CISO Global, Inc. SEC 10-Q Report
CISO Global, Inc.'s Q3 2025 SEC 10-Q report highlights financial improvements despite revenue decline. Total revenue fell to $20.34M, but gross profit rose to $5.03M due to cost management. Operational losses reduced significantly, and net income improved by $8.53M. Security services revenue dropped, while software subscriptions increased. Cost reductions in payroll and stock compensation were noted. The company plans to seek additional funding for future operations.
CISO Global, Inc., a leading provider of cybersecurity solutions, has released its Form 10-Q report for the third quarter of 2025. The report reveals significant financial and operational improvements, reflecting the company's strategic focus on cost management and efficiency, despite a decrease in total revenue. The following sections provide a detailed summary of the key financial and business highlights from the report.
Financial Highlights
- Total Revenue: $20.34 million, a decrease of $3.01 million compared to the same period in 2024, primarily due to lower annual contract values among newly acquired customers.
- Total Gross Profit: $5.03 million, an increase of $2.35 million compared to the same period in 2024, reflecting improved cost management and efficiency.
- Loss from Operations: $(6.67) million, reduced by $5.98 million compared to the same period in 2024, indicating significant cost reductions and operational improvements.
- Net Income (Loss) from Continuing Operations: $(5.86) million, improved by $8.53 million compared to the same period in 2024, driven by gains on extinguishment of convertible notes and changes in fair value of derivative liabilities.
- Basic Income (Loss) per Share: $(0.23), improved from $(1.56) in the same period in 2024, reflecting the overall improvement in net income.
Business Highlights
- Revenue Segments: Security managed services revenue decreased by 16% for the three months ended September 30, 2025, primarily due to lower annual contract values among newly acquired customers. Professional services revenue increased by 10% due to more customer projects, while cybersecurity software revenue increased by 34% due to an increase in subscriptions for the Checklight cybersecurity software.
- Cost of Revenue: Security managed services cost of revenue decreased by 19% due to lower costs associated with the existing client base. Professional services cost of revenue decreased by 46% due to decreased use of consultants. Cybersecurity software cost of revenue increased by 83% due to an increase in Checklight subscriptions.
- Operational Efficiency: Cost of payroll decreased by 15% due to headcount reductions, and stock-based compensation expenses decreased by 69% due to the forfeiture of options by terminated employees and options that contractually expired.
- Advertising and Marketing: Advertising and marketing expenses increased significantly due to investment into marketing efforts, reflecting a strategic focus on expanding market presence.
- Professional Fees: Professional fees increased by 87% due to an increase in legal and accounting fees, indicating heightened activity in these areas.
- Selling, General, and Administrative Expenses: These expenses decreased by 17% due to reductions in headcount during 2024, resulting in lower costs for compensation, insurance, and leases in 2025.
- Future Outlook: The company is evaluating strategies to obtain the required additional funding for future operations, which may include obtaining equity financing, issuing debt, or entering into other financing arrangements to support ongoing operations and growth.
SEC Filing: CISO Global, Inc. [ CISO ] - 10-Q - Nov. 13, 2025
