Dragonfly's own SEC filings disclose the risk. In its annual report, Dragonfly warns investors that "[l]ithium-ion battery cells have been observed to catch fire or release smoke and flame," and that a product defect "could subject us to lawsuits, product recalls, or redesign efforts."[1] The company's estimated warranty obligation rose from $307,000 at the end of 2023 to $514,000 at the end of 2024 to $867,000 at the end of 2025.[2][1]
- ↑ 1.0 1.1 "Form 10-K (fiscal year 2024), Item 1A Risk Factors". Dragonfly Energy Holdings Corp. / U.S. Securities and Exchange Commission. 2025-03-31. Retrieved 2026-06-06.
- ↑ Cite error: Invalid
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