Alarum Technologies Reports Record Third Quarter Revenue Growth of 81% to $13 Million Driven by Surging Demand from Leading AI Model Developers

Q: What were Alarum (ALAR) Q3 2025 revenues and growth rate?

Alarum reported Q3 2025 revenue of $13.0 million , an 81% increase YoY .

Q: How profitable was Alarum in Q3 2025 and what was Adjusted EBITDA?

Q3 2025 net profit was $0.1 million and Adjusted EBITDA was $1.2 million .

Q: What guidance did Alarum give for Q4 2025 revenue and EBITDA?

Alarum expects Q4 2025 revenue of about $12 million (±7%) and Adjusted EBITDA of roughly $1 million (±$0.5M) .

Q: Why did Alarum's margins decline in 2025 despite strong revenue growth?

The company said it front-loaded capacity and premium infrastructure investments to capture AI training-data market share, which pressured near-term margins.

Q: How strong is Alarum's balance sheet as of September 30, 2025?

Alarum held $24.6 million in cash, cash equivalents and investments and reported no debt as of September 30, 2025.

Q: What customer trends did Alarum report for Q3 2025 (ALAR)?

Alarum reported 26% more paying customers , 17% higher average revenue per customer , and that most Q3 growth came from expanding existing AI customers.

Rhea-AI Impact

(High)

Rhea-AI Sentiment

(Neutral)

Rhea-AI Summary

Alarum (NASDAQ: ALAR) reported Q3 2025 revenue of $13.0 million, up 81% YoY, with net profit $0.1 million and Adjusted EBITDA $1.2 million. The company said it is prioritizing market-share capture in the AI training-data segment and is front-loading infrastructure investments, which pressured near-term margins.

Operational highlights include 26% more paying customers, 17% higher ARPC, and 48% sequential revenue growth. Balance sheet: $24.6 million in cash, equivalents and investments and no debt as of September 30, 2025. Guidance: Q4 2025 revenue ~$12 million (±7%) and Adjusted EBITDA ~$1 million (±$0.5M).

Positive

Q3 revenue +81% YoY to $13.0 million
Adjusted EBITDA of $1.2 million in Q3 2025
Cash, equivalents and investments $24.6 million
Paying customers +26% in Q3 2025
Average revenue per customer +17% in Q3 2025

Negative

Gross margin contracted to 55.6% in Q3 2025
Operating expenses rose to $7.4 million in Q3 2025
Net profit compressed to $0.1 million in Q3 2025
Company states infrastructure investments are lowering near-term margins

News Market Reaction

-21.62% 14.5x vol

17 alerts

-21.62% News Effect

+10.3% Peak Tracked

-28.5% Trough Tracked

-$23M Valuation Impact

$84M Market Cap

14.5x Rel. Volume

On the day this news was published, ALAR declined 21.62%, reflecting a significant negative market reaction. Argus tracked a peak move of +10.3% during that session. Argus tracked a trough of -28.5% from its starting point during tracking. Our momentum scanner triggered 17 alerts that day, indicating notable trading interest and price volatility. This price movement removed approximately $23M from the company's valuation, bringing the market cap to $84M at that time. Trading volume was exceptionally heavy at 14.5x the daily average, suggesting significant selling pressure.

Data tracked by StockTitan Argus on the day of publication.

Key Figures

Q3 2025 Revenue: $13.0M Q3 YoY Revenue Growth: 81% Q3 Net Profit: $0.1M +5 more

8 metrics

Q3 2025 Revenue $13.0M Three months ended September 30, 2025; up 81% vs Q3 2024

Q3 YoY Revenue Growth 81% Revenue growth vs Q3 2024 ($7.2M)

Q3 Net Profit $0.1M Net profit for Q3 2025

Q3 Adjusted EBITDA $1.2M Adjusted EBITDA for Q3 2025

Q3 Gross Margin 55.6% Q3 2025 gross margin vs 71.8% in Q3 2024

Cash & Investments $24.6M Cash, cash equivalents and investments as of September 30, 2025

Q4 2025 Revenue Outlook $12M (±7%) Company guidance for Q4 2025 revenue, up 63% YoY

Q4 Adj. EBITDA Outlook $1M (±$0.5M) Company guidance for Q4 2025 Adjusted EBITDA

Market Reality Check

Price: $9.05 Vol: Volume 59,201 is below th...

low vol

$9.05 Last Close

Volume Volume 59,201 is below the 20-day average of 92,109. low

Technical Shares at $7.79 are trading below the 200-day MA at $11.32, and about 56.72% under the 52-week high.

Peers on Argus

Peers showed mixed moves: XBP up 25.33%, HPAI up 1.56%, while LIDR and AISP were...

Peers showed mixed moves: XBP up 25.33%, HPAI up 1.56%, while LIDR and AISP were modestly negative and ZENA was roughly flat. This dispersion does not indicate a broad sector move aligned with ALAR.

Historical Context

5 past events · Latest: Nov 26 (Positive)

Pattern 5 events

Date	Event	Sentiment	Move	Catalyst
Nov 26	Q3 2025 earnings	Positive	-21.6%	Record Q3 revenue up 81% YoY and strong AI-driven growth metrics.
Nov 12	Earnings date notice	Neutral	-0.3%	Announcement of Q3 2025 release date and related conference call logistics.
Aug 28	Q2 2025 earnings	Positive	-12.5%	Q2 results with growing AI demand but lower gross margin from investments.
Aug 12	Earnings date notice	Neutral	-2.8%	Scheduling announcement for Q2 2025 results and investor call details.
Aug 07	Investor conference	Positive	+3.1%	Participation in Canaccord Genuity growth conference and investor meetings.

Pattern Detected

Positive earnings-related updates have often coincided with negative next-day moves, suggesting a pattern of selling on good news, while neutral scheduling or conference headlines saw milder, more aligned reactions.

Recent Company History

Over the last six months, Alarum has repeatedly highlighted rapid growth tied to AI data demand. Q2 2025 results on Aug 28 showed revenue of $8.8M and strong AI interest, yet the stock fell 12.52%. The latest Q3 2025 report on Nov 26 delivered record revenue of $13.0M, up 81% YoY, but the shares declined 21.62% in the following session. In contrast, neutral items like earnings-date notices and an August conference appearance saw relatively modest, more aligned price changes.

Market Pulse Summary

The stock dropped -21.6% in the session following this news. A negative reaction despite strong Q3 2...

Analysis

The stock dropped -21.6% in the session following this news. A negative reaction despite strong Q3 2025 results would fit the pattern seen after earlier earnings, such as the 12.52% decline following Q2 2025. The latest quarter delivered revenue of $13.0M, up 81% year-over-year, but also a lower gross margin of 55.6% versus 71.8% a year earlier as the company front-loaded AI infrastructure spending. Persistent selling on good news and margin pressure could both weigh on sentiment.

Key Terms

adjusted EBITDA, gross margin, non-IFRS, derivative financial instruments, +1 more

5 terms

adjusted EBITDA financial

"Q3 2025 revenues of $13.0 million, up 81% year-over-year; net profit of $0.1 million, and Adjusted EBITDA of $1.2 million"

Adjusted EBITDA is a way companies measure how much money they make from their core operations, like running a business, by removing certain costs or income that aren’t part of regular business activities. It helps investors see how well a company is doing without distractions from unusual expenses or gains, making it easier to compare companies or track performance over time.

gross margin financial

"Gross margin (in percentage) | | 60.4% | | 75.9% | | 55.6% | | 71.8% |"

Gross margin is the difference between how much money a company makes from selling its products and how much it costs to produce them, expressed as a percentage of sales. It shows how efficiently a company is turning sales into profit before other expenses like marketing or salaries. Higher gross margin means the company keeps more money from each sale, which is a good sign of financial health.

non-IFRS financial

"Non-IFRS gross margin (in percentage) | | 61.7 % | | 77.7 %"

Non-IFRS refers to financial measures that companies report outside the standard accounting rules set by the International Financial Reporting Standards; these figures exclude or adjust certain items such as one-time costs, stock-based pay, or restructuring charges. Investors care because non-IFRS numbers try to show the business’s underlying performance — like a chef presenting a dish with optional toppings removed to highlight the core flavor — but they can be shaped to look more favorable, so compare them with the official IFRS statements.

derivative financial instruments financial

"due to the fair value decrease of derivative financial instruments in the third quarter of 2024"

Derivative financial instruments are contracts whose value is tied to the price of something else — for example a stock, bond, commodity or market index — much like an insurance policy or a bet tied to the outcome of an event. They matter to investors because they can be used to reduce risk, amplify returns or speculate on price moves, but they can also magnify losses and affect a company’s financial exposure and market volatility.

AI-generated analysis. Not financial advice.

11/26/2025 - 07:30 AM

Company Diligently Prioritizing Market-Share Capture in Explosive AI Training-Data Segment

TEL AVIV, Israel, Nov. 26, 2025 (GLOBE NEWSWIRE) -- Alarum Technologies Ltd. (Nasdaq, TASE: ALAR) (“Alarum” or the “Company”), a global provider of web data collection solutions, today announced financial results for the nine- and three-month periods ended September 30, 2025.

Financial Highlights

Q3 2025 revenues of $13.0 million, up 81% year-over-year; net profit of $0.1 million, and Adjusted EBITDA of $1.2 million

It is noted that the Company is deliberately prioritizing its long-term leadership and market-share capture in the fast-growing artificial intelligence (“AI”) training-data market over short-term margin and profitability priorities. At this early stage of the global AI build-out, demand from leading labs can vary sharply as they iterate on new model architectures and refresh massive datasets - a typical and temporary characteristic of this high-growth infrastructure phase. Alarum’s strategic investments in premium infrastructure and capacity are expected to pressure gross margins and EBITDA in the near term but are targeted at positioning Alarum for a significant potential growth and margin improvement trend.

Management Commentary

“The third quarter performance was further proof that Alarum’s platform has become critical infrastructure for the world’s leading AI labs,” commented Shachar Daniel, Chief Executive Officer of Alarum. “Demand for high-quality, hard-to-reach web data used for training and fine-tuning foundation models is exploding, and we are seeing repeat orders and widening scope from AI customers.

“The numbers speak for themselves: 26% more paying customers, 17% higher average revenue per customer, and 48% sequential revenue growth in the third quarter, all while we intentionally front-load infrastructure to support the fast-growing demand for AI training runs.

“To capture this massive opportunity, we made the deliberate decision earlier in 2025 to aggressively expand capacity, add premium endpoints, and build dedicated high-throughput pipelines, well ahead of the expected revenue. These upfront investments are the primary reason for the current temporary gross and operating margin contraction.

“We believe this is the right long-term strategy: sacrifice some near-term profitability and invest to lock in market share and multi-year relationships in a segment that is growing exponentially. As utilization of our new infrastructure ramps, we are positioned and look forward to both revenue acceleration and rapid expansion of margins,” concluded Mr. Daniel.

Selected Third Quarter 2025 Operating Trends

Significant double-digit sequential growth in total paying customers
Meaningful increase in average revenue per customer
Vast majority of Q3 2025 revenue growth driven by expansion of existing customers
Newer AI-focused products (DataSets, Website Unblocker, custom Scrapers) now represent a material and rapidly increasing portion of total revenue, while legacy proxy revenue remains stable-to-growing

Business Highlights

Explosive adoption of AI-centric products — DataSets have become a material and fast-growing revenue contributor in the third quarter; Website Unblocker and custom Scraper solutions delivered triple-digit and high-double-digit quarter-over-quarter growth, respectively, driven by large-scale model-training workloads.
Broad-based customer expansion — Strong double-digit sequential growth in paying customers combined with a meaningful increase in average revenue per customer, reflecting successful land-and-expand dynamics with AI labs and enterprises.
Significant contribution from large-scale AI customers, including repeat and expanding orders from a major global e-commerce platform in Asia.
Robust balance sheet with $24.6 million in cash, cash equivalents and investments and no debt as of September 30, 2025.

Financial Outlook

“In the fourth quarter, we expect a continued high level of revenue of approximately $12 million (±7%), up 63% year-over-year, and Adjusted EBITDA of approximately $1 million (±$0.5 million),” said Mr. Shai Avnit, Chief Financial Officer of Alarum. “As the current generation of models moves into more structured production and fine-tuning cycles, we expect revenue growth patterns to become smoother and more predictable.”

The Company is unable to present a reconciliation of estimated Adjusted EBITDA to net profit as it is unable to predict with reasonable certainty, and without unreasonable effort, the impact and timing of certain expenses on net profit. The financial impact of these expenses is uncertain and is dependent on various factors, including timing, and could be material to consolidated statements of profit or loss and other comprehensive income (loss).

Summary of Financial Results¹

(in millions of U.S. dollars, rounded, except per share amounts and margins)

	For the Nine Months Ended September 30,		For the Three Months Ended September 30,		For the Year Ended December 31,
	2025	2024	2025	2024	2024
	(Unaudited)	(Unaudited)	(Unaudited)	(Unaudited)	(Audited)
Revenue	28.9	24.5	13.0	7.2	31.8
Gross profit	17.5	18.6	7.2	5.2	23.9
Gross margin (in percentage)	60.4%	75.9%	55.6%	71.8%	75.1%
Non-IFRS gross margin (in percentage)	61.7%	77.7%	56.4%	73.6%	77.0%²
Total operating expenses	17.3	12.2	7.4	4.1	17.2
Financial income	1.0	0.1	0.3	3.5	0.3
Tax expense	0.4	1.1	0.1	0.3	1.2
Net profit for the period	0.7	5.3	0.1	4.2	5.8
Adjusted EBITDA	3.4	7.9	1.2	1.4	9.4²
Basic earnings (loss) per American Depository Share (“ADS”) (in U.S. dollars)	$0.11	$0.80	$0.01	$0.60	$0.87
Non-IFRS basic earnings per ADS (in U.S. dollars)	$0.50	$1.05	$0.18	$0.20	$1.26²
Cash, cash equivalents and debt investments (including accrued interest)³	24.6	24.0	24.6	24.0	25.0
Shareholders’ equity³	31.1	25.0	31.1	25.0	26.4

Third Quarter and First Nine Months of 2025 Financial Analysis

Revenue in Q3 2025 totalled $13.0 million (an increase of 81% compared to Q3 2024 at $7.2 million) and $28.9 million for the first nine months of 2025 (an increase of 18% versus Q1-Q3 2024 at $24.5 million). The increase was driven mainly by a large-scale AI customer, as well as an increase in new products sales.
Cost of revenue in Q3 2025 was $5.8 million (Q3 2024: $2.0 million) and $11.5 million for the first nine months of 2025 (Q1-Q3 2024 $5.9 million). The increase in the third quarter was primarily due to the Company’s work with the large-scale AI customer, which requires data gathering at significantly higher scales, in turn necessitating a larger volume of servers as well as a stronger and higher-quality infrastructure. Also, cost of revenues were impacted due to first material products sales which triggered third party related costs.
Gross profit in Q3 2025 amounted to $7.2 million (Q3 2024: $5.2 million), and for the first nine months of 2025 amounted to $17.5 million (Q1-Q3 2024: $18.6 million).
Operating expenses in Q3 2025 totalled $7.4 million (Q3 2024: $4.1 million), and $17.3 million in the first nine months of 2025 (Q1-Q3 2024: $12.2 million). The increase is a result of the increased revenues and operations, primarily attributed to research and development expenses and in a lesser amount to sales and marketing expenses.
Financial income, net, in Q3 2025 was $0.3 million (Q3 2024: financial income, net, of $3.5 million), $1.0 million in the first 9 months of 2025 (Q1-Q3 2024: $0.1 million). The variance between the quarterly periods was mainly due to the fair value decrease of derivative financial instruments in the third quarter of 2024, resulting from the decline in the share price over that period. Excluding this impact, during the nine-month period, the Company generated more interest income and financial income from its cash, cash equivalents and debt investments, and paid less interest expenses, due to the Company’s lower balance of its long-term loan.
Net profit in Q3 2025 was $0.1 million (Q3 2024: net profit of $4.2 million), and net profit of $0.7 million in the first nine months of 2025 (Q1-Q3 2024: $5.3 million).
As of September 30, 2025, shareholders’ equity increased to $31.1 million, up from $26.4 million as of December 31, 2024. The increase is mainly due to share-based compensation during the first nine months of 2025, as well as to the equity repayments of a strategic loan and the Company’s net profit.
Outstanding ordinary share count as of September 30, 2025, was approximately 71.2 million shares, or 7.1 million in US-listed ADSs.

Third Quarter and Nine Month 2025 Financial Results Conference Call

Mr. Shachar Daniel, Chief Executive Officer of Alarum, and Mr. Shai Avnit, Chief Financial Officer of Alarum, will host a conference call today, November 26, 2025, at 08:30 a.m. ET, 05:30 a.m. Pacific time, 15:30 p.m. Israel, to discuss the third quarter of 2025 results and financial outlook, followed by a Q&A session.

To attend, log in here or dial one of the following numbers, a few minutes before the call starts: 1-877-407-0789 or 1-201-689-8562. If you are unable to connect using the toll-free number, please try the international dial-in number. An Israeli toll-free number is: 1 809 406 247. Participants will be required to state their name and company upon dialling in.

Replay: The conference call will be broadcast live and available for replay here, the day following the call.

Forward-Looking Statements

This press release contains forward-looking statements within the meaning of the “safe harbor” words such as “expects,” “anticipates,” “intends,” “plans,” “believes,” “seeks,” “estimates” and similar expressions or variations of such words are intended to identify forward-looking statements. For example, Alarum is using forward-looking statements in this press release when it discusses its prioritization of long-term leadership and market-share capture in the AI training-data market over short-term margins and profitability, unstable demand from large labs, the expectation that strategic investments in premium infrastructure and capacity will potentially position Alarum for significantly higher revenue growth and rapid margin expansion beginning in 2026, increasing demand for high-quality, hard-to-reach web data used for training and fine-tuning foundation models, its right long-term strategy, expected growth of the AI training-data segment, its expectation of both revenue acceleration and a rapid expansion of margins, and its estimates regarding fourth quarter 2025 revenues and Adjusted EBITDA. Because such statements deal with future events and are based on Alarum’s current expectations, they are subject to various risks and uncertainties and actual results, performance or achievements of Alarum could differ materially from those described in or implied by the statements in this press release. The forward-looking statements contained or implied in this press release are subject to other risks and uncertainties, including those discussed under the heading “Risk Factors” in Alarum’s annual report on Form 20-F filed with the Securities and Exchange Commission (“SEC”) on March 20, 2025, and in any subsequent filings with the SEC. Except as otherwise required by law, Alarum undertakes no obligation to publicly release any revisions to these forward-looking statements to reflect events or circumstances after the date hereof or to reflect the occurrence of unanticipated events. References and links to websites have been provided as a convenience, and the information contained on such websites is not incorporated by reference into this press release. Alarum is not responsible for the contents of third-party websites.


Condensed Consolidated Statements of Financial Position
(in thousands of U.S. dollars)

	September30,				December 31,
	2025		2024		2024
	(Unaudited)		(Unaudited)		(Audited)
Assets
Current assets:
Cash and cash equivalents	14,366		24,011		15,081
Trade receivables, net	8,490		2,474		3,231
Other receivables	1,290		498		503
	24,146		26,983		18,815
Non-current assets:
Long-term deposits	24		103		121
Other non-current assets	428		85		85
Property and equipment, net	193		129		130
Right-of-use assets	2,941		568		498
Deferred tax assets	802		339		422
Debt investments at fair value through other comprehensive income	9,500		-		9,256
Debt investments at fair value through profit or loss	586		-		555
Intangible assets, net	704		946		811
Goodwill	4,118		4,118		4,118
Total non-current assets	19,296		6,288		15,996
Total assets	43,442		33,271		34,811

Liabilities and equity
Current liabilities:
Trade payables	566		439		251
Other payables	5,312		3,714		4,484
Current maturities of long-term loan	138		855		938
Contract liabilities	3,397		2,293		1,987
Derivative financial instruments	-		224		148
Short-term lease liabilities	740		358		359
Total current liabilities	10,153		7,883		8,167
Non-current liabilities:
Long-term lease liabilities	2,195		82		261
Long-term loans, net of current maturities	-		332		32
Total non-current liabilities	2,195		414		293
Total liabilities	12,348		8,297		8,460

Equity:
Ordinary shares	-		-		-
Share premium	114,129		111,607		111,892
Other equity reserves	12,770		10,362		11,012
Accumulated deficit	(95,805	)	(96,995	)	(96,553	)
Total equity	31,094		24,974		26,351
Total liabilities and equity	43,442		33,271		34,811

Condensed Consolidated Statements of Profit or Loss and Other Comprehensive Income (Loss) (in thousands of U.S. dollars, except per share amounts)

	For the Nine Months Ended September30,				For the Three Months Ended September30,					For the Year Ended December 31,
	2025		2024		2025			2024		2024
	(Unaudited)		(Unaudited)		(Unaudited)			(Unaudited)		(Audited)
Revenue		28,935		24,454		13,011			7,194		31,824
Cost of revenue		11,461		5,883		5,778			2,029		7,915
Gross profit		17,474		18,571		7,233			5,165		23,909

Operating expenses:
Research and development		5,664		3,285		2,508			1,142		4,495
Sales and marketing		6,751		5,045		2,845			1,673		7,033
General and administrative		4,883		3,912		2,017			1,286		5,661
Total operating expenses		17,298		12,242		7,370			4,101		17,189
Operating profit(loss)		176		6,329		(137	)		1,064		6,720
Financial income, net		999		118		338			3,463		281
Profit from operations before income tax		1,175		6,447		201			4,527		7,001
Tax expense		427		1,109		148			278		1,221
Net profitfor the period		748		5,338		53			4,249		5,780
Other comprehensive income (loss) for the period
Change in fair value of debt investments		218		-		97			-		(80	)
Total comprehensive income for the period		966		5,338		150			4,249		5,700

Basic profit per share	$	0.01	$	0.08	*			$	0.06	$	0.09
Diluted profit per share	$	0.01	$	0.07	*			$	0.06	$	0.08
Basic profit per ADS	$	0.11	$	0.80	$	0.01		$	0.60	$	0.87

* Less than $0.01

Use of Non-IFRS Financial Results

In addition to disclosing financial results calculated in accordance with International Financial Reporting Standards (IFRS), as issued by the International Accounting Standards Board, this press release contains non-IFRS financial measures of EBITDA (EBITDA loss), Adjusted EBITDA (Adjusted EBITDA loss), non-IFRS net profit (loss), non-IFRS gross profit, non-IFRS gross margin and non-IFRS basic earnings (loss) per share or ADS for the periods presented. The Company defines EBITDA (EBITDA loss) as net profit (loss) before depreciation, amortization and impairment of intangible assets (if any), financial income (expense) and income tax; defines Adjusted EBITDA (Adjusted EBITDA loss) as EBITDA (EBITDA loss) as further adjusted to remove the impact of (i) impairment of goodwill (if any); and (ii) share-based compensation; defines non-IFRS net profit (loss) as net profit (loss) before depreciation, amortization and impairment of intangible assets (if any), impairment of goodwill (if any), financial income (expense) effects primarily related to derivative financial instruments as well as long-term loans, deferred tax effects and share-based compensation; defines non-IFRS gross profit as gross profit adjusted to remove the impact of depreciation, amortization and impairment of intangible assets and share-based compensation recorded under cost of revenues; defines non-IFRS gross margin as the percentage of the non-IFRS gross profit out of revenues; and defines non-IFRS basic earnings (loss) per share or ADS as non-IFRS net profit (loss) divided by the weighted average number of ordinary shares or ADSs. The Company’s management believes the non-IFRS financial information provided in this press release is useful to investors’ understanding and assessment of the Company’s ongoing operations. Management also uses both IFRS and non-IFRS information in evaluating and operating its business internally, and as such deemed it important to provide this information to investors. The non-IFRS financial measures disclosed by the Company should not be considered in isolation, or as a substitute for, or superior to, financial measures calculated in accordance with IFRS, and the financial results calculated in accordance with IFRS and reconciliations to those financial statements should be carefully evaluated. Investors are encouraged to review the reconciliations of these non-IFRS measures to their most directly comparable IFRS financial measures provided in the financial statement tables herein.

Other Metrics

NRR is a key indicator of customer base health and revenue expansion. It is based on NRR point in time, which measures the revenue growth of current customers over the past four quarters, compared to the revenue generated from these customers during the same period a year earlier.

NRR is calculated as an average of the NRR points in time for the end of the current period and the three preceding quarters.

NRR > 1 (or 100%): Indicates revenue growth driven by existing customers, where upsells and cross-sells outweigh churn.

NRR < 1 (or 100%): Shows revenue loss due to churn exceeding gains from upsells or cross-sells.

Non-IFRS Financial Measures
(in millions of U.S. dollars, unaudited, rounded)

The following tables present the reconciled effect of the above on the Company’s Adjusted EBITDA; non-IFRS net profit; and non-IFRS gross profit for the nine and three months ended September 30, 2025 and 2024, and the year ended December 31, 2024:

	For the Nine Months Ended September30,				For the Three Months Ended September30,				For the Year Ended December 31,
Adjusted EBITDA	2025		2024		2025		2024		2024

Net profit for the period	0.7		5.3		0.1		4.2		5.8
Adjustments:
Depreciation and amortization	0.5		0.5		0.1		0.2		0.6
Financial income, net	(1.0	)	(0.1	)	(0.3	)	(3.5	)	(0.4	)
Tax expense	0.4		1.1		0.1		0.3		1.4
EBITDA	0.6		6.8		0.0		1.2		7.4
Adjustments:
Share-based compensation	2.8		1.1		1.2		0.2		2.0
Adjusted EBITDA for the period	3.4		7.9		1.2		1.4		9.4

	For the Nine Months Ended September 30,				For the Three Months Ended September 30,				For the Year Ended December 31,
Non-IFRS net profit	2025		2024		2025		2024		2024

Net profit for the period	0.7		5.3		0.1		4.2		5.8
Adjustments:
Depreciation, amortization and impairment of intangible assets	0.5		0.5		0.1		0.2		0.6
Financial expense (income), net effects	(0.1	)	0.2		*		(3.2	)	0.1
Deferred tax effects	(0.4	)	(0.1	)	(0.1	)	*		(0.1	)
Share-based compensation	2.8		1.1		1.2		0.2		2.0
Non-IFRS net profit for the period	3.5		7.0		1.3		1.4		8.4

* Less than $0.1 million

	For the Nine Months Ended September 30,		For the Three Months Ended September 30,		For the Year Ended December 31,
Non-IFRS gross profit	2025	2024	2025	2024	2024

Gross profit from operations	17.5	18.6	7.2	5.2	23.9
Adjustments:
Depreciation, amortization and impairment of intangible assets	0.4	0.4	0.1	0.1	0.6
Share-based compensation	*	*	*	*	*
Non-IFRS gross profit for the period	17.9	19.0	7.3	5.3	24.5

* Less than $0.1 million

About Alarum Technologies Ltd.

Alarum Technologies Ltd. (Nasdaq, TASE: ALAR) is a global provider of web data collection solutions, empowering organizations to gain a competitive edge by streamlining the collection, extraction, and analysis of large-scale structured data from public online sources. Our data collection solutions by NetNut, are based on our world’s fastest and most advanced and secured hybrid proxy network, which comprises both exit points based on our proprietary reflection technology and hundreds of servers located at our ISP partners around the world. Pushing the boundaries of innovation in data collection, we are building a robust platform, complemented by the Website Unblocker, Data Collector, Data Sets and AI data collector. As the impact of the AI revolution unfolds, Alarum, with its robust market-leading data collection offerings is preparing itself to play a meaningful role as the world reshapes in a new form.

For more information about Alarum and its web data collection solutions, please visit www.alarum.io.

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Investor Relations Contact:

investors@alarum.io

__________________

¹ The table above contains certain non-IFRS financial measures. See “Use of Non-IFRS Financial Results” for additional information regarding these measures and reconciliations to the most comparable IFRS measures.
² Unaudited
³ As of the last day of the period.

FAQ

What were Alarum (ALAR) Q3 2025 revenues and growth rate?

Alarum reported Q3 2025 revenue of $13.0 million, an 81% increase YoY.

How profitable was Alarum in Q3 2025 and what was Adjusted EBITDA?

Q3 2025 net profit was $0.1 million and Adjusted EBITDA was $1.2 million.

What guidance did Alarum give for Q4 2025 revenue and EBITDA?

Alarum expects Q4 2025 revenue of about $12 million (±7%) and Adjusted EBITDA of roughly $1 million (±$0.5M).

Why did Alarum's margins decline in 2025 despite strong revenue growth?

The company said it front-loaded capacity and premium infrastructure investments to capture AI training-data market share, which pressured near-term margins.

How strong is Alarum's balance sheet as of September 30, 2025?

Alarum held $24.6 million in cash, cash equivalents and investments and reported no debt as of September 30, 2025.

What customer trends did Alarum report for Q3 2025 (ALAR)?

Alarum reported 26% more paying customers, 17% higher average revenue per customer, and that most Q3 growth came from expanding existing AI customers.

Alarum Technologies Reports Record Third Quarter Revenue Growth of 81% to $13 Million Driven by Surging Demand from Leading AI Model Developers