The PennZone

MCLEAN, Va. - PennZone -- Cycurion, Inc. (N A S D A Q: CYCU) a leading provider of AI-powered cybersecurity and IT solutions serving government and enterprise clients worldwide, today announced record progress on its transformation and growth strategy — positioning the company for a breakout year in 2026.

The company's $73.6 million contracted backlog, spanning 1–5 year agreements across both government and private sectors, underscores surging demand for Cycurion's proprietary AI-infused cybersecurity platforms and marks the foundation for accelerating recurring revenue and margin expansion in the coming year.

Key Highlights

• $73.6 Million Backlog: Multi-year agreements across government, defense, and healthcare sectors provide more than 18 months of revenue visibility.
• Attractive Share Structure: Following an October 27th one-for-thirty reverse split, CYCU now has only 2.88 million shares outstanding, enhancing liquidity and aligning with Nasdaq institutional investment thresholds.
• Debt Reduction: CYCU reduced debt by $3.2 million through strategic conversions, strengthening its balance sheet and positioning for growth.
• Strong Balance Sheet: $10.4 million in stockholders' equity and access to a $60 million equity line of credit (with $45 million available).
• Blue-Chip Client Base: U.S. Department of Defense, Department of Homeland Security, Defense Intelligence Agency, U.S. Navy, and numerous Fortune 100 and 500 clients.
• AI-Driven Growth: Proprietary ARx and Cyber Shield platforms are redefining modern cybersecurity through real-time AI threat detection and predictive protection.
• Strategic Expansion: Active acquisition strategy enhances AI capabilities and expands market reach in North America and Latin America.

A Record Backlog Powered by AI Innovation

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Cycurion's AI-enhanced ARx platform has fueled an unprecedented $73.6 million backlog, reflecting accelerating demand across key industries. Recent awards include a $6 million contract with a major U.S. transportation agency and additional $4.6 million in new government and healthcare contracts, representing a significant boost to CYCU's 2025 revenue base.

This growth builds on a $16 million annualized revenue run-rate, independent of the backlog, providing a solid foundation for sustained top-line expansion. The ARx platform — in development for over five years — is now being rolled out broadly across CYCU's client network, enabling recurring revenue and high-margin performance heading into 2026.

Trusted Partnerships with Leading Institutions

CYCU's credibility and proven performance continue to attract top-tier clients and partners. The company serves mission-critical agencies and enterprises, including:

• U.S. Department of Defense
• Department of Homeland Security
• Defense Intelligence Agency
• U.S. Navy
• Fortune 100 & 500 corporations

Additionally, Cycurion's partnerships with healthcare organizations affiliated with the National Association of County and City Health Officials (NACCHO) extend its reach into a $3 billion+ cybersecurity market. CYCU's NACCHO Cyber Shield program alone is expected to deliver $1.8 million in first-year revenue.

Strategic Acquisitions Fueling AI Leadership

Cycurion's disciplined acquisition strategy continues to accelerate both innovation and market expansion. Subsidiaries including Axxum Technologies, Cloudburst Security, and Cycurion Innovation have deepened CYCU's technology stack with advanced AI algorithms and quantum-resistant cybersecurity frameworks.

Further partnerships — such as the LSV-TECH alliance in Latin America and the iQSTEL (IQST) equity exchange — are expanding CYCU's geographic and technological footprint. As part of the iQSTEL partnership, half of the stock received by CYCU will be distributed to shareholders as a dividend, enhancing shareholder value.

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Restructuring and Realignment: Ready for Institutional Capital

The October 27th one-for-thirty reverse stock split has realigned CYCU's share structure for sustainable growth and institutional participation. With only 2.88 million shares outstanding, CYCU's lean equity base enhances valuation potential, supports ongoing Nasdaq compliance, and positions the company to attract long-term institutional investors.

CEO L. Kevin Kelly noted, "The reverse split is a strategic decision to strengthen our capital structure, improve liquidity, and open the door to institutional capital — exactly as we position for explosive AI-driven growth in 2026."

$CYCU has already met with 17 institutional firms — most requiring share prices in the $3–$5 range — and has seen heightened investor interest across Asia-Pacific markets, including Japan, Korea, Singapore, China, and Australia.

Strengthened Financial Position for 2026

CYCU enters 2026 in a much stronger financial position:

• Debt reduced by $3.2 million.
• Stockholders' equity of $10.4 million (Q2 2025).
• $45 million available on its $60 million equity line of credit.

These improvements offer CYCU significant flexibility to fund acquisitions, scale operations, and execute on its $73.6 million backlog without excessive reliance on debt.

Leadership Rooted in Internet History

CYCU was founded by Emmit McHenry, the internet pioneer who oversaw the first internet protocols and creation of the .com domain. This legacy of innovation is embedded in Cycurion's mission to deliver next-generation cybersecurity solutions — merging artificial intelligence, machine learning, and proprietary defense-grade protection into one integrated platform.

Looking Ahead

As CYCU expands recurring revenue through its AI-infused platforms and multi-year government and enterprise contracts, the company is well positioned to deliver ballistic returns in 2026. Its strategic financial realignment, strong backlog visibility, and partnerships with the world's most trusted institutions provide a powerful foundation for long-term shareholder value.

For more information, visit: www.cycurion.com

Investor Contact:
Cycurion, Inc. (N A S D A Q: CYCU)
Kevin Kelly, Chairman & CEO
📧 info@cycurion.com | 📞 888-341-6680
United States

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