SuperCom Expands into 15th New State with New Electronic Monitoring Contract in North Carolina

Rhea-AI Summary

SuperCom (NASDAQ: SPCB) announced a new electronic monitoring (EM) service provider contract in North Carolina, marking its first deployment in that state and expanding its U.S. footprint to 15 states since mid-2024. The agreement names SuperCom as the primary EM technology partner and includes transitioning existing GPS tracking infrastructure to SuperCom's proprietary platform and a recurring revenue model based on active daily units.

The company said it has signed 16 service provider contracts since mid-2024 and reported record net income of $6 million and an EBITDA margin exceeding 35% through the first nine months of 2025.

Positive

• First North Carolina contract expands geographic footprint to 15 states
• 16 service provider contracts signed since mid-2024
• Contract includes transition of existing GPS infrastructure to proprietary platform
• Deal follows a recurring revenue model based on active daily units
• Net income $6 million through first nine months of 2025
• EBITDA margin >35% through first nine months of 2025

Negative

• None.

Key Figures

New states since mid-2024 15 states U.S. electronic monitoring expansion including North Carolina

Service provider partnerships 16 partnerships New EM service provider contracts since mid-2024

Net income $6 million Record net income for first nine months of 2025 (cited in release)

EBITDA margin exceeding 35% First nine months of 2025 (cited as supporting expansion)

Share price change -5.88% 24h move prior to/around North Carolina contract announcement

52-week high discount -53.56% Price vs 52-week high before this news

52-week low distance 180.25% Price vs 52-week low before this news

Market cap $43,790,781 Pre-news market capitalization

Market Reality Check

$9.16 Last Close

Volume Volume 54,755 is below 20-day average of 82,948 (relative volume 0.66) ahead of this expansion news. low

Technical Shares at $8.80 are trading below the 200-day MA of $9.20 and about 53.56% under the 52-week high.

Peers on Argus

While SPCB fell 5.88%, key peers like VRME (-6.24%), BKYI (-3.91%), KSCP (-3.40%), GFAI (-2.74%) and SUGP (-1.31%) also traded lower, suggesting broader pressure in security names despite SPCB’s contract win.

Historical Context

Date	Event	Sentiment	Move	Catalyst
Dec 09	EM contract win	Positive	+2.4%	Germany national EM contract displacing 20-year incumbent vendor.
Dec 04	EM contract win	Positive	+3.8%	New Texas juvenile probation EM contract, expanding footprint to 14 states.
Nov 19	DOC contract win	Positive	+1.8%	First U.S. state-level DOC contract in Arizona using GPS EM technology.
Nov 17	EM contract win	Positive	-5.3%	New Missouri EM service provider deal, expanding to 13 states and 15 partners.
Nov 13	Earnings update	Positive	-0.7%	Record net income, strong margins, and improved cash and working capital.

Pattern Detected

Recent contract wins and strong earnings have generally seen modest single-digit price moves, with occasional negative reactions even on positive news.

Recent Company History

Over the last month, SuperCom has reported multiple contract wins and record profitability. Wins in Missouri, Texas, and a first state-level DOC contract in Arizona expanded its U.S. footprint, while a national EM deal in Germany added international scale. Earnings for the first nine months of 2025 showed $6.0M net income, $20.4M revenue, and strong margins. Today’s North Carolina service provider contract, bringing the expansion to 15 states since mid-2024, continues this growth trajectory.

Market Pulse Summary

This announcement continues SuperCom’s U.S. growth, adding a North Carolina EM service provider and extending its reach to 15 states and 16 partnerships since mid-2024. Management again highlights record net income of $6M and EBITDA margins above 35% for the first nine months of 2025 as support for further expansion. In context of recent wins in Texas, Missouri, Arizona, and Germany, investors may watch how recurring-revenue deployment, margin trends, and additional state-level contracts progress.

Key Terms

electronic monitoring technical

"a new electronic monitoring (EM) service provider contract in the state of North Carolina"

Electronic monitoring is the use of digital devices and software to collect, transmit and review real‑time data about people, equipment or processes for safety, compliance or performance — in medical and regulatory settings this often means remote patient tracking and electronic capture of trial or safety data. Investors care because it can speed decision‑making, cut costs and reduce regulatory risk by replacing paper records with a live dashboard, while introducing technology, privacy and compliance considerations.

gps tracking technical

"transition of existing GPS tracking infrastructure to SuperCom's proprietary technology"

GPS tracking uses signals from navigation satellites to determine and record the real-time location and movement of a vehicle, device, person, or asset, creating a digital breadcrumb trail. Investors care because it enables efficiency, cost savings, liability control and new service opportunities—similar to how a delivery app’s map improves route and timing—so adoption or improvements can affect a company’s revenue, margins and competitive position.

recurring revenue model financial

"The contract will follow a recurring revenue model based on active daily units"

A recurring revenue model is a way businesses earn money by providing products or services on a regular, ongoing basis, rather than through one-time sales. It’s similar to a subscription or membership that customers pay for repeatedly, creating a steady stream of income. This model is important to investors because it can indicate stable, predictable earnings and long-term growth potential.

ebitda margin financial

"record net income of $6 million and EBITDA margin exceeding 35% through the first nine months"

EBITDA margin is the share of each dollar of sales that a company keeps as operating cash profit before interest, taxes, and accounting for equipment wear and long-term investments. Think of it like the cash a store has left from every sale after paying day-to-day running costs but before paying rent, loan interest or replacing old machinery. Investors use it to compare core profitability and operational efficiency across companies by removing financing and accounting differences.

rfid technical

"all-in-one field-proven RFID & mobile technology and product suite"

RFID, or Radio Frequency Identification, is a technology that uses radio waves to automatically identify and track objects, animals, or people. It involves small tags or chips that emit signals when scanned, similar to a barcode but without needing direct line-of-sight. For investors, RFID enhances supply chain efficiency and inventory management, potentially reducing costs and improving business operations.

AI-generated analysis. Not financial advice.

SuperCom continues its track record of displacing incumbent vendors and secures 16^th new service provider partnership since mid-2024 

TEL AVIV, Israel, Dec. 16, 2025 /PRNewswire/ -- SuperCom (NASDAQ: SPCB), a global provider of secure solutions for the e-Government, IoT, and Cybersecurity sectors, announced today a new electronic monitoring (EM) service provider contract in the state of North Carolina. This marks SuperCom's first contract for deployment of units in North Carolina and continues the company's nationwide expansion, now reaching 15 U.S states since mid-2024.

Per the agreement, SuperCom will serve as the primary EM technology partner for the North Carolina based provider. The deployment includes a transition of existing GPS tracking infrastructure to SuperCom's proprietary technology and software platform. The contract will follow a recurring revenue model based on active daily units. This contract is not related to procurement vehicle contract awarded to SuperCom by the North Carolina Sheriff's Association earlier this year.

The decision by the North Carolina service provider follows a competitive evaluation of available solutions and reflects continued demand for SuperCom's advanced EM solutions among regional providers seeking to modernize and enhance their programs. This win further strengthens SuperCom's track record of displacing incumbent vendors and highlights the increasing adoption of its next-generation technology among public safety agencies natiowide.

"Our entry into North Carolina represents another meaningful step in our U.S. expansion strategy through our growing network of trusted service providers and direct agency customers," said Ordan Trabelsi, President and CEO of SuperCom. "This win reflects the continued momentum we're building across the U.S., with 16 service provider contracts signed and 15 new states entered since mid-2024. These wins demonstrate our ability to displace incumbents, ramp quickly, and establish a durable presence in new geographies."  

"With record net income of $6 million and EBITDA margin exceeding 35% through the first nine months of 2025, we maintain the operational and financial strength to support continued expansion. We remain well-positioned and poised to scale nationally while delivering long-term value for all stakeholders," Trabelsi concluded.

About SuperCom

Since 1988, SuperCom has been a global provider of traditional and digital identity solutions, providing advanced safety, identification, and security solutions to governments and organizations, both private and public, worldwide. Through its proprietary e-Government platforms and innovative solutions for traditional and biometrics enrollment, personalization, issuance, and border control services, SuperCom has inspired governments and national agencies to design and issue secure Multi-ID documents and robust digital identity solutions to its citizens and visitors. SuperCom offers a unique all-in-one field-proven RFID & mobile technology and product suite, accompanied by advanced complementary services for various industries, including healthcare and homecare, security and safety, community public safety, law enforcement, electronic monitoring, and domestic violence prevention. For more information, please visit SuperCom's website: www.supercom.com

Cautionary Note Regarding Forward-Looking Statements

This press release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Statements preceded or followed by or that otherwise include the words "believes", "expects", "anticipates", "intends", "projects", "estimates", "plans", and similar expressions or future or conditional verbs such as "will", "should", "would", "may" and "could" are generally forward-looking in nature and not historical or current facts. These forward-looking statements are subject to risks and uncertainties that could cause our actual results to differ materially from the statements made. Examples of these statements include, but are not limited to, statements regarding business and economic trends, the levels of consumer, business and economic confidence generally, the adverse effects of these risks on our business or the market price of our ordinary shares, and other risks and uncertainties described in the forward looking statements and in the section captioned "Risk Factors" in our Annual Report on Form 20-F for the year ended December 31, 2024, filed with the U.S. Securities and Exchange Commission (the "SEC") on April 28, 2025 our reports on Form 6-K filed from time to time with the SEC and our other filings with the SEC. Except as required by law, we not undertake any obligation to update or revise these forward-looking statements, whether as a result of new information, future events or otherwise, after the date of this press release.

SuperCom Investor Relations:

ir@supercom.com

Logo - https://mma.prnewswire.com/media/1717536/SuperCom_Logo.jpg

View original content:https://www.prnewswire.com/news-releases/supercom-expands-into-15th-new-state-with-new-electronic-monitoring-contract-in-north-carolina-302643416.html

SOURCE SuperCom

FAQ

What did SuperCom (SPCB) announce on December 16, 2025 about North Carolina?

SuperCom announced a new electronic monitoring contract as the primary EM technology partner for a North Carolina service provider, its first deployment in the state.

How many U.S. states has SuperCom (SPCB) entered since mid-2024?

SuperCom has expanded into 15 U.S. states since mid-2024.

How many service provider contracts has SuperCom (SPCB) signed since mid-2024?

The company said it has signed 16 service provider contracts since mid-2024.

What revenue model does the North Carolina EM contract use for SuperCom (SPCB)?

The contract follows a recurring revenue model based on active daily units.

What financial results did SuperCom (SPCB) report for the first nine months of 2025?

SuperCom reported net income of $6 million and an EBITDA margin exceeding 35% through the first nine months of 2025.