Overview

• U.S. data tokenization firm's Q1 revenue rose 443% yr/yr, driven by CompuSystems acquisition

• Company reiterated full-year 2026 revenue target of at least $200 mln

• Gross margin fell to 3% from 11% due to lower-margin CSI revenue

Outlook

• Datavault AI reiterates full-year 2026 revenue target of at least $200 mln

• Company expects to recognize nearly $100 mln in tokenization fees in 2026

• Datavault AI plans to expand quantum-ready GPU edge network to over 100 U.S. cities by end-2026

Result Drivers

• CSI ACQUISITION - Revenue increase in Q1 was primarily due to the acquisition of CompuSystems Inc.

• LOWER MARGIN MIX - Gross margin declined to 3% from 11% due to inclusion of lower-margin CSI revenue

• HIGHER OPERATING EXPENSES - Increases in R&D, sales and marketing, and G&A expenses driven by higher headcount, AI/cybersecurity licenses, and acquisition-related costs

Company press release: ID:nBw1NNtQca

Key Details

Metric	Beat/Miss	Actual	Consensus Estimate
Q1 Revenue		$3.40 mln	$20 mln (1 Analyst)
Q1 EPS		-$0.09

Analyst Coverage

• The one available analyst rating on the shares is "buy"

• The average consensus recommendation for the it services & consulting peer group is "buy"

• Wall Street's median 12-month price target for Datavault AI Inc is $3.00, about 411.9% above its May 14 closing price of $0.59

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