Financial Performance - Net sales for fiscal 2025 decreased by $1.3 million, or 7.5%, to $13.5 million from $14.8 million in fiscal 2024, primarily due to the closure of the Village Bier Garten location[203]. - Comparable restaurant sales for Burger Time locations open for the full year declined approximately $224,000, or 3.9%, attributed to reduced customer traffic[205]. - Net loss improved to $687,839 in fiscal 2025 from a loss of $2.3 million in fiscal 2024, reflecting higher restaurant-level profitability and lower impairment charges[217]. - The company recorded a net loss of $687,839 in fiscal 2025, an improvement from a net loss of $2,311,208 in fiscal 2024[224]. Cost Management - Restaurant operating costs as a percentage of sales improved to 87.2% in fiscal 2025 from 95.1% in fiscal 2024, driven by the closure of less-profitable locations and improved margins[206]. - Food and paper costs decreased to 33.3% of restaurant sales in fiscal 2025 from 37.8% in fiscal 2024, reflecting cost control initiatives and a more moderate inflationary environment[209]. - Labor costs decreased to 37.9% of restaurant sales in 2025 from 41.3% in 2024, resulting from the closure of unprofitable locations and better cost control[210]. Acquisition and Mergers - In May 2024, the company acquired Schnitzel Haus, contributing approximately $1.5 million in sales during fiscal 2025[204]. - The company entered into a Merger Agreement with Aero Velocity in September 2025, with plans to spin off restaurant operations into a separate entity, BT Group, Inc.[196]. - The proposed merger with Aero Velocity Inc. could fundamentally change the company's capital structure and strategic focus[235]. Cash Flow and Investments - Cash and marketable securities increased to $4,442,300 as of December 28, 2025, up from $4,270,970 in the previous year[223]. - Net cash provided by operating activities was $284,876 in fiscal 2025, a significant improvement from net cash used in operating activities of $284,876 in fiscal 2024[229]. - Cash used in investing activities included approximately $172,925 for capital expenditures and $380,861 for the purchase of Water Bottle Inventory[231]. Liabilities and Obligations - The company has approximately $3.7 million in contractual obligations, with monthly required payments totaling approximately $47,000[234]. - An accrued liability of $215,000 was recorded related to litigation concerning a lease dispute[226]. Shareholder Actions - The company did not repurchase any shares during fiscal 2025, despite having a Board-authorized Share Repurchase Program[240]. Investment Valuation - The carrying value of the investment in Bagger Dave's Burger Tavern, Inc. was reduced to zero due to cumulative equity losses[247]. Customer Metrics - Average customer transaction at Burger Time restaurants remained stable at approximately $14.50 in fiscal 2025[191]. - Restaurant-level EBITDA for fiscal 2025 was $1,720,909, representing a margin of 12.4%, compared to $723,828 and a margin of 4.9% in fiscal 2024[221].

Financial Performance - Net revenue for the nine months ended February 28, 2026, was $32,695,000, representing a 6% increase from $30,732,000 in the prior year[36] - Net income for the same period increased by 17% to $6,790,000 compared to $5,869,000 in the prior year[42] - Other income for the nine months ended February 28, 2026, was $1,231,000, a 22% increase from the prior year[43] - Operating income for the nine months ended February 28, 2026, was $6,790,000, higher than $5,869,000 in the same period last year[42] Expenses - Research and development costs increased by $39,000 to $358,000, accounting for 1.1% of net revenue[40] - Selling, general and administrative expenses decreased by 6% to $7,241,000, representing 22% of net revenue[41] - Capital expenditures for the nine months ended February 28, 2026, were $2,006,000, compared to $1,158,000 in the prior year[54] Sales and Orders - Total sales within the U.S. increased by 12%, while total sales outside the U.S. decreased by 21%[36] - The company had 116 open sales orders in its backlog valued at $20.8 million as of February 28, 2026, down from 146 orders valued at $33.3 million a year earlier[38] - The backlog of sales orders decreased to $20.8 million from $27.1 million, with $8.2 million related to projects already in progress[62] Inventory and Receivables - As of February 28, 2026, total inventory decreased by $632,000 to $7,481,000, with a composition of 90% work-in-process, 2% finished goods, and 8% raw materials[56] - Accounts receivable decreased by 13% to $4,863,000, with an allowance for estimated credit losses of $319,000, and the average days sales outstanding increased from 32 to 39 days[58][59] - Maintenance and other inventory decreased by 29% to $783,000, indicating potential sensitivity to technological obsolescence[57] - The provision for potential inventory obsolescence was recorded at $195,000 for the nine-month period ended February 28, 2026[57] Project Status - Costs and Estimated Earnings in Excess of Billings (CIEB) increased by 6% to $5,681,000, attributed to the normal flow of long-term projects[60] - Billings in Excess of Costs and Estimated Earnings (BIEC) decreased by 68% to $1,404,000, reflecting a reduction in the number of projects in progress from 7 to 5[62] - The aggregate percent complete for projects in progress increased from 65% to 73%[62] - The average total sales value of projects in progress decreased to $1,383,000 from $1,846,000[62] Liabilities - Accounts payable increased by 1% to $1,129,000, while accrued expenses decreased by 32% to $2,773,000 due to reduced incentive compensation[63]

Customer Concentration and Revenue - The company’s three largest customers accounted for approximately 86% of its revenue in fiscal year 2025[39]. - The company’s revenues are derived from a small number of high-value orders, making them vulnerable to fluctuations in order volume[55]. - The company has observed a trend of reduced revenues and profitability among some Communication Service Providers (CSPs), which may impact future growth[48]. - In 2025, RADCOM's total revenues reached $71.5 million, with North America contributing $38.9 million (54.3% of total revenue), followed by EMEA at $22.5 million (31.5%) and Asia at $9.9 million (13.9%)[193]. Market and Competitive Landscape - The company faces intense competition in the market for service assurance and customer experience management, which may affect its market share[40]. - The company faces significant competition in the rapidly changing technology landscape, particularly with the introduction of 5G and cloud-native networks[49]. - The telecommunications industry is experiencing a slowdown, affecting capital investment and potentially leading to decreased revenues for the company[47]. - The company is subject to risks associated with geopolitical instability, particularly in the Middle East, which may affect its business[27]. Technology and Product Development - The company is diversifying its product offerings by incorporating AI and Related Tools, including GenAI and Agentic AI capabilities, but faces risks related to product development and market acceptance[76]. - RADCOM's solutions enable CSPs to deploy 5G networks and support legacy networks (4G, 3G, 2G) on a single cloud-native platform[137]. - The company offers a cloud-native assurance solution, RADCOM ACE, which integrates into multi-cloud environments and provides real-time subscriber analytics and network insights[134]. - The company is enhancing its RADCOM NETWORK DISCOVERY solution and advancing its RADCOM AIM (Automated Insights Module) with investments in GenAI and Agentic AI technologies[202]. Financial Performance and Risks - The company achieved net income of approximately $12.0 million in 2025, $7.0 million in 2024, and $3.7 million in 2023, following a net loss of approximately $2.3 million in 2022[85]. - The company’s gross margins may vary over time, impacting future profitability[24]. - Current market conditions, including inflation and geopolitical issues, could lead to a slowdown in CSP investments, impacting the company's financial condition[60]. - The company’s growth is dependent on CSPs' internal decisions regarding the transition to 5G and the deployment of new assurance systems[41]. Operational Challenges - Disruptions to the company’s IT systems due to failures or cybersecurity attacks could materially affect its operations and reputation[45]. - The complexity of solutions provided to large CSPs is increasing, leading to greater operational risks and potential contractual penalties if projects fail[70]. - The company’s sales process involves lengthy evaluations, which may delay revenue recognition and lead to cancellations[62]. - The company may face significant costs and operational disruptions in responding to shareholder activism and proxy contests[100]. Strategic Initiatives - The company plans to focus its expansion efforts on Tier 1 and other leading communication service providers (CSPs) in North America, Europe, and Asia-Pacific markets[21]. - The company plans to increase investment in R&D and expand its product offerings to support growth objectives in 2026[154]. - The company may pursue partnerships and acquisitions to enhance technology and market penetration, but this could divert resources and disrupt operations[81]. - RADCOM aims to shift to multi-year recurring revenue contracts to provide long-term engagement models for CSPs[167]. Intellectual Property and Compliance - The company currently holds nine registered patents, one pending patent application, and one pending provisional patent application, but faces challenges in protecting its proprietary technology from unauthorized use[80]. - The company is subject to claims of infringement of third-party intellectual property, which could result in significant financial and managerial resource expenditure[84]. - The company relies on a combination of trademarks, trade secret law, and non-disclosure agreements to protect its intellectual property, holding nine registered patents and one pending patent application in the U.S.[214]. Global Operations and Economic Factors - The company has established subsidiaries in the U.S., Brazil, India, and Canada to expand its market presence[131]. - The company’s international operations are exposed to risks associated with varied political, cultural, legal, and economic conditions, which could impede growth and affect operating results[86]. - The ongoing war in Israel since October 7, 2023, has not adversely affected the company's operations, but the future economic implications remain uncertain[110]. - The company generates most of its revenues in U.S. dollars, while a significant portion of its expenses is incurred in New Israeli Shekels (NIS), exposing it to currency fluctuations[90].

Table of Contents 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, 2025 ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from ____________ to _____________ Commission File No. 000-41092 FIREFLY NEUROSCIENCE, INC. (Exact name of registrant as specified in its charter) Delaw ...

Financial Performance - Revenue for the year ended December 31, 2025, was $1,142,000, representing an increase of $1,034,000 or 957% compared to $108,000 in 2024, primarily due to revenue from the acquisition of Evoke Neuroscience [424]. - Cost of goods sold for 2025 was $497,000, up from $0 in 2024, with manufacturing and inventory costs accounting for 43% of the increase and labor costs for 33% [425]. - Research and development expenses decreased by $472,000 or 24% to $1,482,000 in 2025, primarily due to equity vesting related to the merger in August 2024 [426]. - Selling and marketing expenses decreased by $401,000 or 33% to $800,000 in 2025, mainly due to reduced consultant use following a rebranding in 2024 [427]. - General and administration expenses increased by $835,000 or 13% to $6,968,000 in 2025, largely due to higher directors and officers insurance costs and accrued fees from the cancellation of the Equity Line of Credit [428]. - The company reported an operating loss of $8,856,000 for 2025, an improvement of $1,198,000 compared to a loss of $10,054,000 in 2024 [422]. - Net cash used in operating activities was $8,194,000 for 2025, an increase of $2,039,000 or 33% from $6,155,000 in 2024, driven by higher operating costs and research and development expenses [441]. - Net cash used in investing activities rose to $2,488,000 in 2025 from $477,000 in 2024, representing a 422% increase attributed to the acquisition of Evoke Neuroscience [442]. - As of December 31, 2025, the company had an accumulated deficit of $111,615,000 and negative cash flows from operating activities of $8,194,000, raising substantial doubt about its ability to continue as a going concern [431]. Acquisitions and Investments - The company acquired all outstanding stock of Evoke for approximately $6,000, consisting of $3,000 in cash and 857,142 shares of Common Stock valued at $3.50 per share [374]. - The acquisition of Evoke Neuroscience was completed for a total consideration of $6,221, including $3,000 in cash and 857,142 shares of common stock [401]. - The company raised $150,000 through warrant exercises and $2,250,000 through a private placement after December 31, 2025, with investors having the right to purchase up to an additional $18,000,000 of units [420]. Revenue Model and Business Strategy - The company has a subscription-based commercial model that creates a recurring revenue stream, scaling with clinical utilization [360]. - The company plans to generate revenue through healthcare professionals in the U.S. and collaborations with pharmaceutical companies for neuroscience drug development [392]. Clinical Operations - The Evoke System is actively used across more than 85 clinical sites in the United States as of December 31, 2025, enhancing clinical decision-making through EEG and ERP assessments [360]. - The Firefly Platform integrates hardware, software, and data infrastructure to enhance the quality of electrophysiological assessments in clinical settings [359]. Stock and Warrants - The company generated total proceeds of $8,825 from the exercise of warrants to purchase 1,623,530 shares of Common Stock at various exercise prices [362]. - On March 28, 2025, the company issued 547,737 units at a purchase price of $3.00 per unit, each consisting of one share of Common Stock or a prefunded warrant [363]. - The company issued 400,000 units at a total purchase price of $1,200 on June 16, 2025, with each unit priced at $3.00 [375]. - The company entered into a warrants cancellation and exchange agreement, resulting in the exchange of June 2025 Warrants for New 2025 Warrants to purchase 800,000 shares of Common Stock at an exercise price of $0.50 per share [382]. - The company entered into an At the Market Offering Agreement with Konik Capital Partners, allowing for the sale of up to $7,434,266 in Common Stock [383]. - The March 2026 Purchase Agreement involves the issuance of up to 13,500,000 units at a price of $1.50 per unit, with an initial investment of $2,250,000 from accredited investors [388]. - The company will pay Konik a commission of 2.0% on gross proceeds from ATM Shares sold, along with reimbursement for legal fees not exceeding $50,000 [387]. - The offering was structured to comply with Nasdaq Listing Rule 5635(d) without requiring stockholder approval [390]. - The company will file a registration statement on Form S-1 for the resale of shares and warrant shares by April 15, 2026 [390]. Impairments and Market Conditions - No goodwill impairment was recognized as the market capitalization exceeded net assets, with a share price recovery to $1.73 by March 11, 2026 [406]. - Total impairment recognized on pre-acquisition Firefly assets was $251, due to the discontinuation of the BNA software platform and Zeto headsets [409]. - No applicable market risk disclosures were provided in the document [448].

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-K ☒ 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 ____ COMMISSION FILE NO. 001-34647 ZW DATA ACTION TECHNOLOGIES INC. (Exact name of registrant as specified in its charter) (State or other jurisdiction of incorporati ...

Revenue and Profitability - Total revenue for the year ended December 31, 2025 increased 14% to $133.9 million compared to $117.3 million for the prior year, primarily due to $18.7 million of license revenue recognized [256]. - Product revenue for 2025 was $115.2 million, accounting for 86% of total revenue, while license revenue was $18.7 million, representing 14% of total revenue [255]. - Gross profit margin increased to 62.9% for 2025 from 58.2% in 2024, with a 530 basis point improvement due to sales mix and greater scale [258]. Operating Expenses and Cash Flow - Operating expenses decreased to $76.9 million in 2025, representing 57.5% of total revenue, down from 68.5% in 2024 [255]. - Net cash provided by operating activities for the year ended December 31, 2025 was $12.5 million, a significant improvement from a net cash used of $11.9 million in 2024 [267]. - Net cash provided by investing activities increased to $7.9 million in 2025 from a net cash used of $3.7 million in 2024, primarily due to proceeds from divestitures [268]. - Net cash used in financing activities was $9.6 million in 2025, a decrease from net cash provided of $16.1 million in 2024, largely due to reduced borrowings and debt repayments [269]. Assets and Liabilities - Cash and cash equivalents increased to $17.3 million as of December 31, 2025, up from $6.2 million in 2024 [266]. - Net working capital improved to $48.8 million in 2025 compared to $38.5 million in 2024 [266]. - As of December 31, 2025, the company had $10.9 million outstanding under the Revolving Credit Facility and $3.8 million of availability [275]. - The effective interest rate for the Term Credit Agreement was 14.08% and for the Revolving Credit Agreement was 8.49% as of December 31, 2025 [276]. Financing and Credit Agreements - The company entered into a manufacture and license agreement for SimpliGraft® with a one-time cash payment of $1.5 million and minimum purchase obligations [250]. - The company entered into several amendments to its credit agreements, including increasing term loans by $5.0 million to a maximum of $22.0 million [271]. - As of December 31, 2025, the company was in compliance with all applicable covenants under the Credit Agreements, although it was not required to comply with the minimum net revenue covenant for that quarter due to a recent amendment [277]. - The company may seek additional financing before March 2027 if market conditions are favorable, which could dilute current stockholders' interests [279]. Research and Development - Research and development expenses decreased by 12% to $2.1 million in 2025 compared to $2.4 million in 2024 [261]. Divestitures - The company recognized a gain on divestiture of $3.3 million in 2025 from the sale of assets related to its Coflex and CoFix products [264]. - The sale of Coflex/CoFix assets generated a total purchase price of $17.5 million, with $10 million received in cash prior to the end of 2025 [251]. Inventory Management - Inventory valuation is a critical accounting estimate, with reserves for excess and obsolete inventory reviewed quarterly [283].

Revenue and Income - Total revenues for the company in 2025 were $2,725 million, representing a 6% increase from $2,565 million in 2024[266] - Security subscription revenues increased by $115 million, or 10%, from $1,104 million in 2024 to $1,219 million in 2025[267] - Net income increased by $211 million to $1,057 million in 2025 compared to $846 million in 2024[285] Expenses - Research and development expenses rose to $457 million in 2025, accounting for 17% of revenues, up from 15% in 2024[272] - Selling and marketing expenses were $947 million in 2025, representing 35% of revenues, compared to 34% in 2024[275] - General and administrative expenses increased to $129 million in 2025, which was 5% of revenues, up from 4% in 2024[277] - Total cost of revenues was $362 million in 2025, compared to $319 million in 2024[268] - Cost of security subscriptions increased to $91 million in 2025 from $73 million in 2024[270] - Amortization of technology was $33 million in 2025, up from $25 million in 2024, attributed to acquisitions[271] Operating Performance - Operating income for 2025 was $831 million, with an operating margin of 30%, down from 34% in 2024[264][279] Cash Flow and Investments - Total cash and cash equivalents, short-term investments, and long-term interest-bearing investments reached $4,342 million as of December 31, 2025, compared to $2,784 million in 2024[286] - Net cash from operations was $1,199 million in 2025, an increase from $1,052 million in 2024, influenced by a $51 million benefit from balance sheet hedging[288] - Net cash used in investing activities rose to $680 million in 2025 from $24 million in 2024, with $273 million allocated for acquisitions[289] - Net cash provided by financing activities was $752 million in 2025, primarily due to the issuance of $1,780 million in convertible senior notes[290] Tax and Financial Income - The effective tax rate was (12)% in 2025, compared to 13% in 2024, resulting in a tax benefit of $(112) million in 2025[283] - Net financial income was $114 million in 2025, up from $96 million in 2024, primarily due to higher reinvestment yield and additional interest income[281] Shareholder Activities - The company repurchased ordinary shares amounting to $1,400 million in 2025, up from $1,300 million in 2024[290] - The company completed a $2,000 million Convertible Senior Note issuance in December 2025, contributing to additional interest income[287] Sales Concentration - The company derived approximately 57% of its sales from its ten largest channel partners in 2025[249]

Revenue Performance - Full year 2025 revenue totaled $134.0 million, an increase of 14% year-over-year from $117.3 million in 2024[2][8] - Fourth quarter 2025 revenue was $32.4 million, up approximately 3% compared to $31.5 million in the prior year quarter[6][8] - Total revenue for the year ended December 31, 2025, was $133.9 million, a 14.3% increase from $117.3 million in 2024[26] Profitability - Net income for the full year 2025 was $5.0 million, or $0.03 per diluted share, compared to a net loss of $16.5 million in 2024[6][11] - Gross margin for the full year 2025 was 62.9%, compared to 58.2% for the full year 2024[6][9] - Gross profit for the year was $84.3 million, up from $68.2 million in 2024, resulting in a gross margin of 63%[26] - Net income for the year was $5.0 million, a significant recovery from a net loss of $16.4 million in 2024[26] - The company reported a non-GAAP EBITDA of $15.8 million for 2025, compared to a loss of $7.9 million in 2024, indicating improved operational efficiency[30] Cash Flow and Financial Position - Operating cash flow for the full year 2025 was $12.5 million, compared to net cash used in operations of $11.9 million in 2024[6][11] - Cash and cash equivalents increased to $17.1 million as of December 31, 2025, compared to $6.2 million at the end of 2024[27] - The company increased its cash position to over $22 million and reduced its term loan balance to $11.2 million[7][14] - Total current assets rose to $78.2 million in 2025 from $67.1 million in 2024, driven by increases in cash and trade accounts receivable[24] - Total liabilities decreased to $43.2 million in 2025 from $50.9 million in 2024, reflecting a reduction in long-term debt[24] - The company’s total stockholders' equity increased to $51.0 million in 2025 from $43.0 million in 2024, indicating a stronger financial position[24] Business Development and Innovation - The company launched new products including the nanOss Strata™ and CollagenX™ in 2025, focusing on innovation in its biologics segment[6][7] - The company completed the sale of non-core assets to Companion Spine for a total of $21.4 million in cash[6][8] - The company anticipates full-year 2026 revenue to be in the range of $95 million to $99 million, reflecting organic growth in its core biologics business[15][21] Operating Expenses - Operating expenses totaled $77.0 million in 2025, down from $80.3 million in 2024, with general and administrative expenses increasing to $29.4 million[26] - Non-GAAP adjusted EBITDA for the full year 2025 was $16.3 million, compared to an adjusted EBITDA loss of $2.3 million for the full year 2024[6][12] Revenue Breakdown - Product revenue decreased to $115.2 million in 2025 from $115.8 million in 2024, while license revenue increased significantly to $18.7 million from $1.5 million[26]

Financial Performance - Revenue for Q1 FY26 reached $17.2 billion, an increase of 18.1% year over year, significantly exceeding the high end of the outlook[4] - Non-GAAP gross billings were $25.8 billion, up 24.4% year over year, also significantly above the high end of the outlook[4] - Diluted EPS for Q1 FY26 was $4.04, a 104.0% increase year over year, while non-GAAP diluted EPS was $4.73, up 68.9% year over year[3] - Operating income for Q1 FY26 was $489 million, reflecting a 60.7% increase year over year, with an operating margin of 2.85%[3] - Net income increased to $326,915 for the three months ended February 28, 2026, compared to $167,537 in the prior year, reflecting a 95.5% year-over-year growth[23] - Non-GAAP net income for the same period was $382,567, compared to $237,371 in 2025, showing a 60.9% increase[29] - Non-GAAP operating income for the three months ended February 28, 2026, was $589,592, compared to $398,789 in the previous year, reflecting a 47.9% increase[27] Shareholder Returns - The company returned $118 million to shareholders through share repurchases of approximately $80 million and dividends of $39 million[4] - A quarterly cash dividend of $0.48 per common share was announced, representing a 9% increase year over year[7] Future Projections - For Q2 FY26, the company expects revenue between $16.1 billion and $16.9 billion, with non-GAAP gross billings projected between $24.6 billion and $25.6 billion[6] - Net income for Q2 FY26 is anticipated to be between $234 million and $274 million, with non-GAAP net income expected to be between $302 million and $342 million[6] - Non-GAAP net income forecast for the three months ending May 31, 2026, ranges from $302 million to $342 million[31] - Non-GAAP Diluted EPS is projected to be between $3.75 and $4.25 for the same period[31] - Revenue forecast for the three months ending May 31, 2026, is estimated to be between $16.1 billion and $16.9 billion[31] - Non-GAAP gross billings are expected to range from $24.6 billion to $25.6 billion[31] Asset and Liability Overview - Total current assets as of February 28, 2026, were $26,109,224, compared to $25,289,438 as of November 30, 2025[22] - Total liabilities increased to $26,300,969 as of February 28, 2026, from $25,800,469 as of November 30, 2025[22] - Cash and cash equivalents decreased to $1,562,557 from $2,435,389, indicating a cash outflow during the period[25] Cost Projections - Costs related to third-party supplier service contracts and software as a service arrangements are projected to be between $8.5 billion and $8.7 billion[31] - Amortization of intangibles is estimated at $75 million for the forecast period[31] - Share-based compensation is expected to be $15 million[31] - Income taxes related to the above items are forecasted to be $(22) million[31] Earnings Per Share - Basic earnings per share rose to $4.05, up from $1.98, while diluted earnings per share increased to $4.04 from $1.98[23] - Diluted EPS calculated using the two-class method is projected to be between $2.90 and $3.40[31]