Dot Ai (NASDAQ:DAIC) ("Dot Ai" or the "Company"), an IoT and AI-based SaaS company at the forefront of Asset Intelligence technology, today announced its financial results for the third quarter 2025.
"In the third quarter, we built and shipped our initial hardware platform orders, validating market demand for our innovative solutions and demonstrating momentum in the business," said Ed Nabrotzky, CEO of Dot Ai. "Looking to the balance of 2025 and into next year, we have the right team and strategy in place to accelerate pipeline conversion and drive material revenue contribution, delivering on our commitment to revolutionize asset intelligence and transform the modern supply chain."
Recent Business and Financial Highlights
- Third quarter revenue of approximately $800k represents initial order fulfillment and production ramp at our Puerto Rico facility.
- In November, Dot Ai announced leadership additions including Robyn D‘Elia, an experienced former public company CFO to enhance our finance function on a fractional basis, and Miles Bradley, our new Director of Channels, with primary responsibility for expanding the company's partner ecosystem.
- In October, Dot Ai completed development of a new version of our SaaS architecture, Dot Matrix 3.0, which includes a multi-tenant architecture designed to deliver in-process visibility and secure asset management across a wide range of industries and environments, allowing distributors, integrators, and operators to deploy and manage complex, multi-site programs from a single platform. This platform will continue under tests throughout the fourth quarter.
- In September, Dot Ai obtained certification of its cybersecurity system compliant with SOC 2 Type 1 standards.
- In September, Dot Ai announced new hardware platform orders and an expansion of its Puerto Rico manufacturing operations, reflecting the broad applicability of Dot Ai's Asset Intelligence platform, and its commitment to advancing high-tech manufacturing in Puerto Rico.
- In August, Dot Ai announced its first international distribution partnership with CanTech Group in Australia, who will serve as Dot Ai's Australia-region reseller and installation partner for the company's SaaS platform and proprietary tracking technologies.
- In August, Dot Ai welcomed two new directors, Janice Bryant Howroyd and Walter Skowronski, executives with proven track records scaling public organizations and navigating complex industries.
- In July, Dot Ai commenced production at its Barceloneta, Puerto Rico manufacturing facility, with the new facility intended for full production of Dot Ai's Zero Infrastructure Mesh Bridge (ZiM Bridge) and smart asset tags.
Conference Call and Webcast Information
Dot Ai will host a conference call today, November 13, 2025, to discuss its results at 5 p.m. Eastern Time. A live webcast of the conference call can be accessed here or dial-in using the below number. A webcast replay of the call will also be available.
Telephone dial-in: 1-877-407-0789 or 1-201-689-8562
About Dot Ai
At the heart of the technological revolution in asset management and security lies Dot Ai, a trailblazing SaaS service that is defining Asset Intelligence for smart supply chain operations. By harnessing the power of real-time IoT tracking technology and AI-enhanced analytics, Dot Ai stands at the forefront of innovation, offering patented solutions that are not just advanced but transformative. Through relentless research and development, Dot Ai has engineered a suite of technologies that empower organizations to not only streamline their logistics and supply chain processes but also bolster operational security to unprecedented levels. Leveraging state-of-the-art AI engines, cutting-edge 5G RF and BLE technology, and seamless API integrations, Dot Ai transcends traditional boundaries, offering real-time asset visibility and predictive analytics that integrate effortlessly with existing infrastructure. This is not just technology; it's a vision for a more secure, efficient, and connected world. Discover more about how Dot Ai is leading the charge in Asset Intelligence by visiting https://daic.ai.
Forward-Looking Statements
This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements include all statements that are not historical facts, including statements regarding anticipated production capacity increases, facility expansion plans, expected order fulfillment, and future business growth. All forward-looking statements are based on Dot Ai's current expectations and beliefs concerning future developments and their potential effects on the company. Forward-looking statements are subject to risks and uncertainties that could cause actual results to differ materially from those expressed in the forward-looking statements. Readers are cautioned not to put undue reliance on forward-looking statements, and Dot Ai assumes no obligation to update or revise these forward-looking statements, whether as a result of new information, future events, or otherwise, except as required by law.
| CID HOLDCO, INC. AND SUBSIDIARIES | |||||||
| BALANCE SHEETS | |||||||
| September 30, 2025 | December 31, 2024 | ||||||
| (Unaudited) | |||||||
| ASSETS | |||||||
| Current assets: | |||||||
| Cash | $ |
1,418,834 |
|
$ |
721,032 |
|
|
| Accounts receivable |
|
915,027 |
|
|
50,264 |
|
|
| Inventory |
|
468,102 |
|
|
65,248 |
|
|
| Prepaid expenses and other current assets |
|
744,194 |
|
|
167,551 |
|
|
| Total current assets |
|
3,546,157 |
|
|
1,004,095 |
|
|
| Noncurrent assets: | |||||||
| Property and equipment, net |
|
478,171 |
|
|
11,286 |
|
|
| Operating lease right-of-use assets (ROU) |
|
735,871 |
|
|
307,892 |
|
|
| Capitalized software development costs |
|
2,660,194 |
|
|
1,761,396 |
|
|
| Long-term assets |
|
25,713 |
|
|
12,103 |
|
|
| Total long-term assets |
|
3,899,949 |
|
|
2,092,677 |
|
|
| Total assets | $ |
7,446,106 |
|
$ |
3,096,772 |
|
|
| LIABILITIES AND SHAREHOLDERS' EQUITY (DEFICIT) | |||||||
| Current liabilities: | |||||||
| Accounts payable | $ |
933,306 |
|
$ |
770,276 |
|
|
| Accrued expenses |
|
1,119,808 |
|
|
24,219 |
|
|
| Accrued compensation |
|
75,228 |
|
|
246,720 |
|
|
| Accrued taxes |
|
3,913,668 |
|
|
- |
|
|
| Deferred revenue, current portion |
|
2,772,178 |
|
|
1,142,643 |
|
|
| Operating lease liabilities, current portion |
|
135,976 |
|
|
36,225 |
|
|
| Total current liabilities |
|
8,950,164 |
|
|
2,220,083 |
|
|
| Long-term liabilities: | |||||||
| SAFE notes, net |
|
- |
|
|
23,334,626 |
|
|
| Deferred revenue, net of current portion |
|
- |
|
|
1,570,572 |
|
|
| Operating lease liabilities, net of current portion |
|
614,126 |
|
|
265,413 |
|
|
| Total long-term liabilities |
|
614,126 |
|
|
25,170,611 |
|
|
| Total liabilities |
|
9,564,290 |
|
|
27,390,694 |
|
|
| Shareholders' equity (deficit) | |||||||
| Common stock, $0.0001 par value; 300,000,000 shares authorized; 27,743,322 and 12,210,718 shares issued and outstanding as of September 30, 2025 and December 31, 2024, respectively |
|
2,774 |
|
|
1,221 |
|
|
| Additional paid-in capital |
|
56,972,621 |
|
|
438,120 |
|
|
| Accumulated deficit |
|
(59,093,579 |
) |
|
(24,733,263 |
) |
|
| Total shareholders' equity (deficit) |
|
(2,118,184 |
) |
|
(24,293,922 |
) |
|
| Total liabilities and shareholders' equity (deficit) | $ |
7,446,106 |
|
$ |
3,096,772 |
|
|
CID HOLDCO, INC. AND SUBSIDIARIES |
|||||||||||||||
STATEMENTS OF OPERATIONS (UNAUDITED) |
|||||||||||||||
|
|
|
|
|
|
|
|
||||||||
|
For the three months ended September 30, |
|
For the nine months ended September 30, |
||||||||||||
|
2025 |
|
2024 |
|
2025 |
|
2024 |
||||||||
| Revenue | $ |
778,482 |
|
$ |
81,636 |
|
$ |
1,257,813 |
|
$ |
183,631 |
|
|||
| Cost of goods sold |
|
488,286 |
|
|
7,997 |
|
|
572,558 |
|
|
18,006 |
|
|||
| Gross profit |
|
290,196 |
|
|
73,639 |
|
|
685,255 |
|
|
165,625 |
|
|||
| Operating expenses: | |||||||||||||||
| General and administrative |
|
2,742,753 |
|
|
506,886 |
|
|
4,184,688 |
|
|
1,064,461 |
|
|||
| Research and development |
|
397,135 |
|
|
186,678 |
|
|
972,640 |
|
|
459,991 |
|
|||
| Sales and marketing |
|
1,111,895 |
|
|
638,584 |
|
|
2,564,891 |
|
|
1,763,170 |
|
|||
| Acquisition and integration |
|
243,230 |
|
|
635,459 |
|
|
1,154,857 |
|
|
1,501,261 |
|
|||
| Depreciation and amortization |
|
11,738 |
|
|
- |
|
|
16,839 |
|
|
- |
|
|||
| Total operating expenses |
|
4,506,751 |
|
|
1,967,607 |
|
|
8,893,915 |
|
|
4,788,883 |
|
|||
| Loss from operations |
|
(4,216,555 |
) |
|
(1,893,968 |
) |
|
(8,208,660 |
) |
|
(4,623,258 |
) |
|||
| Other expenses: | |||||||||||||||
| Interest expense |
|
- |
|
|
- |
|
|
(328,763 |
) |
|
- |
|
|||
| Change in fair value of SAFE notes |
|
- |
|
|
(764,446 |
) |
|
(17,368,415 |
) |
|
(14,227,156 |
) |
|||
| Transaction costs |
|
- |
|
|
- |
|
|
(2,726,183 |
) |
|
- |
|
|||
| Loss on extinguishment of debt |
|
- |
|
|
- |
|
|
(5,728,295 |
) |
|
- |
|
|||
| Total other expenses |
|
- |
|
|
(764,446 |
) |
|
(26,151,656 |
) |
|
(14,227,156 |
) |
|||
| Loss before income taxes |
|
(4,216,555 |
) |
|
(2,658,414 |
) |
|
(34,360,316 |
) |
|
(18,850,414 |
) |
|||
| Provision for income taxes |
|
- |
|
|
- |
|
|
- |
|
|
- |
|
|||
| Net loss | $ |
(4,216,555 |
) |
$ |
(2,658,414 |
) |
$ |
(34,360,316 |
) |
$ |
(18,850,414 |
) |
|||
| Net loss per share | |||||||||||||||
| Basic and diluted | $ |
(0.15 |
) |
$ |
(0.22 |
) |
$ |
(1.89 |
) |
$ |
(1.56 |
) |
|||
| Weighted average number of shares | |||||||||||||||
| Basic and diluted |
|
27,645,033 |
|
|
12,210,718 |
|
|
18,146,608 |
|
|
12,095,288 |
|
|||
| CID HOLDCO, INC. AND SUBSIDIARIES | |||||||
| STATEMENTS OF CASH FLOWS (UNAUDITED) | |||||||
For the nine months ended September 30, |
|||||||
2025 |
|
2024 |
|||||
| OPERATING ACTIVITIES | |||||||
| Net loss | $ |
(34,360,316 |
) |
$ |
(18,850,414 |
) |
|
| Adjustments to reconcile net loss to net cash used in operating activities: | |||||||
| Depreciation and amortization |
|
16,839 |
|
|
— |
|
|
| Change in fair value of SAFE notes |
|
17,368,415 |
|
|
14,227,156 |
|
|
| Transaction costs paid in shares |
|
156,869 |
|
|
— |
|
|
| Share-based compensation expense |
|
28,862 |
|
|
187,001 |
|
|
| Noncash operating lease expense |
|
64,857 |
|
|
11,890 |
|
|
| Loss on debt extinguishment |
|
5,728,295 |
|
|
— |
|
|
| Reverse recapitaliation transaction |
|
(4,739,169 |
) |
|
— |
|
|
| Fair value of shares issued as commitment fee |
|
350,000 |
|
|
— |
|
|
| Change in operating assets and liabilities: | |||||||
| Accounts receivable |
|
(864,763 |
) |
|
(92,252 |
) |
|
| Prepaid and other assets |
|
(572,655 |
) |
|
107,218 |
|
|
| Inventory |
|
(402,854 |
) |
|
(134,448 |
) |
|
| Accounts payable |
|
163,030 |
|
|
693,309 |
|
|
| Accrued expense |
|
1,095,589 |
|
|
6,572 |
|
|
| Accrued compensation |
|
(171,492 |
) |
|
(7,872 |
) |
|
| Accrued interest |
|
280,000 |
|
|
— |
|
|
| Accrued taxes |
|
3,913,668 |
|
|
— |
|
|
| Operating lease liabilities |
|
(61,968 |
) |
|
2,611 |
|
|
| Short-term debt, net |
|
3,750,000 |
|
|
— |
|
|
| Deferred revenue |
|
58,963 |
|
|
750,000 |
|
|
| Net cash used in operating activities |
|
(8,197,830 |
) |
|
(3,099,229 |
) |
|
| INVESTING ACTIVITIES | |||||||
| Purchase of property and equipment |
|
(483,724 |
) |
|
— |
|
|
| Capitalized software development costs |
|
(898,798 |
) |
|
(579,327 |
) |
|
| Net cash used in investing activities |
|
(1,382,522 |
) |
|
(579,327 |
) |
|
| FINANCING ACTIVITIES | |||||||
| Proceeds from issuance of bridge loans |
|
500,000 |
|
|
— |
|
|
| Proceeds from issuance of SAFE notes |
|
23,752 |
|
|
3,834,500 |
|
|
| Repayment of bridge loans |
|
(1,660,545 |
) |
|
— |
|
|
| Proceeds from PIPE investments |
|
10,837,643 |
|
|
— |
|
|
| Purchase of common stock |
|
(5,000,000 |
) |
|
— |
|
|
| Proceeds from Trust account |
|
5,577,304 |
|
|
— |
|
|
| Net cash provided by financing activities |
|
10,278,154 |
|
|
3,834,500 |
|
|
| Net increase in cash during period |
|
697,802 |
|
|
155,944 |
|
|
| Cash, beginning of period |
|
721,032 |
|
|
605,760 |
|
|
| Cash, end of period | $ |
1,418,834 |
|
$ |
761,704 |
|
|
| SUPPLEMENTAL DISCLOSURE OF NON-CASH ACTIVITIES | |||||||
| ROU asset obtained in exchange for lease liability | $ |
482,227 |
|
$ |
324,426 |
|
|
| Conversion of SAFE notes to equity | $ |
40,726,793 |
|
$ |
- |
|
|
| Conversion of short-term debt to equity | $ |
2,456,500 |
|
$ |
- |
|
|
| Cash paid for interest | $ |
39,462 |
|
$ |
- |
|
|
View source version on businesswire.com: https://www.businesswire.com/news/home/20251113397360/en/
Dot Ai Contacts
Investors and Media:
ICR, Inc.
[email protected]