{"schema_version":"secwatch.filing_event.v1","accession":"0001493152-22-031638","form_type":"8-K","ticker":"KUST","cik":"0001342958","company_name":"KUSTOM ENTERTAINMENT, INC.","filed_at":"2022-11-14T23:59:59+00:00","discovered_at":"2026-05-14T18:03:50.282846+00:00","generated_at":"2026-06-21T19:42:53.772259+00:00","sec_items":["2.02","9.01"],"event_type":"earnings","sentiment":"negative","materiality_score":0.65,"calibrated_materiality_score":0.65,"confidence":"high","headline":"Digital Ally Q3 revenue up 83% to $8.5M but gross profit down 57%; net loss $1.9M","bullets":["Revenue $8.48M (+83% YoY) driven by TicketSmarter ($4.4M) and Nobility Healthcare ($2.0M) acquisitions.","Gross profit fell 57% to $596K; cost of sales rose to 93% of revenue from 70% a year ago.","Operating loss widened to $6.57M from $3.60M; net loss per share ($0.04) vs income $0.16.","Exchanged warrants for 6.1M shares, cancelling 24.3M warrants; recorded $4.8M gain from extinguishment and fair value change.","SG&A up 43% to $7.16M mainly from recent acquisitions; company sees further revenue growth from ticketing and medical billing."],"urls":{"canonical":"https://secwatch.observer/filing/0001493152-22-031638","json":"https://secwatch.observer/filing/0001493152-22-031638.json","markdown":"https://secwatch.observer/filing/0001493152-22-031638.md","text":"https://secwatch.observer/filing/0001493152-22-031638.txt","edgar_index":"https://www.sec.gov/Archives/edgar/data/1342958/000149315222031638/0001493152-22-031638-index.htm","edgar_primary_document":"https://www.sec.gov/Archives/edgar/data/1342958/000149315222031638/form8-k.htm"},"model":{"generated_by":"deepseek-v4-flash:cloud@v2","generated_at":"2026-06-21T19:42:53.772259+00:00"},"review":{"review_status":"machine_generated","human_reviewed":false,"corrected":false,"correction_note":null,"correction_timestamp":null,"superseded_by":null,"related_filings":[]},"source_grounded_claims":[{"claim_id":"33d5759335742acdeba7cef0ce8014c1f3218b33","claim":"KUSTOM ENTERTAINMENT, INC. reported the third quarter ended September 30, 2022 results: revenue $8,484,153.","evidence_excerpt":"Total revenues increased in the third quarter 2022 to $8,484,153 from $4,639,822 in the third quarter 2021 an improvement of $3,844,331 (83%).","evidence_source":"SEC 8-K Item 2.02","evidence_url":"https://www.sec.gov/Archives/edgar/data/1342958/000149315222031638/0001493152-22-031638-index.htm","confidence":0.9,"family_label":"Earnings Releases","details":[{"label":"Period","value":"the third quarter ended September 30, 2022"},{"label":"Revenue","value":"$8,484,153"},{"label":"Result","value":"reported results"}],"fact_type":"earnings_release"}],"license":"Source filings: public domain (SEC EDGAR). Summaries (headline + bullets): CC-BY-4.0; attribute https://secwatch.observer"}