Cycurion (CYCU) Registration Filing summary

Company overview and business model

• Provides cybersecurity, IT consulting, managed security, and digital infrastructure solutions to government and commercial clients through multiple subsidiaries and strategic partnerships.

• Growth strategy centers on organic expansion and strategic acquisitions, including recent integration of SLG Innovation Inc. as a variable interest entity.

• Offers a suite of services: advisory consulting, managed IT, managed security, and SaaS cybersecurity platforms, with a focus on federal, healthcare, education, and enterprise sectors.

• Proprietary ARx platform and AI-driven security tools enhance product differentiation and recurring revenue streams.

• Recent expansion into blockchain security and digital asset management via Cycurion Crypto Inc.

Financial performance and metrics

• 2024 revenue: $17.8M (down 8.2% YoY), gross profit: $3.6M (up 37.5% YoY), net income: $1.2M (vs. $2.1M net loss in 2023).

• Nine months ended Sept 30, 2025: revenue $11.6M (down 15.4% YoY), net loss $18.6M, driven by business combination and stock compensation expenses.

• Cash and equivalents: $3.7M as of Sept 30, 2025; working capital deficit: $9.6M; accumulated deficit: $21.8M.

• Significant customer concentration: top 10 customers accounted for 93% of 2024 revenue.

• Auditor issued going concern warning due to recurring losses, negative cash flow, and high leverage.

Use of proceeds and capital allocation

• No proceeds from secondary offering; primary proceeds from warrant exercises and equity line of credit (ELOC) with Yield Point NY LLC.

• ELOC allows up to $60M in equity sales at 90% of lowest VWAP over three days post put notice; $15M registered in this offering.

• Proceeds intended for working capital, debt reduction, and growth initiatives, including acquisitions and technology investments.