TSS Stock Earns 85 Relative Strength Rating | Investor's Business Daily BREAKING: Futures Rise On Trump's Iran Pause Investors.com will undergo scheduled maintenance from 10:00 PM ET to 2:00 AM ET and some features may be unavailable. We apologize for any inconvenience. On Wednesday, TSS (TSSI) stock hit an important technical benchmark, seeing its Relative Strength (RS) Ratingjump into the 80-plus percentile with an improvement to 85, up from 79 the day before. X Reading Between The Lines: How To Wa ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 Commission file number: 001-33627 TSS, INC. (Exact name of registrant as specified in its charter) 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, 2025 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to Delaware 20-2027651 (State or other jurisdiction (I.R.S. Empl ...

Core Insights - TSS, Inc (TSSI) is identified as a microcap IT/AI infrastructure company that has demonstrated its ability to generate revenue and exited 2025 with strong operating momentum [1] Business Model - The company's business model is characterized as procurement-heavy, indicating a reliance on sourcing and purchasing activities to drive its operations [1] Customer Base - TSS, Inc's customer base includes a Dubai-based investor focused on building a resilient, income-generating portfolio with a long-term growth mindset [1] Investment Strategy - The investment approach is primarily long-only, blending dividend-paying equities, REITs, and other income strategies with selective growth opportunities [1] - The strategy emphasizes disciplined, fundamentals-driven investing, prioritizing capital preservation while compounding returns over time [1]

分组1 - TSS Inc.'s share price has decreased by 41% following its Q3 FY2026 results due to disappointing earnings caused by operational delays at its new Georgetown Facility [1] - The Straits Strategist focuses on providing insights into the hardware and technology sectors, particularly in the semiconductor and technology supply chain [1] - The importance of the Asian supply chain is highlighted, with major tech firms like TSMC, Samsung, and Hynix relying heavily on it for their operations [1] 分组2 - The Straits Strategist employs a Bottom-Up Methodology in stock coverage, seeking unique idiosyncratic factors for each company [1] - The goal is to transform complex supply chain dynamics into clear, actionable investment decisions such as BUY, HOLD, or SELL [1] - The analyst has a background in finance and is pursuing a CFA qualification to enhance research capabilities [1]

Shares of TSS (NASDAQ: TSSI) rose on Wednesday after the data center services provider announced solid quarterly growth figures. By the close of trading, TSS's stock price was up over 8%. Will AI create the world's first trillionaire? Our team just released a report on the one little-known company, called an "Indispensable Monopoly" providing the critical technology Nvidia and Intel both need. Continue » Image source: Getty Images. Artificial intelligence (AI)-powered growth TSS's revenue jumped 22% ye ...

Financial Data and Key Metrics Changes - Adjusted EBITDA for the full year reached approximately $18.6 million, up 83% from $10.2 million last year, exceeding guidance [4][12][29] - Consolidated total revenue increased by 66% in 2025 to $245.7 million, up from just over $148 million last year [13] - Net income for the year was $15.1 million, up 153% from $6 million in 2024, with diluted EPS improving 133% from $0.24 to $0.56 per share [28][29] Business Line Data and Key Metrics Changes - Revenue from procurement services totaled $197.5 million, up 68% from $117.5 million in 2024, with gross profit margins expanding from 6.7% to 7.7% [13][22] - Revenue from the systems integration segment increased 78% year-over-year to $40.3 million, with Q4 revenues rising from $7.9 million to $14.2 million [16][21] - Facilities management revenue totaled $7.9 million, down 1% from $8 million last year, but discrete project revenues in Q4 increased 263% to $2.5 million [15][21] Market Data and Key Metrics Changes - Customer adoption of AI is broadening, with 70%-80% of medium and large enterprises actively piloting or planning to implement AI in production workflows [7] - The market environment for AI demand is dynamic, with hyperscalers and large enterprises continuing to invest in accelerated computing and associated infrastructure [5][6] Company Strategy and Development Direction - The company aims to seize market share in AI rack integration and expand modular data center capabilities [9][33] - Strategic planning includes evaluating partnerships, acquisitions, and joint ventures to enhance capabilities and diversify revenue [33] - The company is focused on operational excellence and improving speed, quality, and time to value as key differentiators [34] Management's Comments on Operating Environment and Future Outlook - Management is optimistic about the business outlook for 2026, forecasting continued growth in earnings with adjusted EBIT expected in the $20-$22 million range [32] - The company acknowledges supply chain volatility and the timing of deal closings as factors in their conservative estimates [32] - Management emphasizes the importance of trusted partnerships as enterprises modernize and adopt AI technologies [34] Other Important Information - The company ended 2025 with $85.5 million of unrestricted cash, a $62.3 million increase from year-end 2024 [29] - Cash flow from operations increased significantly from $15.3 million in 2024 to over $30 million in 2025 [30] Q&A Session Summary Question: Can you give any more color on the amended agreement with your largest customer? - The agreement includes a term extension and adjustments for infrastructure investments, but minimum order volumes remain unchanged [38][41] Question: How should we be thinking about the amount of catch-up volume you saw this quarter? - Q4 rack volume almost exceeded Q1 through Q3, with expectations to double the business in 2026 [45] Question: What are you seeing in the U.S. federal business with the government shutdown resolved? - The procurement business is strong, with optimism about upcoming opportunities despite previous disruptions [49] Question: Can you talk about the memory chip shortage and its impact? - The company is somewhat insulated from the memory chip shortage due to strong supply chain management by their key partner [56] Question: How do your economics change as server racks get bigger? - The company is prepared for increased complexity and anticipates discussions on potential renegotiations as rack sizes grow [58]

Financial Data and Key Metrics Changes - The company reported a consolidated total revenue increase of 66% in 2025, reaching $245.7 million, up from $148 million in 2024 [13] - Adjusted EBITDA for the full year was approximately $18.6 million, an 83% increase from $10.2 million in the previous year [29] - Net income for the year was $15.1 million, a 153% increase from $6 million in 2024, with diluted EPS improving 133% from $0.24 to $0.56 per share [28][29] Business Line Data and Key Metrics Changes - Revenue from procurement services totaled $197.5 million, up 68% from $117.5 million in 2024, with gross profit margins expanding from 6.7% to 7.7% [13] - Systems integration segment revenue increased 78% year-over-year to $40.3 million, with Q4 revenues rising from $7.9 million to $14.2 million [16] - Facilities management revenue totaled $7.9 million, down 1% from the previous year, but discrete project revenues in Q4 increased 263% to $2.5 million [15] Market Data and Key Metrics Changes - The demand for AI infrastructure is accelerating, with a significant majority of medium and large enterprises piloting or planning to implement AI in production workflows, with adoption rates cited at 70%-80% [7] - The company is positioned to capture market share in AI rack integration, with expectations of continued revenue and EPS growth in fiscal 2026 and beyond [6][9] Company Strategy and Development Direction - The company aims to seize market share in AI rack integration and expand modular data center capabilities, focusing on strategic growth through partnerships and potential acquisitions [9][33] - The long-term agreement with the primary customer was amended to extend the term and update pricing, reflecting the investments made in infrastructure and power capabilities [8][21] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the business outlook for 2026, forecasting continued growth in earnings with adjusted EBIT expected in the $20-$22 million range [32] - The company acknowledged supply chain volatility and the dynamic market environment but remains confident in its ability to meet increased demand for AI infrastructure [5][10] Other Important Information - The company ended 2025 with $85.5 million in unrestricted cash, a significant increase from the previous year, and cash flow from operations rose from $15.3 million to over $30 million [29][30] - SG&A expenses increased by 56% to $20.7 million, primarily due to higher headcount and stock compensation [25] Q&A Session Summary Question: Can you give any more color on the amended agreement with your largest customer? - The agreement included adjustments in term length and financial support for infrastructure investments, but minimum order volumes remained unchanged [38][41] Question: How does the rack order volume this quarter compare with internal expectations? - Q4 rack volume nearly exceeded the total for Q1 through Q3, with expectations to double the business in 2026 compared to 2025 [45] Question: What is the outlook for the procurement business given recent government disruptions? - The procurement business is expected to remain strong, with opportunities that can materialize quickly, despite previous disruptions [49][50] Question: How has the memory chip shortage impacted the integration business? - The company is somewhat insulated from the memory chip shortage due to strong supply chain management by its key partner [56] Question: How do the economics change as server racks get bigger and heavier? - The company is prepared for increased complexity and power requirements, with ongoing discussions about potential economic adjustments as rack sizes increase [58]

TSS, Inc. (NASDAQ:TSSI) shares are trading higher Wednesday after the company reported fourth-quarter financial results ahead of the market open.TSS shares are powering higher. What’s fueling TSSI momentum?Q4 Financial ResultsTSS reported earnings per share of 41 cents, up from 8 cents year-over-year. Revenue totaled $60.90 million, increasing from $50.02 million in the same period last year.Procurement revenue totaled $43.2 million, up 7% year over year. Systems integration revenue increased 79% to $14.2 m ...

Revenue Performance - Full-Year 2025 revenue reached $246 million, representing a 66% increase compared to the previous year[1] - Fourth Quarter 2025 revenue was $60.9 million, up 22% year-over-year, with Systems Integration revenues increasing by 79% to $14.2 million[4] - Procurement revenues for Full-Year 2025 were $197.5 million, up 68% from the previous year[4] - Gross profit for Full-Year 2025 was $32.4 million, a 45% increase year-over-year[4] Earnings and Profitability - Diluted EPS for Full-Year 2025 was $0.56, a 133% increase from $0.24 in the previous year[4] - Adjusted EBITDA for Full-Year 2025 was $18.6 million, up 83% compared to the prior year[4] - The company anticipates Adjusted EBITDA for 2026 to be in the range of $20 million to $22 million, reflecting a conservative outlook on component availability[6] - EBITDA for 2025 was reported at $6,120 million, compared to $2,760 million in 2024, reflecting strong operational performance[20] - Adjusted EBITDA for 2025 increased to $7,853 million, up from $3,390 million in 2024, indicating improved profitability[20] Strategic Partnerships and Future Outlook - The company expects to double its rack integration volumes in 2026, driven by a significant increase in AI infrastructure demand from its largest partner[6] - TSS has amended a long-term AI rack integration agreement with its largest customer, extending the term by two years, highlighting strong customer relationships[5] Expenses and Financial Position - Interest expense for 2025 was $530 million, while bank factoring fees decreased to $499 million from $721 million in 2024[20] - Depreciation and amortization expenses rose to $1,356 million in 2025, compared to $211 million in 2024, suggesting increased investment in assets[20] - Stock-based compensation increased to $1,075 million in 2025 from $630 million in 2024, reflecting higher employee incentives[20] - Interest income for 2025 was $(665) million, a decline from $(188) million in 2024, highlighting challenges in interest earnings[20] - Bank factoring fees for 2025 were $3,659 million, up from $2,737 million in 2024, indicating increased reliance on factoring[20] Tax and Income - Net income for 2025 reached $12,160 million, a significant increase from $1,913 million in 2024[20] - Income tax benefit for 2025 was $(7,760) million, compared to a tax expense of $103 million in 2024, indicating a favorable tax position[20] - The company reported a loss on sale or disposal of assets amounting to $658 million in both 2025 and 2024[20] Facilities Management - Facilities Management revenues for Full-Year 2025 decreased slightly by 1% to $7.9 million, indicating a need for strategic focus in this segment[4]

Core Insights - TSS, Inc. is set to report its fourth quarter and full-year financial results for 2025 on March 11, 2026 [1] - The company specializes in data center services, integrating AI and high-performance computing infrastructure and software [1] - A conference call will be held at 8:30 a.m. on the same day to discuss the financial results [1]