Intrusion (INTZ) investor relations material

Executive summary

• Achieved sixth consecutive quarter of sequential top-line growth, driven by U.S. Department of Defense contract expansion, new customer wins, and rising demand for cybersecurity products.

• Launched Shield Cloud on AWS Marketplace, with Azure launch preparation underway, expanding reach and customer access.

• Continued near zero customer churn and strong momentum from solution partners, especially Port Nexus, with rapid adoption in education and law enforcement.

• Ongoing rollout of critical infrastructure solutions, including over 230 units shipped under a Department of Defense contract.

• Government customers accounted for 94.7% of total revenues for the nine months ended September 30, 2025.

Financial highlights

• Q3 2025 revenue was $2.0 million, up 31% year-over-year and 5% sequentially; nine-month revenue ended September 30, 2025, was $5.6 million, up 37% year-over-year.

• Gross profit margin was 77% for Q3 2025, and 76.2% for the nine months ended September 30, 2025.

• Net loss for Q3 2025 was $2.1 million, or $0.10 per share, unchanged from Q3 2024; net loss for the nine months ended September 30, 2025, was $6.2 million.

• Operating expenses were $3.6 million for Q3 2025, up $0.4 million year-over-year; nine-month operating expenses were $10.6 million, up 9% year-over-year.

• Cash and cash equivalents at quarter end were $2.5 million, with $2 million in short-term investments; post-quarter, $3 million received from DoD contract extension, raising liquidity to $7.5 million.

Outlook and guidance

• Expecting Shield Cloud on AWS to contribute positively to financial results in Q4 and throughout 2026, with Azure launch targeting further customer expansion.

• Management anticipates deeper penetration in governmental and commercial sectors, with revenue concentration among customers likely to fluctuate depending on contract timing.

• Optimistic about closing new government and private sector contracts, especially as the government shutdown resolves.

• The company may need to secure additional financing or generate positive cash flow to fund operations and execute its business plan.