The going-concern qualification and $144K cash position make near-term survival the dominant risk. Monitor for a dilutive financing or restructuring — the company cannot fund operations without external capital. The ROAMEO commercial launch is a potential catalyst but has no track record and is speculative.
Price Chart
Executive Summary
AITX confirmed audited FY2026 results consistent with preliminary figures: revenue grew 26% to $7.75M, gross margin expanded to 71%, and operating loss improved 14% to $11.9M. However, the filing also discloses a going-concern qualification, $144K cash on hand, $49M stockholders' deficit, and 96% of loans owed to a single entity — severe financial distress that overshadows the operational improvements.
Key Financial Metrics
Key Facts
- Audited FY2026 revenue: $7,745,336 (up 26% YoY)
- Gross profit: $5,533,700 (up 48% YoY); gross margin 71% vs 61% prior year
- Operating expenses flat at $17,477,097; loss from operations improved 14% to $11,943,397
- Auditors issued a going-concern qualification — substantial doubt about ability to continue
- Cash on hand: approximately $144,000 — insufficient to fund operations without additional financing
- Total liabilities ~$58M vs total assets ~$9M; stockholders' deficit ~$49M
- Accumulated deficit of approximately $165M
- 96% of outstanding loans payable owed to entities controlled by a single individual
- Significant common share dilution from equity financing arrangement of up to $30M; dilution expected to continue
- ROAMEO mobile platform commenced commercial billing in May 2026 after ~$20M cumulative development investment
Financial Impact
Revenue $7.75M (+26% YoY), gross profit $5.53M (+48% YoY), operating loss $11.94M (improved 14%), cash $144K, liabilities $58M vs assets $9M
Risk Factors
- Going-concern risk — substantial doubt about ability to continue
- Cash burn — $144K on hand, insufficient for extended operations
- Concentration risk — 96% of loans from a single individual
- Continued dilution from equity financing arrangement up to $30M
- No history of profitability; accumulated deficit ~$165M
Market Snapshot
Investment Themes
Documents Analyzed
This report is based on 6 SEC documents filed with EDGAR.
| Document | Accession Number |
|---|---|
| 8-K Filing (Primary) | 0001062993-26-003112 |
| Document: form8k.htm | 0001062993-26-003112 |
| Document: 0001062993-26-003112-index-headers.html | 0001062993-26-003112 |
| Document: 0001062993-26-003112-index.html | 0001062993-26-003112 |
| Document: 0001062993-26-003112.txt | 0001062993-26-003112 |
| 8-K Data (Synthetic) | 0001062993-26-003112 |
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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