SuperCom (SPCB) Q3 2026 earnings summary

Executive summary

• Q3 revenue rose 21% YoY to $7.5M; EBITDA was $2.6M. 9M revenue increased 14% to $23.2M and EBITDA rose 36.7% to $9.9M.

• Electronic monitoring expansion, U.S. contract wins and operating efficiencies supported growth; more than 50 U.S. contracts were secured across 21 states since mid-2024.

• SafeGenie launched in October, extending endpoint-security technology to real-time monitoring and control of autonomous AI agents.

Financial highlights

• Q3 revenue was $7.5M vs. $6.2M; gross profit was $3.7M vs. $3.8M, and gross margin was 49.8% vs. 60.8%.

• Q3 operating loss was $0.289M vs. operating income of $0.639M; non-GAAP operating income was $2.2M.

• Q3 GAAP net income was $0.054M vs. $0.7M; non-GAAP net income was $1.9M, and non-GAAP EPS was $0.30.

• Q3 EBITDA was $2.6M vs. $2.2M; EBITDA margin was 34.4% vs. 34.6%, and GAAP EPS was $0.01 vs. $0.14.

• 9M gross profit was $13.4M vs. $12.5M, with 57.8% gross margin; non-GAAP net income was $7.5M and non-GAAP EPS was $1.32.

Outlook and guidance

• Management cited $12M TTM EBITDA, a strong balance sheet and growing U.S. and European pipelines as support for global recurring-revenue growth.

• U.S. contract wins and deal sizes are expected to increase; current sales-team capacity is considered sufficient to support growth.

• European bidding opportunities are expected over the next 24 months, including Italy; the England opportunity is valued at more than £150M.

• Sweden’s project could expand from a $17M base case to the customer’s published $75M budget, with capacity for up to 6,000 active offenders.

• SafeGenie will be sold as a separate subscription; revenue potential depends on customer adoption, and initial deployments are being prepared.