Cloudastructure, Inc. Announces Up to $5 Million Share Repurchase Program to Enhance Shareholder Value

Rhea-AI Summary

Cloudastructure (Nasdaq: CSAI) announced on October 16, 2025 a Board‑authorized share repurchase program to buy up to $5 million of common stock in the open market under applicable laws, including Rule 10b‑18.

Repurchases will depend on capital needs, market conditions, share price and other corporate considerations and may be suspended or discontinued at any time. Management cited a strong balance sheet and that the company has more than tripled its full‑year 2024 signed contract total in the first nine months of 2025, noting expanding customer demand for cloud‑native AI security solutions.

Positive

• Repurchase authorization of up to $5 million
• Signed contracts >3x full‑year 2024 through first nine months of 2025
• Board signals confidence in long‑term outlook

Negative

• Repurchases may be suspended or discontinued at any time
• Timing and size of repurchases uncertain and dependent on conditions

Insights

Capital Allocation Strategist

Share buyback signals board confidence and returns capital while maintaining flexibility amid rapid sales growth.

Cloudastructure authorized a program to repurchase up to $5 million of common stock on Oct. 16, 2025. The program runs in the open market and may be suspended at management's discretion, tying execution to capital needs, market conditions, and share price under Rule 10b-18 compliance.

The move links directly to the reported operational strength: the company cites triple-digit sales growth and having more than tripled full-year 2024 signed contract totals in the first nine months of 2025. A repurchase of this size relative to disclosed facts acts as a capital-allocation tool to return excess cash and signal confidence without committing to dividends or long-term spend.

Key dependencies and risks include the company's ongoing capital requirements and the conditional nature of repurchases. Management may halt buys to preserve liquidity or fund growth initiatives, as the release explicitly states. Monitor quarterly liquidity disclosures and any updates to the size or timing of repurchases over the next several quarters for material changes.

Action Underscores Board Confidence Following Triple-Digit Sales Growth and Expanding Market Demand for AI Security Solutions

PALO ALTO, CA, Oct. 16, 2025 (GLOBE NEWSWIRE) -- Cloudastructure, Inc. (Nasdaq: CSAI) (“we,” “us,” “our,” “Cloudastructure” or the “Company”), a recognized leader in AI Surveillance and Remote Guarding, today announced that its Board of Directors (the “Board”) authorized a share repurchase program under which the Company may repurchase up to $5 million of its outstanding shares of common stock in the open market, in accordance with all applicable securities laws and regulations, including Rule 10b-18 of the Securities Exchange Act of 1934, as amended. The Company’s decision to repurchase its shares, as well as the timing of such repurchases, will depend on a variety of factors that include ongoing assessments of the Company’s capital needs, market conditions and the price of the Company’s common stock, and other corporate considerations, as determined by management. The repurchase program may be suspended or discontinued at any time.

“The Board’s approval of this share repurchase program reflects its confidence in the Company’s long-term outlook and our commitment to creating sustained value for shareholders,” commented James McCormick, Chief Executive Officer. “Backed by a strong balance sheet and record-breaking sales performance—having more than tripled our full-year 2024 signed contract total in just the first nine months of 2025—we believe this program gives us the flexibility to act opportunistically in today’s market environment. Equally encouraging is the rapid expansion of our customer base, which reflects the growing market demand for intelligent, cloud-native security solutions.”

“We remain firmly focused on executing our core growth strategy, which includes advancing product innovation, expanding our customer base, and driving operational efficiency. The outlook for our business is bright, and we are well positioned to meet the increasing demand for intelligent, cloud-native security solutions. We view this repurchase program as a strategic and balanced use of capital that aligns with both our near-term goals and long-term vision.”

ABOUT CLOUDASTRUCTURE

Headquartered in Palo Alto, California, Cloudastructure’s advanced award-winning security platform utilizes a scalable cloud-based architecture that features cloud video surveillance with proprietary, state-of-the-art AI/ML analytics, and a seamless remote guarding solution. The combination enables enterprise businesses to achieve proactive, end-to-end security, and pairs that platform with an attractive value proposition that eschews proprietary hardware and offers contract-free, month-to-month pricing and unlimited 24/7 support. With Cloudastructure, companies can achieve unparalleled situational awareness in real time and thereby stop crime as it is happening, while simultaneously achieving up to a 75% lower Total Cost of Ownership than other systems. For more information, visit https://www.cloudastructure.com/.

Forward-Looking Statements

Certain statements in this press release may be considered forward-looking, such as statements containing estimates, projections, and other forward-looking information. Forward-looking statements are typically identified by words and phrases such as “anticipate,” “estimate,” “believe,” “continue,” “could,” “intend,” “may,” “plan,” “potential,” “predict,” “seek,” “should,” “will,” “would,” “expect,” “objective,” “projection,” “forecast,” “goal,” “guidance,” “outlook,” “effort,” “target” or the negative of such words and other comparable terminology. However, the absence of these words does not mean that a statement is not forward-looking. Any forward-looking statement expressing an expectation or belief as to future events is expressed in good faith and believed to be reasonable at the time such forward-looking statement is made. However, these statements are not guarantees of future events and involve risks, uncertainties, and other factors beyond our control. Therefore, we caution you against relying on any of these forward-looking statements. Factors that could cause or contribute to such differences include the risks and uncertainties discussed in the reports that the Company has filed with the SEC, such as its Annual Report on Form 10-K. Actual outcomes and results may differ materially from what is expressed in any forward-looking statement. Except as required by applicable law, including U.S. federal securities laws, we do not intend to update any of the forward-looking statements to conform them to actual results or revised expectations.

Media Contact:
Kathleen Hannon
Sr. Communications Director
Cloudastructure, Inc.
Kathleen@cloudastructure.com
(704) 574-3732

Investor Contact:
Crescendo Communications, LLC
212-671-1020
CSAI@crescendo-ir.com

FAQ

What did Cloudastructure (CSAI) announce on October 16, 2025?

The company announced a Board‑authorized share repurchase program to buy up to $5 million of common stock.

How large is the Cloudastructure (CSAI) buyback program and under what rules will it operate?

The buyback is up to $5 million and will be executed in the open market in accordance with applicable laws, including Rule 10b‑18.

Does Cloudastructure (CSAI) guarantee repurchases will occur under the $5 million program?

No; the company said repurchases depend on capital needs, market conditions, share price and may be suspended or discontinued.

What operational performance did Cloudastructure (CSAI) cite alongside the buyback on October 16, 2025?

The company said it more than tripled its full‑year 2024 signed contract total in the first nine months of 2025.

How might the CSAI repurchase program affect shareholders in the near term?

The company views the program as a strategic use of capital to potentially enhance shareholder value, subject to timing and execution.

Can Cloudastructure (CSAI) stop the repurchase program once started?

Yes; the company stated the repurchase program may be suspended or discontinued at any time.