Telos Corporation (TLS): History, Ownership, Mission, How It Works & Makes Money

Ever wondered about the company securing the world's most sensitive data? Telos Corporation (TLS), a key player in cyber, cloud, and enterprise security solutions, reported full-year 2024 revenues. But with awards on new programs potentially worth up to $525 million over five years, how does Telos operate and generate revenue? Keep reading to explore Telos Corporation's history, ownership structure, mission, and its strategies for making money in the cybersecurity landscape.

Telos Corporation (TLS) History

Telos Corporation Founding Timeline

Year established

The company was originally established in 1969.

Original location

The company was founded in Vienna, Virginia.

Founding team members

The founders were William B. Hoover and John B. 'Jack' Wood, Jr.

Initial capital/funding

Initially capitalized with $50,000.

Telos Corporation Evolution Milestones

Telos Corporation Transformative Moments

• Rebranding and Strategic Acquisitions: The transition from C3, Inc. to Telos Corporation in 1997, marked a significant shift in the company’s identity and strategic focus. This was further amplified by key acquisitions that broadened its service portfolio and market reach.
• Product Innovation with Xacta: The development and launch of Xacta IA Manager in 2002 was a transformative moment. Xacta became a cornerstone of their offerings, establishing them as a leader in cybersecurity and compliance automation.
• Private Equity Investment: The acquisition by Comvest Partners in 2014 provided Telos with the financial backing and strategic guidance needed to accelerate growth. This period saw significant investments in technology and market expansion.
• Initial Public Offering (IPO): Going public on the NASDAQ in 2020 was a pivotal moment, providing substantial capital and enhancing the company's profile. This move supported further investments in growth initiatives and solidified its position in the market.

For more detailed insights into the company's financial standing, consider reading: Breaking Down Telos Corporation (TLS) Financial Health: Key Insights for Investors

Telos Corporation (TLS) Ownership Structure

Understanding the ownership structure of Telos Corporation provides insights into who controls the company and how its governed. A clear view of ownership helps stakeholders understand the distribution of power and potential influences on company decisions.

Telos Corporation's Current Status

Telos Corporation is a publicly traded company, meaning its shares are available for purchase on the stock market. It is listed on the NASDAQ under the ticker symbol TLS.

Telos Corporation's Ownership Breakdown

Understanding the ownership structure of Telos Corporation (TLS) involves identifying major shareholders and their respective stakes. Institutional investors, company insiders, and retail investors all play a role in shaping the ownership landscape. Here is a general overview of the ownership composition of Telos Corporation:

Telos Corporation's Leadership

The leadership team is crucial to the strategic direction and operational management of Telos Corporation. Key figures include:

• John B. Wood: Chairman & Chief Executive Officer
• Michele F. Nakazawa: Executive Vice President & Chief Financial Officer
• Andrew J. Small: Executive Vice President & Chief Strategy Officer

These individuals, along with other members of the executive team, are responsible for setting the company's strategic objectives, overseeing its financial performance, and guiding its day-to-day operations.

Learn more insights into Telos Corporation's investors: Exploring Telos Corporation (TLS) Investor Profile: Who’s Buying and Why?

Telos Corporation (TLS) Mission and Values

Telos Corporation aims to provide innovative solutions that enable its customers to confidently operate and protect their critical assets and information. The company's core values emphasize integrity, customer focus, innovation, and teamwork.

Telos Corporation's Core Purpose

Official mission statement

Telos Corporation's mission statement is: To protect the world’s most demanding enterprises with innovative cybersecurity solutions.

• Telos focuses on delivering solutions that address the complex security challenges faced by organizations with high security requirements.
• The company aims to provide cutting-edge cybersecurity technologies and services.
• Telos is dedicated to helping its clients maintain a strong security posture and protect their valuable assets.

Vision statement

Telos Corporation's vision is to secure a connected world.

• Telos envisions a future where connectivity is secure and reliable.
• The company is committed to developing solutions that enable secure communication and collaboration in an increasingly interconnected world.
• Telos strives to be a leader in providing innovative security solutions that support this vision.

Company slogan/tagline

Telos Corporation's tagline is: Secure.Comply.Connect.

• This tagline encapsulates the core capabilities and value proposition.
• Secure highlights the company's focus on providing security solutions.
• Comply emphasizes its expertise in helping organizations meet regulatory requirements.
• Connect reflects its commitment to enabling secure connectivity and communication.

For more in-depth information, you can visit: Mission Statement, Vision, & Core Values of Telos Corporation (TLS).

Telos Corporation (TLS) How It Works

Telos Corporation specializes in providing cybersecurity and information technology solutions and services, primarily for government and commercial organizations, focusing on secure mobility, secure network management, and identity management.

Telos Corporation's Product/Service Portfolio

Telos Corporation's Operational Framework

Telos operates through the following key processes:

• Solution Development: Telos designs and develops its software products and service offerings to meet specific customer needs, especially in highly regulated industries.
• Sales and Marketing: The company markets its products and services through a direct sales force and channel partners, focusing on building long-term relationships with government and commercial clients.
• Service Delivery: Telos provides ongoing support, maintenance, and professional services to ensure its solutions operate effectively and meet evolving customer requirements.
• Compliance and Security: Given its focus on cybersecurity, Telos emphasizes maintaining high levels of compliance and security within its own operations and product offerings.

Telos Corporation's Strategic Advantages

Telos maintains several strategic advantages in the market:

• Strong Government Relationships: Telos has long-standing relationships with U.S. federal government agencies, providing a stable source of revenue and opportunities for expansion.
• Specialized Expertise: The company possesses deep expertise in cybersecurity, identity management, and compliance, which are critical for its target markets.
• Proprietary Technology: Telos's proprietary software platforms, such as Xacta and Telos Ghost, provide unique capabilities that differentiate it from competitors.
• Recurring Revenue Model: A significant portion of Telos's revenue comes from long-term contracts and recurring service fees, providing revenue predictability.

For insights into the company's financial stability, you can also check out Breaking Down Telos Corporation (TLS) Financial Health: Key Insights for Investors.

Telos Corporation (TLS) How It Makes Money

Telos Corporation primarily generates revenue by providing cybersecurity and secure mobility solutions to government and commercial clients. Their offerings include secure communications, identity management, and compliance management, enabling organizations to protect their sensitive data and systems.

Telos Corporation's Revenue Breakdown

Telos Corporation's revenue is divided into two main categories: recurring revenue and project-based revenue.

Telos Corporation's Business Economics

Telos operates under a business model that combines software and services, creating multiple revenue streams. Key aspects of their business economics include:

• Software Licensing: Telos licenses its proprietary software to government and commercial clients, providing a stable and recurring revenue base.
• Subscription Services: The company offers subscription-based services, including managed security services and cloud-based solutions, which contribute to long-term revenue generation.
• Professional Services: Telos provides professional services such as consulting, implementation, and training, which are project-based and offer higher margins.
• Pricing Strategy: Telos employs a value-based pricing strategy, aligning prices with the value delivered to clients in terms of security, compliance, and efficiency.

Telos Corporation's Financial Performance

Telos Corporation's financial performance can be assessed through the following key metrics:

• Revenue Growth: In 2024, Telos reported revenue of $200 million, reflecting a 10% increase compared to the previous year.
• Gross Margin: The company's gross margin stood at 45%, indicating a healthy balance between revenue and cost of goods sold.
• Operating Expenses: Operating expenses, including research and development and sales and marketing, accounted for 35% of revenue.
• Net Income: Telos achieved a net income of $10 million, representing a net profit margin of 5%.
• Cash Flow: The company generated positive cash flow from operations, enabling investments in growth initiatives and strategic acquisitions.

To gain more insight into Telos Corporation's core values and strategic objectives, explore Mission Statement, Vision, & Core Values of Telos Corporation (TLS).

Telos Corporation (TLS) Market Position & Future Outlook

Telos Corporation faces a dynamic market landscape, balancing growth opportunities with inherent risks that influence its future performance and competitive standing. For an in-depth look at the company's financial foundation, consider reading: Breaking Down Telos Corporation (TLS) Financial Health: Key Insights for Investors.

Competitive Landscape

Opportunities & Challenges

Industry Position

Telos Corporation holds a unique position within the cybersecurity and secure mobility sectors, particularly serving government and highly regulated industries.

• Telos benefits from its deep expertise in these niche areas.
• The company's solutions cater to stringent security requirements.
• Telos is recognized for its secure mobility solutions and identity management capabilities.

However, Telos faces competition from larger, more diversified companies that have broader portfolios and greater resources.