| Line Item | 2026-04-30 | Q/Q | Y/Y |
|---|---|---|---|
| Revenue | $606K | +10.3% | +3.5% |
| SG&A Expense | $107K | -60.9% | -56.5% |
| Operating Income | -$270K | -24.3% | -38.6% |
| Pre-tax Income | -$260K | -16.5% | -14.6% |
| Income Tax | -$150K | -4033.5% | — |
| Net Income | -$109K | +51.7% | +52.6% |
| EPS (Diluted) | $0.00 |
| Line Item | 2026-04-30 | Q/Q | Y/Y |
|---|---|---|---|
| Accounts Receivable | $580K | +58.5% | +37.7% |
| Current Assets | $1.9M | +8.8% | +14.7% |
| Total Assets | $1.9M | +8.8% | +14.7% |
| Current Liabilities | $933K | +2.3% | +23.0% |
| Total Liabilities | $1.1M | +20.6% | +45.0% |
| Stockholders' Equity |
| Line Item | 2026-04-30 | Q/Q | Y/Y |
|---|---|---|---|
| Operating Cash Flow | -$280K | -557.7% | — |
| Financing Cash Flow | $167K | — | — |
Business Overview
Skkynet Cloud Systems, Inc. operates through wholly owned subsidiaries (Cogent Real-Time Systems, Skkynet Corp. Canada, and Skkynet Inc. USA) to integrate existing business lines with cloud-based systems and expand service offerings. During the six months ended April 30, 2026, the company generated $1,155,499 in revenue across four streams: direct software sales, distributor/channel partner sales, maintenance support services, and cloud services. The company is shifting toward subscription-based revenue models, which represented 15% of sales in the current period compared to 11.8% in the prior year period.
Segment Performance
The company reports as a single operating segment. Revenue for the six months ended April 30, 2026 was $1,155,499 compared to $1,414,764 in the prior year period, representing a 18.3% decline. Product sales declined from $974,251 (69% of revenue) to $724,143 (65% of revenue). Support services increased from $400,689 (28%) to $421,198 (36%), while Cloud & Other services decreased from $39,824 (3%) to $10,158 (1%). Geographically, North America revenue increased to 50% ($573,657) from 37% ($517,146), while Europe declined to 36% ($417,244) from 39% ($554,798).
Forward Guidance
Forward-looking statements are identified with terms such as 'may,' 'will,' 'expect,' 'believe,' 'anticipate,' 'estimate,' 'approximate' or 'continue.' Management cautions that 'forward-looking statements are subject to risks, uncertainties and important factors beyond our control that could cause actual results and events to differ materially from historical results.' The company disclaims any obligation to revise forward-looking statements to reflect subsequent events or unanticipated occurrences.
Key Risk Factors
The company faces risks related to its ability to obtain necessary capital, meet anticipated development timelines, protect proprietary technology and knowhow, establish a global market presence, and successfully consummate future acquisitions. Additionally, the company has significant concentration risk with six resellers accounting for 51% of sales in the six-month period, including one reseller representing 30% of total sales. Cash deposit concentration also exposes the company to credit risk on deposits exceeding FDIC/CDIC insurance limits.
| — |
| $837K |
| -3.7% |
| -10.0% |