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TEL AVIV - SuperCom (NASDAQ:SPCB), a global provider of secure solutions for various sectors including e-Government and public safety, has reported receiving new orders from a European government customer that have resulted in a significant increase in its PureTrack GPS units. This surge, which exceeded 200% in the 12 months ending January 2025, is part of an expansion in a large-scale nationwide European electronic monitoring (EM) project. The company, currently trading at $9.69, has shown remarkable momentum with a 150% return over the past year, according to InvestingPro data.
The company’s PureTrack GPS tracking system is designed for the continuous monitoring of offenders who are permitted to leave their homes occasionally. This particular segment of SuperCom’s PureSecurity suite has seen a notable rise in demand, contributing to the overall unit growth, which was not anticipated at the start of the project.
Ordan Trabelsi, President and CEO of SuperCom, expressed enthusiasm over the rapid growth, interpreting it as a testament to the effectiveness of their technology solutions and services. He emphasized the company’s dedication to its customer base in the U.S. while continuing to strengthen partnerships with key clients like this European government. The company’s financial performance supports this optimism, with revenue reaching $26.84 million in the last twelve months and a healthy gross profit margin of 51.8%. InvestingPro analysis reveals 14 additional key insights about SuperCom’s financial health and growth prospects.
SuperCom’s PureSecurity Suite is a comprehensive electronic monitoring and tracking platform that incorporates various advanced features such as smartphone integration, secure communication, anti-tamper mechanisms, and extended battery life.
Founded in 1988, SuperCom has provided traditional and digital identity solutions to public and private organizations globally. Its offerings span from RFID & mobile technology to advanced services for industries including healthcare, security, and law enforcement.
The information in this article is based on a press release statement from SuperCom. The company cautions that the press release contains forward-looking statements subject to risks and uncertainties that could cause actual results to differ materially. SuperCom does not undertake any obligation to update these statements following the date of the press release.
In other recent news, SuperCom has seen a series of positive developments. Maxim Group has raised its price target for SuperCom to $18.00, up from the previous $12.00, reiterating a Buy rating on the shares. This upgrade was influenced by the company’s robust fourth-quarter revenue growth and positive EBITDA, as well as a projected 17% year-over-year revenue increase to $32.5 million for 2025.
Simultaneously, SuperCom has secured its 20th new electronic monitoring contract in the United States, this time with an Ohio government agency, marking a significant expansion in the U.S. market. Additionally, the company has won two new public safety contracts in Kentucky, replacing incumbent competitors and further solidifying its U.S. presence.
Financially, SuperCom reported a positive shift in its Q3 2024 performance, with year-to-date revenue rising to $21.3 million and a significant increase in gross profit to $10.7 million. The company also improved its net income to $2.52 million, contrasting with a loss in the previous year.
These recent developments underline SuperCom’s strategic expansion and financial growth. However, the company anticipates the need for additional capital over the next 12 to 18 months for potential mergers and acquisitions, and debt management. Despite this, SuperCom remains confident in its financial strategy, aiming to extend its debt maturity from 2025 to 2028.
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