Draganfly Investments : 31.01.17 - Announcement

31 January 2017

Draganfly Investments Limited ("Draganfly" or the "Company")

Interim Results for period from May 1st 2016 to October 31st 2016

Chairman's Statement

During the period, the Company raised £274,350 through two placings at a subscription price of 0.80 pence per ordinary share.

In the announcement of the first placing on 24 June 2016, the Company stated that it was actively investigating potential acquisitions and that the Company would use the funds raised in order to fund professional costs associated with making such an acquisition, together with operating costs. The accounts reflect such professional costs incurred by the Company during the period ended 31 October 2016. Dragan fly looks forward to providing shareholders with more information regarding potential acquisitions at the appropriate juncture.

No assurances can be given that any potential acquisitions which Draganfly is currently contemplating will be successfully completed.

Thank you for your continued support.

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T Edward G Bayman ------.

Chairman ,,.....

For further information please contact:

Edward Bayman Dennis Edmonds

[phone]

[phone]

Jon Belliss

Beaufort Securities Limited (Broker) [phone]

Tom Price I David Hignell

Northland Capital Partners (Nominated Adviser) [phone]

This announcement contains inside information for the purposes of Article 7 of Regulation (EU) 596/2014 of the E;1ropean Parliament and of the Council.

Unaudited Statement of income and retained earnings for the period ended 31 October 2016

Note

Continuing Operations

6 months to 6 months to

31/10/16 31/10/15

£ £

Turnover Administrative expenses Operating (loss)

Other interest receivable and similar income

(Loss) on ordinary activities

2 7,296 (5,979)

(118, 151) {30,043)

(110,855) (36,022)

383 95

(110,472) (35,927)

There are no recognised gains or losses other than those included in the profit and loss account.

Loss per share - basic

Basic (in pence) 0.23p 0.16p

1

Unaudited statement of financial position as at 31October 2016

31/10/16 31/10/15

Notes £ £ £ £

Fixed assets

Debtors	7,484	2,904
Loan receivable	4	60,000
Cash at bank and in hand	174,692	92,887
242,176	95,791

Investments 3 17,864 7,513 Current assets

Creditors: amounts
falling due within one
year Creditors	5	(50,244)

(13,646)

Net current assets	191,932	82,145
Net assets	209,796	89,658
Capital and reserves Called up share capital	6
Stated capital	7	3,870,923	3,596,573
Retained loss	(3,661, 127)	(3,506,915)

Equity shareholders' 7 209,796 89,658funds

The financial statements on pages 2 to 8 were approved and authorised for issue by the Board on and signed on its behalf by T Edward G Bayman

Director

Unaudited Statement of Cash flows for the period ended 31 October 2016

Cash flow from Operating activities

Period ended Period ended 31/10/16 31/10/15

£ £

Loss for the financial year

Loss for the financial year (110,472) (35,927) Adjustments for:

(Gain)/ loss on investments (7,296) 5,979

(Increase) /decrease in debtors (5,821) 4,484

Increase I (decrease) in general creditors 31,202 (4,302)

Net cash flow from operating activities (92,387) (29,766) Cash flow from financing activities

Proceeds from issue of share capital 274,350

New short-term loan advanced (60,000)

Net cash from financing activities 214,350

Net increase/( decrease) in cash and cash

equivalents 121,963 (29,766)

Cash and cash equivalents at the beginnin g of

the period 52,729 122,653

Closing cash balance 174,692 92,887