INTZ

Image source: The Motley Fool. Tuesday, Aug. 11, 2026 at 5:00 p.m. ET President and Chief Executive Officer - Tony Scott Chief Financial Officer - Kimberly Pinson Investor Relations - Josh Carroll Operator: Welcome to Intrusion, Inc.'s Second Quarter 2026 Earnings Conference Call and Webcast. [Operator Instructions] Please note, this conference call is being recorded. An audio replay of the conference call will be available on the company's website within a few hours after this call. I would now like to turn the call over to Josh Carroll with Investor Relations. Josh Carroll: Thank you, and welcome. Joining me today are Tony Scott, President and Chief Executive Officer; and Kimberly Pinson, Chief Financial Officer. This call is being webcast and will be archived on the Investor Relations section of our website. Before I turn the call over to Tony, I'd like to remind everyone that the statements made during this conference call relating to the company's expected future performance, future business prospects, future events or plans may include forward-looking statements as defined under the Private Securities Litigation Reform Act of 1995. Please refer to our SEC filings for more information on the specific risk factors that could cause our actual results to differ materially from the projections described in today's conference call. Any forward-looking statements that we make on this call are based upon information that we believe as of today, and we undertake no obligation to update these statements as a result of new information or future events. In addition to U.S. GAAP reporting, we report certain financial measures that do not conform to generally accepted accounting principles. During the call, we may use non-GAAP measures if we believe it is useful to investors or if we believe it will help investors better understand our performance or business trends. With that, let me now turn the call over to Tony for a few opening remarks. Anthony Scott: Well, thank you, Josh, and good afternoon, and thank you all for joining us today. The second quarter was a pivotal period for Intrusion. Our revenue increased 64% sequentially, restoring the quarterly revenue run rate that we achieved prior to the ongoing delay associated with the Department of War contract extension, which we've previously discussed on our earnings call for the first quarter. And I'll cover that in more detail in a few moments. Behind that headline, we took the single most significant step in our growth strategy to date, the acquisition of VigilAigent, and we're already seeing that decision translate into tangible progress. But before I dive into this progress and what it means for our future, I'd first like to provide a brief update on the Department of War matter that I just mentioned. The timing of this contract extension remains subject to the currently unpredictable federal funding and procurement process of the federal government, which has impacted us and many other companies providing services and capabilities to the Department of War. As previously discussed, the situation is compounded by the ongoing geopolitical situation related to the conflict with Iran. And throughout this period, we've continued to support the critical infrastructure technology that we've already deployed, and we remain optimistic that a meaningful portion of the associated revenue will be recognized in future periods, subject to final award timing and funding approvals. And we also continue to see room to expand our solution across additional locations within the Department of War's jurisdiction. So given that the situation in the Middle East continues to remain fluid, we believe the timing of this opportunity has shifted rather than diminished, and we expect the activity to resume once the situation begins to normalize. In the meantime, we've entered into contractual agreements with the local agencies that were the beneficiaries of our solution to provide ongoing support and maintenance. These agreements cover our ongoing cost for support, do not include additional expansion or added capabilities. In addition, as you've no doubt read in the news, water and other local utility systems across the Continental U.S. have been attacked and compromised by nation-state adversaries. And our solution is specifically and ideally suited to protect these facilities from compromise. We are actively engaging with the appropriate agencies and authorities to raise awareness for our solution and demonstrate how we can help address their needs. Now turning to a more recent win that shows that our growth strategy is working. As we discussed on our last earnings call, we were able to secure a $4 million annual contract to deliver our cyber threat intelligence and critical infrastructure protection product to the State of Texas. This contract win was a direct result of our efforts to enhance our federal, state and local sales efforts and our broader go-to-market strategy. Revenue from this contract started to be recognized during the second quarter and will continue through the remainder of this fiscal year and into fiscal year 2027. Through our initial work with the State of Texas, we've identified additional opportunities for Intrusion technology and consulting services that we expect will generate additional revenue beyond the current contract levels. And based on our success in Texas, we are using the framework from this engagement to secure additional contracts across other U.S. states and territories. Our P.O.S.S.E Program delivered through our partnership with PortNexus also continued to gain some well-received exposure during the quarter. I personally attended one law enforcement trade show here in Texas, where we jointly presented the MyFlare Alert and Intrusion solution, and I personally saw the enthusiasm in the attendees' responses. We jointly presented this solution at many other events over the quarter, and we saw similar levels of enthusiasm. We view this program as an important high-margin channel into the public safety market. And while there wasn't significant revenue in Q2, we expect its contribution to build over the coming quarters. And just yesterday, PortNexus announced its partnership and integration work with a computer-aided dispatch solution that is already installed in hundreds of law enforcement agencies in the Midwest, furthering our opportunities to serve this community and the schools within their jurisdiction. And while it's a complex sales process, I still see strong potential for this solution in the long run. Now finally, I'd like to address our recent acquisition of VigilAigent. But first, let me provide some context. Cybersecurity is undergoing one of the most significant transformations in its history. AI is dramatically reshaping both offense and defense and poses significant internal risks for most organizations related to the protection of sensitive data, privacy and trade secrets. Organizations today face increasingly sophisticated AI-driven threats while simultaneously confronting growing complexity, limited cybersecurity talent and rising demands to protect critical data and operations. As a result, customers are looking beyond stand-alone security products towards integrated platforms that combine artificial intelligence, leading-edge threat intelligence, managed services and trusted long-term partners capable of delivering measurable security outcomes. It's our belief that these industry trends are reshaping the cybersecurity market, and they've also shaped the strategic decisions we've made at Intrusion. Our objective is not simply to participate in this changing market, but to build a stronger company positioned to compete and create long-term value as the industry evolves. With that objective in mind, we announced the acquisition of VigilAigent, a managed security service provider, to create an AI-native cybersecurity platform. The acquisition of VigilAigent is a significant step forward for Intrusion and a natural evolution of our growth strategy. The addition of VigilAigent adds significant shareholder value as the business immediately adds approximately $3.5 million of annual recurring revenue that is supported by a diversified base of multiyear customer contracts. Building recurring revenue has been a strategic priority for Intrusion over the past year, and this acquisition immediately accelerates our strategy and gives us access to an expanded ecosystem of customers and channel partners that we previously did not have access to. The acquisition also brings together complementary technologies, experienced cybersecurity professionals, proprietary threat intelligence and managed detection and response capabilities. Most importantly, the VigilAigent and Intrusion technical teams are working together and have created some exciting brand-new capabilities to detect, manage and remediate threats associated with the use of AI by insiders as well as malevolent actors. This is the new battle space, and it is the most important area of focus in the foreseeable future, and we intend to be on the leading edge of that fight. Now as we noted on our M&A call a few weeks ago, we plan to market and sell the Intrusion Shield platform through VigilAigent's commercially oriented organization. As a result, you'll see some changes in how we bring Shield and our other technologies to market. Intrusion will continue to serve the U.S. federal government and large institutional partners, including public federal, state and local institutions and provide those customers with its customized and highly tailored technology and consulting services, while VigilAigent will operate as a dedicated business unit within the intrusion organization. VigilAigent's focus will be on the commercial market space. We think this segmentation will accelerate our growth and allow for more effective sales and marketing efforts in these businesses. In fact, we've already begun to see the acquisition yield positive results since being acquired a few short weeks ago. This progress includes securing over $350,000 in annualized new business and customer renewals, signing several new strategic MSP partners, each with the potential to generate more than $1 million in annual recurring revenue as deployments ramp. We've identified more than $3 million in annualized cost synergies through integration and operational efficiencies. We've expanded our strategic foundation with enhanced AI capabilities, managed security expertise and a much broader commercial platform. These accomplishments are only the beginning. Our objective is not simply to integrate 2 organizations. It's to build a platform that can innovate faster, serve customers more effectively and create durable value over the long term and achieve our goal of transitioning Intrusion to profitability in 2027. We're extremely excited about this acquisition, but we recognize that transformations require disciplined execution, accountability and sustained performance. And these principles will continue to guide every single decision we make. Now before I turn the call over to Kim, I'd like to remind our shareholders of our upcoming Annual Meeting on August 27. This year's meeting matters more than most as it includes several important matters, including Proposal 3, which asks shareholders to approve the potential issuance of Intrusion common stock above NASDAQ's 19.9% threshold pursuant to the membership interest purchase agreement involving VigilAigent. I encourage you all to please review the definitive proxy statement, vote every eligible account that you own and submit your voting instructions as early as possible. The Board of Directors unanimously recommends that shareholders vote for each director nominee and for Proposals 2, 3 and 4. We thank you for your support and your participation. And with that, I would now like to turn it over to Kim for a more detailed review of our second quarter financial results. Kim? Kimberly Pinson: Thanks, Tony, and good afternoon, everyone. Second quarter 2026 revenue was $1.5 million, up 64% sequentially and down 22% from the prior year quarter. The year-over-year decline primarily reflects the continued delay in the Department of War contract funding, while the sequential improvement included revenue from the new contract with the State of Texas. We anticipate continued improvement in our revenue performance throughout the remainder of 2026, driven by the sales of our critical infrastructure solution to additional U.S. government agencies and commercial markets, further expansion of our partnership with PortNexus, revenue recognition from our recently awarded contract to provide cyber threat intelligence and critical infrastructure protection to the State of Texas, the addition of recurring revenue from the VigilAigent acquisition, increasing commercial subscription revenue as newly signed channel and strategic partners roll out our solution across their end-user customer base, and opportunities to extend our cyber threat intelligence and critical infrastructure protection offerings to other states that have established and funded cyber commands. Second quarter gross profit margin was 66% compared to 76% from the prior year period. The decrease was primarily attributable to changes in revenue and product mix. Operating expenses in the second quarter of 2026 totaled $3.4 million, a decrease of $0.8 million sequentially and an increase of $0.1 million year-over-year. The decrease when compared to the first quarter relates primarily to the timing of audit fees, increased allocation of costs to cost of sales for work performed under the new State of Texas contract, and increased software development costs. The second quarter increase on a year-over-year basis reflects stepped-up investment in sales and sales support personnel, trade shows and enhanced brand and product marketing initiatives. Net loss for the second quarter of 2026 was $2.6 million or $0.13 per share compared to a net loss of $2 million or $0.10 per share for the second quarter of 2025. The increased net loss in the 2026 period was driven by a decline in revenues, primarily due to the delay in incremental funding under the DOW contract. Turning to the balance sheet. From a liquidity perspective, on June 30, 2026, we had cash and cash equivalents of $0.2 million. During the quarter, we entered into 2 separate note purchase agreements with Streeterville, pursuant to which we sold notes payable with an aggregate original principal amount of $3.7 million for cash proceeds of $3.3 million. The financing was undertaken to support ongoing operations and address short-term liquidity needs resulting from a delayed payment from a long-term government customer as well as increased operating losses associated with the delay in funding on the DOW contract. Looking ahead, we plan to continue to pursue additional capital through public or private financings, including the use of our at-the-market, or ATM, program. With that, I'd now like to turn the call back over to Tony for a few closing comments. Tony? Anthony Scott: Thank you, Kim. The second quarter of '26 will, I think, stand out as an inflection point for Intrusion. We entered the year focused on building recurring revenue, broadening our commercial reach and staying at the front edge of AI-driven cybersecurity. And with VigilAigent now part of the company, we've taken a real step towards all 3. We're building a stronger platform that serves customers across both commercial and government markets at a time when the threat landscape is expanding very quickly. The early results give us confidence in the strategic rationale, and our focus going forward will continue to remain on disciplined execution as we transition toward profitability and create value for our shareholders. And I'll close where I began by asking those of you who held shares as of the June 30 record date to vote your proxy ahead of our August 27 Annual Meeting. Your participation matters to this company's next chapter. And with that, I'll now turn the call over to the operator for Q&A. Operator: [Operator Instructions] Our first question is from Edward Woo with Ascendiant Capital. Edward Woo: Yes. Congratulations on the acquisition. My question is, is the team fully integrated? I know you mentioned that you guys are already developing products and you guys are already doing -- making sales pitch. Have you feel that the integration is pretty complete? Anthony Scott: Well, yes, let me describe what I mean by integration. So in terms of our commercial customers, what we sold prior to the acquisition was just Shield. And now what we can do and have done in a couple of cases is offer our customers not only Shield, but also the services and capability that VigilAigent has traditionally offered. And in a few of those cases, that additional capabilities mattered both for renewal or, in some cases, for a new contract. So the teams have been working together in that regard. And the combined offering is a pretty compelling offer at this particular point. As I said, though, on the call, we're going to operate VigilAigent as the commercial front end and go-to-market for our capabilities. So VigilAigent will include -- their offerings will include some aspects of Shield where it's relevant to their market. And for these larger government sort of custom consulting projects that involve things beyond Shield or beyond the capabilities of existing VigilAigent technology, we'll sell and market that through our traditional Intrusion sales force and channels and so on. So you should think of it as sort of commercial and then on the other hand, the customized, highly tailored larger contract kinds of modes. Edward Woo: Have you worked with VigilAigent before the acquisition? Anthony Scott: We hadn't worked directly with them, but we did look around as we were considering the opportunities in the market. And what impressed me was their skill set that they had already built in terms of AI capabilities. They're, what I would call, an AI-native managed service security provider. They're not a company that has an old set of stuff that they're trying to add AI on to. They've started with a bias towards artificial intelligence right from the get-go, and that provides a whole bunch of strategic advantages. So we're pretty excited about that sort of positioning, if nothing else. Edward Woo: That sounds good. And my last question is on future M&As. Should we be expecting you to be possibly announcing future acquisitions? Anthony Scott: Well, that is part of the strategy. We think in the market space that VigilAigent operates in, which is the managed service security provider space, there's already signs of massive consolidation going on. And because of their speed and cost advantages and efficacy advantages because of their approach, there's many, many, many opportunities for inorganic growth, but we also expect to grow organically. So it's a combination of the 2. Operator: The next question is from Howard Brous with Wellington Shields. Unknown Analyst: Tony, can you discuss PortNexus and where you stand? And what are the opportunities? Anthony Scott: Sure. So we're deployed in, let's see, 1, 2, 3, 4, 5 counties in Texas, 2 in Iowa, and 1 in Missouri during Q2. And as I mentioned on the call, we've been doing a ton of trade shows in Q2 and early Q3. And as I said on the call, the enthusiasm level of the trade shows is super high. So we had great exposure in Iowa to nearly half of the sheriffs' departments and school districts in the state and tons of leads that we're pursuing. So I'm pretty excited about the future for it, but it is a complex process, as I mentioned, because in every location, you got to get agreement between the school district and the sheriff to support the solution, and that usually takes multiple conversations. As I mentioned on the call, one of the accelerants is going to be an arrangement that PortNexus just made with a computer-aided dispatch software company that has hundreds of deployments in the Midwest part of the U.S. And so it will be a simpler add-on kind of capability with that arrangement versus having to start from scratch. So that, I think, is a very positive development just announced earlier this week. And I expect there'll be more of that kind of thing where we'll have further integrations that should speed up our deployment and widen the opportunities here. We're both pretty small companies. So covering every school district and every county and every sheriff's department in the country is a monumental task. But with some of these partners, we think we can accelerate faster. So pretty excited about that. Unknown Analyst: Can you give us a sense of the opportunity, say, for 2027 in terms of PortNexus? Anthony Scott: Hard to dimensionalize exactly, Howard, because it all depends on decisions that the school districts and sheriffs' departments make. But I expect that in '27, it should start to contribute meaningful revenue that we can talk about. That would be how I would dimensionalize it. Right now, it's not that interesting to talk about for Q2, but more later this year. Operator: [Operator Instructions] The next question is from [Jerry Yanowitz], private investor. Unknown Attendee: Tony, you mentioned several times combining the offerings, integrating the 2 firms. In terms of the increase in the ARR, the $6 million and subsequent increases in annual recurring revenue or cash flow, given your combination of the companies, how do you plan to differentiate what's due exclusively due to the VigilAigent? And what was due to the traditional Intrusion side of the company in terms of qualifying the...? Anthony Scott: Yes. Both are recurring revenue subscription-based activities. So it's pretty easy for us to track. The only tricky part will be if we do a combined offering or if we embed some Intrusion technology directly into the VigilAigent agent offering versus a stand-alone line item, if you will. And we'll just have to have some internal transfer pricing for that kind of sale. But it's not a huge challenge in that regard. Well within our capabilities. Unknown Attendee: You did mention combined offerings in your presentation. That's why I was asking. Anthony Scott: Right. Yes. No, we expect that we'll have that as well. Unknown Attendee: All right. And my second question is the unregistered shares that VigilAigent agent is getting. When are those shares going to be registered and eligible for sale? Kimberly Pinson: They will be eligible for sale after holding 6 months. So that's pursuant to Section 144. They need to hold them for 6 months, and then they can be sold. Unknown Attendee: And you haven't put any additional requirements on those shares internally? Kimberly Pinson: There are no additional requirements on those shares. No. Unknown Attendee: All right. And Tony, you've talked about in the past being cash flow positive by the fourth quarter. Do you anticipate being cash flow positive every quarter next year? Anthony Scott: I would say at this point, in '27, I can't tell you exactly the week in the quarter, but we expect to be cash flow positive in '27. And I think I'm thinking earlier rather than later. Unknown Attendee: So you're not committing to be cash flow positive in the first or second quarter of next year? Anthony Scott: Well, it depends on whether you're talking about run rate or for the full quarter, and that's a much more detailed discussion. So -- but we're definitely headed in the right direction there. Unknown Attendee: Am I not correct that previously, you said the run rate by the fourth quarter would be cash flow positive? Anthony Scott: We're still aiming for that, but it won't be cash flow positive for the fourth quarter, more than likely. Unknown Attendee: So do you want to commit to a quarter when you will be cash flow positive? Anthony Scott: Well, I don't want to commit. But my goal is Q1. Operator: At this time, there are no other questions in the queue. I'll turn the call back over to your host, Mr. Tony Scott, for closing remarks. Anthony Scott: All right. Well, thanks, everybody, for your participation. As I mentioned during our call earlier, it's very important to vote your shares. This transformation and vote will enable us to carry on the mission to achieve the goals that we've talked about. I'd also like to just mention that the work done by our teams, both on the VigilAigent side and on the Intrusion side, has been stellar over the last week and months, hope to get the deal done. And then once the agreement was signed, everybody has leaned in heavily and well, and the teams are working extremely well together. So from that perspective, I couldn't be happier. We recognize we've got a bunch of work to do, and we're working hard at it. But I did want to acknowledge that our teams have just really stepped up and leaned in and helped us get to where we are, and that gives me great confidence for where we're going. So thanks for everyone's help, and we'll talk to you next quarter. Operator: This concludes today's conference, and you may disconnect your lines at this time. Thank you for your participation. Before you buy stock in Intrusion, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and Intrusion wasn’t one of them. The 10 stocks that made the cut could produce monster returns in the coming years. 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As with all our articles, The Motley Fool does not assume any responsibility for your use of this content, and we strongly encourage you to do your own research, including listening to the call yourself and reading the company's SEC filings. Please see our Terms and Conditions for additional details, including our Obligatory Capitalized Disclaimers of Liability. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. Intrusion (INTZ) Q2 2026 Earnings Call Transcript was originally published by The Motley Fool

Our analysts just identified a stock with the potential to be the next Nvidia. Tell us how you invest and we'll show you why it's our #1 pick. Tap here. Restored quarterly revenue run rate through a 64% sequential increase, primarily driven by the commencement of the $4 million annual State of Texas contract. Acquired VigilAigent to transition from a stand-alone product company to an AI-native integrated platform provider, addressing the growing complexity of AI-driven threats. Attributed the year-over-year revenue decline to ongoing delays in the Department of War contract extension, which management believes is a shift in timing rather than a loss of opportunity. Segmented the go-to-market strategy by utilizing VigilAigent as the commercial business unit while Intrusion focuses on large-scale federal and state institutional partners. Identified more than $3 million in annualized cost synergies through the integration of operational efficiencies and combined technical teams. Leveraged the State of Texas engagement as a framework to pursue similar critical infrastructure protection contracts across other U.S. states and territories. Targeting a transition to profitability in 2027, with management aiming for cash flow positive status as early as the first quarter of that year. Expects revenue contribution from the PortNexus partnership to build over coming quarters as deployments ramp across law enforcement agencies and school districts. Anticipates continued revenue improvement driven by the addition of approximately $3.5 million in annual recurring revenue from the VigilAigent acquisition. Assumes Department of War activity will resume once the geopolitical situation in the Middle East begins to normalize and federal funding processes stabilize. Plans to pursue further inorganic growth through M&A, citing signs of massive consolidation within the managed service security provider space. Secured $3.3 million in net proceeds from note purchase agreements to address short-term liquidity needs caused by delayed government payments. Highlighted Proposal 3 in the upcoming annual meeting, which seeks shareholder approval to issue common stock above the 19.9% NASDAQ threshold for the VigilAigent transaction. Noted that VigilAigent's unregistered shares are subject to a six-month holding period under Section 144 before they become eligible for sale. Acknowledged the complexity of the public safety sales process, which requires multi-party agreements between school districts and local law enforcement. One stock. Nvidia-level potential. 30M+ investors trust Moby to find it first. Get the pick. Tap here. Management confirmed the teams are already working together, offering a combined suite of Shield technology and VigilAigent's managed services to secure renewals and new contracts. VigilAigent will serve as the commercial front end, while the traditional Intrusion sales force handles customized, high-value government consulting projects. Tony Scott indicated that further acquisitions are part of the strategy, noting that the managed service security provider space is ripe for consolidation. The company intends to balance this inorganic growth with organic expansion driven by their AI-native technological advantages. Management expects meaningful revenue contribution by 2027, though they declined to provide specific dimensions due to the dependency on local government decision cycles. A new integration with a computer-aided dispatch software company is expected to accelerate deployments by providing access to hundreds of existing agency installations. Management clarified that while they are aiming for a cash flow positive run rate by Q4 2026, the full quarter may not reach that status until 2027. Tony Scott stated his personal goal is to achieve cash flow positivity in Q1 2027, though he stopped short of a formal commitment.

Sequential revenue growth and the acquisition of VigilAigent enhance revenue quality and visibility while accelerating the Company's path to profitability PLANO, TX / ACCESS Newswire / August 11, 2026 / Intrusion Inc. (NASDAQ:INTZ) ("Intrusion" or the "Company"), a provider of AI-powered cyberattack prevention, threat intelligence, and managed cybersecurity solutions, announced today financial results for the second quarter ended June 30, 2026. Recent Financial & Business Highlights: Achieved sequential revenue growth of 64% during the second quarter of 2026. Completed the acquisition of VigilAigent to create an AI-native cybersecurity platform and improve the Company's top line by adding approximately $3.5 million in annual recurring revenue from multi-year contracts. Hosted a Technology & Innovation Day highlighting the combined capabilities power of Intrusion and VigilAigent's technologies. Signed a $4 million annual contract to deliver cyber threat intelligence and critical infrastructure protection to the state of Texas. VigilAigent Acquisition Integration Highlights Since Closing: Advanced integration of the combined organizations while maintaining customer support and service continuity. Identified more than $3 million of potential annualized operating cost synergies. Continued commercial momentum through customer renewals, new business, and partner engagement. Expanded the Company's strategic foundation with enhanced Ai capabilities, managed security expertise, and a broader commercial platform. "The second quarter was a pivotal one for Intrusion. We returned to sequential revenue growth and restored the revenue run rate achieved prior to the funding delay associated with the Department of War contract. We also made significant progress in positioning our business for future growth, as demonstrated by our recent acquisition of VigilAigent," said Tony Scott, President & Chief Executive Officer of Intrusion. "The addition of VigilAigent will be immediately accretive to our top line results by adding approximately $3.5 million of annual recurring revenue over the upcoming quarters from a diversified base of multi-year customer contracts. We believe that integrating VigilAigent's technology with Intrusion's will create a unified platform that expands our ability to serve larger enterprise customers, strengthens our competitive position, and drives strategic customer acquisition and long-term organic growth." Mr. Scott concluded, "As we look toward the second half of fiscal 2026, we are confident that we will begin to see a steady improvement in our financial results. The quality and visibility of our revenue has already improved, and we expect this trend to continue as we further expand our sales pipeline. This gives us great confidence that we remain on track to transition Intrusion to profitability in fiscal year 2027 and create value for our shareholders." Second Quarter Financial Results Revenue for the second quarter of 2026 was $1.5 million, representing an increase of 64% on a sequential basis and a decrease of 22% compared to the prior year period. Performance continued to be impacted by delays in the award of a key U.S. government contract. The Company remains optimistic that a meaningful portion of the associated revenue will be realized in future periods subject to final award timing and funding approvals. The gross profit margin was 66% for the second quarter of 2026, compared to 74% for the first quarter of 2026 and 76% for the prior year period. Gross margin varies based on product mix. Operating expense for the second quarter of 2026 was $3.4 million, a decrease of $0.8 million sequentially and a decrease of less than $0.1 million compared to the second quarter of 2025. Net loss for the second quarter of 2026 was $2.6 million, or $(0.13) per share, compared to a net loss of $2.0 million, or $(0.10) per share, in the second quarter of 2025. As of June 30, 2026, cash and cash equivalents were $0.2 million. Conference Call Intrusion's management will host a conference call today at 5:00 P.M. EDT. Interested investors can access the live call by dialing 1-888-506-0062, or 1-973-528-0011 for international callers, and providing the following access code: 848276. The call will also be webcast live (LINK) For those unable to participate in the live conference call, a replay will be accessible beginning tonight at 7:00 P.M. EDT until August 26, 2026, by dialing 1-877-481-4010, or 1-919-882-2331 for international callers, and entering the following access code: 54153. Additionally, a live and archived audio webcast of the conference call will be available at www.intrusion.com. About Intrusion Inc. Intrusion Inc. is a cybersecurity company based in Plano, Texas, specializing in advanced threat intelligence. At the core of its capabilities is a proprietary database that catalogs the historical behavior, associations, and reputational risk of IPv4 and IPv6 addresses, domain names, and hostnames. Built on years of gathering global internet intelligence and supporting government entities, this data forms the backbone of Intrusion's commercial solutions. Cautionary Statement Regarding Forward-Looking Information This press release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, which statements involve substantial risks and uncertainties. All statements other than statements of historical facts contained herein, including statements regarding our financial position; our ability to continue our business as a going concern; our business, sales, and marketing strategies and plans; our ability to successfully market, sell, and deliver our Intrusion Shield commercial product and solutions to an expanding customer base; are forward-looking statements. In some cases, you can identify forward-looking statements because they contain words such as "anticipate," "believe," "contemplate," "continue," "could," "estimate," "expect," "intend," "may," "plan," "potential," "predict," "project," "should," "target," "will," or "would" or the negative of these words or other similar terms or expressions. Forward-looking statements contained in this press release include, but are not limited to, such statements. You should not rely on forward-looking statements as predictions of future events. We have based the forward-looking statements contained in this press release primarily on our current expectations and projections about future events and trends that we believe may affect our business, financial condition, and operating results. The outcome of the events described in these forward-looking statements is subject to risks, uncertainties, and other factors described in our filings with the Securities and Exchange Commission, including but not limited to our most recent annual report on Form 10-K and quarterly reports on Form 10-Q, as the same may be updated from time to time. The forward-looking statements made herein relate only to events as of the date on which the statements are made. We undertake no obligation to update any forward-looking statements made in this press release to reflect events or circumstances after the date hereof or to reflect new information or the occurrence of unanticipated events, except as required by law. IR Contact: Alpha IR GroupMike Cummings or Josh [email protected] INTRUSION INC. AND SUBSIDIARIESCONDENSED CONSOLIDATED BALANCE SHEETS(In thousands, except par value amounts) INTRUSION INC. AND SUBSIDIARIESUNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS(In thousands, except per share amounts) SOURCE: Intrusion Inc. View the original press release on ACCESS Newswire

NetScout Systems (NTCT) came out with quarterly earnings of $0.52 per share, beating the Zacks Consensus Estimate of $0.39 per share. This compares to earnings of $0.34 per share a year ago. These figures are adjusted for non-recurring items. This quarterly report represents an earnings surprise of +33.33%. A quarter ago, it was expected that this provider of products that gauge network performance would post earnings of $0.46 per share when it actually produced earnings of $0.52, delivering a surprise of +13.04%. Over the last four quarters, the company has surpassed consensus EPS estimates four times. NetScout, which belongs to the Zacks Computer - Networking industry, posted revenues of $210.42 million for the quarter ended June 2026, surpassing the Zacks Consensus Estimate by 7.19%. This compares to year-ago revenues of $186.75 million. The company has topped consensus revenue estimates four times over the last four quarters. The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call. NetScout shares have added about 51.6% since the beginning of the year versus the S&P 500's gain of 12.8%. While NetScout has outperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock? There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately. Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions. Ahead of this earnings release, the estimate revisions trend for NetScout was mixed. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #3 (Hold) for the stock. So, the shares are expected to perform in line with the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. It will be interesting to see how estimates for the coming quarters and the current fiscal year change in the days ahead. The current consensus EPS estimate is $0.73 on $229.36 million in revenues for the coming quarter and $2.71 on $903.4 million in revenues for the current fiscal year. Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Computer - Networking is currently in the bottom 31% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1. Another stock from the same industry, Intrusion Inc. (INTZ), has yet to report results for the quarter ended June 2026. The results are expected to be released on August 11. This company is expected to post quarterly loss of $0.10 per share in its upcoming report, which represents no change from the year-ago quarter. The consensus EPS estimate for the quarter has remained unchanged over the last 30 days. Intrusion Inc.'s revenues are expected to be $1.5 million, down 19.8% from the year-ago quarter. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report NetScout Systems, Inc. (NTCT) : Free Stock Analysis Report Intrusion Inc. (INTZ) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

Accelerated investments in enterprise digitalization, AI-led network upgrades, higher demand for cloud computing, big data, network security and next-generation connectivity solutions are reshaping the outlook for participants in the  Zacks Computer - Networking industry. The proliferation of AI workloads and hyperscale data centers is accelerating investments in high-speed interconnects, optical networking and Ethernet switches. With the explosive growth in data traffic, demand for advanced routing, switching and network optimization solutions is expected to remain strong. Further, growing deployments of fiber networks, Wi-Fi 7 and secure networking solutions are expanding the addressable market. AI workloads require a major upgrade to observability infrastructure. There is a greater need for continuous monitoring of hybrid environments and tighter security amid rising attacks. This is likely to favor prospects for prominent industry players. Nonetheless, cautious IT spending amid heightened uncertainty over global macroeconomic conditions and volatile supply-chain dynamics due to tariff troubles continues to be concerning for the participants. The Computer Networking industry is housed within the broader Zacks Computer and Technology sector. For the second quarter of 2026, the tech sector’s earnings are expected to be up 93.6% as per the latest Earnings Preview report A few major networking companies are scheduled to report their quarterly results in the coming days. Let's see how things might have shaped up for these players, including Cisco Systems CSCO, RADCOM Ltd RDCM and Intrusion Inc INTZ, before their announcements. Cisco Systems is slated to report fourth-quarter fiscal 2026 results on Aug. 12, after the closing bell. In the last reported quarter, the company beat the Zacks Consensus Estimate by 2 cents. The Zacks Consensus Estimate for fiscal fourth-quarter revenues sits at $16.85 billion, up 14.9%. It generated revenues of $14.67 billion in the prior-year quarter. The consensus mark for earnings is currently pinned at $1.17 per share, indicating an increase of 18.2% from the year-ago quarter. The company is benefiting from the demand for AI Infrastructure solutions, with hyperscaler demand acting as a key catalyst. In the third quarter of fiscal 2026, AI infrastructure orders from hyperscalers came in at $1.9 billion, taking year-to-date total to $5.3 billion. The company raised expected hyperscaler AI orders to $9 billion and expected AI infrastructure revenues from hyperscalers to about $4 billion for fiscal 2026. Cisco’s networking portfolio, led by Silicon One, AI native security solutions and operating systems, is likely to have cushioned the fiscal fourth-quarter performance. Within its core Networking segment, Cisco has been witnessing robust traction across the enterprise data center switching business, as customers prepare their infrastructure for agentic applications and AI inferencing. Acacia business has also been witnessing strong growth as hyperscalers deploy both 400G and 800G coherent optics, with 800G pluggables gaining significant traction. Cisco Systems, Inc. price-eps-surprise | Cisco Systems, Inc. Quote However, our proven model does not conclusively predict an earnings beat for Cisco this time around. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the chances of an earnings beat. But that is not the case here. You can uncover the best stocks to buy or sell before they are reported with our Earnings ESP Filter. CSCO has an Earnings ESP of 0.00% and a Zacks Rank #3. You can see the complete list of today’s Zacks #1 Rank stocks here. Intrusion is scheduled to report second-quarter 2026 results on Aug. 11, after the market close. In the last reported quarter, the company reported a loss of 18 cents per share, wider than the Zacks Consensus Estimate of a loss of 9 cents. The Zacks Consensus Estimate for second-quarter revenues sits at $1.5 million, down 19.8%. It generated revenues of $1.87 million in the prior-year quarter. The consensus mark for the bottom line is currently pinned at a loss of 10 cents, the same as the year-ago quarter. The key development in the quarter was the closing of the acquisition of VigilAigent on June 29. VigilAigent is a cybersecurity managed security service provider from Tego Cyber. The transaction adds nearly $3.5 million in annual recurring revenues, more than 80 reseller partners and an installed base of 1,000 clients. Investors would be looking for updates on the recent acquisition as well as management’s outlook for consolidated revenues, costs and cash generation during the second half of 2026. On the last earnings call, management had highlighted increasing sales momentum supported by expanding Shield installed base and growing adoption of the P.O.S.S.E. program (via partnership with PortNexus). Intrusion has an Earnings ESP of 0.00% and a Zacks Rank #3. Intrusion Inc. price-eps-surprise | Intrusion Inc. Quote RADCOM is scheduled to report second-quarter 2026 results on Aug. 12, before the market opening. In the last reported quarter, the company beat the Zacks Consensus Estimate by a cent per share. The Zacks Consensus Estimate for second-quarter revenues sits at $12 million, down 32.1%. It generated revenues of $17.7 million in the prior-year quarter. The consensus mark for earnings is currently pinned at 20 cents per share, indicating a decline of 20% from the year-ago quarter. The company recently reported preliminary results for the second quarter and expects revenues to be roughly $12 million. Its quarterly revenue estimates are affected by delays in customer deployment that deferred purchasing decisions. Component cost inflation and supply issues are affecting buyers’ purchasing decisions. However, RDCM added that it did not face cancellations or competitive losses and considers these dynamics as timing considerations rather than demand changes. The company expects the delays to affect the timing of revenues for the remainder of 2026 and reduced its 2026 revenue outlook to $57-$63 million. Notably, RADCOM expects to remain profitable (on a non-GAAP basis), including these revenue headwinds, in 2026. RDCM has an Earnings ESP of 0.00% and a Zacks Rank #4 (Sell). Radcom Ltd. price-eps-surprise | Radcom Ltd. Quote Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Cisco Systems, Inc. (CSCO) : Free Stock Analysis Report Radcom Ltd. (RDCM) : Free Stock Analysis Report Intrusion Inc. (INTZ) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

PLANO, TX / ACCESS Newswire / July 27, 2026 / Intrusion Inc. (NASDAQ:INTZ) ("Intrusion" or the "Company"), a leader in cyberattack prevention solutions, will release its second quarter 2026 financial results on Tuesday, August 11, 2026, after market close. In conjunction with the report, Tony Scott, CEO, and Kimberly Pinson, CFO, will host a conference call at 5:00 p.m. Eastern Time to discuss the Company's financial results. Analysts and investors who would like to join the live call via teleconference are invited to dial in using the following information: Date: Tuesday, August 11, 2026Time: 5:00 p.m. ETUnited States (Toll-Free): +1- 888-506-0062International: +1- 973-528-0011Access Code: 848276 Webcast Registration: Link A telephone replay of the conference call will be available after the conference call through August 26, 2026. The replay can be accessed by dialing +1- 877-481-4010 and using the passcode 54153. International callers should dial +1- 919-882-2331 and enter the same passcode at the prompt. About Intrusion Inc. Intrusion Inc. is a cybersecurity company based in Plano, Texas, specializing in advanced threat intelligence. At the core of its capabilities is a proprietary database that catalogs the historical behavior, associations, and reputational risk of IPv4 and IPv6 addresses, domain names, and hostnames. Built on years of gathering global internet intelligence and supporting government entities, this data forms the backbone of Intrusion's commercial solutions. Cautionary Statement Regarding Forward-Looking Information This press release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, which statements involve substantial risks and uncertainties. All statements other than statements of historical facts contained herein, including statements regarding our financial position; our ability to continue our business as a going concern; our business, sales, and marketing strategies and plans; our ability to successfully market, sell, and deliver our Intrusion Shield commercial product and solutions to an expanding customer base; are forward-looking statements. In some cases, you can identify forward-looking statements because they contain words such as "anticipate," "believe," "contemplate," "continue," "could," "estimate," "expect," "intend," "may," "plan," "potential," "predict," "project," "should," "target," "will," or "would" or the negative of these words or other similar terms or expressions. Forward-looking statements contained in this press release include, but are not limited to, such statements. You should not rely on forward-looking statements as predictions of future events. We have based the forward-looking statements contained in this press release primarily on our current expectations and projections about future events and trends that we believe may affect our business, financial condition, and operating results. The outcome of the events described in these forward-looking statements is subject to risks, uncertainties, and other factors described in our filings with the Securities and Exchange Commission, including but not limited to our most recent annual report on Form 10-K and quarterly reports on Form 10-Q, as the same may be updated from time to time. The forward-looking statements made herein relate only to events as of the date on which the statements are made. We undertake no obligation to update any forward-looking statements made in this press release to reflect events or circumstances after the date hereof or to reflect new information or the occurrence of unanticipated events, except as required by law. IR Contact Alpha IR GroupMike Cummings or Josh [email protected] SOURCE: Intrusion, Inc. View the original press release on ACCESS Newswire

This article first appeared on GuruFocus. Release Date: May 14, 2026 For the complete transcript of the earnings call, please refer to the full earnings call transcript. Intrusion Inc (NASDAQ:INTZ) signed a significant new $4 million annual contract with the state of Texas, showcasing demand for its cybersecurity solutions. The company is seeing strengthening sales momentum, particularly with the broader adoption of the TOSI program and growth in its Shield installed base. Expansion of the Shield Cloud solution on AWS Marketplace and Microsoft Azure is expected to contribute to revenue growth in the coming quarters. The partnership with Port Nexus is progressing well, with ongoing deployments and strong engagement across multiple states. Intrusion Inc (NASDAQ:INTZ) is optimistic about transitioning to profitability by the end of fiscal year 2026, supported by strategic investments and expanding partnerships. First quarter revenue was $0.9 million, a 40% sequential decrease, primarily due to delays in a key U.S. Government contract. Operating expenses increased to $4.2 million, reflecting strategic investments and costs associated with critical infrastructure deployment. Net loss for the first quarter was $3.6 million, compared to a net loss of $2.1 million in the same quarter of the previous year. The delay in the Department of War contract extension has negatively impacted revenue recognition and financial results. Cash and cash equivalents were $1.4 million as of March 31, 2026, indicating a need for improved liquidity management. Warning! GuruFocus has detected 2 Warning Signs with INTZ. Is INTZ fairly valued? Test your thesis with our free DCF calculator. Q: Are you still providing services on the delayed Department of War contract, and how will the revenue be recognized once approved? A: Yes, we are still providing services. The government cannot retroactively pay for services not contracted, so revenue will be recognized from the point of contract approval going forward. The customer is satisfied with our solution, and we anticipate resolving this soon. - Tony Scott, CEO Q: Have you noticed any changes in enterprise or government spending on IT and cybersecurity, especially with the rise of AI? A: Spending appears to be increasing slightly. AI has heightened concerns about the ease of launching attacks, prompting a demand for advanced solutions. We expect this trend to continue throughout 2026, and we aim to capture a fair share of this market. - Tony Scott, CEO Q: Can you elaborate on the opportunity with Port Nexus and the deployment of your solutions? A: We have active deployments in Iowa and are expanding to other states. The enthusiasm is high, but adoption depends on local budget approvals. We are optimistic due to positive reception from schools and law enforcement. - Tony Scott, CEO Q: What are the margins for your business with Port Nexus, and how difficult is it to deploy your solutions? A: We license our technology to Port Nexus, resulting in nearly 100% margins for us. Deployment is quick, typically taking one to two days. Our direct costs are mainly marketing-related. - Tony Scott, CEO Q: Can you foresee sequential business improvement over the next several quarters, leading to profitability? A: We expect the business to be cash flow positive by the end of 2026. While Port Nexus will contribute, it is not the sole factor. We anticipate overall business improvement each quarter. - Tony Scott, CEO For the complete transcript of the earnings call, please refer to the full earnings call transcript.

Continued adoption of Shield technology supports the Company's expected transition to profitability in fiscal 2026 PLANO, TX / ACCESS Newswire / May 14, 2026 / Intrusion Inc. (NASDAQ:INTZ) ("Intrusion" or the "Company"), a leader in cyberattack prevention solutions, announced today financial results for the first quarter ended March 31, 2026. Recent Financial & Business Highlights: Secured a $4 million contract to deliver our cyber threat intelligence and critical infrastructure protection technology to a state government agency. Entered into a $3 million secured financing agreement to strengthen liquidity position and support near-term operating priorities. Launched the P.O.S.S.E (Protecting Our Sheriff's Security Everywhere) Program in February through a partnership with PortNexus that utilizes Shield On-Premise to help protect law enforcement from cyber threats. "Our first quarter results primarily reflect the timing impact of the previously disclosed contract extension delay related to our critical infrastructure technology with the Department of War that was driven by federal funding and procurement delays," said Tony Scott, CEO of Intrusion. "We expect to recover this revenue in future periods as federal funding resumes and procurement activity returns to more typical levels. Furthermore, we continue to remain confident that we will see further expansion of our critical infrastructure solution both domestically and internationally with the Department of War throughout 2026 and beyond." Mr. Scott concluded, "As we look ahead to the remainder of fiscal year 2026, we are optimistic that we will see an improvement in our financial results. This is supported by strengthening sales momentum, including broader adoption of the P.O.S.S.E Program through our partnership with PortNexus, and the recent award of a $4 million contract to provide our cyber threat intelligence and critical infrastructure protection solutions to a state government agency. These developments give us great confidence that Intrusion remains on track to achieve profitability by the end of the fiscal year and deliver value for our shareholders." First Quarter Financial Results Revenue for the first quarter of 2026 was approximately $0.9 million, representing a decrease of 50% on a year-over-year basis. Performance continued to be impacted by delays in the award of a key U.S. government contract. The Company remains optimistic that a meaningful portion of the associated revenue will be realized in future periods subject to final award timing and funding approvals. The gross profit margin was 74% for the first quarter of 2026, down slightly from the prior year period. Gross margin varies based on product mix. Operating expense for the first quarter of 2026 was $4.2 million, up $0.8 million compared to the first quarter of 2025. Net loss for the first quarter of 2026 was $3.6 million, or $(0.18) per share, which is down $1.5 million when compared to prior year performance. As of March 31, 2026, cash and cash equivalents were $1.4 million. In early April, the Company entered into a $3 million secured financing agreement, strengthening its liquidity position and supporting near-term operating priorities. The facility provides additional financial flexibility to execute on strategic initiatives. Conference Call Intrusion's management will host a conference call today at 5:00 P.M. EDT. Interested investors can access the live call by dialing 1-888-506-0062, or 1-973-528-0011 for international callers, and providing the following access code: 624002. The call will also be webcast live (LINK) For those unable to participate in the live conference call, a replay will be accessible beginning tonight at 7:00 P.M. EDT until May 28, 2026, by dialing 1-877-481-4010, or 1-919-882-2331 for international callers, and entering the following access code: 53875. Additionally, a live and archived audio webcast of the conference call will be available at www.intrusion.com. About Intrusion Inc. Intrusion Inc. is a cybersecurity company based in Plano, Texas, specializing in advanced threat intelligence. At the core of its capabilities is TraceCop, a proprietary database that catalogs the historical behavior, associations, and reputational risk of IPv4 and IPv6 addresses, domain names, and hostnames. Built on years of gathering global internet intelligence and supporting government entities, this data forms the backbone of Intrusion's commercial solutions. Its most recent solution is Intrusion Shield - a next-generation network security platform designed to detect and prevent threats in real time. In observe mode, Shield delivers analytical insights powered by Intrusion's exclusive data, helping organizations identify unseen patterns and previously unknown risks. In protect mode, it monitors traffic flow and automatically blocks known malicious and unknown connections from entering or exiting the network - providing a powerful defense against Zero-Day threats and ransomware. By integrating Shield into a network, organizations can elevate their overall security posture and enhance the performance of their broader cybersecurity architecture. Cautionary Statement Regarding Forward-Looking Information This press release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, which statements involve substantial risks and uncertainties. All statements other than statements of historical facts contained herein, including statements regarding our financial position; our ability to continue our business as a going concern; our business, sales, and marketing strategies and plans; our ability to successfully market, sell, and deliver our Intrusion Shield commercial product and solutions to an expanding customer base; are forward-looking statements. In some cases, you can identify forward-looking statements because they contain words such as "anticipate," "believe," "contemplate," "continue," "could," "estimate," "expect," "intend," "may," "plan," "potential," "predict," "project," "should," "target," "will," or "would" or the negative of these words or other similar terms or expressions. Forward-looking statements contained in this press release include, but are not limited to, such statements. You should not rely on forward-looking statements as predictions of future events. We have based the forward-looking statements contained in this press release primarily on our current expectations and projections about future events and trends that we believe may affect our business, financial condition, and operating results. The outcome of the events described in these forward-looking statements is subject to risks, uncertainties, and other factors described in our filings with the Securities and Exchange Commission, including but not limited to our most recent annual report on Form 10-K and quarterly reports on Form 10-Q, as the same may be updated from time to time. The forward-looking statements made herein relate only to events as of the date on which the statements are made. We undertake no obligation to update any forward-looking statements made in this press release to reflect events or circumstances after the date hereof or to reflect new information or the occurrence of unanticipated events, except as required by law. IR Contact: Alpha IR Group Mike Cummings or Josh Carroll [email protected] INTRUSION INC. AND SUBSIDIARIES CONDENSED CONSOLIDATED BALANCE SHEETS (In thousands, except par value amounts) INTRUSION INC. AND SUBSIDIARIES UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (In thousands, except per share amounts) SOURCE: Intrusion Inc. View the original press release on ACCESS Newswire

Cisco Systems (CSCO) came out with quarterly earnings of $1.06 per share, beating the Zacks Consensus Estimate of $1.04 per share. This compares to earnings of $0.96 per share a year ago. These figures are adjusted for non-recurring items. This quarterly report represents an earnings surprise of +1.92%. A quarter ago, it was expected that this seller of routers, switches, software and services would post earnings of $1.02 per share when it actually produced earnings of $1.04, delivering a surprise of +1.96%. Over the last four quarters, the company has surpassed consensus EPS estimates four times. Cisco, which belongs to the Zacks Computer - Networking industry, posted revenues of $15.84 billion for the quarter ended April 2026, surpassing the Zacks Consensus Estimate by 1.71%. This compares to year-ago revenues of $14.15 billion. The company has topped consensus revenue estimates four times over the last four quarters. The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call. Cisco shares have added about 28.9% since the beginning of the year versus the S&P 500's gain of 8.1%. While Cisco has outperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock? There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately. Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions. Ahead of this earnings release, the estimate revisions trend for Cisco was favorable. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #2 (Buy) for the stock. So, the shares are expected to outperform the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. It will be interesting to see how estimates for the coming quarters and the current fiscal year change in the days ahead. The current consensus EPS estimate is $1.08 on $15.79 billion in revenues for the coming quarter and $4.17 on $61.41 billion in revenues for the current fiscal year. Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Computer - Networking is currently in the top 32% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1. One other stock from the same industry, Intrusion Inc. (INTZ), is yet to report results for the quarter ended March 2026. The results are expected to be released on May 14. This company is expected to post quarterly loss of $0.09 per share in its upcoming report, which represents a year-over-year change of +18.2%. The consensus EPS estimate for the quarter has remained unchanged over the last 30 days. Intrusion Inc.'s revenues are expected to be $2.03 million, up 14.4% from the year-ago quarter. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Cisco Systems, Inc. (CSCO) : Free Stock Analysis Report Intrusion Inc. (INTZ) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research