Revenue decline and widening net loss are the headline, but the company's growing backlog and multi-year cloud contracts suggest a potential revenue catch-up in fiscal 2027 if supply delays resolve. Monitor Q4 2026 and early FY2027 for backlog conversion and AZT PROTECT order flow; the dividend declaration provides a modest floor.
Price Chart
Executive Summary
CSPI reported a fiscal Q3 2026 net loss of $0.09 per share on revenue of $14.4M, down 6.8% YoY from $15.4M, as Technology Solutions backlog remained elevated due to vendor hardware supply delays. The company highlighted a 100% AZT PROTECT renewal rate, a seven-figure managed services contract, and growing backlog optimism for fiscal 2027, but the quarter's headline revenue decline and widening net loss are the dominant financial signals.
Key Financial Metrics
Key Facts
- Fiscal Q3 2026 revenue $14.4M vs $15.4M YoY (-6.8%)
- Net loss of $846K ($0.09/share) vs net loss of $264K ($0.03/share) YoY
- Gross margin improved 130 bps to 30.1% from 28.8% YoY
- Cash and equivalents $24.7M, down from $27.4M at Sept 2025
- Board declared $0.03/share quarterly dividend payable Sept 15, 2026
- AZT PROTECT achieved 100% customer renewal rate; integration with Acronis completed
- Signed a seven-figure, six-year managed services contract with a professional sports organization
- Vendor hardware supply delays expected to persist through Q4 2026 and into H1 2027
Financial Impact
Revenue declined $1.05M YoY (-6.8%); net loss widened by $582K YoY
Risk Factors
- Prolonged vendor hardware supply delays could continue to push revenue recognition into FY2027
- Net loss trajectory worsening YoY with no near-term profitability catalyst visible
- Cash burn from financing receivables and customer financing may pressure balance sheet if delays persist
Market Snapshot
Investment Themes
Documents Analyzed
This report is based on 1 press release from GlobeNewswire.
| Document | Accession Number |
|---|---|
| PRESS-RELEASE Data (Synthetic) | press-3345287 |
Filters
| Type | Now | ||||
|---|---|---|---|---|---|
Oct 19, 2026 8d ago | Press Release | $7.61 $7.42 | ▼ −2.55% | ▼ −2.40% | $7.41 (−2.63%) |
Sep 22, 2026 5w ago | Institutional Cluster | $7.76 $7.63 | ▲ +1.68% | ▲ +0.49% | $7.41 (+4.51%) |
Aug 14, 2026 10w ago | Press Release | $8.05 $7.56 | ▲ +6.09% | ▲ +4.72% | $7.41 (+7.95%) |
Aug 11, 2026 11w ago | Press Release | $8.40 $7.29 | ▼ −13.21% | ▼ −12.81% | $7.41 (−11.79%) |
Jun 9, 2026 20w ago | 3 | $8.59 $9.34 | ▲ +8.73% | ▲ +5.30% | $7.41 (−13.74%) |
Jun 9, 2026 20w ago | 8-K | $8.21 $9.42 | ▲ +14.74% | ▲ +12.33% | $7.41 (−9.74%) |
May 18, 2026 23w ago | Insider Cluster | $9.41 $9.74 | ▲ +3.51% | ▲ +1.89% | $7.41 (−21.25%) |
May 12, 2026 24w ago | Insider Cluster | $9.16 $9.42 | ▲ +2.84% | ▲ +3.44% | $7.41 (−19.10%) |
May 12, 2026 24w ago | Insider Cluster | $9.16 $9.42 | ▲ +2.84% | ▲ +3.44% | $7.41 (−19.10%) |
US Market Status
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