REVISION OF PRIOR YEAR INTERIM FINANCIAL STATEMENTS (Tables)

9 Months Ended

Sep. 30, 2022


Table 18.1: Impact of the Correction to the Condensed Consolidated Statement of Operations
	For the Three Months Ended September 30, 2021						For the Nine Months Ended September 30, 2021
	Previously Reported		Error Correction		As Adjusted		Previously Reported		Error Correction		As Adjusted

	(in thousands, except per share amounts)
Revenue - services	$	63,690	$	(735)	$	62,955	$	163,366	$	650	$	164,016
Revenue - products	6,376		(350)		6,026		15,017		(650)		14,367
Revenue	70,066		(1,085)		68,981		178,383		—		178,383
Cost of sales - services	40,031		106		40,137		109,134		(898)		108,236
Costs and expenses	43,998		106		44,104		117,400		(898)		116,502
Research and development	5,396		(533)		4,863		14,783		(533)		14,250
General and administrative	20,562		(823)		19,739		69,271		181		69,452
Selling, general and administrative expenses	31,321		(1,356)		29,965		98,287		(352)		97,935
Operating loss	(5,253)		165		(5,088)		(37,304)		1,250		(36,054)
Loss before income taxes	(5,428)		165		(5,263)		(38,888)		1,250		(37,638)
Net loss	(5,387)		165		(5,222)		(38,894)		1,250		(37,644)
Net loss attributable to Telos Corporation	(5,387)		165		(5,222)		(38,894)		1,250		(37,644)
Net loss per share attributable to Telos Corporation
Basic	$	(0.08)	$	—	$	(0.08)	$	(0.59)	$	0.02	$	(0.57)
Diluted	$	(0.08)	$	—	$	(0.08)	$	(0.59)	$	0.02	$	(0.57)


Table 18.2: Impact of the Correction to the Condensed Consolidated Statement of Comprehensive Loss
	For the Three Months Ended September 30, 2021						For the Nine Months Ended September 30, 2021
	Previously Reported		Error Correction		As Adjusted		Previously Reported		Error Correction		As Adjusted

	(in thousands)
Net loss	$	(5,387)	$	165	$	(5,222)	$	(38,894)	$	1,250	$	(37,644)
Comprehensive loss attributable to Telos Corporation	(5,400)		165		(5,235)		(38,934)		1,250		(37,684)


Table 18.3. Impact of the Correction to the Condensed Consolidated Statement of Cash Flows
	For the Nine Months Ended September 30, 2021
	Previously Reported		Error Correction		As Adjusted

	(in thousands)
Net loss	$	(38,894)	$	1,250	(37,644)
Stock-based compensation	47,197		181		47,378
Changes in other operating assets and liabilities	(5,900)		1,538		(4,362)
Cash used in operating activities	6,668		2,969		9,637
Capitalized software development costs	(6,139)		(533)		(6,672)
Cash used in investing activities	(13,709)		(533)		(14,242)
Distribution to Telos ID Class B member – non-controlling interest	—		(2,436)		(2,436)
Cash provided by financing activities	35,131		(2,436)		32,695


Table 18.4. Impact of the Correction to the Condensed Consolidated Statement of Changes in Stockholders' Equity
	For the Three Months Ended September 30, 2021						For the Nine Months Ended September 30, 2021
	Previously Reported		Error Correction		As Adjusted		Previously Reported		Error Correction		As Adjusted

	(in thousands)
Net loss	$	(5,387)	$	165	$	(5,222)	$	(38,894)	$	1,250	$	(37,644)
Additional paid-in capital	354,119		181		354,300		354,119		181		354,300
Accumulated deficit - beginning balance	(177,350)		1,085		(176,265)		(143,843)		—		(143,843)
Accumulated deficit - ending balance	(182,737)		1,250		(181,487)		(182,737)		1,250		(181,487)
Total Stockholders' equity	171,491		1,431		172,922		171,491		1,431		172,922