Major GPU-as-a-Service Agreement with Hydro Host
Contract to deploy 2,304 NVIDIA GPUs across Duos' edge platform; contract represents ~ $176M total over 36 months with ~ $50M of anticipated revenue to Duos, projected margins >80% and ~ $40M expected EBITDA over the term. Also expected to generate ~ $25M external colocation revenue. Received a $15M down payment with an additional $3M pending; revenue ramp expected to begin in H2 2026.
Strengthened Liquidity from March Financing
Closed a $65M financing in March 2026; cash and cash equivalents were $33M at March 31, 2026 and the company received a $15M customer prepayment in May (plus $3M pending), materially strengthening the balance sheet to support near-term deployments.
Backlog and Bookings Supporting 2026 Outlook
Bookings at the end of Q1 represented approximately $43.5M of revenue expected to be recognized in 2026; Technology Solutions backlog increased to ~ $14M (8 new large data center operators signed) with much larger pipeline. Company reconfirmed guidance to exceed $50M revenue for full-year 2026, with expected contributors including ~$26M from GPU-as-a-Service and ~$26M from Technology Solutions.
Improved Gross Profit and Margins in Q1
Generated $1.6M gross profit in Q1 2026, achieving an approximate 59% gross margin — a significant year-over-year improvement driven by reduced cost of goods sold related to the AMA wind-down and the recognition of ~ $900K of equity-related revenue that carries ~100% gross margin.
Established High-Power Colocation Wins & MW Capacity
Awarded a high-power colocation contract to deliver 4.8 MW for a hyperscaler cluster. Company currently has ~10 MW contracted and an additional ~15 MW planned for deployment in 2026, with expansion across multiple U.S. regions (Maryland, Iowa, Georgia, Texas).
Duos Technology Solutions Traction
New asset-light business line gained momentum in Q1: signed 8 large operators, backlog ~ $14M expected to ship and invoice in 2026, and management says the pipeline is orders of magnitude larger than the current backlog.