PCS Edventures! Announces Results for the First Quarter of Fiscal Year 2026

Core Insights - PCS Edventures!, Inc. reported a 23.3% decrease in revenue to $2.42 million for the first quarter of fiscal year 2026 compared to the same quarter in the previous year [6] - The company experienced a gross margin increase of 13 basis points to 63.4% in the first quarter of fiscal year 2026 [6] - Net income before income tax provision was $0.55 million, down from $1.12 million in the previous year [6] - Cash on hand increased by 11.5% to $3.59 million compared to the first quarter of the previous year [6] Operational Update - Federal funding uncertainty for out-of-school-time programs negatively impacted market demand [1] - The company is focusing on states with significant after-school and summer camp funding, which shows promise for future growth [1] - PCS has begun aligning select products to the standards of larger states to expand its addressable market [2] Stock Buyback and Financial Strategy - The company repurchased 3,736,170 shares at an average price of $0.0991, completing 41% of its announced buyback [3] - Following the repurchase, shares outstanding declined by 3.1% [6] Future Developments - Development of a next-generation indoor-outdoor modular drone is nearing completion, with a pilot program scheduled for September [5] - The company aims to unlock demand in career and technical education (CTE), a market not significantly affected by recent federal funding debates [5] Legislative Context - The administration initially froze after-school and summer camp funding but lifted the freeze on July 18, 2025, allowing programs to continue [4] - Despite potential budget cuts, bipartisan resistance suggests that the elimination of the 21st Century Community Learning Centers (CCLC) program is unlikely [4]