Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q ý QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended September 30, 2020 OR o TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to Commission File Number 0-20191 INTRUSION INC. (Exact name of registrant as specified in its charter) (State or other jurisdiction of incorporati ...

INTRUSION Inc. (NASDAQ:INTZ) Q2 2020 Results Conference Call August 13, 2020 5:00 PM ET Company Participants Mike Paxton - VP, CFO Jack Blount - President and CEO Joe Head - Senior Vice President and Co-Founder Conference Call Participants Howard Brous - Wellington Shields Operator Ladies and gentlemen, thank you for standing-by and welcome to the INTRUSION Inc. Second Quarter 2020 Financial Results. At this time, all participants are in a listen-only mode. And after the speakers’ presentation, there wil ...

☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended June 30, 2020 UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to Commission File Number 0-20191 INTRUSION INC. (Exact name of registrant as specified in its charter) Delaware 75-1911917 (State or other jurisdiction of incorporation ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended March 31, 2020 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to Commission File Number 0-20191 INTRUSION INC. (Exact name of registrant as specified in its charter) Delaware 75-1911917 (State or other jurisdiction of incorporation ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 FORM 10-K (Mark One) ☒ ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 FOR THE FISCAL YEAR ENDED DECEMBER 31, 2019 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to COMMISSION FILE NUMBER 0-20191 Intrusion Inc. (Exact name of registrant as specified in its charter) DELAWARE 75-1911917 (State or other jurisdiction of incorpo ...

Call Start: 17:00 January 1, 0000 5:32 PM ET Intrusion, Inc. (NASDAQ:INTZ) Q4 2019 Earnings Conference Call February 24, 2020 17:00 ET Company Participants Michael Paxton - Chairman, President, CEO & CFO Joe Head - SVP, Vice Chairman & Co-Founder Conference Call Participants Howard Brous - Wunderlich Securities Operator Hi everyone, my name is Jeff and I will be your conference operator today. At this time, I would like to welcome everyone to the Intrusion Fourth Quarter 2019 Financial Conference Call. All ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended September 30, 2019 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to Commission File Number 0-20191 INTRUSION INC. (Exact name of registrant as specified in its charter) (State or other jurisdiction of incorporation or organization ...

Financial Data and Key Metrics Changes - Revenue for Q3 2019 was $3.9 million, an increase from $2.7 million in Q3 2018 and a slight decrease from $4 million in Q2 2019 [6] - Gross profit margin was 62% in Q3 2019, down from 64% in Q3 2018 and up from 61% in Q2 2019 [6] - Operating expenses decreased to $0.9 million in Q3 2019 from $1 million in Q3 2018 and $0.7 million in Q2 2019 [6] - Net income for Q3 2019 was $1.5 million, compared to $0.62 million in Q3 2018 and $1.8 million in Q2 2019 [7] Business Line Data and Key Metrics Changes - The company has seen an uptick in orders and research projects, which has fully utilized staff and reduced overhead [9] - New capabilities have been built into three areas: improvements to Savant and STA, integration of machine learning capabilities into TraceCop, and development of a new security solution in the zero trust space [14] Market Data and Key Metrics Changes - The company is awaiting new government budgets, which typically start on October 1 each year, affecting order flow [11] - Renewal orders are expected to come in over the next month, with some large orders from late 2018 up for renewal [12] Company Strategy and Development Direction - The company plans to grow into new areas, particularly within the Department of Defense (DoD) market, leveraging new hires with strong backgrounds in cybersecurity [15][16] - There is a focus on expanding marketing and sales efforts, including potential partnerships to broaden the customer base [17] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about upcoming funding for new projects and the potential for additional orders in the next quarters [13] - The company is working on a list of compromised DoD networks to target for sales opportunities [16] - Management acknowledged the challenges posed by the continuing resolution in federal budgeting but remains hopeful for new contracts [95][100] Other Important Information - The company has built cash reserves, paid off debt, and hired new staff to support growth initiatives [15] - The passing of a key co-founder has impacted the company, but management is committed to maintaining operational continuity [10][23] Q&A Session Summary Question: Can you provide details on potential contracts for Savant? - Management indicated a potential contract in the range of $2 million to $5 million, still in the scoping phase [28] Question: What is the status of state contracts mentioned previously? - Two state contracts are expected to move into Q1 2020 [34] Question: Are renewals in the budget for Q4? - Most renewals are in budget, except for two large contracts from 2018 that are pending renewal [36][38] Question: What is the procurement status? - There are about $3.6 million in procurement for renewals, with additional hopeful contracts in the pipeline [39][42] Question: Will the company provide updates on new contracts? - Management agreed to provide updates on new contracts as they are realized, especially if they are material [101][107] Question: What is the company's approach to finding a commercial partner for Savant? - The company is exploring partnerships but acknowledges the challenges of working with larger, slower-moving organizations [96][98] Question: How does the company price its products? - Pricing varies by product, with Savant installations starting around $200,000 and TraceCop datasets averaging $1.2 million annually [116][119] Question: What is the impact of contract lapses on customers? - Customers may face increased cybersecurity risks if they do not renew contracts, as the services address new challenges [136]

☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended June 30, 2019 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to Commission File Number 0-20191 INTRUSION INC. UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q (Exact name of registrant as specified in its charter) (State or other jurisdiction of incorporation or organization) Del ...

Financial Data and Key Metrics Changes - Revenue for Q2 2019 was $4 million, an increase from $3.2 million in Q1 2019 and $2.4 million in Q2 2018 [7][9] - Net income reached $1.8 million, up from $947,000 in Q1 2019 and $474,000 in Q2 2018 [7][11] - Gross profit margin was 60%, consistent with Q1 2019 and slightly down from 61% in Q2 2018 [9] Business Line Data and Key Metrics Changes - The company booked $2.9 million in renewals during Q2 2019, indicating a stable base business with some growth [14] - Sales and marketing expenses were reduced to $0.7 million in Q2 2019 from $0.9 million in the same quarter of 2018, benefiting from a reimbursement of prior expenses [10][11] Market Data and Key Metrics Changes - The company anticipates a pattern of slow bookings in Q3, with an expected uptick in renewals in Q4 2019 [14] - The company is pursuing several large orders that are expected to contribute to growth in the future [19] Company Strategy and Development Direction - The company is focusing on expanding its customer base and pursuing larger projects, with 14 new prospects currently in the pipeline [16][18] - Management is prioritizing hiring senior-level staff to enhance capabilities and support growth [49][58] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the stability of the current business and the potential for growth from new and renewing contracts [19] - The company is optimistic about the upcoming renewals of large orders from 2018, which are expected to contribute to revenue in Q4 2019 [19] Other Important Information - The company noted that operating expenses are expected to return to traditional levels in Q3 2019 after a reduction in Q2 [10][11] - Management highlighted the importance of maintaining customer satisfaction while pursuing larger opportunities [18] Q&A Session Summary Question: What should be expected for new orders in Q3 and Q4? - Management indicated that Q3 will primarily consist of renewals, with larger orders expected in 2020 [21][22] Question: Status of new customer orders mentioned in previous calls? - There is one order still awaiting confirmation, which is expected to grow into a larger contract next year [25] Question: Current status of potential large orders for Savant? - Management confirmed that discussions are ongoing, with some orders potentially moving to 2020 [26][28] Question: Need for hiring higher caliber staff? - Management acknowledged the need to hire senior-level staff and is actively pursuing candidates [49][50] Question: Status of partnerships for expanding Savant's market reach? - Management is in discussions with potential partners but noted that interest typically arises after demonstrating successful deployments [53][55] Question: Clarification on the financial performance of the quarter? - Management confirmed that the quarter's performance was strong, with no atypical factors affecting profitability [57][58] Question: Will there be more frequent communications regarding significant contracts? - Management expressed a commitment to communicate more frequently about material developments as they arise [82][85]