BIO-key Reports Strong Q2 Growth and New Defense Initiative

Bio-Key International ( (BKYI) ) has released its Q2 earnings. Here is a breakdown of the information Bio-Key International presented to its investors.

BIO-key International, Inc. is a company specializing in biometric-centric, multi-factor identity and access management (IAM) software, providing secure access solutions for over forty million users across various sectors, including military and defense.

In its latest earnings report, BIO-key International announced a 49% increase in Q2 2025 revenue, driven by growth across all segments. The company also launched the ‘BIO-key CyberDefense Initiative’ to capitalize on the increasing global investment in military and defense preparedness.

Key financial highlights include a significant increase in hardware sales, contributing to the overall revenue growth, although gross margins moderated to 73% from 77% in the previous year due to the higher proportion of hardware sales. Operating expenses decreased by 8.5%, reflecting cost-cutting measures, while the net loss improved to $1.17 million from $1.67 million a year ago.

The company is optimistic about its growth outlook, citing increased interest in its biometric solutions and the strategic focus on the defense sector. With ongoing efforts to reduce costs and enhance product offerings, BIO-key aims to achieve positive cash flow and profitability in the near future.