So I think we really — over the last number of years, one could have argued five years or six years ago, that our drone capability was minimal. And the profit is certainly compared to what it is today, it was. But we were still in the drone business, producing drones where no other North American manufacturer to speak of was there. But we were doing contract engineering for the military contractors. We were doing really interesting projects in academia and getting paid it. So we’ve been able to move with the market. And now what we see is that the market is ready to scale and add production. And I think that we’re meeting that right there where it’s at. So I also think that we’re very focused on utility type drones as opposed to on the coolest latest thing or kind of like the smaller backpack type drone.
I think it’s a very competitive market. We do build those off of our work benches, but off a production line, that’s a pretty tough low-margin business to be in, unless you’ve got something really strategic. And we think we do and some of that will happen in time, but the demand signal is just not quite there yet.
Scott Larson: There’s been another — a number of other drone companies that have closed down. We keep hearing reports about that in the market. Are we getting to consolidation? Would does Draganfly fit into that mix? Are we looking at other kind of opportunities for companies that have wound down, close down, side technology? What does that look like? And I think this is the last question, by the way. So go ahead and answer that.
Cameron Chell: Yes. Walking the floor the last CUAV show, it seemed to be kind of like a reoccurring theme. It was like half of these companies aren’t going to be here next year type of thing. So yes, there’s definitely consolidation in the industry. The commercial market has taken longer to adopt and get there again, right, for about the fourth or fifth time in the cycle. And the difference here is, though, is that the regulations are much further along, and we are seeing commercial adoption. The second and the bigger difference that’s come to the forefront is the fact that the military market is not just prevalent, it’s just overwhelming. The challenge for companies that generally not all, but generally haven’t been around for a long time or gone through a bunch of the rigor that’s required in order to sell into government-type customers military in particular, is that it doesn’t matter if you’ve got the greatest whizbang.
If you can’t get the production, if you can’t — like I mean sizable production and all those types of things, it’s just not a viable product for those types of customers. So, we’re going to see consolidation. We’re very focused on organic growth right now. Our hands are full. Like we don’t need to do an acquisition. We don’t need to bolster sale. We don’t need to any — we just need to execute on what’s in front of us right now and we’ll be a standout in terms of scale. And I think likely, there’s a couple of others out there that might be in that same position. I’m speculating a little bit. But I could speak with confidence that that’s where we’re going. Not that we’re opposed to acquisitions at all. But given where some of the valuations are right now and given where the market is going and given what we need to do organically, just to meet demand, we’re probably not looking at acquisitions at the timeframe.
Now, that said, something is going to come up, which of course, we’re going to announce it. But we don’t — but there’s nothing imminently that we’re on right now about.
Scott Larson: Okay. Well, has a list of questions. I’ll send it back to you to adjourn the meeting, wrap it up, and then that will be it for this shareholder call.
Cameron Chell: Thank you, everybody, for taking the time. We went this time without taking the live questions as we got a bunch of feedback that it seemed quite distracting, actually. So, we really encourage — I love the live question piece of it. So, we look to see some feedback and if we revert back to that next time. But by all means, don’t be afraid to reach out to us. Rolly is always available. The rest of the executive will certainly do their best to respond quickly as well. First and foremost, I’d like to thank our employees for sitting with this. It’s been a real grind and we’ve gone through some cost reduction stuff as well. At the same time that we’re scaling the business. So, thank you for your time, trust, and patience.
To our customers, our business is all about you and so thanks for your time, trust, and patients and our shareholders we’ll look to work hard to create shareholder value for you. So, thank you for your time today, and we look forward to your great quarter coming up.
