GuruFocus·Jun 26, 2026
DEFSEC Technologies Announces Closing of CAD$2.5 Million Registered Direct OfferingDEFSEC Technologies Announces Closing of CAD$2.5 Million Registered Direct Offering PR Newswire OTTAWA, ON, June
DEFSEC Technologies Inc. Warrant(DFSCW)Earnings, Financials & Key Ratios
DFSCW•NASDAQ
$0.02
Price updated Jul 2, 2026
SectorFinancial ServicesIndustrySPACs & Shell CompaniesSub-IndustryPost-merger operating companies misclassified
AboutDEFSEC Technologies Inc. is a leader in advanced tactical systems for defense and public security markets. The company develops digitization technologies for situational awareness, countermeasures against electronic detection and laser threats, and non-lethal products. It recently changed its corporate name from KWESST Micro Systems Inc. to DEFSEC Technologies Inc. The company operates an expanded facility in Kanata North, Ottawa, Ontario, and is focused on growth in defense technology solutions.Show more
- EBITDA-$8M+6.1%
- Net Income-$10M-29.4%
- EPS (Diluted)-15.78+91.6%
- Gross Margin35.16%+8.7%
- EBITDA Margin-161.83%+71.4%
- Operating Margin-183.72%+71.8%
- Net Margin-194.77%+60.6%
- ROE-209.96%+25.1%
DFSCW Price & Volume
DEFSEC Technologies Inc. Warrant (DFSCW) stock price & volume — 10-year historical chart
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Persistent Operational Burn Masks Revenue Scaling Potential
Investment Thesis • Updated 2026Q2
VerdictNegative
Growth:Expanding
Profitability:Negative
Financial:Vulnerable
Cash Flow:Burning
Primary Risk:Liquidity and dilution risk
Key Thesis Takeaways
- DEFSEC Technologies exhibits a volatile revenue trajectory, growing to $1.5M in 2026Q2, yet remains fundamentally constrained by an inability to achieve positive operating margins, which reached -90.0% in the most recent quarter.
- The company's reliance on lumpy government procurement cycles and the erosion of equity to -$56.5M in retained earnings suggest significant long-term solvency risks.
- Investors should monitor the narrowing cash position, which fell to $3.0M in 2026Q2, as the firm struggles to transition from R&D-intensive project work to a self-sustaining business model.
Verdict Logic
the company's precarious liquidity position, highlighted by a cash balance that declined from $6.7M in 2025Q4 to $3.0M in 2026Q2, suggests that the current capital structure may be insufficient to support ongoing operations without further dilutive financing.
DFSCW Growth Metrics
DEFSEC Technologies Inc. Warrant (DFSCW) revenue, earnings & EPS growth — 3, 5 & 10-year CAGR
Revenue CAGR
10 Years-
5 Years-
3 Years89.92%
TTM-
Profit CAGR
10 Years-
5 Years-
3 Years-
TTM1.91%
EPS CAGR
10 Years-
5 Years-
3 Years-
TTM85.89%
Return on Capital
10 Years-236.58%
5 Years-236.58%
3 Years-269.16%
Last Year-143.62%
Latest DFSCW News
Recent stock market news and headlines for DEFSEC Technologies Inc. Warrant (DFSCW)
Peers Comparison
Key metrics vs top competitors for DEFSEC Technologies Inc. Warrant (DFSCW)
| Company | Price | Market Cap | P/E Ratio | Rev Growth (1Y) | Net Margin | ROE | Div Yield |
|---|---|---|---|---|---|---|---|
| $0.02 | $6.6K | -0.00 | 228.56% | -194.77% | -209.96% | — | |
| $125.73 | $288.11B | 199.57 | 56.18% | 43.67% | 31.73% | — | |
| $191.25 | $17.52B | 53.27 | 18.3% | 10.21% | 27.91% | — | |
| $466.88 | $10.31B | 20.92 | 12.64% | 5.86% | 13.15% | — | |
| $105.47 | $4.46B | 13.70 | -2.9% | 5.55% | 27.22% | — | |
| $103.07 | $12.96B | 9.26 | 3.07% | 7.77% | 27.1% | — |
Compare DFSCW vs Peers
DEFSEC Technologies Inc. Warrant (DFSCW) vs competitors — business, growth, and fundamentals comparison against the closest industry rivals.
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DFSCW Frequently Asked Questions
DEFSEC Technologies Inc. Warrant (DFSCW) stock FAQ — growth, dividends, profitability & financials explained
Growth & Financials
What is DEFSEC Technologies Inc. Warrant's revenue?
DEFSEC Technologies Inc. Warrant (DFSCW) reported $5.6M in revenue for fiscal year 2025.
How fast is DEFSEC Technologies Inc. Warrant growing?
DEFSEC Technologies Inc. Warrant (DFSCW) grew revenue by 228.6% over the past year. This is strong growth.
Is DFSCW profitable?
DEFSEC Technologies Inc. Warrant (DFSCW) reported a net loss of $8.3M for fiscal year 2025.
Dividend & Returns
What is DFSCW's return on equity?
DEFSEC Technologies Inc. Warrant (DFSCW) has a return on equity (ROE) of -210.0%. Negative ROE indicates the company is unprofitable.
What is DEFSEC Technologies Inc. Warrant's free cash flow?
DEFSEC Technologies Inc. Warrant (DFSCW) had negative free cash flow of $8.3M in fiscal year 2025, likely due to heavy capital investments.