B.O.S. Better Online Solutions (BOSC) investor relations material

Business overview and strategy

• Integrates supply chain technologies for defense manufacturers and retailers, operating through robotics, RFID, and supply chain divisions.

• Achieved 22 consecutive profitable quarters, with $51 million in 2025 revenue and $3.6 million net income.

• Focuses on organic growth and strategic acquisitions, targeting profitable companies with predictable revenues and strong management.

• 60% of business serves the defense sector, with expectations for continued growth in this segment over the next 4–5 years.

• Plans to increase investor exposure by participating in more investor events and leveraging recent research coverage.

Financial performance and outlook

• Backlog reached a record $31 million as of Q2 2026, with $20 million scheduled for delivery by year-end.

• Expects 2026 revenue to exceed $51 million and net income to surpass 2025 levels, despite higher operating expenses from currency devaluation.

• Maintains a strong balance sheet with $30.9 million in equity and $10 million in cash, supporting both organic and M&A growth.

• Revenue grew from $33.6 million in 2021 to $51 million in 2025, driven by real client demand.

• Trades at a valuation below peers, with an enterprise value of $21 million and a P/E ratio of about 9.

Market trends and growth drivers

• Benefits from global increases in defense budgets, especially in Europe, India, and the U.S.

• Israel Defense Forces inventory expansion and ongoing conflict since October 2023 have driven significant demand.

• India is emerging as a key market, with $4.4 million in orders in H1 2026, more than double the prior year.

• International sales grew 140% year-over-year in H1 2026, reaching $8.6 million.

• Exposure to automation and supply chain modernization trends further supports long-term growth.