10-K · March 18, 2026
OSS completed a strategic repositioning in 2025 toward ruggedized, high-performance edge compute systems, closing the sale of its German subsidiary (Bressner/OSS GmbH) on December 30, 2025, and targeting a five‑year…
Earnings analysis · 10-Q
OSS earnings analysis
Filed May 6, 2026 · Our reading of the company's report
The latest report
OSS reported a strong recovery in revenue and gross profit for Q1 2026, with total revenue increasing by 55% year-over-year to $11,697,810, while gross profit surged by 75.9%. However, significant challenges remain, as…
Read full summary
OSS reported a strong recovery in revenue and gross profit for Q1 2026, with total revenue increasing by 55% year-over-year to $11,697,810, while gross profit surged by 75.9%. However, significant challenges remain, as the company posted a net loss of $519,862 and negative free cash flow of $4,026,907 amidst rising operational costs and post-sale adjustments related to the divestiture of its German subsidiary.
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
- $0.1
What stood out
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Revenue Growth of 55% YoY
Total revenue reached $11,697,810 for Q1 2026, up from $7,834,814 in Q1 2025, reflecting robust demand.
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Strong Improvement in Gross Profit
Gross profit increased by 75.9%, from $2,369,210 in Q1 2025 to $4,167,559 in Q1 2026.
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Cash Provided by Operations
Cash provided by continuing operations was $4,041,908, a turnaround from cash used of $1,505,184 in Q1 2025.
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Increased Gross Margin
Gross margin improved to 51.6%, up from 45.5% in Q1 2025, driven by higher production volumes.
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Lower R&D Expenses as % of Revenue
R&D expenses decreased to 10.1% of revenue compared to 23.1% in Q1 2025, reflecting a more efficient allocation.
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Rising Interest Income
Interest income rose to $296,138 in Q1 2026, an increase of $223,072 from the prior year.
What to watch
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Negative Free Cash Flow Concerns
Despite operational cash flow improvements, negative free cash flow of $4,026,907 is concerning against prior year.
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Loss from Operations
OSS recorded a loss from operations of $671,187, though it was an improvement from $2,351,191 in Q1 2025.
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Post-divestiture Adjustments Risk
Loss from discontinued operations showed a loss of $157,274 due to adjustments post-sale of the German subsidiary.
Management's outlook
Anticipates using cash flow from operations for business funding and exploring acquisitions, but quantifiable guidance is deferred.
Earlier filings 4
10-Q · August 7, 2025
One Stop Systems reported Q2 2025 revenue of $14.1 million, reflecting a robust 6.8% increase from $13.2 million in Q2 2024. The gross margin slightly declined to 31.3% from 25.3% year-over-year, while diluted EPS…
10-Q · May 7, 2025
One Stop Systems reported Q1 revenue of $12,259,088, a modest decline versus $12,651,786 in Q1 2024, while gross profit rose to $3,996,992 (32.6% margin) from $3,723,293 (29.4%). Higher operating expenses (total…
10-K · March 21, 2024
One Stop Systems (OSS) positions itself as a technology leader in “AI Transportable” rugged edge HPC, citing a >25% increase in its five‑year pipeline and product launches (Rigel, upgraded 3U SDS) to capture a market it…
This is our reading of a public filing, not the filing itself. Analysis can contain errors; check the source document for full context.