Palladyne AI Corp. is an early-stage U.S. technology company focused on embodied AI software, defense autonomy solutions, advanced avionics, UAVs, engineering services and precision manufacturing for defense and commercial/industrial markets. Its core products include Palladyne IQ for industrial robots and cobots and SwarmOS/Pilot and IntelliSwarm for collaborative UAV swarms.
The company reported a loss from operations of $32.4 million in 2025 and $26.9 million in 2024, with an accumulated deficit of $480.8 million and working capital of $46.9 million as of December 31, 2025. Operating cash flows were negative $27.6 million in 2025 and $22.6 million in 2024, and management expects significant losses to continue while it invests in AI/ML development, commercialization and recent defense-focused acquisitions.
The company highlights substantial risks, including unproven commercialization of its AI products, long and uncertain sales cycles, reliance on government and defense-related demand, competitive pressure from large industrial and defense players, potential supply-chain constraints and evolving regulation of AI, export controls and government contracting. As of June 30, 2025, non‑affiliate equity market value was approximately $315.5 million, and as of February 20, 2026 there were 46,494,865 common shares outstanding.
Palladyne AI Corp. reported mixed 2025 results alongside very aggressive 2026 growth targets. Full-year 2025 revenue fell 33% to $5.2 million, though fourth-quarter revenue more than doubled to $1.7 million, up 118% from the prior-year quarter.
The company posted 2025 GAAP net income of $10.0 million, driven largely by a $37.7 million gain on warrant liabilities, while non-GAAP net loss widened to $25.2 million. Year-end cash, cash equivalents and marketable securities totaled $47.0 million, with backlog at $13.5 million.
Management reiterated 2026 revenue guidance of $24–$27 million, implying about 357%–415% growth from 2025, supported by a contracted 12–18 month backlog of nearly $18.0 million as of mid-February 2026 and contributions from recent acquisitions and new defense and space programs.
Palladyne AI Corp. is reshaping its leadership by appointing long-time board member Matt Muta as President, Commercial and Industrial, effective March 2, 2026. He will lead commercial operations, including sales, partnerships, go-to-market strategy, and revenue initiatives focused on the Palladyne IQ embodied AI platform.
Muta will resign from the board of directors when his executive role begins, and his resignation is stated not to stem from any disagreement over operations, policies, or practices. The company describes this move as a shift toward stronger commercial execution and enterprise adoption of its poly-functional robotics and autonomy solutions.
BlackRock Portfolio Management LLC has disclosed a significant stake in Palladyne AI Corp. The firm reports beneficial ownership of 3,042,065 shares of Palladyne AI common stock, representing 6.4% of the outstanding class as of the event date of 12/31/2025.
BlackRock Portfolio Management LLC, organized in Delaware, states that these shares are held in the ordinary course of business by certain BlackRock business units and not for the purpose of changing or influencing control of Palladyne AI. The filer reports sole voting power over 3,041,258 shares and sole dispositive power over 3,042,065 shares, with no shared voting or dispositive power.
The filing notes that various underlying clients or investors have rights to dividends or sale proceeds from these shares, but no single such person holds more than five percent of Palladyne AI’s total outstanding common shares.
Stephen Twitty, a director of Palladyne AI Corp. (ticker shown as PDYN in the filing), reported a grant of 9,078 restricted stock units (RSUs) on 09/22/2025. Each RSU represents the right to one share and the award was reported with a price of $0. Following the grant, the filing shows the Reporting Person beneficially owns 9,765 shares, of which 687 shares are held in a joint brokerage account with the Reporting Person's spouse. The RSUs vest on the earlier of the first anniversary of the award or the day before the next annual meeting, subject to continued service. The Form 4 was signed by an attorney-in-fact on behalf of Mr. Twitty on 09/23/2025.
Palladyne AI Corp. director Stephen Twitty reported initial beneficial ownership in a Form 3 filing. He directly owns 687 shares of common stock (687 held jointly with his spouse) and holds three fully or partially vested stock options covering a total of 4,465 shares of common stock: 1,643 exercisable at $1.59 (original grant May 20, 2023; vested March 29, 2024; repriced April 17, 2024), 322 exercisable at $1.59 (original grant May 20, 2022; vested March 29, 2023; repriced April 17, 2024), and 2,500 exercisable at $1.96 (original grant May 20, 2024; vested March 31, 2025). The Form 3 relates to an event dated 09/22/2025 and was signed on 09/23/2025.
Palladyne AI Corp. reported that its board of directors appointed Stephen M. Twitty as a Class I director, effective September 22, 2025, with a term running until the company’s 2028 annual meeting. Twitty is President of Twitty and Associates LLC and has extensive leadership experience from senior roles in defense, technology, and strategic consulting, including service as a Lieutenant General in the U.S. Army and Deputy Commander of United States European Command.
He has served on multiple corporate boards and advisory roles and previously advised Palladyne AI from 2022 until his appointment as a director. The company states there are no special arrangements or related party transactions connected to his selection. Twitty will be compensated under Palladyne AI’s existing outside director compensation policy and will enter into the company’s standard indemnification agreement for directors.
Dennis M. Weibling, a director of Palladyne AI Corp., reported transactions dated 09/19/2025 on Form 4. The filing shows a non-derivative disposal of 25,000 shares of Common Stock with a reported price of $0. After the reported transaction, Mr. Weibling is shown as beneficially owning 329,703 shares directly and indirectly holds 200,000 shares through On Eagles Wings Investments, LLC and 376,780 shares through the Weibling Living Trust (both listed as indirect ownership). The form is signed by an attorney-in-fact on behalf of Mr. Weibling.