Key Terms
gross margin
financial
Gross margin is the difference between how much money a company makes from selling its products and how much it costs to produce them, expressed as a percentage of sales. It shows how efficiently a company is turning sales into profit before other expenses like marketing or salaries. Higher gross margin means the company keeps more money from each sale, which is a good sign of financial health.
research and development expense
financial
Research and development expense is the money a company spends on creating new products, improving existing ones, or developing new processes—covering staff, materials, testing, and prototypes. For investors it matters because these costs reduce current profits and cash on hand but can indicate future growth potential; like planting seeds, higher R&D spending may lead to valuable new offerings later, while low or wasted R&D can signal missed opportunities.
goodwill
financial
Goodwill is the extra value a buyer pays for a company above the measurable worth of its buildings, inventory and other tangible items, reflecting things like brand reputation, customer loyalty and expected future profits. Think of paying more for a café because of its famous name and regulars rather than its furniture alone. It matters to investors because changes in goodwill — for example a write-down if expected benefits don’t materialize — can reduce reported earnings and signal that past acquisitions aren’t delivering as hoped.
intangible assets
financial
Non-physical resources a company owns that help it earn money, such as brand names, patents, customer lists, proprietary software, or trade secrets — think of them as a company’s reputation, recipes, or secret formulas that aren’t bricks and mortar. Investors care because these assets can create long-term income, protect market share, and boost the value of a business even if they don’t appear as cash; strong intangible assets can mean higher future profits and lower risk of competitors copying a company’s advantages.
deferred cash payments
financial
Deferred cash payments are agreements to pay money at a later date for a purchase, service or obligation instead of paying immediately. For investors, they matter because they change a company’s short-term cash flow and create future obligations that affect valuation, credit risk and the timing of profits—similar to buying an appliance now and spreading the bill over future months, which frees current cash but adds future commitments.
contingent future consideration
financial
Contingent future consideration is a promise by a buyer to make additional payments after a deal closes only if specified future events or performance targets occur, such as revenue milestones, regulatory approvals, or cost savings. Investors care because these payments affect the true price paid, the seller’s incentives, and the buyer’s future cash needs — like agreeing to pay a bonus later only if a product succeeds, which changes the deal’s risk and value.
free cash flow
financial
Free cash flow is the amount of money a company has left over after paying all its expenses and investing in its business, like buying equipment or updating facilities. It shows how much cash is available to reward shareholders, pay down debt, or save for future growth. This helps investors understand if a company is financially healthy and able to grow.
Class A Common Stock
financial
Class A common stock is a category of a company’s shares that carries a specific set of ownership rights—most commonly defined voting power and claims on dividends—set out in the company’s charter. For investors it matters because the class determines how much influence you have over corporate decisions, the share’s likely dividend and trading behavior, and how it compares in value to other share classes, like choosing a particular seat with different privileges at the company’s decision-making table.
Strategic Acquisition Completes Operational Pillars of Autonomous Security Force
Knightscope, Inc. (NASDAQ: KSCP), a managed service provider building the nation’s first Autonomous Security Force, today reported financial results for the first quarter ended March 31, 2026.
Knightscope, Inc. (NASDAQ: KSCP) is building the nation’s first Autonomous Security Force – a unified force that integrates autonomous machines, advanced software, and licensed armed and unarmed security agents under a single managed service accountable for the security of the people, property, and places we help protect. The Company serves commercial and government clients across
“Q1 was a turning point for Knightscope. With the strategic acquisition of Event Risk, all four operational pillars of the Autonomous Security Force – autonomous machines, advanced software, real-time monitoring, and licensed security agents – are now in place,” said William Santana Li, Chairman and Chief Executive Officer. “Revenue more than doubled from the same prior period year, gross margin turned positive, and the work of integrating these capabilities into a single unified force is underway. We are just getting started.”
First Quarter 2026 Financial Highlights
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Total revenue of
$6.0 million 106% from$2.9 million
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Service revenue of
$4.2 million 98% year-over-year, including approximately$2.4 million
-
Product revenue of
$1.8 million 128% year-over-year, primarily reflecting fulfillment of Emergency Communication Device orders previously impacted by supply chain constraints
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Gross margin of
$0.5 million 8% of revenue, compared to a gross loss of$(0.7) million
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Research and development expense of
$4.7 million $2.1 million
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Sales, general and administrative expense of
$6.1 million $4.0 million
-
Net loss of
$(10.3) million $(6.9) million
-
Cash and cash equivalents of
$11.4 million $20.6 million
Strategic Acquisition
On February 27, 2026, Knightscope completed the acquisition of Event Risk, LLC for total purchase consideration of approximately
Management believes the acquisition accelerates the Company’s strategy to deliver a fully integrated Autonomous Security Force and expects the integrated business to be free cash flow generative over time.
BRIEFING: Q1 2026 Financial Results
Knightscope will host a webinar to discuss its first quarter 2026 financial results on Monday, May 18, 2026 at 1pm PT / 4pm ET. RSVP here.
About Knightscope
Knightscope, Inc. (NASDAQ: KSCP) is building the nation’s first Autonomous Security Force – a unified force that integrates autonomous machines, advanced software, and licensed armed and unarmed security agents under a single managed service accountable for the security of the people, property, and places we help protect. The Company serves commercial and government clients across
Forward-Looking Statements
This press release contains “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. Such forward-looking statements can be identified by the use of words such as “should,” “may,” “intends,” “anticipates,” “believes,” “estimates,” “projects,” “forecasts,” “expects,” “plans,” “proposes” and similar expressions. Forward-looking statements contained in this press release and other communications include, but are not limited to, statements about Knightscope’s goals, profitability, growth, prospects, reduction of expenses, outlook, and any statements related to any increase, growth and recurring revenues attributable to Knightscope acquisitions. Although Knightscope believes that the expectations reflected in these forward-looking statements are based on reasonable assumptions, there are a number of risks, uncertainties and other important factors that could cause actual results to differ materially from such forward-looking statements, including the factors discussed under the heading “Risk Factors” in Knightscope’s Annual Report on Form 10-K for the year ended December 31, 2025, as updated by its other filings with the Securities and Exchange Commission. Forward-looking statements speak only as of the date of the document in which they are contained, and Knightscope does not undertake any duty to update any forward-looking statements, except as may be required by law.
View source version on businesswire.com: https://www.businesswire.com/news/home/20260515717960/en/
Knightscope Public Relations
overwatch@knightscope.com
Knightscope, Inc.
(650) 924-1025 ext. 6
Source: Knightscope, Inc.
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