0000320121-25-000051 | 10-Q | XBRL Viewer

Print Document

ACCOUNTS RECEIVABLE, NET - Schedule of Accounts, Notes, Loans and Financing Receivable (Details) - USD ($) $ in Thousands	Sep. 30, 2025	Dec. 31, 2024
Accounts Receivable, after Allowance for Credit Loss [Abstract]
Billed accounts receivable	$ 13,790	$ 10,070
Unbilled accounts receivable	6,326	5,412
Contract assets	358	3,746
Allowance for credit losses	(51)	(56)
Accounts receivable, net	$ 20,423	$ 19,172

OTHER BALANCE SHEET COMPONENTS

9 Months Ended

Sep. 30, 2025

Organization, Consolidation and Presentation of Financial Statements [Abstract]

OTHER BALANCE SHEET COMPONENTS


Table 9.1: Details of Other Assets
	September 30, 2025		December 31, 2024

	(in thousands)
Investment (1)	$	3,000	$	3,000
Prepaid expense and deferred commission – long-term portion	637		4,975
Restricted cash	140		139
Other	75		75
Other assets	$	3,852	$	8,189

(1) In March 2024, the Company made a $3.0 million investment in a privately held company via a simple agreement for future equity. The Company elected to apply the fair value option on this investment. The Company believes the fair value option best reflects the economics of the underlying transaction. The fair value of this investment was based on non-marketable observable inputs, which represent Level 3 measurement within the fair value hierarchy. Changes in the fair value of this investment are recognized within "Other income" on the unaudited consolidated statements of operations, if any. During the three and nine months ended September 30, 2025, and 2024, the Company did not recognize any changes in the fair value.


Table 9.2: Details of Accrued Liabilities
	September 30, 2025		December 31, 2024

	(in thousands)
Accrued project expenses	$	5,169	$	3,238
Restructuring expenses accrual	—		37
Other	1,971		1,174
Other current liabilities	$	7,140	$	4,449

CONSOLIDATED STATEMENTS OF OPERATIONS - USD ($) shares in Thousands, $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2025	Sep. 30, 2024	Sep. 30, 2025	Sep. 30, 2024
Total revenue	$ 51,444	$ 23,783	$ 118,028	$ 81,900
Impairment loss on intangible assets	0	5,333	0	5,333
Depreciation and amortization	2,356	1,490	5,574	4,807
Total cost of sales	30,898	20,640	73,368	58,089
Gross profit	20,546	3,143	44,660	23,811
Operating expenses:
Research and development expenses	1,899	2,409	4,982	7,038
Selling, general and administrative expenses	21,115	23,225	61,051	56,346
Impairment loss on intangible assets	0	6,373	0	6,373
Total operating expenses	23,014	32,007	66,033	69,757
Operating loss	(2,468)	(28,864)	(21,373)	(45,946)
Other income	511	983	1,625	3,299
Interest expense	(136)	(157)	(424)	(492)
Loss before income taxes	(2,093)	(28,038)	(20,172)	(43,139)
Provision for income taxes	(21)	(17)	(63)	(51)
Net loss	$ (2,114)	$ (28,055)	$ (20,235)	$ (43,190)
Net loss per share:
Basic (in dollars per share)	$ (0.03)	$ (0.39)	$ (0.28)	$ (0.60)
Diluted (in dollars per share)	$ (0.03)	$ (0.39)	$ (0.28)	$ (0.60)
Weighted-average shares outstanding:
Basic (in shares)	72,580	72,309	72,819	71,654
Diluted (in shares)	72,580	72,309	72,819	71,654
Service
Total revenue	$ 43,486	$ 22,197	$ 101,632	$ 78,017
Cost of sales	22,906	12,689	55,002	45,681
Product
Total revenue	7,958	1,586	16,396	3,883
Cost of sales	$ 5,636	$ 1,128	$ 12,792	$ 2,268

INTANGIBLE ASSETS, NET - Finite-Lived Intangible Assets (Details) - USD ($) $ in Thousands	Sep. 30, 2025	Dec. 31, 2024
Finite-Lived Intangible Assets [Line Items]
Gross Carrying Amount	$ 43,558	$ 31,036
Accumulated Amortization	(22,991)	(17,351)
Net Carrying Value	20,567	13,685
Intangible Assets, Net (Excluding Goodwill) [Abstract]
Gross Carrying Amount	54,237	47,761
Accumulated Amortization	(22,991)	(17,351)
Net Carrying Value	31,246	30,410
In-process Software Development Costs
Indefinite-lived Intangible Assets [Line Items]
Indefinite-lived intangible assets	$ 10,679	16,725
Acquired technology
Finite-Lived Intangible Assets [Line Items]
Estimated Useful Life	8 years
Gross Carrying Amount	$ 3,630	3,630
Accumulated Amortization	(1,891)	(1,550)
Net Carrying Value	1,739	2,080
Intangible Assets, Net (Excluding Goodwill) [Abstract]
Accumulated Amortization	$ (1,891)	(1,550)
Customer relationship
Finite-Lived Intangible Assets [Line Items]
Estimated Useful Life	3 years
Gross Carrying Amount	$ 40	40
Accumulated Amortization	(40)	(40)
Net Carrying Value	0	0
Intangible Assets, Net (Excluding Goodwill) [Abstract]
Accumulated Amortization	(40)	(40)
Software development costs
Finite-Lived Intangible Assets [Line Items]
Gross Carrying Amount	39,888	27,366
Accumulated Amortization	(21,060)	(15,761)
Net Carrying Value	18,828	11,605
Intangible Assets, Net (Excluding Goodwill) [Abstract]
Accumulated Amortization	$ (21,060)	$ (15,761)
Software development costs \| Minimum
Finite-Lived Intangible Assets [Line Items]
Estimated Useful Life	2 years
Software development costs \| Maximum
Finite-Lived Intangible Assets [Line Items]
Estimated Useful Life	5 years

CONSOLIDATED STATEMENTS OF COMPREHENSIVE LOSS - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2025	Sep. 30, 2024	Sep. 30, 2025	Sep. 30, 2024
Statement of Comprehensive Income [Abstract]
Net loss	$ (2,114)	$ (28,055)	$ (20,235)	$ (43,190)
Other comprehensive income (loss), net of tax:
Foreign currency translation adjustments	1	22	76	(34)
Actuarial gain (loss) on pension liability adjustment	0	0	8	(30)
Other comprehensive income (loss)	1	22	84	(64)
Comprehensive loss	$ (2,113)	$ (28,033)	$ (20,151)	$ (43,254)

- Definition

Amount after tax of increase (decrease) in equity from transactions and other events and circumstances from net income and other comprehensive income, attributable to parent entity. Excludes changes in equity resulting from investments by owners and distributions to owners.

+ References + Details

- Definition

The portion of profit or loss for the period, net of income taxes, which is attributable to the parent.

+ References

Reference 1: http://www.xbrl.org/2003/role/exampleRef
-Topic 946
-SubTopic 830
-Name Accounting Standards Codification
-Section 55
-Paragraph 10
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147479168/946-830-55-10

Reference 2: http://www.xbrl.org/2003/role/exampleRef
-Topic 220
-SubTopic 40
-Name Accounting Standards Codification
-Section 55
-Paragraph 4
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147476153/220-40-55-4

Reference 3: http://www.xbrl.org/2003/role/exampleRef
-Topic 220
-SubTopic 40
-Name Accounting Standards Codification
-Section 55
-Paragraph 21
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147476153/220-40-55-21

Reference 4: http://www.xbrl.org/2003/role/exampleRef
-Topic 220
-SubTopic 40
-Name Accounting Standards Codification
-Section 55
-Paragraph 14
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147476153/220-40-55-14

Reference 5: http://www.xbrl.org/2003/role/disclosureRef
-Topic 235
-SubTopic 10
-Name Accounting Standards Codification
-Section S50
-Paragraph 1
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147480738/235-10-S50-1

Reference 6: http://www.xbrl.org/2003/role/disclosureRef
-Topic 235
-SubTopic 10
-Name Accounting Standards Codification
-Section S99
-Paragraph 1
-Subparagraph (SX 210.4-08(g)(1)(i))
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147480678/235-10-S99-1

Reference 7: http://www.xbrl.org/2003/role/disclosureRef
-Topic 235
-SubTopic 10
-Name Accounting Standards Codification
-Section S99
-Paragraph 1
-Subparagraph (SX 210.4-08(k)(2))
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147480678/235-10-S99-1

Reference 8: http://www.xbrl.org/2003/role/disclosureRef
-Topic 825
-SubTopic 10
-Name Accounting Standards Codification
-Section 50
-Paragraph 28
-Subparagraph (f)
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147482907/825-10-50-28

Reference 9: http://www.xbrl.org/2003/role/disclosureRef
-Topic 250
-SubTopic 10
-Name Accounting Standards Codification
-Section 50
-Paragraph 4
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147483443/250-10-50-4

Reference 10: http://www.xbrl.org/2003/role/disclosureRef
-Topic 480
-SubTopic 10
-Name Accounting Standards Codification
-Section S50
-Paragraph 3
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147479857/480-10-S50-3

Reference 11: http://www.xbrl.org/2003/role/disclosureRef
-Topic 480
-SubTopic 10
-Name Accounting Standards Codification
-Section S45
-Paragraph 3
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147479887/480-10-S45-3

Reference 12: http://www.xbrl.org/2003/role/disclosureRef
-Topic 480
-SubTopic 10
-Name Accounting Standards Codification
-Section S99
-Paragraph 3A
-Subparagraph (24)(d)
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147480244/480-10-S99-3A

Reference 13: http://www.xbrl.org/2003/role/disclosureRef
-Topic 105
-SubTopic 10
-Name Accounting Standards Codification
-Section 65
-Paragraph 9
-Subparagraph (e)
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147479343/105-10-65-9

Reference 14: http://www.xbrl.org/2003/role/disclosureRef
-Topic 718
-SubTopic 10
-Name Accounting Standards Codification
-Section 65
-Paragraph 17
-Subparagraph (d)(1)
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147480336/718-10-65-17

Reference 15: http://www.xbrl.org/2003/role/disclosureRef
-Topic 250
-SubTopic 10
-Name Accounting Standards Codification
-Section 50
-Paragraph 6
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147483443/250-10-50-6

Reference 16: http://www.xbrl.org/2003/role/disclosureRef
-Topic 250
-SubTopic 10
-Name Accounting Standards Codification
-Section 50
-Paragraph 9
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147483443/250-10-50-9

Reference 17: http://www.xbrl.org/2003/role/disclosureRef
-Topic 805
-SubTopic 60
-Name Accounting Standards Codification
-Section 65
-Paragraph 1
-Subparagraph (g)
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147476176/805-60-65-1

Reference 18: http://www.xbrl.org/2003/role/disclosureRef
-Topic 740
-SubTopic 323
-Name Accounting Standards Codification
-Section 65
-Paragraph 2
-Subparagraph (g)(3)
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147478666/740-323-65-2

Reference 19: http://fasb.org/us-gaap/role/ref/legacyRef
-Topic 220
-SubTopic 10
-Name Accounting Standards Codification
-Section S99
-Paragraph 2
-Subparagraph (SX 210.5-03(20))
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147483621/220-10-S99-2

Reference 20: http://www.xbrl.org/2003/role/disclosureRef
-Topic 235
-SubTopic 10
-Name Accounting Standards Codification
-Section S99
-Paragraph 1
-Subparagraph (SX 210.4-08(g)(1)(ii))
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147480678/235-10-S99-1

Reference 21: http://www.xbrl.org/2003/role/disclosureRef
-Topic 323
-SubTopic 10
-Name Accounting Standards Codification
-Section 50
-Paragraph 3
-Subparagraph (c)
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147481687/323-10-50-3

Reference 22: http://www.xbrl.org/2003/role/disclosureRef
-Topic 220
-SubTopic 10
-Name Accounting Standards Codification
-Section 50
-Paragraph 6
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147482765/220-10-50-6

Reference 23: http://www.xbrl.org/2003/role/disclosureRef
-Topic 250
-SubTopic 10
-Name Accounting Standards Codification
-Section 50
-Paragraph 3
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147483443/250-10-50-3

Reference 24: http://www.xbrl.org/2003/role/disclosureRef
-Topic 250
-SubTopic 10
-Name Accounting Standards Codification
-Section 50
-Paragraph 1
-Subparagraph (b)(2)
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147483443/250-10-50-1

Reference 25: http://www.xbrl.org/2003/role/disclosureRef
-Topic 815
-SubTopic 40
-Name Accounting Standards Codification
-Section 65
-Paragraph 1
-Subparagraph (f)
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147480175/815-40-65-1

Reference 26: http://www.xbrl.org/2003/role/disclosureRef
-Topic 250
-SubTopic 10
-Name Accounting Standards Codification
-Section 50
-Paragraph 8
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147483443/250-10-50-8

Reference 27: http://www.xbrl.org/2003/role/disclosureRef
-Topic 250
-SubTopic 10
-Name Accounting Standards Codification
-Section 50
-Paragraph 11
-Subparagraph (a)
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147483443/250-10-50-11

Reference 28: http://www.xbrl.org/2003/role/disclosureRef
-Topic 250
-SubTopic 10
-Name Accounting Standards Codification
-Section 50
-Paragraph 11
-Subparagraph (b)
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147483443/250-10-50-11

Reference 29: http://www.xbrl.org/2003/role/disclosureRef
-Topic 946
-SubTopic 220
-Name Accounting Standards Codification
-Section 45
-Paragraph 7
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147479105/946-220-45-7

Reference 30: http://www.xbrl.org/2003/role/disclosureRef
-Topic 944
-SubTopic 220
-Name Accounting Standards Codification
-Section S99
-Paragraph 1
-Subparagraph (SX 210.7-04(18))
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147477250/944-220-S99-1

Reference 31: http://www.xbrl.org/2003/role/disclosureRef
-Topic 946
-SubTopic 220
-Name Accounting Standards Codification
-Section S99
-Paragraph 1
-Subparagraph (SX 210.6-07(9))
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147479134/946-220-S99-1

Reference 32: http://www.xbrl.org/2003/role/disclosureRef
-Topic 946
-SubTopic 220
-Name Accounting Standards Codification
-Section S99
-Paragraph 3
-Subparagraph (SX 210.6-09(1)(d))
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147479134/946-220-S99-3

Reference 33: http://www.xbrl.org/2003/role/disclosureRef
-Topic 470
-SubTopic 10
-Name Accounting Standards Codification
-Section S99
-Paragraph 1A
-Subparagraph (SX 210.13-01(a)(4)(i))
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147480097/470-10-S99-1A

Reference 34: http://www.xbrl.org/2009/role/commonPracticeRef
-Topic 470
-SubTopic 10
-Name Accounting Standards Codification
-Section S99
-Paragraph 1A
-Subparagraph (SX 210.13-01(a)(4)(ii))
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147480097/470-10-S99-1A

Reference 35: http://www.xbrl.org/2003/role/disclosureRef
-Topic 470
-SubTopic 10
-Name Accounting Standards Codification
-Section S99
-Paragraph 1A
-Subparagraph (SX 210.13-01(a)(4)(iii)(A))
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147480097/470-10-S99-1A

Reference 36: http://www.xbrl.org/2003/role/disclosureRef
-Topic 470
-SubTopic 10
-Name Accounting Standards Codification
-Section S99
-Paragraph 1A
-Subparagraph (SX 210.13-01(a)(4)(iv))
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147480097/470-10-S99-1A

Reference 37: http://www.xbrl.org/2003/role/disclosureRef
-Topic 470
-SubTopic 10
-Name Accounting Standards Codification
-Section S99
-Paragraph 1A
-Subparagraph (SX 210.13-01(a)(5))
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147480097/470-10-S99-1A

Reference 38: http://www.xbrl.org/2003/role/disclosureRef
-Topic 470
-SubTopic 10
-Name Accounting Standards Codification
-Section S99
-Paragraph 1B
-Subparagraph (SX 210.13-02(a)(4)(i))
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147480097/470-10-S99-1B

Reference 39: http://www.xbrl.org/2003/role/disclosureRef
-Topic 470
-SubTopic 10
-Name Accounting Standards Codification
-Section S99
-Paragraph 1B
-Subparagraph (SX 210.13-02(a)(4)(iii)(A))
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147480097/470-10-S99-1B

Reference 40: http://www.xbrl.org/2003/role/disclosureRef
-Topic 470
-SubTopic 10
-Name Accounting Standards Codification
-Section S99
-Paragraph 1B
-Subparagraph (SX 210.13-02(a)(4)(iii)(B))
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147480097/470-10-S99-1B

Reference 41: http://www.xbrl.org/2003/role/disclosureRef
-Topic 470
-SubTopic 10
-Name Accounting Standards Codification
-Section S99
-Paragraph 1B
-Subparagraph (SX 210.13-02(a)(4)(iv))
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147480097/470-10-S99-1B

Reference 42: http://www.xbrl.org/2003/role/disclosureRef
-Topic 470
-SubTopic 10
-Name Accounting Standards Codification
-Section S99
-Paragraph 1B
-Subparagraph (SX 210.13-02(a)(5))
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147480097/470-10-S99-1B

Reference 43: http://www.xbrl.org/2003/role/disclosureRef
-Topic 260
-SubTopic 10
-Name Accounting Standards Codification
-Section 45
-Paragraph 60B
-Subparagraph (a)
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147482689/260-10-45-60B

Reference 44: http://www.xbrl.org/2003/role/disclosureRef
-Topic 205
-SubTopic 20
-Name Accounting Standards Codification
-Section 50
-Paragraph 7
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147483499/205-20-50-7

Reference 45: http://fasb.org/us-gaap/role/ref/legacyRef
-Topic 230
-SubTopic 10
-Name Accounting Standards Codification
-Section 45
-Paragraph 28
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147482740/230-10-45-28

Reference 46: http://www.xbrl.org/2003/role/disclosureRef
-Topic 220
-SubTopic 10
-Name Accounting Standards Codification
-Section 45
-Paragraph 1A
-Subparagraph (a)
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147482790/220-10-45-1A

Reference 47: http://www.xbrl.org/2003/role/disclosureRef
-Topic 220
-SubTopic 10
-Name Accounting Standards Codification
-Section 45
-Paragraph 1B
-Subparagraph (a)
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147482790/220-10-45-1B

Reference 48: http://www.xbrl.org/2003/role/disclosureRef
-Topic 470
-SubTopic 20
-Name Accounting Standards Codification
-Section 65
-Paragraph 4
-Subparagraph (f)(4)
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147481538/470-20-65-4

Reference 49: http://fasb.org/us-gaap/role/ref/legacyRef
-Topic 942
-SubTopic 220
-Name Accounting Standards Codification
-Section S99
-Paragraph 1
-Subparagraph (SX 210.9-04(22))
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147478524/942-220-S99-1

+ Details

- Definition

Amount after tax and reclassification adjustments of other comprehensive income (loss).

+ References

Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef
-Name Accounting Standards Codification
-Section 50
-Paragraph 2
-SubTopic 10
-Topic 505
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147481112/505-10-50-2

Reference 2: http://www.xbrl.org/2003/role/disclosureRef
-Topic 250
-SubTopic 10
-Name Accounting Standards Codification
-Section 50
-Paragraph 6
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147483443/250-10-50-6

Reference 3: http://www.xbrl.org/2003/role/disclosureRef
-Topic 830
-SubTopic 30
-Name Accounting Standards Codification
-Section 50
-Paragraph 1
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147481674/830-30-50-1

Reference 4: http://www.xbrl.org/2003/role/disclosureRef
-Topic 830
-SubTopic 30
-Name Accounting Standards Codification
-Section 45
-Paragraph 17
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147481694/830-30-45-17

Reference 5: http://www.xbrl.org/2003/role/disclosureRef
-Topic 944
-SubTopic 220
-Name Accounting Standards Codification
-Section S99
-Paragraph 1
-Subparagraph (SX 210.7-04(19))
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147477250/944-220-S99-1

Reference 6: http://www.xbrl.org/2009/role/commonPracticeRef
-Topic 220
-SubTopic 10
-Name Accounting Standards Codification
-Section 50
-Paragraph 4
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147482765/220-10-50-4

Reference 7: http://www.xbrl.org/2009/role/commonPracticeRef
-Topic 220
-SubTopic 10
-Name Accounting Standards Codification
-Section 50
-Paragraph 5
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147482765/220-10-50-5

Reference 8: http://www.xbrl.org/2003/role/disclosureRef
-Topic 830
-SubTopic 30
-Name Accounting Standards Codification
-Section 45
-Paragraph 20
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147481694/830-30-45-20

Reference 9: http://www.xbrl.org/2003/role/disclosureRef
-Topic 220
-SubTopic 10
-Name Accounting Standards Codification
-Section S99
-Paragraph 2
-Subparagraph (SX 210.5-03(21))
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147483621/220-10-S99-2

Reference 10: http://www.xbrl.org/2003/role/disclosureRef
-Topic 942
-SubTopic 220
-Name Accounting Standards Codification
-Section S99
-Paragraph 1
-Subparagraph (SX 210.9-04(23))
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147478524/942-220-S99-1

Reference 11: http://www.xbrl.org/2003/role/disclosureRef
-Topic 220
-SubTopic 10
-Name Accounting Standards Codification
-Section 45
-Paragraph 1B
-Subparagraph (b)
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147482790/220-10-45-1B

Reference 12: http://fasb.org/us-gaap/role/ref/legacyRef
-Name Accounting Standards Codification
-Section 55
-Paragraph 15
-SubTopic 10
-Topic 220
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147482739/220-10-55-15

Reference 13: http://www.xbrl.org/2003/role/disclosureRef
-Topic 220
-SubTopic 10
-Name Accounting Standards Codification
-Section 45
-Paragraph 1A
-Subparagraph (b)
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147482790/220-10-45-1A

+ Details

STOCK-BASED COMPENSATION - Stock Option Activity (Details)	9 Months Ended	12 Months Ended
	Sep. 30, 2025 USD ($) $ / shares shares	Dec. 31, 2024 USD ($) $ / shares shares
Stock Options Outstanding
Outstanding option balance at the beginning of period (in shares) \| shares	287,000
Granted (in shares) \| shares	0
Exercised (in shares) \| shares	(60,000)
Forfeited, cancelled, or expired (in shares) \| shares	0
Outstanding option balance at the ending of period (in shares) \| shares	227,000	287,000
Exercisable stock option (in shares) \| shares	227,000
Weighted-Average Exercise Price
Outstanding option balance at the beginning of period (in dollars per share) \| $ / shares	$ 1.80
Granted (in dollars per share) \| $ / shares	0
Exercised (in dollars per share) \| $ / shares	1.80
Forfeited, cancelled, or expired (in dollars per share) \| $ / shares	0
Outstanding option balance at the ending of period (in dollars per share) \| $ / shares	1.80	$ 1.80
Exercisable stock option (in dollars per share) \| $ / shares	$ 1.80
Stock Options Additional Disclosures
Weighted Average Remaining Contractual Term, Outstanding option balance	7 years 7 months 6 days	8 years 4 months 24 days
Weighted Average Remaining Contractual Term, Exercisable stock option	7 years 7 months 6 days
Aggregate Intrinsic Value, Outstanding option balance \| $	$ 1,144,080	$ 464,940
Aggregate Intrinsic Value, Exercisable stock option \| $	$ 1,144,080

REVENUE RECOGNITION (Tables)

9 Months Ended

Sep. 30, 2025

Revenue from Contract with Customer [Abstract]

Schedule of Revenue by Customer Type


Table 3.1: Revenue by Customer Type
	For the Three Months Ended						For the Nine Months Ended
	September 30, 2025			September 30, 2024			September 30, 2025			September 30, 2024
	Amount		%	Amount		%	Amount		%	Amount		%

	(dollars in thousands)
Federal	$	47,296	92 %	$	20,607	87 %	$	107,268	91%	$	72,046	88%
State, local, and commercial	4,148		8 %	3,176		13 %	10,760		9%	9,854		12%
Total revenue	$	51,444	100 %	$	23,783	100 %	$	118,028	100 %	$	81,900	100 %


Table 3.2: Revenue by Contract Type
	For the Three Months Ended						For the Nine Months Ended
	September 30, 2025			September 30, 2024			September 30, 2025			September 30, 2024
	Amount		%	Amount		%	Amount		%	Amount		%

	(dollars in thousands)
Firm fixed-price	$	39,409	77 %	$	18,293	77 %	$	84,560	71%	$	63,308	77%
Time-and-materials	9,499		18 %	3,045		13 %	26,789		23%	9,204		11%
Cost plus fixed fee	2,536		5 %	2,445		10 %	6,679		6%	9,388		12%
Total revenue	$	51,444	100 %	$	23,783	100 %	$	118,028	100%	$	81,900	100 %

A majority of the Company's revenue was derived under prime contracts and subcontracts with agencies and departments of the U.S. federal government. No other customer accounted for 10% or more of the Company's revenue during the three and nine months ended September 30, 2025, and 2024.

Schedules of Concentration of Risk


Table 3.3: Revenue Concentration Greater than 10% of Total Revenue
	For the Three Months Ended				For the Nine Months Ended
	September 30, 2025		September 30, 2024		September 30, 2025		September 30, 2024

	(in thousands)
Federal government:
Security Solutions	$	42,333	$	15,168	$	94,017	$	45,040
Secure Networks	4,963		5,439		13,251		27,006
Total	$	47,296	$	20,607	$	107,268	$	72,046

Schedule of Contract Balances


Table 3.4: Contract Balances
	Balance Sheet Presentation	September 30, 2025		December 31, 2024

		(in thousands)
Billed accounts receivable (1)	Accounts receivable, net	$	13,739	$	10,014
Unbilled accounts receivable	Accounts receivable, net	6,326		5,412
Contract assets	Accounts receivable, net	358		3,746
Contract liabilities	Contract liabilities	13,732		6,838

(1) Net of allowance for credit losses.

SHARE REPURCHASES - Narrative (Details) - USD ($) $ in Millions	Sep. 30, 2025	May 24, 2022
Equity [Abstract]
Stock repurchase program, authorized amount		$ 50.0
Stock repurchase program, remaining authorized repurchase amount	$ 31.1

SEGMENT INFORMATION - Narrative (Details)	9 Months Ended
SEGMENT INFORMATION - Narrative (Details)	Sep. 30, 2025 segment
Segment Reporting [Abstract]
Number of reportable segments	2
Number of operating segments	2

ACCUMULATED OTHER COMPREHENSIVE LOSS (Tables)

9 Months Ended

Sep. 30, 2025

Equity [Abstract]

Schedule of Accumulated Other Comprehensive Loss


Table 13: Details of Changes in the Components of Accumulated Other Comprehensive Loss
	Foreign currency translation adjustment		Pension liability adjustment		Total

	(in thousands)
Balance as of December 31, 2024	$	(175)	$	46	$	(129)
Other comprehensive income before reclassification, net of tax	76		8		84
Balance as of September 30, 2025	$	(99)	$	54	$	(45)

REVOLVING CREDIT FACILITY - (Details) $ in Millions	Dec. 30, 2022 USD ($) variable_rate day	Apr. 12, 2023 USD ($)
Debt Instrument [Line Items]
Maximum senior leverage ratio covenant	3
Receivables excluded from collateral		$ 25.0
Credit Agreement \| Revolving Credit Facility
Debt Instrument [Line Items]
Debt instrument, variable rates \| variable_rate	3
Credit Agreement \| Alternative Base Rate \| Revolving Credit Facility
Debt Instrument [Line Items]
Basis spread on variable rate	0.90%
Debt instrument, prior notice period \| day	5
Credit Agreement \| Adjusted Daily Simple Secured Overnight Financing Rate (SOFR) \| Revolving Credit Facility
Debt Instrument [Line Items]
Basis spread on variable rate	1.90%
Debt instrument, prior notice period \| day	3
Credit Agreement \| Adjusted Term Secured Overnight Financing Rate (SOFR) \| Revolving Credit Facility
Debt Instrument [Line Items]
Basis spread on variable rate	1.90%
Debt instrument, prior notice period \| day	1
Line of Credit \| Credit Agreement \| Revolving Credit Facility
Debt Instrument [Line Items]
Maximum borrowing capacity	$ 30.0
Incremental increase in interest rates in the event of default	2.00%
Line of Credit \| Credit Agreement \| Letter of Credit
Debt Instrument [Line Items]
Maximum borrowing capacity	$ 5.0
Expansion feature borrowing limit	$ 30.0

REVENUE RECOGNITION - Narrative (Details) - USD ($)	3 Months Ended		9 Months Ended
REVENUE RECOGNITION - Narrative (Details) - USD ($)	Sep. 30, 2025	Sep. 30, 2024	Sep. 30, 2025	Sep. 30, 2024
Disaggregation of Revenue [Line Items]
Contract with customer, asset, cumulative catch-up adjustment to revenue, modification of contract	$ 0	$ 0	$ 0	$ 0
Contract loss	0		0
Contract with customer, liability, revenue recognized	1,200,000	$ 1,200,000	5,300,000	$ 5,700,000
Remaining performance obligations	$ 65,500,000		$ 65,500,000
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2025-10-01
Disaggregation of Revenue [Line Items]
Remaining performance obligation (as a percent)	97.00%		97.00%
Remaining performance obligation, period	1 year		1 year
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2026-10-01
Disaggregation of Revenue [Line Items]
Remaining performance obligation, period
Revenue from Contract with Customer, Product and Service Benchmark \| Revenue Timing of Transfer of Goods or Service \| Transferred Over Time
Disaggregation of Revenue [Line Items]
Concentration risk, percentage	77.00%	78.00%	74.00%	81.00%
Revenue from Contract with Customer, Product and Service Benchmark \| Revenue Timing of Transfer of Goods or Service \| Transferred at Point in Time
Disaggregation of Revenue [Line Items]
Concentration risk, percentage	23.00%	22.00%	26.00%	19.00%

REVENUE RECOGNITION

9 Months Ended

Sep. 30, 2025

Revenue from Contract with Customer [Abstract]

REVENUE RECOGNITION

We account for revenue in accordance with ASC Topic 606, "Revenue from Contracts with Customers." The unit of account in ASC 606 is a performance obligation, which is a promise in a contract with a customer to transfer a good or service to the customer.

The majority of our revenue is recognized over time, as control is periodically transferred to our customers, who receive and consume benefits as we perform. Revenue from transfers to customers over time accounted for 77% and 74% of our revenue for the three and nine months ended September 30, 2025, respectively, and 78% and 81% of our revenue for the three and nine months ended September 30, 2024, respectively. All of our business groups earn services revenue under a variety of contract types, including time and materials, firm-fixed price, firm-fixed price level of effort, and cost-plus fixed fee contract types, which may include variable consideration. For performance obligations in which control does not periodically transfer to the customer, we recognize revenue at the point in time when each performance obligation is fully satisfied. This coincides with the point in time the customer obtains control of the product or service, which typically occurs upon customer acceptance or receipt of the product or service, given that we maintain control of the product or service until that point. Revenue from transfers to customers at a point in time accounted for 23% and 26% of our revenue for the three and nine months ended September 30, 2025, respectively, and 22% and 19% of our revenue for the three and nine months ended September 30, 2024, respectively. The change in revenue mix for the nine months ended September 30, 2025, as compared to the prior periods, was primarily driven by an increase in product sales volume from a successful ramp-up of a significant program.

Orders for the sale of software licenses may contain multiple performance obligations, such as maintenance, training, or consulting services, which are typically delivered over time, consistent with the transfer of control disclosed above for the provision of services. When an order contains multiple performance obligations, we allocate the transaction price to the performance obligations based on the standalone selling price of the product or service underlying each performance obligation. The standalone selling price represents the amount we would sell the product or service to a customer on a standalone basis.

For certain performance obligations where we are not primarily responsible for fulfilling the promise to provide goods or services to the customer, do not have inventory risk and have limited discretion in establishing the price for the goods or services, we recognize revenue on a net basis.

Our contracts may include various types of variable consideration and may include estimated amounts in the transaction price, based on all of the information available to us, and to the extent it is probable that a significant reversal of cumulative revenue recognized will not occur when any uncertainty associated with the variable consideration is resolved. We evaluate and include these estimated amounts of variable consideration in the transaction price, and as performance on these contracts is complete, we adjust our revenue when deemed necessary. No revenue adjustments were recorded during the three and nine months ended September 30, 2025, and 2024.

We provide for anticipated losses on contracts during the period when the loss is determined by recording an expense for the total expected costs that exceed the total estimated revenue for a performance obligation. No contract loss was recorded during the three months ended September 30, 2025, and 2024. We recorded an immaterial contract loss during the nine months ended September 30, 2025, and 2024.

Disaggregated Revenues

In addition to our segment reporting, as further discussed in Note 1 5 – Segment Information, we disaggregate our revenues by customer and contract types. We treat sales to U.S. customers as sales within the United States, regardless of where the services are performed. Substantially most of our revenues are generated from U.S. customers, while international customers are de minimis; as such, the financial information by geographic location is not presented.


Table 3.1: Revenue by Customer Type
	For the Three Months Ended						For the Nine Months Ended
	September 30, 2025			September 30, 2024			September 30, 2025			September 30, 2024
	Amount		%	Amount		%	Amount		%	Amount		%

	(dollars in thousands)
Federal	$	47,296	92 %	$	20,607	87 %	$	107,268	91%	$	72,046	88%
State, local, and commercial	4,148		8 %	3,176		13 %	10,760		9%	9,854		12%
Total revenue	$	51,444	100 %	$	23,783	100 %	$	118,028	100 %	$	81,900	100 %


Table 3.2: Revenue by Contract Type
	For the Three Months Ended						For the Nine Months Ended
	September 30, 2025			September 30, 2024			September 30, 2025			September 30, 2024
	Amount		%	Amount		%	Amount		%	Amount		%

	(dollars in thousands)
Firm fixed-price	$	39,409	77 %	$	18,293	77 %	$	84,560	71%	$	63,308	77%
Time-and-materials	9,499		18 %	3,045		13 %	26,789		23%	9,204		11%
Cost plus fixed fee	2,536		5 %	2,445		10 %	6,679		6%	9,388		12%
Total revenue	$	51,444	100 %	$	23,783	100 %	$	118,028	100%	$	81,900	100 %


Table 3.3: Revenue Concentration Greater than 10% of Total Revenue
	For the Three Months Ended				For the Nine Months Ended
	September 30, 2025		September 30, 2024		September 30, 2025		September 30, 2024

	(in thousands)
Federal government:
Security Solutions	$	42,333	$	15,168	$	94,017	$	45,040
Secure Networks	4,963		5,439		13,251		27,006
Total	$	47,296	$	20,607	$	107,268	$	72,046


Table 3.4: Contract Balances
	Balance Sheet Presentation	September 30, 2025		December 31, 2024

		(in thousands)
Billed accounts receivable (1)	Accounts receivable, net	$	13,739	$	10,014
Unbilled accounts receivable	Accounts receivable, net	6,326		5,412
Contract assets	Accounts receivable, net	358		3,746
Contract liabilities	Contract liabilities	13,732		6,838

(1) Net of allowance for credit losses.

The changes in the Company's contract assets and contract liabilities during the current period were primarily the result of the timing differences between the Company's performance, invoicing, and customer payments. Revenue recognized for the three and nine months ended September 30, 2025, which was included in the contract liabilities balance at December 31, 2024, was $1.2 million and $5.3 million, respectively. Revenue recognized for the three and nine months ended September 30, 2024, which was included in the contract liabilities balance at December 31, 2023, was $1.2 million and $5.7 million, respectively.

As of September 30, 2025, we had approximately $65.5 million of remaining performance obligations, which we also refer to as funded backlog. We expect to recognize approximately 97% of our remaining performance obligations over the next 12 months, and the balance thereafter.

- Definition

The entire disclosure of revenue from contract with customer to transfer good or service and to transfer nonfinancial asset. Includes, but is not limited to, disaggregation of revenue, credit loss recognized from contract with customer, judgment and change in judgment related to contract with customer, and asset recognized from cost incurred to obtain or fulfill contract with customer. Excludes insurance and lease contracts.

+ References

Reference 1: http://www.xbrl.org/2003/role/disclosureRef
-Topic 606
-SubTopic 10
-Name Accounting Standards Codification
-Section 50
-Paragraph 7
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147479806/606-10-50-7

Reference 2: http://www.xbrl.org/2003/role/disclosureRef
-Topic 606
-SubTopic 10
-Name Accounting Standards Codification
-Section 50
-Paragraph 9
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147479806/606-10-50-9

Reference 3: http://www.xbrl.org/2003/role/disclosureRef
-Topic 606
-SubTopic 10
-Name Accounting Standards Codification
-Section 50
-Paragraph 10
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147479806/606-10-50-10

Reference 4: http://www.xbrl.org/2003/role/disclosureRef
-Topic 606
-SubTopic 10
-Name Accounting Standards Codification
-Section 50
-Paragraph 15
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147479806/606-10-50-15

Reference 5: http://www.xbrl.org/2003/role/disclosureRef
-Topic 606
-SubTopic 10
-Name Accounting Standards Codification
-Section 50
-Paragraph 12
-Subparagraph (a)
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147479806/606-10-50-12

Reference 6: http://www.xbrl.org/2003/role/disclosureRef
-Topic 606
-SubTopic 10
-Name Accounting Standards Codification
-Section 50
-Paragraph 12
-Subparagraph (b)
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147479806/606-10-50-12

Reference 7: http://www.xbrl.org/2003/role/disclosureRef
-Topic 606
-SubTopic 10
-Name Accounting Standards Codification
-Section 50
-Paragraph 12
-Subparagraph (c)
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147479806/606-10-50-12

Reference 8: http://www.xbrl.org/2003/role/disclosureRef
-Topic 606
-SubTopic 10
-Name Accounting Standards Codification
-Section 50
-Paragraph 12
-Subparagraph (d)
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147479806/606-10-50-12

Reference 9: http://www.xbrl.org/2003/role/disclosureRef
-Topic 606
-SubTopic 10
-Name Accounting Standards Codification
-Section 50
-Paragraph 12
-Subparagraph (e)
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147479806/606-10-50-12

Reference 10: http://www.xbrl.org/2003/role/disclosureRef
-Topic 606
-SubTopic 10
-Name Accounting Standards Codification
-Section 50
-Paragraph 13
-Subparagraph (b)(2)
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147479806/606-10-50-13

Reference 11: http://www.xbrl.org/2003/role/disclosureRef
-Name Accounting Standards Codification
-Topic 606
-Publisher FASB
-URI https://asc.fasb.org/606/tableOfContent

+ Details

OTHER BALANCE SHEET COMPONENTS (Tables)

9 Months Ended

Sep. 30, 2025

Organization, Consolidation and Presentation of Financial Statements [Abstract]

Schedule of Other Assets


Table 9.1: Details of Other Assets
	September 30, 2025		December 31, 2024

	(in thousands)
Investment (1)	$	3,000	$	3,000
Prepaid expense and deferred commission – long-term portion	637		4,975
Restricted cash	140		139
Other	75		75
Other assets	$	3,852	$	8,189

Schedule of Accrued Liabilities


Table 9.2: Details of Accrued Liabilities
	September 30, 2025		December 31, 2024

	(in thousands)
Accrued project expenses	$	5,169	$	3,238
Restructuring expenses accrual	—		37
Other	1,971		1,174
Other current liabilities	$	7,140	$	4,449

SHARE REPURCHASES

9 Months Ended

Sep. 30, 2025

Equity [Abstract]

SHARE REPURCHASES

On May 24, 2022, the Company announced that the Board of Directors approved a share repurchase program ("SRP") authorizing the Company to repurchase up to $50.0 million of its common stock. Pursuant to this authorization, the Company may repurchase shares of its common stock on a discretionary basis from time to time through open market purchases. The repurchase program has no expiration date and may be modified, suspended, or terminated at any time. As of September 30, 2025, there was approximately $31.1 million of the authorization remaining for future common stock repurchases under the SRP.


Table 12: Share Repurchase Activity
	For the Three Months Ended				For the Nine Months Ended
	September 30, 2025		September 30, 2024		September 30, 2025		September 30, 2024

	(in thousands, except per share and share data)
Amounts paid for shares repurchased (1)	$	3,637	$	—	$	7,639	$	—
Number of shares repurchased	584,213		—		2,072,440		—
Average per share price paid (1)	$	6.23	$	—	$	3.69	$	—

(1) Includes commission paid for repurchases on the open market.

REVOLVING CREDIT FACILITY	9 Months Ended
REVOLVING CREDIT FACILITY	Sep. 30, 2025
Debt Disclosure [Abstract]
REVOLVING CREDIT FACILITY	REVOLVING CREDIT FACILITY On December 30, 2022, we entered into a Credit Agreement (the "Credit Agreement"), by and among the Company, as borrower, Xacta Corporation, ubIQuity.com, inc., Teloworks, Inc., and Telos Identity Management Solutions, LLC, as guarantors, the lenders party thereto (the "Lenders"), and JPMorgan Chase Bank N.A., as administrative agent for the Lenders (in such capacity, the "Agent"). The Credit Agreement provides for a $30.0 million senior secured revolving credit facility with a maturity date of December 30, 2025, with the option of issuing letters of credit thereunder with a sub-limit of $5.0 million, and with an uncommitted expansion feature of up to $30.0 million of additional revolver capacity (the "Loan"). The Loan is subject to acceleration in the event of customary events of default. The Company has not drawn any amount under the Loan. Borrowings under the Credit Agreement will accrue interest, at our option, at one of three variable rates, plus a specified margin. We can elect to borrow at (i) the Alternative Base Rate, plus 0.9%; (ii) Adjusted Daily Simple Secured Overnight Financing Rate ("SOFR"), plus 1.9%; and (iii) Adjusted Term SOFR, plus 1.9%, as such capitalized terms are defined and calculated in the Credit Agreement. The Company may elect to convert borrowings from one type of borrowing to another type per the terms of the Credit Agreement. After the occurrence and during the continuance of any event of default, the interest rate may increase by an additional 2.0%. We are obligated to pay accrued interest (i) with respect to amounts accruing interest based on the Alternative Base Rate, each calendar quarter and on the maturity date, (ii) with respect to amounts accruing interest based on Adjusted Daily Simple SOFR, on each one-month anniversary of the borrowing and on the maturity date, and (iii) with respect to amounts accruing interest based on Adjusted Term SOFR, at the end of the period specified per the Credit Agreement and on the maturity date. Upon five, three, or one day's prior notice, as applicable, we may prepay any portion or the entire amount of the Loan. We also paid costs and customary fees, including a closing fee, commitment fees and letter of credit participation fee, if any, payable to the Agent and Lenders, as applicable, in connection with the Loan. The Loan under the Credit Agreement is collateralized by substantially all of the Company's assets, including the Company's pledge of its domestic and material foreign subsidiary equity interests. The Loan has various covenants that may, among other things, affect our ability to create, incur, assume or suffer any indebtedness, merge into or consolidate with another entity, acquire entity interests, sell or transfer certain assets, enter into certain arrangements (such as sale and leaseback and swap agreements) or restrictive agreements, pay dividends and make certain restricted payments, and amend material documents related to any subordinated indebtedness and corporate agreements. The Credit Agreement also requires certain financial covenants to maintain a Senior Leverage Ratio on the last day of any fiscal quarter, no greater than 3-to-1. We were in compliance with all covenants as of September 30, 2025. The occurrence of an event of default under the Credit Agreement could result in the Loan and other obligations becoming immediately due and payable and allow the Lenders to exercise all rights and remedies available to them under the Credit Agreement. On April 12, 2023, the Credit Agreement was amended to exclude from collateral the (i) amount collectible from a third party related to an Accounts Receivable Purchase Agreement and (ii) receivables generated by the Company from the sale of goods supplied to this third party in an amount not to exceed $25.0 million.

- Definition

The entire disclosure for information about short-term and long-term debt arrangements, which includes amounts of borrowings under each line of credit, note payable, commercial paper issue, bonds indenture, debenture issue, own-share lending arrangements and any other contractual agreement to repay funds, and about the underlying arrangements, rationale for a classification as long-term, including repayment terms, interest rates, collateral provided, restrictions on use of assets and activities, whether or not in compliance with debt covenants, and other matters important to users of the financial statements, such as the effects of refinancing and noncompliance with debt covenants.

+ References

Reference 1: http://www.xbrl.org/2003/role/disclosureRef
-Topic 815
-SubTopic 10
-Name Accounting Standards Codification
-Section 50
-Paragraph 8A
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147480434/815-10-50-8A

Reference 2: http://www.xbrl.org/2003/role/disclosureRef
-Topic 235
-SubTopic 10
-Name Accounting Standards Codification
-Section S50
-Paragraph 1
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147480738/235-10-S50-1

Reference 3: http://www.xbrl.org/2003/role/disclosureRef
-Topic 235
-SubTopic 10
-Name Accounting Standards Codification
-Section S99
-Paragraph 1
-Subparagraph (SX 210.4-08(c))
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147480678/235-10-S99-1

Reference 4: http://www.xbrl.org/2003/role/disclosureRef
-Topic 470
-SubTopic 10
-Name Accounting Standards Codification
-Section 50
-Paragraph 6
-Subparagraph (b)
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147481544/470-10-50-6

Reference 5: http://www.xbrl.org/2003/role/disclosureRef
-Topic 470
-SubTopic 10
-Name Accounting Standards Codification
-Section 50
-Paragraph 6
-Subparagraph (a)
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147481544/470-10-50-6

Reference 6: http://www.xbrl.org/2003/role/disclosureRef
-Topic 405
-SubTopic 40
-Name Accounting Standards Codification
-Section 50
-Paragraph 1
-Subparagraph (d)
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147477092/405-40-50-1

Reference 7: http://www.xbrl.org/2003/role/disclosureRef
-Topic 405
-SubTopic 40
-Name Accounting Standards Codification
-Section 50
-Paragraph 1
-Subparagraph (a)(3)
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147477092/405-40-50-1

Reference 8: http://www.xbrl.org/2003/role/disclosureRef
-Topic 405
-SubTopic 40
-Name Accounting Standards Codification
-Section 50
-Paragraph 1
-Subparagraph (a)(2)
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147477092/405-40-50-1

Reference 9: http://www.xbrl.org/2003/role/disclosureRef
-Topic 405
-SubTopic 40
-Name Accounting Standards Codification
-Section 50
-Paragraph 1
-Subparagraph (a)(1)
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147477092/405-40-50-1

Reference 10: http://www.xbrl.org/2003/role/disclosureRef
-Topic 405
-SubTopic 40
-Name Accounting Standards Codification
-Section 50
-Paragraph 1
-Subparagraph (a)
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147477092/405-40-50-1

Reference 11: http://www.xbrl.org/2003/role/disclosureRef
-Topic 470
-SubTopic 20
-Name Accounting Standards Codification
-Section 50
-Paragraph 1B
-Subparagraph (h)
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147481139/470-20-50-1B

Reference 12: http://fasb.org/us-gaap/role/ref/legacyRef
-Topic 470
-Name Accounting Standards Codification
-Publisher FASB
-URI https://asc.fasb.org/470/tableOfContent

Reference 13: http://www.xbrl.org/2003/role/disclosureRef
-Topic 835
-SubTopic 30
-Name Accounting Standards Codification
-Section 45
-Paragraph 2
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147482925/835-30-45-2

Reference 14: http://www.xbrl.org/2003/role/disclosureRef
-Topic 470
-SubTopic 20
-Name Accounting Standards Codification
-Section 50
-Paragraph 1B
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147481139/470-20-50-1B

Reference 15: http://www.xbrl.org/2003/role/disclosureRef
-Topic 470
-SubTopic 20
-Name Accounting Standards Codification
-Section 50
-Paragraph 1B
-Subparagraph (g)
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147481139/470-20-50-1B

Reference 16: http://www.xbrl.org/2003/role/disclosureRef
-Topic 470
-SubTopic 20
-Name Accounting Standards Codification
-Section 50
-Paragraph 1B
-Subparagraph (i)
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147481139/470-20-50-1B

Reference 17: http://www.xbrl.org/2003/role/disclosureRef
-Topic 470
-SubTopic 20
-Name Accounting Standards Codification
-Section 50
-Paragraph 1C
-Subparagraph (a)
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147481139/470-20-50-1C

Reference 18: http://www.xbrl.org/2003/role/disclosureRef
-Topic 470
-SubTopic 20
-Name Accounting Standards Codification
-Section 50
-Paragraph 1C
-Subparagraph (b)
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147481139/470-20-50-1C

Reference 19: http://www.xbrl.org/2003/role/disclosureRef
-Topic 470
-SubTopic 20
-Name Accounting Standards Codification
-Section 50
-Paragraph 1C
-Subparagraph (c)
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147481139/470-20-50-1C

Reference 20: http://www.xbrl.org/2003/role/disclosureRef
-Topic 470
-SubTopic 20
-Name Accounting Standards Codification
-Section 50
-Paragraph 1E
-Subparagraph (b)
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147481139/470-20-50-1E

Reference 21: http://www.xbrl.org/2003/role/disclosureRef
-Topic 470
-SubTopic 20
-Name Accounting Standards Codification
-Section 50
-Paragraph 1I
-Subparagraph (a)
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147481139/470-20-50-1I

Reference 22: http://www.xbrl.org/2003/role/disclosureRef
-Topic 470
-SubTopic 20
-Name Accounting Standards Codification
-Section 50
-Paragraph 1I
-Subparagraph (b)
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147481139/470-20-50-1I

Reference 23: http://www.xbrl.org/2003/role/disclosureRef
-Topic 470
-SubTopic 20
-Name Accounting Standards Codification
-Section 50
-Paragraph 1I
-Subparagraph (d)
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147481139/470-20-50-1I

+ Details

OTHER BALANCE SHEET COMPONENTS - Other Assets (Details) - USD ($) $ in Thousands	Sep. 30, 2025	Dec. 31, 2024	Mar. 31, 2024
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Investment	$ 3,000	$ 3,000
Prepaid expense and deferred commission – long-term portion	637	4,975
Restricted cash	140	139
Other	75	75
Other assets	$ 3,852	$ 8,189
Investment owned cost			$ 3,000

- Definition

Cost of the investment.

+ References

Reference 1: http://www.xbrl.org/2003/role/exampleRef
-Topic 946
-SubTopic 210
-Name Accounting Standards Codification
-Section 55
-Paragraph 1
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147477439/946-210-55-1

Reference 2: http://www.xbrl.org/2003/role/disclosureRef
-Topic 946
-SubTopic 210
-Name Accounting Standards Codification
-Section 50
-Paragraph 6
-Subparagraph (a)(1)
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147478795/946-210-50-6

Reference 3: http://www.xbrl.org/2003/role/disclosureRef
-Topic 946
-SubTopic 210
-Name Accounting Standards Codification
-Section 50
-Paragraph 6
-Subparagraph (a)(2)
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147478795/946-210-50-6

Reference 4: http://www.xbrl.org/2003/role/exampleRef
-Topic 946
-SubTopic 830
-Name Accounting Standards Codification
-Section 55
-Paragraph 12
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147479168/946-830-55-12

Reference 5: http://www.xbrl.org/2009/role/commonPracticeRef
-Topic 946
-SubTopic 210
-Name Accounting Standards Codification
-Section 50
-Paragraph 6
-Subparagraph (a)(3)
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147478795/946-210-50-6

Reference 6: http://www.xbrl.org/2003/role/disclosureRef
-Topic 946
-SubTopic 10
-Name Accounting Standards Codification
-Section S99
-Paragraph 3
-Subparagraph (SX 210.6-03(d))
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147479886/946-10-S99-3

Reference 7: http://www.xbrl.org/2003/role/disclosureRef
-Topic 946
-SubTopic 320
-Name Accounting Standards Codification
-Section S99
-Paragraph 1
-Subparagraph (SX 210.12-12(Column C)(Footnote 8)(a)(3))
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147477271/946-320-S99-1

Reference 8: http://www.xbrl.org/2003/role/disclosureRef
-Topic 946
-SubTopic 320
-Name Accounting Standards Codification
-Section S99
-Paragraph 3
-Subparagraph (SX 210.12-12B(Column C)(Footnote 11)(a)(3))
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147477271/946-320-S99-3

Reference 9: http://www.xbrl.org/2003/role/disclosureRef
-Topic 946
-SubTopic 320
-Name Accounting Standards Codification
-Section S99
-Paragraph 6
-Subparagraph (SX 210.12-14(Column F)(Footnote 5)(a))
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147477271/946-320-S99-6

Reference 10: http://www.xbrl.org/2003/role/disclosureRef
-Topic 946
-SubTopic 320
-Name Accounting Standards Codification
-Section S99
-Paragraph 19
-Subparagraph (3)
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147477271/946-320-S99-19

+ Details

GOODWILL (Details) - USD ($)	3 Months Ended		9 Months Ended
GOODWILL (Details) - USD ($)	Sep. 30, 2025	Sep. 30, 2024	Sep. 30, 2025	Sep. 30, 2024	Dec. 31, 2024
Goodwill [Line Items]
Goodwill	$ 17,922,000		$ 17,922,000		$ 17,922,000
Impairment loss on intangible assets	0	$ 0	0	$ 0
Security Solutions
Goodwill [Line Items]
Goodwill	3,000,000		3,000,000		3,000,000
Secure Networks
Goodwill [Line Items]
Goodwill	$ 14,900,000		$ 14,900,000		$ 14,900,000

- Definition

Amount, after accumulated impairment loss, of asset representing future economic benefit arising from other asset acquired in business combination or from joint venture formation or both, that is not individually identified and separately recognized.

+ References

Reference 1: http://www.xbrl.org/2003/role/exampleRef
-Topic 350
-SubTopic 20
-Name Accounting Standards Codification
-Section 55
-Paragraph 24
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147482548/350-20-55-24

Reference 2: http://www.xbrl.org/2003/role/exampleRef
-Topic 805
-SubTopic 10
-Name Accounting Standards Codification
-Section 50
-Paragraph 8
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147479328/805-10-50-8

Reference 3: http://www.xbrl.org/2003/role/exampleRef
-Topic 805
-SubTopic 10
-Name Accounting Standards Codification
-Section 55
-Paragraph 41
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147479303/805-10-55-41

Reference 4: http://www.xbrl.org/2003/role/exampleRef
-Topic 805
-SubTopic 740
-Name Accounting Standards Codification
-Section 55
-Paragraph 13
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147478064/805-740-55-13

Reference 5: http://www.xbrl.org/2003/role/exampleRef
-Topic 805
-SubTopic 10
-Name Accounting Standards Codification
-Section 55
-Paragraph 39
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147479303/805-10-55-39

Reference 6: http://www.xbrl.org/2003/role/exampleRef
-Topic 280
-SubTopic 10
-Name Accounting Standards Codification
-Section 55
-Paragraph 49
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147482785/280-10-55-49

Reference 7: http://www.xbrl.org/2003/role/exampleRef
-Topic 820
-SubTopic 10
-Name Accounting Standards Codification
-Section 55
-Paragraph 100
-Subparagraph (d)
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147482078/820-10-55-100

Reference 8: http://www.xbrl.org/2003/role/exampleRef
-Topic 852
-SubTopic 10
-Name Accounting Standards Codification
-Section 55
-Paragraph 10
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147481372/852-10-55-10

Reference 9: http://www.xbrl.org/2003/role/disclosureRef
-Topic 210
-SubTopic 10
-Name Accounting Standards Codification
-Section S99
-Paragraph 1
-Subparagraph (SX 210.5-02(15))
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147480566/210-10-S99-1

Reference 10: http://www.xbrl.org/2003/role/disclosureRef
-Topic 350
-SubTopic 20
-Name Accounting Standards Codification
-Section 45
-Paragraph 1
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147482598/350-20-45-1

Reference 11: http://www.xbrl.org/2009/role/commonPracticeRef
-Topic 350
-SubTopic 20
-Name Accounting Standards Codification
-Section 50
-Paragraph 1
-Subparagraph (a)
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147482573/350-20-50-1

Reference 12: http://www.xbrl.org/2009/role/commonPracticeRef
-Topic 350
-SubTopic 20
-Name Accounting Standards Codification
-Section 50
-Paragraph 1
-Subparagraph (h)
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147482573/350-20-50-1

Reference 13: http://www.xbrl.org/2003/role/disclosureRef
-Topic 942
-SubTopic 210
-Name Accounting Standards Codification
-Section S99
-Paragraph 1
-Subparagraph (SX 210.9-03(10)(1))
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147478546/942-210-S99-1

Reference 14: http://www.xbrl.org/2009/role/commonPracticeRef
-Topic 805
-SubTopic 30
-Name Accounting Standards Codification
-Section 50
-Paragraph 4
-Subparagraph (b)
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147479581/805-30-50-4

+ Details

- Definition

Amount of impairment loss from asset representing future economic benefit arising from other asset acquired in business combination or from joint venture formation or both, that is not individually identified and separately recognized.

+ References + Details

- Definition

Line items represent financial concepts included in a table. These concepts are used to disclose reportable information associated with domain members defined in one or many axes to the table.

+ References

Reference 1: http://www.xbrl.org/2003/role/exampleRef
-Topic 350
-SubTopic 20
-Name Accounting Standards Codification
-Section 55
-Paragraph 24
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147482548/350-20-55-24

Reference 2: http://www.xbrl.org/2003/role/disclosureRef
-Topic 350
-SubTopic 20
-Name Accounting Standards Codification
-Section 50
-Paragraph 2
-Subparagraph (b)
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147482573/350-20-50-2

Reference 3: http://www.xbrl.org/2003/role/disclosureRef
-Topic 350
-SubTopic 20
-Name Accounting Standards Codification
-Section 50
-Paragraph 1
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147482573/350-20-50-1

Reference 4: http://www.xbrl.org/2003/role/disclosureRef
-Topic 350
-SubTopic 20
-Name Accounting Standards Codification
-Section 50
-Paragraph 1
-Subparagraph (a)
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147482573/350-20-50-1

Reference 5: http://www.xbrl.org/2003/role/disclosureRef
-Topic 350
-SubTopic 20
-Name Accounting Standards Codification
-Section 50
-Paragraph 1
-Subparagraph (b)
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147482573/350-20-50-1

Reference 6: http://www.xbrl.org/2003/role/disclosureRef
-Topic 350
-SubTopic 20
-Name Accounting Standards Codification
-Section 50
-Paragraph 1
-Subparagraph (c)
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147482573/350-20-50-1

Reference 7: http://www.xbrl.org/2003/role/disclosureRef
-Topic 350
-SubTopic 20
-Name Accounting Standards Codification
-Section 50
-Paragraph 1
-Subparagraph (d)
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147482573/350-20-50-1

Reference 8: http://www.xbrl.org/2003/role/disclosureRef
-Topic 350
-SubTopic 20
-Name Accounting Standards Codification
-Section 50
-Paragraph 1
-Subparagraph (e)
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147482573/350-20-50-1

Reference 9: http://www.xbrl.org/2003/role/disclosureRef
-Topic 350
-SubTopic 20
-Name Accounting Standards Codification
-Section 50
-Paragraph 1
-Subparagraph (f)
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147482573/350-20-50-1

Reference 10: http://www.xbrl.org/2003/role/disclosureRef
-Topic 350
-SubTopic 20
-Name Accounting Standards Codification
-Section 50
-Paragraph 1
-Subparagraph (g)
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147482573/350-20-50-1

Reference 11: http://www.xbrl.org/2003/role/disclosureRef
-Topic 350
-SubTopic 20
-Name Accounting Standards Codification
-Section 50
-Paragraph 1
-Subparagraph (h)
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147482573/350-20-50-1

Reference 12: http://www.xbrl.org/2003/role/disclosureRef
-Topic 350
-SubTopic 20
-Name Accounting Standards Codification
-Section 50
-Paragraph 1A
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147482573/350-20-50-1A

+ Details

SEGMENT INFORMATION (Tables)

9 Months Ended

Sep. 30, 2025

Segment Reporting [Abstract]

Results of Operations by Segment


Table 15.1: Results of Operations by Business Segment (Quarter)
	For the Three Months Ended
	September 30, 2025						September 30, 2024
	Security Solutions		Secure Networks		Total		Security Solutions		Secure Networks		Total

	(in thousands)
Revenues	$	46,478	$	4,966	$	51,444	$	18,332	$	5,451	$	23,783
Cost of Sales
Depreciation and amortization (1)	2,354		2		2,356		1,488		2		1,490
Impairment loss on intangible assets (1)	—		—		—		5,333		—		5,333
Stock-based compensation expense (1)	142		12		154		117		(2)		115
Other segment items (2)	24,696		3,692		28,388		9,084		4,618		13,702
Total cost of sales	27,192		3,706		30,898		16,022		4,618		20,640
Gross profit	$	19,286	$	1,260	20,546		$	2,310	$	833	3,143
Operating expenses
Research and development expenses					1,899						2,409
Selling, general and administrative expenses					21,115						23,225
Impairment loss on intangible assets					—						6,373
Total operating expenses					23,014						32,007
Operating loss					(2,468)						(28,864)
Other income					511						983
Interest expense					(136)						(157)
Loss before income taxes					(2,093)						(28,038)
Provision for income taxes					(21)						(17)
Net loss					$	(2,114)					$	(28,055)


Table 15.2: Results of Operations by Business Segment (Year-to-Date)
	For the Nine Months Ended
	September 30, 2025						September 30, 2024
	Security Solutions		Secure Networks		Total		Security Solutions		Secure Networks		Total

	(in thousands)
Revenues	$	104,770	$	13,258	$	118,028	$	54,839	$	27,061	$	81,900
Cost of Sales
Depreciation and amortization (1)	5,569		5		5,574		4,800		7		4,807
Impairment loss on intangible assets (1)	—		—		—		5,333		—		5,333
Stock-based compensation expense (1)	450		43		493		455		145		600
Other segment items (2)	57,107		10,194		67,301		26,050		21,299		47,349
Total cost of sales	63,126		10,242		73,368		36,638		21,451		58,089
Gross profit	$	41,644	$	3,016	44,660		$	18,201	$	5,610	23,811
Operating expenses
Research and development expenses					4,982						7,038
Selling, general and administrative expenses					61,051						56,346
Impairment loss on intangible assets					—						6,373
Total operating expenses					66,033						69,757
Operating loss					(21,373)						(45,946)
Other income					1,625						3,299
Interest expense					(424)						(492)
Loss before income taxes					(20,172)						(43,139)
Provision for income taxes					(63)						(51)
Net loss					$	(20,235)					$	(43,190)

(1) The significant segment expense categories and amounts align with the segment-level information regularly provided to the CODM.

(2) Other segment items for each reportable segment include direct labor, direct subcontractor costs, direct materials and inventory, other direct non-labor costs, fringes, overhead, and facility costs.

REVENUE RECOGNITION - Disaggregation of Revenue (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2025	Sep. 30, 2024	Sep. 30, 2025	Sep. 30, 2024
Disaggregation of Revenue [Line Items]
Total revenue	$ 51,444	$ 23,783	$ 118,028	$ 81,900
Security Solutions
Disaggregation of Revenue [Line Items]
Total revenue	46,478	18,332	104,770	54,839
Secure Networks
Disaggregation of Revenue [Line Items]
Total revenue	4,966	5,451	13,258	27,061
Revenue from Contract with Customer, Product and Service Benchmark \| Customer Concentration Risk
Disaggregation of Revenue [Line Items]
Total revenue	$ 51,444	$ 23,783	$ 118,028	$ 81,900
Concentration risk, percentage	100.00%	100.00%	100.00%	100.00%
Revenue from Contract with Customer, Product and Service Benchmark \| Customer Concentration Risk \| Firm fixed-price
Disaggregation of Revenue [Line Items]
Total revenue	$ 39,409	$ 18,293	$ 84,560	$ 63,308
Concentration risk, percentage	77.00%	77.00%	71.00%	77.00%
Revenue from Contract with Customer, Product and Service Benchmark \| Customer Concentration Risk \| Time-and-materials
Disaggregation of Revenue [Line Items]
Total revenue	$ 9,499	$ 3,045	$ 26,789	$ 9,204
Concentration risk, percentage	18.00%	13.00%	23.00%	11.00%
Revenue from Contract with Customer, Product and Service Benchmark \| Customer Concentration Risk \| Cost plus fixed fee
Disaggregation of Revenue [Line Items]
Total revenue	$ 2,536	$ 2,445	$ 6,679	$ 9,388
Concentration risk, percentage	5.00%	10.00%	6.00%	12.00%
Federal \| Revenue from Contract with Customer, Product and Service Benchmark \| Customer Concentration Risk
Disaggregation of Revenue [Line Items]
Total revenue	$ 47,296	$ 20,607	$ 107,268	$ 72,046
Concentration risk, percentage	92.00%	87.00%	91.00%	88.00%
Federal \| Revenue from Contract with Customer, Segment Benchmark \| Customer Concentration Risk
Disaggregation of Revenue [Line Items]
Total revenue	$ 47,296	$ 20,607	$ 107,268	$ 72,046
Federal \| Revenue from Contract with Customer, Segment Benchmark \| Customer Concentration Risk \| Security Solutions
Disaggregation of Revenue [Line Items]
Total revenue	42,333	15,168	94,017	45,040
Federal \| Revenue from Contract with Customer, Segment Benchmark \| Customer Concentration Risk \| Secure Networks
Disaggregation of Revenue [Line Items]
Total revenue	4,963	5,439	13,251	27,006
State, local, and commercial \| Revenue from Contract with Customer, Product and Service Benchmark \| Customer Concentration Risk
Disaggregation of Revenue [Line Items]
Total revenue	$ 4,148	$ 3,176	$ 10,760	$ 9,854
Concentration risk, percentage	8.00%	13.00%	9.00%	12.00%

LOSS PER SHARE (Tables)

9 Months Ended

Sep. 30, 2025

Earnings Per Share [Abstract]

Schedule of Potentially Dilutive Securities

Table 14: Potentially Dilutive Securities

For the Three Months Ended

For the Nine Months Ended

September 30, 2025

September 30, 2024

September 30, 2025

September 30, 2024

(in thousands)

Weighted-average number of shares – unvested RSUs, PSUs and stock options

2,972

524

2,073

869

PROPERTY AND EQUIPMENT, NET (Tables)

9 Months Ended

Sep. 30, 2025

Property, Plant and Equipment [Abstract]

Schedule of Property and Equipment, Net


Table 6.1: Details of Property and Equipment, Net
	September 30, 2025						December 31, 2024
	Gross Carrying Amount		Accumulated Depreciation and Amortization		Net Carrying Value		Gross Carrying Amount		Accumulated Depreciation and Amortization		Net Carrying Value

	(in thousands)
Furniture and equipment	$	17,514	$	(14,588)	$	2,926	$	17,239	$	(13,617)	$	3,622
Leasehold improvements	3,419		(2,856)		563		3,396		(2,735)		661
Total	$	20,933	$	(17,444)	$	3,489	$	20,635	$	(16,352)	$	4,283


Table 6.2: Depreciation and Amortization Expense
	For the Three Months Ended				For the Nine Months Ended
	September 30, 2025		September 30, 2024		September 30, 2025		September 30, 2024

	(in thousands)
Depreciation and amortization expense	$	432	$	329	$	1,299	$	1,223

INTANGIBLE ASSETS, NET - Narrative (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2025	Sep. 30, 2024	Sep. 30, 2025	Sep. 30, 2024
Finite-Lived Intangible Assets [Line Items]
Impairment loss on intangible assets		$ 11,700	$ 0	$ 11,706
Impairment loss on intangible assets	$ 0	5,333	0	5,333
Impairment losses	0	6,373	0	6,373
Other asset impairment charges	0	$ 0	0	$ 0
Software development costs
Finite-Lived Intangible Assets [Line Items]
Impairment losses	$ 0		$ 0

- Definition

Line items represent financial concepts included in a table. These concepts are used to disclose reportable information associated with domain members defined in one or many axes to the table.

+ References

Reference 1: http://www.xbrl.org/2003/role/exampleRef
-Topic 805
-SubTopic 20
-Name Accounting Standards Codification
-Section 55
-Paragraph 31
-Subparagraph (b)
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147479876/805-20-55-31

Reference 2: http://www.xbrl.org/2003/role/exampleRef
-Topic 805
-SubTopic 20
-Name Accounting Standards Codification
-Section 55
-Paragraph 20
-Subparagraph (a)
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147479876/805-20-55-20

Reference 3: http://www.xbrl.org/2003/role/exampleRef
-Topic 805
-SubTopic 20
-Name Accounting Standards Codification
-Section 55
-Paragraph 20
-Subparagraph (c)
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147479876/805-20-55-20

Reference 4: http://www.xbrl.org/2003/role/exampleRef
-Topic 805
-SubTopic 20
-Name Accounting Standards Codification
-Section 55
-Paragraph 38
-Subparagraph (d)
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147479876/805-20-55-38

Reference 5: http://www.xbrl.org/2003/role/exampleRef
-Topic 805
-SubTopic 20
-Name Accounting Standards Codification
-Section 55
-Paragraph 31
-Subparagraph (h)
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147479876/805-20-55-31

Reference 6: http://www.xbrl.org/2003/role/exampleRef
-Topic 805
-SubTopic 20
-Name Accounting Standards Codification
-Section 55
-Paragraph 38
-Subparagraph (e)
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147479876/805-20-55-38

Reference 7: http://www.xbrl.org/2003/role/exampleRef
-Topic 805
-SubTopic 20
-Name Accounting Standards Codification
-Section 55
-Paragraph 38
-Subparagraph (c)
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147479876/805-20-55-38

Reference 8: http://www.xbrl.org/2003/role/exampleRef
-Topic 805
-SubTopic 20
-Name Accounting Standards Codification
-Section 55
-Paragraph 38
-Subparagraph (b)
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147479876/805-20-55-38

Reference 9: http://www.xbrl.org/2003/role/exampleRef
-Topic 805
-SubTopic 20
-Name Accounting Standards Codification
-Section 55
-Paragraph 38
-Subparagraph (a)
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147479876/805-20-55-38

Reference 10: http://www.xbrl.org/2003/role/exampleRef
-Topic 805
-SubTopic 20
-Name Accounting Standards Codification
-Section 55
-Paragraph 38
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147479876/805-20-55-38

Reference 11: http://www.xbrl.org/2003/role/exampleRef
-Topic 805
-SubTopic 20
-Name Accounting Standards Codification
-Section 55
-Paragraph 31
-Subparagraph (i)
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147479876/805-20-55-31

Reference 12: http://www.xbrl.org/2003/role/exampleRef
-Topic 805
-SubTopic 20
-Name Accounting Standards Codification
-Section 55
-Paragraph 31
-Subparagraph (g)
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147479876/805-20-55-31

Reference 13: http://www.xbrl.org/2003/role/exampleRef
-Topic 805
-SubTopic 20
-Name Accounting Standards Codification
-Section 55
-Paragraph 31
-Subparagraph (f)
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147479876/805-20-55-31

Reference 14: http://www.xbrl.org/2003/role/exampleRef
-Topic 805
-SubTopic 20
-Name Accounting Standards Codification
-Section 55
-Paragraph 31
-Subparagraph (e)
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147479876/805-20-55-31

Reference 15: http://www.xbrl.org/2003/role/exampleRef
-Topic 805
-SubTopic 20
-Name Accounting Standards Codification
-Section 55
-Paragraph 31
-Subparagraph (d)
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147479876/805-20-55-31

Reference 16: http://www.xbrl.org/2003/role/exampleRef
-Topic 805
-SubTopic 20
-Name Accounting Standards Codification
-Section 55
-Paragraph 31
-Subparagraph (c)
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147479876/805-20-55-31

Reference 17: http://www.xbrl.org/2003/role/exampleRef
-Topic 805
-SubTopic 20
-Name Accounting Standards Codification
-Section 55
-Paragraph 31
-Subparagraph (a)
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147479876/805-20-55-31

Reference 18: http://www.xbrl.org/2003/role/exampleRef
-Topic 805
-SubTopic 20
-Name Accounting Standards Codification
-Section 55
-Paragraph 31
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147479876/805-20-55-31

Reference 19: http://www.xbrl.org/2003/role/exampleRef
-Topic 805
-SubTopic 20
-Name Accounting Standards Codification
-Section 55
-Paragraph 29
-Subparagraph (e)
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147479876/805-20-55-29

Reference 20: http://www.xbrl.org/2003/role/exampleRef
-Topic 805
-SubTopic 20
-Name Accounting Standards Codification
-Section 55
-Paragraph 29
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147479876/805-20-55-29

Reference 21: http://www.xbrl.org/2003/role/exampleRef
-Topic 805
-SubTopic 20
-Name Accounting Standards Codification
-Section 55
-Paragraph 20
-Subparagraph (b)
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147479876/805-20-55-20

Reference 22: http://www.xbrl.org/2003/role/exampleRef
-Topic 805
-SubTopic 20
-Name Accounting Standards Codification
-Section 55
-Paragraph 20
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147479876/805-20-55-20

Reference 23: http://www.xbrl.org/2003/role/exampleRef
-Topic 805
-SubTopic 20
-Name Accounting Standards Codification
-Section 55
-Paragraph 14
-Subparagraph (e)
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147479876/805-20-55-14

Reference 24: http://www.xbrl.org/2003/role/exampleRef
-Topic 805
-SubTopic 20
-Name Accounting Standards Codification
-Section 55
-Paragraph 14
-Subparagraph (d)
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147479876/805-20-55-14

Reference 25: http://www.xbrl.org/2003/role/exampleRef
-Topic 805
-SubTopic 20
-Name Accounting Standards Codification
-Section 55
-Paragraph 14
-Subparagraph (b)
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147479876/805-20-55-14

Reference 26: http://www.xbrl.org/2003/role/exampleRef
-Topic 805
-SubTopic 20
-Name Accounting Standards Codification
-Section 55
-Paragraph 14
-Subparagraph (a)
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147479876/805-20-55-14

Reference 27: http://www.xbrl.org/2003/role/exampleRef
-Topic 805
-SubTopic 20
-Name Accounting Standards Codification
-Section 55
-Paragraph 14
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147479876/805-20-55-14

Reference 28: http://www.xbrl.org/2003/role/exampleRef
-Name Accounting Standards Codification
-Section 55
-Paragraph 40
-SubTopic 30
-Topic 350
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147482640/350-30-55-40

Reference 29: http://www.xbrl.org/2003/role/disclosureRef
-Topic 350
-SubTopic 30
-Name Accounting Standards Codification
-Section 50
-Paragraph 2
-Subparagraph (d)(2)
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147482665/350-30-50-2

Reference 30: http://www.xbrl.org/2003/role/disclosureRef
-Topic 350
-SubTopic 30
-Name Accounting Standards Codification
-Section 50
-Paragraph 2
-Subparagraph (d)(1)
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147482665/350-30-50-2

Reference 31: http://www.xbrl.org/2003/role/disclosureRef
-Topic 350
-SubTopic 30
-Name Accounting Standards Codification
-Section 45
-Paragraph 1
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147482686/350-30-45-1

Reference 32: http://www.xbrl.org/2003/role/disclosureRef
-Topic 350
-SubTopic 30
-Name Accounting Standards Codification
-Section 50
-Paragraph 2
-Subparagraph (a)(1)
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147482665/350-30-50-2

Reference 33: http://www.xbrl.org/2003/role/disclosureRef
-Topic 350
-SubTopic 30
-Name Accounting Standards Codification
-Section 50
-Paragraph 3
-Subparagraph (d)
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147482665/350-30-50-3

Reference 34: http://www.xbrl.org/2003/role/disclosureRef
-Topic 985
-SubTopic 20
-Name Accounting Standards Codification
-Section 50
-Paragraph 2
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147481283/985-20-50-2

Reference 35: http://www.xbrl.org/2003/role/disclosureRef
-Topic 926
-SubTopic 20
-Name Accounting Standards Codification
-Section 50
-Paragraph 5
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147483154/926-20-50-5

+ Details

CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands	9 Months Ended
	Sep. 30, 2025	Sep. 30, 2024
Cash flows from operating activities:
Net loss	$ (20,235)	$ (43,190)
Adjustments to reconcile net loss to cash provided by (used in) operating activities:
Stock-based compensation	24,193	14,017
Depreciation and amortization	8,022	9,368
Amortization of debt issuance costs	52	52
Deferred income tax provision	41	37
Loss (gain) on disposal of fixed assets	1	(13)
Provision for (recovery from) doubtful accounts	3	(28)
Impairment loss on intangible assets	0	11,706
Changes in other operating assets and liabilities:
Accounts receivable	(1,254)	15,571
Inventories	1,081	14
Prepaid expenses, deferred program expenses, other current assets, other assets	701	(10,049)
Accounts payable	(1,263)	(6,211)
Accrued compensation and benefits	1,420	(5,266)
Contract liabilities	6,894	52
Accrued liabilities and other liabilities	2,546	(1,480)
Net cash provided by (used in) operating activities	22,202	(15,420)
Cash flows from investing activities:
Capitalized software development costs	(6,496)	(9,104)
Purchases of property and equipment, net	(709)	(381)
Purchase of investment	0	(3,000)
Net cash used in investing activities	(7,205)	(12,485)
Cash flows from financing activities:
Payments under finance lease obligations	(1,393)	(1,283)
Payment of tax withholding related to net share settlement of equity awards	(1,600)	(457)
Proceeds from exercise of stock options	108	149
Repurchases of common stock	(7,639)	0
Net cash used in financing activities	(10,524)	(1,591)
Net change in cash, cash equivalents, and restricted cash	4,473	(29,496)
Cash, cash equivalents, and restricted cash, beginning of period	54,717	99,396
Cash, cash equivalents, and restricted cash, end of period	$ 59,190	$ 69,900

ORGANIZATION	9 Months Ended
ORGANIZATION	Sep. 30, 2025
Organization, Consolidation and Presentation of Financial Statements [Abstract]
ORGANIZATION	ORGANIZATION Telos Corporation, together with its subsidiaries (collectively, the "Company," "we," "our" or "Telos"), a Maryland corporation, is a leading provider of cyber, cloud and enterprise security solutions for the world's most security-conscious organizations. We own all of the issued and outstanding shares of Xacta Corporation and ubIQuity.com, inc. (a holding company for Xacta Corporation), and Teloworks, Inc. ("Teloworks"), and 100% ownership interest in Telos Identity Management Solutions, LLC ("Telos ID").

ACCOUNTS RECEIVABLE, NET (Tables)

9 Months Ended

Sep. 30, 2025

Receivables [Abstract]

Schedule of Accounts Receivable


Table 4: Details of Accounts Receivable, Net
	September 30, 2025		December 31, 2024

	(in thousands)
Billed accounts receivable	$	13,790	$	10,070
Unbilled accounts receivable	6,326		5,412
Contract assets	358		3,746
Allowance for credit losses (1)	(51)		(56)
Accounts receivable, net	$	20,423	$	19,172

(1) Includes provision for credit losses, net of recoveries.

STOCK-BASED COMPENSATION (Tables)

9 Months Ended

Sep. 30, 2025

Share-Based Payment Arrangement [Abstract]

Schedule of Stock Compensation Expense


Table 11.1: Details of Stock Compensation Expense by Category
	For the Three Months Ended				For the Nine Months Ended
	September 30, 2025		September 30, 2024		September 30, 2025		September 30, 2024

	(in thousands)
Cost of sales – services	$	154	$	115	$	493	$	600
Research and development	421		188		705		(261)
Selling, general and administrative	8,813		8,511		22,995		13,678
Total	$	9,388	$	8,814	$	24,193	$	14,017

Schedule of Restricted Stock Unit Activity


Table 11.2: Restricted Stock Unit Activity
	Service-Based	Performance-Based	Total Shares	Weighted-Average Grant Date Fair Value
Unvested outstanding units as of December 31, 2024	1,952,103	10,683,230	12,635,333	$	3.52
Granted	1,161,265	3,381,163	4,542,428	3.43
Vested	(840,616)	(717,191)	(1,557,807)	3.93
Forfeited, cancelled, or expired	(110,916)	(154,649)	(265,565)	3.43
Unvested outstanding units as of September 30, 2025	2,161,836	13,192,553	15,354,389	$	3.24

Schedule of Stock Option Activity


Table 11.3: Stock Option Activity
	Stock Options Outstanding	Weighted-Average Exercise Price		Weighted-Average Remaining Contractual Term (in years)	Aggregate Intrinsic Value
Outstanding option balance as of December 31, 2024	287,000	$	1.80	8.4	$	464,940
Granted	—	—
Exercised	(60,000)	1.80
Forfeited, cancelled, or expired	—	—
Outstanding option balance as of September 30, 2025	227,000	$	1.80	7.6	$	1,144,080
Exercisable stock options as of September 30, 2025	227,000	$	1.80	7.6	$	1,144,080

LOSS PER SHARE

9 Months Ended

Sep. 30, 2025

Earnings Per Share [Abstract]

LOSS PER SHARE

For the period of net loss, potentially dilutive securities are not included in the calculation of diluted net earnings (loss) per share, because to do so would be anti-dilutive.

Table 14: Potentially Dilutive Securities

For the Three Months Ended

For the Nine Months Ended

September 30, 2025

September 30, 2024

September 30, 2025

September 30, 2024

(in thousands)

Weighted-average number of shares – unvested RSUs, PSUs and stock options

2,972

524

2,073

869

For the three and nine months ended September 30, 2025, and 2024, the outstanding PSUs aggregating to 8,565,699 and 10,710,226 shares, respectively, have been excluded from the calculation of potentially dilutive securities above because the issuance of shares is contingent upon certain conditions that were not satisfied by the end of the period. Further, an additional 2,206,163 of outstanding PSUs were excluded in the computation of potentially dilutive securities above because they were antidilutive for the nine months ended September 30, 2025.

STOCK-BASED COMPENSATION - Stock-Based Compensation Expense Incurred (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2025	Sep. 30, 2024	Sep. 30, 2025	Sep. 30, 2024
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items]
Total	$ 9,388	$ 8,814	$ 24,193	$ 14,017
Research and development
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items]
Total	421	188	705	(261)
Selling, general and administrative
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items]
Total	8,813	8,511	22,995	13,678
Cost of sales – services \| Cost of sales – services
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items]
Total	$ 154	$ 115	$ 493	$ 600

LOSS PER SHARE (Details) - shares	3 Months Ended		9 Months Ended
LOSS PER SHARE (Details) - shares	Sep. 30, 2025	Sep. 30, 2024	Sep. 30, 2025	Sep. 30, 2024
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Unvested antidilutive stock units excluded from the dilutive effect (stock units) (in shares)	8,565,699	10,710,226	8,565,699	10,710,226
Additional unvested antidilutive stock units excluded from the dilutive effect (stock units) (in shares)			2,206,163
Weighted-average number of shares – unvested RSUs, PSUs and stock options
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Antidilutive securities excluded from computation of earnings per share, amount (in shares)	2,972,000	524,000	2,073,000	869,000

INTANGIBLE ASSETS, NET

9 Months Ended

Sep. 30, 2025

Goodwill and Intangible Assets Disclosure [Abstract]

INTANGIBLE ASSETS, NET


Table 8.1: Details of Intangible Assets, Net
		September 30, 2025						December 31, 2024
	Estimated Useful Life	Gross Carrying Amount		Accumulated Amortization		Net Carrying Value		Gross Carrying Amount		Accumulated Amortization		Net Carrying Value

	(in years)	(in thousands)
Acquired technology	8	$	3,630	$	(1,891)	$	1,739	$	3,630	$	(1,550)	$	2,080
Customer relationship	3	40		(40)		—		40		(40)		—
Software development costs	2 - 5	39,888		(21,060)		18,828		27,366		(15,761)		11,605
Subtotal		43,558		(22,991)		20,567		31,036		(17,351)		13,685
In-process software development costs (1)		10,679		—		10,679		16,725		—		16,725
Total		$	54,237	$	(22,991)	$	31,246	$	47,761	$	(17,351)	$	30,410

(1) In-process software development costs are costs for software that is not yet available for its intended use or general release to customers as of balance sheet date, thus not yet amortized.

The Company evaluates its intangible assets for potential impairment whenever there is evidence that events or changes in circumstances indicate that the carrying value may not be recoverable.

During the third quarter of 2024, there were selected capitalized software projects for which the Company decided to discontinue the development and/or sale of all or a part of certain solutions and certain projects that the Company ceased use before the end of its useful life. As a result of the Company's decision to abandon the associated software, the Company wrote-off $11.7 million of the previously capitalized software costs, of which $5.3 million was recorded as "Impairment loss on intangible assets" under cost of sales and $6.4 million was recorded as "Impairment loss on intangible assets" under operating expenses in the Company's unaudited statement of operations for the three and nine months ended September 30, 2024.

For the three and nine months ended September 30, 2025, there were no impairment losses recorded on the Company's software development costs. Likewise, no impairment losses were recorded on other intangible assets during the three and nine months ended September 30, 2025, and 2024.


Table 8.2: Amortization Expense
	For the Three Months Ended				For the Nine Months Ended
	September 30, 2025		September 30, 2024		September 30, 2025		September 30, 2024

	(in thousands)
Amortization expense related to:
Software development costs – cost of sales (1)	$	2,265	$	1,402	$	5,299	$	4,509
Software development costs – research and development	—		588		—		2,286
Other intangible assets – general and administrative	113		115		340		348
Total	$	2,378	$	2,105	$	5,639	$	7,143

(1) Amortization expense for software development costs related to assets to be sold, leased, or otherwise marketed is charged under cost of sales on the unaudited consolidated statements of operations.

Insider Trading Arrangements	3 Months Ended
Insider Trading Arrangements	Sep. 30, 2025
Trading Arrangements, by Individual
Rule 10b5-1 Arrangement Adopted	false
Non-Rule 10b5-1 Arrangement Adopted	false
Rule 10b5-1 Arrangement Terminated	false
Non-Rule 10b5-1 Arrangement Terminated	false

SIGNIFICANT ACCOUNTING POLICIES - Changes in Restructuring Expenses Accrual (Details) - Severance and related benefit costs $ in Thousands	9 Months Ended
	Sep. 30, 2025 USD ($)
Restructuring Reserve [Roll Forward]
Beginning Balance	$ 37
Cash payments	(37)
Ending Balance	$ 0

SIGNIFICANT ACCOUNTING POLICIES (Policies)

9 Months Ended

Sep. 30, 2025

Accounting Policies [Abstract]

Basis of Presentation and Principle of Consolidation

The accompanying unaudited consolidated financial statements include the accounts of Telos and its subsidiaries (see Note 1 – Organization), all of whose issued and outstanding share capital is wholly owned directly and indirectly by Telos Corporation. All intercompany transactions and balances have been eliminated in consolidation.

Basis of Accounting

The unaudited consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America ("U.S. GAAP"), and the rules and regulations of the U.S. Securities and Exchange Commission ("SEC").

Reclassification

Certain prior-period amounts have been reclassified to conform to the current period presentation. This reclassification relates to presenting "Accrued liabilities" as a separate line item on the unaudited consolidated balance sheets from "Accounts payable" and "Other current liabilities."

Use of Estimates

The preparation of these unaudited consolidated financial statements, in conformity with U.S. GAAP, requires management to make estimates and assumptions that affect the reported amounts of revenue, expenses, assets and liabilities, and disclosure of contingent assets and liabilities. The Company regularly assesses these estimates; however, actual results could differ from those estimates. We base our estimates on historical experience, currently available information, and various other assumptions that we believe are reasonable under the circumstances.

Management evaluates these estimates and assumptions on an ongoing basis, including those relating to revenue recognition on cost estimation on certain contracts, allowance for credit losses, inventory obsolescence, valuation allowance for deferred tax assets, income taxes, certain assumptions related to stock-based compensation, impairment of intangible assets and goodwill, restructuring expenses accruals, and contingencies. Actual results could differ from these estimates. The impact of changes in estimates is recorded in the period in which they become known.

Deferred Program Expenses

Deferred program expenses include direct contract costs identifiable with or allocable to a specific contract. These costs are capitalized as deferred program expenses when the costs are expected to be recovered over a period of time. These costs are amortized using the straight-line method over the expected contract period of performance or recognized upon delivery of the performance obligation. If the contract period of performance is beyond twelve months, we classify the cost as long-term and is included within "Other assets" on the unaudited consolidated balance sheets.

Accrued Liabilities

Accrued liabilities represents incurred expenses but not yet invoiced or paid by the Company. These include, but not limited to, accruals related to projects, fees, taxes, employee benefits, and other services.

Restructuring Expenses

As previously disclosed, in the fourth quarter of 2022, the Company committed to a restructuring plan to streamline its workforce and spending to better align its cost structure with its volume of business ("2022 restructuring"). The 2022 restructuring plan reduced the Company's workforce, with a majority of the affected employees separating from the business in early 2023. The actions under the 2022 restructuring plan were substantially completed in fiscal year 2023 and were fully paid in the third quarter of 2024. Total restructuring expenses incurred under the 2022 restructuring plan were $3.9 million.

Further, in the third quarter of 2024, the Company undertook another restructuring action in an effort to optimize its strategic priorities and cost structure ("2024 restructuring"). As part of the 2024 restructuring plan, the Company decided to discontinue the development and/or sale of selected solutions or parts of solutions, which resulted in the impairment of capitalized software assets and a reduction in workforce. The 2024 restructuring actions were substantially completed in fiscal year 2024 and were fully paid in early fiscal year 2025. The Company incurred $1.3 million in cumulative restructuring expenses related to the 2024 restructuring plan.

During the three and nine months ended September 30, 2024, the Company incurred approximately $1.4 million of expenses related to the 2022 and 2024 restructuring plans, which were recorded as costs of sales, research and development expenses, and selling, general and administrative expenses on the unaudited consolidated statements of operations. The restructuring expenses included in cost of sales were allocated to the Security Solutions and Secure Networks segments, totaling $0.3 million and $0.1 million, respectively.

In addition, as a result of the Company's decision to abandon the development or sale of selected solutions in the third quarter of 2024, the Company wrote-off $6.4 million of its previously capitalized software assets. This was reported as an impairment loss on intangible assets under operating expenses on the unaudited consolidated statement of operations. See Note 8 – Intangible Assets, Net for further details.

At each reporting date, the Company evaluated its restructuring expense accrual to determine whether the liabilities reported remain appropriate. Any changes in the estimated costs of executing the approved restructuring plans are reflected in the Company's unaudited consolidated statement of operations.


Table 2: Summary of Changes in Restructuring Expenses Accrual
	Severance and related benefit costs (1)

	(in thousands)
Balance at December 31, 2024	$	37
Cash payments	(37)
Balance at September 30, 2025	$	—

(1) Restructuring expenses accrual is included within "Accrued liabilities" on the Company's unaudited consolidated balance sheets (see Note 9 - Other Balance Sheet Components for further details).

The Company did not have any restructuring activities or additional impairment charges related to the restructuring plan during the three and nine months ended September 30, 2025.

Income Taxes

The period for which tax years are open, 2021 to 2024, has not been extended beyond the applicable statute of limitations. In September 2024, we were advised by the Internal Revenue Service ("IRS") of an audit of our 2021 federal income tax return. In April 2025, the IRS notified us that it had completed its examination of our 2021 federal income tax return with no changes to our reported tax.

On July 4, 2025, the One Big Beautiful Bill Act (“OBBBA”) was enacted into law, including significant amendments to the Internal Revenue Code. The OBBBA imposes various changes to U.S. federal income tax regulations, such as restoring bonus depreciation, and removing the requirement to capitalize and amortize domestic research and development expenditures. The OBBBA also included certain modifications to the Inflation Reduction Act of 2022, including the repeal or acceleration of the sunsetting of certain tax credits and the elimination of certain penalties for violations of certain regulatory credit programs. The legislation has multiple effective dates, with certain provisions effective in 2025 and others implemented through 2027. The enactment of these provisions did not have a material impact on our unaudited consolidated financial statements.

Recent Accounting Pronouncements

The Company adopted all applicable standards effective as of December 31, 2024, within these unaudited consolidated financial statements, with no material impact as a result of the adoption.

In December 2023, the Financial Accounting Standards Board ("FASB") issued ASU No. 2023-09, "Income Taxes (Topic 740): Improvements to Income Tax Disclosure," which requires public entities, on an annual basis, (1) to disclosure specific categories in the rate reconciliation, and (2) to provide additional information for reconciling items that meet a quantitative threshold (if the effect of those reconciling items is equal to or greater than 5% of the amount computed by multiplying pretax income (loss) by the applicable statutory income tax rate). This ASU will be effective, for public entities, for the fiscal year beginning after December 15, 2024, with early adoption permitted. We are currently assessing the impact of adopting this ASU on our unaudited consolidated financial statements.

In November 2024, the FASB issued ASU 2024-03, "Income Statement – Reporting Comprehensive Income – Expense Disaggregation Disclosure (Topic 220): Disaggregation of Income Statement Expenses." This standard requires additional disclosure of certain amounts included in the expense captions presented on the statements of operations, as well as disclosures about selling expenses. This ASU is effective on a prospective basis, with the option for retrospective application. All public entities are required to adopt the guidance in annual reporting periods beginning after December 15, 2026, and interim reporting periods beginning after December 15, 2027, with early adoption permitted. We are currently assessing the impact of adopting this ASU on our unaudited consolidated financial statements.

In July 2025, the FASB issued ASU 2025-05, “Financial Instruments – Credit Losses (Topic 326): Measurement of Credit Losses for Accounts Receivables and Contract Assets.” This standard provides simplified guidance on measuring credit losses for accounts receivable and contract assets. The update introduces a practical expedient and an accounting policy election to ease the process. All entities can elect the practical expedient to assume that the current economic conditions at the balance sheet date will remain constant through the life of the current receivables and contract assets. Entities that elects the practical expedient and the accounting policy election should apply the amendments in this ASU prospectively. The amendments will be effective for annual reporting periods beginning after December 15, 2025, and interim reporting periods within those annual reporting periods, with early adoption permitted. We are currently assessing the impact of adopting of this ASU on our unaudited consolidated financial statements.

In September 2025, the FASB issued ASU 2025-06, "Intangibles – Goodwill and Other – Internal-Use Software (Subtopic 350-40): Targeted Improvements to the Accounting of Internal-Use Software." This standard provides a simplified, consistent way to track expenses related to software developed for internal use. The amendments in this standard removed all references to project stages; instead, a company can capitalize software costs once both conditions are met: the entity's management has authorized and committed to funding the project, and it is probable that the project will be completed and the software will be used as intended. The amendments will be effective for annual reporting periods, including interim periods within those years, beginning after December 15, 2027, with early adoption permitted. We are currently assessing the impact of adopting this ASU on our unaudited consolidated financial statements.

In addition, from time to time, new accounting standards are issued by the FASB or other standard-setting bodies and are adopted by the Company as of the specified accounting date. Unless otherwise discussed, the Company believes that issued standards not yet effective will not have a material effect on its financial statements.

Revenue Recognition

SEGMENT INFORMATION - Operations by Business Segment (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2025	Sep. 30, 2024	Sep. 30, 2025	Sep. 30, 2024
Revenues
Revenues	$ 51,444	$ 23,783	$ 118,028	$ 81,900
Production Related Impairments or Charges [Abstract]
Depreciation and amortization	2,356	1,490	5,574	4,807
Impairment loss on intangible assets	0	5,333	0	5,333
Stock-based compensation expense	154	115	493	600
Other segment items	28,388	13,702	67,301	47,349
Total cost of sales	30,898	20,640	73,368	58,089
Gross profit	20,546	3,143	44,660	23,811
Operating expenses:
Research and development expenses	1,899	2,409	4,982	7,038
Selling, general and administrative expenses	21,115	23,225	61,051	56,346
Impairment loss on intangible assets	0	6,373	0	6,373
Total operating expenses	23,014	32,007	66,033	69,757
Operating loss	(2,468)	(28,864)	(21,373)	(45,946)
Other income	511	983	1,625	3,299
Interest expense	(136)	(157)	(424)	(492)
Loss before income taxes	(2,093)	(28,038)	(20,172)	(43,139)
Provision for income taxes	(21)	(17)	(63)	(51)
Net loss	(2,114)	(28,055)	(20,235)	(43,190)
Security Solutions
Revenues
Revenues	46,478	18,332	104,770	54,839
Production Related Impairments or Charges [Abstract]
Depreciation and amortization	2,354	1,488	5,569	4,800
Impairment loss on intangible assets	0	5,333	0	5,333
Stock-based compensation expense	142	117	450	455
Other segment items	24,696	9,084	57,107	26,050
Total cost of sales	27,192	16,022	63,126	36,638
Gross profit	19,286	2,310	41,644	18,201
Secure Networks
Revenues
Revenues	4,966	5,451	13,258	27,061
Production Related Impairments or Charges [Abstract]
Depreciation and amortization	2	2	5	7
Impairment loss on intangible assets	0	0	0	0
Stock-based compensation expense	12	(2)	43	145
Other segment items	3,692	4,618	10,194	21,299
Total cost of sales	3,706	4,618	10,242	21,451
Gross profit	$ 1,260	$ 833	$ 3,016	$ 5,610

ACCOUNTS RECEIVABLE, NET - Narrative (Details)	9 Months Ended	12 Months Ended
ACCOUNTS RECEIVABLE, NET - Narrative (Details)	Sep. 30, 2025	Dec. 31, 2024
Federal \| Accounts Receivable \| Customer Concentration Risk
Financing Receivable, Allowance for Credit Loss [Line Items]
Concentration risk, percentage	89.00%	88.00%

- Definition

For an entity that discloses a concentration risk in relation to quantitative amount, which serves as the "benchmark" (or denominator) in the equation, this concept represents the concentration percentage derived from the division.

+ References + Details

INVENTORIES, NET (Tables)

9 Months Ended

Sep. 30, 2025

Inventory Disclosure [Abstract]

Schedule of Inventories, Net


Table 5: Details of Inventories, Net
	September 30, 2025		December 31, 2024

	(in thousands)
Gross inventory	$	3,511	$	1,916
Allowance for inventory obsolescence	(133)		(133)
Inventories, net	$	3,378	$	1,783

SEGMENT INFORMATION

9 Months Ended

Sep. 30, 2025

Segment Reporting [Abstract]

SEGMENT INFORMATION

We operate our business in two reportable and operating segments: Security Solutions and Secure Networks.

•Our Security Solutions segment is primarily focused on cybersecurity, cloud and identity solutions, and secure messaging through Xacta®, Telos Automated Message Handling System ("AMHS") and Telos ID offerings.

•Our Secure Networks segment provides secure networking architectures and solutions to our customers through secure mobility solutions, and network management and defense services.

We measure each segment's profitability based on gross profit. Our Chief Executive Officer, as the chief operating decision maker ("CODM"), evaluates the segment's performance based on metrics, such as segment revenue and gross profit, that align with our strategies and objectives, and provide a framework for the timely and rational allocation of resources between the segments.


Table 15.1: Results of Operations by Business Segment (Quarter)
	For the Three Months Ended
	September 30, 2025						September 30, 2024
	Security Solutions		Secure Networks		Total		Security Solutions		Secure Networks		Total

	(in thousands)
Revenues	$	46,478	$	4,966	$	51,444	$	18,332	$	5,451	$	23,783
Cost of Sales
Depreciation and amortization (1)	2,354		2		2,356		1,488		2		1,490
Impairment loss on intangible assets (1)	—		—		—		5,333		—		5,333
Stock-based compensation expense (1)	142		12		154		117		(2)		115
Other segment items (2)	24,696		3,692		28,388		9,084		4,618		13,702
Total cost of sales	27,192		3,706		30,898		16,022		4,618		20,640
Gross profit	$	19,286	$	1,260	20,546		$	2,310	$	833	3,143
Operating expenses
Research and development expenses					1,899						2,409
Selling, general and administrative expenses					21,115						23,225
Impairment loss on intangible assets					—						6,373
Total operating expenses					23,014						32,007
Operating loss					(2,468)						(28,864)
Other income					511						983
Interest expense					(136)						(157)
Loss before income taxes					(2,093)						(28,038)
Provision for income taxes					(21)						(17)
Net loss					$	(2,114)					$	(28,055)


Table 15.2: Results of Operations by Business Segment (Year-to-Date)
	For the Nine Months Ended
	September 30, 2025						September 30, 2024
	Security Solutions		Secure Networks		Total		Security Solutions		Secure Networks		Total

	(in thousands)
Revenues	$	104,770	$	13,258	$	118,028	$	54,839	$	27,061	$	81,900
Cost of Sales
Depreciation and amortization (1)	5,569		5		5,574		4,800		7		4,807
Impairment loss on intangible assets (1)	—		—		—		5,333		—		5,333
Stock-based compensation expense (1)	450		43		493		455		145		600
Other segment items (2)	57,107		10,194		67,301		26,050		21,299		47,349
Total cost of sales	63,126		10,242		73,368		36,638		21,451		58,089
Gross profit	$	41,644	$	3,016	44,660		$	18,201	$	5,610	23,811
Operating expenses
Research and development expenses					4,982						7,038
Selling, general and administrative expenses					61,051						56,346
Impairment loss on intangible assets					—						6,373
Total operating expenses					66,033						69,757
Operating loss					(21,373)						(45,946)
Other income					1,625						3,299
Interest expense					(424)						(492)
Loss before income taxes					(20,172)						(43,139)
Provision for income taxes					(63)						(51)
Net loss					$	(20,235)					$	(43,190)

(1) The significant segment expense categories and amounts align with the segment-level information regularly provided to the CODM.

We account for inter-segment sales and transfers as if the sales or transfers were to third parties, that is, at current market prices, if any. There were no inter-segment sales and transfers during the three and nine months ended September 30, 2025, and 2024. Interest income, interest expense, other income and expense items, and income taxes, as reported in the consolidated financial statements, are not part of the segment profitability measure and are primarily recorded at the corporate level.

Management does not utilize total assets by segment to evaluate segment performance or allocate resources. As a result, assets are not tracked by segment, and therefore, total assets by segment are not disclosed.

- Definition

The entire disclosure for reporting segments including data and tables. Reportable segments include those that meet any of the following quantitative thresholds a) it's reported revenue, including sales to external customers and intersegment sales or transfers is 10 percent or more of the combined revenue, internal and external, of all operating segments b) the absolute amount of its reported profit or loss is 10 percent or more of the greater, in absolute amount of 1) the combined reported profit of all operating segments that did not report a loss or 2) the combined reported loss of all operating segments that did report a loss c) its assets are 10 percent or more of the combined assets of all operating segments.

+ References

Reference 1: http://www.xbrl.org/2003/role/disclosureRef
-Topic 280
-SubTopic 10
-Name Accounting Standards Codification
-Section 50
-Paragraph 21
-Subparagraph (b)
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147482810/280-10-50-21

Reference 2: http://www.xbrl.org/2003/role/disclosureRef
-Topic 280
-SubTopic 10
-Name Accounting Standards Codification
-Section 50
-Paragraph 21
-Subparagraph (a)
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147482810/280-10-50-21

Reference 3: http://www.xbrl.org/2003/role/disclosureRef
-Topic 280
-SubTopic 10
-Name Accounting Standards Codification
-Section 50
-Paragraph 32
-Subparagraph (e)
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147482810/280-10-50-32

Reference 4: http://www.xbrl.org/2003/role/disclosureRef
-Topic 280
-SubTopic 10
-Name Accounting Standards Codification
-Section 50
-Paragraph 31
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147482810/280-10-50-31

Reference 5: http://www.xbrl.org/2003/role/disclosureRef
-Topic 280
-SubTopic 10
-Name Accounting Standards Codification
-Section 50
-Paragraph 15
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147482810/280-10-50-15

Reference 6: http://www.xbrl.org/2003/role/disclosureRef
-Topic 280
-SubTopic 10
-Name Accounting Standards Codification
-Section 50
-Paragraph 42
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147482810/280-10-50-42

Reference 7: http://www.xbrl.org/2003/role/exampleRef
-Topic 280
-SubTopic 10
-Name Accounting Standards Codification
-Section 55
-Paragraph 48
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147482785/280-10-55-48

Reference 8: http://www.xbrl.org/2003/role/disclosureRef
-Topic 280
-SubTopic 10
-Name Accounting Standards Codification
-Section 50
-Paragraph 32
-Subparagraph (f)
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147482810/280-10-50-32

Reference 9: http://www.xbrl.org/2003/role/disclosureRef
-Topic 270
-SubTopic 10
-Name Accounting Standards Codification
-Section 50
-Paragraph 1
-Subparagraph (i)
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147482964/270-10-50-1

Reference 10: http://www.xbrl.org/2003/role/disclosureRef
-Topic 280
-SubTopic 10
-Name Accounting Standards Codification
-Section 50
-Paragraph 32
-Subparagraph (ee)
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147482810/280-10-50-32

Reference 11: http://fasb.org/us-gaap/role/ref/otherTransitionRef
-Topic 280
-SubTopic 10
-Name Accounting Standards Codification
-Section 50
-Paragraph 32
-Subparagraph (d)
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147482810/280-10-50-32

Reference 12: http://www.xbrl.org/2003/role/exampleRef
-Topic 280
-SubTopic 10
-Name Accounting Standards Codification
-Section 55
-Paragraph 54
-Subparagraph (d)
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147482785/280-10-55-54

Reference 13: http://www.xbrl.org/2003/role/exampleRef
-Topic 280
-SubTopic 10
-Name Accounting Standards Codification
-Section 55
-Paragraph 47
-Subparagraph (c)
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147482785/280-10-55-47

Reference 14: http://www.xbrl.org/2003/role/exampleRef
-Topic 280
-SubTopic 10
-Name Accounting Standards Codification
-Section 55
-Paragraph 54
-Subparagraph (a)
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147482785/280-10-55-54

Reference 15: http://www.xbrl.org/2003/role/exampleRef
-Topic 280
-SubTopic 10
-Name Accounting Standards Codification
-Section 55
-Paragraph 47
-Subparagraph (a)
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147482785/280-10-55-47

Reference 16: http://www.xbrl.org/2003/role/exampleRef
-Topic 280
-SubTopic 10
-Name Accounting Standards Codification
-Section 55
-Paragraph 54
-Subparagraph (e)
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147482785/280-10-55-54

Reference 17: http://www.xbrl.org/2003/role/exampleRef
-Topic 280
-SubTopic 10
-Name Accounting Standards Codification
-Section 55
-Paragraph 47
-Subparagraph (d)
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147482785/280-10-55-47

Reference 18: http://www.xbrl.org/2003/role/disclosureRef
-Topic 280
-SubTopic 10
-Name Accounting Standards Codification
-Section 50
-Paragraph 22
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147482810/280-10-50-22

Reference 19: http://www.xbrl.org/2003/role/disclosureRef
-Topic 280
-SubTopic 10
-Name Accounting Standards Codification
-Section 50
-Paragraph 34
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147482810/280-10-50-34

Reference 20: http://www.xbrl.org/2003/role/disclosureRef
-Topic 280
-SubTopic 10
-Name Accounting Standards Codification
-Section 50
-Paragraph 26C
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147482810/280-10-50-26C

Reference 21: http://www.xbrl.org/2003/role/disclosureRef
-Topic 280
-SubTopic 10
-Name Accounting Standards Codification
-Section 50
-Paragraph 26B
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147482810/280-10-50-26B

Reference 22: http://www.xbrl.org/2003/role/disclosureRef
-Topic 280
-SubTopic 10
-Name Accounting Standards Codification
-Section 50
-Paragraph 40
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147482810/280-10-50-40

Reference 23: http://www.xbrl.org/2003/role/disclosureRef
-Topic 280
-Name Accounting Standards Codification
-Publisher FASB
-URI https://asc.fasb.org/280/tableOfContent

Reference 24: http://www.xbrl.org/2003/role/disclosureRef
-Topic 280
-SubTopic 10
-Name Accounting Standards Codification
-Section 50
-Paragraph 26
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147482810/280-10-50-26

Reference 25: http://www.xbrl.org/2003/role/disclosureRef
-Topic 280
-SubTopic 10
-Name Accounting Standards Codification
-Section 50
-Paragraph 41
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147482810/280-10-50-41

+ Details

INTANGIBLE ASSETS, NET - Amortization Expense (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2025	Sep. 30, 2024	Sep. 30, 2025	Sep. 30, 2024
Finite-Lived Intangible Assets [Line Items]
Software development costs - cost of sales	$ 2,265	$ 1,402	$ 5,299	$ 4,509
Total	2,378	2,105	5,639	7,143
Research and development
Finite-Lived Intangible Assets [Line Items]
Amortization of intangible assets	0	588	0	2,286
Selling, general and administrative
Finite-Lived Intangible Assets [Line Items]
Amortization of intangible assets	$ 113	$ 115	$ 340	$ 348

- Definition

The aggregate expense charged against earnings to allocate the cost of intangible assets (nonphysical assets not used in production) in a systematic and rational manner to the periods expected to benefit from such assets.

+ References

Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef
-Name Accounting Standards Codification
-Section 45
-Paragraph 28
-Subparagraph (b)
-SubTopic 10
-Topic 230
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147482740/230-10-45-28

Reference 2: http://www.xbrl.org/2003/role/exampleRef
-Topic 220
-SubTopic 40
-Name Accounting Standards Codification
-Section 55
-Paragraph 18
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147476153/220-40-55-18

Reference 3: http://www.xbrl.org/2003/role/exampleRef
-Topic 220
-SubTopic 40
-Name Accounting Standards Codification
-Section 55
-Paragraph 11
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147476153/220-40-55-11

Reference 4: http://www.xbrl.org/2003/role/exampleRef
-Topic 220
-SubTopic 40
-Name Accounting Standards Codification
-Section 55
-Paragraph 24
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147476153/220-40-55-24

Reference 5: http://www.xbrl.org/2003/role/exampleRef
-Topic 220
-SubTopic 40
-Name Accounting Standards Codification
-Section 50
-Paragraph 12
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147476148/220-40-50-12

Reference 6: http://www.xbrl.org/2003/role/exampleRef
-Name Accounting Standards Codification
-Section 55
-Paragraph 40
-SubTopic 30
-Topic 350
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147482640/350-30-55-40

Reference 7: http://www.xbrl.org/2003/role/disclosureRef
-Topic 350
-SubTopic 30
-Name Accounting Standards Codification
-Section 50
-Paragraph 2
-Subparagraph (a)(2)
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147482665/350-30-50-2

Reference 8: http://www.xbrl.org/2003/role/disclosureRef
-Topic 350
-SubTopic 30
-Name Accounting Standards Codification
-Section 45
-Paragraph 2
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147482686/350-30-45-2

Reference 9: http://www.xbrl.org/2003/role/disclosureRef
-Topic 220
-SubTopic 40
-Name Accounting Standards Codification
-Section 50
-Paragraph 6
-Subparagraph (d)
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147476148/220-40-50-6

+ Details

- Definition

Line items represent financial concepts included in a table. These concepts are used to disclose reportable information associated with domain members defined in one or many axes to the table.

+ References

+ Details

ACCOUNTS RECEIVABLE, NET

9 Months Ended

Sep. 30, 2025

Receivables [Abstract]

ACCOUNTS RECEIVABLE, NET


Table 4: Details of Accounts Receivable, Net
	September 30, 2025		December 31, 2024

	(in thousands)
Billed accounts receivable	$	13,790	$	10,070
Unbilled accounts receivable	6,326		5,412
Contract assets	358		3,746
Allowance for credit losses (1)	(51)		(56)
Accounts receivable, net	$	20,423	$	19,172

(1) Includes provision for credit losses, net of recoveries.

As our primary customer base includes agencies of the U.S. federal government, we have a concentration of credit risk associated with our accounts receivable, as 89% and 88% of our billed and unbilled accounts receivable as of September 30, 2025, and December 31, 2024, respectively, were with U.S. federal government customers. While we acknowledge the potential material and adverse risk of such a significant concentration of credit risk, our past experience collecting substantially all of such receivables provides us with an informed basis that such risk, if any, is manageable. We perform ongoing credit evaluations of all of our customers and generally do not require collateral or other guarantees from our customers. We maintain allowances for potential losses.

STOCK-BASED COMPENSATION - Narrative (Details)					3 Months Ended		9 Months Ended
STOCK-BASED COMPENSATION - Narrative (Details)	Jun. 11, 2025 day $ / shares shares	May 14, 2025 shares	Feb. 20, 2025 shares	May 21, 2024 shares	Sep. 30, 2025 USD ($) shares	Sep. 30, 2024 USD ($)	Sep. 30, 2025 USD ($) $ / shares shares	Sep. 30, 2024 USD ($)	Dec. 31, 2024 USD ($)
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Income tax benefits \| $					$ 0	$ 0	$ 0	$ 0
Granted (in shares)							4,542,428
Granted (in dollars per share) \| $ / shares							$ 3.43
Aggregate intrinsic value, outstanding, exercisable, and vested or expected to vest \| $					105,000,000		$ 105,000,000		$ 45,800,000
Unrecognized stock-based compensation expense \| $					17,800,000		$ 17,800,000
Weighted-average remaining vesting period							6 months
Unrecognized compensation costs related to non-vested stock options \| $					$ 0		$ 0
2016 Omnibus Long-Term Incentive Plan
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Share-based compensation arrangement by share-based payment award, number of additional shares authorized (in shares)				4,900,000
Number of shares authorized for grant (in shares)					1,600,000		1,600,000
Restricted Stock Units (RSUs) \| 2016 Omnibus Long-Term Incentive Plan
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Award vesting period							3 years
Stock Options
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Award vesting period							1 year
Performance-Based
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Award modifications (in shares)			2,462,445
Granted (in shares)							3,381,163
Stock Price Market Conditions, PSUs
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Granted (in shares)	1,060,000
Number of consecutive calendar days \| day	50
Stock Price Market Conditions, PSUs \| Valuation Technique, Monte Carlo Pricing Model
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Share-based compensation arrangement by share-based payment award, fair value assumptions, expected term	1 year 6 months 21 days
Expected volatility rate	97.50%
Risk-free rate	3.90%
Stock Price Market Conditions, PSUs \| Minimum \| Valuation Technique, Monte Carlo Pricing Model
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Granted (in dollars per share) \| $ / shares	$ 1.17
Share-based compensation arrangement by share-based payment award, award requisite service period	9 months 18 days
Stock Price Market Conditions, PSUs \| Maximum \| Valuation Technique, Monte Carlo Pricing Model
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Granted (in dollars per share) \| $ / shares	$ 1.51
Share-based compensation arrangement by share-based payment award, award requisite service period	11 months 8 days
TSR Market Conditions, PSUs
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Granted (in shares)	2,206,163
Share-based compensation arrangement by share-based payment award, fair value assumptions, expected term	3 years
TSR Market Conditions, PSUs \| Valuation Technique, Monte Carlo Pricing Model
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Share-based compensation arrangement by share-based payment award, fair value assumptions, expected term	2 years 11 months 19 days
Expected volatility rate	114.70%
Risk-free rate	3.80%
Granted (in dollars per share) \| $ / shares	$ 4.82
TSR Market Conditions, PSUs \| Minimum
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Percentage of payout target	0.00%
TSR Market Conditions, PSUs \| Maximum
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Percentage of payout target	200.00%
Contingent Performance Shares, 2027 Targets
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Granted (in shares)		65,000
Contingent Performance Shares, 2025 Targets
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Granted (in shares)		50,000

SHARE REPURCHASES - Share Repurchases Activity (Details) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2025	Sep. 30, 2024	Sep. 30, 2025	Sep. 30, 2024
Equity [Abstract]
Amount paid for shares repurchased	$ 3,637	$ 0	$ 7,639	$ 0
Number of shares repurchased (in shares)	584,213	0	2,072,440	0
Average per share price paid (in dollars per share)	$ 6.23	$ 0	$ 3.69	$ 0

SUPPLEMENTAL CASH FLOW INFORMATION

9 Months Ended

Sep. 30, 2025

Supplemental Cash Flow Elements [Abstract]

SUPPLEMENTAL CASH FLOW INFORMATION


Table 17.1: Details of Cash, Cash Equivalents, and Restricted Cash
	September 30, 2025		December 31, 2024

	(in thousands)
Cash and cash equivalents	$	59,050	$	54,578
Restricted cash (1)	140		139
Cash, cash equivalents, and restricted cash	$	59,190	$	54,717

(1) Restricted cash consists of a commercial money market account held as a deposit on the Ashburn lease and is included within "Other assets" on the unaudited consolidated balance sheets.


Table 17.2: Supplemental Cash Flow Information
	For the Nine Months Ended
	September 30, 2025		September 30, 2024

	(in thousands)
Cash paid during the period for:
Interest	$	371	$	427
Income taxes	39		100
Non-cash investing and financing activities:
Issuance of common stock for 401(k) match	$	2,063	$	1,619
Capital expenditure activity in accounts payable and other accrued liabilities	84		1,041
Operating lease ROU assets obtained in exchange for operating lease liabilities	—		626

SIGNIFICANT ACCOUNTING POLICIES - Narrative (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2025	Sep. 30, 2024	Sep. 30, 2025	Sep. 30, 2024
Business Combination [Line Items]
Impairment loss on intangible assets	$ 0	$ 6,373	$ 0	$ 6,373
2024 Restructuring Plan
Business Combination [Line Items]
Restructuring charges incurred to date	$ 1,300		$ 1,300
Impairment loss on intangible assets		6,400
2022 and 2024 Restructuring Plan
Business Combination [Line Items]
Restructuring charges		1,400		1,400
2022 and 2024 Restructuring Plan \| Security Solutions
Business Combination [Line Items]
Restructuring charges		300
2022 and 2024 Restructuring Plan \| Secure Networks
Business Combination [Line Items]
Restructuring charges				$ 100
Employee Severance \| 2022 Restructuring Plan
Business Combination [Line Items]
Restructuring charges		$ 3,900

PROPERTY AND EQUIPMENT, NET

9 Months Ended

Sep. 30, 2025

Property, Plant and Equipment [Abstract]

PROPERTY AND EQUIPMENT, NET


Table 6.1: Details of Property and Equipment, Net
	September 30, 2025						December 31, 2024
	Gross Carrying Amount		Accumulated Depreciation and Amortization		Net Carrying Value		Gross Carrying Amount		Accumulated Depreciation and Amortization		Net Carrying Value

	(in thousands)
Furniture and equipment	$	17,514	$	(14,588)	$	2,926	$	17,239	$	(13,617)	$	3,622
Leasehold improvements	3,419		(2,856)		563		3,396		(2,735)		661
Total	$	20,933	$	(17,444)	$	3,489	$	20,635	$	(16,352)	$	4,283


Table 6.2: Depreciation and Amortization Expense
	For the Three Months Ended				For the Nine Months Ended
	September 30, 2025		September 30, 2024		September 30, 2025		September 30, 2024

	(in thousands)
Depreciation and amortization expense	$	432	$	329	$	1,299	$	1,223

ORGANIZATION (Details)	Sep. 30, 2025
Telos ID
Consolidation, Less than Wholly Owned Subsidiary, Parent Ownership Interest, Effects of Changes, Net [Line Items]
Business acquisition, percentage of voting interests acquired	100.00%

PROPERTY AND EQUIPMENT, NET (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2025	Sep. 30, 2024	Sep. 30, 2025	Sep. 30, 2024	Dec. 31, 2024
Property, Plant and Equipment [Line Items]
Gross Carrying Amount	$ 20,933		$ 20,933		$ 20,635
Accumulated Depreciation and Amortization	(17,444)		(17,444)		(16,352)
Net Carrying Value	3,489		3,489		4,283
Depreciation and amortization expense	432	$ 329	1,299	$ 1,223
Furniture and equipment
Property, Plant and Equipment [Line Items]
Gross Carrying Amount	17,514		17,514		17,239
Accumulated Depreciation and Amortization	(14,588)		(14,588)		(13,617)
Net Carrying Value	2,926		2,926		3,622
Leasehold improvements
Property, Plant and Equipment [Line Items]
Gross Carrying Amount	3,419		3,419		3,396
Accumulated Depreciation and Amortization	(2,856)		(2,856)		(2,735)
Net Carrying Value	$ 563		$ 563		$ 661

SUPPLEMENTAL CASH FLOW INFORMATION - Supplemental Cash Flow Information (Details) - USD ($) $ in Thousands	9 Months Ended
	Sep. 30, 2025	Sep. 30, 2024
Cash paid during the period for:
Interest	$ 371	$ 427
Income taxes	39	100
Non-cash investing and financing activities:
Issuance of common stock for 401(k) match	2,063	1,619
Capital expenditure activity in accounts payable and other accrued liabilities	84	1,041
Operating lease ROU assets obtained in exchange for operating lease liabilities	$ 0	$ 626

SUPPLEMENTAL CASH FLOW INFORMATION (Tables)

9 Months Ended

Sep. 30, 2025

Supplemental Cash Flow Elements [Abstract]

Schedule of Cash and Cash Equivalents


Table 17.1: Details of Cash, Cash Equivalents, and Restricted Cash
	September 30, 2025		December 31, 2024

	(in thousands)
Cash and cash equivalents	$	59,050	$	54,578
Restricted cash (1)	140		139
Cash, cash equivalents, and restricted cash	$	59,190	$	54,717

(1) Restricted cash consists of a commercial money market account held as a deposit on the Ashburn lease and is included within "Other assets" on the unaudited consolidated balance sheets.

Schedule of Restrictions on Cash and Cash Equivalents


Table 17.1: Details of Cash, Cash Equivalents, and Restricted Cash
	September 30, 2025		December 31, 2024

	(in thousands)
Cash and cash equivalents	$	59,050	$	54,578
Restricted cash (1)	140		139
Cash, cash equivalents, and restricted cash	$	59,190	$	54,717

(1) Restricted cash consists of a commercial money market account held as a deposit on the Ashburn lease and is included within "Other assets" on the unaudited consolidated balance sheets.

Schedule of Supplemental Cash Flow Information


Table 17.2: Supplemental Cash Flow Information
	For the Nine Months Ended
	September 30, 2025		September 30, 2024

	(in thousands)
Cash paid during the period for:
Interest	$	371	$	427
Income taxes	39		100
Non-cash investing and financing activities:
Issuance of common stock for 401(k) match	$	2,063	$	1,619
Capital expenditure activity in accounts payable and other accrued liabilities	84		1,041
Operating lease ROU assets obtained in exchange for operating lease liabilities	—		626

REVENUE RECOGNITION - Schedule of Contract Balances (Details) - USD ($) $ in Thousands	Sep. 30, 2025	Dec. 31, 2024
Revenue from Contract with Customer [Abstract]
Billed accounts receivable	$ 13,739	$ 10,014
Unbilled accounts receivable	6,326	5,412
Contract assets	358	3,746
Contract liabilities	$ 13,732	$ 6,838

OTHER BALANCE SHEET COMPONENTS - Accrued Liabilities (Details) - USD ($) $ in Thousands	Sep. 30, 2025	Dec. 31, 2024
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Accrued project expenses	$ 5,169	$ 3,238
Restructuring expenses accrual	0	37
Other	1,971	1,174
Other current liabilities	$ 7,140	$ 4,449

ACCUMULATED OTHER COMPREHENSIVE LOSS (Details) $ in Thousands	9 Months Ended
	Sep. 30, 2025 USD ($)
AOCI Attributable to Parent, Net of Tax [Roll Forward]
Beginning balance	$ 127,137
Other comprehensive income before reclassification, net of tax	84
Ending balance	119,675
Accumulated Other Comprehensive Loss
AOCI Attributable to Parent, Net of Tax [Roll Forward]
Beginning balance	(129)
Ending balance	(45)
Foreign currency translation adjustment
AOCI Attributable to Parent, Net of Tax [Roll Forward]
Beginning balance	(175)
Other comprehensive income before reclassification, net of tax	76
Ending balance	(99)
Pension liability adjustment
AOCI Attributable to Parent, Net of Tax [Roll Forward]
Beginning balance	46
Other comprehensive income before reclassification, net of tax	8
Ending balance	$ 54

- Definition

Amount of equity (deficit) attributable to parent. Excludes temporary equity and equity attributable to noncontrolling interest.

+ References

Reference 1: http://www.xbrl.org/2009/role/commonPracticeRef
-Topic 235
-SubTopic 10
-Name Accounting Standards Codification
-Section S50
-Paragraph 1
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147480738/235-10-S50-1

Reference 2: http://www.xbrl.org/2009/role/commonPracticeRef
-Topic 235
-SubTopic 10
-Name Accounting Standards Codification
-Section S99
-Paragraph 1
-Subparagraph (SX 210.4-08(g)(1)(i))
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147480678/235-10-S99-1

Reference 3: http://www.xbrl.org/2009/role/commonPracticeRef
-Topic 825
-SubTopic 10
-Name Accounting Standards Codification
-Section 50
-Paragraph 28
-Subparagraph (f)
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147482907/825-10-50-28

Reference 4: http://fasb.org/us-gaap/role/ref/legacyRef
-Topic 210
-SubTopic 10
-Name Accounting Standards Codification
-Section S99
-Paragraph 1
-Subparagraph (SX 210.5-02(29))
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147480566/210-10-S99-1

Reference 5: http://fasb.org/us-gaap/role/ref/legacyRef
-Topic 210
-SubTopic 10
-Name Accounting Standards Codification
-Section S99
-Paragraph 1
-Subparagraph (SX 210.5-02(30))
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147480566/210-10-S99-1

Reference 6: http://fasb.org/us-gaap/role/ref/legacyRef
-Topic 210
-SubTopic 10
-Name Accounting Standards Codification
-Section S99
-Paragraph 1
-Subparagraph (SX 210.5-02(31))
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147480566/210-10-S99-1

Reference 7: http://www.xbrl.org/2003/role/exampleRef
-Topic 852
-SubTopic 10
-Name Accounting Standards Codification
-Section 55
-Paragraph 10
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147481372/852-10-55-10

Reference 8: http://www.xbrl.org/2003/role/exampleRef
-Topic 946
-SubTopic 830
-Name Accounting Standards Codification
-Section 55
-Paragraph 12
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147479168/946-830-55-12

Reference 9: http://www.xbrl.org/2003/role/disclosureRef
-Topic 946
-SubTopic 210
-Name Accounting Standards Codification
-Section S99
-Paragraph 1
-Subparagraph (SX 210.6-04(19))
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147479170/946-210-S99-1

Reference 10: http://www.xbrl.org/2003/role/disclosureRef
-Topic 946
-SubTopic 210
-Name Accounting Standards Codification
-Section S99
-Paragraph 2
-Subparagraph (SX 210.6-05(4))
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147479170/946-210-S99-2

Reference 11: http://www.xbrl.org/2009/role/commonPracticeRef
-Topic 946
-SubTopic 220
-Name Accounting Standards Codification
-Section S99
-Paragraph 3
-Subparagraph (SX 210.6-09(4)(b))
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147479134/946-220-S99-3

Reference 12: http://www.xbrl.org/2003/role/disclosureRef
-Topic 946
-SubTopic 220
-Name Accounting Standards Codification
-Section S99
-Paragraph 3
-Subparagraph (SX 210.6-09(6))
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147479134/946-220-S99-3

Reference 13: http://www.xbrl.org/2003/role/disclosureRef
-Topic 946
-SubTopic 220
-Name Accounting Standards Codification
-Section S99
-Paragraph 3
-Subparagraph (SX 210.6-09(7))
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147479134/946-220-S99-3

Reference 14: http://www.xbrl.org/2009/role/commonPracticeRef
-Topic 235
-SubTopic 10
-Name Accounting Standards Codification
-Section S99
-Paragraph 1
-Subparagraph (SX 210.4-08(g)(1)(ii))
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147480678/235-10-S99-1

Reference 15: http://www.xbrl.org/2009/role/commonPracticeRef
-Topic 323
-SubTopic 10
-Name Accounting Standards Codification
-Section 50
-Paragraph 3
-Subparagraph (c)
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147481687/323-10-50-3

Reference 16: http://fasb.org/us-gaap/role/ref/legacyRef
-Topic 310
-SubTopic 10
-Name Accounting Standards Codification
-Section S99
-Paragraph 2
-Subparagraph (SAB Topic 4.E)
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147480418/310-10-S99-2

+ Details

INVENTORIES, NET (Details) - USD ($) $ in Thousands	Sep. 30, 2025	Dec. 31, 2024
Inventory Disclosure [Abstract]
Gross inventory	$ 3,511	$ 1,916
Allowance for inventory obsolescence	(133)	(133)
Inventories, net	$ 3,378	$ 1,783

ACCUMULATED OTHER COMPREHENSIVE LOSS

9 Months Ended

Sep. 30, 2025

Equity [Abstract]

ACCUMULATED OTHER COMPREHENSIVE LOSS


Table 13: Details of Changes in the Components of Accumulated Other Comprehensive Loss
	Foreign currency translation adjustment		Pension liability adjustment		Total

	(in thousands)
Balance as of December 31, 2024	$	(175)	$	46	$	(129)
Other comprehensive income before reclassification, net of tax	76		8		84
Balance as of September 30, 2025	$	(99)	$	54	$	(45)

CONSOLIDATED BALANCE SHEETS (Parenthetical) - $ / shares	Sep. 30, 2025	Dec. 31, 2024
Stockholders’ equity:
Common stock, par value (in dollars per share)	$ 0.001	$ 0.001
Common stock, authorized (in shares)	250,000,000	250,000,000
Common stock, issued (in shares)	72,220,048	72,514,652
Common stock, outstanding (in shares)	72,220,048	72,514,652

INTANGIBLE ASSETS, NET (Tables)

9 Months Ended

Sep. 30, 2025

Goodwill and Intangible Assets Disclosure [Abstract]

Schedule of Intangible Assets, Net


Table 8.1: Details of Intangible Assets, Net
		September 30, 2025						December 31, 2024
	Estimated Useful Life	Gross Carrying Amount		Accumulated Amortization		Net Carrying Value		Gross Carrying Amount		Accumulated Amortization		Net Carrying Value

	(in years)	(in thousands)
Acquired technology	8	$	3,630	$	(1,891)	$	1,739	$	3,630	$	(1,550)	$	2,080
Customer relationship	3	40		(40)		—		40		(40)		—
Software development costs	2 - 5	39,888		(21,060)		18,828		27,366		(15,761)		11,605
Subtotal		43,558		(22,991)		20,567		31,036		(17,351)		13,685
In-process software development costs (1)		10,679		—		10,679		16,725		—		16,725
Total		$	54,237	$	(22,991)	$	31,246	$	47,761	$	(17,351)	$	30,410

(1) In-process software development costs are costs for software that is not yet available for its intended use or general release to customers as of balance sheet date, thus not yet amortized.

Schedule of Indefinite-Lived Intangible Assets


Table 8.1: Details of Intangible Assets, Net
		September 30, 2025						December 31, 2024
	Estimated Useful Life	Gross Carrying Amount		Accumulated Amortization		Net Carrying Value		Gross Carrying Amount		Accumulated Amortization		Net Carrying Value

	(in years)	(in thousands)
Acquired technology	8	$	3,630	$	(1,891)	$	1,739	$	3,630	$	(1,550)	$	2,080
Customer relationship	3	40		(40)		—		40		(40)		—
Software development costs	2 - 5	39,888		(21,060)		18,828		27,366		(15,761)		11,605
Subtotal		43,558		(22,991)		20,567		31,036		(17,351)		13,685
In-process software development costs (1)		10,679		—		10,679		16,725		—		16,725
Total		$	54,237	$	(22,991)	$	31,246	$	47,761	$	(17,351)	$	30,410

(1) In-process software development costs are costs for software that is not yet available for its intended use or general release to customers as of balance sheet date, thus not yet amortized.

Schedule of Amortization Expense


Table 8.2: Amortization Expense
	For the Three Months Ended				For the Nine Months Ended
	September 30, 2025		September 30, 2024		September 30, 2025		September 30, 2024

	(in thousands)
Amortization expense related to:
Software development costs – cost of sales (1)	$	2,265	$	1,402	$	5,299	$	4,509
Software development costs – research and development	—		588		—		2,286
Other intangible assets – general and administrative	113		115		340		348
Total	$	2,378	$	2,105	$	5,639	$	7,143

CONSOLIDATED STATEMENTS OF CHANGES IN STOCKHOLDERS' EQUITY - USD ($) $ in Thousands	Total	Common Stock	Additional Paid-in Capital	Accumulated Other Comprehensive Loss	Accumulated Deficit
Beginning balance (in shares) at Dec. 31, 2023		70,240,000
Beginning balance at Dec. 31, 2023	$ 159,003	$ 109	$ 433,781	$ (60)	$ (274,827)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net loss	(43,190)				(43,190)
Foreign currency translation gain (loss)	(34)			(34)
Actuarial gain on pension liability adjustment	(30)			(30)
Restricted stock unit awards vested, net of shares withheld to cover tax withholding (in shares)		1,687,000
Restricted stock unit awards vested, net of shares withheld to cover tax withholding	(457)	$ 2	(459)
Stock-based compensation	12,424		12,424
Issuance of common stock upon exercise of stock options (in shares)		83,000
Issuance of common stock upon exercise of stock options	149		149
Issuance of common stock for 401K match (in shares)		370,000
Issuance of common stock for 401(k) match	1,618		1,618
Ending balance (in shares) at Sep. 30, 2024		72,380,000
Ending balance at Sep. 30, 2024	129,483	$ 111	447,513	(124)	(318,017)
Beginning balance (in shares) at Jun. 30, 2024		72,223,000
Beginning balance at Jun. 30, 2024	149,149	$ 111	439,146	(146)	(289,962)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net loss	(28,055)				(28,055)
Foreign currency translation gain (loss)	22			22
Actuarial gain on pension liability adjustment	0
Restricted stock unit awards vested, net of shares withheld to cover tax withholding (in shares)		132,000
Restricted stock unit awards vested, net of shares withheld to cover tax withholding	(28)		(28)
Stock-based compensation	8,350		8,350
Issuance of common stock upon exercise of stock options (in shares)		25,000
Issuance of common stock upon exercise of stock options	45		45
Ending balance (in shares) at Sep. 30, 2024		72,380,000
Ending balance at Sep. 30, 2024	$ 129,483	$ 111	447,513	(124)	(318,017)
Beginning balance (in shares) at Dec. 31, 2024	72,514,652	72,515,000
Beginning balance at Dec. 31, 2024	$ 127,137	$ 111	454,502	(129)	(327,347)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net loss	(20,235)				(20,235)
Foreign currency translation gain (loss)	76			76
Actuarial gain on pension liability adjustment	8			8
Restricted stock unit awards vested, net of shares withheld to cover tax withholding (in shares)		989,000
Restricted stock unit awards vested, net of shares withheld to cover tax withholding	(1,600)	$ 1	(1,601)
Stock-based compensation	$ 19,757		19,757
Issuance of common stock upon exercise of stock options (in shares)	60,000	60,000
Issuance of common stock upon exercise of stock options	$ 108		108
Repurchases of common stock (in shares)		(2,072,000)
Repurchases of common stock	(7,639)	$ (2)	(7,637)
Issuance of common stock for 401K match (in shares)		728,000
Issuance of common stock for 401(k) match	$ 2,063	$ 1	2,062
Ending balance (in shares) at Sep. 30, 2025	72,220,048	72,220,000
Ending balance at Sep. 30, 2025	$ 119,675	$ 111	467,191	(45)	(347,582)
Beginning balance (in shares) at Jun. 30, 2025		72,442,000
Beginning balance at Jun. 30, 2025	118,413	$ 111	463,816	(46)	(345,468)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net loss	(2,114)				(2,114)
Foreign currency translation gain (loss)	1			1
Actuarial gain on pension liability adjustment	0
Restricted stock unit awards vested, net of shares withheld to cover tax withholding (in shares)		302,000
Restricted stock unit awards vested, net of shares withheld to cover tax withholding	(537)	$ 1	(538)
Stock-based compensation	7,441		7,441
Issuance of common stock upon exercise of stock options (in shares)		60,000
Issuance of common stock upon exercise of stock options	108		108
Repurchases of common stock (in shares)		(584,000)
Repurchases of common stock	$ (3,637)	$ (1)	(3,636)
Ending balance (in shares) at Sep. 30, 2025	72,220,048	72,220,000
Ending balance at Sep. 30, 2025	$ 119,675	$ 111	$ 467,191	$ (45)	$ (347,582)

STOCK-BASED COMPENSATION

9 Months Ended

Sep. 30, 2025

Share-Based Payment Arrangement [Abstract]

STOCK-BASED COMPENSATION

The Company grants stock-based compensation awards under the Amended and Restated 2016 Omnibus Long-Term Incentive Plan (the "2016 LTIP"). We have granted stock options, restricted stock units with time-based vesting ("RSUs"), and restricted stock units with performance-based vesting ("PSUs"). Awards granted under the 2016 LTIP vest over the periods determined by the Board of Directors or the Compensation Committee of the Board of Directors, which has the discretion to establish the terms, conditions and criteria of the various awards. The RSUs granted to eligible employees and non-employees generally vest in installments over a period of up to three years. PSUs will vest upon the achievement of a defined performance target or market conditions for the Company's common stock or certain operational milestones over a prescribed period.

On May 8, 2025, the Company's stockholders approved an amendment to the 2016 LTIP that increased the number of shares available for issuance under the 2016 LTIP by an additional 4,900,000 shares. As of September 30, 2025, approximately 1.6 million shares of our common stock were available for future grants under the 2016 LTIP.

Stock-based compensation expense recognized for restricted stock units and stock options granted to employees and non-employees is included in the unaudited consolidated statements of operations, net of adjustments. There were no income tax benefits recognized on the stock-based compensation expense for the three and nine months ended September 30, 2025, and 2024.


Table 11.1: Details of Stock Compensation Expense by Category
	For the Three Months Ended				For the Nine Months Ended
	September 30, 2025		September 30, 2024		September 30, 2025		September 30, 2024

	(in thousands)
Cost of sales – services	$	154	$	115	$	493	$	600
Research and development	421		188		705		(261)
Selling, general and administrative	8,813		8,511		22,995		13,678
Total	$	9,388	$	8,814	$	24,193	$	14,017

Restricted Stock


Table 11.2: Restricted Stock Unit Activity
	Service-Based	Performance-Based	Total Shares	Weighted-Average Grant Date Fair Value
Unvested outstanding units as of December 31, 2024	1,952,103	10,683,230	12,635,333	$	3.52
Granted	1,161,265	3,381,163	4,542,428	3.43
Vested	(840,616)	(717,191)	(1,557,807)	3.93
Forfeited, cancelled, or expired	(110,916)	(154,649)	(265,565)	3.43
Unvested outstanding units as of September 30, 2025	2,161,836	13,192,553	15,354,389	$	3.24

On February 20, 2025, the Company amended certain previously granted PSUs that could settle in up to 2,462,445 shares of its common stock and would only vest if the Company achieves certain financial performance targets for fiscal year 2025. The amendment eliminated one of the financial performance targets.

On May 14, 2025, the Company granted PSUs to a certain employee that could settle in up to (i) 65,000 shares of its common stock that will vest only if the Company achieves a certain operational milestone prior to January 1, 2027; and (ii) 50,000 shares of its common stock and will vest only if the Company achieves certain financial performance targets for fiscal year 2025.

On June 11, 2025, the Company granted PSUs containing stock price market conditions to certain employees that could settle in up to 1,060,000 shares of its common stock. These PSUs will vest, in whole or in part, only if the Company's closing common stock price remains at or above certain specified stock prices for 50 consecutive days prior to January 1, 2027.

On June 11, 2025, the Company also granted to certain executives PSUs that were market conditions dependent on total shareholder return ("TSR"), that could settle in up to 2,206,163 shares of its common stock. The vesting criteria for these awards are based on the Company's TSR performance relative to the TSR performance of the Company's current compensation peer group as of the grant date over the three-year performance period, June 1, 2025, through May 31, 2028, and conditioned upon neutral or positive free cash flow (i.e. cash flows from operating activities less capital expenditure) at the end of each fiscal year 2025, 2026, and 2027. The final payout of these PSUs will vary between 0% to 200% of the target number of PSUs granted, depending on the TSR performance and meeting the free cash flow requirements.

For the Company's stock-based compensation awards subject to market conditions, the grant date fair value per share is based on a Monte Carlo simulation method. The expenses for these awards are recognized over the derived service period as determined through the Monte Carlo simulation model (as defined below).

For the awards subject to stock price market conditions, the Monte Carlo approach uses a class of computational algorithms that rely on repeated random sampling to compute their results. This approach allows the calculation of the value of such PSUs based on a large number of possible stock price path scenarios. The risk-free rate is based on a zero-coupon yield from the Treasury Constant Maturities yield curve at the time of grant over the performance period. Our key assumptions include a performance period of 1.56 years, an expected volatility of 97.5%, and a risk-free rate of 3.9%. The fair value for these stock price market condition PSUs at the grant date ranges between $1.17 – $1.51, and the derived service period ranges between 0.8 – 0.94 years.

For the awards subject to TSR market conditions, the Monte Carlo simulation simulates a distribution of stock prices for the Company and its current compensation peer group throughout the remaining performance period based on certain assumptions of stock price performance. Monte Carlo valuations of relative TSR PSUs depend on two sets of prices: realized performance and simulated performance. Our key assumptions include a performance period of 2.97 years, an expected volatility of 114.7%, and a risk-free rate of 3.8%. The fair value for these relative TSR market condition PSUs at the grant date was $4.82.

As of September 30, 2025, and 2024, the intrinsic value of the RSUs and PSUs outstanding, exercisable, and vested or expected to vest was $105.0 million and $45.8 million, respectively. There was approximately $17.8 million of total compensation costs related to stock-based awards not yet recognized as of September 30, 2025, which is expected to be recognized on a straight-line basis over a weighted-average remaining vesting period of 0.5 years.

Stock Options


Table 11.3: Stock Option Activity
	Stock Options Outstanding	Weighted-Average Exercise Price		Weighted-Average Remaining Contractual Term (in years)	Aggregate Intrinsic Value
Outstanding option balance as of December 31, 2024	287,000	$	1.80	8.4	$	464,940
Granted	—	—
Exercised	(60,000)	1.80
Forfeited, cancelled, or expired	—	—
Outstanding option balance as of September 30, 2025	227,000	$	1.80	7.6	$	1,144,080
Exercisable stock options as of September 30, 2025	227,000	$	1.80	7.6	$	1,144,080

The aggregate intrinsic value is calculated as the difference between the exercise price of the underlying stock option awards and the quoted closing price of the Company's common stock as of September 30, 2025.

The fair value of the stock options, including the stock options granted to directors, is expensed on a straight-line basis over the vesting period of one year, as the annual stockholders meeting is expected to occur at the same approximate time each year. As of September 30, 2025, there were no unrecognized compensation costs related to non-vested stock options.

STOCK-BASED COMPENSATION - Nonvested Restricted Stock Units Activity (Details)	9 Months Ended
	Sep. 30, 2025 $ / shares shares
Total
Outstanding, beginning balance (in shares)	12,635,333
Granted (in shares)	4,542,428
Vested (in shares)	(1,557,807)
Forfeited, cancelled, or expired (in shares)	(265,565)
Outstanding, beginning balance (in shares)	15,354,389
Weighted-Average Grant Date Fair Value
Outstanding, beginning balance (in dollars per share) \| $ / shares	$ 3.52
Granted (in dollars per share) \| $ / shares	3.43
Vested (in dollars per share) \| $ / shares	3.93
Forfeited, cancelled, or expired (in shares) \| $ / shares	3.43
Outstanding, ending balance (in dollars per share) \| $ / shares	$ 3.24
Service-Based
Total
Outstanding, beginning balance (in shares)	1,952,103
Granted (in shares)	1,161,265
Vested (in shares)	(840,616)
Forfeited, cancelled, or expired (in shares)	(110,916)
Outstanding, beginning balance (in shares)	2,161,836
Performance-Based
Total
Outstanding, beginning balance (in shares)	10,683,230
Granted (in shares)	3,381,163
Vested (in shares)	(717,191)
Forfeited, cancelled, or expired (in shares)	(154,649)
Outstanding, beginning balance (in shares)	13,192,553

SIGNIFICANT ACCOUNTING POLICIES

9 Months Ended

Sep. 30, 2025

Accounting Policies [Abstract]

SIGNIFICANT ACCOUNTING POLICIES

Basis of Presentation and Principle of Consolidation

Basis of Presentation for Interim Periods

Certain information and footnote disclosures normally included for the annual financial statements prepared in accordance with U.S. GAAP have been condensed or omitted for the interim periods presented. We believe that the unaudited interim financial statements include all adjustments (which are normal and recurring) necessary to state fairly our financial position and the results of operations and cash flows for the periods presented.

The results of operations for the interim periods presented are not necessarily indicative of results that may be expected for the year or future periods. The financial statements should be read in conjunction with our audited consolidated financial statements and the notes thereto for the year ended December 31, 2024, included in our Annual Report on Form 10-K for the fiscal year then ended. We continue to follow the accounting policies set forth in those financial statements.

Reclassification

Use of Estimates

Deferred Program Expenses

Accrued Liabilities

Restructuring Expenses


Table 2: Summary of Changes in Restructuring Expenses Accrual
	Severance and related benefit costs (1)

	(in thousands)
Balance at December 31, 2024	$	37
Cash payments	(37)
Balance at September 30, 2025	$	—

(1) Restructuring expenses accrual is included within "Accrued liabilities" on the Company's unaudited consolidated balance sheets (see Note 9 - Other Balance Sheet Components for further details).

The Company did not have any restructuring activities or additional impairment charges related to the restructuring plan during the three and nine months ended September 30, 2025.

Income Taxes

Recent Accounting Pronouncements

The Company adopted all applicable standards effective as of December 31, 2024, within these unaudited consolidated financial statements, with no material impact as a result of the adoption.

SUPPLEMENTAL CASH FLOW INFORMATION - Cash, Cash Equivalents, and Restricted Cash (Details) - USD ($) $ in Thousands	Sep. 30, 2025	Dec. 31, 2024	Sep. 30, 2024	Dec. 31, 2023
Supplemental Cash Flow Elements [Abstract]
Cash and cash equivalents	$ 59,050	$ 54,578
Restricted cash	140	139
Cash, cash equivalents, and restricted cash	$ 59,190	$ 54,717	$ 69,900	$ 99,396

SHARE REPURCHASES (Tables)

9 Months Ended

Sep. 30, 2025

Equity [Abstract]

Schedule of Share Repurchases Activity


Table 12: Share Repurchase Activity
	For the Three Months Ended				For the Nine Months Ended
	September 30, 2025		September 30, 2024		September 30, 2025		September 30, 2024

	(in thousands, except per share and share data)
Amounts paid for shares repurchased (1)	$	3,637	$	—	$	7,639	$	—
Number of shares repurchased	584,213		—		2,072,440		—
Average per share price paid (1)	$	6.23	$	—	$	3.69	$	—

(1) Includes commission paid for repurchases on the open market.

CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands	Sep. 30, 2025	Dec. 31, 2024
Assets:
Cash and cash equivalents	$ 59,050	$ 54,578
Accounts receivable, net	20,423	19,172
Inventories, net	3,378	1,783
Prepaid expenses	12,825	15,092
Deferred program expenses	5,882	0
Other current assets	1,274	793
Total current assets	102,832	91,418
Property and equipment, net	3,489	4,283
Finance lease right-of-use assets, net	4,476	5,391
Operating lease right-of-use assets, net	464	622
Goodwill	17,922	17,922
Intangible assets, net	31,246	30,410
Other assets	3,852	8,189
Total assets	164,281	158,235
Liabilities:
Accounts payable	2,779	1,153
Accrued liabilities	7,140	4,449
Accrued compensation and benefits	11,402	7,608
Contract liabilities	13,732	6,838
Finance lease obligations – current portion	1,993	1,877
Operating lease obligations – current portion	226	210
Total current liabilities	37,272	22,135
Finance lease obligations – non-current portion	6,132	7,641
Operating lease obligations – non-current portion	246	418
Deferred income taxes	854	813
Other liabilities	102	91
Total liabilities	44,606	31,098
Commitments and contingencies
Stockholders’ equity:
Common stock, $0.001 par value, 250,000,000 shares authorized, 72,220,048 shares and 72,514,652 shares issued and outstanding as of September 30, 2025, and December 31, 2024, respectively	111	111
Additional paid-in capital	467,191	454,502
Accumulated other comprehensive loss	(45)	(129)
Accumulated deficit	(347,582)	(327,347)
Total stockholders’ equity	119,675	127,137
Total liabilities and stockholders’ equity	$ 164,281	$ 158,235

COMMITMENTS AND CONTINGENCIES	9 Months Ended
COMMITMENTS AND CONTINGENCIES	Sep. 30, 2025
Commitments and Contingencies Disclosure [Abstract]
COMMITMENTS AND CONTINGENCIES	COMMITMENTS AND CONTINGENCIES Legal Proceedings From time to time, the Company may be a party to litigation or claims arising in the ordinary course of business, including those relating to employment matters, relationships with clients and contractors, intellectual property disputes, and other business matters. These legal proceedings seek various remedies, including claims for monetary damages in varying amounts, none of which are considered material, or are unspecified as to amount. Although the outcome of any such matter is inherently uncertain and may be materially adverse, based on current information, management believes that the outcome of such known matters will not have a material adverse effect on the Company's business or its unaudited consolidated financial statements as of September 30, 2025. Other - Government Contracts As a U.S. federal government contractor, we are subject to various audits and investigations by the U.S. federal government to determine whether our operations are being conducted in accordance with applicable regulatory requirements. U.S. federal government investigations of our operations, whether relating to government contracts or conducted for other reasons, could result in administrative, civil, or criminal liabilities, including repayments, fines or penalties being imposed upon us, suspension, proposed debarment, debarment from eligibility for future U.S. federal government contracting, or suspension of export privileges. Suspension or debarment could have a material adverse effect on us because of our dependence on contracts with the U.S. federal government. U.S. federal government investigations often take years to complete and many result in no adverse action against us. We also provide products and services to customers outside of the United States, which are subject to U.S. and foreign laws and regulations and foreign procurement policies and practices. Our compliance with local regulations or applicable U.S. federal government regulations also may be audited or investigated.

Cover - shares	9 Months Ended
Cover - shares	Sep. 30, 2025	Nov. 03, 2025
Cover [Abstract]
Document Type	10-Q
Document Quarterly Report	true
Document Period End Date	Sep. 30, 2025
Document Transition Report	false
Entity File Number	001-08443
Entity Registrant Name	TELOS CORPORATION
Entity Incorporation, State or Country Code	MD
Entity Tax Identification Number	52-0880974
Entity Address, Address Line One	19886 Ashburn Road
Entity Address, City or Town	Ashburn
Entity Address, State or Province	VA
Entity Address, Postal Zip Code	20147-2358
City Area Code	703
Local Phone Number	724-3800
Title of 12(b) Security	Common stock, $0.001 par value per share
Trading Symbol	TLS
Security Exchange Name	NASDAQ
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Accelerated Filer
Entity Small Business	true
Entity Emerging Growth Company	false
Entity Shell Company	false
Entity Common Stock, Shares Outstanding		73,754,329
Entity Central Index Key	0000320121
Current Fiscal Year End Date	--12-31
Amendment Flag	false
Document Fiscal Year Focus	2025
Document Fiscal Period Focus	Q3

INVENTORIES, NET

9 Months Ended

Sep. 30, 2025

Inventory Disclosure [Abstract]

INVENTORIES, NET


Table 5: Details of Inventories, Net
	September 30, 2025		December 31, 2024

	(in thousands)
Gross inventory	$	3,511	$	1,916
Allowance for inventory obsolescence	(133)		(133)
Inventories, net	$	3,378	$	1,783

SIGNIFICANT ACCOUNTING POLICIES (Tables)

9 Months Ended

Sep. 30, 2025

Accounting Policies [Abstract]

Schedule of Changes in Restructuring Expenses Accrual


Table 2: Summary of Changes in Restructuring Expenses Accrual
	Severance and related benefit costs (1)

	(in thousands)
Balance at December 31, 2024	$	37
Cash payments	(37)
Balance at September 30, 2025	$	—

(1) Restructuring expenses accrual is included within "Accrued liabilities" on the Company's unaudited consolidated balance sheets (see Note 9 - Other Balance Sheet Components for further details).

The Company did not have any restructuring activities or additional impairment charges related to the restructuring plan during the three and nine months ended September 30, 2025.

GOODWILL	9 Months Ended
GOODWILL	Sep. 30, 2025
Goodwill and Intangible Assets Disclosure [Abstract]
GOODWILL	GOODWILL The goodwill balance was $17.9 million as of September 30, 2025, and December 31, 2024, of which $3.0 million is allocated to the Security Solutions segment and $14.9 million is allocated to the Secure Networks segment. Goodwill is subject to annual impairment tests, and if triggering events are present in the interim before the annual tests, we will assess impairment. If the financial performance of our Secure Networks reporting segment remains at the current level for a sustained period of time, and after considering other qualitative factors, there may be a triggering event indicating goodwill may be impaired in our Secure Networks reporting unit. Accordingly, management may need to perform a quantitative impairment test over the Secure Networks reporting unit to determine if an impairment loss should be recorded which may have an adverse impact on our results of operations. No impairment charges were recorded for the three and nine months ended September 30, 2025, and 2024.

- Definition

The entire disclosure for goodwill.

+ References + Details