Cognyte Strengthens North American Footprint with Follow-On Order from Leading Law Enforcement Agency

Rhea-AI Summary

Cognyte Software (NASDAQ: CGNT) has secured a follow-on order worth over $1 million from a leading North American law enforcement agency (LEA), bringing their total investment to more than $2 million across three orders. The company successfully replaced an incumbent provider by demonstrating superior technology capabilities that increased the agency's mission success rate.

Cognyte's investigative analytics software provides LEAs with real-time actionable insights to expedite investigations, enhance crime prevention, and optimize emergency responses. The solutions support critical activities ranging from preventing criminal activity to coordinating rescue operations during natural disasters.

Positive

• Secured new $1M+ follow-on order from existing law enforcement client
• Total customer investment increased to over $2M across three orders
• Successfully displaced incumbent provider
• Demonstrates strong customer retention and expansion capability

Negative

• None.

Insights

Financial Analyst

This $1 million follow-on order represents a meaningful win for Cognyte, bringing the total contract value with this law enforcement agency to $2 million. The deal carries strategic importance beyond its monetary value for several reasons:

First, the successful displacement of an incumbent provider demonstrates Cognyte's competitive edge in the investigative analytics space. Second, the repeat business pattern - now at three orders - indicates strong product satisfaction and potential for further expansion. Third, this reinforces Cognyte's penetration into the North American market, which is important given the region's substantial law enforcement technology budget.

For a company with a $620 million market cap, securing recurring revenue streams from government agencies provides stable cash flow visibility. The land-and-expand strategy is working effectively, with the customer tripling down on their initial investment. This could serve as a reference case to attract similar agencies, potentially creating a multiplier effect for future sales.

Technology Analyst

The competitive win against an incumbent provider highlights Cognyte's technological differentiation in real-time analytics and actionable intelligence generation. The solution's ability to improve mission success rates addresses a critical pain point for law enforcement agencies - the need for faster, more accurate investigative outcomes in an increasingly complex threat landscape.

The platform's dual capability in proactive crime prevention and emergency response coordination positions it well in the evolving public safety technology market. For investors, this validates Cognyte's R&D investments and suggests potential for premium pricing power. The solution's proven effectiveness in mission-critical applications creates high switching costs, supporting customer retention and recurring revenue generation.

Influential agency places third order for Cognyte’s advanced solutions, bringing total orders to over $2 Million

HERZLIYA, Israel--(BUSINESS WIRE)-- Cognyte Software Ltd. (NASDAQ: CGNT) (“Cognyte”), a global leader in investigative analytics software, today announced it has received a follow-on order totaling over $1 million, from a leading North American law enforcement agency (LEA).

Including this third order, the customer’s total investment has reached over $2 million, underscoring their trust in Cognyte’s solutions to address their growing operational needs. Cognyte replaced an incumbent provider by demonstrating the ability of the company’s advanced technology to increase the success rate of the LEA’s missions.

Cognyte’s solutions equip LEAs with the tools they need to address today’s rapidly evolving public safety challenges. By delivering actionable insights in real time, Cognyte enables faster resolutions to investigations, enhances crime prevention and optimizes emergency responses. From stopping criminal activity before it occurs to coordinating life-saving rescue operations during natural disasters, Cognyte’s technology provides agencies with unparalleled support for mission critical activities.

“This expanded partnership reflects the value we continue to bring to this leading law enforcement agency. Our advanced technology improves the speed, accuracy and success rate of the agency’s investigations,” said Efi Nuri, Chief Revenue Officer at Cognyte. “With ongoing delivery of effective results, this latest order demonstrates our ability to land and expand with customers in the North American market.”

About Cognyte Software Ltd.

Cognyte Software Ltd. is a global leader in investigative analytics software that empowers a variety of government and other organizations with Actionable Intelligence for a Safer World™. Our open interface software is designed to help customers accelerate and improve the effectiveness of investigations and decision-making. Hundreds of customers rely on our solutions to accelerate and conduct investigations and derive insights, with which they identify, neutralize and tackle threats to national security and address different forms of criminal and terror activities. Learn more at www.cognyte.com.

Cautionary Statement Regarding Forward-Looking Statements

Any statements contained in this press release that do not describe historical facts may constitute forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Such statements are identified by use of the words “anticipates,” “believes,” “estimates,” “expects,” “intends,” “plans,” “predicts,” “projects,” “should,” “views,” and similar expressions.

Any forward-looking statements contained herein are based on current expectations, but are subject to risks and uncertainties that could cause actual results to differ materially from those indicated, including, but not limited to, the impact and contributions of the slate of director nominees Cognyte has nominated, the projected growth of Cognyte’s business, and Cognyte’s ability to achieve its financial and business plans, goals and objectives and drive shareholder value, including with respect to its ability to successfully implement its strategy, and other risk factors discussed from time to time in Cognyte’s filings with the SEC, including those factors discussed under the caption “Risk Factors” in its most recent annual report on Form 20-F, filed with the Securities and Exchange Commission (“SEC”) on April 9, 2024, as amended on April 19, 2024 and in subsequent reports filed with or furnished to the SEC. Cognyte assumes no obligation and does not intend to update these forward-looking statements, except as required by law, to reflect events or circumstances occurring after today’s date.

View source version on businesswire.com: https://www.businesswire.com/news/home/20250114080419/en/

Media Relations:

Michelle Allard McMahon

Rainier Communications on behalf of Cognyte Software

prcognyte@rainierco.com

Source: Cognyte Software Ltd.

FAQ

What is the value of Cognyte's (CGNT) latest follow-on order in 2024?

Cognyte received a follow-on order totaling over $1 million from a North American law enforcement agency.

How much has the North American law enforcement agency invested in Cognyte (CGNT) solutions?

The law enforcement agency has invested over $2 million in total across three orders with Cognyte.

What capabilities does Cognyte's (CGNT) investigative analytics software provide to law enforcement?

Cognyte's software provides real-time actionable insights for faster investigation resolutions, crime prevention, and optimized emergency responses.

How did Cognyte (CGNT) win the contract from the incumbent provider?

Cognyte won the contract by demonstrating their advanced technology's ability to increase the success rate of the law enforcement agency's missions.