Beam Global

Beam Global has signed a non-binding Letter of Intent to acquire a vertically integrated European drone technology company that develops, manufactures and sells drones and AI-enhanced drone software. The San Diego-based company said it intends to manufacture the target's drone system, which has received Conditional Approval from the U.S. Department of War, in its existing U.S. and European factories after closing, and to sell the drones and software services across its global footprint. The target's drone product has also been exempted by the FCC from its Covered List as a result of the Conditional Approval, allowing U.S. sales, and Beam said it can build the drones without significant capital investment because it already manufactures drone batteries and owns the patented BeamFlight remote recharging product. Chief Executive Desmond Wheatley called the planned deal one of the most significant strategic advances in the company's history, saying Beam has lacked only a proven drone platform. The transaction remains subject to due diligence, negotiation and execution of definitive agreements and other customary closing conditions, and Beam cautioned there can be no assurance it will be completed on the contemplated terms or at all. The global drone market is estimated at USD 96.4 billion in 2026, up nearly 15% from 2025, and is projected to more than double by 2033, according to a Grand View Research report, with North America controlling roughly 40% and Europe nearly 27% of that market.

Beam Global reported second quarter revenue of $8.6 million, up 174% from $3.1 million in the first quarter, as the company converted a substantial portion of its backlog into shipments. Gross profit was $1.5 million, or 17.8% of revenue, while adjusted non-GAAP gross margin was 26.2%. Operating expenses fell to $4.5 million from $5.9 million a year earlier, and net loss narrowed to $3.1 million, or $0.14 per share, including $1.1 million of noncash charges. The company completed its manufacturing relocation to Yuma, Arizona, which is expected to generate approximately $2.7 million in rent savings over the five-year lease term compared with historical San Diego costs. Beam Global ended June with a backlog of $5.4 million, down from $9.0 million at March 31, and management highlighted growing contributions from Europe, batteries, and energy storage, while noting no quantitative revenue or EPS guidance was issued.

Beam Global has deployed its EV ARC off-grid electric vehicle charging systems at Aqua Park Raj in Vrnjačka Banja, Serbia, under a recurring revenue agreement that requires zero upfront infrastructure investment from the spa destination. The deployment marks a key milestone in the company’s European expansion strategy and validates Beam Europe’s recurring revenue model, which the company expects will support accelerated market adoption and build a strong pipeline of future deployment opportunities across Europe throughout 2026. The autonomous, solar-powered systems provide 100% renewable charging without any connection to the electrical grid, eliminating construction, trenching, or disruption to site operations. CEO Desmond Wheatley noted that 2026 EV sales in Europe are up 35% over 2025, driving increased demand for charging infrastructure, and described the sponsorship-funded model as a game changer. The deployment also supports Serbia’s commitments under the EU Green Agenda by promoting decentralized, zero-emission transport infrastructure.