New program further aligns executive incentives with long-term shareholder value by tying compensation closely to future stock performance

ORLANDO, FL / ACCESS Newswire / July 28, 2026 / Unusual Machines, Inc. (NYSE:UMAC), a leading manufacturer of NDAA-compliant drone components, today announced the adoption of a new executive compensation program, effective January 1, 2027, that was approved by its Compensation Committee and developed in partnership with the Company's executive leadership team to better align executive incentives with long-term shareholder outcomes.

Under the program, Chief Executive Officer Allan Evans has been granted a performance-based warrant package exercisable at $25 per share with performance thresholds extending as high as $100.00 per share. The warrants have vesting provisions based upon the Company's common stock maintaining sustained closing prices ranging from $25 to $100 per share and remain subject to shareholder approval. In connection with this award, Mr. Evans has agreed to forgo base compensation in exchange for the equity compensation described herein. For further details on this grant, investors are encouraged to review the Form 8-K filed with the Securities and Exchange Commission in connection with this announcement.

In addition, all other C-level executive officers were granted stock options with exercise prices set at the current market price, replacing restricted stock awards. As a result, executives realize value only through future share price appreciation.

"The Compensation Committee believes management should succeed alongside our shareholders. The stronger the Company's long-term performance, the greater the opportunity for our executive team," said Robert Lowry, Chairman of the Compensation Committee.

"We believe in where this company is headed, and we wanted our compensation tied even more closely to the future performance of the business. Our success should be earned by delivering results for our shareholders," said Allan Evans, Chief Executive Officer of Unusual Machines.

Additional details regarding the equity awards will be included in the Company's filings with the U.S. Securities and Exchange Commission.

About Unusual Machines, Inc.

Unusual Machines manufactures and sells drone components and drones across a diversified brand portfolio, which includes Fat Shark, the leader in FPV (first-person view) ultra-low latency video goggles for drone pilots. The Company also retails small, acrobatic FPV drones and equipment directly to consumers through the curated Rotor Riot ecommerce store. With a changing regulatory environment, Unusual Machines seeks to be a dominant Tier-1 parts supplier to the fast-growing multi-billion-dollar U.S. drone industry. According to Fact.MR, the global drone accessories market is currently valued at $17.5 billion and is set to top $115 billion by 2032. For more information, please visit unusualmachines.com.

Safe Harbor Statement

This press release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934, including statements regarding the Company's executive compensation program, the alignment of executive incentives with shareholder outcomes, and the potential value of equity awards contingent on share price performance. Forward-looking statements are often identifiable by the words "anticipate," "believe," "continue," "could," "estimate," "expect," "intend," "may," "might," "objective," "ongoing," "plan," "predict," "project," "potential," "should," "will," or "would," or the negative of these terms, or other comparable terminology intended to identify statements about the future. These statements involve known and unknown risks, uncertainties, and other factors that may cause the Company's actual results, levels of activity, performance, or achievements to be materially different from the information expressed or implied by these forward-looking statements. Although the Company believes that it has a reasonable basis for making each forward-looking statement contained in this press release, the Company cautions that these statements are based on a combination of facts and factors currently known by the Company and its expectations of the future, about which the Company cannot be certain. Forward-looking statements are subject to considerable risks and uncertainties, as well as other factors that may cause the Company's actual results, levels of activity, performance, or achievements to be materially different from the information expressed or implied by these forward-looking statements. These risks and uncertainties include, but are not limited to: volatility in the trading price of the Company's common stock that may prevent the performance thresholds required for vesting from being achieved; the need for shareholder approval of certain equity awards; risks that equity-based compensation may not achieve the intended retention or incentive benefits; the possibility that changes in executive compensation arrangements could adversely affect the Company's ability to attract and retain qualified executive officers; potential dilutive effects of equity awards on existing shareholders; uncertainty regarding the actual value executives will receive, which depends on future stock price performance; and the various other risk factors described within the section entitled "Risk Factors" in the Company's 2025 Annual Report on Form 10-K and in our Prospectus filed with the Securities and Exchange Commission on March 20, 2026. The Company undertakes no obligation to update the information contained in this press release to reflect subsequently occurring events or circumstances, except as required by law.

Investor Contact:

investors@unusualmachines.com

SOURCE: Unusual Machines, Inc.

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