$80M+ Backlog as Florida Statewide Contract, Federal Wins, and Strategic Alliance Fuel Next Phase of AI-Driven Cybersecurity Growth: Cycurion $CYCU
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MCLEAN, Va. - OhioPen -- Cycurion, Inc. (N A S D A Q: CYCU) — the AI-powered cybersecurity and data-modernization leader founded by internet pioneer Emmit McHenry, known for creating the foundational protocols behind the .com domain system — is entering 2026 with unprecedented momentum. With a contract backlog now exceeding $80 million, major new federal and state awards, strengthened strategic partnerships, and accelerating revenue run-rates, CYCU is positioning itself as one of the most compelling emerging growth stories in cybersecurity today.

Florida State Term Contract Accelerates Government Market Penetration

On December 2, Cycurion announced it has secured a coveted position on Florida's Statewide Management Consulting Services Term Contract, immediately becoming an approved vendor to provide strategic consulting and IT transformation expertise across all state agencies.

This award enables Cycurion to deliver high-value services including:

• Strategic and organizational assessments
• Program and project management
• Process optimization
• Enterprise policy and performance analysis
• Comprehensive government IT modernization

For a company already serving some of the world's most complex government entities—including the U.S. Dept. of Defense, Defense Intelligence Agency, Homeland Security, and the U.S. Navy—the Florida State Term Contract is a powerful force multiplier across one of the country's largest state ecosystems.

CYCU and IQST Enhance Strategic Alliance While Preserving $1M in Cross Holdings

In a joint announcement with iQSTEL ($IQST) on November 25, Cycurion reaffirmed and strengthened its previously announced cross-holding alliance. Both companies will now:

• Retain the full $1,000,000 in cross-ownership shares, and
• Independently distribute $500,000 worth of their own shares to shareholders via one-time dividends.

This streamlined structure enhances shareholder value while maintaining the long-term strategic relationship between the companies. The original share swap is expected to proceed after seasoning requirements are met next year.

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AI-Driven Cybersecurity Platform Continues to Gain Market Traction

Cycurion's flagship platform, ARx, is one of the first solutions to fully integrate multi-layered real-time AI inspection around digital assets without requiring cloud hosting or hardware installations. This non-invasive wrap-around model protects critical systems while keeping all client IP and infrastructure air-gapped and private.

This architecture differentiates Cycurion from traditional MSSPs and positions the company as a full-service cybersecurity partner capable of protecting vital systems for:

• Fortune 100 and Fortune 500 companies
• Sensitive defense and intelligence agencies
• Healthcare organizations and NACCHO affiliates
• State, local, and educational (SLED) institutions
• Large national private-sector enterprises

Q3 2025 Results Reflect Strategic Pivot as Growth Accelerates into 2026

Despite YoY revenue dips related to merger activity and a deliberate refocus toward higher-margin SLED contracts, Q3 results revealed a revitalized financial trajectory:

Q3 2025 Financial Highlights

• Revenue: $3.83M in Q3; $11.59M YTD
• Gross Profit: $1.18M YTD
• Assets: Up 26.4% to $32.31M
• Cash: Surged to $3.65M from just $0.04M at the end of 2024
• Financing: $10.78M inflow supporting technology development and talent expansion

The company's renewed positioning is already paying dividends as Q4 2025 and Q1 2026 projections show significant acceleration.

Run-Rate Revenue to Hit $4.17M in Q1 2026 — Annualized at $16.66M

Cycurion expects substantial Q4 and Q1 topline momentum, driven by:

New State & Local Government (SLG) Contract

• $26,500 revenue in November
• Growing to $283,042/month by January 2026 (10x increase in 60 days)

Cycurion-Branded Revenue

• Launching December 2025 at $12,500
• Ramping to $58,333/month by January

Together, these components support a projected $4.17M Q1 run-rate, boosting confidence in the company's near-term growth trajectory.

New Federal and County-Level Wins Expand Long-Term Backlog and Capabilities

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Modernizing Emergency Warning Networks Across 1,300 Sites

On November 10, CYCU won a multi-year federal modernization contract via one of America's largest telecom providers. The project:

• Upgrades critical emergency infrastructure
• Spans all 50 states and U.S. territories
• May exceed $1 million in total value
• Reaffirms a 20-year partnership between Cycurion and the telecom provider

$1.1 Million Data Modernization Contract for Major U.S. County

Announced November 5, CYCU subsidiary SLG Innovation will:

• Migrate decades of critical government data
• Modernize legacy AS400 and Access systems
• Deploy a unified Microsoft SQL Server environment
• Ensure mission-critical cybersecurity continuity during government shutdowns

This project is another anchor engagement supporting the company's expanding national presence across SLED organizations.

A Company Built by the Pioneer Who Helped Create the Internet

CEO and Founder Emmit McHenry—the technologist behind the original algorithms enabling .com domains—continues to direct Cycurion's vision. His leadership has positioned CYCU at the intersection of:

• AI-infused cybersecurity
• Government modernization
• Cloud-optional, zero-trust protection frameworks
• Mission-critical infrastructure resilience

Few emerging cybersecurity companies carry this level of historical credibility and technical lineage.

Conclusion: Cycurion Emerges as a High-Growth AI Cybersecurity Contender with National Reach

With a rapidly expanding customer base, strategic state and federal wins, an $80M+ backlog, accelerating revenues, and a leadership team rooted in the very origins of the internet, Cycurion appears poised for substantial value creation heading into 2026.

Investors watching the intersection of AI, cybersecurity, and government IT modernization are increasingly turning their attention to CYCU as one of the sector's most under-recognized but high-potential players.

For More Information

Cycurion, Inc. (N A S D A Q: CYCU)
Website: www.cycurion.com
Media Contact: Kevin Kelly, Chairman & CEO
Email: info@cycurion.com
Phone: 888-341-6680

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