REG - Narf Industries PLC - Progress update re: commercialization

Narf IndustriesAnnouncement

04/04/2025 07:00

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RNS Number : 5664D  Narf Industries PLC  04 April 2025

4 April 2025

NARF INDUSTRIES PLC

("Narf", the "Company", or the "Group")

 

Narf Leverages Government Funding and AI Advancements to Achieve Market Entry

 

Narf Industries plc (LSE: NARF), a leading U.S.-based cybersecurity group
specializing in advanced threat intelligence and software system security, is
pleased to provide an update on its progress in turning government-funded
research into commercial products, integrating AI, and accelerating strategic
growth through its Social Cyber product and emerging Software Supply Chain
Security (SSCS) platform.

 

Key Highlights

 

·     Accelerated Product Development: Narf secured new government
contract awards and leveraged advancements in Agentic AI and LLM
infrastructure to integrate AI and its Social Cyber solution far faster and at
less cost than originally projected and without reliance on outside partner
investments.

 

·     First Commercial Product Launch:  Backed by nearly $4 million in
government development funding, Narf brings to market its Social Cyber
software and services offering this summer which targets the growing threat of
compromised open source software.

 

·     Strategic Entry in the SSCS Market: By successfully productizing
Social Cyber, Narf establishes a foundation for further transforming its deep
government-funded IP portfolio into a scalable, Software-as-a-Service (SaaS),
SSCS platform.

 

·   Focus to Cybersecurity Industry Partnerships:  Narf's rapid
commercialization, including AI integration, has enhanced its position in
strategic go-to-market options, including a shift toward cybersecurity
partners with direct market access and platform alignment - moving away from
earlier emphasis on AI-first collaborations.

 

Steve Bassi, CEO of Narf commented:  "A year ago, we believed partnering with
an AI specialist would be essential to stay competitive. But our direct work
with the latest Agentic AI and LLM tools has proven otherwise-small, expert
teams like ours can now deliver advanced capabilities that once required
significant investment and headcount. This hands-on success allowed us to move
beyond AI-first partnerships and instead focus on aligning with cybersecurity
industry leaders who offer direct market access and platform synergy. With our
self-sustained commercialization progress to date, Narf is now engaging with
top-tier partners on its own terms-driven by strategy, not necessity."

 

"We're now focused on product roadmap that builds our deep IP portfolio into a
scalable platform that finds and remediates software vulnerabilities early in
the development lifecycle-before they become operational risks. Social Cyber
represent the first of many Narf innovations to tackle the rise in open source
software threats, where attacks have surged by over 700% in the past three
years."

 

The Company has accelerated its product development by using government-funded
research programs and advances in Generative AI infrastructure, particularly
in the following areas:

 

·      Agentic AI: This suite of new tools allows Narf's cybersecurity
experts to turn their knowledge into AI agents without needing deep AI
expertise.

 

·      LLM: Advanced reasoning capabilities and small LLM models allows
Narf to develop AI- cybersecurity solutions, improving effectiveness and
reducing costs.

 

The result for Narf over the past 12 months has been faster product cycles,
minimal reliance on external AI talent, and less required investment.

Social Cyber Productization and Beyond

Narf's commercialization launch is anchored in its Defense Advanced Research
Project Agency ("DARPA") backed Social Cyber program, which targets the
growing threat of compromised open source software (OSS)-a risk brought into
sharp focus by the high-profile XZ exploit in March 2024 (see RNS dated 1 May
2024).

 

The latest government award under this program (see RNS dated August 2024)
brings total Social Cyber funding to nearly $4 million. In coordination with a
key early government user, Narf is scheduled to complete the final phase of
development in June 2025, culminating in delivery of a solution ready for
release and broader deployment across both government and commercial markets.

 

Social Cyber is a discrete product offering that creates an immediate
go-to-market opportunity, delivering near-term customer value and establishing
Narf's foothold in the broader Software Supply Chain Security (SSCS) market.
It also marks the starting point for Narf's broader platform strategy: to
commercialize its full IP portfolio-developed through years of
government-funded research across multiple advanced software security
programs-into a next-generation SSCS platform.

 

While Narf continues its transition from research to commercialization, its
growth strategy centers on strategic partnerships that offer market access,
product integration opportunities, and operational scale. These partnerships
may also include co-investment or financing aligned with deeper technology
collaboration.

 

Capital Requirements

With new government contract awards secured (see RNS dated 6 March 2025), Narf
has the momentum and resources to sustain development and commercialization
efforts without near-term reliance on outside capital or partnerships.
Notably, these projections exclude any upside from anticipated revenue tied to
the Social Cyber product or broader commercialization initiatives which the
Company fully expects to realize.

 

While ongoing shifts in government funding priorities led by the U.S.
Department of Government Efficiency (DOGE) have affected the timing of certain
programs and overall impacts are still not settled, Narf's existing contract
backlog provides sufficient runway to absorb these impacts over the next
several quarters without requiring additional awards. The Company also notes
its strategy is increasingly aligned with these shifting government priorities
- favoring more near-term deployable solutions over longer-term basic
research.

ENDS

 

For further information visit www.narfgroup.com or contact:

 

 Narf Industries plc         John Herring      jh@narfgroup.com
 Joint Broker                Simon Bridges     Tel: +44 (0) 207 523 8000

 Canaccord Genuity Limited   Harry Rees
 Joint Broker                Peter Krens       Tel: +44 (0)207 186 9030

 Tennyson Securities plc
 Financial PR, UK            Paul Dulieu       narf@stbridespartners.co.uk

 St Brides Partners          Isabel de Salis

 

About NARF Industries plc

Narf Industries (LSE: NARF) is a U.S. based leading provider of cybersecurity
research, solutions, and services to government entities. With a steadfast
commitment to protecting national security and critical infrastructure, it
offers comprehensive expertise in addressing the evolving cyber threats faced
by its clients.

 

 

 

 

 

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