Quarterly ResultMay 14, 2026, 08:52 AM
Cycurion Q1 Net Loss Cut 51%; Gross Margin Expands 900 bps
AI Summary
Cycurion reported its first-quarter 2026 results, showing a significant financial turnaround with net loss improving 51.5% to $2.6 million and gross margin expanding 900 basis points to 21.1%. The company also announced binding agreements to acquire Halo Privacy and HavenX, which are expected to add approximately $7 million in annualized contracted revenue at a 55% gross margin. These acquisitions, combined with existing backlog, are projected to increase annual revenue visibility to $21 million to $22 million, reflecting a strategic shift towards higher-margin contracts and disciplined cost management.
Key Highlights
- Binding agreements to acquire Halo Privacy and HavenX, adding $7 million annualized revenue.
- Halo Privacy and HavenX acquisitions expected to have 55% gross margin.
- Q1 2026 net loss improved 51.5% to $2.6 million from $5.3 million in Q4 2025.
- Gross margin expanded 900 basis points to 21.1% in Q1 2026 from 12.1% in Q4 2025.
- EBITDA loss improved 60.2% to $1.9 million in Q1 2026 from $4.9 million in Q4 2025.
- Selling, general and administrative expenses decreased $1.3 million (31.6%) to $2.7 million.
- Annual revenue visibility increased to $21 million to $22 million with acquisitions.
- Cost reduction initiatives on track to generate over $2.2 million in annualized savings.
Price Impact
More from CYCU