Nevada tech hub selects Dragonfly Energy for first-round funding

RENO - Dragonfly Energy Holdings Corp. (NASDAQ:DFLI), a lithium battery manufacturer with a market capitalization of approximately $37 million, has been selected for first-round funding by Nevada Tech Hub, according to a press release statement issued Thursday. The contract, worth approximately $300,000, is currently being finalized. While the stock has seen a remarkable 58% surge in the past week, InvestingPro analysis indicates the company faces significant financial challenges, with 17 key insights available to subscribers.

The funding will support manufacturing upgrades at Dragonfly Energy, a lithium battery manufacturer and maker of Battle Born Batteries. The company plans to use the non-dilutive capital for modernization initiatives including advancing toward ISO 9001 certification, upgrading battery manufacturing lines, and modernizing production systems. With a significant debt burden of nearly $64 million and a concerning cash burn rate according to InvestingPro data, these efficiency improvements come at a crucial time for the company.

These improvements are expected to result in potential six-figure annual savings, according to the company. With current annual revenue of $54.5 million and analysts forecasting 25% sales growth this year, Dragonfly Energy intends to reinvest these savings into workforce development programs in partnership with Truckee Meadows Community College and the University of Nevada, Reno. Discover comprehensive analysis and detailed financial metrics with a InvestingPro subscription, including the company’s detailed Pro Research Report.

"This award is more than just an investment in Dragonfly Energy, it is an investment in Nevada’s future," said Dr. Denis Phares, chief executive officer of Dragonfly Energy.

The company plans to recruit and train production floor personnel, creating career opportunities in machining, automation, and maintenance. Dragonfly Energy currently operates nearly 400,000 square feet of manufacturing space in South Reno.

Nevada Tech Hub, one of 31 federally designated Tech Hubs nationwide, focuses on strengthening Nevada’s lithium battery supply chain and critical materials ecosystem. The organization selected Dragonfly Energy for its contribution to lithium battery manufacturing capacity and workforce development.

Dick Bartholet, regional innovation officer for Nevada Tech Hub, said, "By providing funding for projects that advance both manufacturing capacity and workforce development, we are strengthening multiple segments of Nevada’s lithium battery and EV materials loop."

In other recent news, Dragonfly Energy Holdings Corp. reported a 23% increase in net sales for Q2 2025, reaching $16.2 million. The company also managed to reduce its net loss to $7 million, a significant improvement from the previous year’s $13.6 million loss. Additionally, Dragonfly Energy announced an expanded partnership with Airstream, Inc., making its Battle Born Batteries a standard option in Airstream’s 2026 motorized lines. In a separate development, Ember Recreational Vehicles has standardized Battle Born Batteries in its 2026 Overland Series travel trailers.

Furthermore, Dragonfly Energy secured a U.S. patent for its Wakespeed Charge Control technology, enhancing power transfer from towing vehicles to trailers. This patent addresses previous limitations in vehicle-to-trailer charging systems. These developments reflect Dragonfly Energy’s ongoing efforts to innovate and expand its market presence.

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