Telsys (TLSY) investor relations material

Executive summary

• Revenue for H1 2026 reached $108.4M, up 71% year-over-year, with net income of $28.1M, a 61% increase from H1 2025.

• Achieved significant year-over-year growth in both distribution and subsidiary operations, driven by strong demand in the enterprise and industrial segments, and especially from a major customer (Nvidia).

• Expanded product offerings, including AI and single board computing solutions, to address evolving market needs.

• No material financial impact observed from the 'Operation Harry's Roar' military event as of the report date.

Financial highlights

• Distribution revenue for 1H 2026 reached $49.2M, up 107% from $23.7M in 1H 2025.

• Distribution segment profit rose to $10.1M in 1H 2026 from $5.2M in 1H 2025.

• Variscite subsidiary reported Q2 2026 revenue of $32.6M, up 61% YoY and 23% QoQ.

• Gross profit for H1 2026 was $49.9M (46% margin), up from $31.3M in H1 2025.

• Cash and equivalents at June 30, 2026, stood at $41.6M, with total liquid assets of $53M.

Outlook and guidance

• Focus on accelerating demand creation and diversifying the opportunity funnel to sustain growth.

• Management expects continued strong demand in SOM, with stable gross margins despite ongoing global memory shortages.

• Continued expansion in enterprise, aerospace & defense, and industrial segments expected.