Cybeats Technologies (CYBT) investor relations material

Industry trends and regulatory landscape

• Software supply chain security is increasingly prioritized due to regulatory mandates and rising cyber threats, especially in critical infrastructure sectors.

• Regulatory requirements in the US and EU, such as Executive Order 14028 and the European Cyber Resilience Act, are driving rapid adoption of Software Bills of Materials (SBOMs) and continuous vulnerability monitoring.

• Enforcement of new EU regulations will require all software sold in the EU to use SBOMs by December 2027, with mandatory 24-hour vulnerability disclosure starting this fall.

• Industry is now demanding SBOMs from industry, not just government, accelerating adoption and urgency.

• AI supply chain transparency is emerging as a new focus, with Cybeats recognized for its AI Bill of Materials innovation.

Product and technology highlights

• SBOM Studio automates compliance, vulnerability detection, and remediation, reducing manual effort and costs by up to 76% in some cases.

• The platform is agnostic to SBOM source or format, enabling seamless integration with diverse enterprise workflows.

• Scalable, cloud-based architecture supports rapid onboarding and expansion across large enterprises and multiple product teams.

• Recognized by Gartner and featured in 11 Hype Cycle reports, validating its leadership in software supply chain security.

• The solution is positioned as a core system of record for both software and AI supply chains.

Business model, growth, and partnerships

• Revenue is generated per SBOM, with multi-year contracts and high net retention (111%), reflecting strong customer expansion.

• Average contract value exceeds $250,000, with 49% year-over-year growth and a target of $5 million ARR by end of Q2.

• Channel partnerships, notably with Keysight Technologies, are expanding reach and pipeline, with Keysight SBOM Studio recently winning a major industry award.

• Pipeline is diversifying into new verticals and institutional clients, with onboarding times decreasing as regulatory deadlines approach.

• Market cap is $35–40 million, with 37% insider ownership and high gross margins (80%+).