Telos Corp (TLS) 2026 Q1 法說會逐字稿

Good day, and thank you for standing by. Welcome to the Telos Corporation first-quarter 2026 earnings conference call.

大家好，感謝您稍候。歡迎參加 Telos Corporation 2026 年第一季財報電話會議。

(Operator Instructions)

(接線員指示)

Please be advised that today's conference is being recorded. I would now like to turn the conference over to your speaker for today, Allison Phillipp. Please go ahead.

請注意，今天的會議將被錄音。現在我想把會議交給今天的發言人 Allison Phillipp。請開始。

Good morning. Thank you for joining us to discuss Telos Corporation's first-quarter 2026 financial results. With me today is Mark Bendza, Executive Vice President and CFO of Telos, and Mark Griffin, Executive Vice President of Security Solutions. Let me quickly review the format of today's presentation. Mark Bendza will begin with remarks on our first-quarter results and full year outlook.

各位早安。感謝各位加入我們，一同討論 Telos Corporation 2026 年第一季財務結果。今天與我一同出席的有 Telos 執行副總裁兼財務長 Mark Bendza，以及安全解決方案執行副總裁 Mark Griffin。我先快速說明今天簡報的流程。Mark Bendza 將先就第一季業績與全年展望發表談話。

We will then open the line for Q&A, where Mark Griffin, Executive .Vice President of Security Solutions, will also join us.

接著我們將開放問答時間，屆時安全解決方案執行副總裁 Mark Griffin 也將與我們一同參與。.

The first-quarter financial results were issued earlier today and are posted on the Telos Investor Relations website, where this call is being simultaneously webcast. Additionally, we have provided presentation slides on our Investor Relations website. Before we begin, we want to emphasize that some of our statements on this call, including all of those relating to 2026 company performance, plans and operations, are forward-looking statements and are made under the Safe Harbor Provisions of the federal securities laws.

第一季財務結果已於今日稍早發布，並已張貼於 Telos 投資人關係網站；本次電話會議亦同步以網路直播方式進行。此外，我們也在投資人關係網站提供了簡報投影片。在開始之前，我們要強調，本次電話會議中的部分陳述（包括所有與 2026 年公司表現、計畫與營運相關者）屬於前瞻性陳述，並依據聯邦證券法的「安全港條款」作出。

These statements are based on current expectations and assumptions that are subject to risks and uncertainties. Actual results could materially differ for various reasons, including the factors described in today's financial results summary and the comments made during this conference call and in our SEC filings. We do not undertake any duty to update any forward-looking statements.

這些陳述係基於目前的預期與假設，並受風險與不確定性影響。實際結果可能因各種原因而出現重大差異，包括今日財務結果摘要所述因素，以及本次電話會議與我們向 SEC 提交文件中的相關說明。我們不承擔更新任何前瞻性陳述的義務。

In addition, during today's call, we will discuss non-GAAP financial measures, which we believe are useful as supplemental and clarifying measures to help investors understand Telos' financial performance. These non-GAAP financial measures should be considered in addition to and not as a substitute for or in isolation from GAAP results.

此外，在今天的電話會議中，我們將討論非 GAAP 財務衡量指標；我們認為這些指標作為補充與釐清性衡量，有助於投資人理解 Telos 的財務表現。這些非 GAAP 財務衡量指標應與 GAAP 結果一併考量，而非取代 GAAP 結果，亦不應單獨使用。

You can find additional disclosures regarding these non-GAAP measures, including reconciliations with comparable GAAP results in our first-quarter results summary and on the Investor Relations portion of our website. Please also note that financial comparisons are year-over-year unless otherwise specified. The webcast replay of this call will be available on our company website under the Investor Relations link.

您可在我們的第一季結果摘要以及網站投資人關係專區中，找到關於這些非 GAAP 指標的更多揭露資訊，包括與可比 GAAP 結果的調節表。另請注意，除非另有說明，財務比較皆為年對年。本次電話會議的網路重播將於公司網站的投資人關係連結下提供。

With that, I'll turn the call over to Mark Bendza.

接下來，我把電話交給 Mark Bendza。

Thank you, Allison, and good morning, everyone. Before we begin, I'd like to address our April 29 announcement regarding our Chairman and CEO, John Wood. John is currently on a medical leave of absence, and we wish him a full and speedy recovery. In the interim, Independent Director, Fred Schaufeld, has assumed the role of Chairman of the Board.

謝謝你，Allison，各位早安。在開始之前，我想先說明我們 4 月 29 日關於董事長兼執行長 John Wood 的公告。John 目前正在醫療休假中，我們祝福他早日康復、迅速復原。在此期間，獨立董事 Fred Schaufeld 已接任董事會主席一職。

In addition, the company's three Executive Vice Presidents, General Counsel, Hutch Robbins, EVP of Security Solutions, Mark Griffin, and I have jointly assumed John's responsibilities to ensure seamless continuity of operations. This interim leadership structure is functioning as intended, and our teams remain fully aligned and focused on execution.

此外，公司三位執行副總裁、總法律顧問 Hutch Robbins、安全解決方案執行副總裁 Mark Griffin，以及我，已共同承接 John 的職責，以確保營運無縫銜接與持續性。此一臨時領導架構如預期運作，我們的團隊仍高度一致並專注於執行。

We continue to see strong engagement from our customers and partners and program execution across the business remains uninterrupted. Our priorities for 2026 remain unchanged, delivering strong revenue growth, expanding adjusted EBITDA margins, generating robust cash flow, and continuing meaningful share repurchases. Our first-quarter results reflect the continued transformation of Telos into a more scalable, profitable, and cash-generative business. And we made strong progress against each of these priorities during the quarter.

我們持續看到客戶與合作夥伴的高度投入，且全公司各項計畫的執行仍未受影響。我們 2026 年的優先事項維持不變：實現強勁營收成長、擴大調整後 EBITDA 利潤率、創造穩健現金流，並持續進行具實質意義的股票回購。我們第一季的結果反映 Telos 持續轉型為更具規模化、更高獲利能力且更能產生現金的企業。本季我們在上述各項優先事項上皆取得顯著進展。

With that, let's turn to slide 3. We're pleased to report another strong quarter with results exceeding the high end of our guidance range. Our outperformance was supported by strong TSA PreCheck enrolment activity, continued execution across our core programs and the benefits of our ongoing efficiency initiatives.

接著請看投影片第 3 頁。我們很高興回報又一個強勁季度，成果超出我們指引區間的上緣。我們的優於預期表現，主要受惠於 TSA PreCheck 強勁的註冊活動、核心專案的持續執行，以及我們持續推動效率提升措施所帶來的效益。

Total company revenue increased 56% year-over-year to $47.7 million, surpassing our guidance of $44 million to $45 million. GAAP gross margin was 36.4% and cash gross margin was 42.3%, both exceeding our expectations due to a favourable mix of higher-margin revenue streams and continued operational discipline across the business. As a reminder, given the breadth of our revenue streams, gross margins will fluctuate quarter-to-quarter based on mix.

公司總營收年增 56% 至 4,770 萬美元，超越我們 4,400 萬至 4,500 萬美元的指引。GAAP 毛利率為 36.4%，現金毛利率為 42.3%，兩者皆高於我們的預期，主要因較高毛利的營收來源占比提升，以及全公司持續的營運紀律所致。提醒各位，由於我們營收來源多元，毛利率將依組合而在各季之間波動。

On operating expenses, our continued focus on cost discipline, including the restructuring plan approved in Q4, drove strong profitability. Adjusted operating expenses came in approximately $400,000 better than guidance and were down $1.2 million year-over-year. As a result, adjusted EBITDA exceeded the high end of our range, reaching $7.9 million versus guidance of $4.5 million to $5 million. Adjusted EBITDA margin was 16.5%, a significant increase from 1.2% in the prior year period.

在營業費用方面，我們持續聚焦成本紀律（包括於第四季核准的重整計畫），帶動強勁獲利表現。調整後營業費用較指引約低 40 萬美元，且年減 120 萬美元。因此，調整後 EBITDA 超越我們區間上緣，達 790 萬美元，而指引為 450 萬至 500 萬美元。調整後 EBITDA 利潤率為 16.5%，較去年同期的 1.2% 大幅提升。

Turning to cash flow. Strong cash generation and disciplined working capital management remain key priorities. Operating cash flow was $8.7 million, and free cash flow was $6.4 million, representing a 13.4% free cash flow margin. This was our fifth consecutive quarter with a free cash flow margin above 12%, this reflects the increasing efficiency and scalability of our operating model as well as disciplined company-wide working capital management.

接著談現金流。強勁的現金創造能力與嚴謹的營運資金管理仍是關鍵優先事項。營運現金流為 870 萬美元，自由現金流為 640 萬美元，自由現金流利潤率為 13.4%。這是我們連續第五個季度自由現金流利潤率高於 12%；這反映我們營運模式效率與可擴展性提升，以及全公司對營運資金的紀律管理。

Our strong cash flow generation and liquid balance sheet provide us with flexibility to invest in growth initiatives while continuing to return capital to shareholders. During the quarter, we repurchased $2.2 million of stock or over 500,000 shares at an average price of $4.25 per share. Given the durability of our strong cash generation and our confidence in the long-term value of the business, we intend to accelerate repurchases in the second-quarter. Our capital allocation priorities remain consistent: invest in organic growth, maintain a strong balance sheet, and return capital to shareholders.

我們強勁的現金流創造能力與充裕的流動性資產負債表，使我們在持續回饋股東的同時，也能靈活投資於成長計畫。本季我們回購了 220 萬美元的股票，或超過 50 萬股，平均回購價格為每股 4.25 美元。鑑於我們強勁現金創造能力的持續性，以及我們對公司長期價值的信心，我們計畫在第二季加速回購。我們的資本配置優先順序維持一致：投資於有機成長、維持強健的資產負債表，並回饋資本給股東。

With that, let's turn to slide 4 to discuss our second-quarter guidance and full year outlook. For the second-quarter, we expect revenue growth of 22% to 28% year-over-year or $44 million to $46 million. We expect cash gross margin of approximately 39% and adjusted operating expenses to decline by roughly $1.3 million year-over-year. Adjusted EBITDA is expected to be between $5 million and $6 million, representing a margin of 11.4% to 13%.

那麼，讓我們轉到投影片 4，討論我們的第二季指引與全年展望。就第二季而言，我們預期營收年增 22% 至 28%，或介於 4,400 萬至 4,600 萬美元。我們預期現金毛利率約為 39%，且調整後營業費用將較去年同期約減少 130 萬美元。調整後 EBITDA 預期介於 500 萬至 600 萬美元，對應的利潤率為 11.4% 至 13%。

We also expect another quarter of strong cash flow, which we intend to deploy toward accelerated share repurchases. Turning to the full year. Our first-quarter performance reinforces our confidence in the trajectory of the business and positions us well against our full year objectives. At the same time, in alignment with our usual measured approach to guidance, we are reaffirming our revenue and adjusted EBITDA outlook.

我們也預期將再迎來一季強勁的現金流，並計畫將其用於加速股票回購。接著談全年。我們第一季的表現強化了我們對業務發展軌跡的信心，並使我們在達成全年目標方面處於有利位置。同時，依循我們一貫審慎的指引作法，我們重申營收與調整後 EBITDA 的展望。

We issued our full year outlook less than two months ago. And while we are encouraged by the momentum we're seeing, it remains early in the year, and we believe an additional quarter of performance will provide even greater visibility into full year trends. Based on first-quarter performance, we have updated certain assumptions within our full year model, including raising the low end of our cash gross margin expectations to partially reflect the margin strength recognized during the first-quarter.

我們在不到兩個月前才發布全年展望。儘管我們對目前看到的動能感到鼓舞，但現在仍是年初階段，我們相信再多一季的表現將能讓我們對全年趨勢有更高的能見度。基於第一季表現，我們已更新全年模型中的部分假設，包括上調我們對現金毛利率預期的下限，以部分反映第一季所展現的毛利率強勁表現。

We will continue to evaluate our outlook as the year progresses and look forward to providing an update following second-quarter results. Lastly, before I wrap up, I'd like to spend a few minutes on growth and new business opportunities. Since 2024, we have significantly grown our top line largely through new business wins. We continue to see strong customer engagement across our addressable markets and maintain a multibillion-dollar pipeline of potential opportunities where we believe our capabilities are well aligned with customer priorities.

我們將在年度推進過程中持續評估展望，並期待在第二季結果出爐後提供更新。最後，在我結束之前，我想花幾分鐘談談成長與新業務機會。自 2024 年以來，我們的營收大幅成長，主要來自新業務得標。我們持續在可服務市場中看到強勁的客戶互動，並維持一個數十億美元規模的潛在機會管線；我們相信自身能力與客戶優先事項高度契合。

Currently, we have proposals outstanding, representing nearly $500 million in total contract value. Our government customers ultimately determine the final timing of awards and may modify award dates based on their own timelines and requirements. We currently expect the government to make award decisions on these opportunities during the second half of 2026.

目前，我們仍有尚未定案的提案，合計總合約價值接近 5 億美元。我們的政府客戶最終將決定授標的最終時點，並可能依其自身時程與需求調整授標日期。我們目前預期政府將在 2026 年下半年就這些機會做出授標決策。

These submitted proposals span both our Security Solutions and Secure Networks segments with a heavy concentration in Security Solutions. Beyond these submissions, we will continue to actively develop and selectively advance additional opportunities from our pipeline. With that, let's wrap up on slide 5.

這些已提交的提案涵蓋我們的「安全解決方案」與「安全網路」兩個部門，其中以安全解決方案為主。除上述提交案之外，我們也將持續積極開發，並從管線中選擇性推進其他機會。那麼，讓我們在投影片 5 做個總結。

In summary, we delivered a strong start to the year with 56% revenue growth, a 16.5% adjusted EBITDA margin and a 13.4% free cash flow margin. Our second-quarter guidance reflects continued momentum, and we are focused on executing large programs while securing new business opportunities.

總結來說，我們以強勁表現開啟今年：營收成長 56%，調整後 EBITDA 利潤率 16.5%，自由現金流利潤率 13.4%。我們的第二季指引反映動能延續；我們將專注於執行大型專案，同時爭取新的業務機會。

In addition, disciplined cost management and working capital efficiency are translating growth into strong profitability and cash flow. We also plan to continue returning capital to shareholders while maintaining a strong and flexible balance sheet.

此外，嚴謹的成本管理與營運資金效率，正將成長轉化為強勁的獲利能力與現金流。我們也計畫在維持強健且具彈性的資產負債表之同時，持續回饋資本給股東。

With that, Mark, Griffin, and I are happy to take questions. Operator, please open the line for Q&A. Thank you.

那麼，Mark、Griffin 和我很樂意回答問題。接線員，請開放問答。謝謝。

(Operator Instructions)

(接線員指示)

Matthew Calitri, Needham.

Matthew Calitri，Needham。

Matt Calitri on from Needham. And great to see the strength in Security this quarter, and I see the press release quotes that primarily the expansion was due to large programs in Telos ID. Is there any more color you can give there on where you saw strength? And I guess, just general market sentiment?

我是 Needham 的 Matt Calitri。很高興看到本季安全業務的強勁表現；我也看到新聞稿引述，擴張主要是由 Telos ID 的大型專案所帶動。你能否再多分享一些你們在哪些方面看到強勢？以及我想了解一下整體市場情緒？

Matt, it's Mark Bendza speaking. So listen, we had a great quarter, clearly straight out of the gate for the year across the company overall, both in terms of program execution as well as ongoing discipline around expense management. The larger programs that we were referring to primarily reside in our Telos ID business. And that cuts across a number of programs, including we had a good quarter in TSA PreCheck.

Matt，我是 Mark Bendza。我們這一季表現非常好，顯然今年一開始就有很好的起步，整體公司在專案執行以及費用管理的持續紀律方面都表現出色。我們所提到的較大型專案主要在 Telos ID 業務之中。這涵蓋多個專案，包括我們在 TSA PreCheck 方面本季表現不錯。

Our DMDC program, which we also refer to as IT GEMS, performed very well. And the body of work that we refer to as confidential IT security work that we're performing for the federal government, that also had a good quarter. So really a broad-based strength, both in terms of program management and expense management and also cash flow, great quarter for cash flow as well.

我們的 DMDC 專案（我們也稱為 IT GEMS）表現非常好。此外，我們為聯邦政府執行、我們稱之為機密 IT 安全工作的那部分，也有不錯的一季。因此整體而言是廣泛的強勢表現，無論在專案管理、費用管理，以及現金流方面；現金流同樣是非常好的一季。

Awesome. Yes. No, that's great to hear. And then I guess with the strength, like why not take up the guide here. And I know you mentioned like one extra quarter of visibility still early in the year, totally understand that. But like with John taking the medical leave of absence and is there any sort of like extra embedded conservatism in the guide or a change in guidance philosophy with you guys taking the helm there?

太棒了。是的。很高興聽到。那接著想問，既然表現這麼強，為什麼不把指引上調？我知道你提到仍在年初、需要再多一季的能見度，我完全理解。但像是 John 目前請了醫療假，是否使得指引中額外內含一些保守因素，或是你們接手後在指引哲學上有所改變？

Yes. So let me unpack that a little bit. So first, with respect to John, first and foremost, our focus is on supporting him and wishing him a full recovery. Operationally, the transition has been very smooth. Hutch, Griff, and I have worked together for several years now. We've been attached to hip for several years. And so for us, it's business as usual in terms of working very closely together.

是的。我來稍微拆解一下。首先，關於 John，最重要的是我們專注於支持他，並祝他早日完全康復。在營運層面，交接非常順利。Hutch、Griff 和我已經合作好幾年了。我們多年來幾乎形影不離。因此對我們而言，在緊密合作方面一切如常。

Customer engagement, execution, employee alignment all remain very strong. We're not seeing any disruption in the business and strategic priorities remain unchanged. We have our marching orders, and we're executing the plan. You're seeing that in the performance we're announcing today.

客戶互動、執行力、員工一致性都仍然非常強。我們沒有看到任何業務上的干擾，策略優先事項也維持不變。我們有明確的行動指令，並正在執行計畫。你們今天看到我們公布的表現就是證明。

Regarding guidance, listen, it's a fair question. It's something we put a lot of thought into. We're very pleased with the first-quarter performance across the entire portfolio, as I was describing earlier. The first-quarter positions us really well against our full year outlook. But that said, we also want to remain disciplined about how we manage that outlook. And we issued full year guidance on March 16.

關於財測指引，聽著，這是個合理的問題。這是我們投入很多心力思考的事情。如同我先前所描述的，我們對整個投資組合第一季的表現感到非常滿意。第一季的表現讓我們在達成全年展望方面處於非常有利的位置。但話雖如此，我們也希望在管理該展望時保持紀律。而我們已於3月16日發布全年指引。

That's less than two months ago. It's kind of a peculiar aspect of the calendar, fourth-quarter earnings are announced unusually late in the quarter and then first-quarter earnings are reported at the usual time. So there's very little time that passes between the fourth-quarter announcement where we set our initial outlook and first-quarter guidance.

那距今還不到兩個月。這算是日曆上的一個有點特殊之處：第四季財報通常在該季相對偏晚才公布，而第一季財報則在正常時間公布。因此，從我們在第四季公告中設定初始展望到第一季指引之間，時間間隔非常短。

So we feel it's only prudent to lock in an additional quarter of performance before we formally revise revenue and adjusted EBITDA estimates for the year. And if you look back to 2023 was the prior -- the previous year where we announced a full year outlook. And that year, we set guidance on the fourth-quarter call.

因此，我們認為在正式調整今年的營收與調整後EBITDA預估之前，先鎖定再多一季的業績表現才是審慎之舉。如果回顧，2023年是我們先前——也就是前一年——宣布全年展望的年度。而那一年，我們是在第四季電話會議上設定指引。

First-quarter call, we had a big beat and we reaffirmed. Second-quarter call, we beat and raised. Third-quarter call, we beat and raised. And then the final fourth-quarter call, we beat again. So it's an approach to a full year outlook that we think serves us well.

第一季電話會議，我們大幅超預期並重申指引。第二季電話會議，我們超預期並上調指引。第三季電話會議，我們超預期並上調指引。然後在最後的第四季電話會議，我們又再次超預期。所以，這是一種我們認為對全年展望管理很有幫助的方法。

And sorry, I should have led with this, but our thoughts are with John, too, and wish him a speedy recovery.

另外抱歉，我應該先說這個，我們也掛念John，並祝他早日康復。

Erik Suppiger, B. Riley Securities.

Erik Suppiger，B. Riley Securities。

Congrats on a good quarter, and please pass along our best wishes for John. Comment a little bit on the environment for the TSA PreCheck, if you would. Have increases in fuel prices and travel costs made any difference in terms of demand for enrolment or do you think that's a risk?

恭喜本季表現不錯，也請代我們轉達對John的誠摯祝福。如果可以的話，請稍微談談TSA PreCheck的環境。燃油價格與旅行成本上升，是否對申辦需求造成任何影響？或者你認為這會是一項風險？

And then secondly, can you talk a little bit about what your expectations are for seasonality in that business?

第二，能否談談你對該業務季節性的預期？

So on PreCheck, listen, PreCheck is an important program for us. It's one of several large programs within the company. We expect it to be an important growth driver for us for the year as it was in the quarter. No, we haven't seen any impact from higher fuel prices. As a matter of fact, enrolments are performing very well year-over-year, both in the first-quarter as well as so far here in the second-quarter.

關於PreCheck，聽著，PreCheck對我們而言是一個重要的計畫。它是公司內數個大型計畫之一。我們預期它今年將如同本季一樣，成為我們的重要成長動能。沒有，我們尚未看到燃油價格上升帶來任何影響。事實上，無論在第一季或截至目前的第二季，申辦量年增表現都非常強勁。

Can you comment about seasonality in that business?

你能評論一下該業務的季節性嗎？

Sure. Yes. So seasonality, typically, we see enrolment as being seasonally lower in the second half. That's kind of the trend we've seen for the last couple of years. And our base case is we would expect that again this year.

當然。是的。就季節性而言，通常我們會看到下半年申辦量在季節性上較低。這是我們過去幾年看到的趨勢。而我們的基本情境是，今年也會再次出現這種情況。

Okay. And then any comments about the software contribution from Xacta in the quarter?

好的。那麼，關於本季Xacta的軟體貢獻，有沒有任何評論？

Contribution was about flat year-over-year. I'll maybe turn to Mark, if you'd like to provide some comments on Xacta AI and how we're trending there.

貢獻大致與去年同期持平。我可能把問題交給Mark，如果你願意的話，請就Xacta AI以及我們目前的進展提供一些評論。

Sure, Erik, Mark Griffin. So we have currently sold and installed over 400 licenses of Xacta AI. We initiated interest and adoption within our existing installed base and expect additional sales within the intelligence community, the federal, civilian government, and Department of War. So to date, we have installed and operated live production pilots at multiple large intelligence community agencies, the Department of War elements and in the banking community.

好的，Erik，我是Mark Griffin。目前我們已售出並安裝超過400套Xacta AI授權。我們已在既有裝機客戶中啟動興趣與採用，並預期在情報界、聯邦文職政府以及戰爭部（Department of War）將有額外銷售。截至目前，我們已在多個大型情報機構、戰爭部相關單位以及銀行業，安裝並運行上線的生產試點。

In addition, we have participated in numerous market surveys, demonstrations with both executives and cybersecurity matter experts within these stakeholder groups. In general, the response has been very strong, and we are anticipating numerous RFPs later in the year. So we're bullish on the progress to date.

此外，我們也參與了多項市場調查，並在這些利害關係人群體中，與高階主管及資安領域專家進行多次展示。整體而言，回應非常強勁，我們預期今年稍晚會有多個RFP（徵求提案）釋出。因此，我們對目前的進展持樂觀態度。

Nehal Chokshi, Northland.

Nehal Chokshi，Northland。

Congratulations on a great quarter. Our thoughts are with John, hoping him a speedy recovery as well. Questions are on the pipeline. Given that you are signalling strong confidence in the business with accelerating share buybacks, sounds like that's twofold. One, the core businesses are performing well.

恭喜有一個非常出色的季度。我們也掛念John，希望他早日康復。我的問題是關於案源管線（pipeline）。鑑於你們透過加速庫藏股回購來釋放對業務的強烈信心，聽起來有兩個層面。第一，核心業務表現良好。

But is it fair to say that the $500 million of pipeline of award decisions that you expect to be made in 2026, you feel like has a higher probability of win rates than what you would typically assume for awards that are at that stage? Is that correct?

但是否可以說，你們預期在2026年做出授標決策的5億美元案源管線，其得標機率高於你們通常對處於該階段的標案所假設的水準？是這樣嗎？

Yes. So Nehal, I think the way I would categorize it is a good chunk of the submitted and pending proposals are aligned to a body of work that we think we're well positioned on. We have a good track record in, well aligned with our capabilities. And it's kind of a mission set that I would say is maybe a newer mission set for the government and one that we've been involved in at a pretty early stage here with our prime partners and the government.

是的。Nehal，我想我會這樣歸類：相當一部分已提交且待決的提案，與一系列我們認為自己具備良好競爭位置的工作內容相契合。我們在這方面有良好的實績，也與我們的能力高度匹配。而且我會說，這類任務集合可能是政府較新的任務領域之一；我們也在相當早期就與我們的主承包夥伴（prime partners）以及政府一起參與其中。

So we feel good about it. Of course, ultimately, the government controls the timing of awards. And so our current estimate is that these are awards that we'll hear decisions on in the second half. But again, ultimately, the government, of course, controls the timing.

所以我們對此感覺良好。當然，最終授標時程由政府掌控。因此我們目前的估計是，這些標案的決策我們會在下半年聽到結果。但再次強調，最終時程當然由政府掌控。

And when you refer to prime partners, this is inclusive of the DMDC prime partner?

當你提到主承包夥伴時，這也包含DMDC的主承包夥伴嗎？

No. These are -- this is a different set of proposals.

不是。這些是——這是一組不同的提案。

Got it. Okay. Is there any bid that represents more than 10% of that $500 million of outstanding proposals that you expect to be awarded in 2H '26?

了解。好的。在你們預期於 2026 年下半年獲得授標的 5 億美元未決提案中，是否有任何一個投標案占比超過 10%？

There are two that are around $90 million, and then there are a couple that are small, maybe around $3 million. And then the rest are in a similar size of a few tens of millions.

有兩個大約是 9,000 萬美元，另外還有幾個比較小，可能約 300 萬美元。其餘的規模相近，大概是數千萬美元的等級。

Got it. And these are typically five-year contracts that you're bidding on, correct?

了解。而你們投標的這些通常是五年期合約，對嗎？

These are a little shorter typically. Well, it's a mix, but the lion's share of them, I'd say, are like two years.

這些通常會短一些。嗯，是混合的，但其中占大宗的，我會說大概是兩年期。

Got it. Okay. Great. My last question is, now that you guys are at 500 stores on TSA PreCheck -- is market share now at your maximum level that you would expect? Or is there a lot more to go? And if so, how will you get there?

了解。好的。很好。我最後一個問題是，現在你們在 TSA PreCheck 已經有 500 家門市——你們的市占率是否已達到你們預期的最高水準？還是還有很大的成長空間？如果有，你們將如何達成？

Yes. So there's more growth to be had in that program, I think, really through a couple of ways. First, continuing to optimize volume in the locations that we have opened today and then also continuing to explore partnerships in other parts of the country.

是的。所以我認為那個計畫還有成長空間，主要透過幾種方式。第一，持續在我們目前已開設的據點中最佳化量能；第二，也持續探索在全國其他地區的合作夥伴關係。

Okay. And you did announce a couple of new types of partnerships during the quarter, one through university, one directly in an airport. Is there additional partnerships beyond those that you're contemplating?

好的。而你們確實在本季宣布了幾種新型態的合作夥伴關係，一個是透過大學，一個是直接在機場。除了這些之外，你們是否還在考慮其他合作夥伴關係？

Yes. We are contemplating others. And there is another pilot that we have underway with a relatively modest number of locations that we're currently testing out with another partner.

是的。我們正在考慮其他合作。另外，我們也正在與另一個合作夥伴進行一項試點計畫，目前在相對少量的據點進行測試。

Rudy Kessinger, D.A. Davidson.

Rudy Kessinger，D.A. Davidson。

Mark, well, firstly, certainly, my thoughts for John as well and wishing him a speedy recovery. Mark, clearly understand your comments, it's been less than two months since you gave the initial full year guide. Putting aside the fact that you didn't tweak the full year guide at all despite the Q1 upside, it's pretty much implied in the second half that Security Solutions growth dips into the high single-digit range, total revenue growth dips into the low single-digit range.

Mark，首先，我也同樣惦記 John，並祝他早日康復。Mark，我完全理解你的評論，距離你給出最初的全年指引還不到兩個月。先不談你在第一季優於預期的情況下仍完全沒有調整全年指引，從下半年來看，幾乎已隱含 Security Solutions 的成長會下滑到高個位數區間，總營收成長會下滑到低個位數區間。

What is the likelihood that some of those new business awards in the second half would contribute meaningful revenue upside this year? Or would anything awarded in the second half likely contribute revenue mostly in 2027?

下半年若有一些新業務得標，今年對營收帶來顯著上行貢獻的可能性有多大？或者，下半年得標的案子是否大多會在 2027 年才主要貢獻營收？

Yes. So yes, listen, we have a pretty substantial portfolio of proposals that are submitted and pending award. If one or two of those are awarded in the second half and those programs start on time, there's a fair amount of revenue in a lot of those proposals that are pretty front-end loaded to the first couple of months. And so yes, we could get some meaningful contribution from those proposals if they're awarded in the second half.

是的。所以，是的，聽著，我們有相當可觀的一批提案已提交並在等待授標。如果其中一兩個在下半年得標且專案如期啟動，很多提案的營收在前端（前幾個月）占比相當高，特別集中在最初一兩個月。因此，是的，如果它們在下半年得標，我們可能會從這些提案中獲得一些有意義的貢獻。

Got it. Okay. And then on free cash flow, just any color on expectations for the remainder of the year? And then with the increased pace of buybacks, I guess, any kind of further details you can provide on that, maybe just relative to the pace of buybacks in Q1 or the Q2 through Q4 last year. Should we maybe expect to bump back up to that kind of $4 million to $6 million range Q2 to Q4 last year or more or less? Just any further color would be appreciated.

了解。好的。接著關於自由現金流，能否提供一些對今年剩餘期間的預期說明？另外，隨著回購步伐加快，我想請問你能否提供更多細節，例如相較於第一季的回購速度，或相較於去年第二季到第四季的回購速度。我們是否可以預期回到去年第二季到第四季每季約 400 萬到 600 萬美元的區間，或更高或更低？任何進一步的說明都將不勝感激。

Sure. Yes. So we did a free cash flow margin of 13.4% this quarter. We did actually coincidentally 13.4% in the fourth-quarter of last year. It's our fifth consecutive quarter over 12%. So I would expect free cash flow margin to continue in that kind of lower double-digit margin level.

當然。是的。我們本季自由現金流利潤率為 13.4%。巧合的是，去年第四季也是 13.4%。這是我們連續第五個季度超過 12%。因此我預期自由現金流利潤率將持續維持在較低的雙位數利潤率水準。

And then we're currently managing to a cash balance of approximately $50 million, and we'll continue to do that. So as we generate cash flow, our intention is to buy back stock with that free cash flow while managing to approximately a $50 million cash balance.

另外，我們目前將現金餘額管理在約 5,000 萬美元，並會持續如此。因此，隨著我們產生現金流，我們的意圖是在將現金餘額維持在約 5,000 萬美元的同時，用這些自由現金流回購股票。

And there are no more questions in the queue. I would like to turn the call back over to Mark Bendza for closing remarks. Please go ahead.

目前隊列中已沒有更多問題。我想把電話交回給 Mark Bendza 作結語。請開始。

Thank you, operator, and thanks to everyone for joining us today. We're pleased with our strong start to the year and believe our results reflect continued progress in building a more profitable, cash-generative, and scalable business.

謝謝接線員，也感謝各位今天加入我們。我們對今年強勁的開局感到滿意，並相信我們的成果反映出我們在打造更高獲利、更能產生現金流、且更具可擴展性的業務方面持續取得進展。

We look forward to updating you next quarter. In the meantime, we hope to speak with many of you at the Needham Technology Conference on May 14 and the Northland Growth Conference on June 23. Thank you.

我們期待在下個季度向各位更新近況。在此期間，我們希望能在 5 月 14 日的 Needham 科技大會，以及 6 月 23 日的 Northland 成長大會上與各位中的許多人交流。謝謝。

Thank you so much for joining today's program. You may now disconnect.

非常感謝各位參與今天的節目。您現在可以掛線。