Quarterly ResultMay 20, 2026, 04:38 PM
KonaTel Q1 Net Loss Narrows to $(0.01) EPS; Revenue Down 12.2%
AI Summary
KonaTel, Inc. reported a significant reduction in net loss for the three months ended March 31, 2026, with a loss of $(282,590) or $(0.01) per share, compared to $(917,528) or $(0.02) per share in the prior year. However, revenue decreased by 12.2% to $1.91 million. The company is refocusing on its higher-margin Hosted Services segment and has restructured its IM Telecom partnership, but also noted substantial doubt about its ability to continue as a going concern without additional financing.
Key Highlights
- Net loss significantly narrowed to $(282,590) in Q1 2026 from $(917,528) in Q1 2025.
- Basic and diluted loss per share improved to $(0.01) from $(0.02) year-over-year.
- Revenue decreased by 12.2% to $1.91 million in Q1 2026 from $2.17 million in Q1 2025.
- Gross profit increased by 23.6% to $805,604 in Q1 2026 from $651,893 in Q1 2025.
- Hosted Services revenue was $1.38 million, while Mobile Services revenue was $0.53 million.
- Net cash used in operating activities was $(39,650) in Q1 2026, compared to $269,037 provided in Q1 2025.
- Company expressed substantial doubt about its ability to continue as a going concern.
- IM Telecom partnership restructured, with KonaTel retaining 51% and receiving sales distributions.
Price Impact
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