zSpace reports Q4 revenue $4.85M, consensus $6.2M

Bookings in the fourth quarter of 2025 were $3.4M, down 21% year-over-year. “Our fourth quarter results reflect continued progress against our strategic priorities and our focus on controlling what we can control,” said Paul Kellenberger, CEO of zSpace (ZSPC). “In the quarter, software and services comprised 53% of revenue, a 10ppts increase from a year ago, contributing to gross margin expansion of over 840 basis points. This performance was driven by strong customer renewals, deeper adoption of our software offerings and meaningful customer wins across K-12, CTE and workforce pathways. We expanded our platform capabilities with the launch of zStylus One, and saw continued momentum from districts including Greater Altoona CTC, Bellflower’s Mayfair High School and Atlanta Public Schools, each demonstrating how immersive, AI-enabled learning is strengthening both academic and career-readiness outcomes.”