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BigBear.ai Inc. (BBAI-2.40%) has submitted its Form 10-K filing for the fiscal year ended December 31, 2024.
The filing includes financial statements for the year, showing an increase in revenues to $158.2 million from $155.2 million in the previous year. The increase is attributed to the acquisition of Pangiam and offset by decreased volume from the Air Force EPASS program.
Cost of revenues for the year was $113.0 million, representing 71% of sales, compared to 74% in the previous year. This decrease in cost ratio is due to higher margins from the inclusion of Pangiam’s results.
The company reported a gross margin of $45.2 million for the year, compared to $40.6 million in the previous year.
Selling, general, and administrative expenses increased to $80.0 million from $71.1 million, primarily due to non-recurring strategic initiatives, integration costs, and litigation costs.
Research and development expenses increased to $10.9 million from $5.0 million, driven by increased headcount and the inclusion of Pangiam’s results.
A non-cash goodwill impairment charge of $85.0 million was recognized, primarily driven by a decrease in share price compared to the share price of the equity issued as consideration for the acquisition of Pangiam.
Net loss for the year was $295.5 million, compared to a net loss of $70.7 million in the previous year.
The company reported a net increase in fair value of derivatives of $107.7 million, primarily related to the 2029 Convertible Notes and warrants.
BigBear.ai had a working capital of $93.8 million as of December 31, 2024. The company acknowledges its dependence on positive operating results and potential financing to meet future obligations.
The filing also details various financial agreements, including the exchange of the 2026 Convertible Notes for 2029 Convertible Notes and the termination of the Bank of America Senior Revolver.
BigBear.ai does not anticipate cash dividend payments to common stockholders in the near future.
The company identified a material weakness in its internal controls over financial reporting due to inconsistencies in executing technical accounting review policies.
BigBear.ai continues to focus on expanding its AI-driven technology solutions and highlights its acquisition of Pangiam as a strategic move to enhance its market position.
This content was summarized by generative artificial intelligence using public filings retrieved from SEC.gov. The original data was derived from the BigBear.ai Inc. annual 10-K report dated March 25, 2025. To report an error, please email earnings@qz.com.