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Knightscope secures order for emergency phones

EditorTanya Mishra
Published 08/13/2024, 09:52 AM
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MOUNTAIN VIEW, Calif. - Knightscope, Inc. (NASDAQ:KSCP), a company specializing in robotics and AI technology for public safety, has received a purchase order for 23 of its K1 Blue Light Emergency Phones from National Safety Systems (NSS), a division of Transportation Solutions & Lighting, Inc. The devices are destined for a premier Florida cancer treatment and research center.

The K1 Blue Light Emergency Phones are designed to provide robust and accessible communication in critical areas such as parking lots and garages, complying with ADA Standards for Accessible Design.

The Florida cancer center, which focuses on patient care and safety, aims to enhance its security infrastructure with the integration of these emergency communication devices. Knightscope's technologies, including the K1 Blue Light Emergency Phones, are part of a broader portfolio intended to bolster public safety across various environments.

Knightscope's mission is to significantly improve public safety and ultimately aims to make the United States the safest country in the world. The company's range of products includes autonomous security robots, emergency communication systems, and automated gunshot detection services.

Knightscope's growth and the potential impact of its technologies on public safety are subject to various factors that could affect the actual outcomes.

The purchase order from NSS represents a business development for Knightscope, highlighting its ongoing efforts to expand the reach of its safety technologies in healthcare settings. The company has not disclosed the financial details of the transaction.

Knightscope, Inc. has reported a significant increase in revenue for the fiscal year ending December 2023, reaching $12.8 million, a 128% increase from the previous year. The company also managed to reduce its net loss to $22.1 million, an improvement of $3.5 million compared to the prior year.

Additionally, Knightscope announced that it has met the Nasdaq Capital Market's minimum stockholders' equity requirement following an automatic conversion of preferred stock into common stock. The company also received an extension from the Nasdaq Hearings Panel to meet the Exchange's Listing Rule 5550(a)(2), with a deadline set for October 2024.

Knightscope secured new contracts for its emergency communication systems in Minnesota and Texas, underscoring its commitment to enhancing public safety through advanced robotics and AI technologies. The company also achieved compliance with both Buy America and the Buy American Act, facilitating its participation in federal and federally funded state and local projects.

InvestingPro Insights

Knightscope, Inc. (NASDAQ:KSCP) has recently secured a purchase order for its K1 Blue Light Emergency Phones, signaling a positive development for the company's expansion in the healthcare sector. In light of this news, let's delve into some key financial metrics and InvestingPro Tips that could provide a broader context for investors considering Knightscope's current market position.

InvestingPro Data indicates that Knightscope has a market capitalization of approximately $24.23 million. The company's revenue for the last twelve months as of Q1 2024 stands at $12.15 million, reflecting a significant year-over-year growth of 60.26%. Despite this impressive growth, the company's gross profit margin is in negative territory at -26.79%, suggesting challenges in converting sales into actual profit.

One of the InvestingPro Tips highlights that Knightscope's stock price has been highly volatile, which could be a point of consideration for investors looking for stability. Moreover, the company's stock is currently trading near its 52-week low, providing a potential entry point for investors who are bullish on the company's future despite recent performance.

Additionally, it's worth noting that Knightscope is quickly burning through cash and analysts do not anticipate the company will be profitable this year. This insight, coupled with the fact that the company operates with a moderate level of debt, may indicate a need for careful financial management moving forward.

For investors seeking a deeper analysis, there are 19 additional InvestingPro Tips available, which can be accessed through the InvestingPro platform. These tips could offer further guidance on Knightscope's financial health and investment potential.

With these insights in mind, stakeholders and potential investors can better assess how the recent business developments align with Knightscope's financial trajectory and market performance.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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