Telos (TLS) Q2 FY26 earnings call

Telos delivered a strong second quarter, surpassing revenue and adjusted EBITDA guidance, driven by robust performance in Telos ID and disciplined execution. The company demonstrated consistent cash flow generation and strategically decided to phase out a low-margin software revenue stream, which is expected to significantly improve future gross margins. Management remains focused on profitable growth and capital allocation, with a substantial pipeline of government opportunities pending award decisions.