KSCPMEDIUM SIGNALFINANCIAL10-K

KSCP significantly strengthened its balance sheet through what appears to be an equity raise, while substantially increasing R&D investment amid continued operating losses.

The company appears to have completed a meaningful capital raise, evidenced by the notable increase in cash, stockholders' equity, and outstanding Class A shares (from 6.6M to 15.9M shares). This financial strengthening provides runway for the company's growth investments, though operating losses continue to expand as the business scales.

Comparing 2026-03-27 vs 2025-03-31View on EDGAR →
FINANCIAL ANALYSIS

KSCP's balance sheet improved markedly with cash increasing 85% to $20.6M and stockholders' equity growing 76% to $27.8M, suggesting successful fundraising activity. The company substantially increased R&D spending while operating cash flow deficits widened and gross losses deepened, indicating continued investment in product development during the early stages of commercialization. Overall, the financial picture shows a loss-making company that has secured additional capital to fund its growth strategy.

FINANCIAL STATEMENT CHANGES
Cash & Equivalents
Balance Sheet
+84.9%
$11.1M$20.6M

Cash position surged 84.9% — strong cash generation or capital raise providing significant financial cushion.

R&D Expense
P&L
+76.8%
$7.1M$12.5M

R&D investment increased 76.8% — signals commitment to future product development, though near-term margin impact.

Stockholders Equity
Balance Sheet
+75.9%
$15.8M$27.8M

Equity base grew 75.9% — retained earnings accumulation or equity issuance strengthening the balance sheet.

Current Assets
Balance Sheet
+74.7%
$15.1M$26.4M

Current assets grew 74.7% — improving short-term liquidity or inventory/receivables build.

Total Assets
Balance Sheet
+46.4%
$28.2M$41.3M

Asset base grew 46.4% — expansion through organic growth, acquisitions, or capital deployment.

Operating Cash Flow
Cash Flow
-35.1%
-$22.5M-$30.3M

Operating cash flow fell 35.1% — earnings quality concerns; investigate working capital changes and non-cash items.

Gross Profit
P&L
-29.1%
-$3.7M-$4.8M

Gross margin compression — rising input costs, pricing pressure, or unfavorable product mix shift.

Inventory
Balance Sheet
+29%
$1.8M$2.3M

Inventory built 29% — monitor whether demand supports this build or if write-downs may follow.

Accounts Receivable
Balance Sheet
+23.7%
$1.7M$2.1M

Receivables grew 23.7% — monitor days sales outstanding for collection efficiency.

Current Liabilities
Balance Sheet
-20.1%
$8.3M$6.6M

Current liabilities reduced — improved short-term financial position and working capital health.

LANGUAGE CHANGES
NEW — 2026-03-27
PRIOR — 2025-03-31
ADDED
As of March 25, 2026, there were 15,947,845 shares of the registrant s Class A Common Stock and 335,068 shares of the registrant s Class B Common Stock outstanding .
Investment in new products and services may not achieve expected returns and could disrupt our ongoing business, present risks not originally contemplated and materially adversely affect our business, reputation, results of operations and financial condition.
We are subject to the loss of contracts, due to terminations, non-renewals or competitive re-bids, which could adversely affect our results of operations and liquidity, including our ability to secure new contracts from other customers The failure to identify, consummate, effectively integrate or realize the expected benefits from acquisitions could adversely affect our growth and our business, financial condition, and results of operations.
The loss of one or more of our key personnel, or our failure to attract and retain other highly qualified personnel in the future, could harm our business.
Our ability to operate and collect digital information on behalf of our clients is dependent on the privacy laws of jurisdictions in which our ASRs operate, as well as the corporate policies of our clients, which may limit our ability to fully deploy our technologies in various markets.
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REMOVED
As of March 31, 2025, there were 6,564,466 shares of the registrant s Class A Common Stock and 336,759 shares of the registrant s Class B Common Stock outstanding .
Business Overview Our mission is to make the United States of America the safest country in the world by helping to protect the people, places, and assets where we live, work, study and visit.
Through strategic market expansion, increased ASR adoption, and continued innovation, we aim to redefine public safety with a comprehensive, technology-driven approach.
As we execute on our growth strategy, we remain committed to delivering scalable, effective solutions that enhance safety, deter crime, and provide peace of mind to organizations and communities nationwide.
is a Silicon Valley based, public safety innovator that builds Autonomous Security Robots and Emergency Communication Devices.
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