Telos Reports 26 Percent Revenue Growth
Telos(NASDAQ:TLS) reported second quarter 2025 results on August 11, 2025, delivering revenue of $36 million (up 26% year-over-year), adjusted EBITDA of $400,000 profit (versus loss guidance), and positive free cash flow of $4.6 million. Management announced expanded TSA PreCheck presence, a FedRAMP High certification for Xacta, and reinitiated share repurchases, setting expectations for continued acceleration in growth and margin improvement in the second half of 2025. Key insights below highlight execution on large federal programs, cash generation, and a strong growth pipeline.
Security solutions accounted for approximately 90% of revenue, with significant year-over-year growth—82% in this segment—driven by rapid scale-up of major federal programs such as DMDC and TSA PreCheck. The return to positive adjusted EBITDA was especially pronounced, with a $3.3 million year-over-year improvement on $7.5 million revenue growth, pointing to strong incremental margins.
This amplifies revenue visibility and margin leverage as program ramps mature.
Source Fool.com
