SuperCom Ltd. reported significant financial improvements for the third quarter and first nine months of 2025, highlighted by substantial margin expansion and continued momentum in its electronic monitoring contract business. The company's nine-month financial results showed revenue of $20.4 million compared to $21.3 million in the prior year period, while gross profit increased to $12.5 million from $10.7 million, representing a notable gross margin expansion to 61% from 50.1%.
Operating performance showed dramatic improvement, with operating income nearly tripling to $3 million for the nine-month period. Net income more than doubled to $6 million, while non-GAAP net income reached $9.3 million. EBITDA increased to $7.2 million, reflecting the company's enhanced operational efficiency and profitability. Third quarter results demonstrated similar strength, with revenue of $6.2 million and gross margin climbing to 60.8% from 45.6% in the same quarter last year.
The company's operational improvements were particularly evident in Q3, where operating income rose to $0.64 million from just $0.03 million in the prior year period. Net income improved significantly to $0.7 million compared to a loss of $0.4 million in Q3 2024. These financial gains were accompanied by sharp improvements in non-GAAP metrics, EBITDA, and working capital position, indicating stronger overall financial health.
SuperCom highlighted continued business momentum with more than 30 new electronic monitoring contracts secured since mid-2024. This expansion included entry into 12 new U.S. states, multiple incumbent replacements, and major contract wins across Europe, Israel and North America. The growing demand for the company's PureSecurity platform and broader supervision solutions underscores the increasing global adoption of electronic monitoring technologies in correctional and supervisory applications.
The company's financial results and business developments are available in the full press release at https://nnw.fm/WxmKU. Additional news and updates relating to SuperCom are maintained in the company's newsroom at http://nnw.fm/SPCB. The sustained contract growth and margin expansion demonstrate SuperCom's strengthening position in the global electronic monitoring market and its ability to deliver improved financial performance despite competitive market conditions.
