Company: DGLY
Filing Date: 2025-11-12
Form Type: 10-Q
Source: 0001493152-25-021680
Chunk: 140

Company: DIGITAL ALLY, INC.
Filing Date: 2025-11-12
Form: 10-Q
Item: Part I, Item 8
Chunk 140
---
 sellers within our
secondary ticketing platform, Ticketsmarter.com, and we also acquire tickets from primary sellers to then sell through various platforms.
The accounting guidance on Segment Reporting establishes standards for reporting information regarding operating segments in annual financial
statements and requires selected information of those segments to be presented in financial statements. Such required segment information
is included in Note 17.

Reverse
Stock Splits

On
May 6, 2025, the Company, acting pursuant to authority received at an annual meeting of its stockholders on December 17, 2024, filed
with the Secretary of State of the State of Nevada a certificate of amendment (the “Charter Amendment”) to its articles of
incorporation, as amended (the “Articles of Incorporation”), which effected a one-for-twenty reverse stock split (the “Reverse
Stock Split”) of all of the Company’s outstanding shares of common stock, par value $0.001 per share (the “Common Stock”).
Pursuant to the Charter Amendment, the Reverse Stock Split became effective as of 5:30 p.m. Eastern Time on May 6, 2025. As a result
of the Reverse Stock Split, every twenty (20) shares of Common Stock were exchanged for one (1) share of Common Stock. The Common Stock
began trading on the Nasdaq Capital Market on a split-adjusted basis at the start of trading on May 7, 2025. The Reverse Stock Split
did not affect the total number of shares of capital stock, including the Common Stock, that the Company is authorized to issue, which
remain as set forth pursuant to the Articles of Incorporation. No fractional shares of Common Stock were issued in connection with the
Reverse Stock Split. Stockholders who otherwise were entitled to receive fractional shares of Common Stock were automatically entitled
to receive an additional fraction of a share of Common Stock to round up to the next whole share, at a participant level. The Reverse
Stock Split also had a proportionate effect on all other options and warrants of the Company outstanding as of the effective date of
the Reverse Stock Split. All historical share and per-share amounts reflected throughout the Company’s condensed consolidated financial
statements and other financial information in this Report have been adjusted to reflect the Reverse Stock Split as if the split occurred
as of the earliest period presented. The par value per share of the Company’s Common Stock was not affected by the Reverse Stock
Split.

On
May 22, 2025