Core Insights - Airship AI Holdings, Inc. reported net revenues of $5.5 million and a gross profit of $2.2 million for Q1 2025, achieving a gross margin of 40% [1][4] - The company is focusing on increased investments in personnel and digital transformation to remain resilient in a rapidly changing marketplace [1][7] - A new pro-U.S. border security administration is expected to provide additional macro tailwinds for the company in 2025 and beyond [1] Financial Highlights - Net revenues for Q1 2025 were $5.5 million, down from $10.6 million in Q1 2024 [4][20] - Gross profit for the quarter was $2.2 million, with a gross margin of 40% [4][20] - Operating loss was $1.7 million, attributed to increased stock-based compensation and investments in sales and marketing [4][20] - Other income for the quarter was $25.4 million, primarily from changes in the fair value of earnout and warrant liabilities [4][20] - Net income for Q1 2025 was $23.7 million, or $0.75 per basic share, mainly due to noncash income [4][20] Operational Highlights - The backlog as of March 31, 2025, was $2.0 million, with a total validated pipeline of approximately $135 million [4][8] - The company expanded its sales and engineering team, adding experienced professionals to enhance market presence [4][10] - Participation in multiple customer-facing tradeshows increased visibility compared to historical participation [4][10] - A government-focused customer event was hosted, demonstrating solutions for challenges along the southern border [4][10] Strategic Outlook - The company anticipates meaningful activity beginning mid-second quarter 2025, with continued growth expected through Q2 and into Q3 [8][14] - Strategic investments in new market verticals and partnerships are expected to drive sustained growth [10][14] - The company plans to launch several new products in 2025, including advanced computer vision analytics and a Generative AI application [11][14] - Airship AI is closely monitoring macroeconomic conditions, including tariff developments, but does not expect significant impacts on its core business [12][14]

Airship AI TodayAISPAirship AI$4.75 +0.22 (+4.86%) 52-Week Range$1.90▼$11.70Price Target$9.00Add to WatchlistAirship AI Holdings Inc. NASDAQ: AISP provides AI-based video, sensor and data management surveillance services to public sector and commercial clients. Its products include Outpost AI, which uses object detection and optical character recognition in its surveillance system, and Acropolis, a platform for scalable video and data management for law enforcement. Although cybersecurity firms like CrowdS ...

Group 1 - The focus is on small to mid-cap companies with disruptive technology, emphasizing competitive analysis and research on founders and their previous endeavors [1] - The investment strategy involves a two-year time frame, with a tendency to hold investments for longer periods, reflecting a long-term investment approach [1] - The analyst has a family history of investing, learning from past market downturns, and emphasizes the importance of selecting winning stocks and managing losses effectively [1] Group 2 - The current investment focus is on the electrification of various sectors, indicating a trend towards sustainable and innovative technologies [1]

2024 Net Revenue of $23.1 Million, an 87% Increase over FY 2023 Net Revenue of $12.3 Million No Debt on Balance Sheet Following Conversion of $2.8 million in Senior Secured Convertible Notes New Pro-U.S. Border Security Administration Provides Additional Macro Tailwinds for 2025 & Beyond REDMOND, Wash., March 03, 2025 (GLOBE NEWSWIRE) -- Airship AI Holdings, Inc. (NASDAQ: AISP) (“Airship AI” or the “Company”), a leader in AI-driven video, sensor, and data management surveillance solutions, today reported i ...

Stock Performance and Market Conditions - Airship AI's common stock and public warrants are listed on Nasdaq, but there may be insufficient liquidity for securityholders to sell their securities[173]. - As of February 26, 2025, the last reported sales price of Airship AI's common stock was $4.48, while the exercise price of public warrants is $4.50, indicating potential challenges for warrant holders to exercise their warrants[187]. - A prolonged decline in the stock price could reduce liquidity and hinder the ability to raise capital, affecting operations and strategic plans[183]. - The volatility of the stock market may lead to significant fluctuations in the market price of Airship AI's securities, regardless of operating performance[186]. - The company may become subject to penny stock rules if its common stock price falls below $5.00, which could reduce trading activity and make it difficult for stockholders to sell their shares[191]. - The reduced reporting requirements applicable to smaller reporting companies may make the company's common stock less attractive to investors, potentially leading to a less active trading market[193]. Corporate Governance and Shareholder Rights - The concentration of ownership among key stockholders, who control approximately 49.5% of voting power, may limit public investors' influence and affect stock price[175]. - Anti-takeover provisions in the company's charter may delay or prevent undesirable acquisitions, potentially limiting stockholders' opportunities to receive a premium for their shares[196]. - The company's charter requires that certain stockholder litigation matters be brought in the Court of Chancery of the State of Delaware, which may limit stockholders' ability to obtain a favorable judicial forum[197]. - The company has provisions that allow its board of directors to issue preferred stock without stockholder approval, which could dilute the ownership of hostile acquirers[198]. - The requirement for special meetings of stockholders to be called only by the board of directors may delay stockholder actions, including the removal of directors[198]. - The choice of forum provision may discourage lawsuits and increase costs for investors bringing claims against the company[199]. Financial Performance and Reporting - The company has not capitalized any software development costs for the years ended December 31, 2024, and 2023[173]. - Airship AI does not intend to pay cash dividends in the foreseeable future, with any return on investment expected to come from increases in stock value[185]. - The company is subject to extensive reporting requirements as a public entity, which may strain resources and divert management's attention from core business activities[178]. - Changes in tax laws could lead to increased tax liabilities, adversely impacting financial condition and results of operations[170]. - The company is subject to various external factors that could impact its operating results, including competitive pricing pressures and regulatory developments[192]. Litigation and Risk Factors - The company faces potential litigation risks due to increased visibility from public disclosures, which could divert management resources[182]. - The company will remain a smaller reporting company until the market value of its common stock held by non-affiliates exceeds $250 million or annual revenues exceed $100 million with a market value exceeding $700 million[194]. - The company will remain an emerging growth company until it achieves total annual gross revenue of at least $1.23 billion or issues more than $1.00 billion in non-convertible debt securities within a three-year period[195].

Core Insights - Airship AI Holdings, Inc. has secured a one-year system maintenance and sustainment contract with a Fortune 100 customer, utilizing its Acropolis Enterprise Video and Data Management platform for operational and physical security needs [1][2] Group 1: Contract Details - The contract is a seven-figure agreement that includes ongoing health monitoring, technical and engineering support, and software maintenance, showcasing the company's ability to generate revenue from professional services alongside traditional software and hardware offerings [3] - This expansion contract reflects the effectiveness of the Acropolis ecosystem in enhancing physical security for large-scale operations [2] Group 2: Technology and Capabilities - The Acropolis backend enterprise management system allows customers to manage devices and sensors across their digital ecosystem, utilizing AI to optimize operational efficiency and improve real-time decision-making [4] - The platform's sensor-agnostic nature, combined with the edge-based AI platform Outpost AI, enables customers to enhance existing edge sensors without the need for costly replacements [4] Group 3: Company Overview - Founded in 2006, Airship AI is a U.S.-based technology company focused on AI-driven video, sensor, and data management solutions aimed at improving public safety and operational efficiency [6] - The company's product suite includes Outpost AI edge hardware and software, Acropolis enterprise management software, and Command visualization tools [6]

Core Insights - Airship AI Holdings, Inc. has secured a one-year system maintenance and sustainment contract with a Fortune 100 customer, utilizing its Acropolis Enterprise Video and Data Management platform for operational and physical security needs [1][2][3] Group 1: Contract Details - The contract is valued in the seven-figure range and includes ongoing health monitoring, technical and engineering support, and software maintenance, indicating a diversified revenue stream from professional services alongside traditional software and hardware offerings [3] - This contract extension highlights the effectiveness of the Acropolis ecosystem in enhancing physical security for large-scale operations [2] Group 2: Technology and Capabilities - The Acropolis backend enterprise management system allows customers to manage devices and sensors across their digital ecosystem, utilizing AI to optimize operational efficiency and improve real-time decision-making [4] - The platform's sensor-agnostic nature, combined with the edge-based AI platform Outpost AI, enables customers to enhance existing edge sensors without the need for costly replacements [4] Group 3: Company Overview - Airship AI, founded in 2006 and headquartered in Redmond, Washington, specializes in AI-driven video, sensor, and data management solutions aimed at improving public safety and operational efficiency for both public sector and commercial clients [6] - The company's product suite includes Outpost AI edge hardware and software, Acropolis enterprise management software, and Command visualization tools [6]

Group 1 - The author focuses on classical value ratios for portfolio selection, emphasizing long-term investment strategies such as low P/B, P/FCF, and Owner Earnings discounting [1] - The author advocates for self-indexing using the Dow Jones Industrial Average combined with Joel Greenblatt's Magic Formula for tax efficiency [1] - The author's background includes experience in private credit and CRE mezzanine financing, with significant time spent in China and Asia [1] Group 2 - The article does not provide any specific financial advice or recommendations regarding investments [2][3][4] - The author expresses personal opinions and research findings without any compensation from companies mentioned [2][4]

Core Viewpoint - Pomerantz LLP is investigating potential securities fraud or unlawful business practices involving Airship AI Holdings, Inc. and its officers or directors [1] Financial Performance - Airship AI reported third-quarter 2024 revenue of $2.9 million, which was $1.9 million below consensus estimates [2] - The company faced delays in capitalizing on several large opportunities due to budget challenges across federal agencies and the timing of a capital raise [2] - Following the announcement, Airship AI's stock price dropped by $0.845, or 22.87%, closing at $2.85 per share on November 15, 2024 [2]

Financial Performance - Net revenues for the three months ended September 30, 2024, increased by $484,000 to $2,868,000 compared to $2,384,000 for the same period in 2023, driven by increased product sales[191]. - Net revenues for the nine months ended September 30, 2024 increased by $11,751,000 to $19,844,000, a growth of 145.2% compared to $8,093,000 for the same period in 2023[198]. - Gross profit for the three months ended September 30, 2024, was $2,154,000, representing a 34.5% increase from $1,602,000 in the same period of 2023[191]. - Gross profit for the nine months ended September 30, 2024 was $9,288,000, up 127.6% from $4,080,000 for the same period in 2023[198]. - The company reported a net income of $6,214,000 for the three months ended September 30, 2024, compared to a net loss of $1,667,000 in the same period of 2023, marking a 472.8% improvement[191]. - Other income for the three months ended September 30, 2024 was $7,801,000, significantly higher than other expense of $438,000 in the prior year[195]. Expenses - Research and development expenses decreased by 55.9% to $1,074,000 for the three months ended September 30, 2024, compared to $689,000 in the same period of 2023[191]. - Research and development expenses for the nine months ended September 30, 2024 increased by $444,000 to $2,472,000, a rise of 21.9% compared to $2,028,000 in 2023[200]. - Total operating expenses for the three months ended September 30, 2024, were $3,741,000, a decrease of 32.1% from $2,831,000 in the same period of 2023[191]. - Selling, general and administrative expenses for the nine months ended September 30, 2024 rose by $762,000 to $8,830,000, an increase of 9.4% from $8,068,000 in the previous year[201]. Cash Flow and Financing - Net cash used in operating activities for the nine months ended September 30, 2024 was $4,398,000, primarily due to a net loss of $7,289,000[207]. - Net cash provided by financing activities for the nine months ended September 30, 2024 was $7,780,000, compared to $2,710,000 in the same period of 2023[209]. - The company entered into a Master Loan Agreement providing for additional funding of up to $1,500,000 with an interest rate of 6%[178]. - The company entered into an extension agreement for the Platinum convertible note, extending the due date to June 22, 2025, and issued 232,360 shares of restricted common stock as payment for interest and extension fees[214]. Liabilities and Obligations - The fair value of earnout liability increased by $5,512,000 during the three months ended September 30, 2024[191]. - The fair value of warrant liability increased by $2,471,000 during the three months ended September 30, 2024[191]. - The company has total contractual cash obligations of $1,138,331, with $359,746 due within one year[215]. - The obligations under the Platinum convertible note are secured by a blanket lien on all assets, with an Amended and Restated Security Agreement and Guaranty dated February 2, 2024[215]. Assets and Leases - A new lease for 15,567 square feet of office and warehouse space in Redmond, WA, commenced on October 1, 2023, with a monthly payment of $25,000, increasing by 3% annually[215]. - The company extended an office lease in Moorestown, North Carolina, for 3,621 square feet, with a net monthly payment of $6,488, extended to February 28, 2025[216]. Accounting and Reporting - The company's consolidated financial statements are prepared in accordance with U.S. GAAP, requiring estimates and assumptions that could differ materially from actual results[218]. - Significant accounting policies have not materially changed from those discussed in the Annual Report for the year ended December 31, 2023[220]. - The company does not have applicable quantitative and qualitative disclosures about market risk as it is classified as a smaller reporting company[221]. - There are no off-balance sheet arrangements that are likely to materially affect the company's financial condition or results of operations[217].