10-K · June 8, 2026
Aeries Technology, Inc. experienced a mixed financial performance in FY2026, with total revenue reaching $70.01 million, down slightly from $70.20 million in FY2025. The company reported a net income of $3.47 million, a…
Earnings analysis · 10-Q
AERT earnings analysis
Filed August 10, 2026 · Our reading of the company's report
The latest report
Aeries delivered strong year-over-year improvement, with revenue up 43% to $21.918 million, gross margin up 445 basis points to 29.1%, operating income of $3.360 million and operating cash flow of $4.824 million.…
Read full summary
Aeries delivered strong year-over-year improvement, with revenue up 43% to $21.918 million, gross margin up 445 basis points to 29.1%, operating income of $3.360 million and operating cash flow of $4.824 million. However, the quarter benefited from a $2.7 million one-time buyout fee, while management disclosed a $5.7 million expected annual revenue loss from a customer non-renewal. Liquidity remains the principal concern because working capital was negative $4.432 million and the company continues to depend on cash generation, liability restructuring and potentially additional financing despite reporting $6.069 million of cash.
Gross and operating margin
How much of each revenue dollar the business keeps.
One point per quarterly or annual filing. Both margins are shares of that report's revenue.
From revenue to operating profit
Where each $100 of revenue went in this report.
Cost of sales, operating expenses, and what remained. Figures are rounded to whole dollars.
How we read each report
Our analysis across the last few reports.
Our model's reading of each filing, not the share price or the market's reaction. Annual and quarterly reports each occupy one position.
Reported figures
- Earnings per share
- $0.27
- Segment
- North America: $18.592 million, up from $13.401 million (39%); Asia Pacific and Other: $3.326 million, up from $1.929 million (72%).
What stood out
-
Revenue grew 43% year over year
Revenue increased 43% year over year to $21.918 million from $15.330 million. Management attributed the $6.588 million increase to $7.66 million from new clients and higher existing-client volumes, partly offset by $3.77 million from client ramp-downs and completed projects.
-
Gross margin expanded 445 basis points
Gross profit rose 69% to $6.379 million from $3.778 million, and gross margin expanded to 29.1% from 24.6%, a 445-basis-point improvement. Management said the $2.7 million one-time buyout fee materially increased gross margin.
-
Operating profitability improved sharply
Operating income increased to $3.360 million from $0.820 million, lifting operating margin to approximately 15.3% from 5.3%. SG&A was broadly stable at $3.019 million versus $2.958 million.
-
Diluted EPS and net income increased
Diluted EPS increased to $0.27 from $0.26, while net income attributable to Aeries shareholders increased 18% to $1.782 million from $1.512 million.
-
Strong operating cash generation
Operating cash flow improved to $4.824 million from $1.369 million. Capital expenditures were $0.279 million, representing approximately 1.3% of revenue, and cash increased to $6.069 million from $4.878 million.
-
AI strategy broadens service offering
Management launched AxAI and described AeriesOne as an AI-native enterprise operations platform. It expects to continue investing in AI capabilities, platforms and engineering expertise, with more than 30 clients as of June 30, 2026.
What to watch
-
Going-concern and liquidity risk
The filing identifies substantial doubt regarding going-concern conditions: working capital was negative $4.432 million, including $4.068 million of FPA liabilities and $3.275 million of short-term borrowings. Management cited potential additional credit or equity financing, liability restructuring and cost reductions, but stated there is no guarantee these measures will succeed.
-
FPA cash repayment and dilution risk
FPA obligations may require cash or equity settlement. The company paid Sandia $1.487 million for 226,509 shares after quarter-end, while the Sea Otter agreement requires an initial $0.100 million payment, monthly principal payments of $0.075 million, 7.5% interest and collateral of 145,183 shares.
-
Customer loss and collection risk
A significant customer issued a non-renewal notice effective June 30, 2026, which management expects to cause approximately $5.7 million of annual revenue loss. The company also reported heightened collection risk and an accounts-receivable allowance of $1.349 million.
-
Nasdaq compliance remains monitored
The company regained Nasdaq minimum-bid compliance after a 1-for-8 share consolidation, but remains subject to a mandatory panel monitor for one year from July 15, 2026. A renewed violation during that period could result in a delisting determination without an additional compliance plan period.
-
High customer concentration
Customer concentration increased in the reported quarter: two customers represented more than 10% of revenue, with Customer 1 at 26% and Customer 2 at 19%. Loss or reduction of a major customer could pressure revenue and liquidity.
-
Higher effective tax rate
The effective tax rate increased to 28.4% from 16.5% because deferred tax benefits related to losses in lower-tax jurisdictions were not recognized. Income tax expense consequently rose to $0.878 million from $0.331 million.
Management's outlook
No explicit quantitative revenue or EPS guidance was provided. Management expects cash from operations, cash reserves and debt capacity to be sufficient for the next 12 months, while stating that the company remains dependent on cash generation and additional financing if necessary.
Earlier filings 4
10-Q · February 9, 2026
Aeries Technology, Inc. reported a mixed performance in its Q3 2025 filings. Despite a decrease in revenue and profit margins, the company improved its operating cash flow significantly compared to the prior period.…
10-Q · November 10, 2025
Aeries Technology, Inc. reported a modest revenue increase of 3% for Q2 2025, reaching $17.36 million compared to $16.87 million in Q2 2024, with significant improvements in gross profit margin driven by cost…
10-Q · August 14, 2025
Aeries Technology, Inc. reported decreased revenue of $15.33M for Q2 2025, down 8% YoY from $16.67M. EPS improved to $0.03 from -$0.39 in the prior year, reflecting successful cost reductions in operating expenses.…
This is our reading of a public filing, not the filing itself. Analysis can contain errors; check the source document for full context.