Telos expanded its TSA PreCheck enrollment centers to 415 locations across 40 states, including Puerto Rico, representing a 43% increase since May 2025.
The company aims to reach 500 enrollment locations in 2025, indicating aggressive growth in the program.
Despite COVID-related decline in renewal volume, new enrollments are increasing due to the expanded network, supporting the company's growth trajectory.
Adjusted EBITDA was a $400,000 profit, outperforming guidance which forecasted a loss between $2.1 million and $600,000.
GAAP gross margin was 33.2%, and cash gross margin was 38.4%, both within guidance ranges but lower year-over-year due to revenue mix.
Operating cash flow was $7 million, and free cash flow was $4.6 million, representing a 12.9% free cash flow margin for the quarter.
Security Solutions accounted for approximately 90% of total revenue and was the primary driver of growth.
Telos reported second quarter 2025 revenue of $36 million, a 26% year-over-year increase, exceeding guidance of $32.5 million to $34.5 million.
Year-to-date free cash flow was $8.4 million or 12.6% margin, with significant improvements driven by revenue growth, cost discipline, and working capital management.
The Eighth U.S. Circuit Court vacated the FCC's top 4 prohibition rule, a significant regulatory shift for broadcasters, with a 90-day assessment period before the rule takes effect.
The court's decision indicates that the FCC lacks authority to tighten existing ownership rules, potentially allowing broadcasters more scale in local markets.
TEGNA views these regulatory changes as a positive step forward, providing the company with a wider range of strategic options in an evolving landscape.
Management emphasizes the importance of staying focused on operational priorities while closely monitoring regulatory progress.
The sale involved extensive negotiations over several years, highlighting a major strategic pivot for the company.
The transaction included spectrum assets, which are expected to be monetized further through upcoming sales to AT&T and Verizon, projected to generate $2 billion in proceeds.
The completion of this sale is seen as a key milestone in the company's transformation and focus on infrastructure assets.
Record-Breaking Q2 Performance and Customer Growth
Q2 was the greatest in T-Mobile history for growth, with record postpaid phone nets, total postpaid net additions, and gross additions, all in double digits YoY.
Customer share increased across all cohorts, including rural markets, with momentum in port-in leadership and customer quality improving, ARPA growth over 5%.
New rate plans launched in April significantly increased premium segment adoption, with more than double the rate of Go5G Next plans a year ago, and up over 50% in one quarter.
Dafinchi