SUNNYVALE, Calif.--(BUSINESS WIRE)--May 15, 2026--
Knightscope, Inc. (NASDAQ: KSCP), a managed service provider building the nation’s first Autonomous Security Force, today reported financial results for the first quarter ended March 31, 2026.
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"Q1 was a turning point for Knightscope. With the strategic acquisition of Event Risk, all four operational pillars of the Autonomous Security Force – autonomous machines, advanced software, real-time monitoring, and licensed security agents – are now in place," said William Santana Li, Chairman and Chief Executive Officer. "Revenue more than doubled from the same prior period year, gross margin turned positive, and the work of integrating these capabilities into a single unified force is underway. We are just getting started."
First Quarter 2026 Financial Highlights
Strategic Acquisition
On February 27, 2026, Knightscope completed the acquisition of Event Risk, LLC for total purchase consideration of approximately $18.0 million, comprising $5.0 million in cash paid at closing, repayment of $1.1 million of the seller's outstanding indebtedness, the issuance of 1,724,418 shares of Class A Common Stock, $4.0 million in deferred cash payments through December 31, 2028, and contingent future consideration tied to post-closing performance through 2031. The transaction added licensed armed and unarmed security agent operations to the Autonomous Security Force, bringing all four operational pillars – autonomous machines, advanced software, real-time monitoring, and licensed security agents – in place under one company. The acquisition resulted in the recognition of $7.7 million in goodwill and $16.1 million in customer relationship and other intangible assets.
Management believes the acquisition accelerates the Company's strategy to deliver a fully integrated Autonomous Security Force and expects the integrated business to be free cash flow generative over time.
BRIEFING: Q1 2026 Financial Results
Knightscope will host a webinar to discuss its first quarter 2026 financial results on Monday, May 18, 2026 at 1pm PT / 4pm ET.RSVP here.
About Knightscope
Knightscope, Inc. (NASDAQ: KSCP) is building the nation's first Autonomous Security Force – a unified force that integrates autonomous machines, advanced software, and licensed armed and unarmed security agents under a single managed service accountable for the security of the people, property, and places we help protect. The Company serves commercial and government clients across the United States. Built in America to Secure America. Learn more about us at www.knightscope.com.
Forward-Looking Statements
This press release contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. Such forward-looking statements can be identified by the use of words such as "should," "may," "intends," "anticipates," "believes," "estimates," "projects," "forecasts," "expects," "plans," "proposes" and similar expressions. Forward-looking statements contained in this press release and other communications include, but are not limited to, statements about Knightscope’s goals, profitability, growth, prospects, reduction of expenses, outlook, and any statements related to any increase, growth and recurring revenues attributable to Knightscope acquisitions. Although Knightscope believes that the expectations reflected in these forward-looking statements are based on reasonable assumptions, there are a number of risks, uncertainties and other important factors that could cause actual results to differ materially from such forward-looking statements, including the factors discussed under the heading "Risk Factors" in Knightscope’s Annual Report on Form 10-K for the year ended December 31, 2025, as updated by its other filings with the Securities and Exchange Commission. Forward-looking statements speak only as of the date of the document in which they are contained, and Knightscope does not undertake any duty to update any forward-looking statements, except as may be required by law.
Knightscope, Inc. (NASDAQ: KSCP) is building the nation's first Autonomous Security Force – a unified force that integrates autonomous machines, advanced software, and licensed armed and unarmed security agents under a single managed service accountable for the security of the people, property, and places we help protect. The Company serves commercial and government clients across the United States. Built in America to Secure America.
NEW YORK (AP) — The U.S. stock market fell from its records and joined a worldwide drop for stocks after higher oil prices sent a shiver through the bond market. The S&P 500 fell 1.2% Friday from its all-time high. The Dow Jones Industrial Average dropped 1.1%, and the Nasdaq composite sank 1.5% from its own record. Technology stocks led the market lower, particularly AI winners. They had shot so high that some critics said they had gone too far. Yields jumped in the bond market on worries about how much rising oil prices will worsen inflation. The 30-year Treasury yield is back to where it was in 2007.
THIS IS A BREAKING NEWS UPDATE. AP’s earlier story follows below.
NEW YORK (AP) — The U.S. stock market fell from its records Friday and joined a worldwide drop for stocks, as higher oil prices sent a shiver through the bond market. Stocks that had been caught up in the euphoria around artificial-intelligence technology led the way lower.
The S&P 500 fell 0.9% from its all-time high set the day before. The Dow Jones Industrial Average was down 465 points, or 0.9%, with an hour remaining in trading, and the Nasdaq composite was down 1% from its own record.
Technology stocks tumbled in a sharp turnaround from their meteoric rises for much of the year, which had carried markets worldwide to records but also raised criticism that they had gone too far.
Nvidia, the stock that quickly became the face of the AI revolution, dropped 3% and was the heaviest weight on the S&P 500. It had come into the day with a gain of more than 26% for the year so far.
Micron Technology was another one of the heaviest weights on the market after falling 4.9%. It's still up nearly 159% for the year so far.
“To us, it looks like markets have pushed into overbought territory,” according to Brian Jacobsen, chief economic strategist at Annex Wealth Management. He said the strong corporate profits and durable U.S. economy that launched U.S. stocks to records remain intact, but “the path is unlikely to be smooth. Periods like this call for discipline more than hope.”
In the meantime, rising oil prices are raising the pressure after already worsening inflation by more than economists had feared. The war with Iran is continuing, and the Strait of Hormuz remains shut to oil tankers, which is preventing them from delivering crude to customers worldwide and driving up oil’s price.
The price for a barrel of Brent crude oil, the international standard, rose 3.3% to settle at $109.26 and is well above its level of roughly $70 from before the war.
Many big U.S. companies have been saying their customers have been able to keep spending on their products and services despite having to pay higher prices for gasoline. But U.S. households have also been telling surveys they’re feeling discouraged about the economy and the pressures building on them because of the war and tariffs.
The worries were most clear Friday in the bond market, where Treasury yields climbed. The yield on the 10-year Treasury rose to 4.59% from 4.47% late Thursday. That’s a notable move for the bond market, and it’s well above its 3.97% level from before the war.
The yield on the 30-year Treasury rose as high as 5.13% and is back to where it was in 2007, before the financial crisis sent yields crashing close to zero in the ensuing year.
Higher yields can make mortgages and other kinds of loans going to U.S. households and businesses more expensive, which slows the economy. They also tend to push downward on prices for stocks and all kinds of other investments.
Stocks of smaller companies had some of Friday’s sharpest drops. Many of them need to borrow cash to grow, which means higher borrowing costs can hurt them more than their big rivals. The Russell 2000 index of the smallest U.S. stocks fell 2,1%, more than double the S&P 500’s loss.
Yields have been climbing since the war on worries about higher inflation and how it may tie the Federal Reserve’s hands when it comes to short-term interest rates. Not only have traders abandoned virtually all expectations that the Fed will resume its cuts to interest rates this year, they’ve been building some bets that it may even hike rates in 2026, according to data from CME Group.
A couple of reports on the U.S. economy that came in better than expected also helped to lift yields. One said U.S. industrial production improved by more last month than economists expected, while another said manufacturing in New York state is expanding at a faster rate.
In stock markets abroad, indexes fell sharply across Europe and Asia.
South Korea’s Kospi dropped 6.1% for one of the biggest moves. It's set records this year because of the influence of AI beneficiaries like SK Hynix. But it quickly reversed momentum Friday after briefly topping the 8,000 level for the first time.
Some on Wall Street have been warning about a possible break in momentum for tech stocks in general and AI winners in particular.
“If nothing else this should be a ‘shot across the bow’ for how volatility works both ways,” according to Jonathan Krinsky, chief market technician at BTIG.
AP Business Writer Chan Ho-him contributed.
Trader Patrick Casey works on the floor of the New York Stock Exchange, Wednesday, May 13, 2026. (AP Photo/Richard Drew)
President Donald Trump, left, walks with Chinese President Xi Jinping at the Temple of Heaven on Thursday May 14, 2026, in Beijing. (AP Photo/Mark Schiefelbein)
A dealer stands near the screens showing the Korea Composite Stock Price Index (KOSPI), and the Korean Securities Dealers Automated Quotations (KOSDAQ) at a dealing room of Hana Bank in Seoul, South Korea, Friday, May 15, 2026. (AP Photo/Lee Jin-man)
Employees of Hana Bank celebrate in a photo-op to mark the Korea Composite Stock Price Index (KOSPI) of over 8,000 points at a dealing room of Hana Bank in Seoul, South Korea, Friday, May 15, 2026. (AP Photo/Lee Jin-man)
