Parrot SA reported QQ2 2024 revenue of €30.593 million, representing a QoQ increase of approximately 99.95% from €15.30 million in Q1 and a YoY decline of about 3.04%. The company produced a gross profit of €12.65 million, translating to a gross margin of 41.35% on revenue. Despite this, operating expenses totaled €34.95 million, yielding an operating loss of €9.646 million and an EBITDA of €-9.375 million. Net income came in at €-5.05 million for the quarter, with basic and diluted EPS of €-0.33. The disparity between gross margin and net profitability is driven by substantial other expenses (€17.45 million) and ongoing R&D investment, underscoring Parrot’s continued push into hardware and software ecosystems (drones, Pix4D, SaaS offerings) that aim to monetize via data services and enterprise solutions over the longer term.
From a balance sheet and cash flow perspective, the group remains cash-rich on an absolute basis but shows signs of operating cash burn. Operating cash flow was negative at €-2.95 million for QQ2 2024, with capex at €-0.50 million, resulting in free cash flow of €-3.45 million. Net change in cash for the period was negative €8.50 million, bringing cash and cash equivalents to €19.57 million at period end. The company maintains a net cash position (net debt of €-13.20 million) despite a modest level of gross debt (short-term €4.88 million, long-term €6.35 million).
Strategically, Parrot benefits from its integrated hardware/software ecosystem, including Pix4Dmapper and drone-based vine monitoring and industrial applications, which position it to capitalize on growing enterprise and agricultural drone adoption. However, the QQ2 results highlight the ongoing challenge of translating top-line momentum into near-term profitability amid heavy R&D and other non-operational costs. Investors should monitor the trajectory of gross margin sustainability, operating expense discipline, and progress toward profitability as Parrot scales its software and services portfolio.