TL;DR

  • Revenue growth: Second-quarter revenue increased nearly 30% year over year to $6.18 million, driven by the initial ramp in Technology Solutions revenue.
  • Commercial progress: Duos signed 55 MW of hosting agreements with Axe Compute, secured a $111 million hyperscaler agreement in Columbus, Georgia, and now has 25 MW contracted for deployment in 2026.
  • Outlook reaffirmed: The Company expects to deploy 25 MW this year and generate more than $50 million in 2026 revenue.

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Duos Technologies Group, Inc. (“Duos” or the “Company”) (Nasdaq: DUOT), reported second-quarter 2026 results, reflecting continued progress in its transition to a focused provider of AI and edge data center infrastructure.

Revenue for the quarter ended June 30, 2026 increased nearly 30% to $6.18 million, compared with $4.77 million in the same period last year. The increase was driven primarily by the Company’s Technology Solutions business, which generated approximately $3.23 million in quarterly revenue through sourcing, integration, and supply chain services that support data center, AI, and enterprise computing deployments.

Duos also reported its first positive operating quarter as a data center infrastructure company, with approximately $0.05 million in operating income. Gross margin increased 94% year over year to $3.45 million, and adjusted EBITDA was positive at $0.5 million.

“Financially, we began to see the early stages of the substantial performance ramp we expect to build over the course of this year, highlighted by a 30% increase in revenue and a material improvement in profitability,” said Doug Recker, CEO of Duos. “We also secured over $100 million in growth capital through two major transactions.”

The Company continued to expand its commercial momentum during the quarter and in the weeks that followed. Duos signed five-year, 55 MW hosting agreements with Axe Compute valued at more than $500 million and secured $111 million in contracted revenue through a five-year agreement with an investment-grade hyperscaler for 10 MW of critical IT-load capacity at its Columbus, Georgia campus.

Duos now has 25 MW contracted, with all 25 MW planned for deployment in 2026. The Company also entered into an exclusive, non-binding term sheet with 0Lat LLC for a proposed structured lease across a 15-site, 225-cabinet edge data center portfolio in Texas and Georgia.

During the quarter, Duos secured more than $100 million in growth capital through a $55 million registered direct offering and $50.4 million in proceeds related to the sale of substantially all assets of New APR Energy, LLC. These proceeds support the Company’s planned Columbus campus expansion, related infrastructure investments, and contracted customer deployments.

Following the sale of its rail technology subsidiary, Duos is now fully focused on scaling its Edge Data Center and AI infrastructure businesses through Duos Edge AI and Duos Technology Solutions. The Company reaffirmed its 2026 expectation for revenue exceeding $50 million and 25 MW of deployed capacity by year end.

To learn more about Duos Technologies Group, visit duostechnologies.com.