Telos(NASDAQ) TLS

Telos Corporation helps governments and businesses protect their digital information. The company makes tools to stop hackers and verify people's identities. Its systems ensure only the right people access sensitive data.

Protecting Networks and Identities

• Security Solutions: Cybersecurity risk management and identity services; accounted for 97% of revenue in the first half of fiscal year 2026.
• Xacta: Software platform that automates security compliance and risk management for large organizations.
• Telos ID: Identity and biometric services including TSA PreCheck enrollment and digital trust validation.
• Secure Networks: Services for managing and defending enterprise networks; accounted for 3% of revenue in the first half of fiscal year 2026.
• Telos Ghost: Technology that hides network resources and user identities to prevent cyberattacks.

New Tech and Buybacks

• Launched Xacta.ai in the fourth quarter of fiscal year 2025 to add artificial intelligence to its compliance platform.
• Expanded multiple large programs within the Telos ID portfolio during the second quarter of 2026.
• Authorized a share repurchase program and bought approximately 1.0 million shares in the second quarter of 2026.

A Focus on Government

The company relies heavily on the U.S. federal government for business. Government contracts provided 92% of total revenue in the first half of fiscal year 2026.

The Latest Numbers

• Revenue was $47.7 million in the second quarter of 2026, up 32.7% year over year.
• Net income reached $0.7 million in the second quarter of 2026, compared to a $9.5 million loss in the prior-year period.
• Cash flow from operations was $17.5 million for the six months ended June 30, 2026.
• Cash and cash equivalents totaled $50.6 million as of June 30, 2026.

Bottom Line

Telos has shifted its focus toward identity services and artificial intelligence integration. This evolution helps the company maintain its role as a key cybersecurity provider for the U.S. government.