SuperCom Secures New Contract in Nebraska, Expanding U.S. Presence into 10th New U.S. State in Less Than a Year

Rhea-AI Summary

SuperCom (NASDAQ: SPCB) has secured a new electronic monitoring (EM) contract in Nebraska, marking its entry into its 10th new U.S. state since mid-2024. The company will deploy its PureSecurity EM technology through a partnership with an established Nebraska service provider, who will transition their existing GPS programs to SuperCom's platform. The contract follows a recurring revenue model based on daily unit usage. This expansion comes amid strong performance, with SuperCom reporting Q1 2025 results of $4.2 million in net income and $1.20 EPS. The company has secured over 20 new contracts in less than a year in the U.S. market, along with winning multiple global projects including domestic violence programs and national security initiatives.

Positive

• Record Q1 2025 financial performance with $4.2 million net income and $1.20 EPS
• Rapid U.S. market expansion with entry into 10 new states in less than a year
• Secured over 20 new contracts in the U.S. in under a year
• New recurring revenue stream through Nebraska contract
• Selected as primary EM technology partner after competitive evaluation

Negative

• None.

Insights

Growth Strategy Analyst

SuperCom's rapid U.S. expansion with 20+ new contracts shows strong market penetration strategy, boosting recurring revenue streams.

SuperCom's expansion into Nebraska marks a significant acceleration in their U.S. market penetration strategy, representing their 10th new state in under a year and remarkably, their third new state in less than a month. This pattern demonstrates exceptional execution in scaling their electronic monitoring technology across diverse jurisdictions.

The contract structure follows a recurring revenue model with monthly billing based on daily unit usage – creating predictable, steady cash flows that investors typically value higher than one-time sales. The Nebraska service provider's decision to fully transition existing GPS programs to SuperCom's technology after evaluating multiple competitors speaks to the technological advantages of their PureSecurity platform.

What's particularly noteworthy is the comprehensive market penetration SuperCom has achieved: 20+ new contracts, 8 new service providers, and 10 new states since mid-2024. This momentum suggests they've overcome typical barriers to entry in the government procurement sector, which often includes lengthy approval processes and entrenched competitor relationships.

The company appears to be executing a two-pronged growth strategy: geographic expansion across U.S. states while simultaneously securing international projects (including domestic violence monitoring systems and 15+ national-level projects). This diversification reduces dependency on any single market while leveraging their core technology platform across multiple applications.

Combined with their reported Q1 2025 results of $4.2 million in net income and $1.20 EPS, this contract represents continued momentum in what appears to be an inflection point in their commercial scaling efforts within the electronic monitoring sector.

Rapid U.S. Expansion: Over 20 new contracts, 8 new service providers, and 10 new states since mid-2024

TEL AVIV, Israel, May 27, 2025 /PRNewswire/ -- SuperCom (NASDAQ: SPCB), a global provider of secure solutions for the e-Government, IoT, and Cybersecurity sectors, announced today that it has secured a new electronic monitoring (EM) contract through an agreement with an established service provider in Nebraska to immediately deploy its PureSecurity EM technology. This marks SuperCom's entry into its 10th new U.S. state since mid-2024, reinforcing the Company's rapid expansion across the North American public safety market.

The Nebraska-based provider, a long-standing player in the regional EM space, has chosen to fully transition its existing GPS programs over to SuperCom's PureSecurity™ platform. After evaluating multiple technology providers, the provider selected SuperCom based on the demonstrated advantages of its EM solutions—including tracking precision, system reliability, and mobile integration capabilities.

Under the agreement, SuperCom will serve as the provider's primary EM technology partner, supporting both current operations and future program expansion. The first stage of the engagement includes a transition to SuperCom's Pure One™ solution. This contract will follow a simple recurring revenue model, billed monthly based on the number of total daily units—a common structure for electronic monitoring programs in the U.S.

"Expanding into our 10th new U.S. state in less than a year is a meaningful milestone, but what's more exciting is the recent acceleration — this marks entry into our third new state in under a month," commented Ordan Trabelsi, President and CEO of SuperCom. "This sustained momentum reflects growing demand for our proven technology and our team's ability to deploy rapidly across diverse jurisdictions."

"On top of record Q1 2025 results, including $4.2 million in net income and $1.20 EPS, this new deployment further strengthens our position in the U.S. electronic monitoring market, where we've secured over 20 new contracts in under a year," Trabelsi added. "Alongside our recent wins globally for domestic violence programs and over 15 national projects, we're proud to see more and more government agencies and service providers around the world turning to SuperCom to help enhance their public safety efforts."

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 do 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

 

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SOURCE SuperCom

FAQ

What are SuperCom's (SPCB) Q1 2025 earnings results?

SuperCom reported strong Q1 2025 results with $4.2 million in net income and earnings per share (EPS) of $1.20.

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

SuperCom has expanded into 10 new U.S. states since mid-2024, with Nebraska being the latest addition.

What type of contract did SuperCom (SPCB) secure in Nebraska?

SuperCom secured an electronic monitoring (EM) contract to deploy its PureSecurity technology, with recurring revenue based on daily unit usage.

How many new contracts has SuperCom (SPCB) won in the U.S. market recently?

SuperCom has secured over 20 new contracts in the U.S. market in less than a year.

What is SuperCom's (SPCB) PureSecurity technology used for?

PureSecurity is SuperCom's electronic monitoring (EM) technology platform used for public safety and tracking purposes, featuring GPS tracking precision, system reliability, and mobile integration capabilities.