Greg Mesniaeff's questions to SuperCom (SPCB) leadership • Q2 2025
Question
Greg Mesniaeff of Kingswood Capital Partners asked for details on the drivers of the significant margin expansion, questioning if it was due to geographic or sales mix, and inquired about the company's visibility on future margin trends versus revenue growth.
Answer
Ordan Trabelsi, President & CEO, attributed the margin improvement to operational efficiencies in Europe and the inherently higher-margin, cloud-based model in the U.S. He cautioned that quarterly margins can be volatile due to the varying stages and mix of numerous global projects. Trabelsi stated that while the long-term trend for margins is positive, driven by scale and U.S. expansion, it is currently difficult to predict the precise pace of either margin expansion or revenue growth due to this project-level variability.