0001493152-26-023100
SEC filingQ1 revenue declined 96% to $82K from prior-year levels, driving gross profit down 96% to $21K and widening operating loss 17% to -$5.3M due to lower gross profit and higher R&D and sales expenses despite G&A reductions.
Odysight.ai reported challenging Q1 2026 results marked by sharp revenue contraction and widened losses. Revenue dropped 96.0% to $82 thousand from $2.1 million in Q1 2025, leading to gross profit of $21 thousand, down 96.1% but holding a 25.6% margin as cost structure adapted to lower volume. This revenue dynamic reflects the normalization after prior-year one-offs, setting the stage for operating challenges.
The operating loss deepened 17.1% to -$5.3 million from -$4.6 million, as the steep decline in gross profit combined with increases in research and development expenses and sales and marketing expenses. These rises reflect ongoing investments to advance AI-powered visual monitoring solutions for predictive maintenance and condition-based monitoring. Partially offsetting this was a decrease in general and administrative expenses, primarily from lower costs tied to fundraising and Nasdaq uplisting activities that occurred in Q1 2025, though tempered by higher stock-based compensation.
Net loss widened 21.5% to -$5.2 million, with diluted EPS deteriorating 10.3% to -$0.32 from -$0.29, influenced by the broader loss expansion. Cash flow from operations consumed $4.3 million, more than double the prior-year $2.2 million outflow (after minimal $6 thousand capex), underscoring the cash intensity of current operations.