The company's profitability remains under pressure, evidenced by a 2025Q4 operating margin of -19.9% and a gross margin that has struggled to exceed 13.7%.
| Sales/Revenue | 35.23M | 36.35M | 36.28M | 33.97M | 34.67M | 37.65M | 38.57M | 37.34M | 34.48M |
| Revenue Growth % | -3.07% | 0.18% | 6.82% | -2.03% | -7.92% | -2.39% | 3.28% | 8.32% | - |
| Cost of Goods Sold | 29.95M | 30.09M | 34.76M | 33.24M | 32.35M | 31.54M | 34.08M | 31.65M | 29.73M |
| COGS % of Revenue | 85% | 82.78% | 95.8% | 97.88% | 93.3% | 83.78% | 88.36% | 84.75% | 86.24% |
| Gross Profit | 5.29M | 6.26M | 1.53M | 1.23M | 2.81M | 6.11M | 4.49M | 5.69M | 4.74M |
| Gross Margin % | 15% | 17.22% | 4.2% | 3.63% | 8.09% | 16.22% | 11.64% | 15.25% | 13.76% |
| Gross Profit Growth % | -15.53% | 310.32% | 23.66% | -56.05% | -54.05% | 36.04% | -21.16% | 20.06% | - |
| Operating Expenses | 11.16M | 12.98M | 30.83M | 13.19M | 6.51M | 8.4M | 4.6M | 4.49M | 3.15M |
| OpEx % of Revenue | 31.68% | 35.71% | 84.97% | 38.83% | 18.78% | 22.3% | 11.93% | 12.02% | 9.13% |
| Selling, General & Admin | 9.37M | 11.04M | 20.38M | 14.7M | 7.1M | 6.3M | 4.39M | 4.49M | 3.15M |
| SG&A % of Revenue | 26.59% | 30.37% | 56.17% | 43.27% | 20.49% | 16.73% | 11.37% | 12.02% | 9.13% |
| Research & Development | 837.72K | 591.23K | 169.51K | 99.95K | 0 | 0 | 0 | 0 | 0 |
| R&D % of Revenue | 2.38% | 1.63% | 0.47% | 0.29% | - | - | - | - | - |
| Other Operating Expenses | 957.2K | 1.35M | 10.28M | -1.61M | -594.39K | 2.1M | 212.83K | 0 | 0 |
| Operating Income | -5.88M | -6.72M | -29.3M | -16.83M | -3.7M | -2.12M | -110.98K | 1.21M | 1.59M |
| Operating Margin % | -16.68% | -18.49% | -80.77% | -49.54% | -10.68% | -5.64% | -0.29% | 3.23% | 4.63% |
| Operating Income Growth % | 12.57% | 77.06% | -74.15% | -354.31% | -74.49% | -1812.55% | -109.2% | -24.39% | - |
| EBITDA | -2.59M | -3.35M | -24.06M | -10.84M | 1.33M | 2.91M | 5.18M | 3.69M | 3.88M |
| EBITDA Margin % | -7.36% | -9.23% | -66.32% | -31.93% | 3.83% | 7.73% | 13.43% | 9.89% | 11.26% |
| EBITDA Growth % | 22.75% | 86.06% | -121.85% | -916.07% | -54.36% | -43.78% | 40.29% | -4.93% | - |
| D&A (Non-Cash Add-back) | 3.29M | 3.37M | 5.24M | 5.98M | 5.03M | 5.03M | 5.29M | 2.49M | 2.29M |
| EBIT | -5.88M | -6.5M | -28.54M | -17.33M | -5.24M | -2M | 1.04M | 942.21K | 1.59M |
| Net Interest Income | 471.37K | 337.6K | -653.37K | -1.14M | -984.84K | -898.75K | -886.47K | -6.63K | 0 |
| Interest Income | 471.37K | 337.6K | 0 | 0 | 0 | 0 | 0 | 763.61K | 621.97K |
| Interest Expense | 0 | 0 | 653.37K | 1.14M | 984.84K | 898.75K | 886.47K | 770.23K | 621.97K |
| Other Income/Expense | 584.8K | 712.61K | 113.58K | -1.65M | -2.56M | -776.87K | 259.53K | -1.03M | -109.8K |
| Pretax Income | -5.29M | -6.01M | -29.19M | -18.53M | -6.26M | -2.9M | 148.55K | 171.99K | 1.49M |
| Pretax Margin % | -15.02% | -16.53% | -80.45% | -54.57% | -18.07% | -7.7% | 0.39% | 0.46% | 4.31% |
| Income Tax | -6.39K | -125.92K | 434.32K | 132.21K | -732.87K | 242.84K | 88.47K | 95.15K | 205.36K |
| Effective Tax Rate % | 0.12% | 2.1% | -1.49% | -0.71% | 11.7% | -8.38% | 59.56% | 55.33% | 13.83% |
| Net Income | -6.66M | -5.86M | -29.57M | -18.56M | -5.48M | -3.13M | 54.03K | 73.72K | 1.27M |
| Net Margin % | -18.89% | -16.13% | -81.51% | -54.66% | -15.81% | -8.3% | 0.14% | 0.2% | 3.68% |
| Net Income Growth % | -13.52% | 80.17% | -59.29% | -238.65% | -75.36% | -5885.18% | -26.71% | -94.19% | - |
| Net Income (Continuing) | -5.29M | -5.88M | -29.62M | -18.6M | -5.53M | -3.14M | 60.08K | 76.83K | 1.28M |
| Discontinued Operations | -1.36M | 38.72K | 34.14K | -62.43K | 39.7K | 0 | 0 | 0 | 0 |
| Minority Interest | -46.42K | -60.56K | -79.05K | -61.33K | 39.94K | 49.66K | 65.89K | 59.85K | 56.74K |
| EPS (Diluted) | -0.30 | -0.53 | -4.53 | -14.97 | -12.50 | -21.78 | 0.12 | 0.17 | 2.93 |
| EPS Growth % | 43.4% | 88.3% | 69.74% | -19.76% | 42.61% | -18250% | -29.41% | -94.2% | - |
| EPS (Basic) | -0.30 | -0.53 | -4.53 | -14.97 | -12.50 | -21.78 | 0.12 | 0.17 | 2.93 |
| Diluted Shares Outstanding | 21.92M | 11.16M | 6.53M | 1.24M | 438.43K | 143.53K | 433.91K | 433.91K | 433.91K |
| Basic Shares Outstanding | 21.92M | 11.16M | 6.53M | 1.24M | 438.43K | 143.53K | 433.91K | 433.91K | 433.91K |
| Dividend Payout Ratio | - | - | - | - | - | - | - | - | - |
Persistent Negative Operating Margins
As indicated by the most recent quarterly filings, GFAI experienced a 9.3% year-over-year revenue decline in 2025Q4, signaling that the company's core cash-handling services are struggling to maintain volume in an increasingly digital Thai economy, which warrants significant caution regarding the durability of its top-line growth.
The consistent inability to achieve sustained revenue growth suggests that the company's legacy cash-in-transit business is facing structural displacement. Investors should monitor whether the pivot toward AI and robotics can offset the erosion of the traditional service base, as current figures show no evidence of a successful transition.
Based on historical income statements, GFAI's gross margin has fluctuated significantly, reaching only 13.7% in 2025Q4, which highlights the high-cost nature of its armored logistics operations and the difficulty of achieving economies of scale in a labor-intensive, geographically concentrated market like Thailand.
The thin gross margins leave little room for error in managing variable costs such as fuel and security personnel. The failure to expand these margins over the last ten quarters suggests that the company lacks the pricing power necessary to pass on inflationary pressures to its banking and retail clients.
According to reported financial data, GFAI continues to struggle with operating leverage, as evidenced by a -19.9% operating margin in 2025Q4, indicating that administrative overhead and strategic investments are currently outpacing the gross profit generated by the company's core logistics and cash management service offerings.
The persistent gap between gross profit and operating expenses suggests that the company's current cost structure is misaligned with its revenue scale. Without a significant reduction in SG&A or a sharp increase in high-margin service revenue, the company appears unlikely to reach operational break-even in the near term.
Financial statements reveal that GFAI's net losses are being exacerbated by stock-based compensation, which reached $1.2M in 2025Q4, further complicating the assessment of underlying operational performance and suggesting that shareholders are bearing the cost of a transformation that has yet to yield positive net income.
The reliance on stock-based compensation during a period of negative operating cash flow warrants further investigation into management's alignment with long-term shareholder value. The lack of profitability, combined with these non-cash expenses, suggests that the reported EPS figures may not fully capture the true economic cost of operations.
While GFAI maintains a relatively clean balance sheet with minimal debt, the company's consistent net losses, including a $4.4M deficit in 2025Q4, suggest that its cash reserves are being depleted to fund ongoing operations, raising questions about the long-term viability of its current business model.
Short-term liquidity may appear adequate, but the trend of burning cash to support a loss-making enterprise is unsustainable. Investors should consider whether the company's cash position is a strategic asset for growth or merely a temporary buffer against the inevitable decline of its legacy cash-handling business.
Quick answers to the most common questions about buying GFAI stock.
For fiscal year 2025, Guardforce AI Co., Limited (GFAI) reported total revenue of $35.2M. This represents a 2.2% increase compared to $34.5M in 2017.
Guardforce AI Co., Limited (GFAI) reported a net loss of $6.7M for the fiscal year ending 2025.
Guardforce AI Co., Limited (GFAI) reported an operating income of $-5.9M, resulting in an operating profit margin of -16.7%. This margin reflects the operational efficiency of the business before interest and taxes.
Guardforce AI Co., Limited (GFAI) generated $5.3M in gross profit for the year, representing a gross profit margin of 15.0%. This demonstrates the company's core pricing power and production efficiency.