer of the Byrna^® CL, Byrna^® LE, and Byrna^® SD personal security devices, state-of-the-art handheld CO2 powered launchers designed to provide a less-lethal alternative to a firearm for the consumer, private security, and law enforcement markets. To purchase Byrna products, visit the Company’s e-commerce store.

Forward-Looking Statements
This press release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, Section 21E of the Securities Exchange Act of 1934, as amended, and the Private Securities Litigation Reform Act of 1995. All statements contained in this press release, other than statements of current and historical fact, are forward-looking. Often, but not always, forward-looking statements can be identified by the use of words such as “plans,” “expects,” “intends,” “anticipates,” “believes,” “aims,” “will,” “would,” “should,” “continue,” and similar expressions, and by statements that certain actions, events or results may, could, would, should or might occur, be achieved or be taken.

Forward-looking statements in this press release include, but are not limited to, statements regarding the Company’s engagement of Acceleration Partners and the anticipated benefits of that relationship; the development, scope and growth of the Company’s social creator and influencer network, including its focus on established, micro- and mid-sized creators and on the Instagram, Facebook and YouTube platforms; the relaunch and expansion of the Company’s affiliate marketing program and the recruitment of new affiliate partners; the Company’s ability to reach broader and new consumer audiences and to present its products in everyday personal safety contexts; the Company’s ability to measure and attribute creator and affiliate performance and customer acquisition across Byrna.com, Amazon and its other e-commerce channels; the expected role of these initiatives as a more performance-based, targeted and measurable customer acquisition channel; the anticipated phasing and timing of the initiative, including creator onboarding, affiliate partner recruitment, initial campaign launches and optimization ahead of the 2026 holiday season; the expected continuing role of the Company’s existing marketing channels and relationships; and the Company’s ability to translate these initiatives into increased engagement, sales, customer acquisition and long-term shareholder value.

Forward-looking statements are not, and cannot be, a guarantee of future results or events. Forward-looking statements are based on, among other things, the Company’s current expectations, assumptions, estimates and analyses, all of which are subject to significant risks, uncertainties and contingencies that could cause actual results to differ materially from those expressed or implied in the forward-looking statements.

These risks and uncertainties include, among other things, the Company’s ability to realize the anticipated benefits of its engagement of Acceleration Partners and to successfully build its creator network and relaunch and expand its affiliate marketing program; its dependence on third-party creators, influencers, affiliates and agencies whom the Company does not control, and the risk that their content, conduct or disclosures could fail to comply with applicable requirements or could harm the Company’s brand or reputation or expose the Company to liability; the policies and practices of third-party social media, e-commerce and advertising platforms, including Instagram, Facebook, YouTube and Amazon, which may restrict, remove, demonetize, decline to carry or otherwise limit content or advertising relating to less-lethal or self-defense products and which may change without notice; the Company’s and its partners’ compliance with the Federal Trade Commission’s Guides Concerning the Use of Endorsements and Testimonials in Advertising and other laws governing advertising, endorsements and material-connection disclosures; the evolving and jurisdiction-specific legal and regulatory environment governing the marketing, sale, possession and use of the Company’s less-lethal products; the Company’s ability to accurately measure and attribute customer acquisition and marketing performance across its e-commerce channels; consumer sentiment and reputational considerations associated with the Company and the less-lethal category; the timing, sequencing and execution of the initiative, including readiness ahead of the 2026 holiday season; and the Company’s ability to attract and retain key personnel and to manage the legal, regulatory, market and other business conditions affecting the Company and its products.

Investors should carefully consider these and other relevant factors, including the risk factors in Part I, Item 1A, “Risk Factors” in the Company’s most recent Annual Report on Form 10-K and in the Company’s subsequent filings with the Securities and Exchange Commission. Forward-looking statements speak only as of the date of this press release, and the Company assumes no obligation to update or revise any forward-looking information, except as required by applicable law.

Investor Contact:
Tom Colton and Alec Wilson
Gateway Group, Inc.
949-574-3860
BYRN@gateway-grp.com

Byrna management will host the presentation, followed by a question-and-answer period.

Date: Thursday, July 9, 2026
Time: 9:00 a.m. Eastern time
Toll-Free Dial-In: 877-709-8150
International Dial-In: +1 201-689-8354
Conference ID: 13761119

Please call the conference telephone number 10 minutes prior to the start time. An operator will register your name and organization. If you have any difficulty connecting with the conference call, please contact Gateway Group at 949-574-3860.

The conference call will be broadcast live and available for replay here and via the Investor Relations section of Byrna’s website.

About Byrna Technologies Inc.
Byrna is a personal defense technology company specializing in the development, manufacture, and sale of innovative less-lethal personal security solutions. For more information on the Company, please visit the corporate website here or the Company’s investor relations site here. The Company is the manufacturer of the Byrna^® CL, Byrna^® LE, and Byrna^® SD personal security devices, state-of-the-art handheld CO2 powered launchers designed to provide a less-lethal alternative to a firearm for the consumer, private security, and law enforcement markets. To purchase Byrna products, visit the Company’s e-commerce store.

Investor Contact:
Tom Colton and Alec Wilson
Gateway Group, Inc.
949-574-3860
BYRN@gateway-grp.com

The full written text of the letter is included below, while a visual presentation of the letter, including supporting images, graphics and a downloadable PDF, is available on the Company’s investor relations website.

Dear Shareholders,

Byrna has proven there is strong demand for a practical, less-lethal personal safety solution, and I believe the Company has only scratched the surface of the market it can serve. More than 800,000 launchers are now in customers’ hands, and we entered fiscal 2026 with approximately 900 total retail and dealer locations. We continue to target approximately 2,000 total locations by year-end.

My first 100 days as CEO have strengthened my conviction that Byrna can become a much larger personal safety company. I have spent that time with our teams across the business, in our manufacturing facilities, with major retail partners, in more than 60 retail locations, and with dealer partners and customers who see the value of Byrna’s products firsthand. Those conversations and observations have reinforced both the size of the opportunity and the need for more consistent execution across the business.

Early product adoption and growing physical availability give Byrna a strong starting point, but the opportunity ahead is much larger than the business Byrna is today. To capture more of that opportunity, Byrna must move from early category creation toward a more disciplined, repeatable execution against the larger addressable market. Better execution will enable us to capture the meaningful growth ahead with a strong flow through to our bottom line. That is how we will continue to blaze the trail for Byrna.

Historically, Byrna’s marketing strategy has spoken most directly to a narrow audience, including early adopters, tactical and self-defense enthusiasts, gun owners and related media audiences. Those customers are important, and remain enthusiastic about the brand, and a core audience, but they are a fraction of the serviceable market for less-lethal personal safety. In the U.S. alone, there are roughly 100 million gun owners, while our historical media strategy has reached only a portion of that gun owner group. Beyond that, there are roughly 150 million adult non-gun owners, many of whom may be open to a practical personal safety option if the product is explained in the right way.

The Company has already done one of the hardest things in consumer products by introducing a new solution and earning adoption from a meaningful customer base. Our opportunity now is to build a more professional Byrna, with a repeatable path from customer awareness to purchase, improved productivity in the retail footprint, and more precise and disciplined operations to support larger scale.

Operating Priorities From My First 100 Days

My early work has reinforced the operating priorities that matter most. We are focused now on showing visible progress across the business.

Priority 1: Customer Conversion and Retail Productivity

Many potential customers still do not fully understand what Byrna is, how our products work, or where they fit in a personal safety plan. Improving that understanding is central to improving conversion.

In eCommerce, we have begun shifting parts of Byrna.com away from a weapon-focused presentation and toward safety and use-case messaging. We also launched the “Find the Right Launcher” quiz experience in April to help customers navigate our product lineup and identify the launcher that best fits their needs. As of June 4, the tool had generated more than 87,000 completed responses, with a completion rate above 80%. Customers who completed the quiz have converted at approximately twice the rate of the overall site, with completed quiz conversion of approximately 1.2% compared to approximately 0.6% for the total site since the tool was launched.

This quiz data suggests that better education and guided product discovery can improve conversion. We have not yet seen enough improvement in overall eCommerce performance, but we are applying our learnings across the customer journey through new creative testing, clearer product comparison, improved onboarding, and more targeted and effective direct marketing.

We are also testing a limited “try before you buy” program for online customers. The program is still in beta, but early results are encouraging. As of June 4, 51 customers had participated, and among customers who had received a demo unit for at least one week, the conversion rate was approximately 28%. Given the initial success of this program, we are doubling its initial size and reach, and we will continue to scale it going forward.

Retail is the other major piece of the conversion equation. Customers often understand Byrna better when they can see, hold, and experience the product. We are focused on better product placement, stronger displays, expanded hands-on product experiences and new training programs with retail partners so associates can better explain the product and use case to customers.

Let me provide one useful example of progress with a premier retail partner. Since the relationship began in mid-2025, Byrna has moved from basic shelf placement to dedicated Byrna end cap displays in more than 20 stores, with full-chain rollout in process. In the 11 months before the end cap rollout, from May 2025 through March 2026, the partner averaged approximately $81,000 per month in purchases across the chain. In April 2026, the first full month following end cap deployment, purchases were approximately $200,000, up 147% from the prior monthly average. This increase also reflects an expanded assortment, including additional launchers, ammo and accessories. All of this retail partner’s locations have placed orders since April 2026, indicating solid engagement across the chain.

Caption: Retail Presentation Example: Byrna moved from basic shelf placement to a dedicated end-cap display at a major retail partner, improving product visibility, assortment and customer education at the point of sale.

The lesson from our early work is that careful attention across our partners and across the customer journey is essential to our success. Presentation, product assortment, education and experience are important variables that can make or break how the product performs in store. We are applying that learning into the broader retail footprint.

Priority 2: Brand Repositioning and Marketing Transformation

Historically, Byrna has often been presented in weapon-first terms. Our next phase is safety-first and use-case-first, with messaging that makes the product relevant in real-life situations such as home safety, commuting, exercising, travel, outdoor activities and small business protection.

We have recently realigned our marketing function and appointed HLK as our agency of record to support the next phase of Byrna’s brand and marketing strategy. HLK will support brand strategy, positioning, creative development, media and social strategy, and campaign execution as we work to make Byrna easier to understand, evaluate and adopt across digital, social, media and retail channels.

This realignment is aimed at strengthening product education, improving the customer experience and better connecting Byrna’s products with real-world personal safety needs.

We also continue to expand in more mainstream media environments, including our recently announced Fox Sports partnership through iHeartMedia. Fox Sports is an early step in expanding Byrna’s national reach and introducing the brand to a broader audience.

The timing of this shift will vary by end channel. Initial changes are already live on the website and in digital creative. Influencer messaging, customer education, and media strategy will follow as the new positioning is rolled into campaign work and partner messaging. Retail presentation will move on partner timelines, and product development will advance on normal development cycle timelines. Though product development enhancements will take longer than brand work to show up publicly, we have already implemented a consumer-need-back process internally. Our objective is to have core brand repositioning work in place for the holiday season and a broader brand expression ahead of SHOT Show 2027.

We are also in the process of building a more consistent owned-channel and community engagement cadence, including branded content and more direct customer interaction, and we are engaging new affiliate marketing support to improve reach and performance across customer acquisition channels

Priority 3: Operating Cadence and Cash Discipline

As Byrna grows through retail and continues to improve DTC, we need a tighter connection between demand signals, production planning, inventory levels and cash conversion.

Inventory is a major focus. Inventory was $33.1 million at the end of fiscal Q1, and we are aligning production more closely with near-term demand while preserving the ability to ramp as retail and DTC demand improve. We are also focused on managing the margin implications of channel mix through product mix, pricing, manufacturing efficiency and disciplined operating spend.

We are bringing the same approach to product development and manufacturing. Historically, Byrna has been more R&D-led in how products moved from concept to launch. Going forward, we are shifting from a hardware-first model to one that starts with clear consumer needs and then aligns R&D, marketing, and operations to deliver valuable and differentiated solutions efficiently and profitably. For example, first-pass yield on the CL platform is currently approximately 80% and is expected to move above 90% in the near term.

Strengthening operations also means building the right team and processes. Byrna has reached a size where it needs more specialized talent, deeper process and better accountability across retail, marketing, eCommerce, product quality, manufacturing and operations. We have added Bob Holmes as VP, R&D, and we are actively evaluating team structure across retail and channel growth, brand marketing and content.

Over the next several quarters, we are setting up Byrna to reach additional customer segments more effectively, convert demand more consistently across channels and translate future growth into stronger cash generation over time.

What Investors Should Watch

In the near term, our most visible progress should come from improving retail presentation, eCommerce improvements and early brand and messaging changes. Throughout the year, we will be paying close attention to how these initiatives translate into stronger conversion, improved reorder cadence, better inventory turns and more consistent cash generation.

The table below summarizes how we expect shareholders to evaluate our progress during this transition year.

The mission to help people protect themselves is more important than ever, and we are working to enhance the operating focus behind that mission. We are building a Byrna that can reach more people, explain the category more clearly and scale with the discipline required to create long-term shareholder value.

We have specific initiatives underway across retail, eCommerce, brand and operations, and we intend to show progress through the operating proof points described above as the year progresses. My first 100 days have strengthened my belief in Byrna’s opportunity. The rest of 2026 is focused on executing against our priorities, and I look forward to updating you on our progress.

Sincerely,
Conn Davis
Chief Executive Officer, Byrna Technologies

About Byrna Technologies Inc.
Byrna is a personal defense technology company specializing in the development, manufacture, and sale of innovative less-lethal personal security solutions. For more information on the Company, please visit the corporate website here or the Company’s investor relations site here. The Company is the manufacturer of the Byrna^® CL, Byrna^® LE and Byrna^® SD personal security devices, state-of-the-art handheld CO2 powered launchers designed to provide a less-lethal alternative to a firearm for the consumer, private security, and law enforcement markets. To purchase Byrna products, visit the Company’s e-commerce store.

Forward-Looking Statements
This letter contains forward-looking statements within the meaning of the securities laws. All statements contained in this letter, other than statements of current and historical fact, are forward-looking. Often, but not always, forward-looking statements can be identified by the use of words such as “plans,” “expects,” “intends,” “anticipates,” “believes,” “will,” “continue,” and similar expressions, and by statements that certain actions, events or results may, could, would, should or might occur, be achieved or be taken.

Forward-looking statements in this letter include, but are not limited to, statements regarding the Company’s growth opportunity and market potential; expected expansion of Byrna’s retail and dealer footprint; anticipated improvements in customer conversion, retail productivity, reorder activity, inventory turns, margins and cash generation; the expected benefits of changes to the Company’s website, customer education, retail presentation, training, creative, direct marketing and other conversion initiatives; the expected benefits and timing of the Company’s brand repositioning and broader marketing transformation, including its work with HLK and other marketing partners; the Company’s ability to reach a broader and more mainstream consumer audience; expected improvements in production planning, inventory management, manufacturing efficiency and product quality; expected additions to leadership and organizational capabilities; and the Company’s ability to translate these initiatives into stronger operating performance and long-term shareholder value.
Forward-looking statements are not, and cannot be, a guarantee of future results or events. Forward-looking statements are based on, among other things, the Company’s current expectations, assumptions, estimates and analyses, all of which are subject to significant risks, uncertainties and contingencies that could cause actual results to differ materially from those expressed or implied in the forward-looking statements.

These risks and uncertainties include, among other things, the Company’s ability to execute its retail, eCommerce, brand, marketing and operational initiatives; to realize the expected benefits of its marketing repositioning, agency, media and other commercial relationships; to expand its retail footprint and drive sell-through and reorder activity; to improve conversion, inventory management, margins, manufacturing performance and cash generation; to attract and retain key personnel; and to manage legal, regulatory, market, consumer sentiment and other business conditions affecting the Company and its products.

Investors should carefully consider these and other relevant factors, including the risk factors in Part I, Item 1A, “Risk Factors” in the Company’s most recent Annual Report on Form 10-K and in the Company’s subsequent filings with the Securities and Exchange Commission. Forward-looking statements speak only as of the date of this letter, and the Company assumes no obligation to update or revise any forward-looking information, except as required by applicable law.

Investor Contact:
Tom Colton and Alec Wilson
Gateway Group, Inc.
949-574-3860
BYRN@gateway-grp.com

A photo accompanying this announcement is available at https://www.globenewswire.com/NewsRoom/AttachmentNg/7c45e30a-0738-47be-b7f5-579b620a0d91

Big box retail transformation

Retail Presentation Example: Byrna moved from basic shelf placement to a dedicated end-cap display at a major retail partner, improving product visibility, assortment and customer education at the point of sale.

ANDOVER, Mass., June 15, 2026 (GLOBE NEWSWIRE) -- Byrna Technologies Inc. (“Byrna” or the “Company”) (Nasdaq: BYRN), a personal defense technology company specializing in the development, manufacture, and sale of innovative less-lethal personal security solutions, today announced a realignment of its sales and marketing function designed to strengthen Byrna’s brand messaging, broaden its customer base, improve product education, and better connect its products with real-world personal safety needs.

As Byrna expands its retail footprint and pursues a larger, more mainstream consumer audience, the Company is realigning its organization to move beyond its historical base of early adopters, tactical users, and self-defense enthusiasts. To support this next stage of growth, Byrna is separating its previously combined sales and marketing function into two dedicated senior leadership roles, appointing HLK as its agency of record to lead the brand’s repositioning, and recruiting experienced leaders to drive brick-and-mortar sales and brand and content.

“Byrna has a strong product lineup, expanding distribution platform, and a significant market opportunity, but we need to better translate those strengths into measurable growth and a consistent customer experience,” said Conn Davis, Chief Executive Officer of Byrna. “These changes will allow us to sharpen our focus. By adding dedicated leadership for retail sales and brand and content, and partnering with HLK, we are aligning our resources to capture the growth opportunities in front of us.”

Separating Sales and Marketing into Dedicated Leadership Roles
Byrna’s sales and marketing functions were previously overseen by a single president. Going forward, the Company has established two specialized senior roles. and is actively recruiting for both. The senior sales leader will focus on brick-and-mortar expansion and retail sell-through programs, while the senior brand and content leader will oversee marketing, brand, and content to drive the Company’s repositioning.

In connection with this redesign, Luan Pham will depart from his role as president. Mr. Pham contributed to Byrna’s brand development during an important stage of the Company’s growth, and Byrna thanks him for his contributions.

Appointing HLK as Agency of Record
Byrna has appointed HLK as its agency of record. HLK will support Byrna across brand strategy, repositioning, creative development, and media and social strategy as the Company works to make its less-lethal personal security solutions easier to understand, evaluate, and adopt across digital, social, media, and retail channels. HLK is an integrated brand and marketing agency with capabilities spanning brand strategy, campaign activation, performance media, social media, influencer marketing, and digital experiences.

As Byrna reaches new customer segments, the Company believes its marketing approach must evolve to meet more customers where they are, with more relevant use cases and a more consistent experience from discovery through purchase and beyond.

Maintaining Continuity During the Transition
During the transition, HLK will work in coordination with Byrna’s internal team to support these initiatives. Josh Schirard, Byrna’s Director of Law Enforcement and Private Security, will help coordinate brand and content initiatives on an interim basis, reporting directly to Mr. Davis.

Mr. Schirard has been with Byrna since 2020 and has direct experience in product education, training content, and demonstrations. Byrna’s executive leadership team will oversee the broader marketing function during the transition, and the Company will continue to evaluate the appropriate long-term structure for its sales and marketing organization, including capability development across brand, content, social media, and retail activation, as it aligns resources with its next stage of growth.

Building on Recent Momentum
These changes build on recent efforts to expand Byrna’s customer base, including the Company’s recently announced media partnership with Fox Sports through iHeartMedia. Together, they are intended to deliver stronger positioning, more effective creative, and more consistent product education as Byrna scales its retail presence and pursues a broader consumer audience.

About Byrna Technologies Inc.
Byrna is a personal defense technology company specializing in the development, manufacture, and sale of innovative less-lethal personal security solutions. For more information on the Company, please visit the corporate website here or the Company’s investor relations site here. The Company is the manufacturer of the Byrna^® CL, Byrna^® LE and Byrna^® SD personal security devices, state-of-the-art handheld CO2 powered launchers designed to provide a less-lethal alternative to a firearm for the consumer, private security, and law enforcement markets. To purchase Byrna products, visit the Company’s e-commerce store.

Forward-Looking Statements
This news release contains “forward-looking statements” within the meaning of the securities laws. All statements contained in this news release, other than statements of current and historical fact, are forward-looking. Often, but not always, forward-looking statements can be identified by the use of words such as “plans,” “expects,” “intends,” “anticipates,” “believes,” “designed to,” “will,” and “continue,” and statements that certain actions, events or results “may,” “could,” “would,” “should,” “might,” “occur,” “be achieved,” or “will be taken.” Forward-looking statements in this news release include, but are not limited to, statements regarding the realignment of the Company’s sales and marketing function; the separation of the Company’s previously combined sales and marketing function into two dedicated senior leadership roles; the Company’s recruitment of senior sales and brand and content leaders and the expected timing, contributions, and impact of those hires; the departure of the Company’s president and the interim coordination of brand and content initiatives during the transition; the appointment of HLK as the Company’s agency of record and the anticipated benefits of that engagement, including expected enhancements to brand strategy, repositioning, creative development, and media and social strategy; the Company’s plans to broaden its customer base beyond its historical base of early adopters, tactical users, and self-defense enthusiasts and to reach a larger, more mainstream consumer audience; the expected expansion of the Company’s retail footprint and brick-and-mortar presence and related sell-through programs; the anticipated benefits of the Company’s previously announced media partnership with Fox Sports through iHeartMedia; and the Company’s expectations regarding improved product education, brand positioning, customer experience, and growth. Forward-looking statements are not, and cannot be, a guarantee of future results or events. Forward-looking statements are based on, among other things, opinions, assumptions, estimates, and analyses that, while considered reasonable by the Company at the date the forward-looking information is provided, inherently are subject to significant risks, uncertainties, contingencies, and other factors that may cause actual results and events to be materially different from those expressed or implied. Any number of risk factors could affect our actual results and cause them to differ materially from those expressed or implied by the forward-looking statements in this news release, including, but not limited to, the Company’s ability to execute the realignment of its sales and marketing function and to realize the anticipated benefits of that realignment on the expected timeline or at all; the Company’s ability to identify, recruit, hire, integrate, and retain qualified senior sales and brand and content leaders; risks associated with leadership transitions and the loss of, or reliance on, key personnel, including the departure of the Company’s president and the interim assignment of brand and content responsibilities during the transition; the Company’s dependence on its relationship with HLK and other third-party agencies, marketing partners, and endorsers, and the risk that the anticipated benefits of those relationships are not realized; the loss of marketing partners or endorsers; the Company’s ability to reposition its brand and to broaden its customer base beyond early adopters to a larger, more mainstream consumer audience; the Company’s ability to expand its retail and brick-and-mortar presence and to drive retail sell-through; disappointing market or consumer responses to the Company’s repositioning, marketing strategies, or current or future products or services; determinations by advertisers to prohibit marketing of some or all Byrna products; changes in consumer or political sentiment affecting product demand; litigation, enforcement proceedings or other regulatory or legal developments; and regulatory factors, including the extensive regulation to which the Company and its products are subject. The order in which these factors appear should not be construed to indicate their relative importance or priority. We caution that these factors may not be exhaustive; accordingly, any forward-looking statements contained herein should not be relied upon as a prediction of actual results. Investors should carefully consider these and other relevant factors, including those risk factors in Part I, Item 1A (“Risk Factors”) in the Company’s most recent Annual Report on Form 10-K and in the Company’s subsequent filings with the Securities and Exchange Commission, should understand it is impossible to predict or identify all such factors or risks, should not consider the foregoing list, or the risks identified in the Company’s SEC filings, to be a complete discussion of all potential risks or uncertainties, and should not place undue reliance on forward-looking information. The Company assumes no obligation to update or revise any forward-looking information, except as required by applicable law.

Investor Contact:
Tom Colton and Alec Wilson
Gateway Group, Inc.
949-574-3860
BYRN@gateway-grp.com

ANDOVER, Mass., May 28, 2026 (GLOBE NEWSWIRE) -- Byrna Technologies Inc. (“Byrna” or the “Company”) (Nasdaq: BYRN), a personal defense technology company specializing in the development, manufacture, and sale of innovative less-lethal personal security solutions, today announced a new media partnership with Fox Sports through iHeartMedia. The campaign is expected to launch in the coming weeks and is designed to introduce Byrna’s less-lethal personal security solutions to a broad, highly engaged sports audience across radio, digital, and television platforms.

The partnership represent an important step in Byrna’s broader marketing evolution as the Company works to introduce its less-lethal personal security solutions to a broader range of people. The move reflects Byrna’s early steps to refine its messaging and media strategy around personal safety, protection and less-lethal self-defense, including reaching audiences who may not have historically considered personal security products but are looking for practical ways to protect themselves and their loved ones. As Byrna refines its media strategy, it is directing media investment toward nationally recognized voices with broader mainstream reach, while continuing to build a more accessible message around personal safety and maintaining a disciplined, performance-oriented approach to marketing.

Through this partnership, Byrna expects to deploy advertising across more than 200 radio stations nationwide through Fox Sports Radio and Premiere Networks via iHeartMedia’s distribution platform, enabling the Company to reach a large and highly engaged audience of sports fans on well-known shows. The campaign is expected to include national radio and podcast integrations, supported by digital media placements designed to increase brand awareness and drive customer engagement.

“By partnering with Fox Sports through iHeartMedia, we are expanding Byrna’s reach across a broad national sports-focused audience,” said Conn Davis, Chief Executive Officer of Byrna. “This campaign represents an important step in scaling brand awareness, improving customer education, and positioning Byrna as a more accessible personal safety solution, while enabling us to engage consumers in a targeted and measurable way.”

Byrna expects this partnership to complement its broader efforts to improve customer education, sharpen its brand message and support a more integrated approach across digital and media channels. The Company expects to evaluate the campaign as part of its broader marketing strategy, with a focus on audience engagement, customer acquisition efficiency and conversion across Byrna.com and its retail footprint. The Company believes that expanding awareness through mainstream media personalities, while continuing to improve the customer experience across Byrna.com and its growing retail footprint, can help more people understand the role less-lethal personal security solutions can play in real-world situations.

“Historically, Byrna has had success speaking to early adopters and self-defense enthusiasts,” Davis added. “In our next phase, we plan to broaden the conversation around personal safety while maintaining discipline around how we allocate marketing resources. Our focus is on the real situations people think about every day, such as getting home safely, protecting their families, and having an option before a situation escalates.”

About Byrna Technologies Inc.
Byrna is a personal defense technology company specializing in the development, manufacture, and sale of innovative less-lethal personal security solutions. For more information on the Company, please visit the corporate website here or the Company’s investor relations site here. The Company is the manufacturer of the Byrna^® CL, Byrna^® LE and Byrna^® SD personal security devices, state-of-the-art handheld CO2 powered launchers designed to provide a less-lethal alternative to a firearm for the consumer, private security, and law enforcement markets. To purchase Byrna products, visit the Company’s e-commerce store.

Forward-Looking Statements
This news release contains “forward-looking statements” within the meaning of the federal securities laws. All statements contained in this news release, other than statements of current and historical fact, are forward-looking statements. Often, but not always, forward-looking statements can be identified by the general use of words such as “plans,” “expects,” “intends,” “anticipates,” and “believes” and statements that certain actions, events or results “may,” “could,” “would,” “should,” “might,” “occur,” or “be achieved,” or “will be taken.” Forward-looking statements in this news release include but are not limited to our statements related to: the expected launch, timing, and scope of Byrna’s media partnerships through iHeartMedia; the anticipated audience reach and engagement of those campaigns across radio, podcast, digital, and other channels; the expected ability of these partnerships to introduce Byrna’s products and brand message to new and broader consumer audiences, including audiences who may not have historically considered personal security products; the anticipated impact of these partnerships on customer education, brand awareness, customer acquisition efficiency, and conversion across Byrna.com and the Company’s retail footprint; the Company’s broader marketing strategy and media investment approach, including the refinement of its messaging, the allocation of marketing resources, and the integration of digital and media channels; the anticipated introduction of dedicated campaign landing pages and promotional offers in connection with the partnerships; the Company’s plans to broaden the conversation around personal safety and reach a wider set of customer segments; and Byrna’s expectation that the partnerships will complement and support its broader marketing, retail expansion, and growth initiatives. Forward-looking statements are not, and cannot be, a guarantee of future results or events. Forward-looking statements are based on, among other things, opinions, assumptions, estimates, and analyses that, while considered reasonable by the Company at the date the forward-looking information is provided, inherently are subject to significant risks, uncertainties, contingencies, and other factors that may cause actual results and events to be materially different from those expressed or implied.

Any number of risk factors could affect our actual results and cause them to differ materially from those expressed or implied by the forward-looking statements in this news release, including, but not limited to: the risk that the campaigns do not launch on the anticipated timeline, are reduced in scope, or are not executed as planned; the risk that the partnerships do not achieve the anticipated audience reach, engagement, brand awareness, customer acquisition, or conversion results; the risk that increases in marketing expenditure in connection with these partnerships do not yield expected revenue increases or returns on investment; the risk of reputational harm or negative publicity arising from association with third-party personalities, media platforms, or partner programming, or from changes in the public profile, conduct, or commentary of such personalities; the risk that media partners, broadcasters, or advertising platforms determine to limit, modify, or terminate the placement or distribution of Byrna’s advertising; the loss of marketing partners; determinations by advertisers, social media platforms, or other media channels, or legislation or regulatory action, that prevents or limits marketing of some or all Byrna products; changes in consumer or political sentiment affecting product demand or the less-lethal personal defense category; the risk that efforts to broaden brand messaging or expand into new customer segments do not achieve anticipated market penetration or revenue results; disappointing market responses to current or future products or services; litigation, enforcement proceedings, or other regulatory or legal developments, including those relating to advertising, endorsements, or consumer protection; the risk that investments in e-commerce enhancements or digital capabilities, including dedicated campaign landing pages and improvements to Byrna.com, do not yield anticipated improvements in conversion rates, customer acquisition, or revenue; and general economic, competitive, and market conditions affecting consumer demand for personal defense products. The order in which these factors appear should not be construed to indicate their relative importance or priority. We caution that these factors may not be exhaustive; accordingly, any forward-looking statements contained herein should not be relied upon as a prediction of actual results. Investors should carefully consider these and other relevant factors, including those risk factors in Part I, Item 1A, (“Risk Factors”) in the Company’s most recent Form 10-K and in subsequent Quarterly Reports on Form 10-Q, and should understand it is impossible to predict or identify all such factors or risks, and should not consider the foregoing list, or the risks identified in the Company’s SEC filings, to be a complete discussion of all potential risks or uncertainties, and should not place undue reliance on forward-looking information.

The Company assumes no obligation to update or revise any forward-looking information, except as required by applicable law.

Investor Contact:
Tom Colton and Alec Wilson
Gateway Group, Inc.
949-574-3860
BYRN@gateway-grp.com

B. Riley Securities 2026 Investor Conference
Date: May 20, 2026
Location: Ritz-Carlton, Marina Del Rey (Marina Del Rey, California)
Format: One-on-one and small group meetings

Craig-Hallum 23rd Annual Institutional Investor Conference
Date: May 28, 2026
Location: Renaissance Minneapolis Hotel, The Depot (Minneapolis, MN)
Format: One-on-one and small group meetings

For additional information or to schedule a one-on-one meeting with Byrna’s management team, please contact Gateway Group at BYRN@gateway-grp.com.

About Byrna Technologies Inc.
Byrna is a personal defense technology company specializing in the development, manufacture, and sale of innovative less-lethal personal security solutions. For more information on the Company, please visit the corporate website here or the Company’s investor relations site here. The Company is the manufacturer of the Byrna^® CL, Byrna^® LE and Byrna^® SD personal security devices, state-of-the-art handheld CO2 powered launchers designed to provide a less-lethal alternative to a firearm for the consumer, private security, and law enforcement markets. To purchase Byrna products, visit the Company’s e-commerce store.

Investor Contact:
Tom Colton and Alec Wilson
Gateway Group, Inc.
949-574-3860
BYRN@gateway-grp.com

ANDOVER, Mass., April 15, 2026 (GLOBE NEWSWIRE) -- Byrna Technologies Inc. (“Byrna” or the “Company”) (Nasdaq: BYRN), a personal defense technology company specializing in the development, manufacture, and sale of innovative less-lethal personal security solutions, today announced the promotion of Matthew Campagni to Chief Strategy Officer. In this role, Campagni will lead the Company’s strategic planning initiatives and support cross-functional execution as Byrna continues to scale and position the Company for its next phase of growth.

Campagni brings more than 25 years of executive leadership experience across strategy, operations, finance, and program management in public safety, technology, investment, and manufacturing organizations. Since joining Byrna in 2024 as Vice President of Corporate Development, he has worked closely with the leadership team on key initiatives across the business, playing a pivotal role in the Company’s continued progress and evolution.

“Matt is exactly the kind of seasoned, strategic leader we need as Byrna continues to scale,” said Byrna CEO Conn Davis. “He brings an impressive track record of driving operational transformation and strategic execution growth in the public safety and technology sectors. As we continue to scale the business, expand our reach and sharpen execution across the organization, Matt will be an important part of that effort.”

Prior to joining Byrna, Campagni served as Senior Vice President of Operations at WRAP Technologies, Inc. (Nasdaq: WRAP), where he strengthened supply chain and manufacturing operations, led key product acquisitions and integrations, and directed the company’s strategic transition toward recurring-revenue Hardware-as-a-Service and Software-as-a-Service business models. Earlier in his career, he served as Chief Financial Officer and Vice President of Operations for a family office and spent more than two decades at Information Methods Incorporated, a technology consulting and system integration firm focused on public safety, where he ultimately served as both Chief Financial Officer and Chief Operating Officer.

“Over the past two years, I have seen firsthand what makes Byrna such a compelling company, and I am honored to take on a larger role to help drive execution and a more strategic approach as we build for more consistent, long-term growth,” said Campagni. “We have a strong foundation, and I look forward to working with the team to help translate our differentiated less-lethal platform into value for our customers and shareholders.”

Campagni holds a B.S. in Finance from Tennessee Tech and an M.S. in Project Management from The George Washington University. He is also a certified Project Management Professional (PMP), Risk Management Professional (RMP), and Six Sigma Black Belt.

Forward-Looking Statements
This press release contains "forward-looking statements" within the meaning of the securities laws. All statements contained in this news release, other than statements of current and historical fact, are forward-looking. Often, but not always, forward-looking statements can be identified by the use of words such as "plans," "expects," "intends," "anticipates," and "believes" and statements that certain actions, events, or results "may," "could," "would," "should," "might," "occur," or "be achieved," or "will be taken." Forward-looking statements in this news release include, but are not limited to, statements regarding Mr. Campagni's anticipated role, responsibilities, and contributions as Chief Strategy Officer, the Company's ability to execute on its strategic planning initiatives, the Company's expectations regarding its next phase of growth, and the Company's ability to scale operations and deliver long-term value to its customers and shareholders. Forward-looking statements are not, and cannot be, a guarantee of future results or events. Forward-looking statements are based on, among other things, opinions, assumptions, estimates, and analyses that, while considered reasonable by the Company at the date the forward-looking information is provided, inherently are subject to significant risks, uncertainties, contingencies, and other factors that may cause actual results and events to be materially different from those expressed or implied. Any number of risk factors could cause our actual results to differ materially from those expressed or implied by the forward-looking statements in this news release. Investors should carefully consider these and other relevant factors, including those risk factors in Part I, Item 1A ("Risk Factors") in the Company's most recent Form 10-K and Part II, Item 1A ("Risk Factors") in the Company's most recent Form 10-Q, should understand it is impossible to predict or identify all such factors or risks, should not consider the foregoing or the risks identified in the Company's SEC filings to be a complete discussion of all potential risks or uncertainties, and should not place undue reliance on forward-looking information. The Company assumes no obligation to update or revise any forward-looking information, except as required by applicable law.

About Byrna Technologies Inc.
Byrna is a personal defense technology company specializing in the development, manufacture, and sale of innovative less-lethal personal security solutions. For more information on the Company, please visit the corporate website here or the Company’s investor relations site here. The Company is the manufacturer of the Byrna^® CL, Byrna^® LE and Byrna^® SD personal security devices, state-of-the-art handheld CO2 powered launchers designed to provide a less-lethal alternative to a firearm for the consumer, private security, and law enforcement markets. To purchase Byrna products, visit the Company’s e-commerce store.

Investor Contact:
Tom Colton and Alec Wilson
Gateway Group, Inc.
949-574-3860
BYRN@gateway-grp.com

ANDOVER, Mass., April 09, 2026 (GLOBE NEWSWIRE) -- Byrna Technologies Inc. (“Byrna” or the “Company”) (Nasdaq: BYRN), a personal defense technology company specializing in the development, manufacture, and sale of innovative less-lethal personal security solutions, today reported select financial results for its fiscal first quarter (“Q1 2026”) ended February 28, 2026.

Fiscal First Quarter 2026 and Recent Operational Highlights

• Appointed Conn Davis as Chief Executive Officer, succeeding retiring CEO Bryan Ganz. Davis brings deep experience scaling consumer brands across product innovation, distribution, e-commerce, and M&A.
• Began partnership with Academy Sports + Outdoors, expanding Byrna’s brick-and-mortar market presence in Texas and Southeast U.S., with an initial launch in approximately 50 stores and a phased rollout targeting approximately 200 to 250 stores by year-end.
• Expanded the Company’s Mountain West footprint with the addition of 14 Murdoch’s Ranch & Home Supply stores, targeting 30 stores across the region by year-end.
• Introduced the Byrna CL-XL launcher, expanding the product lineup to address additional customer preferences.
• Elevated TJ Kennedy as Chair of the Board, bringing extensive experience scaling mission-critical public safety technologies as a former public company CEO.
• Promoted Luan Pham to President, recognizing his central role in scaling revenue from $17 million in 2020 to $118 million in 2025, where he will oversee marketing, brand strategy, and distribution.
• Appointed Robert Holmes as VP of New Product Development and R&D, bringing deep technology and hardware innovation experience from prior roles at consumer companies.
• Launched the new “Find the Right Launcher” experience on Byrna.com in recent weeks, designed to help consumers identify the product best suited to their needs and location while improving education and conversion.
  
  

Fiscal First Quarter 2026 Financial Results
Results compare Q1 2026 to the 2025 fiscal first quarter ended February 28, 2025, unless otherwise indicated.

Net revenue for Q1 2026 was $29.0 million, compared to $26.2 million in the fiscal first quarter of 2025 (“Q1 2025”). The 11% year-over-year increase was driven primarily by continued sales expansion across dealer and chain store channels, partially offset by typical post-holiday seasonal moderation in the quarter. The Company also ended the quarter with approximately $1.1 million in backlog, slightly above typical first-quarter levels due to timing of shipments at quarter-end.

Gross profit for Q1 2026 was $17.4 million (60% of net revenue), up from $15.9 million (61% of net revenue) in Q1 2025. The increase in gross profit was driven by the increase in overall sales. The modest change in gross margin was primarily due to the greater contribution of dealer and chain store sales. The Company expects to see gross margin expansion in the back half of the year given continued changes in product mix, modest price increases implemented late in the first quarter, and continued efficiency improvement in manufacturing.

Operating expenses for Q1 2026 were $16.5 million, compared to $14.2 million for Q1 2025, an increase of 16%. The increase reflects higher advertising expenses and marketing costs to support revenue growth through retail distribution expansion, and initiatives aimed at increasing brand awareness and conversion. The Company also incurred higher costs related to legal and other professional expenses in the first quarter.

Net income for Q1 2026 was $0.8 million, compared to $1.7 million for Q1 2025.

Adjusted EBITDA¹, a non-GAAP metric reconciled below, for Q1 2026 totaled $2.2 million, compared to $3.0 million in Q1 2025.

Cash, cash equivalents and marketable securities as of February 28, 2026 totaled $9.6 million, compared to $15.5 million at November 30, 2025. Inventory on February 28, 2026 totaled $33.1 million compared to $32.7 million on November 30, 2025. The Company is focused on lowering inventory over time and improving working capital efficiency.

____________________________
_{¹ See non-GAAP financial measures at the end of this press release for a reconciliation and a discussion of non-GAAP financial measures.}

Management Commentary
Byrna CEO Conn Davis stated: “Byrna has important strengths already in place, including a differentiated product offering, a strong balance sheet, a domestic manufacturing footprint, and a growing retail and dealer presence. At the same time, it is clear to me that the next phase of value creation will be defined by sharper execution across marketing, e-commerce, retail productivity, and operating discipline. That is where our focus is today.

“Our fiscal first quarter results reflect real demand for our solutions while also highlighting clear areas where we need to improve execution. In the near term, our focus is on three priorities. First, driving deeper penetration across our retail and dealer channels, which we view as our single biggest growth opportunity over the next 12 to 18 months. Second, broadening our brand message to reach a wider set of customer segments. Historically, Byrna has spoken most effectively to a narrower slice of the market, and we believe the less-lethal personal defense category can resonate with a much broader audience when the product is presented, merchandised, and explained effectively. Third, establishing a clear financial algorithm so that growth flows through to stronger EBITDA, cash generation, and working capital efficiency over time.

“We also see a meaningful opportunity to improve the performance of Byrna.com. Traffic has remained relatively healthy, but conversion has declined and average order value has come under pressure in recent months, which tells us the issue is not simply demand generation, but how effectively we are converting that demand. We are investing to improve the website experience, make it easier for customers to understand our product lineup, and create a clearer path to purchase. Our new ‘Find the Right Product’ experience on Byrna.com is one example of that effort. It is already helping consumers better understand which product is right for them while generating valuable data that can help us improve education, conversion, and the overall customer experience.

“Based on what we are seeing today, fiscal Q2 is developing below our expectations and below the kind of sequential improvement we would ultimately expect this business to deliver. At the same time, we are in the middle of making meaningful changes to demand generation, website conversion, retail productivity, inventory discipline, and internal forecasting. We believe those changes are necessary, but they also make near-term results more variable and less suitable for formal quarterly guidance until we have better operating consistency and stronger internal visibility. We are focused on addressing the drivers of underperformance directly and positioning the business to perform better over time.”

Conference Call
The Company’s management will host a conference call today, April 9, 2026, at 9:00 a.m. Eastern time (6:00 a.m. Pacific time) to discuss these results, followed by a question-and-answer period.

Toll-Free Dial-In: 877-709-8150
International Dial-In: +1 201-689-8354
Confirmation: 13759372

Please call the conference telephone number 5-10 minutes prior to the start time of the conference call. An operator will register your name and organization. If you have any difficulty connecting with the conference call, please contact Gateway Group at 949-574-3860.

The conference call will be broadcast live and available for replay here and via the Investor Relations section of Byrna’s website.

About Byrna Technologies Inc.
Byrna is a personal defense technology company specializing in the development, manufacture, and sale of innovative less-lethal personal security solutions. For more information on the Company, please visit the corporate website here or the Company’s investor relations site here. The Company is the manufacturer of the Byrna^® CL, Byrna^® LE and Byrna^® SD personal security devices, state-of-the-art handheld CO2 powered launchers designed to provide a less-lethal alternative to a firearm for the consumer, private security, and law enforcement markets. To purchase Byrna products, visit the Company’s e-commerce store.

Forward-Looking Statements
This news release contains "forward-looking statements" within the meaning of the federal securities laws. All statements contained in this news release, other than statements of current and historical fact, are forward-looking statements. Often, but not always, forward-looking statements can be identified by the general use of words such as "plans," "expects," "intends," "anticipates," and "believes" and statements that certain actions, events or results "may," "could," "would," "should," "might," "occur," or "be achieved," or "will be taken." Forward-looking statements in this news release include but are not limited to our statements related to our expected sales during future periods; our strategic priorities under our new CEO, Conn Davis, including driving deeper penetration across our retail and dealer channels, which we view as our primary growth opportunity over the next 12 - 18 months; broadening our brand message to reach a wider set of customer segments and expanding our addressable market, and establishing a financial framework to ensure that incremental revenue drives meaningful improvement in Adjusted EBITDA and cash generation over time; the anticipated benefits of our partnership with Academy Sports + Outdoors and continued brick and mortar retail expansion; our plans to enhance Byrna.com as our flagship digital destination through targeted investment in e-commerce capabilities, conversion rate improvement, and omnichannel purchasing options; our intent to leverage proprietary data and insights gathered from Byrna.com, our customer lists, and our own retail locations to optimize our marketing, online presence, and dealer strategies; anticipated demand for our products, including anticipated market reception for the Byrna CL-XL launcher; our ability to scale production lines; Byrna’s ability to remain self-sustaining, profitable and cash-flow positive; the expected benefits of continued investment in production, engineering, and new product development capabilities; Byrna’s ability to continue to collaborate with retail partners and grow revenue per store; the potential use of funds from Byrna’s credit facility to support potential acquisitions and working capital needs; the Company’s plans to reduce inventory levels over time and improve working capital efficiency; our plans to use our balance sheet to invest in growth, focusing on improvements in conversion, customer acquisition, and retail performance while maintaining disciplined capital allocation; our ability to align the Byrna organization around near- term execution priorities while building toward our long term strategic vision; brand awareness of Byrna and continued acceptance of the less-than-lethal personal defense market; our expectations regarding gross margin expansion during fiscal year 2026, including the anticipated impact of changes in product mix, price increases implemented in the first quarter, and continued improvements in manufacturing efficiency; our plans to launch Byrna products in 50 retail store locations and to expand into an additional 200 to 250 retail locations by fiscal year end; our plans to expand the Company’s Mountain West retail presence through Murdoch’s Ranch & Home Supply; our expectation that meaningful operational changes currently underway in demand generation, website conversion, retail productivity, and internal forecasting will, over time, result in improved operating performance, and the basis for the Company’s determination not to provide formal quarterly financial guidance for fiscal Q2 2026 until greater internal forecasting visibility is established; and, Byrna’s positioning for sustained growth in future fiscal years. Forward-looking statements are not, and cannot be, a guarantee of future results or events. Forward-looking statements are based on, among other things, opinions, assumptions, estimates, and analyses that, while considered reasonable by the Company at the date the forward-looking information is provided, inherently are subject to significant risks, uncertainties, contingencies, and other factors that may cause actual results and events to be materially different from those expressed or implied.

Any number of risk factors could affect our actual results and cause them to differ materially from those expressed or implied by the forward-looking statements in this news release, including, but not limited to, disappointing market responses to current or future products or services; prolonged, new, or exacerbated disruption of our supply chain; the further or prolonged disruption of new product development; production or distribution disruption or delays in entry or penetration of sales channels due to inventory constraints, competitive factors, increased transportation costs or interruptions, including due to weather, flooding or fires; prototype, parts and material shortages, particularly of parts sourced from limited or sole source providers; determinations by third party controlled distribution channels, including Amazon, not to carry or reduce inventory of the Company’s products; determinations by advertisers or social media platforms, or legislation that prevents or limits marketing of some or all Byrna products; the loss of marketing partners; challenges arising from the transition to the new executive leadership and execution of new strategic priorities by the Company’s new management team; the risk that investments in e-commerce enhancements or digital capabilities, including improvements to Byrna.com, do not yield anticipated improvements in conversion rates, customer acquisition, or revenue; the risk that efforts to broaden brand messaging or expand into new customer segments do not achieve anticipated market penetration or revenue results; increases in marketing expenditure may not yield expected revenue increases; potential cancellations of existing or future orders including as a result of any fulfillment delays, introduction of competing products, negative publicity, or other factors; product design or manufacturing defects or recalls; litigation, enforcement proceedings or other regulatory or legal developments; changes in consumer or political sentiment affecting product demand; regulatory factors including the impact of commerce and trade laws and regulations; changes in domestic or international trade policy, including the imposition of new or increased tariffs, export controls or other trade restrictions, that could result in an increase in the cost of materials, components or finished goods used or sold by the Company, and/ or that could disrupt the Company’s supply chain, or otherwise adversely affect the Company’s costs, revenues, or results of operations; the risk that price increases implemented in the first quarter are not sustained, are reversed in response to market or competitive conditions, or otherwise fail to contribute to gross margin improvement as anticipated; the risk that anticipated manufacturing efficiency improvements do not materialize or are offset by increases in input, labor, or overhead costs; the risk that planned retail store launches, including the targeted addition of up to 250 new retail locations, are delayed, reduced in scope, or not executed by retail partners on the anticipated timeline; and, future restrictions on the Company’s cash resources, increased costs and other events that could potentially reduce demand for the Company’s products or result in order cancellations. The order in which these factors appear should not be construed to indicate their relative importance or priority. We caution that these factors may not be exhaustive; accordingly, any forward-looking statements contained herein should not be relied upon as a prediction of actual results. Investors should carefully consider these and other relevant factors, including those risk factors in Part I, Item 1A, ("Risk Factors") in the Company’s most recent Form 10-K, and should understand it is impossible to predict or identify all such factors or risks, and should not consider the foregoing list, or the risks identified in the Company’s SEC filings, to be a complete discussion of all potential risks or uncertainties, and should not place undue reliance on forward-looking information. The Company assumes no obligation to update or revise any forward-looking information, except as required by applicable law.

Investor Contact:
Tom Colton and Alec Wilson
Gateway Group, Inc.
949-574-3860
BYRN@gateway-grp.com

Non-GAAP Financial Measures

In addition to providing financial measurements based on generally accepted accounting principles in the United States (GAAP), we provide an additional financial metric that is not prepared in accordance with GAAP (non-GAAP) with presenting non-GAAP adjusted EBITDA. Management uses this non-GAAP financial measure, in addition to GAAP financial measures, to understand and compare operating results across accounting periods, for financial and operational decision making, for planning and forecasting purposes and to evaluate our financial performance. We believe that this non-GAAP financial measure helps us to identify underlying trends in our business that could otherwise be masked by the effect of certain expenses that we exclude in the calculations of the non-GAAP financial measure.

Accordingly, we believe that this non-GAAP financial measure reflects our ongoing business in a manner that allows for meaningful comparisons and analysis of trends in the business and provides useful information to investors and others in understanding and evaluating our operating results, enhancing the overall understanding of our past performance and future prospects.

This non-GAAP financial measure does not replace the presentation of our GAAP financial results and should only be used as a supplement to, not as a substitute for, our financial results presented in accordance with GAAP. There are limitations in the use of non-GAAP measures, because they do not include all the expenses that must be included under GAAP and because they involve the exercise of judgment concerning exclusions of items from the comparable non-GAAP financial measure. In addition, other companies may use other non-GAAP measures to evaluate their performance, or may calculate non-GAAP measures differently, all of which could reduce the usefulness of our non-GAAP financial measure as a tool for comparison.
         
Adjusted EBITDA

Adjusted EBITDA is defined as net (loss) income as reported in our condensed consolidated statements of operations and comprehensive (loss) income excluding the impact of (I) depreciation and amortization; (ii) income tax provision (benefit); (iii) interest income (expense); (iv) stock-based compensation expense, (v) impairment loss, and (vi) one time, non-recurring other expenses or income. Our Adjusted EBITDA measure eliminates potential differences in performance caused by variations in capital structures (affecting finance costs), tax positions, the cost and age of tangible assets (affecting relative depreciation expense) and the extent to which intangible assets are identifiable (affecting relative amortization expense). We also exclude certain one-time and non-cash costs. Reconciliation of Adjusted EBITDA to net (loss) income, the most directly comparable GAAP measure, is as follows (in thousands):