Airship AI Holdings, Inc.

Airship AI Holdings, Inc. (AISP) reported FY 2025 revenue of $15.3M, up from prior periods though exact YoY not specified, driven by $10.1M in product sales offset by declines in post-contract support (-$5.1M) and other services (-$86K). Gross profit stood at $7.7M on $7.6M cost of revenue, yielding a solid gross margin. Operating expenses totaled $14.9M, including $3.1M R&D and $11.8M SG&A, resulting in an operating loss of -$7.2M. Non-operating gains propelled net income to $29.3M, primarily from $20.9M warrant liability fair value gain and $15.4M earnout liability gain, plus $283K interest income. Balance sheet shows $19.5M total assets, $11.8M cash, but $26.6M liabilities including $13.3M warrant and $2.6M earnout liabilities, yielding -$7.1M stockholders' deficit. Operating cash flow used -$8.0M, offset by $8.3M financing inflows from warrant exercises ($9.5M), netting $343K cash increase to $11.8M end cash. EPS basic and diluted at $1. Strong non-cash gains mask operational losses, signaling reliance on financing and liability adjustments for profitability amid growing deferred revenue ($8.7M). Investors should monitor cash burn and liability volatility for forward sustainability.

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