Revenue growth remains in a state of contraction, evidenced by a 15.5% year-over-year decline in 2026Q1 alongside an operating margin that has plummeted to -72.5%.
| Sales/Revenue | 14.53M | 15.13M | 17.77M | 19.35M | 0 | 0 |
| Revenue Growth % | -16.48% | -14.84% | -8.16% | - | - | - |
| Cost of Goods Sold | 12.91M | 13.52M | 14.14M | 16.71M | 0 | 0 |
| COGS % of Revenue | - | 89.35% | 79.55% | 86.34% | - | - |
| Gross Profit | 1.62M | 1.61M | 3.63M | 2.64M | 0 | 0 |
| Gross Margin % | 11.17% | 10.65% | 20.45% | 13.66% | - | - |
| Gross Profit Growth % | - | -55.64% | 37.53% | - | - | - |
| Operating Expenses | 16.68M | 13.16M | 1.22M | 2.32M | 2.02M | 11.37K |
| OpEx % of Revenue | - | 86.94% | 6.86% | 11.97% | - | - |
| Selling, General & Admin | 16.68M | 13.16M | 1.22M | 2.32M | 1.85M | 8.97K |
| SG&A % of Revenue | - | 86.94% | 6.86% | 11.97% | - | - |
| Research & Development | 0 | 0 | 0 | 0 | 0 | 0 |
| R&D % of Revenue | - | - | - | - | - | - |
| Other Operating Expenses | 0 | 0 | -370 | 0 | 163.3K | 2.4K |
| Operating Income | -15.06M | -11.54M | 2.42M | 326.41K | -2.02M | -11.37K |
| Operating Margin % | -103.62% | -76.29% | 13.6% | 1.69% | - | - |
| Operating Income Growth % | - | -577.85% | 640.17% | 116.19% | -17634.54% | - |
| EBITDA | -15.66M | -11.5M | 2.45M | 352.23K | -450.19K | -11.37K |
| EBITDA Margin % | -107.73% | -75.99% | 13.76% | 1.82% | - | - |
| EBITDA Growth % | -105.69% | -570.13% | 594.43% | 178.24% | -3859.06% | - |
| D&A (Non-Cash Add-back) | 35.28K | 45.32K | 30.01K | 25.82K | 0 | 0 |
| EBIT | -14.6M | -22.3M | 2.44M | -19.14K | -450.19K | -11.37K |
| Net Interest Income | -1.75M | -1.74M | -1.19M | -2.07M | 1.57M | 0 |
| Interest Income | 41.77K | 27.54K | 20.21K | 0 | 1.57M | 0 |
| Interest Expense | 1.79M | 1.76M | 1.21M | 2.07M | 0 | 0 |
| Other Income/Expense | -1.31M | -12.51M | -1.19M | -2.42M | 1.57M | 0 |
| Pretax Income | -16.37M | -24.06M | 1.23M | -2.09M | -450.19K | -11.37K |
| Pretax Margin % | -112.66% | -158.98% | 6.92% | -10.82% | - | - |
| Income Tax | 0 | 0 | 0 | 3.79K | 250.74K | 0 |
| Effective Tax Rate % | 0% | 0% | 0% | -0.18% | -55.7% | 0% |
| Net Income | -15.55M | -23.67M | 1.23M | -2.1M | -700.92K | -11.37K |
| Net Margin % | -106.97% | -156.38% | 6.92% | -10.84% | - | - |
| Net Income Growth % | -78.56% | -2024.04% | 158.66% | -199.18% | -6064.15% | - |
| Net Income (Continuing) | -16.37M | -24.06M | 1.23M | -2.1M | -700.92K | -11.37K |
| Discontinued Operations | 0 | 0 | 0 | 0 | 0 | 0 |
| Minority Interest | -4.29M | -3.86M | 0 | 0 | 0 | 0 |
| EPS (Diluted) | -3.41 | -13.44 | 3.08 | -5.25 | -3.85 | -0.02 |
| EPS Growth % | 27.45% | -536.36% | 158.67% | -36.36% | -16860.35% | - |
| EPS (Basic) | - | -13.44 | 3.08 | -5.25 | -3.85 | -0.02 |
| Diluted Shares Outstanding | 4.56M | 1.76M | 399.09K | 399.09K | 399.09K | 500.55K |
| Basic Shares Outstanding | 4.56M | 1.76M | 399.09K | 399.09K | 399.09K | 500.55K |
| Dividend Payout Ratio | - | - | - | - | - | - |
Liquidity and contract churn
As evidenced by the quarterly financial data, Cycurion has experienced a consistent year-over-year revenue decline, with the most recent period reporting $3.3 million in revenue, representing a 15.5% contraction that highlights significant challenges in maintaining its federal contract footprint and overall market competitiveness.
The persistent downward trend in top-line performance suggests that the company is struggling to secure new contract wins or successfully re-compete for existing agency work. This revenue erosion appears to be structural rather than cyclical, indicating that the firm's current service offerings may be losing relevance within the highly competitive federal IT procurement landscape.
Based on the reported income statements, Cycurion's gross margin has fluctuated significantly, reaching a low of 6.1% in 2025Q2, which underscores a lack of pricing power and an inability to scale its service-heavy delivery model effectively against rising labor costs.
The inability to maintain gross margins above the low double-digits suggests that the company is essentially acting as a pass-through entity for technical labor rather than a high-value technology provider. Investors should monitor whether the company can shift toward higher-margin software integrations, as the current margin profile appears insufficient to cover basic operating overhead.
According to the provided financial statements, the company's operating margin has plummeted to -72.5% in the most recent quarter, demonstrating that fixed administrative costs and public company expenses are currently scaling far faster than the company's ability to generate gross profit.
The massive disparity between revenue and operating expenses indicates a fundamental misalignment in the cost structure following the company's transition to a public entity. This lack of operating leverage suggests that the business model is not currently optimized for scale, necessitating a significant reduction in SG&A to reach even a break-even point.
As reported in recent filings, the company's net income is frequently distorted by significant stock-based compensation charges, such as the $9.2 million recorded in 2025Q1, which obscures the underlying operational performance and complicates the assessment of true economic profitability for shareholders.
The frequent swings between net losses and occasional positive earnings suggest that non-operating items and accounting adjustments are playing an outsized role in the bottom line. Analysts should exercise caution, as these fluctuations may mask the core business's inability to generate consistent, high-quality cash earnings from its primary service operations.
Based on the reported figures, the company's cash position of $5.2 million appears inadequate to support its current burn rate, raising serious questions about the long-term viability of the business without immediate and significant external capital injections or a drastic operational pivot.
Short-sellers would likely focus on the combination of declining revenue and negative operating margins as evidence of a failing business model that is rapidly depleting its limited liquidity. The reliance on federal contract vehicles, while providing a barrier to entry, does not appear to be translating into the financial stability required for a sustainable public company.
Quick answers to the most common questions about buying CYCU stock.
For fiscal year 2025, Cycurion, Inc. Common Stock (CYCU) reported total revenue of $15.1M.
Cycurion, Inc. Common Stock (CYCU) reported a net loss of $23.7M for the fiscal year ending 2025.
Cycurion, Inc. Common Stock (CYCU) reported an operating income of $-11.5M, resulting in an operating profit margin of -76.3%. This margin reflects the operational efficiency of the business before interest and taxes.
Cycurion, Inc. Common Stock (CYCU) generated $1.6M in gross profit for the year, representing a gross profit margin of 10.7%. This demonstrates the company's core pricing power and production efficiency.