Knightscope Reports 29% Revenue Growth to $2.9 Million in Q1 2025

Knightscope, Inc. reported its financial results for the first quarter of 2025, revealing a total revenue of $2.9 million, a 29% increase from $2.3 million in the same period last year. The growth was driven by a $0.4 million rise in service revenue and a $0.2 million increase in product revenue. Despite this revenue growth, the company continues to face challenges, posting a net loss of $6.9 million, slightly improved from a loss of $7.6 million in the prior year. The basic and diluted net loss per share was $1.28, compared to $3.99 in the previous year, reflecting the impact of a reverse stock split executed in September 2024.

Operationally, Knightscope's cost of revenue decreased to $3.6 million from $3.7 million year-over-year, primarily due to lower service costs, which fell by $0.3 million. However, product costs increased by $0.2 million, attributed to higher material expenses. The gross loss for the quarter was approximately $0.7 million, an improvement from a gross loss of $1.4 million in the same quarter of 2024. The company’s total operating expenses also decreased to $6.2 million from $6.8 million, driven by reductions in general and administrative costs, which fell by 24% due to lower investor relations fees and professional services.

Knightscope's customer base and operational metrics indicate a strategic focus on growth and efficiency. As of March 31, 2025, the company reported a backlog of approximately $2.5 million, with $1.9 million related to orders for Emergency Communication Devices (ECDs) and $0.6 million for Autonomous Security Robots (ASRs). The company continues to invest in research and development, with expenses rising by 35% to $2.1 million, reflecting ongoing efforts to enhance product offerings and technology.

Looking ahead, Knightscope's management has expressed concerns regarding its ability to continue as a going concern, emphasizing the need for additional funding to sustain operations. The company had cash and cash equivalents of $12.7 million as of March 31, 2025, up from $11.1 million at the end of 2024. Knightscope is actively pursuing various financing options, including equity and debt offerings, to support its operational needs. The company’s strategic initiatives include enhancing customer engagement and expanding its market presence, particularly in the public safety sector, which is experiencing increased demand for automation and AI-driven solutions.