{"id":601891,"date":"2026-06-30T12:36:31","date_gmt":"2026-06-30T12:36:31","guid":{"rendered":"https:\/\/www.olympiajournal.com\/news\/story\/601891\/51-million-in-annual-revenue-with-80-million-backlog-delivered-by-agreement-to-acquire-kustom-entertainments-legacy-video-solutions-segment-for-cycurion-inc-nasdaq-cycu.html"},"modified":"2026-06-30T12:36:31","modified_gmt":"2026-06-30T12:36:31","slug":"51-million-in-annual-revenue-with-80-million-backlog-delivered-by-agreement-to-acquire-kustom-entertainments-legacy-video-solutions-segment-for-cycurion-inc-nasdaq-cycu","status":"publish","type":"post","link":"https:\/\/www.pennsylvania-magazine.com\/news\/story\/601891\/51-million-in-annual-revenue-with-80-million-backlog-delivered-by-agreement-to-acquire-kustom-entertainments-legacy-video-solutions-segment-for-cycurion-inc-nasdaq-cycu.html","title":{"rendered":"$5.1 Million in Annual Revenue with $8.0 Million Backlog Delivered by Agreement to Acquire Kustom Entertainment\u2019s Legacy Video Solutions Segment for Cycurion, Inc. (Nasdaq: CYCU)"},"content":{"rendered":"<div style=\"float:right;width:250px;padding:8px 10px 10px 10px\"><a rel=\"nofollow noopener\" href=\"https:\/\/www.globalnewslines.com\/uploads\/2026\/06\/1782765109.jpg\" style=\"border:none !important\" target=\"_blank\"><img loading=\"lazy\" decoding=\"async\" class=\"alignnone size-medium wp-image-29\" title=\"$5.1 Million in Annual Revenue with $8.0 Million Backlog Delivered by Agreement to Acquire Kustom Entertainment&rsquo;s Legacy Video Solutions Segment for Cycurion, Inc. (Nasdaq: CYCU)\" src=\"https:\/\/www.globalnewslines.com\/uploads\/2026\/06\/1782765109.jpg\" alt=\"$5.1 Million in Annual Revenue with $8.0 Million Backlog Delivered by Agreement to Acquire Kustom Entertainment&rsquo;s Legacy Video Solutions Segment for Cycurion, Inc. (Nasdaq: CYCU)\" width=\"225\" height=\"296\" \/><\/a><\/div>\n<div style=\"clear:both\"><\/div>\n<div style=\"font-style:italic;padding:8px 0px\">$CYCU Gains 1,000 New Clients and Approximately 58 Patents via Completed Transaction <\/div>\n<ul style=\"text-align: justify\">\n<li><em>Cybersecurity Leader&nbsp;Addressing the Growing Threat of Cyber Attacks and Data Breaches with a Multi-Layered SaaS Solution.<\/em><\/li>\n<\/ul>\n<ul style=\"text-align: justify\">\n<li><em>Serving Some of the Most Complex Government Agencies and Corporations in the World Including Fortune 100 and 500 Companies.<\/em><\/li>\n<\/ul>\n<ul style=\"text-align: justify\">\n<li><em>Clients and Partners Include: US Dept. of Defense, Defense Intelligence Agency, Dept. of Homeland Security, US Navy and Major Private Sector Companies.<\/em><\/li>\n<\/ul>\n<ul style=\"text-align: justify\">\n<li><em>Delivering State-of The-Art, Al-Infused Proprietary Technology Being One of the First to Marry AI and Cybersecurity.<\/em><\/li>\n<\/ul>\n<ul style=\"text-align: justify\">\n<li><em>Completed Asset Purchase Agreement to Acquire Kustom Entertainment&rsquo;s Legacy Video Solutions Segment with 1,000 New Clients and Approx. 58 Patents.<\/em><\/li>\n<\/ul>\n<ul style=\"text-align: justify\">\n<li><em>Legacy Video Solutions Generated $5.1 Million in Annual Revenue with $8.0 Million in Backlog from Recurring Subscriptions and Multi-Year Contracts.<\/em><\/li>\n<\/ul>\n<ul style=\"text-align: justify\">\n<li><em>Completed Acquisition of Secuvant and Flagship Panoptic Platform for AI-Driven Cybersecurity with Automated, Scalable Threat Defense<\/em><\/li>\n<\/ul>\n<ul style=\"text-align: justify\">\n<li><em>Acquisition of Halo Privacy and Integration of HavenX, Creating AI-Driven Platform for Government-Grade Secure Communications and Active Defense.<\/em><\/li>\n<\/ul>\n<ul style=\"text-align: justify\">\n<li><em>Halo Privacy is a Pioneer in Security Communications with Over 10 Years of Specialized Expertise Generating Approximately $7 Million in Annual Revenue.<\/em><\/li>\n<\/ul>\n<ul style=\"text-align: justify\">\n<li><em>HavenX Brings World-Class Digital Investigations, OSINT, Attribution, Cyber-Harassment Tracking and Threat Actor Identification Expertise.<\/em><\/li>\n<\/ul>\n<ul style=\"text-align: justify\">\n<li><em>First Quarter 2026 Results with 900 Basis Point Gross Margin Expansion, Net Loss Cut 51% and $21 to $22 Million Annual Revenue Visibility Turnaround.<\/em><\/li>\n<\/ul>\n<p style=\"text-align: justify\"><strong><br \/>Cycurion, Inc. (Nasdaq: CYCU)<\/strong> is a tech-enabled cybersecurity firm that serves some of the most complex government agencies and corporations in the world including Fortune 100 and 500 Companies. Founded by internet pioneer Emmit McHenry &mdash; who directly oversaw the first internet protocols and the creation of .com domains &mdash; <strong>CYCU<\/strong> brings an unparalleled blend of vision, technology, and experience to every project. More than just an MSSP or strategic advisor, <strong>CYCU<\/strong> is a full-service security partner capable of guiding any organization through the modern cyber threat landscape.<\/p>\n<p style=\"text-align: justify\">The flagship Cycurion ARx platform is a unified cybersecurity solution for protecting critical digital assets. Multi-layer protection is focused on inspecting requests to and responses from a digital asset. This non-invasive approach wraps around a digital asset &mdash; without hardware requirements or cloud installations &mdash; while keeping the client&rsquo;s IP completely private. With every request inspected, malicious threats are logged and blocked in real-time before reaching the asset. This <strong>CYCU <\/strong>multi-layer model of cybersecurity is intended to thwart potential attackers via an expanding set of protective layers.<\/p>\n<p style=\"text-align: justify\"><img decoding=\"async\" src=\"https:\/\/www.globalnewslines.com\/uploads\/2026\/06\/5cd9c2133ea80c8358895cce3adfefe4.jpg\" alt=\"\" \/><\/p>\n<p style=\"text-align: justify\"><strong>Asset Purchase Agreement to Acquire Kustom Entertainment&rsquo;s Legacy Video Solutions Segment with 1,000 New Clients and Approximately 58 Patents<\/strong><\/p>\n<p style=\"text-align: justify\">On June 29th <strong>CYCU<\/strong> announced that it has entered into an Asset Purchase Agreement, dated with Kustom Entertainment, Inc. (NASDAQ: KUST) to acquire substantially all of the assets comprising Kustom&rsquo;s video-solutions division, including the development, sale, licensing, support and servicing of video hardware, camera products, platforms, software and software solutions.<\/p>\n<p style=\"text-align: justify\">The Business includes the well-established Digital Ally-branded in-car video systems, body-worn cameras, and digital evidence management solutions used by law enforcement agencies, municipalities, and public safety organizations across the United States. Kustom currently holds a robust portfolio of approximately 58 patents covering video surveillance, evidence management, and integration technologies, with more patents pending &mdash; strengthening its leadership in AI-enhanced rugged video capture, real-time analytics, and secure evidence management.<\/p>\n<p style=\"text-align: justify\">This transaction represents disciplined execution of the <strong>CYCU<\/strong> strategy to build a comprehensive public safety technology platform. By combining Kustom&rsquo;s proven video and evidence management capabilities with the <strong>CYCU<\/strong> ARx AI-powered cybersecurity platform and the recently acquired Panoptic threat visibility and MDR solutions, the Company expects to create a differentiated, full-spectrum offering that enhances recurring revenue and supports profitable growth.The transaction has been structured to minimize immediate dilution to existing stockholders.<\/p>\n<p style=\"text-align: justify\">Upon closing, <strong>CYCU<\/strong> expects to gain access to approximately 1,000 new customer relationships, including numerous police departments and municipal agencies where the Company already provides cybersecurity and managed services. These overlapping relationships create immediate opportunities for cross-selling integrated video, evidence management, and AI-driven security solutions.<\/p>\n<p style=\"text-align: justify\">The Business generated approximately $5.1 million in annual revenue and holds approximately $8.0 million in contracted backlog, primarily from recurring subscriptions and multi-year contracts.<\/p>\n<p style=\"text-align: justify\"><strong>Acquisition of Secuvant, LLC and Flagship Panoptic Cybersecurity Platform<\/strong><\/p>\n<p style=\"text-align: justify\">On June 9th <strong>CYCU<\/strong> announced the successful closing of its acquisition of Secuvant, LLC, the creator of the groundbreaking Panoptic platform, through a merger transaction completed on June 2, 2026. Panoptic&rsquo;s industry-leading continuous threat and vulnerability visibility, intelligent prioritization, and real-time security insights will significantly expand the <strong>CYCU<\/strong> product portfolio and enhance its ability to deliver higher-margin, recurring revenue solutions to enterprise and government clients.<\/p>\n<p style=\"text-align: justify\">Under the terms of the<strong> CYCU <\/strong>Agreement, Merger Sub merged with and into Secuvant in a reverse merger transaction, with Secuvant surviving the merger as a wholly owned subsidiary of <strong>CYCU.<\/strong><\/p>\n<p style=\"text-align: justify\">Strategic Benefits:<\/p>\n<p style=\"text-align: justify\">Higher-Margin Expansion: Adds a premium, SaaS-like recurring revenue platform to the portfolio.<\/p>\n<p style=\"text-align: justify\">Product Leadership: Broadens <strong>CYCU<\/strong> cybersecurity offerings with best-in-class threat visibility and prioritization capabilities.<\/p>\n<p style=\"text-align: justify\">Accelerated Growth: Creates cross-selling opportunities and strengthens the <strong>CYCU<\/strong> position in a fast-growing market.<\/p>\n<p style=\"text-align: justify\">Aligned Economics: Structured with performance-based earn-outs tied directly to Panoptic&rsquo;s future success.<\/p>\n<p style=\"text-align: justify\"><strong>Chief Financial Officer Transition with Appointment of Ana Garcia<\/strong><\/p>\n<p style=\"text-align: justify\">On May 28th <strong>CYCU<\/strong> announced the appointment of Ana Garcia as Chief Financial Officer. Ms. Garcia succeeds Alvin McCoy III, who will step down as Chief Financial Officer on May 31, 2026 and transition into a strategic advisory role focused on advancing <strong>CYCU<\/strong> strategic growth initiatives. Ms. Garcia brings more than 20 years of senior finance leadership experience across public and private technology companies, including businesses in financial services, tech-enabled services and subscription software.<\/p>\n<p style=\"text-align: justify\"><strong>Acquisition of Halo Privacy and Integration of HavenX, Creating AI-Driven Platform for Government-Grade Secure Communications and Active Defense<\/strong><\/p>\n<p style=\"text-align: justify\">On May 20th <strong>CYCU <\/strong>announced the strategic acquisition of Halo Privacy and the full integration of HavenX, which is expected to close at the end of June 2026, significantly expanding its portfolio of elite, mission-critical security capabilities. This combination unites two highly respected teams and their complementary technologies to deliver an end-to-end integrated solution for high-stakes government and private-sector clients operating in hostile digital environments.<\/p>\n<p style=\"text-align: justify\">Halo Privacy, a trusted leader in secure communications since 2015, generated $7 million in total revenue in 2025, including $5.5 million in high-quality annual recurring revenue (ARR) and strong gross margins. The company&rsquo;s predictable, high-margin recurring revenue model is anchored by long-term contracts with U.S. government agencies, which represent approximately 95% of its business, along with preferred vendor status and an exceptional track record of renewals. Momentum is accelerating following the award of a multi-year, multimillion-dollar government contract in March 2026.<\/p>\n<p style=\"text-align: justify\"><img decoding=\"async\" src=\"https:\/\/www.globalnewslines.com\/uploads\/2026\/06\/1ca3d8531c6d53db44c75b2d1239e3e0.jpg\" alt=\"\" \/><\/p>\n<p style=\"text-align: justify\">HavenX brings world-class digital investigations, OSINT, attribution, cyber-harassment tracking, and threat actor identification expertise that complements Halo Privacy&rsquo;s advanced privacy and secure communications infrastructure. Together, they create a seamless, AI-augmented platform that protects users from link analysis and data compromise while enabling proactive intelligence and decisive active defense capabilities.<\/p>\n<p style=\"text-align: justify\">With this integration, <strong>CYCU<\/strong> is now accelerating its expansion into the private sector, bringing the same government-proven privacy and security technologies &mdash; enhanced by AI-powered applications including the Halo Link secure messaging app &mdash; to high-net-worth individuals, investment banks, healthcare organizations, R&amp;D-intensive enterprises, law firms, C-suite executives, and other organizations that require the highest levels of protection.<\/p>\n<p style=\"text-align: justify\"><strong>First Quarter 2026 Results with 900 Basis Point Gross Margin Expansion, Net Loss Cut 51% and $21 to $22 Million Annual Revenue Visibility Turnaround<\/strong><\/p>\n<p style=\"text-align: justify\">On May 14th <strong>CYCU<\/strong> announced results for the first quarter ended March 31, 2026.<\/p>\n<p style=\"text-align: justify\">Highlights of First Quarter 2026 as Compared to Fourth Quarter 2025<\/p>\n<p style=\"text-align: justify\">Revenue of $3.3 million, which reflects the planned wind-down of certain legacy contracts ahead of the ramp of higher-margin replacement work.<\/p>\n<p style=\"text-align: justify\">Gross margin expanded 900 basis points to 21.1% from 12.1%, nearly doubling as a result of a deliberate shift to higher-margin contracts and disciplined cost management.<\/p>\n<p style=\"text-align: justify\">Selling, general and administrative expenses decreased $1.3 million, or 31.6%, to $2.7 million.<\/p>\n<p style=\"text-align: justify\">Net loss improved 51.5% to $2.6 million from $5.3 million.<\/p>\n<p style=\"text-align: justify\">EBITDA loss improved 60.2% to $1.9 million from $4.9 million.<\/p>\n<p style=\"text-align: justify\"><strong>A<\/strong><strong>cquisition of Halo Privacy and HavenX to Build Comprehensive Secure Communications and Digital Defense Platform<\/strong><\/p>\n<p style=\"text-align: justify\">On May 7th <strong>CYCU<\/strong> announced it has executed a binding agreement to acquire Halo Privacy, an industry-leading secure communications company, and fully integrate its elite digital investigations and attribution arm, HavenX.<\/p>\n<p style=\"text-align: justify\"><strong>CYCU<\/strong> is executing a deliberate transformation&mdash;building a platform that delivers advanced cybersecurity, privacy, and digital defense capabilities not only to U.S. Government agencies and leading corporations, but increasingly to the retail consumer market. This expansion marks a significant evolution in the <strong>CYCU<\/strong> addressable market, democratizing access to enterprise-grade security tools for businesses and individuals of all sizes.<\/p>\n<p style=\"text-align: justify\"><img decoding=\"async\" src=\"https:\/\/www.globalnewslines.com\/uploads\/2026\/06\/00028fc144809d26a1415428286a2c38.jpg\" alt=\"\" \/><\/p>\n<p style=\"text-align: justify\">Halo Privacy, a pioneer in privacy- and security-first communications with more than 10 years of specialized expertise, brings approximately $7 million in revenue and $5.5 million in high-quality annual recurring revenue (ARR), with trailing ARR representing approximately 80% of revenue, along with a robust gross margin profile of approximately 55%. The transaction provides immediate top-line growth and substantial back-office cost synergies through streamlined operations, shared infrastructure, and operational efficiencies.<\/p>\n<p style=\"text-align: justify\">HavenX completes the privacy and security portfolio with world-class digital investigation capabilities, including open-source intelligence (OSINT), cyber-harassment and defamation attribution, IP geolocation, breach-data correlation, and high-confidence threat-actor identification. As demonstrated in recent high-profile cases&mdash;such as the Nemesis investigation that successfully attributed coordinated defamation and harassment campaigns against <strong>CYCU<\/strong> executives&mdash;HavenX transforms passive privacy into active, intelligence-driven defense.<\/p>\n<p style=\"text-align: justify\"><strong>For more information on $CYCU visit:<\/strong> <a rel=\"nofollow\" href=\"http:\/\/www.cycurion.com\">www.cycurion.com<\/a><\/p>\n<p style=\"text-align: justify\"><strong>Email:<\/strong> <a rel=\"nofollow\" href=\"mailto:info@cycurion.com\">info@cycurion.com<\/a><\/p>\n<p style=\"text-align: justify\">DISCLAIMER: <a rel=\"nofollow\" href=\"https:\/\/corporateads.com\/disclaimer\/\">https:\/\/corporateads.com\/disclaimer\/<\/a><\/p>\n<p style=\"text-align: justify\"><em>Disclosure listed on the CorporateAds website<\/em><\/p>\n<p class=\"caps\"><span style='font-size:18px !important'>Media Contact<\/span><br \/><strong>Company Name:<\/strong> Cycurion, Inc. <br \/><strong>Contact Person:<\/strong> Kevin Kelly, Chairman &amp; CEO <br \/><strong>Email:<\/strong> <a rel=\"nofollow\" href='http:\/\/www.universalpressrelease.com\/?pr=51-million-in-annual-revenue-with-80-million-backlog-delivered-by-agreement-to-acquire-kustom-entertainments-legacy-video-solutions-segment-for-cycurion-inc-nasdaq-cycu'>Send Email<\/a><br \/><strong>Phone:<\/strong> 888-341-6680<br \/><strong>Address:<\/strong>1640 Boro Place 4th Floor  <br \/><strong>City:<\/strong> McLean<br \/><strong>State:<\/strong> Virginia<br \/><strong>Country:<\/strong> United States<br \/><strong>Website:<\/strong> <a rel=\"nofollow noopener\" href=\"http:\/\/www.cycurion.com\" target=\"_blank\">www.cycurion.com<\/a><\/p>\n<p><img decoding=\"async\" src=\"https:\/\/www.getnews.info\/press_stat.php?pr=51-million-in-annual-revenue-with-80-million-backlog-delivered-by-agreement-to-acquire-kustom-entertainments-legacy-video-solutions-segment-for-cycurion-inc-nasdaq-cycu\" alt=\"\" width=\"1px\" height=\"1px\" \/><\/p>\n","protected":false},"excerpt":{"rendered":"<p>$CYCU Gains 1,000 New Clients and Approximately 58 Patents via Completed Transaction Cybersecurity Leader&nbsp;Addressing the Growing Threat of Cyber Attacks and Data Breaches with a Multi-Layered SaaS Solution. Serving Some<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[1],"tags":[],"_links":{"self":[{"href":"https:\/\/www.pennsylvania-magazine.com\/news\/wp-json\/wp\/v2\/posts\/601891"}],"collection":[{"href":"https:\/\/www.pennsylvania-magazine.com\/news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.pennsylvania-magazine.com\/news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.pennsylvania-magazine.com\/news\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.pennsylvania-magazine.com\/news\/wp-json\/wp\/v2\/comments?post=601891"}],"version-history":[{"count":0,"href":"https:\/\/www.pennsylvania-magazine.com\/news\/wp-json\/wp\/v2\/posts\/601891\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.pennsylvania-magazine.com\/news\/wp-json\/wp\/v2\/media?parent=601891"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.pennsylvania-magazine.com\/news\/wp-json\/wp\/v2\/categories?post=601891"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.pennsylvania-magazine.com\/news\/wp-json\/wp\/v2\/tags?post=601891"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}