Rekor Systems Q1 revenue rises, EBITDA loss narrows

Rekor Systems

11/05/2026 21:31

Overview

U.S. roadway intelligence firm's Q1 revenue rose 12% yr/yr, driven by data services growth

Q1 adjusted EBITDA loss narrowed to $6.5 mln from $7.4 mln a year ago

Company cut headcount by 16%, with most cost savings to appear in Q2

Outlook

Company expects cost reduction benefits to become more visible starting in Q2 2026

Rekor anticipates continued EBITDA improvement through 2026

Company is evaluating refinancing options to reduce cost of capital

Result Drivers

DATA & ROADWAY INTELLIGENCE GROWTH - Revenue growth was driven by continued expansion in data-as-a-service and roadway intelligence businesses

PRODUCT MIX - Improved gross margin reflected higher-margin software sales relative to service-related work

COST CONTAINMENT - Loss from operations improved due to revenue growth and disciplined cost containment, including payroll reductions

Company press release: ID:nGNX6MPhqr

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q1 Gross Revenue
$10.3 mln
Q1 EPS
-$0.07
Q1 Adjusted EBITDA
-$6.5 mln


Analyst Coverage

The current average analyst rating on the shares is "strong buy" and the breakdown of recommendations is 2 "strong buy" or "buy", no "hold" and no "sell" or "strong sell"

Wall Street's median 12-month price target for Rekor Systems Inc is $3.00, about 243.6% above its May 8 closing price of $0.87

For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)