Quarterly ResultMay 15, 2026, 06:12 AM
Kustom Entertainment Q1 Net Loss $(5.89)M; Revenue +38%
AI Summary
Kustom Entertainment reported a net loss of $(5.89) million for Q1 2026, a significant decline from a net income of $4.27 million in Q1 2025. Total revenue increased by 38.07% to $4.31 million, driven by service revenue growth, despite a decrease in product revenue. The company also completed the sale of its Nobility Healthcare segment, which is now classified as discontinued operations, contributing a loss of $(4.37) million in the quarter. The company changed its legal name from Digital Ally, Inc. to Kustom Entertainment, Inc. and its Nasdaq trading symbol to "KUST" on January 8, 2026.
Key Highlights
- Net loss was $(5.89) million in Q1 2026, a significant swing from $4.27 million net income in Q1 2025.
- Total revenue increased 38.07% to $4.31 million in Q1 2026 from $3.12 million in Q1 2025.
- Service and other revenue grew to $3.75 million in Q1 2026 from $2.40 million in Q1 2025.
- Product revenue decreased to $0.56 million in Q1 2026 from $0.72 million in Q1 2025.
- Operating loss widened to $(1.30) million in Q1 2026 from $(0.98) million in Q1 2025.
- Discontinued operations contributed a net loss of $(4.37) million in Q1 2026.
- Cash and cash equivalents increased to $1.22 million as of March 31, 2026.
- Total equity increased to $4.29 million as of March 31, 2026, from $2.37 million.
Price Impact
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