EX-99.1 2 ex99-1.htm EX-99.1

 

Exhibit 99.1

 

FORM 51-102F3

 

MATERIAL CHANGE REPORT

 

Item 1Name and Address of Company

 

Draganfly Inc. (“Draganfly” or the “Company”)

235 103rd St. E.

Saskatoon, Saskatchewan S7N 1Y8

 

Item 2Date of Material Change

 

September 30, 2025

 

Item 3News Release

 

News release disclosing the material change was disseminated through the Globe Newswire on September 30, 2025, and filed under the Company’s profile on SEDAR+ at www.sedarplus.ca.

 

Item 4Summary of Material Change

 

On September 30, 2025, the Company announced its selection by the U.S. Army to provide Flex FPV drone systems.

 

Item 5Full Description of Material Change

 

5.1Full Description of Material Change

 

On September 30, 2025, the Company announced its selection by the U.S. Army to provide Flex FPV drone systems.

 

Under the initial order, Draganfly will deliver Flex FPV drones designed for high-performance operations as well as help establish on-site manufacturing of the Flex FPV (First Person View) within overseas U.S. Forces facilities to accelerate deployment and reduce supply-chain timelines. The Company will also provide both flight and manufacturing training to enable Army personnel to sustain operations, and will manage logistics to ensure a secure, NDAA-compliant supply chain practice. This marks a significant milestone in evolving critical drone capabilities closer to the theater of operations, reducing logistical vulnerabilities and enhancing force readiness.

 

Recent exercises have underscored the importance of FPV technology for U.S. forces. During the Swift Response 2025 exercise in Lithuania, paratroopers operated and detonated in-house-built FPV drones against dismounted and vehicle-sized autonomous targets. The unit has also established its own drone lab for design, training, and rapid innovation. In August 2025, the U.S. Army executed the first-ever air-to-air kill with an armed FPV drone, advancing the evolution of drone warfare. Draganfly’s Embedded Manufacturing Program and the Flex FPV Drone systems are in direct support of this strategic shift to decentralized and agile innovation.

 

5.2Disclosure for Restructuring Transactions

 

Not applicable.

 

Item 6Reliance on subsection 7.1(2) of National Instrument 51-102

 

Not applicable.

 

 
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Item 7Omitted Information

 

Not applicable.

 

Item 8Executive Officer

 

Paul Sun, Chief Financial Officer

Tel: 1.800.979.9794

 

Item 9Date of Report

 

October 10, 2025

 

Forward-Looking Statements

 

This material change report contains certain “forward looking statements” and certain “forward-looking information” as defined under applicable securities laws. Forward-looking statements and information can generally be identified by the use of forward-looking terminology such as “may”, “will”, “expect”, “intend”, “estimate”, “anticipate”, “believe”, “continue”, “plans” or similar terminology. Forward-looking statements and information are based on forecasts of future results, estimates of amounts not yet determinable and assumptions that, while believed by management to be reasonable, are inherently subject to significant business, economic and competitive uncertainties and contingencies. Forward-looking statements include, but are not limited to, statements with respect to the collaboration between Draganfly and the U.S. Army marking a significant milestone in shifting critical drone capabilities closer to the battlefield, reducing logistical vulnerabilities and enhancing force readiness. Forward-looking statements and information are subject to various known and unknown risks and uncertainties, many of which are beyond the ability of the Company to control or predict, that may cause the Company’s actual results, performance or achievements to be materially different from those expressed or implied thereby, and are developed based on assumptions about such risks, uncertainties and other factors set out here in, including but not limited to: the potential impact of epidemics, pandemics or other public health crises on the Company’s business, operations and financial condition; the successful integration of technology; the inherent risks involved in the general securities markets; uncertainties relating to the availability and costs of financing needed in the future; the inherent uncertainty of cost estimates; the potential for unexpected costs and expenses, currency fluctuations; regulatory restrictions; and liability, competition, loss of key employees and other related risks and uncertainties disclosed under the heading “Risk Factors” in the Company’s most recent filings filed with securities regulators in Canada on the SEDAR+ website at www.sedarplus.ca and with the United States Securities and Exchange Commission (the “SEC”) on EDGAR through the SEC’s website at www.sec.gov. The Company undertakes no obligation to update forward-looking information except as required by applicable law. Such forward-looking information represents managements’ best judgment based on information currently available. No forward-looking statement can be guaranteed and actual future results may vary materially. Accordingly, readers are advised not to place undue reliance on forward-looking statements or information.