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HUB Security Reports Second Half 2024 Financial Results and the Filing of its Annual Report on Form 20-F for the Year Ended December 31, 2024

Core Insights - HUB Cyber Security Ltd. has reported significant year-over-year margin expansion and streamlined operations, positioning the company for scalable growth in 2025 [1][2] - The company has shifted its focus towards core strengths in secure data infrastructure for regulated industries, leading to improved financial performance [4][6] Financial Performance - Revenues for H2 2024 were $13.8 million, down from $17.6 million in H2 2023, reflecting a strategic pivot to optimize business mix [6] - Gross margin improved to 25.6% in H2 2024, up from 15.4% in H2 2023, indicating a positive impact from the strategic realignment [6] - Operating expenses decreased by 29% to $14.7 million in H2 2024 compared to $20.9 million in H2 2023, showcasing effective cost control [6] - Operating loss in H2 2024 was $11.1 million, a 38% improvement from the previous year, reflecting streamlined operations [6] Strategic Initiatives - The company has expanded into the banking sector, securing a €20 million digital banking modernization project with Cassa di Risparmio della Repubblica di San Marino S.p.A. [4] - HUB's Secured Data Fabric platform is being adopted by leading financial institutions, enhancing its role as a trusted partner in data modernization [5][11] - The company has resolved approximately $17 million in legacy liabilities and secured new financing on favorable terms, enhancing financial flexibility [6] Market Positioning - HUB's Secured Data Fabric technology consolidates data securely, enabling clients to navigate compliance challenges and protect sensitive information [9][10] - The company is witnessing growing interest across various sectors, including healthcare and transportation, indicating the versatility of its solutions [11][12] Leadership and Future Outlook - Recent leadership appointments aim to support HUB's expansion into new markets, with plans to further scale the leadership team [14] - The company is focused on building long-term trust and shareholder equity while delivering innovative solutions [8]