B.O.S. Better Online Solutions (BOSC) Q4 2025 earnings summary

Executive summary

• Achieved record revenues of $51 million in 2025, up 27% year-over-year, and record net income of $3.6 million, up 57% year-over-year, driven by strong defense and supply chain demand.

• Supply chain division revenues grew 40% year-over-year, supported by global diversification and expansion into India.

• Defense sector demand remains robust, driving growth in supply chain and Robotics divisions.

• Strategic expansion into India with a new representative appointed in March 2026 to capture growing defense subcontracting opportunities.

• RFID division posted an operating loss due to a $1.2 million goodwill impairment, but excluding this, would have been profitable; ongoing geopolitical tensions in Israel prompted a pivot toward the hospital segment.

Financial highlights

• Full year 2025 revenues: $51 million (+27% YoY); net income: $3.6 million (+57% YoY); EBITDA: $4.6 million (+42.6% YoY); EPS: $0.59 (+47.5% YoY).

• Q4 2025 revenues: $12.6 million (+21.5% YoY); net income: $819,000 (+68.9% YoY); EBITDA: $944,000 (+32% YoY); EPS: $0.12 (+50% YoY).

• Cash and equivalents rose to $11.8 million from $3.4 million at year-end 2024.

• Shareholders' equity increased to nearly $29 million from $21 million at year-end 2024.

• Positive working capital exceeds $22 million; bank debt stands at $1.7 million.

Outlook and guidance

• Projecting 2026 revenues of $51 million and net income of $3.6 million, consistent with 2025 results, due to ongoing geopolitical uncertainties.

• Conservative guidance due to geopolitical uncertainty; backlog covers 50% of 2026 outlook.

• Revenue contribution from RFID hospital segment expected to begin in 2027.

• No significant tax expenses expected in 2026 due to utilization of tax loss carryforwards.

• Conservative outlook policy maintained, with updates to be provided as the year progresses.