Cycurion Awarded ~$54.6M Contract For Modernization And Secure Operation Of A Health And Human Services System For A State Government Agency With Expected Annual Revenue $5M+

Cycurion, Inc.

Cycurion, Inc.

CYCU

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The award reinforces Cycurion's strategy of focusing its revenue mix on higher-margin, long-term government engagements, and adds a decade-long, recurring-revenue anchor to the Company's public sector portfolio. Beyond its direct value, the engagement establishes a foundation for Cycurion to pursue additional opportunities — both within the state's broader health and human services modernization efforts and through its expanding relationship with its consulting partner.

"This contract will play a major role in Cycurion’s progression and expansion and reflects confidence in our ability to deliver secure, mission-critical solutions at scale," said L. Kevin Kelly, Chairman and CEO of Cycurion. "It strengthens our position in the SLED sector, builds on the financial inflection points we've reported this year, and extends our track record of translating strategic partnerships into durable, high-margin revenue. Just as importantly, this engagement opens the door to further opportunities with this agency and this partner as we continue to grow our public sector footprint. We're proud to support essential health and human services infrastructure relied upon by millions of residents, while continuing to deliver for our shareholders."

This award is the latest step in focusing on a higher-margin, shareholder-focused business. In its first-quarter 2026 results, the Company reported gross margin expansion to 21.1%, up from 17.5% in the first-quarter of last year, driven by the planned wind-down of lower-margin legacy contracts and a deliberate shift toward higher-margin, recurring public sector work. Together with an organizational realignment expected to deliver more than $2.2 million in annual savings, these efforts helped narrow net loss to $2.1 million in the first quarter of 2026 from $5.1 million in the prior quarter. Contracts like this one, alongside recent acquisitions including Secuvant, reflect Cycurion's continued discipline in prioritizing higher-margin, recurring revenue opportunities in service of long-term shareholder value.

The engagement will draw on Cycurion's experience modernizing secure government systems. This capability set has grown with Cycurion's recent acquisition of Secuvant, LLC, completed on June 2, 2026, which added the Panoptic threat and vulnerability visibility platform and Cyber7 framework to Cycurion's technology stack. The addition strengthens Cycurion's continuous monitoring, risk prioritization, and managed detection and response capabilities across its public sector portfolio, complementing its existing ARx cybersecurity platform.

Cycurion also continues aggressively to pursue its ongoing investigation into potential market manipulation of its stock. Since issuing litigation hold letters to market makers and securities firms in April 2026 in connection with its litigation against ACCESS Newswire Inc. and related parties, the Company has continued to advance the matter. The Company will not sit idly by while others attempt to harm Cycurion and its shareholders. The Company remains committed to holding accountable any party found to have engaged in improper trading activity in its securities.

This award builds on Cycurion's recent string of public sector wins and reflects the Company's continued integration of its strategic acquisitions into a differentiated, full-spectrum public sector technology platform.