TMCnet News
Cloudastructure Reports Revenue Growth of 78% Year-Over-Year for the 2026 First QuarterCompany Successfully Scaled AI-Driven Security Platform Across Multiple Large Industry Verticals as Recurring Revenue and Enterprise Adoption Accelerated Advancing the Shift from Reactive Surveillance to Autonomous, AI-Powered Security Conference Call to be Held on July 17, 2026 at 12:00 PM ET PALO ALTO, Calif., July 17, 2026 (GLOBE NEWSWIRE) -- Cloudastructure, Inc. (“Cloudastructure” or “the Company”) (Nasdaq: CSAI), a leader in cloud-native AI surveillance and remote guarding, today reported its financial results for the first quarter ended March 31, 2026 and is providing a business update. “Our first quarter 2026 financial results reflect the continued scaling of our AI-driven technology platform across multiple large market verticals and growing customer demand across modern security environments,” said James McCormick, Chief Executive Officer of Cloudastructure. “We are seeing strong adoption in multifamily alongside increasing traction in transportation and logistics, where the ability to detect, respond, and prevent incidents in real time is critical for the safety of tenants, employees and other stakeholders.” “We believe security is undergoing a fundamental transformation, moving from passive systems to intelligent platforms that operate continuously and autonomously. Cloudastructure is positioned at the intersection of that shift, combining AI, cloud infrastructure, and real-time intervention to deliver a more proactive standard for physical security. As we continue to scale the platform and extend its capabilities across new environments, we are building a system designed not just to monitor activity, but to actively prevent it.” Key Financial and Operational Highlights:
Expanding Enterprise Adoption Across Core Markets In multifamily housing, the Company reached a key milestone, now serving eight of the ten largest NMHC-ranked multifamily property management companies in the United States, which reflects increasing adoption among large-scale operators. Within these accounts, customers continue to expand deployments from initial pilot sites to broader portfolio rollouts as the platform demonstrates measurable results. Driving Measurable Results in New Vertical Expansion Enhancing Platform Capabilities and Operational Scale To support continued growth, the Company strengthened its leadership team with the appointment of Ed Burnett as Chief Security and Operations Officer, bringing more than 30 years of enterprise security experience to oversee operations, remote guarding, and deployment strategy. Across its markets, the Company continues to see increasing demand for proactive, AI-driven security solutions that enable customers to detect threats earlier, respond in real time, and prevent incidents before they escalate. Update on Previously Disclosed Accounting Matter On July 6, 2026, the Company announced a resolution whereby it amended the terms of its Series 2 Convertible Preferred Stock to, among other things, eliminate the variable conversion price feature and exchanged 1,170 of those shares with the sole holder of Series 2 Convertible Preferred Stock for an unsecured promissory note. The Form 10-Q for the first quarter of 2026 will reflect a revised, non-cash accounting presentation for both series affecting only balance sheet classification, with no impact on the Company's cash position, operations, total assets, or net assets. Financial Results for the First Quarter Ended March 31, 2026 Gross profit increased to $0.7 million, compared to $0.3 million in the first quarter of 2025, representing approximately 115% year-over-year growth. The increase reflects higher revenue and a greater contribution from recurring service offerings. Operating expenses for the quarter totaled approximately $3.3 million, compared to approximately $2.8 million in the prior year period, reflecting increased headcount and compensation costs, higher sales and marketing spend, and continued investment in operational infrastructure to support growth. General and administrative expenses for the quarter were approximately $1.4 million, compared to approximately $1.1 million in the prior year period, reflecting increased payroll, professional services, equipment, and public company-related expenses. Net loss for the first quarter was approximately $2.8 million, compared to approximately $2.0 million in the same period in 2025, reflecting continued investment in scaling the platform and expanding the business, as well as a non-cash change in the fair value of derivative liabilities and the revised prior-period comparative figures described below. (The net loss from the first quarter of 2025 has been revised from the previously reported $2.5 million to $2.0 million in connection with the technical accounting matter referenced above related to the Company’s Series 1 and Series 2 Convertible Preferred Stock. The revision did not affect cash, operations, total assets, or net assets.)
Date: July 17, 2026 The live webcast and any related presentation materials made available for the call will be available through the Company’s investor relations website at https://www.cloudastructure.com/investor/home. For interested individuals unable to join the conference call, a replay will be available through July 31, 2026, by dialing 1-877-481-4010 (U.S. Toll Free) or 1-919-882-2331 (International). Participants must use the following code to access the replay of the call: 54039. An archived version of the webcast will also be available for 365 days. About Cloudastructure Cautionary Note Regarding Forward-Looking Statements Certain statements in this press release may be considered forward-looking statements within the meaning of the federal securities laws. Forward-looking statements may include, without limitation, statements regarding the Company’s expectations, plans, or prospects; the timing, completion, and filing of its Quarterly Report on Form 10-Q; its ability to regain compliance with Nasdaq listing standards; the expected effects of the Series 2 Convertible Preferred Stock amendment and related exchange; and customer adoption, market expansion, recurring revenue growth, product capabilities, and the Company’s ability to scale its platform. Forward-looking statements are typically identified by words and phrases such as “anticipate,” “estimate,” “believe,” “continue,” “could,” “intend,” “may,” “plan,” “potential,” “predict,” “seek,” “should,” “will,” “would,” “expect,” “objective,” “projection,” “forecast,” “goal,” “guidance,” “outlook,” “effort,” “target” or the negative of such words and other comparable terminology. Forward-looking statements are based on current expectations and assumptions, are subject to risks and uncertainties, and are not guarantees of future performance. Actual results may differ materially from those expressed or implied by forward-looking statements due to multiple factors including, among others, delays or changes in financial reporting and accounting treatment; liquidity and capital needs; customer concentration; competition; market acceptance of the Company’s solutions; the Company’s ability to deploy and scale its technology; privacy, security, and regulatory risks; and the risks and uncertainties discussed in the reports that the Company has filed with the SEC, including its Annual Report on Form 10-K and subsequent filings. Forward-looking statements speak only as of the date of this release. Except as required by applicable law, the Company undertakes no obligation to update or revise any forward-looking statements. Media Contact Investor Contact 
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||