Knightscope (KSCP) Q4 2025 earnings summary

Executive summary

• Revenue grew 5% year-over-year to $11.3 million for 2025, with service revenue up 7% and product revenue also increasing.

• Celebrated 13th anniversary and announced the first annual Autonomous Security Force Day, marking a new phase as a managed service provider integrating technology and human security services.

• Completed the strategic acquisition of Event Risk LLC, expanding the platform for integrated security solutions and recurring revenue, and accelerating market penetration.

• Transitioned to deploying the first Autonomous Security Force, integrating machines, software, and human operations.

• Focused on execution, technology development, and integration to drive growth and profitability in the coming years.

Financial highlights

• Q4 2025 revenues declined 9.8% year-over-year due to supply chain constraints impacting product deliveries; services revenue remained stable.

• Service revenue reached $8.0 million, representing 70% of total revenue.

• Q4 gross loss was $1.6 million, reflecting margin pressure from elevated input costs and under-absorbed overhead.

• Gross loss increased to $4.8 million from $3.7 million in 2024.

• Operating expenses rose to $29.1 million, up from $26.0 million in 2024.

• Q4 operating expenses rose to $9.7 million, up $3.8 million year-over-year, driven by increased R&D and SG&A investments.

• Q4 net loss widened to $11 million, attributed to lower revenue and sustained investment.

• Full-year net loss increased to $33.8 million; loss per share decreased by 63.5% year-over-year.

• Cash and cash equivalents improved to $20.6 million at year-end, up from $11.1 million in 2024.

Capital allocation and financing

• Raised $42.2 million through financing activities, significantly strengthening the balance sheet.

• $30.3 million used in operating activities during 2025.

• Disciplined capital allocation focused on scaling the service-based model and improving long-term cash flow.

• Ended the year with a much improved liquidity position compared to $11.1 million at the end of 2024.