Gorilla Technology Converts Growth Into Cash: Q1 Revenue Up 55%, Operating Cash Flow Turns Positive & Full Year Guidance Raised
Rhea-AI Summary
Gorilla Technology (NASDAQ:GRRR) reported Q1 2026 revenue of $28.2 million, up about 55% year on year. Operating cash flow improved to $6.6 million from a $10.7 million outflow, and cash rose year on year to $98.4 million. IFRS operating loss was $41.1 million, mainly from $20.9 million stock-based compensation and $18.9 million FX losses. Full-year 2026 revenue guidance was raised to $160–$200 million.
Positive
- Revenue up 55% year on year to $28.2 million
- Operating cash flow $6.6 million vs. $(10.7) million year on year
- Cash and equivalents $98.4 million vs. $20.8 million year on year
- Total debt approximately $13.2 million at March 31, 2026
- Full-year 2026 revenue guidance increased to $160–$200 million
- Significant cash collected and guarantees released on Egypt project
Negative
- IFRS operating loss widened to $41.1 million from $4.2 million
- Net loss $37.0 million vs. $4.6 million year on year
- Adjusted EBITDA loss $8.3 million vs. $5.2 million profit prior year
- Foreign currency exchange losses $18.9 million in Q1 2026
- Stock-based compensation expense $20.9 million in the quarter
- Total equity declined to $175.4 million from $196.1 million QoQ
News Market Reaction – GRRR
On the day this news was published, GRRR declined 0.79%, reflecting a mild negative market reaction. Argus tracked a peak move of +5.4% during that session. Argus tracked a trough of -13.7% from its starting point during tracking. Our momentum scanner triggered 29 alerts that day, indicating elevated trading interest and price volatility. This price movement removed approximately $4M from the company's valuation, bringing the market cap to $499.98M at that time.
Data tracked by StockTitan Argus on the day of publication.
Key Figures
Historical Context
| Date | Event | Sentiment | 24h Move | Catalyst |
|---|---|---|---|---|
| May 26 | AI capacity agreement | Positive | +12.9% | Announced strategic AI data centre capacity deal with NeutraDC across Asia. |
| May 26 | Earnings call notice | Neutral | +12.9% | Scheduled Q1 2026 financial results conference call for May 27, 2026. |
| May 05 | Thailand AI campus | Positive | -0.3% | Secured land for 200MW AI data centre campus targeting large future revenues. |
| Apr 29 | India AI expansion | Positive | +7.9% | Expanded India AI project with Yotta valued at about US$2.8 billion. |
| Apr 15 | Strategic investment | Positive | +5.3% | Increased strategic stake in Astrikos.AI to deepen infrastructure intelligence stack. |
24h Move is the share-price change in the day after each event; other market factors may also have contributed.
Recent AI infrastructure and partnership news has generally coincided with positive price reactions, with only one notable divergence on a large Thailand campus announcement.
Over the last few months, Gorilla has focused on scaling AI infrastructure and strategic partnerships. On Apr 15, 2026, it increased its stake in Astrikos.AI, followed by a US$2.8B India AI expansion with Yotta on Apr 29. A 200MW Thailand AI campus announcement on May 5 saw a slight price dip. More recently, AI capacity deals and the Q1 2026 results call on May 26 coincided with a 12.89% move, framing today’s strong quarter and raised 2026 guidance within a clear AI‑led growth strategy.
Key Terms
ifrs financial
ebitda financial
adjusted ebitda financial
stock-based compensation financial
foreign currency exchange losses financial
fair value measurement financial
monetary assets financial
gpu technical
AI-generated analysis. How Rhea-AI works. Not financial advice.
- Revenue grows
- Operating cash flow turns positive at US
- Cash balance improves
- Full year 2026 revenue guidance range increased to US
London, United Kingdom--(Newsfile Corp. - May 27, 2026) - Gorilla Technology Group Inc. (NASDAQ: GRRR) ("Gorilla" or the "Company"), a global solution provider in Security Intelligence, Network Intelligence, Business Intelligence, IoT technology and data centres, today announced financial results for the three months ended, 31st March 2026.
Key Highlights:
- Revenue growth drives momentum: Q1 2026 revenue was US
$28.2 million , compared with US$18.3 million in Q1 2025, representing growth of approximately55% year on year.
- Operating cash flow generation accelerates: Net cash from operating activities swung from US
$(10.7) million in Q1 2025 to US$6.6 million in Q1 2026, a US$17.3 million improvement.
- Strong cash position underpins future growth: Gorilla ended Q1 2026 with US
$98.4 million of cash and cash equivalents, compared with US$20.8 million at March 31, 2025, an increase of approximately373% year on year.
- Egypt project delivering meaningful cash flow: During Q1, Gorilla collected significant cash from its Egypt project following the successful completion of key project milestones. Advance payment guarantees associated with completed project stages have been released, and the project is now progressing towards final implementation.
- Reported IFRS loss distorted by non-cash and FX items: Reported IFRS operating loss was US
$41.1 million , driven primarily by US$20.9 million of non-cash stock-based compensation and US$18.9 million of foreign currency exchange losses. These items do not reflect the underlying cash generation of the business.
- Full year guidance increased: Gorilla has raised its guidance for full year 2026 revenue currently to be in the range of US
$160 million - US$200 million , reflecting improved visibility across contracted backlog, scheduled delivery milestones and near-term executable opportunities.
Statement from Jay Chandan, Chairman and CEO:
"Gorilla's Q1 2026 performance demonstrates the momentum and tangible results our strategy is creating. Our enterprise is delivering across all of its initiatives. We are building capacity, signing contracts, collecting cash and putting infrastructure on the ground.
"Our agreement with Yotta represents a meaningful milestone as we continue to deliver the next generation of AI infrastructure in the markets that matter to us most. We are already seeing real results from that partnership, and the opportunity represents a potential annualised revenue base of more than US
"In Thailand, we are advancing a 200MW AI data centre campus in Korat. We have paid the first installment on strategic land, we are working through the power and capacity plan and we are building the foundation for Gorilla's owned AI infrastructure platform in Southeast Asia. This will allow us to address the key bottleneck in the region that our clients have mentioned—the lack of adequate data centre space. Korat is only the beginning, as we continue to establish leadership in this region.
"We are also pursuing additional capacity across Malaysia, Indonesia, Taiwan, Philippines and the broader region, including Rayong and secured colocation facilities in Jakarta. When I look at the opportunities in front of us, I believe Gorilla has a credible path towards approximately 500MW of AI infrastructure capacity by the end of 2028. That is half a gigawatt of potential capacity, which is an exceptional output for any company, and when looking at our size, shows how we are punching far above our weight.
"Beyond the momentum we have around data centres, we are still building products, releasing new platforms, expanding our security and network intelligence capabilities and securing new opportunities in markets such as Taiwan. The infrastructure business gives us scale. The product business gives us differentiation. The combination gives us leverage.
This is why I am confident. We have signed demand. We have land. We have power plans. We have colocation capacity. We have GPU infrastructure. We have new products. We have new contracts. We have hired more than 100 employees & contractors to support delivery. The pieces are all in place. The ambition is obvious. The only question is execution and that is exactly what we are doing. The path is clear: execute against our backlog, deliver on customer commitments and translate our growing infrastructure platform into sustainable revenue, cash flow and long-term shareholder value."
Statement from Bruce Bower, Chief Financial Officer:
"Q1 2026 was an important quarter for Gorilla's cash conversion. Net cash from operating activities improved by US
"Gorilla ended Q1 2026 with US
"Reported IFRS profitability was affected by two major accounting items: US
"The FX loss was due in large part to geopolitical events, which caused a sell-off in the currencies where we held large cash balances. It also must be viewed alongside the operational progress behind it. During Q1, Gorilla collected significant cash from Egypt, completed important project milestones and saw advance payment guarantees associated with completed stages released. In practical terms, the project continues to advance, we collected cash, and our guarantee exposure has been reduced. The statutory operating loss therefore does not reflect the underlying cash trajectory of the business. Revenue grew, operating cash flow turned positive, liquidity strengthened and the business continued ahead of our anticipated revenue ramp up.
"Based on current execution visibility, Gorilla now expects full year revenue for 2026 in the range of US
Financial Outlook:
For full year 2026, Gorilla now expects revenue in the range of US
Financials
Gorilla Technology Group Inc. and Subsidiaries
Condensed Interim Consolidated Balance Sheets
(Expressed in United States dollars)
| As of | |||||||
| March 31, 2026 | December 31, 2025 | ||||||
| Items | (Unaudited and Unreviewed) | ||||||
| Assets | |||||||
| Current assets | |||||||
| Cash and cash equivalents | $ | 98,399,450 | $ | 99,532,115 | |||
| Restricted deposits | 4,620,189 | 5,298,442 | |||||
| Accounts receivable, net and contract assets | 90,116,138 | 111,994,621 | |||||
| Other current assets | 16,942,529 | 17,221,988 | |||||
| Total current assets | 210,078,306 | 234,047,166 | |||||
| Non-current assets | |||||||
| Property and equipment | 15,305,432 | 15,749,411 | |||||
| Right-of-use assets | 1,672,104 | 1,091,526 | |||||
| Intangible assets | 2,343,650 | 2,432,278 | |||||
| Deferred tax assets, net | 17,134,831 | 11,938,173 | |||||
| Other non-current assets | 7,380,908 | 6,624,980 | |||||
| Total non-current assets | 43,836,925 | 37,836,368 | |||||
| Total assets | $ | 253,915,231 | $ | 271,883,534 | |||
| Liabilities and Equity | |||||||
| Liabilities | |||||||
| Current liabilities | |||||||
| Borrowings | $ | 10,147,496 | $ | 10,391,379 | |||
| Accounts and other payables | 46,823,841 | 46,042,759 | |||||
| Contract liabilities | 1,705,489 | 1,305,644 | |||||
| Income tax liabilities | 12,565,942 | 11,588,564 | |||||
| Other current liabilities | 1,050,739 | 951,094 | |||||
| Total current liabilities | 72,293,507 | 70,279,440 | |||||
| Non-current liabilities | |||||||
| Long-term borrowings | 3,095,323 | 3,404,363 | |||||
| Deferred tax liabilities | 1,415,469 | 652,782 | |||||
| Other non-current liabilities | 1,705,675 | 1,467,110 | |||||
| Total non-current liabilities | 6,216,467 | 5,524,255 | |||||
| Total liabilities | 78,509,974 | 75,803,695 | |||||
| Equity | |||||||
| Share capital | 26,455 | 26,356 | |||||
| Treasury shares at cost | (5,285,347 | ) | (2,105,274 | ) | |||
| Other equity | 180,664,149 | 198,158,757 | |||||
| Total equity | 175,405,257 | 196,079,839 | |||||
| Total liabilities and equity | $ | 253,915,231 | $ | 271,883,534 | |||
Gorilla Technology Group Inc. and Subsidiaries
Condensed Interim Consolidated Statements of Comprehensive Income (Loss)
(Expressed in United States dollars)
| Three Months Ended March 31, | |||||||
| 2026 | 2025 | ||||||
| Items | (Unaudited and Unreviewed) | ||||||
| Revenues, net | $ | 28,230,022 | $ | 18,258,999 | |||
| Cost of revenues | (22,277,478 | ) | (11,850,617 | ) | |||
| Gross profit | 5,952,544 | 6,408,382 | |||||
| Operating expenses: | |||||||
| Foreign currency exchange losses, net | (18,934,405 | ) | (4,418,096 | ) | |||
| Stock-based compensation expenses | (20,910,831 | ) | (216 | ) | |||
| Other operating expenses | (7,166,399 | ) | (6,159,155 | ) | |||
| Total operating expenses | (47,011,635 | ) | (10,577,467 | ) | |||
| Operating loss | (41,059,091 | ) | (4,169,085 | ) | |||
| Net loss | (36,959,057 | ) | (4,558,307 | ) | |||
| Other comprehensive loss, net of tax | (1,473,778 | ) | (1,586,388 | ) | |||
| Total comprehensive loss | $ | (38,432,835 | ) | $ | (6,144,695 | ) | |
| Basic and diluted loss per share | $ | (1.42 | ) | $ | (0.23 | ) | |
Gorilla Technology Group Inc. and Subsidiaries
Condensed Interim Consolidated Statements of Cash Flows
(Expressed in United States dollars)
| Three Months Ended March 31, | |||||||
| 2026 | 2025 | ||||||
| (Unaudited and Unreviewed) | |||||||
| Net cash from (used in) operating activities | $ | 6,641,175 | $ | (10,659,866 | ) | ||
| Net cash (used in) from investing activities | (535,369 | ) | 948,239 | ||||
| Net cash (used in) from financing activities | (3,534,504 | ) | 8,635,923 | ||||
| Effect of foreign exchange rate changes on cash and cash equivalents | (3,703,967 | ) | 190,312 | ||||
| Net decrease in cash and cash equivalents | $ | (1,132,665 | ) | $ | (885,392 | ) | |
| Cash and cash equivalents at beginning of the period | $ | 99,532,115 | $ | 21,699,202 | |||
| Cash and cash equivalents at end of the period | $ | 98,399,450 | $ | 20,813,810 | |||
Reconciliation of non-IFRS Financial Measures to IFRS Measures
In addition to its reported results in accordance with International Financial Reporting Standards ("IFRS") followed by the Company, it has included in this release certain financial measures that are considered non-IFRS financial measures, including the following:
- Earnings before interest, taxes, depreciation, and amortization ("EBITDA");
- Adjusted EBITDA; and
- Adjusted net income (loss) and adjusted earnings (loss) per share.
Reconciliation of Operating Loss to EBITDA and Adjusted EBITDA
| Three Months Ended March 31, | |||||||
| 2026 | 2025 | ||||||
| (Unaudited and Unreviewed) | |||||||
| Items | (Amount in USD) | ||||||
| Operating loss (IFRS) | $ | (41,059,091 | ) | $ | (4,169,085 | ) | |
| Add: Depreciation expenses | 298,132 | 153,083 | |||||
| Add: Amortization expenses | 95,089 | 154,387 | |||||
| EBITDA loss (non-IFRS) | $ | (40,665,870 | ) | $ | (3,861,615 | ) | |
| Add: Foreign currency devaluation (1) | 11,443,104 | 7,188,047 | |||||
| Add: Fair value measurement of financial instruments, net (2) | 46,476 | 1,838,049 | |||||
| Add: Stock-based compensation expenses | 20,910,831 | 216 | |||||
| Adjusted EBITDA (non-IFRS) | $ | (8,265,459 | ) | $ | 5,164,697 | ||
Reconciliation of Net Loss and Loss per Share to Adjusted Net Income (Loss) and Adjusted Earnings (Loss) per Share
| Three Months Ended March 31, | |||||||||||||
| 2026 | 2025 | ||||||||||||
| (Unaudited and Unreviewed) | |||||||||||||
| (Amount in USD) | |||||||||||||
| Items | Amount | EPS Impact per share | Amount | EPS Impact per share | |||||||||
| Net loss (IFRS) | $ | (36,959,057 | ) | $ | (1.42 | ) | $ | (4,558,307 | ) | $ | (0.23 | ) | |
| Add: Foreign currency devaluation (1) | 11,443,104 | 0.44 | 7,188,047 | 0.37 | |||||||||
| Add: Fair value measurement of financial instruments, net (2) | 46,476 | - | 1,838,049 | 0.09 | |||||||||
| Add: Stock-based compensation expenses | 20,910,831 | 0.80 | 216 | - | |||||||||
| Less: Tax effects of stock-based compensation expenses | (112,611 | ) | - | - | - | ||||||||
| Add: Amortization of acquired intangible assets (3) | 85,500 | - | 85,500 | - | |||||||||
| Adjusted net income (loss) (non-IFRS) | $ | (4,585,757 | ) | $ | (0.18 | ) | $ | 4,553,505 | $ | 0.23 | |||
| Adjusted diluted earnings (loss) per share (non-IFRS) | $ | (0.18 | ) | $ | 0.23 | ||||||||
Notes:
- Foreign currency devaluation - downward remeasurement of monetary assets denominated in the Egyptian pound primarily due to material depreciation of the Egyptian pound against the U.S. dollar.
- Fair value measurement of financial instruments - includes effects of fair value remeasurement of stock warrants.
- Amortization of acquired intangible assets - includes non-cash amortization expense related to acquired intangible assets.
About Gorilla Technology Group Inc.
Headquartered in London U.K., Gorilla is a global solution provider in Security Intelligence, Network Intelligence, Business Intelligence, IoT technology and data centres. We provide a wide range of solutions, including Smart City, Network, Video, Security Convergence and IoT, across select verticals of Government and Public Services, Manufacturing, Telecom, Retail, Transportation and Logistics, Healthcare and Education, by using AI and Deep Learning Technologies.
Our expertise lies in revolutionizing urban operations, bolstering security and enhancing resilience. We deliver pioneering products that harness the power of AI in intelligent video surveillance, facial recognition, license plate recognition, edge computing, post-event analytics and advanced cybersecurity technologies. By integrating these AI-driven technologies, we empower Smart Cities to enhance efficiency, safety and cybersecurity measures, ultimately improving the quality of life for residents.
For more information, please visit our website: Gorilla-Technology.com.
Forward-Looking Statements
This press release contains "forward-looking statements" within the meaning of the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995. Gorilla's actual results may differ from its expectations, estimates and projections and consequently, you should not rely on these forward-looking statements as predictions of future events. Words such as "expect," "estimate," "project," "budget," "forecast," "anticipate," "intend," "plan," "may," "will," "could," "should," "believes," "predicts," "potential," "might" and "continues," and similar expressions are intended to identify such forward-looking statements. These forward-looking statements include, without limitation, statements regarding our beliefs about future revenues and our ability to sign new contracts and execute existing contracts, along with those other risks described under the heading "Risk Factors" in the Form 20-F Gorilla filed with the Securities and Exchange Commission (the "SEC") on April 15, 2026 and those that are included in any of Gorilla's future filings with the SEC. These forward-looking statements involve significant risks and uncertainties that could cause actual results to differ materially from expected results. Most of these factors are outside of the control of Gorilla and are difficult to predict. Should one or more of these risks or uncertainties materialize, or should underlying assumptions prove incorrect, actual results may vary materially from those indicated or anticipated by such forward-looking statements. Readers are cautioned not to place undue reliance upon any forward-looking statements, which speak only as of the date made. Gorilla undertakes no obligation to update forward-looking statements to reflect events or circumstances after the date they were made except as required by law or applicable regulation.
| Public Relations Contact | Investor Relations Contact |
| Samantha Dowd Prosek Partners GRRR@prosek.com | Dave Gentry RedChip Companies, Inc. 1-407-644-4256 GRRR@redchip.com |
To view the source version of this press release, please visit https://www.newsfilecorp.com/release/299033