AITX · Artificial Intelligence Technology Solutions Inc.

Artificial Intelligence Technology Solutions Inc. reported preliminary, unaudited financial results for fiscal year 2026 ended February 28, 2026, showing continued revenue growth and significant gross margin expansion. Revenue increased by $1.61 million (26%) to $7.75 million, reflecting ongoing customer adoption and expanding recurring revenue programs. Gross profit rose by $1.79 million (48%) to $5.53 million, significantly outpacing revenue growth, with gross margin improving to approximately 71% from approximately 61% in the prior year. This margin expansion resulted from improved unit economics, cost discipline, and a year-over-year decline in total cost of goods sold despite higher revenue. Operating expenses remained essentially flat at $17.5 million, as increased investment in research and development was offset by reductions in general and administrative costs, contributing to an approximately $2.0 million improvement in loss from operations. CEO Steve Reinharz noted the company navigated a turbulent economy while maintaining improvements in financial metrics and keeping R&D fully funded. He emphasized the company's future is rooted in delivery of services connected to the SARA platform and increasing ROAMEO deployments, with the stationary business (including RIO, ROSA and AVA devices) continuously growing and expected to lead toward positive operational cash flow. Subsequent to year-end, the company announced a hardware pricing adjustment of approximately 14%, reflecting both cost normalization and enhanced capabilities across its solutions. The company remains focused on driving long-term recurring revenue, advancing its SARA platform across its device portfolio, and improving operating efficiency as it scales.