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Telos Telos Corporation Reports Strong Second Quarter Results Driven by Growth in Xacta , Telos Ghost and Secure Networks ; Delivers Gross Margin Expansion and Positive Cash Flow ; Reaffirms Full Year Guidance August 16 , 2021 • Delivers Revenues of $ 52.6 million ; Up 8 % Reported ; Up 48 % Excluding Contract with U.S. Census Bureau ; Reports Double Digit Growth in Xacta , Telos Ghost , and Secure Networks • Increases Gross Profit 17 % to $ 20.6 Million ; Expands Gross Margin 290 Basis Points to 39.1 % • Generates $ 3.5 Million of Cash Flow from Operations • Reaffirms 2021 Sales Guidance of $ 283 million - $ 295 million and Adjusted EBITDA Guidance of $ 33 million $ 36 million ASHBURN , Va . , Aug. 16 , 2021 ( GLOBE NEWSWIRE ) -- Telos® Corporation ( NASDAQ : TLS ) , a leading provider of cyber , cloud and enterprise security solutions for the world's most security - conscious organizations , today announced financial results for the second quarter 2021 . " We delivered a solid second quarter , as we continued to deliver revenue growth and win meaningful , large - scale contracts such as a task order for our Xacta solution from the Air Force and an expanded partnership with a major intelligence community customer , " said John B. Wood , CEO and chairman , Telos . " Since the beginning of 2021 , we have achieved our objective and tripled our sales , marketing and channel team and continued to attract top talent . Our impressive results continue to be driven by strong demand for our advanced security solutions , supported by recent increased funding to address cybersecurity needs . We are well positioned to continue to execute as a leading , world class organization in the cyber , cloud and enterprise security market , and we reaffirm our outlook for the full year . " Second Quarter 2021 Financial Highlights ( in millions , except per share data ) Revenue ¹ Gross Profit Gross Margin GAAP Net Income ( Loss ) Adjusted Net Income ( Loss ) 2 , 3 Enterprise EBITDA² Adjusted EBITDA2 , 3 GAAP Net Income ( Loss ) per Share Attributable to Telos Corporation , Diluted Adjusted EPS2 , 3 Weighted - average Shares of Common Stock Outstanding , Diluted Cash Flow from Operations 1 2Q 2021 $ 52.6 $ 20.6 39.1 % $ ( 18.7 ) $ 2.6 $ ( 17.2 ) $ 4.2 $ ( 0.28 ) $ 0.04 66.6 $ 3.5 2Q 2020 $ 48.6 $ 17.6 36.2 % $ 3.1 $ 0.3 $ 6.4 $ 6.4 $ 0.01 $ 0.01 39.9 $ ( 0.9 ) Includes $ 1.4 million of revenue from the contract with the US Census Bureau in Q2 2021 and $ 14.1 million in Q2 2020. Excluding this contract , year - over - year growth is 48 % . 2 Adjusted EBITDA , Enterprise EBITDA , Adjusted Net Income ( Loss ) and Adjusted EPS are non - GAAP financial measures . Refer to " Non - GAAP Financial Measures " below . 3 After adjustment for stock compensation expense of $ 21.3 million in the second quarter 2021 and $ 0 in the second quarter 2020 . Selected Second Quarter and Recent 2021 Business Highlights : New Business Activities • Telos added a third cloud service provider to our roster of cloud customers using Xacta Ⓡ . This is in addition to the strong relationships the company has with Amazon Web Services and Microsoft Azure . • Xacta continued to provide significant value to the financial services market , as evidenced by a software license and support renewal by a major Fortune 50 insurance company . • Telos saw increased commercial adoption of their security solutions , with new and renewed contracts from AT & T , Collins Aerospace , Accenture , Northrop Grumman , Vibrent Health , Iron Net Cybersecurity and Comtech Telecommunications Corp. Partner Enhancements Solution Enhancements • Telos launched the Telos CyberProtect Partner Program , with launch partners DLT , a Tech Data company , and Presidio Federal . By formalizing the channel program , Telos will drive accelerated growth , generate new revenue streams and deliver on the mission of providing world - class security solutions .