Slide 1: Fourth Quarter and Full Year 2025 Earnings
Fourth Quarter and Full Year 2025 Earnings March 16, 2026
Slide 2: Disclaimers
DISCLAIMERS The information contained in this presentation does not constitute or form part of, and should not be construed as, any offer, sale or subscription of, or any invitation to offer, buy or subscribe for, any securities, nor shall there be any offer, solicitation or sale in any jurisdiction
Slide 3: Financial Performance Summary
FINANCIAL PERFORMANCE SUMMARY DELIVERED $46.8M OF REVENUE, 35.0% GAAP GROSS MARGIN, 41.9% CASH GM1, AND $8.0M OF CASH FLOW FROM OPERATIONS 4Q 2025 FY 2025 4Q 2025 4Q 2025 Summary Actual Actual Guidance / Assumptions • Delivered $46.8M of Revenue vs. guidance of $44.0M to $46.3M; YoY revenue growth o
Slide 4: Significant Year-Over-Year Business Expansion in 2025
FINANCIAL PERFORMANCE SUMMARY SIGNIFICANT YEAR-OVER-YEAR BUSINESS EXPANSION IN 2025 Revenue GAAP Gross Profit Adjusted EBITDA1 Free Cash Flow1 FY YoY Commentary • Revenue: Security Solutions up 95% to $149.6M primarily due to expansion UP 52% UP 77% UP $27.8M UP $61.0M within the Telos ID portfolio.
Slide 5: 2026 Outlook
2026 OUTLOOK DOUBLE DIGIT REVENUE GROWTH WITH ADJUSTED EBITDA MARGIN EXPANSION IN 2026 Guidance Guidance Assumptions FY 2026 FY 2026 FY Assumptions Low End High End • Revenue forecasted to grow 14% to 21%, primarily due to expansion within Telos ID • Cash Gross Margin1 approximately 37.0 – 39.5% Rev
Slide 6: Summary
SUMMARY 2025 Was a Transformational Year for Telos with Strong Revenue Growth, Significant Adjusted EBITDA Margin Expansion and a Dramatic Improvement in Cash Generation Successfully Delivered on Large Programs, Secured New Business and Scaled Our Operating Model Returned Capital to Shareholders via
Slide 7: Appendix
Appendix Telos
Slide 8: Non-GAAP Financial Measures
NON-GAAP FINANCIAL MEASURES In addition to Telos' results determined in accordance with U.S. GAAP, Telos believes the non-GAAP financial measures of EBITDA, Adjusted EBITDA, EBITDA Margin, Adjusted EBITDA Margin, Incremental Adjusted EBITDA, Incremental Adjusted EBITDA Margin, Adjusted Net Income (L
Slide 9: 2026 FY Additional Modeling Assumptions
2026 OUTLOOK 2026 FY ADDITIONAL MODELING ASSUMPTIONS 2025 2026E 2026E FY Commentary Full Year Full Year GAAP Gross Margin 37.0% ~30.5% - 33.5% • See Cash GM1 commentary below • SS down YoY; SN up YoY Cash Gross Margin1 42.7% ~37.0% - 39.5% • More favorable revenue mix between SS and SN (SS 98% vs. 9
Slide 10: 2026 1Q Additional Modeling Assumptions
2026 OUTLOOK 2026 1Q ADDITIONAL MODELING ASSUMPTIONS 2025 2026E 2026E 1Q Commentary 1Q 1Q GAAP Gross Margin 39.8% Over 33.0% • See Cash GM1 commentary below • SS down YoY; SN up YoY Cash Gross Margin1 45.3% Over 39.0% • More favorable revenue mix between SS and SN (SS 96% vs. 84% in 1Q25) Stock Base
Slide 11: GAAP and Adjusted Full Year Results 2025
2025 RESULTS GAAP AND ADJUSTED FULL YEAR RESULTS (Amounts in thousands, unaudited) 2025 Three Months Ended March 31, 2025 Three Months Ended June 30, 2025 Three Months Ended September 30, 2025 Three Months Ended December 31, 2025 Twelve Months Ended December 31, 2025 GAAP SBC Other Inc Adjusted GAAP
Slide 12: GAAP and Adjusted Full Year Results 2024
2024 RESULTS GAAP AND ADJUSTED FULL YEAR RESULTS (Amounts in thousands, unaudited) 2024 Three Months Ended March 31, 2024 Three Months Ended June 30, 2024 Three Months Ended September 30, 2024 Three Months Ended December 31, 2024 Twelve Months Ended December 31, 2024 GAAP SBC Other Inc Restructure A
Slide 13: Cash Gross Profit & Cash Gross Margin Full Year Results 2025
2025 RESULTS CASH GROSS PROFIT & CASH GROSS MARGIN FULL YEAR RESULTS (Amounts in thousands, unaudited) 2025 Three Months Ended Twelve Months Ended March 31, 2025 June 30, 2025 September 30, 2025 December 31, 2025 December 31, 2025 Revenue Security Solutions $ 25,818 $ 32,474 $ 46,478 $ 44,830 $ 149,
Slide 14: Cash Gross Profit & Cash Gross Margin Full Year Results 2024
2024 RESULTS CASH GROSS PROFIT & CASH GROSS MARGIN FULL YEAR RESULTS (Amounts in thousands, unaudited) 2024 Three Months Ended Twelve Months Ended March 31, 2024 June 30, 2024 September 30, 2024 December 31, 2024 December 31, 2024 Revenue Security Solutions $ 18,640 $ 17,867 $ 18,332 $ 21,921 $ 76,7
Slide 15: EBITDA, Adjusted EBITDA and Margin Reconciliations
RECONCILIATIONS EBITDA, ADJUSTED EBITDA, EBITDA MARGIN, ADJUSTED EBITDA MARGIN, INCREMENTAL ADJUSTED EBITDA, AND INCREMENTAL ADJUSTED EBITDA MARGIN (Amounts in thousands, unaudited) For the Three Months Ended December 31, For the Year Ended December 31, 2025 2024 Year-over-Year Change 2025 2024 Year
Slide 16: Adjusted Net Income (Loss) and Adjusted EPS
RECONCILIATIONS ADJUSTED NET INCOME (LOSS) AND ADJUSTED EPS (Amounts in thousands, unaudited) For the Three Months Ended December 31, For the Year Ended December 31, 2025 2024 2025 2024 Net loss $ (16,311) $ (9,330) $ (36,546) $ (52,520) Adjustments: Other income (1,600) (724) (3,225) (4,023) Stock-
Slide 17: Adjusted Gross Profit, Cash Gross Profit and Margins
RECONCILIATIONS ADJUSTED GROSS PROFIT, CASH GROSS PROFIT, ADJUSTED GROSS MARGIN, AND CASH GROSS MARGIN (Amounts in thousands, unaudited) For the Three Months Ended December 31, For the Year Ended December 31, 2025 2024 2025 2024 Amount Margin Amount Margin Amount Margin Amount Margin Gross profit 16
Slide 18: Free Cash Flow and Free Cash Flow Margin
RECONCILIATIONS FREE CASH FLOW AND FREE CASH FLOW MARGIN (Amounts in thousands, unaudited) For the Three Months Ended December 31, For the Year Ended December 31, 2025 2024 2025 2024 Net cash flows provided by (used in) operating activities $ 7,980 $ (10,518) $ 30,182 $ (25,938) Adjustments: Capital
Slide 19: Adjusted Operating Expenses and Cash Operating Expenses
RECONCILIATIONS ADJUSTED OPERATING EXPENSES AND CASH OPERATING EXPENSES (Amounts in thousands, unaudited) For the Three Months Ended December 31, For the Year Ended December 31, 2025 2024 2025 2024 Operating expenses $ 34,865 $ 20,545 $ 100,898 $ 90,302 Adjustments: Stock-based compensation expense
Slide 20: Solutions that empower and protect the enterprise.
Solutions that empower TM and protect the enterprise. 20