HUB Cyber Security Ltd. announced on December 11 that it has deepened its relationship with a leading European financial institution by adding application security testing, mobile‑application penetration testing, and code‑review services to an existing multi‑year engagement. The client’s name was not disclosed, but the expansion underscores continued confidence in HUB’s Secured Data Fabric platform and its broader security portfolio.
The announcement comes amid a period of financial restructuring for HUB. In the second half of 2024, the company reported revenue of $13.8 million, down from $17.6 million in the same period a year earlier, while gross margin improved to 25.6% from 15.4%. HUB has been exiting lower‑margin segments and concentrating on higher‑value offerings, a strategy that has been reflected in its shift toward confidential computing, AI‑driven data fabric, and compliance solutions.
CEO Noah Hershcoviz said the expansion “signals that a Tier‑1 European financial institution trusts HUB to secure its most demanding environments.” He added that the deal is part of a broader European strategy and that HUB is “becoming a core systems provider for the future of automated financial operations.”
Market reaction to the announcement was muted by broader headwinds. Investors had already priced in a planned $11 million class‑action settlement and a bearish technical outlook, and the company’s stock has been trading below its 52‑week high and reached an all‑time low on December 3. The consensus rating remains “Sell.”
The new services are expected to generate additional recurring revenue streams and reinforce HUB’s position as a trusted partner for regulated financial clients. However, the company still faces challenges from declining revenue growth and negative margins, and the expansion is one of several steps aimed at stabilizing its financial trajectory while pursuing higher‑margin, high‑growth opportunities.
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