B.O.S. Better Online Solutions (BOSC) Q2 2025 earnings summary

Executive summary

• Achieved 36.4% year-over-year revenue growth to $11.5 million in Q2 2025, driven by strong Supply Chain Division and defense sector performance.

• Net income rose 53% to $765,000, with EPS of $0.13 for the quarter.

• Backlog increased to $24 million as of June 30, 2025, providing strong visibility for the remainder of the year.

• Year-to-date sales reached $26.5 million, with net income at $2.1 million.

• Over 60% of revenue is defense-based, with expectations for further growth in this segment.

Financial highlights

• EBITDA for Q2 2025 was $900,000, up from $800,000 in Q2 2024.

• Gross profit margin for Q2 2025 was 22.8%, down from 26% in Q2 2024.

• Cash and equivalents grew to $5.2 million, up from $3.6 million at year-end.

• Deferred revenue rose to $3.2 million from $2 million at year-end, indicating strong advanced bookings.

• Contracted backlog stood at $24 million as of June 30, 2025.

Outlook and guidance

• Full-year 2025 revenue guidance raised to $45–48 million, up from $44 million.

• Net income guidance increased to $2.6–3.1 million, up from $2.5 million.

• Management expects RFID division gross margin to normalize to ~21% by Q4 2025.

• Guidance is based on contracted activity and a conservative estimate for the second half due to supply chain caution.