Wed, Feb 5, 12:01 PM (12 days ago)
For the quarter ending December 31, 2024, SideChannel, Inc. (Ticker: SIDC) reported revenues of $1.9 million, reflecting a 9.9% increase from $1.7 million in the same period of 2023. The growth was driven by an 8.0% increase in vCISO services and a 13.7% rise in cybersecurity software and services. Gross profit rose to $874,000, with a gross margin of 45.8%, down from 48.7% due to higher revenue from lower-margin third-party services. Operating expenses decreased slightly to $1.08 million, leading to an operating loss of $206,000, an improvement from a loss of $259,000 in the prior year. The net loss narrowed to $195,000 from $246,000 year-over-year. Cash flow from operations yielded $75,000, with total cash and equivalents at $1.12 million. The company maintained a working capital of $1.2 million. Despite historical losses, management believes liquidity is sufficient for the next 12 months, although future operations may be impacted by economic conditions and growth rates. The company continues to focus on expanding its client base and enhancing its cybersecurity offerings.