Knightscope, Inc., established in 2013 and based in Mountain View, California, is a U.S. company dedicated to the design, production, implementation, and ...
Knightscope, Inc., founded in 2013 and headquartered in Sunnyvale, California, is a pioneer in autonomous security technology, trading on NASDAQ under the symbol KSCP. The company develops and markets a fleet of Autonomous Security Robots (ASRs) — including the K1, K3, K5, and K7 models — designed to patrol diverse ...Knightscope, Inc., founded in 2013 and headquartered in Sunnyvale, California, is a pioneer in autonomous security technology, trading on NASDAQ under the symbol KSCP. The company develops and markets a fleet of Autonomous Security Robots (ASRs) — including the K1, K3, K5, and K7 models — designed to patrol diverse environments from indoor entry points to multi-terrain outdoor areas. These robots use sensors, lasers, and self-driving technology to navigate dynamically and detect anomalies, providing a physical deterrent and real-time data collection. Complementing the hardware, Knightscope offers a software ecosystem: the Knightscope Security Operations Center (KSOC), a browser-based portal for clients to access operational data and alerts, and the Knightscope Network Operations Center (KNOC), which internally monitors robot health and enables remote updates. An optional remote monitoring service, Knightscope+, is available for clients lacking full-time security staff. The company primarily serves law enforcement, hospitals, and security teams across 42 U.S. states. As of the latest data, Knightscope has approximately 90 full-time employees according to FMP, but other sources suggest a range of 201-500; the actual count may vary. Financially, the company is in a growth phase with significant investments in R&D (R&D-to-revenue ratio over 90%), resulting in negative profitability metrics (net margin -217%, ROE -152%). The market cap is around $29 million, with a stock price near $1.48, reflecting its early-stage challenges. Key executives include founder and CEO William Santana Li, who has a background in autonomous vehicles, and co-founder Stacy Stephens. The company's vision is to build the 'Nation's First Autonomous Security Force', aiming to reduce crime rates and enhance public safety through technology, despite facing cost and operational hurdles.
YoYYoY means Year-over-Year. It compares the latest annual value with the previous annual value to show long-term trend strength.
QoQQoQ means Quarter-over-Quarter. It compares the latest quarter with the immediately previous quarter to show short-term momentum changes.
RevenueThe total money that came through the front door from selling things, before paying a single bill. Think of it as the grand total of every credit card swipe from customers. (YoY compares this year to last year's performance, while QoQ compares the current three months to the previous three).
$11.3M
+4.9%
+50.0%
Net IncomeThe absolute bottom line. If the company paid every single supplier, employee, banker, and tax collector, this is the actual money left in their pocket at the end of the day.
$-33.8M
-6.6%
-36.5%
Gross MarginThe basic markup. If they sell a $100 pair of sneakers, this percentage tells you how much of that price tag is profit right after paying for the rubber and shoelaces, but before paying for things like store rent or TV commercials.
-42.1%
-23.1%
-4.8%
Operating MarginThe 'day job' efficiency score. Out of every dollar a customer spends, this shows how many cents the company keeps after making the product AND paying for all the everyday corporate overhead (like salaries, marketing, and keeping the lights on).
-298.9%
-8.8%
+15.5%
Net MarginThe final take-home percentage. When you strip away every conceivable cost, tax, and interest payment, this is the exact number of cents the company truly gets to keep from every dollar in sales.
-298.3%
-1.6%
+9.0%
Free Cash FlowThe holy grail of corporate cash. It's the spendable, physical money left over after the business pays for its daily operations AND buys the big, expensive upgrades (like new factories or servers) it needs to survive. This is the 'free' money they can use to pay dividends or buy back stock.
$-31.0M
-37.8%
-0.6%
FCF MarginThe ultimate cash conversion rate. It shows how good the company is at turning regular sales directly into cold, hard, spendable cash. A high percentage means the business is an absolute cash-printing machine.
-273.5%
-31.4%
+33.0%
Debt / EquityThe financial risk gauge. It compares how much of the company's empire was built using borrowed money (loans) versus the owners' own money (shareholders). A high number means they are heavily leveraged and playing a riskier game; a low number means they are playing it safe.
28.0%
-22.8%
-43.3%
Current RatioThe 12-month survival check. It simply compares the cash they have right now (plus things they can quickly turn into cash) against the immediate bills they absolutely must pay this year. A score above 1 means they have enough in the wallet to cover the upcoming bills without panicking.
3.99x
+118.5%
-23.1%
Total AssetsThe absolute size of the company's empire. It bundles together absolutely everything of value they own—from the cash in the register and the inventory in the warehouse, to the software patents in the vault and the factories on the ground.
Apoorv S. Dwivedi: Good afternoon, everyone. And thank you for joining Knightscope's second quarter 26 earnings call. I am Apoorv Dwivedi, Executive Vice President and chief financial officer. And I am joined by William Santana Li, founder, chairman, and chief executive officer. By now, you should have had a chance to review our second quarter 26 earnings release, which was published at 01:05 p. M. Pacific Time just after market's close. Before we begin, please note that today's discussion contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act. Of 2 thousand. Including statements regarding our goals, growth, prospects, product road map, and outlook. Actual results may differ materially due to the risks and uncertainties described under Risk Factors in our most recent Annual report on form 10 k as updated by our other SEC filings. Forward-looking statements speak only as of today, and we undertake no obligation to update them except as required by law. With that, it is my pleasure to turn this call over to Bill.
William Santana Li: Thank you, Apoorv, and good afternoon, everyone. Thank you for spending part of your day with us. I am going to start with the business and marketing highlights from the second quarter. What we won what we built, and how we are setting up the second half of the year. Then I will hand the call back over to Apoorv who will take you through the financials in detail So let's dive right in. The second quarter of 26 was the best quarter In Nightscope's history. Revenue came in at 9 million, up more than 200% from 2.7 million in the same quarter last year. And a new quarterly record for the company. We now serve 434 clients across 42 states. That marks 2 consecutive record quarters following first quarter revenue that was up 106% year-over-year. Back in May, I stood in front of institutional investors in New York and made a simple commitment. Each quarter, better than the last. We have delivered exactly what we said we would do. In the second quarter, we built on the momentum from the first quarter of 26 and we believe that we have laid the groundwork to keep it going forward. This compounding effect is the result of relentless commitment to execution across the entire organization. Apoorv will walk you through the drivers behind those numbers in just a few minutes. The integration of our recent acquisition, now known as our security force, is proceeding as planned and the collaboration between the teams is amazing to witness. Seeing firsthand the team collaborate on our new h 1 wearable that will define the future augmented security agent or ASA is truly invigorating. The teams are operating and beginning to work as 1. As we look to expand our offerings with our current client base. This was our second acquisition as a public company, and the discipline the team has shown closing it filing it, and now integrating it without missing a beat tells you a lot about the caliber of …
