Gatekeeper Reports $31.8M Revenue in Fiscal 2025
Rhea-AI Summary
Gatekeeper (OTC: GKPRF) reported audited results for fiscal year ended Aug 31, 2025 showing $31.8M revenue versus $37.8M prior year and a $3.0M comprehensive loss. Gross profit was $13.1M (41% margin) and operating expenses rose to $16.9M. Management noted regular business grew ~10% excluding a prior-year $9M transit contract.
The company announced $43.8M of new contracts/b) subsequent to year-end, secured
Positive
- New contracts totaling $43.8M announced post-year-end
- Completed $25M in two bought-deal financings in 2025
- Working capital of $23.6M and cash of $14.8M at Aug 31, 2025
- Installed ~8,000 MDCs in fiscal 2025; total ~65,000
- 4,000 MDC subscriptions to hosted services since Feb 2024 launch
Negative
- Revenue declined ~16% from $37.8M to $31.8M year-over-year
- Gross profit fell from $17.2M to $13.1M year-over-year
- Operating expenses increased ~30% to $16.9M, driving losses
- Fiscal 2025 resulted in a $3.0M comprehensive loss vs prior income
News Market Reaction – GKPRF
On the day this news was published, GKPRF declined 8.66%, reflecting a notable negative market reaction.
Data tracked by StockTitan Argus on the day of publication.
Abbotsford, British Columbia--(Newsfile Corp. - December 29, 2025) - Gatekeeper Systems Inc. (TSXV: GSI) (OTC Pink: GKPRF) ("Gatekeeper" or the "Company") a video and data solutions provider for public transportation and smart cities, reports its audited financial results for the fourth quarter and fiscal year ended August 31, 2025.
Fiscal 2025 and Recent Business Highlights:
- Revenue for the fiscal year ended August 31, 2025 was
$31.8 million , compared to$37.8 million in the prior fiscal year. As previously discussed, the prior year revenue included a large transit contract of$9 million in addition to the Company's regular business (see press release dated January 4, 2024). When excluding that large contract, the Company's regular business grew approximately10% for the fiscal year ended August 31, 2025. $43.8 million in new business contracts announced subsequent to August 31, 2025, including:$27 million transit video contract with New York MTA's Long Island Rail Road;$9.3 million school bus video contract with a student transportation provider; OEM contract with Alstom for transit video; and POC contract with L&T Technology Services for a freight rail project in the Middle East.- Gross profit for the fiscal year was
$13.1 million , compared to$17.2 million in the prior fiscal year. Gross margin as a percentage of revenue was41% compared to46% in the prior year. - Operating expenses for the fiscal year were
$16.9 million , compared to$13.0 million in the prior fiscal year. - Total comprehensive loss for the fiscal year was
$3.0 million , compared to income of$1.9 million in the prior fiscal year. - Approximately 8,000 Mobile Data Collectors (MDCs) installed for customers during the fiscal year, increasing MDC installations to approximately 65,000.
- Approximately 4,000 MDC subscriptions for video management and hosted services since the launch of the Company's data center in February 2024.
- Completed two bought-deal financings generating aggregate gross proceeds of
$25 million , including$11.5 million in July 2025 and$13.5 million in November 2025. - Appointed security industry executive, Hamish Dobson, to board of directors.
- At August 31, 2025, the Company had working capital of
$23.6 million , including cash of$14.8 million , and subsequently completed a financing generating gross proceeds of$13.5 million . The Company also has a$6 million Credit Facility plus a$7.5 million Letter of Credit Facility with TD Bank, both of which were undrawn at August 31, 2025.
Fiscal Q4 2025 Financial Highlights
- Revenue for the quarter ended August 31, 2025 was
$11.1 million compared to$11.7 million in the prior year. - Gross margin as a percentage of revenue for the quarter was
36% compared to40% in the prior year. - Total comprehensive loss for the quarter was
$2.2 million compared to loss of$1.2 million in the prior year.
Management Commentary
Doug Dyment, President and CEO of Gatekeeper, commented, "2025 has been a transformational year for Gatekeeper. Earlier this year, against the backdrop of increasing regulatory mandates for video in public transit and school buses, we made a strategic decision to increase investment in the business to build the necessary foundation pillars to allow the Company to pursue larger customers and larger contracts. We expanded the sales team and attended 66 industry trade shows this year. We increased sales focus on monthly-recurring hosted services which delivered 4,000 MDCs connected to the data center at August 31st, and continues to grow. We invested in engineering, cybersecurity, legal and project management, which were paramount to our ability to win our largest-ever transit contract with the largest transit agency in North America, and our largest-ever school bus contract with a leading student transportation provider.
"In the transit segment, we announced several new transit customers this year, including New York MTA's Long Island Rail Road, the Toronto Transit Commission, Alstom, a provincial transportation agency in Ontario, and a transit agency in Oregon. We continued to expand business with our existing transit customers, including SEPTA, where we extended our services agreement into 2026. We are also now pursuing global growth opportunities and have announced a POC contract with L&T Technology Services for a freight rail project in the Middle East.
"In the school bus segment, we delivered several meaningful contract wins, including full-fleet installations with Live View Wireless subscriptions. School districts are embracing our data center offering, which simplifies video analysis and storage requirements. We are also working closely with a student transportation provider which significantly expands our reach. Through that relationship we announced our largest-ever school bus video contract for a new school district customer in California. We also advanced our factory-install program with several OEM bus manufacturers.
"Gatekeeper's business strategy has attracted significant interest from the investment community. This calendar year, Gatekeeper secured
Selected Financial Information
| For the years ended | |||||||||||||||||
| August 31, 2025 | August 31, 2024 | August 31, 2023 | August 31, 2022 | ||||||||||||||
| Revenue | $ | 31,785,173 | $ | 37,810,957 | $ | 27,848,838 | $ | 20,031,288 | |||||||||
| Cost of Sales | $ | 18,682,392 | $ | 20,568,775 | $ | 15,305,444 | $ | 10,722,475 | |||||||||
| Gross Profit | $ | 13,102,781 | $ | 17,242,182 | $ | 12,543,394 | $ | 9,308,813 | |||||||||
| Gross Margin Percentage | |||||||||||||||||
| Expenses | $ | 16,945,190 | $ | 13,047,639 | $ | 9,851,287 | $ | 8,244,400 | |||||||||
| Operating Income (Loss) | $ | (3,842,409 | ) | $ | 4,194,543 | $ | 2,692,107 | $ | 1,064,413 | ||||||||
| Comprehensive Income (Loss) | $ | (2,976,542 | ) | $ | 1,899,718 | $ | 2,887,078 | $ | 1,929,180 | ||||||||
| Earnings (Loss) per share — | |||||||||||||||||
| Basic | $ | (0.03 | ) | $ | 0.02 | $ | 0.03 | $ | 0.02 | ||||||||
| Diluted | $ | (0.03 | ) | $ | 0.02 | $ | 0.03 | $ | 0.02 | ||||||||
| Total Assets | $ | 38,516,834 | $ | 22,368,076 | $ | 19,609,579 | $ | 23,016,204 | |||||||||
| Total Non-Current Liabilities | $ | 411,778 | $ | 687,236 | $ | 561,851 | $ | 1,578,025 | |||||||||
| Total Liabilities | $ | 12,419,113 | $ | 4,205,999 | $ | 3,866,678 | $ | 10,470,109 | |||||||||
| Total Shareholders' Equity | $ | 26,097,721 | $ | 18,162,077 | $ | 15,742,901 | $ | 12,546,095 | |||||||||
Full details of the financial reports and operating results for the fourth quarter and fiscal year ended August 31, 2025, are described in the Company's audited consolidated financial statements with accompanying notes and related Management's Discussion and Analysis, available on SEDAR+ at www.sedarplus.ca.
About Gatekeeper Systems Inc.
Gatekeeper is a leading provider of video and data solutions for a safer transportation environment for children, passengers, and drivers on public transportation fleets. Gatekeeper has provided solutions to more than 60 transit agencies and 3,500 school districts throughout North America and has installed more than 65,000 Mobile Data Collectors for customers which record video and data daily from over 200,000 onboard devices. The Company's hosted software applications facilitate AI-assisted video analytics for incident management and storage. The Company's Platform-as-a-Service (PaaS) business model is centered around the Mobile Data Collectors, which are the cornerstone of its data company transformation. www.gatekeeper-systems.com
Contact Information:
Douglas Dyment
President & CEO
ddyment@gatekeeper-systems.com
(604) 864-6187
Cautionary Note Regarding Forward-Looking Statements: Certain statements made in this press release that are not historical facts are forward-looking statements and are subject to important risks, uncertainties and assumptions, both general and specific, which give rise to the possibility that actual results or events could differ materially from our expectations expressed in or implied by such forward-looking statements. As a result, we cannot guarantee that any forward-looking statement will materialize, and readers are cautioned not to place undue reliance on these forward-looking statements. For more exhaustive information on these risks and uncertainties, the reader should refer to the risk factors described in the management's discussion and analysis for the year ended August 31, 2025. The forward-looking statements contained in this press release represent our expectations as of the date hereof. We disclaim any intention and assume no obligation to update or revise any forward-looking statements. Forward-looking statements are presented for the purpose of providing information about management's current expectations and plans and allowing investors and others to obtain a better understanding of our anticipated operating environment. Readers are cautioned that such information may not be appropriate for other purposes. The Company undertakes no obligations to update or revise such statements to reflect new circumstances or unanticipated events as they occur, unless required by applicable law.
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
To view the source version of this press release, please visit https://www.newsfilecorp.com/release/279167
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