Investment Thesis
AITX exhibits severe financial distress with negative stockholders' equity of -$49.6M, indicating the company is technically insolvent. Despite strong 175% YoY revenue growth, the company is burning cash at an alarming rate (-$7.5M operating cash flow) and has only $143.8K in cash against $58.3M in total liabilities, creating immediate solvency concerns.
AITX Strengths
- Strong gross margin of 67.4% indicates viable unit economics and pricing power in core software offerings
- Exceptional YoY revenue growth of 175.2% demonstrates significant market demand and business scaling
- Relatively low long-term debt of $186K suggests minimal traditional debt burden
AITX Risks
- Critical insolvency: Negative equity of -$49.6M means liabilities exceed assets by nearly 6x, indicating potential bankruptcy or dilutive equity raises
- Severe liquidity crisis: Current ratio of 0.18x and only $143.8K cash cannot service $58.3M liabilities or fund -$7.5M annual operating cash burn
- Profitability deterioration: Negative operating margin of -141% and net margin of -148% show the company loses $1.49 for every dollar of revenue despite gross profit
- Unsustainable cash burn: -$7.5M operating cash flow combined with minimal cash reserves creates immediate runway concerns of less than 1 month
Key Metrics to Watch
- Cash position and monthly burn rate - critical for assessing bankruptcy timeline
- Operating cash flow trend - must turn positive to achieve sustainability
- Stockholders' equity - path to positive equity essential for long-term viability
- Debt levels and potential restructuring activities indicating financial distress
- Operating leverage - ability to reach profitability at current or higher revenue levels
AITX Financial Metrics
AITX Profitability Ratios
AITX Balance Sheet & Liquidity
AITX 5-Year Financial Trend
5-Year Trend Summary: Artificial Intelligence Technology Solutions Inc.'s revenue has grown significantly by 175% over the 5-year period, indicating strong business expansion. The most recent EPS of $0.00 indicates the company is currently unprofitable.
AITX Growth Metrics (YoY)
AITX Quarterly Performance
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q3 2026 | $1.8M | $763.1K | $0.00 |
| Q2 2026 | $1.3M | $763.1K | $0.00 |
| Q1 2026 | $1.2M | -$4.2M | $0.00 |
| Q3 2025 | $597.0K | -$3.7M | $0.00 |
| Q2 2025 | $386.4K | -$3.9M | $0.00 |
| Q1 2025 | $385.2K | -$4.2M | $0.00 |
Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.
AITX Capital Allocation
AITX SEC Filings
Access official SEC EDGAR filings for Artificial Intelligence Technology Solutions Inc. (CIK: 0001498148)