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Wrap Technologies Inc Financials

WRAP
Source SEC Filings (10-K/10-Q) Updated Mar 31, 2026 Currency USD FYE December

This page shows Wrap Technologies Inc (WRAP) financial statements, including the income statement, balance sheet, cash flow statement, and key financial ratios. View 9 years of annual fundamentals and quarterly data, with year-over-year growth rates and compound annual growth rates (CAGR). All figures are derived from SEC filings (10-K and 10-Q reports).

Rhea AI WRAP FY2025

Liquidity was rebuilt through financing while operating losses remained far larger than revenue, keeping the model dependent on outside capital.

Between FY2024 and FY2025, balance-sheet repair was real: liabilities shrank to $3.9M from $14.9M. Yet the cleaner posture reflects external financing more than self-funding, because financing inflow of $10.5M nearly matched operating cash burn of $10.3M.

The key operating pattern is decent product-level margin paired with an overhead-heavy cost base. Gross margin reached 57.8% on just $4.7M of revenue, while SG&A alone was $16.1M, so losses are being driven much more by scale mismatch than by weak gross profitability.

Working capital still ties up meaningful cash for such a small sales base: inventory ended FY2025 at $5.0M against annual revenue of $4.7M. Meanwhile, share count kept rising from 47.1M to 51.7M across the last year, reinforcing that the business has been financed by new capital rather than by internally generated cash.

[ NOT FINANCIAL ADVICE ]

Financial Health Signals

Profitability Growth Leverage Liquidity Cash Flow Returns 35 / 100
Financial Profile 35/100

Based on FY2025 annual data, averaged across the last 3 years for performance metrics (most-recent year weighted highest). How this score is calculated →

Health score ≠ stock price. This rates the quality of Wrap Technologies Inc's business: profitability, growth, balance sheet strength. It doesn't tell you whether the stock is a good buy at today's price. Not financial advice. Use it alongside valuation analysis and your own research.

Profitability
0

Wrap Technologies Inc has an operating margin of -288.6%, meaning the company retains $-289 of operating profit per $100 of revenue. This below-average margin results in a low score of 0/100, suggesting thin profitability after operating expenses. This is up from -345.4% the prior year.

Growth
12

Wrap Technologies Inc's revenue grew a modest 3.7% year-over-year to $4.7M. This slow but positive growth earns a score of 12/100.

Leverage
95

Wrap Technologies Inc carries a low D/E ratio of 0.34, meaning only $0.34 of long-term debt for every $1 of shareholders' equity. This conservative leverage earns a score of 95/100, indicating a strong balance sheet with room for future borrowing.

Liquidity
100

With a current ratio of 6.29, Wrap Technologies Inc holds $6.29 in current assets for every $1 of short-term obligations. This comfortable liquidity earns a score of 100/100.

Cash Flow
0

While Wrap Technologies Inc generated -$10.3M in operating cash flow, capex of $100K consumed most of it, leaving -$10.4M in free cash flow. This results in a low score of 0/100, reflecting heavy capital investment rather than weak cash generation.

Returns
0

Wrap Technologies Inc generates a -90.0% ROE, indicating limited profit relative to shareholders' investment. This results in a returns score of 0/100. This is up from -2350.0% the prior year.

Piotroski F-Score Neutral
4/9

Wrap Technologies Inc passes 4 of 9 financial strength tests. 1 of 4 profitability signals pass, 1 of 3 leverage/liquidity signals pass, both operating efficiency signals pass.

Earnings Quality Low Quality
1.00x

For every $1 of reported earnings, Wrap Technologies Inc generates $1.00 in operating cash flow (-$10.3M OCF vs -$10.3M net income). This low ratio suggests earnings are primarily driven by accounting accruals rather than cash generation, which may not be sustainable.

Key Financial Metrics

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Earnings & Revenue

Revenue
$4.7M
YoY+3.7%
5Y CAGR+3.4%

Wrap Technologies Inc generated $4.7M in revenue in fiscal year 2025. This represents an increase of 3.7% from the prior year.

EBITDA
-$12.9M
YoY+12.5%

Wrap Technologies Inc's EBITDA was -$12.9M in fiscal year 2025, measuring earnings before interest, taxes, depreciation, and amortization. This represents an increase of 12.5% from the prior year.

Net Income
-$10.3M
YoY-75.9%

Wrap Technologies Inc reported -$10.3M in net income in fiscal year 2025. This represents a decrease of 75.9% from the prior year.

EPS (Diluted)
$-0.22
YoY-37.5%

Wrap Technologies Inc earned $-0.22 per diluted share (EPS) in fiscal year 2025. This represents a decrease of 37.5% from the prior year.

Cash & Balance Sheet

Free Cash Flow
-$10.4M
YoY-27.7%

Wrap Technologies Inc generated -$10.4M in free cash flow in fiscal year 2025, representing cash available after capex. This represents a decrease of 27.7% from the prior year.

Cash & Debt
$3.5M
YoY-3.9%
5Y CAGR-26.9%

Wrap Technologies Inc held $3.5M in cash against $0 in long-term debt as of fiscal year 2025.

Dividends Per Share
N/A
Shares Outstanding
52M
YoY+9.8%
5Y CAGR+6.6%

Wrap Technologies Inc had 52M shares outstanding in fiscal year 2025. This represents an increase of 9.8% from the prior year.

Margins & Returns

Gross Margin
57.8%
YoY+3.1pp
5Y CAGR+23.7pp

Wrap Technologies Inc's gross margin was 57.8% in fiscal year 2025, indicating the percentage of revenue retained after direct costs. This is up 3.1 percentage points from the prior year.

Operating Margin
-288.6%
YoY+56.8pp
5Y CAGR+42.9pp

Wrap Technologies Inc's operating margin was -288.6% in fiscal year 2025, reflecting core business profitability. This is up 56.8 percentage points from the prior year.

Net Margin
-221.2%
YoY-90.9pp
5Y CAGR+97.8pp

Wrap Technologies Inc's net profit margin was -221.2% in fiscal year 2025, showing the share of revenue converted to profit. This is down 90.9 percentage points from the prior year.

Return on Equity
-90.0%
YoY+2260.1pp
5Y CAGR-62.8pp

Wrap Technologies Inc's ROE was -90.0% in fiscal year 2025, measuring profit generated per dollar of shareholder equity. This is up 2260.1 percentage points from the prior year.

Capital Allocation

R&D Spending
$56K
YoY-97.6%
5Y CAGR-54.2%

Wrap Technologies Inc invested $56K in research and development in fiscal year 2025. This represents a decrease of 97.6% from the prior year.

Share Buybacks
N/A
Capital Expenditures
$100K
YoY+733.3%
5Y CAGR-16.7%

Wrap Technologies Inc invested $100K in capex in fiscal year 2025, funding long-term assets and infrastructure. This represents an increase of 733.3% from the prior year.

WRAP Income Statement

Metric Q1'26 Q4'25 Q3'25 Q2'25 Q1'25 Q4'24 Q3'24 Q2'24
Revenue $1.1M-20.9% $1.4M-5.8% $1.5M+47.3% $1.0M+32.3% $765K-11.6% $865K+45.9% $593K-62.3% $1.6M
Cost of Revenue $420K-37.3% $670K+10.2% $608K+15.8% $525K+208.8% $170K-62.6% $455K+27.1% $358K-39.2% $589K
Gross Profit $691K-5.9% $734K-16.9% $883K+81.3% $487K-18.2% $595K+45.1% $410K+74.5% $235K-76.1% $984K
R&D Expenses $105K+116.1% -$651K-489.8% $167K+3.1% $162K-57.1% $378K-1.3% $383K-27.3% $527K-22.4% $679K
SG&A Expenses $5.4M+0.5% $5.3M+53.3% $3.5M+9.3% $3.2M-23.1% $4.1M-11.2% $4.7M+39.7% $3.3M-4.1% $3.5M
Operating Income -$4.8M-20.9% -$3.9M-42.9% -$2.8M+3.3% -$2.9M+27.2% -$3.9M+15.3% -$4.6M-27.7% -$3.6M-14.4% -$3.2M
Interest Expense N/A N/A N/A N/A N/A N/A N/A N/A
Income Tax N/A N/A N/A N/A N/A N/A N/A N/A
Net Income -$4.5M-15.1% -$3.9M-42.2% -$2.8M+25.6% -$3.7M-3519.3% $109K+101.4% -$7.6M-481.8% $2.0M+616.9% -$385K
EPS (Diluted) $-0.09 N/A $-0.06+14.3% $-0.07 $0.00 N/A $0.04+300.0% $-0.02

WRAP Balance Sheet

Metric Q1'26 Q4'25 Q3'25 Q2'25 Q1'25 Q4'24 Q3'24 Q2'24
Total Assets $16.7M+8.5% $15.4M-15.5% $18.2M+16.8% $15.6M-13.1% $18.0M+18.9% $15.1M-19.5% $18.8M-13.7% $21.8M
Current Assets $14.5M+26.7% $11.4M-15.9% $13.6M+20.0% $11.3M-16.1% $13.5M+28.9% $10.5M-14.5% $12.2M-18.4% $15.0M
Cash & Equivalents $7.3M+109.5% $3.5M-41.9% $6.0M+42.8% $4.2M-32.3% $6.2M+70.9% $3.6M-25.8% $4.9M+135.8% $2.1M
Inventory $4.6M-6.6% $5.0M-9.0% $5.5M-7.5% $5.9M-2.9% $6.1M-1.4% $6.2M-2.2% $6.3M-2.7% $6.5M
Accounts Receivable $2.0M-28.6% $2.8M+53.0% $1.8M+101.1% $906K+37.3% $660K+28.7% $513K-34.1% $778K-76.1% $3.3M
Goodwill N/A $0 N/A N/A N/A $0-100.0% $1.6M+1.8% $1.6M
Total Liabilities $2.3M-41.8% $3.9M-4.5% $4.1M+6.8% $3.9M-75.0% $15.4M+3.6% $14.9M+20.1% $12.4M-30.9% $17.9M
Current Liabilities $1.9M+5.0% $1.8M-4.7% $1.9M-4.7% $2.0M-85.5% $13.8M+4.7% $13.2M+23.9% $10.7M-34.0% $16.2M
Long-Term Debt N/A N/A N/A N/A N/A N/A N/A N/A
Total Equity $14.4M+25.6% $11.5M-18.7% $14.1M+20.1% $11.8M+358.2% $2.6M+926.8% $250K-96.1% $6.4M+66.8% $3.8M
Retained Earnings -$121.1M-4.1% -$116.3M-3.9% -$112.0M-2.7% -$109.0M-3.7% -$105.1M-0.1% -$105.1M-8.0% -$97.3M+1.7% -$99.0M

WRAP Cash Flow Statement

Metric Q1'26 Q4'25 Q3'25 Q2'25 Q1'25 Q4'24 Q3'24 Q2'24
Operating Cash Flow -$1.2M+53.2% -$2.7M-1.9% -$2.6M-34.8% -$1.9M+36.8% -$3.1M-154.5% -$1.2M-465.5% $330K+109.4% -$3.5M
Capital Expenditures $5K-28.6% $7K-91.8% $85K+1316.7% $6K+200.0% $2K+300.0% -$1K $0+100.0% -$1K
Free Cash Flow -$1.3M+53.2% -$2.7M+1.0% -$2.7M-38.7% -$1.9M+36.6% -$3.1M-154.4% -$1.2M-465.8% $330K+109.4% -$3.5M
Investing Cash Flow -$58K+58.0% -$138K-43.8% -$96K-81.1% -$53K+47.0% -$100K-96.1% -$51K-102.1% $2.5M+0.1% $2.5M
Financing Cash Flow $5.1M+1566.7% $306K-93.2% $4.5M $0-100.0% $5.7M $0 $0+100.0% -$60K
Dividends Paid $249K $0 N/A N/A N/A $0-100.0% $321K-35.8% $500K
Share Buybacks N/A N/A N/A N/A N/A N/A N/A N/A

WRAP Financial Ratios

Metric Q1'26 Q4'25 Q3'25 Q2'25 Q1'25 Q4'24 Q3'24 Q2'24
Gross Margin 62.2%+9.9pp 52.3%-6.9pp 59.2%+11.1pp 48.1%-29.7pp 77.8%+30.4pp 47.4%+7.8pp 39.6%-22.9pp 62.6%
Operating Margin -429.3%-148.2pp -281.1%-95.9pp -185.2%+97.0pp -282.2%+230.5pp -512.7%+22.8pp -535.5%+76.0pp -611.5%-409.9pp -201.5%
Net Margin -408.6%-127.7pp -280.9%-94.9pp -186.0%+182.3pp -368.3%-382.5pp 14.2%+892.5pp -878.3%-1213.9pp 335.6%+360.1pp -24.5%
Return on Equity -31.4%+2.9pp -34.3%-14.7pp -19.6%+12.1pp -31.7%-35.9pp 4.3%+3043.1pp -3038.8%-3069.9pp 31.1%+41.1pp -10.0%
Return on Assets -27.2%-1.6pp -25.6%-10.4pp -15.2%+8.7pp -23.9%-24.5pp 0.6%+50.8pp -50.2%-60.8pp 10.6%+12.4pp -1.8%
Current Ratio 7.59+1.3 6.29-0.8 7.12+1.5 5.65+4.7 0.98+0.2 0.79-0.4 1.15+0.2 0.93
Debt-to-Equity 0.16-0.2 0.34+0.1 0.29-0.0 0.33-5.7 6.00-53.5 59.48+57.6 1.93-2.7 4.67
FCF Margin -112.6%+77.7pp -190.3%-9.2pp -181.1%+11.2pp -192.3%+209.1pp -401.4%-261.9pp -139.5%-195.2pp 55.6%+279.8pp -224.2%

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Frequently Asked Questions

Wrap Technologies Inc (WRAP) reported $4.7M in total revenue for fiscal year 2025. This represents a 3.7% change compared to the previous fiscal year. Revenue measures the total income earned from the company's primary business operations before any expenses are deducted.

Wrap Technologies Inc (WRAP) revenue grew by 3.7% year-over-year, from $4.5M to $4.7M in fiscal year 2025.

No, Wrap Technologies Inc (WRAP) reported a net income of -$10.3M in fiscal year 2025, with a net profit margin of -221.2%.

Wrap Technologies Inc (WRAP) reported diluted earnings per share of $-0.22 for fiscal year 2025. This represents a -37.5% change compared to the previous fiscal year. EPS represents the portion of a company's net income allocated to each outstanding share of common stock and is widely used to evaluate profitability on a per-share basis.

Wrap Technologies Inc (WRAP) had EBITDA of -$12.9M in fiscal year 2025, measuring earnings before interest, taxes, depreciation, and amortization.

Wrap Technologies Inc (WRAP) had a gross margin of 57.8% in fiscal year 2025, indicating the percentage of revenue retained after direct costs of goods sold.

Wrap Technologies Inc (WRAP) had an operating margin of -288.6% in fiscal year 2025, reflecting the profitability of core business operations before interest and taxes.

Wrap Technologies Inc (WRAP) had a net profit margin of -221.2% in fiscal year 2025, representing the share of revenue converted into profit after all expenses.

Wrap Technologies Inc (WRAP) has a return on equity of -90.0% for fiscal year 2025, measuring how efficiently the company generates profit from shareholder equity.

Wrap Technologies Inc (WRAP) generated -$10.4M in free cash flow during fiscal year 2025. This represents a -27.7% change compared to the previous fiscal year. Free cash flow represents the cash a company generates after accounting for capital expenditures, and is widely used to assess financial flexibility and shareholder value.

Wrap Technologies Inc (WRAP) generated -$10.3M in operating cash flow during fiscal year 2025, representing cash generated from core business activities.

Wrap Technologies Inc (WRAP) had $15.4M in total assets as of fiscal year 2025, including both current and long-term assets.

Wrap Technologies Inc (WRAP) invested $100K in capital expenditures during fiscal year 2025, funding long-term assets and infrastructure.

Wrap Technologies Inc (WRAP) invested $56K in research and development during fiscal year 2025.

Wrap Technologies Inc (WRAP) had 52M shares outstanding as of fiscal year 2025.

Wrap Technologies Inc (WRAP) had a current ratio of 6.29 as of fiscal year 2025, which is generally considered healthy.

Wrap Technologies Inc (WRAP) had a debt-to-equity ratio of 0.34 as of fiscal year 2025, measuring the company's financial leverage by comparing total debt to shareholder equity.

Wrap Technologies Inc (WRAP) had a return on assets of -67.0% for fiscal year 2025, measuring how efficiently the company uses its assets to generate profit.

Based on fiscal year 2025 data, Wrap Technologies Inc (WRAP) had $3.5M in cash against an annual operating cash burn of $10.3M. This gives an estimated cash runway of approximately 4 months at the current burn rate. Cash runway measures how long a company can continue operating before running out of cash, assuming no additional funding.

Wrap Technologies Inc (WRAP) has a Piotroski F-Score of 4 out of 9, indicating neutral financial health. The F-Score evaluates nine binary signals across profitability (positive ROA, positive cash flow, improving ROA, earnings quality), leverage (decreasing debt, improving liquidity, no share dilution), and operating efficiency (improving gross margin, improving asset turnover). Scores of 7 to 9 indicate strong and improving fundamentals. Learn more in our complete guide to financial health indicators.

Wrap Technologies Inc (WRAP) has an earnings quality ratio of 1.00x, considered low quality (accrual-driven). This ratio compares operating cash flow to net income. A ratio above 1.0x means the company generates more cash than its reported earnings, indicating sustainable, cash-backed profits. Ratios below 1.0x suggest earnings rely on accounting accruals rather than actual cash generation. Learn more in our complete guide to financial health indicators.

Wrap Technologies Inc (WRAP) scores 35 out of 100 on our Financial Profile, indicating weak overall financial health. This composite score evaluates six dimensions: profitability (operating margin), revenue growth, leverage (debt-to-equity), liquidity (current ratio), cash flow quality (free cash flow margin), and shareholder returns (return on equity). Each dimension is normalized against standard financial benchmarks. Learn more in our complete guide to financial health indicators.

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