Core Insights - Sophos has acquired Arco Cyber to enhance its cybersecurity offerings and provide AI-powered security insights to businesses through its global partner network [1][2] Group 1: Acquisition Details - The acquisition price of Arco Cyber remains undisclosed [1] - This move is part of Sophos' broader strategy to improve cyber risk management and governance across organizations, regardless of their security maturity [2] Group 2: Arco Cyber's Technology - Arco Cyber has developed a cloud platform that collects and correlates data from various security systems, providing organizations with visibility into effective controls and identifying areas of exposure [3] - The platform highlights priorities for remediation relevant to business and risk outcomes [3] Group 3: Strategic Alignment - The acquisition aligns with Sophos' CISO Advantage initiative, which aims to equip managed service providers (MSPs) and managed security service providers (MSSPs) with tools for delivering executive-level oversight as a service [4] - Arco Cyber's CEO emphasized the mission to help organizations transition from assumption to proof in cybersecurity [4] Group 4: Integration and Impact - Following the acquisition, Sophos plans to integrate Arco Cyber's technology and team into its central platform, Sophos Central, to enhance continuous security assurance, risk mapping, and compliance monitoring for partners [5] - The integration aims to support decision-making at the executive level by validating the effectiveness of security controls and aligning them with risk and compliance frameworks [6] Group 5: Role of MSPs and MSSPs - With enhanced capabilities, MSPs and MSSPs are positioned to deliver cybersecurity services at scale, translating technical insights into actionable steps for organizations [7] - Sophos intends for these providers to evolve from technical operators to strategic advisors for clients' cybersecurity needs [7]

LONDON, Dec. 02, 2025 (GLOBE NEWSWIRE) -- Orbus Software, a leading global provider of enterprise transformation software, today announced the appointment of Steve Fulton as CEO. He succeeds former CEO Gareth Burton who led the company through a significant phase of private-equity backed growth and SaaS-transformation, ultimately leading to a major growth equity investment from FTV Capital announced in Q4 2024 alongside co-control partner SilverTree Equity. Steve Fulton is now responsible for leading the vi ...

Core Insights - Sophos has announced the integration of its threat intelligence repository, Sophos Intelix, with Microsoft Security Copilot and Microsoft 365 Copilot, enhancing real-time access to cyber threat intelligence for organizations of all sizes [1][3][4] Group 1: Sophos Intelix Integration - The integration allows security analysts and IT teams to leverage Sophos Intelix within Microsoft Security Copilot, providing advanced threat context and enrichment capabilities [4][10] - Sophos Intelix is now accessible for free to users of Microsoft Security Copilot and Microsoft 365 Copilot, democratizing access to advanced cybersecurity insights [2][6] - The integration with Microsoft 365 Copilot enables IT administrators and business users to make informed security decisions within their daily productivity tools [6][9] Group 2: Cybersecurity Landscape - Sophos processes over 223 terabytes of telemetry daily, generating more than 34 million detections and blocking over 11 million threats, which informs its product and service offerings [2][12] - The cybersecurity skills shortage is a significant issue, with 96% of small and mid-sized businesses reporting difficulties in investigating alerts, highlighting the need for more effective tools [11][12] - Attackers are becoming more efficient, with data exfiltration beginning in an average of three days, emphasizing the urgency for defenders to adopt faster analysis methods [12][13] Group 3: Future of Cybersecurity - The integration of Sophos Intelix into the Microsoft Copilot ecosystem represents a shift towards human-AI collaboration in cybersecurity, enhancing the productivity of Security Operation Centers (SOCs) [14][10] - Sophos aims to empower organizations with resilient cybersecurity solutions, meeting them at various stages of their cybersecurity journey [3][16] - The partnership with Microsoft is expected to create a new era of intelligent, collaborative cyber defense, leveraging AI as a force multiplier for defenders [14][16]

Core Insights - Sophos has integrated its solutions with Microsoft Defender for Business and Microsoft Defender for Endpoint, achieving Microsoft verified Small & Medium Business (SMB) solution status, which emphasizes the importance of partner collaboration in cybersecurity for SMBs [1][3] Group 1: Product Integration and Features - Sophos MDR for Microsoft environments is designed to detect, contain, and neutralize attacks within Microsoft 365 environments, utilizing telemetry from various Microsoft solutions and Sophos' proprietary threat intelligence [2] - The solution allows Sophos MDR analysts to execute response actions such as blocking user logins and terminating active sessions when an attack is detected, enhancing security outcomes for managed service providers [2] Group 2: Market Position and Strategy - The recognition as a Microsoft verified SMB solution reflects Sophos' commitment to democratizing cybersecurity and providing enterprise-grade protection to organizations of all sizes [3] - Sophos aims to meet the increasing demand for top-tier security solutions among small and medium-sized businesses, facilitating easier implementation and scaling of security services through its integrations with Microsoft 365 Business Premium [3] Group 3: Company Overview - Sophos defends 600,000 organizations globally with an AI-driven platform and expert-led services, combining machine learning, automation, and real-time threat intelligence [4] - The company offers a comprehensive portfolio of cybersecurity technologies, including managed detection and response (MDR), endpoint, network, email, and cloud security, alongside advisory services to help organizations proactively reduce risk [4]

Financial Data and Key Metrics Changes - Gross billings in Q3 2025 increased by 8% to $504.6 million compared to $465.2 million in the prior year quarter [12] - Net sales in Q3 2025 increased by 35% to $161.3 million compared to $119.3 million, driven by organic growth and contributions from the acquisition of Douglas Stewart Software [12] - Net income in Q3 2025 was $4.7 million or $1.02 per diluted share, down from $5.5 million or $1.19 per diluted share in the prior year [16] - Adjusted EBITDA in Q3 2025 was $10.9 million, slightly down from $11.1 million in the prior year [18] Business Line Data and Key Metrics Changes - Distribution segment gross billings increased by 9% to $481.9 million, while solutions segment gross billings decreased by 5% to $22.7 million [12] - Gross profit as a percentage of gross billings was 5.1%, slightly down from 5.2% in the prior year [13] Market Data and Key Metrics Changes - The European team showed strong execution, particularly in the artificial intelligence market, with the launch of Climb AI Academy to support partners [9][10] - The cybersecurity space continues to lead growth, accounting for over 60% of the company's business [22] Company Strategy and Development Direction - The company is focused on building operational momentum and executing strategic initiatives, including evaluating acquisition opportunities to enhance capabilities and market presence [19] - The company aims to deepen partnerships with existing vendors while selectively adding new ones to maintain innovation and market differentiation [5] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in closing out 2025 strong, with expectations for another year of record results [11] - There are no significant concerns regarding tariffs impacting the business, although currency fluctuations are monitored [30] Other Important Information - The Board of Directors declared a quarterly dividend of $0.17 per share, payable on November 17, 2025 [19] - The company has a robust balance sheet with cash and cash equivalents of $49.8 million as of September 30, 2025 [18] Q&A Session Summary Question: How would you characterize the quarter? Was the growth broad-based across your top 20? - Management indicated that there were no lumpy deals and organic growth was strong across the majority of vendors [21] Question: Were there any early pay price discounts that impacted margin? - No new relationships on early pay discounts were noted, and the percentage of gross billings remained consistent [24] Question: Is there a similar training program in the U.S. as the one in Europe? - Currently, there is no similar program in the U.S., but plans to roll out a training program are in place [25] Question: What is the impact of tariffs on your business? - There is no significant impact from tariffs, but currency fluctuations are considered [30] Question: Can you explain the notable declines in accounts receivable and accounts payable? - The changes are typical for the business and are expected to normalize in the next quarter [31] Question: What is the seasonality of orders now with DSS? - Seasonality is influenced by the education sector, with strong buying occurring in the summer [38] Question: What caused the 5% decrease in the solutions segment gross billings? - The decrease is attributed to fluctuations in the U.S. side of the business, which has a small team and large customers [40] Question: What are the acquisition-related costs in the quarter? - The costs are related to evaluating potential acquisitions, with a focus on larger deals moving forward [42][45] Question: What is the company's vision for future M&A? - The company is looking at opportunities ranging from $10 million to $40 million, focusing on strategic acquisitions that enhance technical capabilities [48][52]

Core Insights - Rubrik and Sophos have formed a strategic partnership to deliver Sophos M365 Backup and Recovery powered by Rubrik, marking the first Managed Detection and Response (MDR)-optimized Microsoft 365 backup and recovery solution integrated into Sophos Central [1][2] - The partnership aims to enhance cyber resilience against various threats, including ransomware and data loss, by providing a unified platform for IT and cybersecurity teams [1][3] Company Overview - Rubrik is focused on securing data with its Zero Trust Data Security™ approach, helping organizations achieve resilience against cyberattacks and operational disruptions [10] - Sophos is a leader in advanced security solutions, recently acquiring Secureworks to enhance its Managed Detection and Response (MDR) capabilities, now supporting over 30,000 organizations [12] Product Features - The new solution will enable fast and secure recovery of Microsoft 365 data for Sophos' more than 75,000 MDR and XDR customers, integrating Rubrik's SaaS-based protection into the Sophos Central platform [2][6] - Key features include secure, immutable backups with air-gapped storage and multifactor authentication, fast recovery options for various Microsoft 365 applications, and automated protection that reduces manual effort [7] Market Context - The State of Ransomware report indicates that nearly 50% of organizations impacted by ransomware opted to pay the ransom, yet only 54% relied on backups for data restoration, highlighting a gap in effective cyber resilience practices [4] - Research shows that 60% of Microsoft 365 tenants have faced account takeovers, and 81% have experienced email compromise, underscoring the urgent need for robust data protection solutions [5]

Core Viewpoint - The hacking incident at the Iranian cryptocurrency exchange Nobitex, which resulted in an estimated theft of $100 million, is believed to be politically motivated, potentially linked to the ongoing tensions between Israel and Iran [1][2]. Group 1: Incident Details - Nobitex reported that the total estimated stolen assets amount to approximately $100 million, but the situation is under control, and user assets are protected by a reserve fund, ensuring no user financial loss [1]. - The hacker group Gonjeshke Darande, allegedly linked to Israel, claimed responsibility for the theft and previously announced the destruction of data from Iran's state-owned bank Sepah [1][2]. - Elliptic indicated that the stolen funds were rendered inaccessible by being stored in vanity addresses without corresponding keys, making recovery virtually impossible with current technology [1]. Group 2: Political Context - The hacker group is suspected to have ties to Israel, although no official confirmation of its identity or nationality exists [2]. - The hacking incident may be related to the recent escalation of tensions between Israel and Iran, as suggested by cybersecurity experts [2]. - The actions of the hacker group align with Israel's regional priorities, targeting Iranian digital sectors and strategic entities [2]. Group 3: Industry Impact - The incident adds to the growing list of victims of hacking in the cryptocurrency industry, with over $2.1 billion in digital assets stolen in 2025 alone, according to blockchain security firm CertiK [2].