Telos swings to profit on 56% revenue surge; launches AI compliance tool Xacta.ai

Filed May 11, 2026 · Period ending March 31, 2026 · Compared to 10-Q May 9, 2025 · ~1 min read

Key Changes

• high

  Q1 2026 revenue jumped 55.9% to $47.7M, driven by 78.1% growth in Security Solutions from expanded Telos ID programs. Net income swung from $8.6M loss to $2.0M profit, marking first quarterly profit in disclosed periods.

  MD&A: Financial Results verify on EDGAR →
• high

  Launched Xacta.ai, an AI-powered capability integrated into flagship Xacta cyber GRC platform, designed to reduce compliance workload and shift customers from reactive to proactive risk management.

  MD&A: Product Strategy verify on EDGAR →
• high

  Operating expenses fell 24.9% ($5.3M) year-over-year, primarily from 25.8% reduction in SG&A driven by lower stock-based compensation, reversing prior year's 9.3% expense growth.

  MD&A: Operating Expenses verify on EDGAR →