CISO Global Reports $7.16 Million Revenue in Q1 2025, Sees 10.8% Decline

CISO Global, Inc. reported a total revenue of $7.16 million for the first quarter of 2025, a decrease of approximately 10.8% from $8.03 million in the same period of 2024. The decline was primarily attributed to a drop in security managed services and professional services revenue, which fell by 10% and 26%, respectively. In contrast, revenue from cybersecurity software increased by 47%, reflecting a growing adoption of the company's Checklight cybersecurity software. Despite the revenue decline, the company achieved a gross profit of $1.78 million, significantly higher than the $706,222 reported in the prior year, largely due to reduced costs of revenue.

CISO Global's operating expenses also saw a notable reduction, decreasing from $5.6 million in Q1 2024 to $3.49 million in Q1 2025. This reduction was driven by lower selling, general, and administrative expenses, which fell by 33% due to headcount reductions made in 2024. The company reported a loss from operations of $1.71 million, an improvement compared to the $4.9 million loss in the same quarter of the previous year. However, the overall net loss for the quarter was $5.38 million, slightly better than the $5.61 million loss reported in Q1 2024.

In terms of strategic developments, CISO Global executed a significant conversion of $7.7 million of convertible debt into common stock during the quarter, which contributed to a reduction in liabilities. The company also reported a decrease in total current liabilities from $24.96 million at the end of 2024 to $20.36 million as of March 31, 2025. This reduction was primarily due to lower accounts payable and accrued expenses, as well as a decrease in loans payable.

Operationally, CISO Global's cash and cash equivalents increased to $1.79 million from $992,589 at the end of 2024, indicating improved liquidity. The company reported a working capital deficit of $15.35 million, an improvement from $21.47 million at the end of the previous fiscal year. The total employee headcount has been adjusted in line with the company's restructuring efforts, aimed at optimizing operational efficiency.

Looking ahead, CISO Global expressed concerns regarding its ability to continue as a going concern, citing ongoing losses and the need for additional funding. The company is actively exploring various strategies to secure necessary capital, including potential equity financing and restructuring operations to enhance revenue and reduce expenses. The management remains cautious about future performance, anticipating further losses through the end of 2025 while focusing on stabilizing its financial position.