AITX FY2024 Financials Released with Several Categories Showing Triple Digit Growth

Key Highlight: Recurring Monthly Revenue Run Rate Increased 505%

Detroit, Michigan, May 10, 2024 – Artificial Intelligence Technology Solutions, Inc., (the “Company”) (OTCPK:AITX), a global leader in AI-driven security and productivity solutions is pleased to announce that its audited financial results for the fiscal year ended February 29, 2024, have been filed in an updated S-1 filed on May 9, 2024. The Company highlights robust growth and operational success as evidenced by FY2024 closing with a recurring monthly revenue (RMR) run rate of $283,624, marking an increase of over 500% from the previous year’s $56,802.

“Towards the end of the fiscal year we had over $500,000 in recurring monthly revenue on the books and we were able to have $283,624 of that producing revenue. There were 42 devices delivered but not yet producing revenue at the end of the fiscal year plus over 100 more devices contracted but not yet deployed. I expect Q1 FY2025 results to show a healthy increase towards the $500,000+ objective depending upon production, deployment, and client acceptance,” said Steve Reinharz, CEO of AITX and wholly owned subsidiary Robotic Assistance Devices, Inc. (RAD). “I’m incredibly proud of our team’s sales and technical successes, organizational improvements, and productivity improvements during that fiscal year. FY2024 was an incredibly challenging year for us as we navigated a challenging liquidity period while working to bring new solutions such as RADDOG, RIO, and 4th Generation solutions to market.”

The Company’s gross profit saw a substantial increase, reaching $1,096,457 for FY2024, up 68% from $653,883 in FY2023. This growth is attributed to increasing and enhanced operational efficiencies. Notably, Q4 of FY2024 saw the deployment of 104 units, the largest quarterly deployment to date, underscoring the demand for the Company’s innovative solutions. Furthermore, in fiscal year 2025 (started March 1, 2024), the Company will achieve production and supply line efficiencies driven by improved solution designs, production coordination and supply chain improvements.

“We are incredibly excited about the trajectory RAD is on as we continue our pursuit of excellence in AI-driven security solutions and the milestone we’re eagerly anticipating – becoming cash flow positive this fiscal year,” commented Mark Folmer, CPP, PSP, FSyI, President of RAD. That’s not just a financial indicator; it will be a testament to the hard work of our dedicated team and the trust our clients place in us. It propels us into a future where we continue to lead and expand the possibilities of security technology, enhancing safety and efficiency for businesses around the globe.”

RIO, introduced in FY2024, emerged as a standout product offering, contributing $143,686 in RMR in the final month of the fiscal year alone. This success highlights RAD’s capability to continually develop and introduce effective solutions that meet evolving market needs.

Furthermore, AITX achieved significant reductions in R&D operations expenses, which decreased from $3,625,468 in FY2023 to $2,878,134 in FY2024, even as the output increased with the creation of three generations of RIO, significant advancements on RADDOG, ROSA Generation 4, and AVA Generation 4.

As of May 7, 2024, AITX’s team has grown to 97 full-time equivalent members across the United States, Canada, and overseas, supporting its expansion and innovation in security technology.

Looking ahead, AITX’s management feels the prospects for FY2025 are outstanding, with further details to be provided in the forthcoming ‘Form 10-K’ filing that is due by the end of May 2024.

RMR is money earned from customers who pay for a subscription to a service or product. RAD’s solutions are generally offered as a recurring monthly subscription, typically with a minimum 12-month subscription contract.