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1. Company Snapshot

1.a. Company Description

Guardforce AI Co., Limited offers cash solutions and cash handling services in Thailand.The company's services include cash-in-transit, vehicles to banks, ATM management, cash center operations, cash processing, coin processing, and cheque center services, as well as cash deposit machine solutions, such as cash deposit management and express cash services.Its customers include local commercial banks, chain retailers, coin manufacturing mints, and government authorities.


The company was incorporated in 2018 and is based in Singapore.

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1.b. Last Insights on GFAI

Guardforce AI's recent performance was negatively impacted by escalating costs associated with its AI-driven technology expansion. Despite launching DVGO Beta 2.0, a travel planning AI agent, and announcing robotic integration in Thailand, the company's increased investments in research and development may have weighed on its short-term financials. The company's beta of indicates relatively high volatility. With its interim financial results for the first half of 2025, Guardforce AI showcased its commitment to advancing its multi-agent platform, integrating AI, robotics, and smart solutions.

1.c. Company Highlights

2. Guardforce AI Delivers First Operating Profit Since IPO, Driven by AI Transformation

Guardforce AI reported a significant milestone in its 2024 year-end earnings, achieving its first operating profit since its initial public offering. This achievement underscores the company's successful pivot toward higher-margin AI solutions. Despite ongoing challenges related to the pandemic, the company demonstrated resilience and strategic execution. Secure Logistics revenue grew 1.7% year-over-year to $32.4 million, with notable contributions from its GDM segment, which saw a 39.5% increase. Gross profit rose 16.1% to $6.3 million, while the net loss narrowed by 80.1% to $5.9 million, reflecting improved cost management and operational efficiency. On a per-share basis, the company reported an EPS of -1.60243, outperforming analyst estimates of -1.7.

Publication Date: Apr -28

📋 Highlights
  • First Operating Profit Since IPO: Achieved profitability driven by higher-margin AI solutions despite pandemic challenges.
  • Retail Segment Growth: Retail now surpasses banking with over 25,000 global retail stores as key clients.
  • Secure Logistics Revenue: Grew 1.7% to $32.4 million, with GDM up 39.5% and CIP NANDV up 3.0%.
  • Net Loss Narrowed: Reduced by 80.1% to $5.9 million, with gross profit rising 16.1% to $6.3 million.
  • Strong Cash Position: $23.4 million in cash and equivalents, supporting AI strategy acceleration and growth.

Technological Advancements and Strategic Initiatives

The company highlighted its progress in AI innovation, with the launch of DVGO, an AI-powered travel planning agent, and the upgrade of its GFAI Intelligent Cloud Platform. DVGO leverages multi-objective optimization and reinforcement learning to address complex travel planning challenges, positioning it as a differentiated solution in the market. Management emphasized that DVGO is designed to expand into retail, education, and other consumer-facing industries, aligning with the company's broader strategy to diversify its revenue streams. Chairwoman and CEO Olivia Wang noted, "DVGO represents a significant step in our mission to deliver user-centric, purpose-driven solutions that go beyond traditional product-focused platforms."

Financial Overview and Balance Sheet Strength

Guardforce AI's balance sheet remains healthy, with $23.4 million in cash and equivalents, providing ample liquidity to support its AI strategy acceleration. Total assets stood at $44.7 million, while liabilities totaled $12.7 million, reflecting a manageable debt profile. The company also highlighted its focus on cost control, with operating expenses decreasing by 20.7% year-over-year. R&D investment surged 2.5x to $591,000, underscoring its commitment to innovation in AI and robotics.

Valuation and Outlook

From a valuation perspective, Guardforce AI trades at a P/S ratio of 0.59 and an EV/EBITDA of -0.67, reflecting the market's cautious optimism about its turnaround story. While the company's negative ROIC and ROE metrics raise concerns about profitability sustainability, its improving gross margins and strategic investments in AI position it for potential long-term growth. Analysts expect revenue growth of 4.7% next year, with a focus on DVGO's ability to drive recurring revenue streams and margin expansion.

3. NewsRoom

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Guardforce AI Accelerates AI Agent Commercialization with Robotic Integration in Thailand

Nov -13

Source: globenewswire.com

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Guardforce AI Advances Its AI-first Strategy with the Launch of DVGO Beta 2.0, Bringing AI Agent into Real-World Applications

Nov -05

Source: globenewswire.com

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Comparing Guardforce AI (NASDAQ:GFAI) and Eastern (NASDAQ:EML)

Oct -21

Source: defenseworld.net

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Guardforce AI Reports Interim Financial Results for the First Half of 2025, and Provides Business Update

Sep -23

Source: globenewswire.com

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Guardforce AI Implements Smart Solutions and AI Applications in Thailand

Jul -28

Source: globenewswire.com

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Guardforce AI to Launch New Tech-Focused Strategy for Thai Subsidiary to Drive Future Growth with Smart Solutions

Jul -16

Source: globenewswire.com

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Guardforce AI Strengthens Decade-Long Client Relationships by Securing Long-term Contract with Government Savings Bank

Jun -23

Source: globenewswire.com

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19,140 Shares in Guardforce AI Co., Limited (NASDAQ:GFAI) Acquired by Squarepoint Ops LLC

Jun -11

Source: https://www.defenseworld.net

4. Business Breakdown

4.a. Revenues by Country

4.b. Revenues by Segment

5. Expected revenues mid-term growth (12.72%)

6. Segments

Secured Logistics

Expected Growth: 12.4%

Growing demand for secure logistics solutions, increasing adoption of AI-powered tracking systems, and rising concerns over high-value goods theft are driving the growth of secured logistics market.

General Security Solutions

Expected Growth: 15.4%

Growing demand for AI-powered security services, increasing cyber threats, and adoption of cloud-based security solutions drive the growth of General Security Solutions from Guardforce AI Co., Limited.

Robotics Artificial Intelligence Solutions

Expected Growth: 12.4%

Growing demand for autonomous security and surveillance systems, increasing adoption of AI-powered robots in security services, and rising need for enhanced safety and efficiency in various industries drive the growth of Robotics Artificial Intelligence Solutions.

7. Detailed Products

AI-powered Robot

An autonomous robot equipped with AI technology to provide security and surveillance services

Cybersecurity Solutions

A suite of cybersecurity products and services to protect against cyber threats and data breaches

AI-driven Facial Recognition

A facial recognition system that uses AI to identify and verify individuals

Intelligent Surveillance Systems

A range of surveillance systems that use AI and machine learning to detect and respond to security threats

AI-powered Chatbots

Chatbots that use AI to provide customer support and services

8. Guardforce AI Co., Limited's Porter Forces

Forces Ranking

Threat Of Substitutes

The threat of substitutes for Guardforce AI Co., Limited is moderate due to the presence of alternative security solutions.

Bargaining Power Of Customers

The bargaining power of customers is low as Guardforce AI Co., Limited has a strong brand reputation and a wide range of security solutions.

Bargaining Power Of Suppliers

The bargaining power of suppliers is moderate as Guardforce AI Co., Limited relies on a few key suppliers for its security equipment and technology.

Threat Of New Entrants

The threat of new entrants is high as the security industry is attractive and has low barriers to entry, making it easy for new companies to enter the market.

Intensity Of Rivalry

The intensity of rivalry is high as Guardforce AI Co., Limited operates in a highly competitive security industry with many established players.

9. SWOT Analysis

Strength

Weaknesses

Opportunities

Threats

10. Capital Structure

10.a. Balance Sheet

10.b. Weighted Average Cost of capital

Value
Debt Weight 20.83%
Debt Cost 9.70%
Equity Weight 79.17%
Equity Cost 18.21%
WACC 16.44%
Leverage 26.31%

11. Quality Control: Guardforce AI Co., Limited passed 3 out of 9 key points

12.a Historical Valuation

12.b Price/Earnings Ratio

12.c Margin Valuation

12.d Peers Valuation

Peers Group Analysis

Stock-Card
APWC

A-Score: 6.1/10

Value: 8.1

Growth: 6.3

Quality: 5.0

Yield: 0.0

Momentum: 9.0

Volatility: 8.0

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CBAK Energy Technology

A-Score: 5.4/10

Value: 8.9

Growth: 7.6

Quality: 5.0

Yield: 0.0

Momentum: 4.5

Volatility: 6.7

1-Year Total Return ->

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Freightos

A-Score: 5.3/10

Value: 6.9

Growth: 5.3

Quality: 4.5

Yield: 0.0

Momentum: 10.0

Volatility: 5.3

1-Year Total Return ->

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Stellantis

A-Score: 4.8/10

Value: 9.1

Growth: 3.1

Quality: 5.5

Yield: 0.0

Momentum: 7.5

Volatility: 3.3

1-Year Total Return ->

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Stock-Card
Arlo Technologies

A-Score: 4.3/10

Value: 4.9

Growth: 5.7

Quality: 3.7

Yield: 0.0

Momentum: 8.5

Volatility: 3.3

1-Year Total Return ->

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Stock-Card
Guardforce AI Co

A-Score: 4.2/10

Value: 8.7

Growth: 2.1

Quality: 4.6

Yield: 0.0

Momentum: 6.0

Volatility: 4.0

1-Year Total Return ->

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Peers Metrics

12.e Scoring Insights

12.f DCF BETA

Parameters

Short Term Growth

Short term Time

Long-Term Growth

WACC

Target Price

0.88$

Current Price

0.88$

Potential

-0.00%

Expected Cash-Flows