SuperCom secures first state-level corrections contract in Arizona

PHOENIX - SuperCom (NASDAQ:SPCB) has won its first state-level Department of Corrections contract in the United States through a strategic partnership, according to a company press release issued Wednesday. The security solutions provider has seen its shares surge 139.39% over the past year, despite a recent 13.53% pullback last week, according to InvestingPro data.

The Israeli security solutions provider will deploy its GPS-based electronic monitoring technology as part of Arizona's statewide Behavioral Health services. The implementation is scheduled to begin in January 2026.

SuperCom, working with an Arizona-based service provider, displaced the incumbent vendor in a competitive bidding process. The partnership agreement was signed earlier this year.

"Securing our first state-level DOC contract in the United States is a meaningful achievement and an important validation of the strategy we put in motion over the past year," said Ordan Trabelsi, President and CEO of SuperCom.

The contract represents a progression in SuperCom's U.S. market strategy, which began with regional service providers and county-level agencies before advancing to the state level. State-level contracts typically involve larger program volumes and more predictable long-term revenue structures, according to the company.

SuperCom reported net income of $6 million and gross margins above 60 percent for the first nine months of 2025.

The company provides secured solutions for e-Government, IoT, and cybersecurity sectors. Its PureSecurity technology will now be utilized at the U.S. Department of Corrections level, potentially serving as a reference for future state-level opportunities across the country. Analysts expect continued profitability for SuperCom this year, with additional InvestingPro Tips revealing more insights about the company's growth trajectory. SuperCom is among the 1,400+ US equities featured in comprehensive Pro Research Reports, which transform complex data into actionable intelligence for smarter investment decisions.

In other recent news, SuperCom has been actively expanding its electronic monitoring services across various regions. The company announced a significant national contract in Germany valued at approximately $7 million, which will span up to four years and involve the deployment of its PureSecurity Electronic Monitoring Suite. In the United States, SuperCom has secured new contracts in Alabama and Wisconsin, marking its third and fourth deployments in Alabama within the past year and its entry into Wisconsin as the 12th new state since August 2024. These contracts involve transitioning from incumbent providers to SuperCom’s technology and follow a recurring revenue model based on daily unit usage. Furthermore, SuperCom has been named a B2i Digital Featured Company, highlighting its growth and presence in the electronic monitoring sector. The company’s IoT division has shown a compound annual growth rate of 41.7% from 2021 to 2024, notably surpassing the industry average. These developments underscore SuperCom's expanding footprint in both the U.S. and international markets.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.