SuperCom Reports Record Net Income of $5.3 Million and Non-GAAP EPS of $1.84 for First Half 2025
SuperCom (NASDAQ: SPCB), a provider of e-Government, IoT, and Cybersecurity solutions, reported strong financial results for H1 2025. The company achieved record net income of $5.3 million, representing a 79.5% increase year-over-year, with non-GAAP EPS of $1.84.
First half highlights include revenue of $14.2 million, improved gross margin of 61.2%, and EBITDA of $5.1 million. Q2 2025 delivered revenue of $7.14 million with operating margin nearly tripling to 15.4%. The company's cash position strengthened to $15 million, up from $5.7 million.
SuperCom secured over 30 new electronic monitoring contracts across the United States since mid-2024, expanding into 11 new states. Notable achievements include winning the Israel Prison Service national contract and establishing new partnerships in multiple regions, demonstrating strong market penetration and incumbent displacement capabilities.
SuperCom (NASDAQ: SPCB), fornitore di soluzioni per e-Government, IoT e cybersecurity, ha comunicato solidi risultati finanziari per il primo semestre 2025. La società ha registrato un utile netto record di $5.3 milioni, pari a un aumento del 79,5% su base annua, con un EPS non-GAAP di $1.84.
I punti salienti del primo semestre includono ricavi per $14.2 milioni, un miglioramento del margine lordo al 61,2% e un EBITDA di $5.1 milioni. Il secondo trimestre 2025 ha registrato ricavi per $7.14 milioni con un margine operativo quasi triplicato, al 15,4%. La posizione di cassa della società si è rafforzata a $15 milioni, rispetto ai $5.7 milioni precedenti.
SuperCom ha ottenuto oltre 30 nuovi contratti di monitoraggio elettronico negli Stati Uniti dalla metà del 2024, espandendosi in 11 nuovi stati. Tra i risultati più rilevanti figurano la vittoria del contratto nazionale con il Servizio Penitenziario israeliano e la creazione di nuove partnership in diverse regioni, a dimostrazione della forte penetrazione sul mercato e della capacità di sostituire i fornitori incumbenti.
SuperCom (NASDAQ: SPCB), proveedor de soluciones de e-Government, IoT y ciberseguridad, informó sólidos resultados financieros en el primer semestre de 2025. La compañía alcanzó un beneficio neto récord de $5.3 millones, lo que supone un aumento interanual del 79,5%, con un BPA no GAAP de $1.84.
Los puntos destacados del primer semestre incluyen ingresos de $14.2 millones, una mejora del margen bruto hasta el 61,2% y un EBITDA de $5.1 millones. El segundo trimestre de 2025 registró ingresos de $7.14 millones con el margen operativo casi triplicado, hasta el 15,4%. La posición de caja de la compañía se fortaleció hasta $15 millones, desde $5.7 millones.
SuperCom consiguió más de 30 nuevos contratos de monitoreo electrónico en Estados Unidos desde mediados de 2024, expandiéndose a 11 nuevos estados. Entre los logros destacados figuran la adjudicación del contrato nacional con el Servicio Penitenciario de Israel y el establecimiento de nuevas asociaciones en varias regiones, lo que demuestra una fuerte penetración en el mercado y la capacidad para desplazar a los incumbentes.
SuperCom (NASDAQ: SPCB)은 전자정부(e-Government), IoT � 사이버보� 솔루� 제공업체로서 2025� 상반� 강한 실적� 발표했습니다. 회사� 순이� 사상 최대� $5.3백만� 기록했으�, 전년 대� 79.5% 증가했고 �-GAAP 주당순이�(EPS)은 $1.84였습니�.
상반� 주요 성과로는 매출 $14.2백만, 매출총이익률 개선(61.2%) � EBITDA $5.1백만� 포함됩니�. 2025� 2분기 매출은 $7.14백만으로 영업이익률이 거의 � 배로 늘어� 15.4%� 기록했습니다. 현금� 자산은 $5.7백만에서 $15백만으로 강화되었습니�.
SuperCom은 2024� 중반 이후 미국 전역에서 30� 이상� 전자감시 계약� 확보하며 11� 신규 주로 확장했습니다. 주요 성과로는 이스라엘 교도소청(IPS)� 국가 계약 수주와 여러 지역에서의 신규 파트너십 체결� 있으�, 이는 시장 침투력과 기존 사업자를 대체하� 역량� 보여줍니�.
SuperCom (NASDAQ: SPCB), fournisseur de solutions d'e-Government, IoT et cybersécurité, a publié de solides résultats financiers pour le premier semestre 2025. La société a enregistré un résultat net record de 5,3 M$, soit une hausse de 79,5% en glissement annuel, avec un BPA non-GAAP de 1,84 $.
Les points forts du premier semestre comprennent des revenus de 14,2 M$, une marge brute améliorée à 61,2% et un EBITDA de 5,1 M$. Le deuxième trimestre 2025 a généré 7,14 M$ de revenus avec une marge d'exploitation presque triplée, à 15,4%. La trésorerie nette de la société s'est renforcée pour atteindre 15 M$, contre 5,7 M$ précédemment.
Depuis mi-2024, SuperCom a obtenu plus de 30 nouveaux contrats de surveillance électronique aux États-Unis, s'étendant à 11 nouveaux États. Parmi les réalisations notables figurent la victoire du contrat national avec le Service pénitentiaire israélien et la mise en place de nouveaux partenariats dans plusieurs régions, démontrant une forte pénétration du marché et la capacité à évincer les acteurs en place.
SuperCom (NASDAQ: SPCB), ein Anbieter von e-Government-, IoT- und Cybersicherheitslösungen, meldete starke Finanzergebnisse für das erste Halbjahr 2025. Das Unternehmen erzielte ein rekordhohes Nettoergebnis von $5,3 Millionen, was einer Steigerung von 79,5% gegenüber dem Vorjahr entspricht, bei einem Non-GAAP EPS von $1,84.
Zu den Highlights des ersten Halbjahres zählen Umsatzerlöse von $14,2 Millionen, eine verbesserte Bruttomarge von 61,2% und ein EBITDA von $5,1 Millionen. Im zweiten Quartal 2025 wurden Umsätze von $7,14 Millionen erzielt, wobei die operative Marge nahezu verdreifacht auf 15,4% anstieg. Die Cash-Position des Unternehmens verbesserte sich von $5,7 Millionen auf $15 Millionen.
SuperCom sicherte sich seit Mitte 2024 über 30 neue Verträge für elektronische Überwachung in den Vereinigten Staaten und dehnte seine Präsenz auf 11 neue Bundesstaaten aus. Zu den bemerkenswerten Erfolgen gehören der Gewinn des nationalen Vertrags mit dem Israelischen Gefängnisdienst und der Aufbau neuer Partnerschaften in mehreren Regionen, was auf eine starke Marktdurchdringung und die Fähigkeit zur Verdrängung etablierter Anbieter hinweist.
- Record net income of $5.3 million in H1 2025, up 79.5% year-over-year
- Significant gross margin expansion to 61.2% from 52.3% in H1
- Operating margin more than doubled to 16.2% in H1 2025
- Strong cash position of $15 million, up from $5.7 million
- Secured over 30 new electronic monitoring contracts and entered 11 new U.S. states
- Won major national contract with Israel Prison Service
- Book value of equity increased to $37.3 million from $13.8 million
- Slight revenue decline to $14.2 million in H1 2025 from $14.4 million in H1 2024
- Q2 revenue decreased to $7.14 million from $7.5 million year-over-year
Insights
SuperCom reports record profitability with doubled operating margins despite flat revenue, driven by margin expansion and multiple new contract wins.
SuperCom's H1 2025 results showcase impressive profitability improvements despite relatively flat revenue. While revenue slightly decreased to
The most striking element is the dramatic margin expansion across all levels. Gross margin widened to
The company has strengthened its financial position considerably, with working capital increasing to
SuperCom's business development momentum is particularly noteworthy, having secured over 30 new EM contracts across the US since mid-2024, including entry into 11 new states. Their ability to consistently displace incumbent providers demonstrates a competitive technological advantage in the electronic monitoring space. The company has also maintained its strong position in Europe, where they claim a
The recurring revenue model from these multi-year monitoring contracts creates an increasingly stable foundation for future growth, while the company's deliberate pivot toward the US market (described as "substantially larger" with "more attractive" economics) represents a strategic shift that appears to be yielding results. With meaningful improvements in profitability despite flat revenue, SuperCom demonstrates effective execution of its business model and a focus on high-margin opportunities in the electronic monitoring sector.
Q2: Revenue of
H1: Revenue of

First Half Ended June 30, 2025, Financial Highlights (Compared to the First Half of 2024)
- Revenue was
, compared to$14.2 million .$14.4 million - Gross profit increased by
15.2% to from$8.7 million .$7.5 million - Gross margin expanded to
61.2% from52.3% . - Operating income more than doubled to
from$2.3 million .$1.1 million - Operating margin more than doubled to
16.2% from7.6% . - Net income increased by
79.5% to from$5.3 million .$3.0 million - Non-GAAP net income increased by
61.3% to from$7.4 million .$4.6 million - EBITDA increased by
41.1% to , compared to$5.1 million .$3.6 million - Non-GAAP EPS of
.$1.84
Second Quarter Ended June 30, 2025, Financial Highlights (Compared to the Second Quarter of 2024)
- Revenue was
, compared to$7.14 million .$7.5 million - Gross profit grew
12.7% to from$4.2 million .$3.7 million - Gross margin expanded to
59.1% from49.6% . - Operating income increased by
187% to from$1.1 million .$0.4 million - Operating margin nearly tripled to
15.4% from5.3% . - Net income was
compared to$1.1 million (or$2.2 million net financial gains of$0.4 million ).$1.8 million - Non-GAAP net income was
compared to$2.2 million (or$3.3 million , net financial gains of$1.5 million ).$1.8 million - EBITDA increased by
56.3% to from$2.5 million .$1.6 million - Non-GAAP EPS of
.$0.49 - Working capital improved to
, up from$40.8 million .$26.1 million - Book Value of Equity increased to
, up from$37.3 million .$13.8 million - Cash and cash equivalents of
, up from$15 million .$5.7 million
Recent Business Highlights:
- Since mid-2024, SuperCom has secured over 30 new electronic monitoring (EM) contracts across
the United States , including entry into 11 new states, and 9 new partnerships with regional service providers. These achievements reflect strong market demand for SuperCom's technology and the company's growing ability to displace incumbents. - On July 16, 2025, SuperCom secured a new EM contract in
Tennessee with a state-based service provider that will transition existing GPS programs to SuperCom's platform and launch DV monitoring. - On June 11, 2025, SuperCom's wholly owned subsidiary, Leaders in Community Alternatives (LCA), was awarded a reentry-services contract in
Northern California valued at up to over five years.$2.5 million - On June 6, 2025, SuperCom signed a new agreement with a Southeastern service provider to introduce its EM technology in
Florida andMississippi . - On June 4, 2025, SuperCom was awarded a statewide technology procurement contract by the
North Carolina Sheriff's Association, emerging as the only new EM technology provider selected. This vehicle enables counties to contract directly with SuperCom on preset terms. - On May 27, 2025, SuperCom secured a new EM contract in
Nebraska through an agreement with a regional service provider that will transition its GPS programs to SuperCom's PureSecurity� platform. - On May 20, 2025, SuperCom secured a new EM contract in
Virginia with an established service provider to deploy its PureSecurity� technology. SuperCom was selected following rigorous testing and displaced the incumbent vendor. - SuperCom, together with partner Electra Security, was awarded a five-to-nine-year national EM contract by the
Israel Prison Service to cover all EM offender monitoring inIsrael . As part of this project, over 1,500 units of SuperCom's PureSecurity� Suite have already been delivered, reflecting recent growth with potential for more. - On May 8, 2025, SuperCom announced a new contract with a seasoned Canadian EM service provider to introduce its PureSecurity� Suite into the provider's operations.
- On April 29, 2025, SuperCom was awarded a new EM contract in
Utah through a competitive process with multiple other vendors, further signaling SuperCom's momentum in displacing legacy systems. - On April 17, 2025, SuperCom announced a new direct agency contract in
Kentucky to deploy its GPS tracking technology under a daily lease model. - On April 10, 2025, SuperCom entered a contract with a regional service provider in the
U.S. Midwest to expand operations intoWisconsin ,Minnesota , andMichigan . The agreement includes DV monitoring. - On February 20, 2025, SuperCom announced it was awarded a new national domestic violence monitoring project in the EMEA region, marking the company's seventh national DV contract globally.
Management Commentary:
"We're pleased to report record first-half results, with GAAP net income of
"Globally, we continued to evolve complex national-level projects, including the national Israeli EM project, the Swedish Ministry of Justice project, the Romanian Ministry of Interior project, and our seventh national domestic-violence program in EMEA. In the
"In recent years, we have invested significantly in establishing our presence in
Conference Call
The company will hold a conference call today (August 14, 2025) at 10:00 a.m. Eastern Time (7:00 a.m. Pacific time/ 5:00 p.m. IL time) to discuss these results, followed by a question and answer session.
Conference Call Dial-In Information:
Date: Thursday, August 14, 2025
Time: 10:00 a.m. Eastern time (7:00 a.m. Pacific time)
International: 973-528-0016
Access Code: SuperCom
Link:
Please call the conference telephone number 5-10 minutes prior to the start time. An operator will register your name and organization.
About SuperCom
Since 1988, SuperCom has been a global provider of traditional and digital identity solutions, providing advanced safety, identification and security solutions to governments and organizations, both private and public, throughout the world. Through its proprietary e-government platforms and innovative solutions for traditional and biometrics enrollment, personalization, issuance and border control services, SuperCom has inspired governments and national agencies to design and issue secure Multi-ID documents and robust digital identity solutions to its citizens and visitors. SuperCom offers a unique all-in-one field-proven RFID & mobile technology and product suite, accompanied by advanced complementary services for various industries including healthcare and homecare, security and safety, community public safety, law enforcement, electronic monitoring, and domestic violence prevention. For more information, visit.
Cautionary Note Regarding Forward-Looking Statements
This press release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Statements preceded or followed by or that otherwise include the words "believes", "expects", "anticipates", "intends", "projects", "estimates", "plans", and similar expressions or future or conditional verbs such as "will", "should", "would", "may" and "could" are generally forward-looking in nature and not historical or current facts. These forward-looking statements are subject to risks and uncertainties that could cause our actual results to differ materially from the statements made. Examples of these statements include, but are not limited to, statements regarding business and economic trends, the levels of consumer, business and economic confidence generally, the adverse effects of these risks on our business or the market price of our ordinary shares, and other risks and uncertainties described in the forward looking statements and in the section captioned "Risk Factors" in our Annual Report on Form 20-F for the year ended December 31, 2024, filed with the
Results presented in this press release are based on management's estimated unaudited analysis of financial results for the presented periods. SuperCom's independent registered accounting firm has not audited the financial data discussed in this press release. During the course of SuperCom's quarter- and fiscal year-end closing procedures and review process, SuperCom may identify items that would require it to make adjustments, which may be material, to the information presented in this press release. As a result, the estimate financial results constitute forward-looking information and are subject to risks and uncertainties, including possible adjustments to such results.
Use of Non-GAAP Financial Information
In addition to disclosing financial results calculated in accordance with the generally accepted accounting principles in
Management believes the non-GAAP financial measures provided are useful to investors' understanding and assessment of SuperCom's ongoing core operations and prospects for the future, as the charges eliminated are not part of the day-to-day business or reflective of the core operational activities of the company.Management uses these non-GAAP financial measures as a basis for strategic decisions, forecasting future results, and evaluating the company's current performance.The presentation of these non-GAAP financial measures is not intended to be considered in isolation from, or as a substitute for, or superior to, operating loss and or net income (loss) or any other performance measures derived in accordance with GAAP or as an alternative to net cash provided by operating activities or any other measures of our cash flows or liquidity.
Non-GAAP EPS is defined as earnings before amortization and other non-cash or one-time expenses divided by weighted average outstanding shares.
EBITDA is defined as earnings before interest, taxes, depreciation, amortization, and other non-cash or one-time expenses.
SuperCom Investor Relations:
[email protected]
[Tables to follow]
SUPERCOM LTD. CONSOLIDATED BALANCE SHEETS ( | ||||||
As of June 30, | As of December 31, | |||||
2025 | 2024 | |||||
Unaudited | Audited | |||||
CURRENT ASSETS | ||||||
Cash and cash equivalents | 15,030 | 3,150 | ||||
Restricted bank deposits | 390 | 388 | ||||
Trade receivable, net | 19,826 | 12,767 | ||||
Patents | 5,283 | 5,283 | ||||
Other accounts receivable and prepaid expenses | 2,019 | 2,153 | ||||
Inventories, net | 2,634 | 2,521 | ||||
Total current assets | 45,182 | 26,262 | ||||
LONG-TERM ASSETS | ||||||
Deferred tax long term | 919 | 919 | ||||
Property and equipment, net | 4,056 | 3,261 | ||||
Other intangible assets, net | 5,687 | 5,638 | ||||
Other non-current assets | 2,609 | 2,818 | ||||
Goodwill | 7,026 | 7,026 | ||||
Total long-term assets | 20,297 | 19,662 | ||||
Total Assets | 65,479 | 45,924 | ||||
| ||||||
Trade payables | 1,137 | 878 | ||||
Employees and payroll accruals | 1,231 | 1,165 | ||||
Accrued expenses and other liabilities | 668 | 470 | ||||
Short-term Operating lease liabilities | 348 | 445 | ||||
Short-term credit | 443 | 423 | ||||
Deferred revenues ST | 564 | 366 | ||||
Total current liabilities | 4,391 | 3,747 | ||||
LONG-TERM LIABILITIES | ||||||
Long-term loan | 23,618 | 29,748 | ||||
Deferred revenues | 49 | 444 | ||||
Deferred tax liability LT | 170 | 170 | ||||
Long-term Operating lease liabilities | - | 118 | ||||
Total long-term liabilities | 23,837 | 30,480 | ||||
SHAREHOLDERS' EQUITY: | ||||||
Ordinary shares | 61,088 | 29,238 | ||||
Additional paid-in capital | 77,130 | 88,746 | ||||
Accumulated deficit | (100,967) | (106,287) | ||||
Total shareholders' equity | 37,251 | 11,697 | ||||
Total liabilities and equity | 65,479 | 45,924 |
SUPERCOM LTD. | |||
CONSOLIDATED STATEMENTS OF OPERATIONS | |||
( | |||
Six months ended | |||
June 30, 2025 | June 30, 2024 | ||
Unaudited | Unaudited | ||
REVENUES | 14,188 | 14,397 | |
COST OF REVENUES | (5,510) | (6,867) | |
GROSS PROFIT | 8,678 | 7,530 | |
OPERATING EXPENSES: | |||
Research and development | 1,813 | 1,900 | |
Selling and marketing | 1,362 | 1,210 | |
General and administrative | 3,056 | 2,748 | |
Other expense, net | 129 | 570 | |
Total operating expenses | 6,360 | 6,428 | |
OPERATING PROFIT | 2,318 | 1,102 | |
FINANCIAL INCOME, NET | 3,002 | 1,443 | |
PROFITBEFORE INCOME TAX | 5,320 | 2,545 | |
INCOME TAX BENEFIT | - | 418 | |
NET PROFIT FOR THE PERIOD | 5,320 | 2,963 |
SUPERCOM LTD. Reconciliation Table of GAAP to Non-GAAP Figures and EBITDA to (
| ||
Six months ended | ||
June 30, 2025 | June 30, 2024 | |
Unaudited | Unaudited | |
GAAP gross profit | 8,678 | 7,530 |
Amortization of intangible assets | 177 | 177 |
Non-GAAP gross profit | 8,855 | 7,707 |
GAAP Operating profit | 2,318 | 1,102 |
Amortization of intangible assets | 1,132 | 1,065 |
Stock Based Compensation | 223 | - |
Foreign Currency Loss | 454 | 353 |
Non-cash or one-time expenses | 296 | 639 |
Non-GAAP operating profit | 4,423 | 3,159 |
GAAP net profit | 5,320 | 2,963 |
Amortization of intangible assets | 1,132 | 1,065 |
Foreign Currency Loss | 454 | 353 |
Stock Based Compensation | 223 | - |
Income tax benefit | - | (418) |
Non-cash or one-time expenses | 296 | 639 |
Non-GAAP net profit | 7,425 | 4,602 |
Net profit for the period | 5,320 | 2,963 |
Financial expenses, net | (3,002) | (1,443) |
Income tax benefit | - | (418) |
Stock Based Compensation | 223 | - |
Depreciation and Amortization | 1,775 | 1,497 |
Foreign Currency Loss | 454 | 353 |
Non-cash or one-time expenses | 296 | 639 |
* EBITDA | 5,066 | 3,591 |
*EBITDA is a non-GAAP financial measure generally defined as earnings before |
SUPERCOM LTD. CONSOLIDATED STATEMENTS OF OPERATIONS ( | ||
Three months ended | ||
June 30, 2025 | June 30, 2024 | |
Unaudited | Unaudited | |
REVENUES | 7,140 | 7,545 |
COST OF REVENUES | (2,922) | (3,802) |
GROSS PROFIT | 4,218 | 3,743 |
OPERATING EXPENSES: | ||
Research and development | 880 | 999 |
Selling and marketing | 684 | 686 |
General and administrative | 1,462 | 1,359 |
Other expenses, net | 89 | 315 |
Total operating expenses | 3,115 | 3,359 |
OPERATING PROFIT | 1,103 | 384 |
FINANCIAL EXPENSES, NET | (8) | 1,804 |
PROFIT BEFORE INCOME TAX | 1,095 | 2,188 |
INCOME TAX EXPENSE (BENEFIT) | - | - |
NET INCOME FOR THE PERIOD | 1,095 | 2,188 |
SUPERCOM LTD. Reconciliation Table of GAAP to Non-GAAP Figures and EBITDA to Net Income ( | ||
Three months ended | ||
June 30, 2025 | June 30, 2024 | |
Unaudited | Unaudited | |
GAAP gross profit | 4,218 | 3,743 |
Amortization of intangible assets | 89 | 89 |
Non-GAAP gross profit | 4,307 | 3,832 |
GAAP Operating Profit | 1,103 | 384 |
Amortization of intangible assets | 544 | 552 |
Foreign Currency Loss | 254 | 153 |
Stock Based Compensation | 41 | - |
Non-cash or one-time expenses | 256 | 359 |
Non-GAAP operating profit | 2,198 | 1,448 |
GAAP net Profit | 1,095 | 2,189 |
Amortization of intangible assets | 544 | 552 |
Stock Based Compensation | 41 | - |
Foreign Currency Loss | 254 | 153 |
Non-cash or one-time expenses | 256 | 359 |
Non-GAAP net Profit | 2,190 | 3,253 |
Net Profit for the period | 1,095 | 2,189 |
Financial expenses (income), net | 8 | (1,805) |
Depreciation and Amortization | 886 | 730 |
Stock Based Compensation | 41 | - |
Foreign Currency Loss | 254 | 153 |
Non-cash or one-time expenses | 256 | 359 |
* EBITDA | 2,540 | 1,626 |
* EBITDA is a non-GAAP financial measure generally defined as earnings before interest, |
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