Cycurion, Inc. (NASDAQ:CYCU) ("Cycurion" or the "Company"), a leading AI-driven, tech-enabled cybersecurity solutions provider, today releases the following Letter to Shareholders from Kevin Kelly, Chairman and Chief Executive Officer.

Dear Valued Shareholders,

Cycurion's first obligation is to protect and build shareholder value, and to maintain our listing through sustainable, fundamentals-driven performance rather than short-term price optics. After careful deliberation, the Board of Directors and Management have determined that a 7-for-1 reverse stock split is not in the best interest of shareholders at this time. Our focus is on growing the business, and management expects that continued growth will, over time, be reflected in the price of the stock. Management further believes that pursuing a reverse split now would not protect shareholders and would divert the Company from the work that creates value. Based on the Company’s prior experience, the trading record we have analyzed, and the evidence we have collected and continue to collect, management concluded that another reverse split carried a substantial risk of harming shareholders while failing to resolve the underlying issues.

Steps We Have Taken to Build the Business

Our decision begins with a simple premise: the most reliable way to protect and grow shareholder value is to build a stronger, more profitable company — and that is where management is concentrating its efforts. Over the past year we completed two strategic acquisitions: Digital Ally, which contributed approximately $5.1 million in revenue, and Secuvant, which contributed approximately $2.5 million — each expanding our cybersecurity platform, deepening customer relationships, and adding recurring, high-value services we can cross-sell across the base. We grew organic revenue to approximately $15.5 million and lifted the Company’s annual revenue run rate to approximately $28 million. We secured a new ten-year contract valued at $58 million and built approximately $8 million of contracted backlog, giving the Company multi-year revenue visibility. The organization is focused on integrating those acquisitions, tightening operating discipline, and prioritizing the recurring, higher-margin work that we believe drives durable profitability.

In other words, the business continues to expand while management works to strengthen the Company’s position. Continued growth — not financial engineering — ultimately builds shareholder value. The Company’s operating progress will be reflected in the share price over time.