OSS

One Stop Systems has genuinely reinvented itself, and the balance sheet is the strongest part of the story. In late 2025 it sold Bressner (OSS GmbH) to Hiper Euro GmbH — now classified as discontinued operations — to concentrate on 'deployable edge computing systems for mission-critical applications' (defense, medical, industrial AI/ML). Shedding that low-margin European distribution business is why gross profit exploded +2,465% and gross margin reset to ~49.6%, and why the reported revenue series looks like a collapse-and-rebound ($72.4M FY22 → $24.6M FY24 → $32.2M FY25, +31.2%): the base was restated down to the leaner core. A $12.5M registered direct offering (2.5M shares, ~$11.6M net) plus divestiture proceeds left $31.2M cash against just $6.82M total liabilities — liabilities/equity of 0.15x and a ~9x current ratio. There is no solvency risk here; the company can fund itself for years.

But the profitability is a mirage. FY2025 net income of $5.09M and diluted EPS of $0.22 are manufactured by the $6.7M gain on the Bressner sale booked in discontinued operations. Strip that out and the real engine is running at an operating LOSS of -$3.38M (-10.5% operating margin) and burning cash — operating cash flow was -$6.55M, a swing of -152% YoY. So the headline 'net margin 15.8%' and P/E of 71.3 both rest on a one-time event, not recurring earnings. Accumulated deficit is still -$17.0M.