The shipment growth and manufacturing efficiency improvements are operationally positive but the company's precarious financial position (going concern, $144K cash, massive dilution) overwhelms any near-term bullish read-through. Monitor the Q1 FY27 10-Q for actual revenue, gross margin, and cash burn data to assess whether shipment growth is translating into financial improvement.
Price Chart
Executive Summary
AITX announced via press release that its RAD subsidiary shipped 116 hardware devices in Q1 FY27 (ended May 31, 2026), representing nearly 50% year-over-year shipment growth while operating with approximately half the production staff. The filing is a routine operational update with no financial statements or guidance; the company continues to report material operating losses and a going-concern warning from its auditors.
Key Facts
- RAD shipped 116 hardware devices in Q1 FY27, nearly 50% growth YoY
- Production output increased with approximately half the production staff vs prior year
- Manufacturing time reduced by approximately 30% during the quarter
- Hardware price increase effective May 1, 2026
- Company continues to report material operating losses; auditors expressed substantial doubt about going concern
- Accumulated deficit ~$165M; net losses ~$19.35M TTM; negative operating cash flow ~$12.5M
- Total liabilities ~$58.3M vs total assets ~$9.6M; ~96% of debt owed to entities controlled by one individual
- 25.3 billion shares outstanding (up 62% YoY); ongoing equity financing causes continuing dilution
- Cash on hand ~$144,000 as of most recent quarter
- FY2026 revenue of $7.75M was significantly below prior guidance of $12-18M
Financial Impact
No financial figures for Q1 FY27 provided; prior FY2026 revenue was $7.75M vs guidance of $12-18M. Shipment growth of ~50% YoY is positive but not quantified in dollar terms.
Risk Factors
- Going concern risk with auditors expressing substantial doubt
- Extreme dilution: 25.3B shares outstanding, up 62% YoY
- Cash runway extremely limited at ~$144K on hand
- Debt concentration: ~96% owed to entities controlled by one individual
- Prior guidance miss: FY2026 revenue of $7.75M vs $12-18M guidance
Market Snapshot
Investment Themes
Documents Analyzed
This report is based on 5 SEC documents filed with EDGAR.
| Document | Accession Number |
|---|---|
| 8-K Filing (Primary) | 0001493152-26-026492 |
| Exhibit: ex99-1.htm | 0001493152-26-026492 |
| Document: 0001493152-26-026492-index-headers.html | 0001493152-26-026492 |
| Document: 0001493152-26-026492-index.html | 0001493152-26-026492 |
| Document: 0001493152-26-026492.txt | 0001493152-26-026492 |
Filters
| Type | Now | ||||
|---|---|---|---|---|---|
Oct 26, 2026 1d ago | 8-K | $0.001000 | awaiting T+5 | — | $0.000800 (+20.00%) |
Oct 22, 2026 5d ago | 8-K | $0.001500 | awaiting T+5 | — | $0.000800 (−46.67%) |
Oct 21, 2026 6d ago | 8-K | $0.001900 | awaiting T+5 | — | $0.000800 (−57.89%) |
Oct 20, 2026 7d ago | 8-K | $0.002400 $0.000900 | ▼ −62.50% | ▼ −62.53% | $0.000800 (−66.67%) |
Oct 19, 2026 8d ago | 8-K | $0.001600 $0.001000 | ▼ −37.50% | ▼ −37.36% | $0.000800 (−50.00%) |
Oct 15, 2026 12d ago | NT 10-Q | $0.001600 $0.001300 | ▲ +18.75% | ▲ +18.32% | $0.000800 (+50.00%) |
Oct 14, 2026 13d ago | 8-K | $0.001900 $0.001900 | · 0.00% | ▼ −0.45% | $0.000800 (−57.89%) |
Oct 7, 2026 20d ago | 8-K | $0.002300 $0.001900 | ▼ −17.39% | ▼ −16.41% | $0.000800 (−65.22%) |
Oct 6, 2026 21d ago | 8-K | $0.002500 $0.002100 | ▼ −16.00% | ▼ −15.86% | $0.000800 (−68.00%) |
Oct 5, 2026 22d ago | 8-K | $0.002700 $0.002100 | ▼ −21.64% | ▼ −22.06% | $0.000800 (−70.37%) |
US Market Status
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