SEGMENT INFORMATION (Tables)

3 Months Ended

Mar. 31, 2025

Schedule of Segment Reporting Information, by Segment


Table 15: Results of Operations by Business Segment
	For the Three Months Ended
	March 31, 2025						March 31, 2024
	Security Solutions		Secure Networks		Total		Security Solutions		Secure Networks		Total

	(in thousands)
Revenues	$	25,818	$	4,798	$	30,616	$	18,640	$	10,979	$	29,619
Cost of sales
Depreciation and amortization (1)	1,501		2		1,503		1,275		3		1,278
Stock-based compensation expense (1)	169		21		190		176		81		257
Other segment items (2)	13,088		3,653		16,741		8,563		8,560		17,123
Total cost of sales	14,758		3,676		18,434		10,014		8,644		18,658
Gross profit	$	11,060	$	1,122	12,182		$	8,626	$	2,335	10,961
Operating expenses:
Research and development expenses					1,571						3,170
Selling, general and administrative expenses					19,633						16,229
Total operating expenses					21,204						19,399
Operating loss					(9,022)						(8,438)
Other income					561						1,252
Interest expense					(147)						(175)
Loss before income taxes					(8,608)						(7,361)
Benefit from (provision for) income taxes					4						(17)
Net loss					$	(8,604)					$	(7,378)

(1) The significant segment expense categories and amounts align with the segment-level information regularly provided by the CODM.

(2) Other segment items for each reportable segment include direct labor, direct subcontractor costs, direct materials and inventory, other direct non-labor costs, fringes, overhead, and facility costs.