Key Highlights

  • Duos announced a 10-year, 20 MW colocation agreement valued at more than US$400 million over the initial term, with deployment expected in the second quarter of 2027.
  • Second-quarter 2026 Revenue rose 30% to US$6.18 million, and cash was US$112.31 million at 30 June 2026.
  • Management guided to 2026 revenue above US$50 million, weighted to the second half, and positive adjusted EBITDA.

A 20 MW agreement and a land-bank plan

On 20 October 2026, Duos Technologies Group, Inc. (NASDAQ:DUOT) announced a new 10-year colocation agreement for 20 MW of Facility load with an unnamed, publicly traded US cloud services provider. The company put total contract value at more than US$400 million over the initial term, with deployment expected in the second quarter of 2027 within its Edge AI campuses.

It also outlined plans for about 100 MW of additional powered, data-centre-zoned land across several US sites. Roughly 25 MW is under contract and the remaining 75 MW is being negotiated, with all site agreements targeted for finalisation by year-end. The company cautions that negotiations, letters of intent and term sheets are not definitive agreements, and that sites under contract remain subject to diligence and closing conditions.

Those caveats matter. The announcement describes contracted Demand and intentions, not revenue already recognised, and the customer has not been named.

What the latest results showed

Duos reported second-quarter 2026 results on 17 August 2026. Revenue rose 30% to US$6.18 million, and gross Margin more than doubled in dollar terms to US$3.45 million from US$1.78 million. Operating Income was US$0.05 million, a swing from an operating loss of US$1.54 million a year earlier, although that profit is very small in absolute terms.

Net income was US$47.84 million, but the release attributes this largely to an Investment gain rather than to operations, so it should not be read as a measure of underlying profitability. Pre-tax income of US$53.64 million compares with an operating profit of only US$0.05 million. The company disclosed US$50.4 million of proceeds from the sale of New APR assets, in which it held a 5% stake, alongside a US$55 million registered direct offering.

Cash stood at US$112.31 million at 30 June 2026, compared with US$15.47 million at the end of 2025. Six-month revenue was US$8.32 million, 4% lower than a year earlier, so the second-quarter improvement came after a weaker first quarter.

Guidance and contracted capacity

For 2026, management guided to revenue above US$50 million, weighted towards the second half, and to positive adjusted EBITDA for the year. It reaffirmed plans to deploy 25 MW in 2026. Earlier agreements include five-year hosting arrangements with Axe Compute for 55 MW, described as worth more than US$500 million, and a US$111 million, five-year contract for 10 MW with a hyperscaler at Columbus, Georgia.

These are company-reported contract values and guidance, not audited outcomes. Revenue above US$50 million would be a large step up from US$8.32 million in the first half, so delivery timing is central.

What to watch

The next results are estimated for around 11 November 2026, though the company had not confirmed the date. Items to watch include progress on the 25 MW 2026 deployment target, conversion of land under contract into definitive agreements, and how much of the second-half revenue ramp is visible.

Another Factor is the effect of recent management changes, with a new chief financial officer and chief operating officer appointed in August. The quarterly filing will give further Liquidity detail.