DUOS TECHNOLOGIES GROUP, INC. 8-K

What Happened
Duos Technologies Group, Inc. (DUOT) announced on March 13, 2026 that its subsidiary, Duos Edge AI, Inc., signed a definitive GPU-as-a-Service contract with Hydra Host, Inc. (Hydra) to deploy a high-density NVIDIA GPU cluster for a leading global technology company. The deal follows a February 16, 2026 letter of intent and is expected to begin immediately; Hydra will operate the cluster while Duos Edge will be the data center and asset owner.

Key Details

• Contract term and revenue: approximately $176 million expected over a 36-month term.
• Upfront cash: an initial $18 million customer pre-payment.
• Profitability metrics: projected gross margins exceeding 80% and expected annual EBITDA of about $40 million.
• Funding and execution: deployment is fully funded by the Company’s recently completed $65 million public offering and existing hardware financing; no additional equity financing is required.

Why It Matters
This is a material commercial contract that could significantly increase Duos Technologies’ revenue and cash flow over the next three years, with strong projected margins and sizable upfront customer payment. The arrangement leverages Duos Edge as the asset owner and Hydra as operator, and the company states it has the financing in place to commence deployment immediately—reducing near-term financing risk. Investors should note these are company projections and forward-looking statements; actual results may vary and are subject to risks described in the company’s SEC filings.