Palladyne AI, a US-based defense and industrial technology company, reported fourth quarter 2025 revenue of $1.7 million, up 118% year-over-year, though full-year revenue declined 33% to $5.2 million. The company reiterated its 2026 revenue guidance of $24 million to $27 million, representing growth of 357% to 415%. The NASDAQ-listed company completed acquisitions of GuideTech, Warnke Precision Machining and MKR Fabricators in November, launching Palladyne Defense and expanding beyond autonomy software into advanced avionics and manufacturing. Backlog stood at $13.5 million at year-end and has since grown over 30% to nearly $18 million by mid-February 2026. Palladyne AI commercially released its IQ 2.0 product and signed its first customer. The company also demonstrated collaborative autonomy between its Gremlin-X platform and multiple Red Cat platforms.

Palladyne AI has appointed long-time board member Matt Muta as President, Commercial and Industrial, effective 2 March 2026. Muta will step down from the board to lead commercial operations, including sales, partnerships and revenue growth for the company's Palladyne IQ embodied AI platform. The appointment signals Palladyne AI's increased focus on commercialising its software, which enables poly-functional robots capable of performing multiple tasks in industrial environments. Muta brings extensive experience from senior roles at Microsoft, Delta Air Lines and UnitedHealth Group, where he specialised in enterprise software adoption and platform strategy. "This appointment reflects our commitment to commercial discipline and revenue execution," said CEO Ben Wolff. Muta has served on Palladyne AI's board since 2021.

Palladyne AI has completed the first successful flight test of IntelliSwarm, its integrated autonomy system combining SwarmOS software with the BRAIN X2 flight computer. The test was conducted on the company's Banshee loitering munition platform in collaboration with Red Cat drones. IntelliSwarm was developed through a three-week integration of Palladyne AI's patented SwarmOS autonomy software with its NDAA-compliant BRAIN X2 avionics. The system enables autonomous coordination between different UAV platforms in GPS- and communications-denied environments through a decentralised mesh network. The company plans to make IntelliSwarm available to other unmanned aerial systems manufacturers once fully tested and commercialised. Palladyne AI is a US-based defence technology company developing AI-powered collaborative autonomy solutions, avionics and precision-manufactured components for defence and industrial markets.