Airship AI (AISP) Q1 2026 earnings summary

Executive summary

• Net revenues for Q1 2026 increased 15.4% year-over-year to $6.4 million, driven by higher commercial orders.

• Gross profit rose 41.7% to $3.2 million, with gross margin improving to 50% due to a favorable product mix and increased solution sales.

• Operating loss narrowed to $1.6 million from $1.7 million in Q1 2025, reflecting increased stock-based compensation and higher investments in sales, marketing, and R&D.

• Net loss was $721,000, or $0.02 per basic share, compared to net income of $23.7 million in Q1 2025, which included significant non-cash gains.

• Backlog as of May 8, 2026 was $4.6 million, with a validated pipeline of $165.3 million.

Financial highlights

• Net revenues: $6.4 million (up from $5.5 million year-over-year).

• Gross profit: $3.2 million (up from $2.2 million year-over-year), gross margin at 50% for Q1 2026.

• Operating loss: $1.6 million (improved from $1.7 million loss year-over-year).

• Net loss: $721,000 (compared to net income of $23.7 million in Q1 2025, which included $25.3 million in non-cash gains from fair value changes).

• Cash and cash equivalents: $12.6 million as of March 31, 2026.

Outlook and guidance

• Backlog of $4.6 million to be shipped and invoiced through 2026.

• Pipeline of $165.3 million in opportunities expected to be awarded over the next 18-24 months.

• 60% of remaining performance obligations expected to be recognized as revenue in 2026, with the rest in 2027 and beyond.

• Focus on improving gross margins and achieving cash flow positive operations before year-end 2026.

• Strategic investments in sales, business development, and AI platform innovation are planned.