Knightscope, Inc. (NASDAQ: KSCP, also referenced as FNEWS on Investegate), a Sunnyvale, California-based security technology company, has reported third-quarter 2026 revenue of $8.7 million, representing 177% year-on-year growth and marking the firm's third consecutive quarter of triple-digit revenue increases. Gross margin turned positive at $0.4 million, compared with a gross loss of $1.6 million in the same period a year earlier. The company also disclosed approximately $27 million in renewals, bookings, and client awards secured since May 2026, described as a company record. Investors will be watching whether Knightscope can convert that pipeline into recognised revenue in the coming quarters.

Key Points

  • Knightscope, Inc. (NASDAQ: KSCP / Investegate reference: FNEWS), a Sunnyvale, CA security technology company
  • Q3 2026 revenue reached $8.7 million, up 177% from $3.1 million in Q3 2025, driven largely by Knightscope Security Force service revenue of $6.6 million
  • Gross margin of $0.4 million (5% of revenue); net loss of $11.8 million, or $0.50 per share; cash of $6.8 million at quarter end
  • Investors should watch the conversion of $27 million in awards and bookings into revenue, and progress on K7 manufacturing deployments in Q4 2026

Knightscope Security Force Drives 349% Service Revenue Surge in Q3 2026

Service revenue, which reached $8.6 million in the quarter, was the dominant growth driver, rising 349% year on year. Within that figure, $6.6 million came from the Knightscope Security Force ("KSF") operation, which integrates autonomous machines, AI-driven software, and licensed security agents into a single managed service contract. Product revenue, by contrast, fell to $0.1 million from $1.2 million in the prior-year period, reflecting the company's strategic pivot towards recurring service-based revenues rather than standalone hardware sales. Service gross margin turned positive at $0.7 million, or 8% of service revenue, compared with a service gross loss of $1.6 million in Q3 2025.

Operating Costs Rise to $12.0 Million as Knightscope Invests in GSX 2026 Launch and KSF Integration

Operating expenses reached $12.0 million in the quarter, equivalent to 138% of revenue, against $7.9 million, or 254% of revenue, in Q3 2025. The announcement states that sales, general and administrative expenditure of $8.4 million included $0.9 million of events and sponsorship costs relating primarily to the Autonomous Security Force unveiling at GSX 2026, alongside $0.6 million of higher intangible asset amortisation connected to the KSF acquisition. Research and development spend declined 5% to $3.6 million as the company continued moving engineering in-house. The net loss for the quarter was $11.8 million, or $0.50 per share, based on 23.6 million weighted average shares outstanding.

K7 Manufacturing Begins and Signals Software Goes Live at Knightscope Headquarters

The company announced two significant operational milestones during the quarter. Manufacturing of the K7 autonomous security robot commenced at Knightscope's headquarters, with deployment targeted to accelerate through Q4 2026. Additionally, Signals — described as the company's orchestration software and operational digital twin — reached its initial release at headquarters and was demonstrated live to the public. These developments are central to Knightscope's integrated Autonomous Security Force proposition, which was formally unveiled at GSX 2026. The company also noted approximately $27 million in renewals, bookings, and client awards secured since May 2026, though it cautioned that client awards may not always result in definitive agreements.

Liquidity Position and Going-Concern Risk Remain Key Considerations for KSCP Investors

With cash and cash equivalents of $6.8 million at the end of September 2026 and a quarterly net loss of $11.8 million, Knightscope's liquidity position warrants close attention. The company's own forward-looking statement disclosures reference risks around its ability to raise additional capital on acceptable terms and to continue as a going concern. The announcement also highlights dependence on a limited number of significant clients as a company-specific risk. Investors monitoring KSCP will be focused on whether the $27 million pipeline converts into contracted revenue and whether gross margin improvements can be sustained as the KSF integration matures.