AI Earnings Predictions for TSS Inc. (TSSI)

EX-99.1

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PRESS RELEASE

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EXHIBIT 99.1

TSS Reports Second Quarter 2026 Financial Results

Systems Integration Revenue Increased 46% Year-Over-Year, Representing 39% of Total Revenue

~$17 Million Investment Expected to Drive Increased Systems Integration Revenue from Next Generation AI Data Center Technology

GEORGETOWN, TEXAS – Aug. 13, 2026 – TSS, Inc. (Nasdaq: TSSI), a data center services company that provides integration and related services for AI and other high-performance computing infrastructure and software, today reported results for its second quarter ended June 30, 2026, showing a continued strategic shift of its revenue base toward higher margin AI and infrastructure services.

· Systems integration revenue grew 46% year-over-year

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Facilities management revenue grew 84%

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Reduction in total revenues reflects shift from lower margin procurement business to higher margin systems integration and facilities management business lines

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The company began deploying capital for its planned $17 million investment in readiness for the next generation of AI data center technology, which is expected to convert into higher systems integration revenues beginning in the third quarter of 2026

“Systems integration revenue represented 39% of total revenues in the quarter, compared with just 22% in the prior year quarter. Over time, we expect growth in Systems Integration will continue to outpace the other segments of our business given the strong demand signals we are seeing and our proven ability to address complex technology needs," said Darryll Dewan, CEO of TSS, Inc.

Second Quarter 2026 Financial Highlights:

(All comparisons are to Second Quarter 2025)

· Revenues of $35.1 million, down 20%, with growth in higher margin business lines

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Procurement revenues of $18.2 million, down 45%

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Systems Integration revenues of $13.9 million, up 46%

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Facilities Management revenues of $2.7 million, up 84%

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Operating lease income of $0.3 million as we began warehouse operations May 1, 2026 using our previously idle former Round Rock integration facility

· Gross profit of $8.0 million, up 11%

· Pre-tax income up 19% on favorable leveraging of expense structure

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Net income of $1.4 million and Diluted EPS of $0.05, compared to net income of $1.5 million and Diluted EPS of $0.06 after full tax provision, following Q4 2025 removal of valuation allowance on deferred tax asset

· Adjusted EBITDA of $4.5 million, up 12%, reflecting a shift in total revenues to higher margin systems integration

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Year-to-Date 2026 Financial Highlights:

(All comparisons are to the First Six Months of 2025)

· Revenues of $90.5 million, down 37%, with growth skewed towards higher margin business lines

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Procurement revenues of $58.2 million, down 53%

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Systems Integration revenues of $28.0 million, up 65%

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Facilities Management revenues of $4.0 million, up 44%

· Gross profit of $16.8 million, up 2%

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Reflects current period $1.9 million allocation of depreciation to COGS vs $0.6 million in the prior year period

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Pre-tax income of $4.5 million, down only 1% despite comparison to record procurement revenues in the prior year period

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Net income of $3.7 million and Diluted EPS of $0.13 compared to net income of $4.5 million and Diluted EPS of $0.17 after full tax provision, following Q4 2025 removal of valuation allowance on deferred tax asset

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Adjusted EBITDA of $9.8 million, up 5%, reflecting a shift in total revenues to higher margin systems integration

2026 Outlook

Dewan concluded, “Looking ahead, we expect the second half of this year to be stronger than the first half with accelerated growth in Systems Integration as we continue to see strong demand across our business. We maintain our 2026 outlook for Adjusted EBITDA to be at the upper end of our $20 million to $22 million range.

Conference Call Details

The Company will conduct a conference call at 5 p.m. Eastern time today. To participate on the conference call, please dial 888-506-0062 toll free from the U.S. or Canada. Other international callers may access the call at 1-973-528-0011. The event ID is 473873.  Investors may also access a live audio webcast of this conference call and replay the call for one year following the webcast at https://www.webcaster5.com/Webcast/Page/2294/54255.

About Non-GAAP Financial Measures

Adjusted EBITDA is a supplemental financial measure not defined under Generally Accepted Accounting Principles (GAAP). We define Adjusted EBITDA as net income (loss) before net interest expense and bank factoring costs, income taxes, depreciation and amortization, impairment loss on goodwill and other intangibles, stock-based compensation, and certain extraordinary items. We present Adjusted EBITDA because we believe this supplemental measure of operating performance is helpful in comparing our operating results across reporting periods on a consistent basis by excluding items that may or could

EX-99.1

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PRESS RELEASE

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EXHIBIT 99.1

TSS Reports First Quarter 2026 Financial Results

Total Revenue of $55.3 Million

Systems Integration Revenue Increased 88% Year-Over-Year

Refines Full-Year 2026 Outlook; Now Expects Adjusted EBITDA Toward High End of $20 to $22 Million Range

GEORGETOWN, TEXAS – May 7, 2026 – TSS, Inc. (Nasdaq: TSSI), a data center services company that integrates AI and other high-performance computing infrastructure and software and provides related data center services, today reported results for its first quarter ended March 31, 2026.

“We delivered strong growth in our higher margin Systems Integration business in the first quarter, with revenue increasing 88% year over year, driven by strong customer demand and solid operational execution with growth particularly high in our AI activities,” said Darryll Dewan, CEO of TSS, Inc. “Total revenue comparisons were affected by record high volumes in the first quarter of last year in our lower-margin Procurement business, which can vary from quarter to quarter. Importantly, our first quarter results were in line with our expectations, underscore the strength of our core business and reinforce our confidence in achieving our outlook for the full year.

“Our Georgetown, Texas AI rack integration facility has been running at increasing scale for six months. As a result, our quarterly EBITDA levels have grown and will continue to grow along with AI rack volumes. We are working to expand the markets we serve in terms of both customers and service offering. We have strengthened our leadership team with the addition of a chief strategy officer and a chief technology officer, whose deep industry expertise, proven leadership and extensive global networks position us to accelerate both organic expansion and strategic growth initiatives within our current customer base as well as opportunities to expand beyond our current customers.”

First Quarter 2026 Financial Highlights:

(All comparisons are to First Quarter 2025)

· Revenues of $55.3 million, down 44%

o Procurement revenues of $40.0 million, down 56%

o Systems Integration revenues of $14.1 million, up 88%

o Facilities Management revenues of $1.3 million, down 1%

· Gross profit of $8.8 million, down 4%

o Reflects current year $0.9 million allocation of depreciation to COGS

· Net income of $2.3 million, down 24%

o Reflects full impact of income taxes following removal of valuation allowance on deferred tax asset in Q4 2025

· Diluted EPS of $0.08 compared to $0.12

· Adjusted EBITDA of $5.3 million, up 1%, reflecting a shift in total revenues to higher margin systems integration

2026 Outlook

Dewan concluded, “We maintain our outlook for Adjusted EBITDA in the range of $20 million to $22 million for 2026 with performance expected toward the higher end of the range. Our forecast reflects a prudent view on component availability, with total integration demand continuing to exceed the volume incorporated into our outlook.”

Conference Call Details

The Company will conduct a conference call at 5:00 p.m. Eastern time today. To participate on the conference call, please dial 888-506-0062 toll free from the U.S. or Canada. Other international callers may access the call at 1-973-528-0011. The event ID number is 804808.  Investors may also access a live audio webcast of this conference call and replay the call for one year following the webcast, at https://www.webcaster5.com/Webcast/Page/2294/53895.

About Non-GAAP Financial Measures

Adjusted EBITDA is a supplemental financial measure not defined under Generally Accepted Accounting Principles (GAAP). We define Adjusted EBITDA as net income (loss) before net interest expense and bank factoring costs, income taxes, depreciation and amortization, impairment loss on goodwill and other intangibles, stock-based compensation, and certain extraordinary items. We present Adjusted EBITDA because we believe this supplemental measure of operating performance is helpful in comparing our operating results across reporting periods on a consistent basis by excluding items that may or could have a disproportionately positive or negative impact on our results of operations in any particular period. We also use Adjusted EBITDA as a factor in evaluating the performance of certain management personnel when determining incentive compensation.

Adjusted EBITDA may not be comparable to similarly titled measures reported by other companies. Adjusted EBITDA, while providing useful information, should not be considered in isolation or as an alternative to net income or cash flows as determined under GAAP. Consistent with Regulation G under the U.S. federal securities laws, Adjusted EBITDA has been reconciled to the nearest GAAP measure; this reconciliation is located under the heading “Adjusted EBITDA Reconciliation” following the Consolidated Statements of Operations included in this press release. The Company is unable to provide a rec

EX-99.1

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PRESS RELEASE

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EXHIBIT 99.1

TSS Reports Fourth Quarter and Full-Year 2025 Financial Results

Full-Year 2025 Revenue of $246 million, up 66%

Diluted EPS of $0.56 up 133%

GEORGETOWN, TEXAS – March 11, 2026 – TSS, Inc. (Nasdaq: TSSI), a data center services company that integrates AI and other high-performance computing infrastructure and software and provides related data center services, today reported results for its fourth quarter and year ended December 31, 2025.

“We are pleased to have surpassed the upper end of our outlook for 2025,” said Darryll Dewan, CEO of TSS, Inc. “Systems integration rack volumes at our new Georgetown facility came online mid-year and ramped in the fourth quarter, positioning the company for solid growth in 2026. Our business, providing high-performance computing solutions to global leaders in the AI and cloud infrastructure ecosystem, is scaling profitably. As customer requirements evolve, we continue to invest in our systems, processes, and people to improve efficiency.

“The market for AI infrastructure continues to accelerate, as reflected in publicly disclosed forecasts of industry analysts and corporate reports. Importantly, as AI chip functionality improves, the additional size, complexity and cooling requirements of racks play to our strengths, capabilities and capacities. Supply chains continue to be volatile, as noted in the highly publicized memory price increases and volume shortages. We have taken a conservative approach to forecasting 2026 rack integration volumes, and we are already seeing customer activity beyond our initial forecasts.”

Fourth Quarter 2025 Financial Highlights:

(All comparisons are to Fourth Quarter 2024)

· Revenues of $60.9 million, up 22%

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Procurement revenues of $43.2 million, up 7%

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Systems Integration revenues of $14.2 million, up 79%

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Facilities Management revenues of $3.5 million, up 118%

· Gross profit of $11.3 million, up 57%

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Reflects current year $1.0 million allocation of depreciation to COGS

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Net income of $15.1 million, up 153%

· Diluted EPS of $0.41 compared to $0.08

· Adjusted EBITDA of $7.9 million, up 132%

Full-Year 2025 Financial Highlights

(All comparisons are to Full-Year 2024)

· Revenues of $245.7 million, up 66%

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Procurement revenues of $197.5 million, up 68%

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Systems Integration revenues of $40.3 million, up 78%

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Facilities Management revenues of $7.9 million, down 1%

· Gross profit of $32.4 million, up 45%

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Reflects current year $2.7 million allocation of depreciation to COGS

· Net income of $15.1 million, up 153%

· Diluted EPS of $0.56, up from $0.24

· Adjusted EBITDA of $18.6 million, up 83%

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Extended and Amended Customer Agreement for AI Rack Integration Services

In December 2025, TSS executed an amendment to the long term AI rack integration agreement with its largest customer, effective November 1, 2025. The amended agreement addresses circumstances not anticipated in the original agreement and extends the term by two additional years. This long-term customer agreement underscores the strength of our relationship and the trust established with our long-standing customer.

2026 Outlook

Dewan concluded “Our integration experience and strategic operational investments uniquely position us to achieve record growth in our Systems Integration business in 2026. Our largest partner anticipates doubling its AI infrastructure business in 2026 compared to last year, and we expect to capture our fair share of this growth, doubling our rack integration volumes and driving strong revenue growth in this segment. Combined with a more conservative outlook for our Procurement and Facilities Management businesses, we expect to achieve Adjusted EBITDA in the range of $20 million to $22 million for 2026. Our ability to deliver completed racks depends on supply of components and our forecast takes a conservative view on component availability.  Total integration demand exceeds the volume imputed into our forecast.”

Conference Call Details

The Company will conduct a conference call at 8:30 a.m. Eastern time today. To participate on the conference call, please dial 888-506-0062 toll free from the U.S. or Canada. Other international callers may access the call at 1-973-528-0011. The event ID number is 233478.  Investors may also access a live audio webcast of this conference call and replay the call for one year following the webcast, at https://www.webcaster5.com/Webcast/Page/2294/53751.

About Non-GAAP Financial Measures

Adjusted EBITDA is a supplemental financial measure not defined under Generally Accepted Accounting Principles (GAAP). We define Adjusted EBITDA as net income (loss) before net interest expense, income taxes, depreciation and amortization, impairment loss on goodwill and other intangibles, stock-based compensation, and certain extraordinary items. We present Adjusted EBITDA because we believe this supplemental measure of operating pe