Cycurion Reports 14.8% Revenue Decline and $24.1 Million Net Loss for Fiscal Year 2025

Cycurion, Inc. reported a significant decline in financial performance for the fiscal year ending December 31, 2025, with total revenues of $15.1 million, a decrease of 14.8% from $17.8 million in 2024. The company attributed this drop primarily to delayed start dates for new federal, state, and local contracts, as well as a strategic shift towards more profitable business segments. The cost of revenues also decreased to $13.5 million from $14.1 million, resulting in a gross profit of $1.6 million, down from $3.6 million in the previous year. The company incurred a net loss of $24.1 million, compared to a net income of $1.2 million in 2024, largely due to increased operating expenses related to its transition to a publicly traded company and costs associated with a business combination.

In terms of strategic developments, Cycurion completed a business combination with Western Acquisition Ventures Corp. on February 14, 2025, which resulted in a change of its corporate structure and name. This merger has positioned Cycurion to enhance its market presence in the cybersecurity sector. The company also expanded its service offerings through the acquisition of SLG Innovation, Inc., which has allowed it to broaden its client base and service capabilities. As of December 31, 2025, Cycurion reported a backlog of approximately $80 million, a significant increase from $16 million in the previous year, indicating a strong pipeline for future revenue.

Operationally, Cycurion's employee count stood at 74 as of December 31, 2025, with 66 being full-time employees. The company has focused on enhancing its workforce to support its growth strategy, which includes expanding its cybersecurity services to federal and state government agencies, as well as commercial clients. The company has also reported a concentration of revenue from a limited number of clients, with its four largest customers accounting for approximately 64.5% of total revenue in 2025.

Looking ahead, Cycurion's management has expressed optimism about future growth, driven by its strategic initiatives and an expanding backlog. However, the company has acknowledged the challenges it faces, including the need for additional financing to support operations and growth initiatives. The management plans to continue seeking capital through equity raises and other financing options to ensure the company's sustainability and ability to meet its obligations. The company remains committed to improving its operational efficiency and generating positive cash flows in the coming years.