Company: DGLY
Filing Date: 2025-11-12
Form Type: 10-Q
Source: 0001493152-25-021680
Chunk: 210

Company: DIGITAL ALLY, INC.
Filing Date: 2025-11-12
Form: 10-Q
Item: Part I, Item 8
Chunk 210
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037,666  
    $7,379,605  
    $32,263,169 

The
segment net revenues reported above represent sales to external customers. Segment gross profit represents net revenues less cost of
revenues. Segment operating income, which is used in management’s evaluation of segment performance, represents net revenues, less
cost of revenues, less all operating expenses. Identifiable assets are those assets used by each segment in its operations. Corporate
assets primarily consist of cash, property, plant and equipment, accounts receivable, inventories, and other assets.

    35

Note
18. SUBSEQUENT EVENTS

Nasdaq
Notifications

On
October 17, 2025, the Company received notice from Nasdaq that notified the Company that it had regained full compliance with the Minimum
Bid Price Requirement and Stockholders’ Equity Requirement. The Nasdaq has now placed the Company under a one-year Discretionary
Panel Monitor. Under the Discretionary Panel Monitor, the Company will not be permitted to request additional time to regain compliance
with any deficiencies that occur within the one-year period regarding noncompliance with the Periodic Filing or Bid Price Rules. Such
one-year period expires on July 31, 2026 with regard to the Periodic Filing Rules and September 2, 2026 regarding the Bid Price Rules.

Annual
Meeting (scheduled)

The
Company’s annual meeting of stockholders was originally scheduled to occur on November 3, 2025, however it has been postponed pending resolution of the US Government
shutdown including the re-opening of the Securities and Exchange Commission. The Company’s annual meeting of stockholders will be
held for the following
purposes:

1. To
elect four directors.

2. To
ratify the appointment of Victor Mokuolu CPA PLLC as our independent registered public accounting firm;

3. To
approve the transactions contemplated by the securities purchase agreement, entered into as of September 15, 2025, by and between the
Company and a certain institutional investor, including, the issuance of 20% or more of our outstanding shares of our Common Stock, par
value $0.001 per share (“Common Stock”) upon (i) conversion of the senior secured convertible notes due September 15, 2026,
and (ii) exercise of the Common Stock Purchase Warrants dated September 15, 2025.

4. To
approve the transactions contemplated by the Common Stock purchase agreement, entered