Knightscope (KSCP) Q3 2025 earnings summary

Executive summary

• Revenue grew 24% year-over-year to $3.1 million in Q3 2025, driven by strong product sales and accelerated deliveries as supply chain issues eased.

• Gross loss widened to $1.6 million, impacted by a $600,000 inventory write-off and higher material costs from production ramp-up.

• Operating expenses rose to $7.9 million, mainly due to increased R&D for the K-7 robot, while G&A expenses declined.

• Net loss improved to $9.5 million (or $(0.98) per share), better than the prior year's $10.9 million (or $(3.58) per share).

• Cash and cash equivalents increased to $20.4 million as of September 30, 2025, supported by equity financing and cost management.

Financial highlights

• Q3 2025 revenue: $3.1 million, up from $2.5 million in Q3 2024; nine-month revenue: $8.8 million, up from $8.0 million.

• Gross loss for Q3: $1.6 million (50% of revenue), with a $600,000 inventory write-off.

• R&D expenses for nine months: $8.0 million, up 61% year-over-year; G&A expenses: $8.0 million, down 26%.

• Cash used in operations for nine months: $19.7 million; cash provided by financing: $30.8 million.

• Product revenue surged as supply chain constraints eased, while services revenue grew modestly.

Outlook and guidance

• Limited series production of the K-7 robot to begin in the second half of 2026.

• Management expects continued investment in R&D and production scale-up, with ongoing negative cash flows and operating losses.

• Additional capital will be required within 12 months to sustain operations; failure to secure funding may force operational reductions.

• Expects to maintain revenue momentum in Q4 2025 as production efficiency improves.

• No forward-looking pre-order numbers disclosed; focus remains on execution before reporting.