ZenaTech (NASDAQ:ZENA) executives outlined the company’s shift toward AI-enabled autonomous drones and Drone-as-a-Service during a presentation at the OTC Markets Virtual Investor Conferences Global Technology Conference, highlighting rapid revenue growth, an acquisition-driven services strategy and efforts to expand into defense markets.
Linda Montgomery, ZenaTech’s vice president of corporate development, said the company specializes in “AI autonomous drone platforms and services” for commercial, government and defense sectors. She said ZenaTech’s drone offerings are being applied to land surveys, industrial inspections, maintenance, inventory control, power washing and precision agriculture. The company also operates an enterprise SaaS software business with longstanding business and government customers.
Revenue Growth Driven by Drone Services
Montgomery said ZenaTech generated revenue of $12.9 million in 2025, up 558% from $2 million in 2024, when revenue came entirely from software. She described 2025 as a “transformational year” in which ZenaTech became a drone company, largely through its Drone-as-a-Service business model.
For the first quarter of the current year, Montgomery said revenue was $8.4 million, up 640%, with the drone segment leading growth. She said annualizing first-quarter results would imply approximately $33 million in revenue. The company ended the quarter with $15 million in cash and marketable securities and total assets of nearly $110 million, according to Montgomery.
Jim Sherman, ZenaTech’s chief financial officer, said in response to an investor question that annualizing first-quarter revenue and adding acquisitions completed so far this year points to a potential revenue range of $35 million to $40 million. He cautioned that the pace of percentage growth may be difficult to repeat, but said the company expects continued dollar growth tied to acquisitions.
“Our growth strategy is tied directly to our acquisition strategy,” Sherman said. “We identify an industry that’s right for drone technology. We look for a company in that industry, and we make an acquisition.”
Acquisition Strategy Targets Fragmented Legacy Industries
Montgomery said ZenaTech has completed 24 acquisitions to date as part of a roll-up strategy focused on under-digitized legacy businesses. The company is active in 12 U.S. states, Canada and Europe, and recently completed an acquisition in Australia, she said.
The Drone-as-a-Service model is designed to convert traditional services, such as land surveying and power washing, into drone-enabled offerings. Montgomery said the company is building a network of local drone service providers aimed at business and government customers, including builders and construction companies.
Sherman said Drone-as-a-Service is expected to be ZenaTech’s fastest-growing near-term segment. He said the company is seeing efficiency gains in land surveying by combining licensed surveyors with licensed drone operators. In one example, he said work that previously required two people for eight hours could be completed by one person with a drone in about two hours.
He said the company’s goal is not primarily to reduce costs but to increase capacity in a fragmented land surveying market that he described as a $20 billion industry.
Defense Push Includes Certifications and Counter-Drone Systems
Montgomery said ZenaTech is pursuing defense opportunities and has previously conducted paid pilots with the U.S. Navy and Air Force. A key objective is obtaining Blue UAS certification, which she said would allow the company to be listed for procurement by defense agencies. She also said the company is pursuing Green UAS certification.
ZenaTech is engaging with military program managers and staffing a Washington, D.C., office with business development and capture specialists, Montgomery said. The company has also established Zena AI as a hub for AI services for the military and is building an office in Louisiana.
Montgomery said the company recently announced Counter-UAS solutions, including interceptor drones and related systems. She said ZenaTech plans to manufacture and test those systems in Ukraine and is in the process of setting up that operation.
The company’s drone lineup includes the ZenaDrone 1000, a large medium-heavy cargo drone designed for intelligence, surveillance, reconnaissance, inspection and cargo applications; the IQ Nano, an indoor inventory management drone that reads barcodes; the IQ Square for outdoor inspections; the IQ Quad for land survey work; and the IQ Aqua, an underwater drone in prototype and testing stages.
Manufacturing Footprint and Product Development
Montgomery said ZenaTech has three manufacturing facilities: one near Dubai in the UAE, one being developed in Arizona and a component drone parts facility in Taiwan. She said the company is expanding capacity and teams across its manufacturing operations and laying the groundwork for Ukraine.
The company is also working on drone swarms, quantum computing applications for real-time swarm data and wildfire management solutions, Montgomery said.
Sherman said the company’s near-term revenue acceleration is likely to come first from Drone-as-a-Service, followed by software integrated with drone technology, such as warehouse management systems that use drones to collect inventory and position data. Military applications are expected to contribute more over the longer term, he said.
Montgomery closed the presentation by saying ZenaTech is focused on AI-driven drone automation, recurring revenue from Drone-as-a-Service and enterprise SaaS, acquisition-driven expansion and pursuing defense certifications needed to access government procurement channels.
About ZenaTech (NASDAQ:ZENA)
ZenaTech, Inc, an enterprise software technology company, develops cloud-based software applications in Canada. It provides cryptocurrency wallets and cloud-based enterprise software solutions for the agriculture industry; cloud-based enterprise software solutions for the medical records industry; safety and compliance management software and mobile solutions; field management software and mobile solutions; integrated cloud-based enterprise software and hardware drone technology solutions for various industries; and browser-based enterprise software applications for public safety.
