AITX Q2 FY2027 Revenue Up 8% Sequentially; Company Targets Monthly Cash Breakeven in January 2027

Artificial Intelligence Technology Solutions, Inc. reported unaudited financial results for its fiscal second quarter ended August 31, 2026, filing the results via a Form 8-K on October 21, 2026. The company reported total revenue of $1,985,604 for the quarter, which represents an 8% sequential increase from the first quarter of fiscal 2027 and a 5% increase over the prior-year quarter.

Revenue was comprised of $1,765,293 from device rentals and $220,311 from direct sales. The company noted that revenue excluding its largest customer reached a record $1,627,444, marking a 61% year-over-year increase. In contrast, revenue from the largest customer was $358,160, representing 18% of total revenue, down from 46% in the prior-year period.

Gross profit for the quarter was $1,063,301, or 54% of revenue. This figure included a $270,987 non-cash inventory write-down related to a discontinued residential camera product line. Excluding this write-down, gross profit was $1,334,288, or 67% of revenue. The company reported a loss from operations of $2,680,396 for the quarter.

Management highlighted a significant shift in the customer base, noting that the company is now more diversified than at any point in its history. The five largest customers accounted for approximately 50% of revenue, compared to 73% in the prior year. Revenue from customers outside the top five grew 91% year-over-year.

Regarding its cost-reduction program, the company announced an expansion on October 20, 2026. Management stated that decisions made in September are expected to begin appearing in third-quarter results. The company now expects to reach monthly operating cash breakeven, defined as monthly revenue exceeding operating cash expenses excluding debt service and device builds, in January 2027. Additionally, the company targets all-in cash breakeven, which includes debt service and device builds, in the second calendar quarter of 2027.

The company confirmed that the launch of its RAIA product remains on track for the fiscal third quarter (September through November 2026).