Plurilock Security Inc. Reports Third Quarter Fiscal 2025 Financial Results

Rhea-AI Summary

Plurilock Security (OTCQB: PLCKF) reported Q3 2025 results for the quarter and nine months ended September 30, 2025. Q3 revenue was $15.39M (nine months: $50.50M$2.69M in Q3 (Q3 2024: $1.01M), reflecting a 165% year‑over‑year increase. Adjusted EBITDA loss improved to $(1.61M) in Q3 (prior $(1.82M)), a ~11.5% improvement year‑over‑year.

Gross margin was 8.8% in Q3. Cash and restricted cash totaled $1.52M at Sept 30, 2025. Subsequent events include a $3.0M strategic convertible debenture investment (Oct 31, 2025) and new U.S. contracts announced in November 2025. Management hosted a results webinar on Nov 27, 2025.

Positive

• Professional services revenue +165% year‑over‑year to $2.69M in Q3
• Adjusted EBITDA loss improved ~11.5% year‑over‑year to $(1.61M)
• Signed $3.0M strategic convertible debenture and warrants (Oct 31, 2025)

Negative

• Hardware and systems sales down ~52% YoY in Q3 to $1.52M
• Current liabilities $25.85M exceed current assets $19.21M at Sept 30, 2025
• Cash and restricted cash only $1.52M at Sept 30, 2025 and operating cash used $5.19M (nine months)

11/27/2025 - 07:00 AM

• 165% increase in Critical Services revenue year-over-year

• 11.5% improvement in adjusted EBITDA loss year-over-year

• Management to host webinar November 27, 2025 at 11am ET

Vancouver, British Columbia--(Newsfile Corp. - November 27, 2025) - Plurilock Security Inc. (TSXV: PLUR) (OTCQB: PLCKF) ("Plurilock" or the "Company"), a global cybersecurity systems integrator, announces its financial results for the three months ended September 30, 2025 ("Q3 2025") and nine months ended September 30, 2025. All dollar figures are stated in Canadian dollars, unless otherwise indicated. CEO Ian L. Paterson and CFO Scott Meyers will host a webinar to discuss the Company's Q3 2025 financial results on Thursday, November 27,2025 at 11am Eastern Time (registration details below).

Q3 2025 Financial Highlights

• Total revenue for the three and nine months ended September 30, 2025 was $15,393,747 and $50,498,220 as compared to $14,263,076 and $40,941,846 for the three and nine months ended September 30, 2024. Revenue for the three months ended September 30, 2025 increased as professional services offset lower resell revenue. Revenue for the nine months ended September 30, 2025, increased from professional services growth and resell momentum in the year thus far. This has been restated and re-presented to reflect the discontinued operations from the technology division.

• Hardware and systems sales revenue for the three and nine months ended September 30, 2025, totaled $1,515,738 and $5,568,675 compared to $3,135,449 and $6,665,000, respectively, in the comparative period ended September 30, 2024. Software, license, and maintenance sales revenue for the three and nine months ended September 30, 2025, was $11,186,538 and $34,213,093 compared to $10,113,994 and $30,209,250 in the comparative period. Professional services revenue was $2,691,471 and $10,698,452 for the three and nine months ended September 30, 2025, compared to $1,013,633 and $4,067,596 in the three and nine months ended September 30, 2024. This has been restated and re-presented to reflect the discontinued operations from the technology division.

• Hardware and systems sales revenues for the three and nine months ended September 30, 2025, accounted for 9.8% and 11.1%, respectively, of total revenues compared to 22.0% and 16.3%, respectively, for the three and nine months ended September 30, 2024. Software, license and maintenance sales revenues for the three and nine months ended September 30, 2025, accounted for 72.7%and 67.8%, respectively, compared to 70.9% and 73.8%, respectively, for the three and nine months ended September 30, 2024. Professional services revenue for the three and nine months ended September 30, 2025 accounted for 17.5% and 21.2%, respectively, of total revenues, compared to 7.1% and 9.9%, respectively, for the three and nine months ended September 30, 2024. This has been restated and re-presented to reflect the discontinued operations from the technology division.

• Gross margin for the three and nine months ended September 30, 2025, was 8.8% and 10.7% compared to 6.9% and 11.4% for the three and nine months ended September 30, 2024. This has been restated and re-presented to reflect the discontinued operations from the technology division.

• Adjusted EBITDA for the three and nine months ended September 30, 2025 was $(1,608,327) and $(3,824,405) compared to $(1,815,868) and $(2,536,452) during the same period in the prior year. This has been restated and re-presented to reflect the discontinued operations from the technology division.

• Cash and cash equivalents and restricted cash on September 30, 2025 was $1,519,767 compared to $1,419,463 on December 31, 2024.

• During the three and nine months ended September 30, 2025, the Company used $169,878 and used $5,190,637 of cash from operating activities compared to $4,738,318 and $6,914,015 used of cash during the same periods in the prior year. Of which $203,927 and $66,953 was used in discontinued operating activities for the three and nine months ended September 30, 2025 and $24,296 and $40,062 was provided by from discontinued operating activities during the same period in the prior year.

• The non-cash impact of the sale of CloudCodes was $1,388,000 in the quarter.

Q3 2025 Operational Highlights

• July 10, 2025: Plurilock named Certified Services Partner for Forcepoint
• September 9, 2025: Close CloudCodes asset sale to Scope Technologies Corp.
• September 18, 2025: New critical services customers and account expansions

Subsequent to Q3 2025 Operational Highlights

• October 1, 2025: Appoints cybersecurity veteran Michael Ruiz as Chief Technology Officer and General Manager of Critical Services Division
• October 31, 2025: $3 Million strategic investment completed through the issuance of convertible debenture and warrants.
• November 3, 2025: US$624,000 software and services contract with major U.S. State law enforcement agency signed.
• November 5, 2025: US$868,600 in critical services contracts with Nasdaq-listed semiconductor manufacturer.

Management Commentary

"Q3 marked continued progress across the business as Critical Services delivered another quarter of triple-digit year-over-year growth," said Ian L. Paterson, CEO of Plurilock. "Demand continues to expand across North America and increasingly from NATO-aligned nations, as cybersecurity becomes a foundational element of modern defense planning. Over the past year, we have broadened our opportunity set meaningfully, launching a formal federal capture function, building a dedicated defense practice, and deepening our relationships with major channel and OEM partners who are now actively contributing to the new pipeline. Combined with our right-sized cost structure and disciplined execution, these initiatives represent incremental growth streams that we expect to convert into revenue beginning later this year and accelerating through 2026."

Outlook

Plurilock enters Q4 with rising deal activity across commercial, public sector, and defense markets. Management expects continued expansion in the higher-margin Critical Services segment, supported by both new customer wins and increased engagement from existing accounts. The restructuring undertaken earlier this year has materially reduced operating expenses, while the Company's strengthened balance sheet provides flexibility to support execution and selective growth investments.

As the revenue mix continues shifting toward recurring and services-led work, Plurilock anticipates ongoing margin improvement and operating leverage. With the addition of the federal capture program and the defense practice, both of which are now fully operational, the Company is pursuing opportunities that were previously out of reach. These efforts have contributed to accelerated pipeline growth, improved qualification rigor, and greater visibility into multi-year government and defense modernization programs.

Supported by a growing pipeline, a improved cost structure, and increasing demand for advanced cyber- defense capabilities, the Company currently anticipates that it may achieve breakeven during 2026.

Summary of Key Financial Metrics

		Three months ended September 30,						Nine months ended September 30,
						Restated-Note 27, 28						Restated-Note 27, 28
			2025			2024			2025			2024
			$			$			$			$
Revenue			15,393,747			14,263,076			50,498,220			40,941,846
Hardware and systems sales			1,515,738			3,135,449			5,586,675			6,665,000
Software, license and maintenance sales			11,186,538			10,113,994			34,213,093			30,209,250
Professional services			2,691,471			1,013,633			10,698,452			4,067,596
Gross margin (%)			8.8%			6.9%			10.7%			11.4%
Net loss for the period			(1,023,214	)		(3,985,610	)		(6,266,406	)		(9,521,842	)
Basic and diluted loss per share - for the period			(0.01	)		(0.08	)		(0.08	)		(0.31	)
EBITDA(1)			(766,718	)		(3,890,546	)		(4,804,292	)		(8,473,719	)
Reconciliation of EBITDA:
Net loss for the period			(1,023,214	)		(3,985,610	)		(6,266,406	)		(9,521,842	)
Foreign exchange translation gain/(loss)			27,521			(95,824	)		772,242			(9,617	)
Amortization			45,624			54,819			196,079			230,672
Interest expenses			126,842			139,461			426,498			818,605
Income tax recovery expense (recovery)			56,509			(4,806	)		66,353			3,676
Impairment on assets			-			1,414			942			4,787
Adjusted EBITDA(1)			(1,608,327	)		(1,815,868	)		(3,824,405	)		(2,536,452	)
Reconciliation of adjusted EBITDA:
EBITDA(1)			(766,718	)		(3,890,546	)		(4,804,292	)		(8,473,719	)
Stock-based compensation			138,707			888,952			572,142			1,327,750
Financing expenses			10,000			21,262			251,367			240,390
Acquisition-related expenses			19,554			307,771			64,106			400,026
Investor relations			184,295			633,050			831,892			998,334
Loss (gain) on disposal of assets			-			(407	)		-			(407	)
Loss on settlement of debt			-			-			-			454,128
Loss on convertible debt conversion inducement			-			-			(1,669	)		1,817,470
Unrealized gain on marketable security			(210,000	)		-			(210,000	)		-
Impairment on assets			467,754			-			467,754			-
(Income) loss from discontinued operations			(1,451,919	)		224,050			(995,705	)		699,576
			September 30, 2025			December 31, 2024
			$			$
Cash and cash equivalents			1,499,767			1,399,463
Restricted cash			20,000			20,000
Total current assets			19,210,356			30,510,681
Total assets			22,364,775			34,473,190
Total current liabilities			25,847,526			39,266,753
Total liabilities			25,872,573			39,614,489

 

Note:

(1) Non-GAAP measure. Earnings before interest, taxes, depreciation, and amortization ("EBITDA") and Adjusted EBITDA should not be construed as alternatives to net income/loss determined in accordance with IFRS. EBITDA and Adjusted EBITDA do not have any standardized meaning under IFRS and therefore may not be comparable to similar measures presented by other issuers. The Company defines EBITDA as earnings before interest, taxes, and amortization. Adjusted EBITDA is defined as EBITDA before stock-based compensation, financing, investor relations and acquisition related expenses, loss on convertible debt conversion., loss on settlement of debt, impairment of assets and impairment of goodwill and intangibles. The Company believes that EBITDA and Adjusted EBITDA is a meaningful financial metric for investors as it adjusts income to reflect amounts which the Company can use to fund working capital requirements, service future interest and principal debt repayments and fund future growth initiatives.

Non-IFRS measures

This news release presents information about EBITDA and Adjusted EBITDA, both of which are non-IFRS financial measures, to provide supplementary information about operating performance. Plurilock defines EBITDA as net income or loss before interest, income taxes, depreciation, impairment on assets and amortization. Adjusted EBITDA removes non-cash share-based compensation, financing, investor relations, loss on settlement of debt, unrealized gain or loss on marketable security, income (loss) from discontinued operations and acquisition-related expenses from EBITDA. The Company believes that EBITDA and Adjusted EBITDA is a meaningful financial metric for investors as it adjusts income to reflect amounts which the Company can use to fund working capital requirements, service future interest and principal debt repayments and fund future growth initiatives. EBITDA and Adjusted EBITDA are not intended as a substitute for IFRS measures. A limitation of utilizing these non-IFRS measures is that the IFRS accounting effects of the adjustments do in fact reflect the underlying financial results of Plurilock's business and these effects should not be ignored in evaluating and analyzing Plurilock's financial results. Therefore, management believes that Plurilock's IFRS measures of net loss and the same respective non-IFRS measure should be considered together. Non-IFRS measures do not have any standardized meaning prescribed by IFRS and are therefore unlikely to be comparable to similar measures presented by other companies. Readers should refer to the Company's most recently filed MD&A for a more detailed discussion of these measures and their calculations.

Quarterly Filings

Management's Discussion and Analysis and Interim Condensed Consolidated Financial Statements and the notes thereto for the fiscal period ended September 30, 2025 can be obtained from Plurilock's corporate website at www.plurilock.com and under Plurilock's SEDAR+ profile at www.sedarplus.ca.

Q3 2025 Financial Results Webinar Details

Date: Thursday, November 27, 2025
Time: 11am ET / 8am PT
Webinar: Register

A recording of the webinar and supporting materials will be made available on the investor relations page of the Company's website.

About Plurilock

Plurilock is a services-led, product-enabled, AI-native cybersecurity company that solves complex cyber problems in high-stakes environments where failure isn't an option. Trusted by Five-Eyes governments, NATO-aligned agencies, and Global 2000 enterprises, we defend critical infrastructure and safeguard the systems that power modern life. Our Critical Services division delivers operational resilience through unmatched expertise, proprietary IP, and AI-driven playbooks.

For more information, visit https://www.plurilock.com or contact:

Ian L. Paterson
Chief Executive Officer
ian@plurilock.com
416.800.1566

Ali Hakimzadeh
Executive Chairman
ali@sequoiapartners.ca
604.306.5720

Sean Peasgood
Investor Relations
sean@sophiccapital.com
647.953.5607

Neither the TSX Venture Exchange nor its Regulation Service Provider (as that term is defined in the TSX Venture Exchange policies) accept responsibility for the adequacy or accuracy of this release.

Forward-Looking Statements

This press release may contain certain forward-looking statements and forward-looking information (collectively, "forward-looking statements") related to future events or Plurilock's future business, operations, and financial performance and condition. Forward-looking statements normally contain words like "will", "intend", "anticipate", "could", "should", "may", "might", "expect", "estimate", "forecast", "plan", "potential", "project", "assume", "contemplate", "believe", "shall", "scheduled", and similar terms. Forward-looking statements are not guarantees of future performance, actions, or developments and are based on expectations, assumptions, and other factors that management currently believes are relevant, reasonable, and appropriate in the circumstances. Although management believes that the forward-looking statements herein are reasonable, actual results could be substantially different due to the risks and uncertainties associated with and inherent to Plurilock's business. Additional material risks and uncertainties applicable to the forward-looking statements herein include, without limitation, the impact of general economic conditions, and unforeseen events and developments. This list is not exhaustive of the factors that may affect the Company's forward-looking statements. Many of these factors are beyond the control of Plurilock. All forward-looking statements included in this press release are expressly qualified in their entirety by these cautionary statements. The forward-looking statements contained in this press release are made as at the date hereof, and Plurilock undertakes no obligation to update publicly or to revise any of the included forward-looking statements, whether as a result of new information, future events, or otherwise, except as may be required by applicable securities laws. Risks and uncertainties about the Company's business are more fully discussed under the heading "Risk Factors" in its most recent Annual Information Form. They are otherwise disclosed in its filings with securities regulatory authorities available on SEDAR+ at www.sedarplus.ca.

To view the source version of this press release, please visit https://www.newsfilecorp.com/release/276141

FAQ

What were Plurilock (PLCKF) Q3 2025 revenues and adjusted EBITDA?

Q3 2025 revenue was $15.39M and Adjusted EBITDA loss was $(1.61M).

How much did Plurilock professional services revenue grow in Q3 2025 (PLCKF)?

Professional services revenue rose to $2.69M in Q3 2025, a 165% increase year‑over‑year.

Did Plurilock (PLCKF) receive new funding after Q3 2025?

Yes: Plurilock completed a $3.0M strategic investment via a convertible debenture and warrants on Oct 31, 2025.

What is Plurilock's (PLCKF) cash position at Sept 30, 2025?

Cash and restricted cash totaled $1.52M as of Sept 30, 2025.

Does Plurilock (PLCKF) show signs of liquidity pressure in Q3 2025?

Yes: total current liabilities of $25.85M exceed current assets of $19.21M at Sept 30, 2025.

What commercial wins did Plurilock (PLCKF) announce after Q3 2025?

Plurilock announced a US$624,000 software/services contract with a U.S. state law enforcement agency and US$868,600 in critical services contracts with a Nasdaq‑listed semiconductor manufacturer in November 2025.