A2Z Cust2Mate Solutions Corp. (NASDAQ: AZ) announced second-quarter 2026 revenue of $5.9 million, a substantial increase from $1.2 million in the same period last year. The growth was fueled by a near-doubling of Smart Cart deliveries, which rose to 950 units in Q2 from 500 in the first quarter. Smart Cart revenue climbed 80% sequentially to $4.41 million, while gross profit improved to $2.5 million from $0.3 million, and gross margin expanded to 42.6% from 23.3%. The company also narrowed its net loss to $7.3 million from $12.6 million year-over-year.
As of June 30, A2Z had delivered 3,350 total units, and the company's year-to-date performance, backlog, and visibility support its target of 10,000 deliveries by the end of 2026. A2Z projects $25 million in Smart Cart revenue for the second half of 2026, with a significant portion expected in the fourth quarter as its dedicated manufacturing facility in China increases delivery capacity. The company has also secured a $30 million credit line with Bank Leumi to support inventory and growth, and is implementing cost-management initiatives expected to reduce annual operating expenses by approximately $7 million.
Looking ahead, A2Z expects its Smart Carts to be deployed with at least two retailers outside Israel within the next six months. The company has 19,000 deliveries scheduled by the end of 2027, based on existing purchase orders and contracted backlog. This growth trajectory highlights the increasing adoption of AI-powered smart carts in the retail industry, as retailers seek to enhance the in-store shopping experience and gather real-time data on shopper behavior.
The company's Smart Cart platform transforms traditional shopping carts into connected commerce devices, enabling retailers to increase revenue through targeted retail media and real-time engagement at the point of purchase. It also provides actionable data that gives retailers full visibility into in-store shopper behavior, helping them optimize store operations and mitigate losses. With its modular technology, Cust2Mate enables retailers to scale these benefits across their chains.
For more details, the full press release is available at https://ibn.fm/7DUs5. Investors can also find the latest news and updates about A2Z Cust2Mate in the company's newsroom at https://ibn.fm/AZ.
