BELGRADE, Mont., Sept. 17, 2025 (GLOBE NEWSWIRE) -- Today, Bridger Aerospace Group Holdings, Inc. (“Bridger” or “Bridger Aerospace”), (NASDAQ: BAER, BAERW), one of the nation’s largest aerial firefighting companies, applauded the announcement by the Departments of Interior and Agriculture of a Wildland Fire Service Plan to modernize federal wildfire response as part of a coordinated action to implement the President's Executive Order 14308, Empowering Commonsense Wildfire Prevention and Response. Sam Davis, ...

Company Overview - BK Technologies Corp. (BKTI) designs and manufactures mission-critical communications equipment primarily for government and public safety applications [1] - The company has a Software-as-a-Service (SaaS) division that develops public safety smartphone applications, including BKRplay and InteropONE [2] Product and Market Performance - The BKR 9000 multiband radio is driving growth through adoption by federal, state, and local agencies, leveraging competitive pricing as a unified platform replacement for legacy systems [4] - Gross Margin in Q2 expanded sharply to 47.4% from 37.3% in the prior year, driven by a favorable product mix and efficiencies from outsourced manufacturing [5] - The company achieved a 77.5% year-over-year improvement in adjusted EBITDA, indicating strong financial performance [5] Valuation Metrics - The stock is currently trading at 3.1X trailing 12-month EV/Sales, compared to 3.9X for the Zacks sub-industry and 7.5X for the Zacks sector [6] - The stock is trading at 18.2X trailing 12-month EV/EBITDA, which is lower than the Zacks sub-industry average of 29.6X [6] Historical Stock Performance - Over the past five years, the stock has traded as high as 3.3X and as low as 0.4X, with a five-year median of 0.8X [6] - In the past year, the stock has traded as high as 19.1X and as low as 7.6X, with a one-year median of 12.4X [7]

Core Viewpoint - Bridger Aerospace Group Holdings, Inc. is participating in the 31st Annual Gabelli Aerospace & Defense Symposium on September 4, 2025, highlighting its position as a leading aerial firefighting company in the U.S. [1] Company Overview - Bridger Aerospace, based in Belgrade, Montana, is one of the largest aerial firefighting companies in the nation, providing services to federal and state government agencies, including the U.S. Forest Service [3] - The company specializes in aerial firefighting and wildfire management services, both domestically and internationally [3] Event Details - Management will present at 4:30 p.m. Eastern Time during the symposium, with a live and archived webcast available on the company's investor relations website [2] - Investors interested in participating can contact Bridger Aerospace Investor Relations or their Gabelli representative for more information [2]

Core Viewpoint - Bridger Aerospace Group Holdings, Inc. (BAER) reported a strong second quarter with significant revenue growth, but its stock has underperformed compared to the broader market since the earnings announcement Financial Performance - BAER achieved record second-quarter revenue of $30.8 million, a 136.3% increase from $13 million year-over-year [2] - The company reported a net income of $0.3 million, a significant improvement from a net loss of $9.9 million a year earlier [2] - Adjusted EBITDA surged to $10.8 million from $0.2 million, and loss per diluted share improved to $0.12 from $0.33 [2] Operational Highlights - Excluding $5.1 million in revenues from return-to-service work, operational revenue more than doubled to $25.7 million [3] - The company achieved 100% fleet deployment, marking the earliest call-outs in its history, and secured two 120-day task orders from the U.S. Forest Service [5] - BAER dropped 4 million gallons of water across multiple states during the season to date [5] Cost Management - Selling, general and administrative (SG&A) expenses decreased by 17.4% to $6.5 million from $7.9 million due to lower non-cash stock-based compensation [4] - Cost of revenues increased by 89.5% to $18.7 million, partly due to $3.9 million in expenses for the Spanish aircraft program [4] Cash Position - Cash and cash equivalents were $17 million at quarter-end, down from $39.3 million at the end of 2024, primarily due to winter maintenance and training expenses [6] - An expected $18.3 million in receivables from early fire season activity is anticipated to improve cash flow in the coming months [6] Management Insights - CEO Sam Davis attributed the strong performance to early deployments and expanded contracts, highlighting the effectiveness of the Super Scooper in firefighting operations [7] - The integration of the Ignis Technologies platform aims to enhance situational awareness for firefighters [7] Revenue Drivers - Revenue growth was driven by higher activity levels, favorable wildfire conditions, and earlier deployments [8] - Increased fleet utilization and operational leverage contributed to the shift to net profitability [8] Future Guidance - BAER reaffirmed its guidance for 2025, expecting adjusted EBITDA between $42 million and $48 million on revenue of $105 million to $111 million [9] - Management anticipates continued improvement in cash flow from operating activities and plans to revisit forecasts after third-quarter results [10] Other Developments - BAER signed a $46 million sale-leaseback agreement for its Bozeman, MT campus, with proceeds aimed at reducing debt and interest expenses [11] - The return-to-service work on the Spanish Scoopers is on schedule, with two already certified and potential deployment in Europe being considered [12]

Bridger Aerospace Group (BAER) FY Conference August 12, 2025 09:00 AM ET Speaker0Right. Hi, everyone. My name is Austin Moeller. I'm the aerospace and defense analyst here at Canaccord Genuity. And today, we are joined by Sam Davis and Eric Garrett, CEO and CFO of Bridger Aerospace.So I guess, did you just want to go through a slide first and give a brief intro on the company for those that aren't familiar?Speaker1Would love to do that real quick. And I'll keep it brief, but up on the screen you can see an ...

Group 1 - Gabelli Funds, LLC is hosting the annual Aerospace & Defense Symposium on September 4, 2025, at The Harvard Club in New York City, focusing on strong demand outlook and high barriers to entry in the industry [1] - The symposium will feature top executives from over ten companies, discussing themes such as large aftermarket opportunities, growth exceeding GDP, defense spending, and M&A potential [1] - Attendees will have the opportunity for one-on-one meetings with management, enhancing networking and investment insights [1] Group 2 - Featured companies at the symposium include AIRO Group Holdings, Elbit Systems, Albany International, Graham Corporation, and several others, indicating a diverse representation within the Aerospace and Defense sector [2] - The event is set to start at 8:30 am, providing a structured schedule for discussions and networking [3]

PART I – FINANCIAL INFORMATION [ITEM 1. FINANCIAL STATEMENTS (UNAUDITED)](index=4&type=section&id=Item%201.%20Financial%20Statements%20(Unaudited).) This section presents the unaudited condensed consolidated financial statements for recent periods, including key statements and detailed explanatory notes [Condensed Consolidated Balance Sheets](index=4&type=section&id=Condensed%20Consolidated%20Balance%20Sheets) The balance sheet shows a decrease in total assets to $279.0 million and a widening of the total stockholders' deficit to $(350.9) million | Metric | June 30, 2025 (in thousands) | December 31, 2024 (in thousands) | | :--------------------------------- | :----------------------------- | :------------------------------- | | Total Assets | $279,038 | $290,809 | | Total Liabilities | $236,652 | $237,332 | | Total Stockholders' Deficit | $(350,990) | $(326,702) | [Condensed Consolidated Statements of Operations](index=7&type=section&id=Condensed%20Consolidated%20Statements%20of%20Operations) The company reported a significant turnaround to net income for Q2 2025 and substantially reduced its net loss for the first half of the year | Metric (in thousands) | 3 Months Ended June 30, 2025 | 3 Months Ended June 30, 2024 | 6 Months Ended June 30, 2025 | 6 Months Ended June 30, 2024 | | :-------------------- | :--------------------------- | :--------------------------- | :--------------------------- | :--------------------------- | | Revenues | $30,751 | $13,014 | $46,397 | $18,521 | | Gross income (loss) | $12,051 | $3,147 | $10,490 | $(552) | | Operating income (loss) | $5,527 | $(4,755) | $(4,624) | $(20,064) | | Net income (loss) | $308 | $(9,981) | $(15,230) | $(30,068) | | Loss per share | $(0.12) | $(0.33) | $(0.53) | $(0.89) | [Condensed Consolidated Statements of Comprehensive Income (Loss)](index=8&type=section&id=Condensed%20Consolidated%20Statements%20of%20Comprehensive%20Income%20(Loss)) Comprehensive income turned positive in Q2 2025, and the comprehensive loss for the six-month period was nearly halved compared to the prior year | Metric (in thousands) | 3 Months Ended June 30, 2025 | 3 Months Ended June 30, 2024 | 6 Months Ended June 30, 2025 | 6 Months Ended June 30, 2024 | | :-------------------- | :--------------------------- | :--------------------------- | :--------------------------- | :--------------------------- | | Net income (loss) | $308 | $(9,981) | $(15,230) | $(30,068) | | Comprehensive income (loss) | $118 | $(10,003) | $(15,636) | $(29,944) | [Condensed Consolidated Statements of Stockholders' Deficit](index=9&type=section&id=Condensed%20Consolidated%20Statements%20of%20Stockholders'%20Deficit) The total stockholders' deficit increased to $(351.0) million, driven primarily by net loss and preferred stock adjustments - **Total Stockholders' Deficit** increased to **$(350,990) thousand** as of June 30, 2025, from $(326,702) thousand as of December 31, 2024[22](index=22&type=chunk) - The increase was driven by a **net loss** and a **$(13,197) thousand** adjustment for Series A Preferred Stock to its maximum redemption value[22](index=22&type=chunk) - This was partially offset by **$1,191 thousand** in Common Stock issued for the Ignis Acquisition[22](index=22&type=chunk) [Condensed Consolidated Statements of Cash Flows](index=11&type=section&id=Condensed%20Consolidated%20Statements%20of%20Cash%20Flows) Net cash used in operating activities decreased, while both investing and financing activities shifted from providing cash to using cash | Cash Flow Activity (in thousands) | 6 Months Ended June 30, 2025 | 6 Months Ended June 30, 2024 | | :-------------------------------- | :--------------------------- | :--------------------------- | | Net cash used in operating activities | $(16,215) | $(25,558) | | Net cash (used in) provided by investing activities | $(3,890) | $4,448 | | Net cash (used in) provided by financing activities | $(2,010) | $6,718 | | Net change in cash, cash equivalents and restricted cash | $(22,210) | $(14,392) | | Cash, cash equivalents and restricted cash – end of the period | $30,873 | $22,545 | [Notes to Condensed Consolidated Financial Statements](index=13&type=section&id=Notes%20to%20Condensed%20Consolidated%20Financial%20Statements) This section provides detailed disclosures on accounting policies, financial accounts, acquisitions, debt, equity, and other key activities - The accompanying notes are an integral part of these condensed consolidated financial statements, providing essential context and detailed breakdowns of the reported financial figures[14](index=14&type=chunk)[18](index=18&type=chunk)[19](index=19&type=chunk)[20](index=20&type=chunk)[27](index=27&type=chunk) [NOTE 1 – Organization and Basis of Presentation](index=13&type=section&id=NOTE%201%20%E2%80%93%20ORGANIZATION%20AND%20BASIS%20OF%20PRESENTATION) Bridger Aerospace provides aerial wildfire services and airframe modification solutions, with a significant sale-leaseback transaction pending - Bridger Aerospace Group Holdings, Inc provides aerial wildfire surveillance, relief, suppression, and airframe modification services[29](index=29&type=chunk) - The Company owns **twelve aircraft**, including six Viking CL-415EAFs and four Daher Kodiak 100s[30](index=30&type=chunk) - A sale and leaseback of hangar and office facilities for approximately **$46.0 million** is expected to close in the third quarter of 2025[34](index=34&type=chunk) - The cash flow statement for H1 2024 was restated to reclassify **$3.0 million** from operating to investing activities due to an immaterial error[37](index=37&type=chunk)[39](index=39&type=chunk) [NOTE 2 – Summary of Significant Accounting Policies](index=16&type=section&id=NOTE%202%20%E2%80%93%20SUMMARY%20OF%20SIGNIFICANT%20ACCOUNTING%20POLICIES) This note details key accounting policies, including consolidation of VIEs, revenue recognition methods, and the treatment of warrant liabilities - **Northern Fire Management Services, LLC** is consolidated as a Variable Interest Entity (VIE) as the Company is its primary beneficiary[41](index=41&type=chunk) - **Bridger Aerospace Europe, S.L.U.** and **MAB Funding, LLC** are not consolidated[42](index=42&type=chunk) - Aerial firefighting revenues are recognized over time using the **output method**[47](index=47&type=chunk)[48](index=48&type=chunk)[49](index=49&type=chunk) - Maintenance, Repair and Overhaul (MRO) revenues are recognized over time using the **cost-to-cost method**[51](index=51&type=chunk)[52](index=52&type=chunk) - Public and Private Placement Warrants are classified as **liabilities at fair value** and remeasured each reporting period[72](index=72&type=chunk) - The Company is evaluating new accounting standards for expense and income tax disclosures, with the latter not expected to have a material impact[76](index=76&type=chunk)[77](index=77&type=chunk) [NOTE 3 – Supplemental Cash Flow Information](index=23&type=section&id=NOTE%203%20%E2%80%93%20SUPPLEMENTAL%20CASH%20FLOW%20INFORMATION) This note provides details on cash paid for interest and significant non-cash investing and financing activities | Metric (in thousands) | 6 Months Ended June 30, 2025 | 6 Months Ended June 30, 2024 | | :-------------------- | :--------------------------- | :--------------------------- | | Cash paid for interest | $11,247 | $11,626 | | Series A Preferred Stock - adjustment to maximum redemption value | $13,197 | $12,385 | | Purchase consideration of Ignis acquisition paid in Common Stock | $1,191 | $5,000 | [NOTE 4 – Cash Equivalents](index=23&type=section&id=NOTE%204%20%E2%80%93%20CASH%20EQUIVALENTS) Cash equivalents, primarily money market funds, decreased significantly, while restricted cash remained stable | Metric (in thousands) | June 30, 2025 | December 31, 2024 | | :-------------------- | :------------ | :---------------- | | Cash equivalents: Money market fund | $14,046 | $36,305 | | Restricted cash: Money market fund | $13,837 | $13,747 | [NOTE 5 – Accounts Receivable](index=23&type=section&id=NOTE%205%20%E2%80%93%20ACCOUNTS%20RECEIVABLE) Total accounts receivable more than tripled, driven by a substantial increase in unbilled receivables | Metric (in thousands) | June 30, 2025 | December 31, 2024 | | :-------------------- | :------------ | :---------------- | | Unbilled receivable | $11,898 | $— | | Trade accounts receivable | $3,843 | $3,213 | | Foreign tax receivable | $2,300 | $986 | | Total accounts receivable | $18,325 | $5,945 | - The Company believes its credit risk is not significant as receivables are primarily from contracts with the **U.S. Government**[80](index=80&type=chunk) [NOTE 6 – Aircraft Support Parts](index=24&type=section&id=NOTE%206%20%E2%80%93%20AIRCRAFT%20SUPPORT%20PARTS) The value of aircraft support parts, including repairables and expendables, increased during the period | Metric (in thousands) | June 30, 2025 | December 31, 2024 | | :-------------------- | :------------ | :---------------- | | Repairables and expendables | $578 | $593 | | Other | $482 | $264 | | Total aircraft support parts | $1,060 | $857 | [NOTE 7 – Prepaid Expenses and Other Current Assets](index=24&type=section&id=NOTE%207%20%E2%80%93%20PREPAID%20EXPENSES%20AND%20OTHER%20CURRENT%20ASSETS) Prepaid expenses and other current assets decreased, mainly due to a reduction in deposits | Metric (in thousands) | June 30, 2025 | December 31, 2024 | | :-------------------- | :------------ | :---------------- | | Prepaid insurance | $1,836 | $1,472 | | Prepaid subscriptions | $1,130 | $1,229 | | Deposits | $124 | $1,044 | | Total prepaid expenses and other current assets | $3,320 | $3,924 | [NOTE 8 – Property, Plant and Equipment, Net](index=24&type=section&id=NOTE%208%20%E2%80%93%20PROPERTY,%20PLANT%20AND%20EQUIPMENT,%20NET) Net property, plant, and equipment remained stable, with aircraft as the largest component, and no impairment charges were recorded | Metric (in thousands) | June 30, 2025 | December 31, 2024 | | :-------------------- | :------------ | :---------------- | | Aircraft, net | $146,017 | $147,667 | | Leasehold improvements and equipment, net | $35,758 | $36,102 | | Total property, plant and equipment, net | $181,775 | $183,769 | - **Depreciation expense** for H1 2025 was **$4.6 million** in Cost of revenues and **$0.7 million** in SG&A expense[83](index=83&type=chunk) - **No impairment charges** were recorded for property, plant, and equipment during the reported periods[84](index=84&type=chunk) [NOTE 9 – Acquisition Activity](index=26&type=section&id=NOTE%209%20%E2%80%93%20ACQUISITION%20ACTIVITY) The company finalized the purchase price allocation for its 2024 acquisition of FMS, resulting in $7.7 million of goodwill - On June 28, 2024, the Company acquired **Flight Test & Mechanical Solutions, Inc (FMS)** for an initial estimated fair value of **$21.2 million**[86](index=86&type=chunk) | Purchase Price Allocation (in thousands) | As of March 31, 2025 | | :--------------------------------------- | :------------------- | | Total purchase price | $16,342 | | Total identifiable net assets | $8,617 | | Goodwill | $7,725 | - **Goodwill of $7.7 million** is primarily attributable to the assembled workforce of FMS and expected operational synergies[92](index=92&type=chunk) [NOTE 10 – Goodwill and Intangible Assets, Net](index=28&type=section&id=NOTE%2010%20%E2%80%93%20GOODWILL%20AND%20INTANGIBLE%20ASSETS,%20NET) Goodwill and intangible assets remained relatively stable, with no impairment charges recorded during the period | Metric (in thousands) | June 30, 2025 | December 31, 2024 | | :-------------------- | :------------ | :---------------- | | Goodwill | $20,888 | $20,749 | | Total intangible assets, net | $6,056 | $6,076 | - **No goodwill impairment charges** were recorded, and an interim assessment for the FMS reporting unit indicated no impairment[94](index=94&type=chunk)[279](index=279&type=chunk)[280](index=280&type=chunk) - **Amortization expense** for intangible assets was **$0.6 million** for the six months ended June 30, 2025[95](index=95&type=chunk) [NOTE 11 – Other Noncurrent Assets](index=29&type=section&id=NOTE%2011%20%E2%80%93%20OTHER%20NONCURRENT%20ASSETS) Other noncurrent assets increased slightly, driven by a rise in the operating lease right-of-use asset | Metric (in thousands) | June 30, 2025 | December 31, 2024 | | :-------------------- | :------------ | :---------------- | | Operating lease right-of-use asset | $9,094 | $7,951 | | Investment in MAB | $4,000 | $4,000 | | Total other noncurrent assets | $16,741 | $16,406 | [NOTE 12 – Accrued Expenses and Other Liabilities](index=29&type=section&id=NOTE%2012%20%E2%80%93%20ACCRUED%20EXPENSES%20AND%20OTHER%20LIABILITIES) Total accrued expenses decreased due to a significant reduction in contingent consideration, though warrant liabilities increased | Metric (in thousands) | June 30, 2025 | December 31, 2024 | | :-------------------- | :------------ | :---------------- | | Contingent consideration | $2,280 | $6,219 | | Warrant liabilities | $2,132 | $1,066 | | Total accrued expenses and other liabilities | $17,305 | $19,445 | - **Contingent consideration** decreased primarily due to a **$2.1 million** reduction from revised FMS forecasts and a **$1.2 million** settlement for the Ignis Acquisition[105](index=105&type=chunk)[108](index=108&type=chunk)[109](index=109&type=chunk) - **Public Warrants** were liability-classified at **$1.4 million** and **Private Placement Warrants** at **$0.8 million** as of June 30, 2025[101](index=101&type=chunk)[103](index=103&type=chunk) [NOTE 13 – Interest Rate Swap](index=31&type=section&id=NOTE%2013%20%E2%80%93%20INTEREST%20RATE%20SWAP) The company uses an interest rate swap as a cash flow hedge, and its fair value decreased during the period - The Company uses an **interest rate swap**, designated as a cash flow hedge, to reduce risk related to variable-rate debt[111](index=111&type=chunk) | Metric (in thousands) | June 30, 2025 | December 31, 2024 | | :-------------------- | :------------ | :---------------- | | Fair Value | $764 | $1,075 | [NOTE 14 – Fair Value Measurements](index=32&type=section&id=NOTE%2014%20%E2%80%93%20FAIR%20VALUE%20MEASUREMENTS) This note details the fair value hierarchy for assets and liabilities, with contingent consideration being the primary Level 3 item | Fair Value Hierarchy (in thousands) | Level 1 (June 30, 2025) | Level 2 (June 30, 2025) | Level 3 (June 30, 2025) | | :---------------------------------- | :---------------------- | :---------------------- | :---------------------- | | Cash | $17,036 | $— | $— | | Restricted cash: Money market fund | $13,837 | $— | $— | | Interest rate swap | $— | $764 | $— | | Warrant liabilities – Public Warrants | $1,380 | $— | $— | | Warrant liabilities – Private Placement Warrants | $— | $752 | $— | | Contingent consideration | $— | $— | $2,280 | - **Contingent consideration** is a **Level 3** financial liability, valued using a Monte-Carlo simulation-based model[123](index=123&type=chunk) [NOTE 15 – Long-Term Debt](index=34&type=section&id=NOTE%2015%20%E2%80%93%20LONG-TERM%20DEBT) Total long-term debt remained stable at $201.0 million, and the company was in compliance with all financial covenants | Debt Type (in thousands) | June 30, 2025 | December 31, 2024 | | :----------------------- | :------------ | :---------------- | | Taxable industrial revenue bonds | $160,000 | $160,000 | | Permanent loan agreements | $34,154 | $35,136 | | Term loan agreements | $12,476 | $13,077 | | Total long-term debt, net of debt issuance costs | $201,015 | $202,469 | - The Company was in **compliance with all debt covenants**, including the Debt Service Coverage Ratio (DSCR) and the **$8.0 million** minimum liquidity requirement as of June 30, 2025[127](index=127&type=chunk)[128](index=128&type=chunk)[245](index=245&type=chunk) - Amortization of debt issuance costs was **$0.5 million** for the six months ended June 30, 2025[133](index=133&type=chunk) [NOTE 16 – Commitments and Contingencies](index=36&type=section&id=NOTE%2016%20%E2%80%93%20COMMITMENTS%20AND%20CONTINGENCIES) The company faces a contingency related to the Spanish Scoopers acquisition, with a potential but not yet estimable loss of up to $15.0 million - The Company is subject to various litigation in the normal course of business, with **no material adverse effect expected**[134](index=134&type=chunk)[135](index=135&type=chunk) - A contingency exists regarding the acquisition of four Spanish Scoopers; if not purchased, the Company may owe a fee up to **$15.0 million**[136](index=136&type=chunk) - The potential loss is **not reasonably estimable**, and no liability has been recorded as of June 30, 2025[136](index=136&type=chunk) [NOTE 17 – Mezzanine Equity](index=36&type=section&id=NOTE%2017%20%E2%80%93%20MEZZANINE%20EQUITY) Series A Preferred Stock is classified as mezzanine equity, with its carrying value increasing due to accrued interest - **Series A Preferred Stock** is classified as mezzanine equity due to its conversion and redemption features[139](index=139&type=chunk) | Metric (in thousands) | June 30, 2025 | December 31, 2024 | | :-------------------- | :------------ | :---------------- | | Redeemable Series A Preferred Stock (Amounts) | $393,376 | $380,179 | - **Accrued interest** for the Series A Preferred Stock was **$13.2 million** for the six months ended June 30, 2025[138](index=138&type=chunk)[249](index=249&type=chunk) [NOTE 18 – Stockholders' Deficit](index=37&type=section&id=NOTE%2018%20%E2%80%93%20STOCKHOLDERS'%20DEFICIT) This note details common stock issuances, RSU activity, and the establishment of a new $100.0 million ATM agreement - In connection with the Reverse Recapitalization, the Company issued **43,769,290 shares** of Common Stock[143](index=143&type=chunk) | RSU Activity (6 months ended June 30, 2025) | Number of Awards | | :------------------------------------------ | :--------------- | | Outstanding as of December 31, 2024 | 4,472,950 | | Granted | 778,000 | | Vested | (908,668) | | Forfeited/Cancelled | (372,910) | | Outstanding as of June 30, 2025 | 3,969,372 | - **Stock-based compensation expense** for RSUs in H1 2025 was **$0.6 million** in Cost of revenues and **$3.1 million** in SG&A expense[146](index=146&type=chunk) - The Company entered into a 2025 ATM Agreement for up to **$100.0 million** in Common Stock sales, with no shares sold in H1 2025[153](index=153&type=chunk)[158](index=158&type=chunk) [NOTE 19 – Related Party Transactions](index=39&type=section&id=NOTE%2019%20%E2%80%93%20RELATED%20PARTY%20TRANSACTIONS) The company's founder placed his ownership interests into a blind trust, ceasing his related party status after May 28, 2025 - Mr Timothy Sheehy, the Company's founder, placed his ownership interests into a **blind trust** on May 28, 2025, ceasing related party status[159](index=159&type=chunk)[160](index=160&type=chunk) - For H1 2025, the Company incurred **$0.7 million** in aircraft lease expense from Mr Timothy Sheehy[162](index=162&type=chunk)[164](index=164&type=chunk) - Senior executives who purchased Series 2022 Bonds **disposed of their holdings** as of October 1, 2024[165](index=165&type=chunk) [NOTE 20 – Income Taxes](index=40&type=section&id=NOTE%2020%20%E2%80%93%20INCOME%20TAXES) The company recorded an income tax expense in H1 2025, resulting in a negative effective tax rate due to a full valuation allowance in the U.S | Metric (in thousands) | 6 Months Ended June 30, 2025 | 6 Months Ended June 30, 2024 | | :-------------------- | :--------------------------- | :--------------------------- | | Income tax (expense) benefit | $(433) | $470 | - The effective tax rate for H1 2025 was **(2.9)%**, primarily due to a full valuation allowance in the U.S and forecasted foreign losses[167](index=167&type=chunk) - The Company is evaluating the impact of the **One Big Beautiful Bill Act (OBBBA)**, which makes permanent 100% bonus depreciation and other tax provisions[170](index=170&type=chunk)[180](index=180&type=chunk) [NOTE 21 – Loss Per Share](index=40&type=section&id=NOTE%2021%20%E2%80%93%20LOSS%20PER%20SHARE) Basic and diluted loss per share improved significantly for both the three- and six-month periods compared to the prior year | Metric | 3 Months Ended June 30, 2025 | 3 Months Ended June 30, 2024 | 6 Months Ended June 30, 2025 | 6 Months Ended June 30, 2024 | | :----- | :--------------------------- | :--------------------------- | :--------------------------- | :--------------------------- | | Loss per share - basic and diluted | $(0.12) | $(0.33) | $(0.53) | $(0.89) | - Potentially dilutive common shares were **excluded** from diluted Loss per share computations due to their anti-dilutive effect[174](index=174&type=chunk) [NOTE 22 – Segment and Geographic Information](index=41&type=section&id=NOTE%2022%20%E2%80%93%20SEGMENT%20AND%20GEOGRAPHIC%20INFORMATION) The company operates as a single segment, with significant revenue growth from both the United States and Spain - The Company operates as a **single operating segment**, with performance assessed based on consolidated revenues and Adjusted EBITDA[175](index=175&type=chunk)[177](index=177&type=chunk) | Geographic Revenue (in thousands) | 3 Months Ended June 30, 2025 | 3 Months Ended June 30, 2024 | 6 Months Ended June 30, 2025 | 6 Months Ended June 30, 2024 | | :-------------------------------- | :--------------------------- | :--------------------------- | :--------------------------- | :--------------------------- | | United States | $25,669 | $11,197 | $35,406 | $15,676 | | Spain | $5,082 | $1,817 | $10,991 | $2,845 | - Long-lived tangible assets were primarily located in the **United States ($188.8 million)** as of June 30, 2025[179](index=179&type=chunk) [NOTE 23 – Subsequent Events](index=42&type=section&id=NOTE%2023%20%E2%80%93%20SUBSEQUENT%20EVENTS) Subsequent to the quarter end, the One Big Beautiful Bill Act (OBBBA) was signed into law, and the company is evaluating its impact - On July 4, 2025, the **One Big Beautiful Bill Act (OBBBA)** was signed into law, making permanent key elements of the Tax Cuts and Jobs Act[170](index=170&type=chunk)[180](index=180&type=chunk) - The Company is currently evaluating the impact of the OBBBA on its deferred tax balances and financial statements[180](index=180&type=chunk) [ITEM 2. MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS](index=43&type=section&id=Item%202.%20Management's%20Discussion%20and%20Analysis%20of%20Financial%20Condition%20and%20Results%20of%20Operations.) This section provides management's perspective on the company's business, financial performance, liquidity, and critical accounting policies [Business Overview](index=43&type=section&id=BUSINESS%20OVERVIEW) Bridger Aerospace specializes in aerial wildfire management and airframe modification, operating as a single segment with sufficient expected liquidity - Bridger's mission is to save lives, property, and habitats threatened by wildfires through specialized aircraft and innovative technology[183](index=183&type=chunk) - The company's core offerings include **Fire Suppression**, **Aerial Surveillance**, and **Maintenance, Repair and Overhaul (MRO)**[188](index=188&type=chunk) - Bridger manages its operations as a **single segment** for performance assessment and resource allocation[184](index=184&type=chunk) - The company expects existing cash and cash from operations to be **sufficient for at least the next 12 months**[185](index=185&type=chunk) [Key Factors Affecting Our Results of Operations](index=43&type=section&id=KEY%20FACTORS%20AFFECTING%20OUR%20RESULTS%20OF%20OPERATIONS) Results are influenced by wildfire seasonality, climate trends, and dependence on a limited supply of specialized aircraft and parts - Higher demand for services is concentrated in the **second and third quarters** due to the North American fire season[189](index=189&type=chunk) - Financial results are significantly affected by **weather, environmental factors, and climate change**[190](index=190&type=chunk) - In 2024, approximately **8.8 million acres** of U.S land burned, which was **25.7% above the 20-year annual average**[191](index=191&type=chunk) - Operations are dependent on a **limited number of suppliers** for aircraft and components, posing risks of price volatility and delays[192](index=192&type=chunk) [Key Components of Our Results of Operations](index=45&type=section&id=KEY%20COMPONENTS%20OF%20OUR%20RESULTS%20OF%20OPERATIONS) This section defines the primary components of the company's financial results, including revenues, cost of revenues, SG&A, and interest expense - **Revenues** are primarily from fire suppression, aerial surveillance, MRO, and other services[196](index=196&type=chunk) - **Cost of revenues** includes direct expenses for flight operations and routine aircraft maintenance[197](index=197&type=chunk) - **Selling, general and administrative expenses** cover administrative, business development, and professional fees[198](index=198&type=chunk) - **Interest expense** includes costs related to bonds and loans, the effect of an interest rate swap, and amortization of debt issuance costs[199](index=199&type=chunk) [Results of Operations](index=45&type=section&id=RESULTS%20OF%20OPERATIONS) The company achieved significant revenue growth and improved profitability, driven by increased aircraft utilization and strong MRO services growth | Metric (in thousands) | 3 Months Ended June 30, 2025 | 3 Months Ended June 30, 2024 | 6 Months Ended June 30, 2025 | 6 Months Ended June 30, 2024 | | :-------------------- | :--------------------------- | :--------------------------- | :--------------------------- | :--------------------------- | | Revenues | $30,751 | $13,014 | $46,397 | $18,521 | | Gross income (loss) | $12,051 | $3,147 | $10,490 | $(552) | | Operating income (loss) | $5,527 | $(4,755) | $(4,624) | $(20,064) | | Net income (loss) | $308 | $(9,981) | $(15,230) | $(30,068) | [Three Months Ended June 30, 2025 vs. 2024](index=45&type=section&id=Comparison%20of%20the%20Three%20Months%20Ended%20June%2030%2C%202025%20to%20the%20Three%20Months%20Ended%20June%2030%2C%202024) Revenues surged 136% and operating income turned positive, driven by strong performance in fire suppression and MRO services | Metric (in thousands) | June 30, 2025 | June 30, 2024 | Change ($) | Change (%) | | :-------------------- | :------------ | :------------ | :--------- | :--------- | | Revenues | $30,751 | $13,014 | $17,737 | 136% | | Fire suppression | $18,075 | $7,466 | $10,609 | 142% | | MRO | $5,356 | $1,817 | $3,539 | 195% | | Operating income (loss) | $5,527 | $(4,755) | $10,282 | (216%) | - **Selling, general and administrative expense decreased by 17%** to $6.5 million, primarily due to lower contingent consideration and stock-based compensation costs[210](index=210&type=chunk) [Six Months Ended June 30, 2025 vs. 2024](index=48&type=section&id=Comparison%20of%20the%20Six%20Months%20Ended%20June%2030%2C%202025%20to%20the%20Six%20Months%20Ended%20June%2030%2C%202024) Revenues grew 151% and the operating loss narrowed by 77%, reflecting strong growth across all service lines | Metric (in thousands) | June 30, 2025 | June 30, 2024 | Change ($) | Change (%) | | :-------------------- | :------------ | :------------ | :--------- | :--------- | | Revenues | $46,397 | $18,521 | $27,876 | 151% | | Fire suppression | $23,858 | $11,347 | $12,511 | 110% | | MRO | $13,246 | $2,245 | $11,001 | 490% | | Operating loss | $(4,624) | $(20,064) | $15,440 | (77%) | - **Selling, general and administrative expense decreased by 23%** to $15.1 million, driven by lower stock-based compensation and contingent consideration costs[225](index=225&type=chunk) [Non-GAAP Financial Measures](index=50&type=section&id=NON-GAAP%20FINANCIAL%20MEASURES) Adjusted EBITDA showed a significant positive swing, reflecting improved operational performance and underlying business trends | Metric (in thousands) | 3 Months Ended June 30, 2025 | 3 Months Ended June 30, 2024 | 6 Months Ended June 30, 2025 | 6 Months Ended June 30, 2024 | | :-------------------- | :--------------------------- | :--------------------------- | :--------------------------- | :--------------------------- | | EBITDA | $10,246 | $(2,613) | $2,674 | $(15,473) | | Adjusted EBITDA | $10,819 | $191 | $5,744 | $(6,737) | | Adjusted EBITDA margin | 35% | 1% | 12% | (36%) | [Liquidity and Capital Resources](index=52&type=section&id=LIQUIDITY%20AND%20CAPITAL%20RESOURCES) The company deems its current liquidity sufficient for the next 12 months, with total long-term debt at $201.0 million - As of June 30, 2025, principal sources of liquidity were **cash and cash equivalents of $17.0 million** and **restricted cash of $13.8 million**[235](index=235&type=chunk) - The company may receive up to **$306.5 million** from the exercise of outstanding warrants, though this is unlikely at current stock prices[236](index=236&type=chunk) - Additional financing may be needed for **significant acquisition opportunities**[238](index=238&type=chunk) | Contractual Obligation (in thousands) | Total | Current | Noncurrent | | :------------------------------------ | :------- | :------- | :--------- | | Lease obligations | $9,230 | $2,297 | $6,933 | | Debt obligations | $206,766 | $3,507 | $203,259 | | Total | $215,996 | $5,804 | $210,192 | - The Company is in **compliance with all financial covenants** for its debt obligations as of June 30, 2025[245](index=245&type=chunk)[247](index=247&type=chunk)[248](index=248&type=chunk) [Critical Accounting Policies and Estimates](index=57&type=section&id=CRITICAL%20ACCOUNTING%20POLICIES%20AND%20ESTIMATES) This section highlights key accounting policies requiring significant management judgment, including revenue recognition and impairment testing - Critical accounting policies involve significant judgment, including **revenue recognition**, **business combinations**, **stock-based compensation**, and **impairment of goodwill**[262](index=262&type=chunk) - Revenue recognition for aerial firefighting uses the **output method**, while maintenance repair contracts use the **cost-to-cost method**[267](index=267&type=chunk)[268](index=268&type=chunk) - Goodwill is assessed for impairment annually or more frequently if indicators arise; an interim assessment as of June 30, 2025, indicated **no impairment**[277](index=277&type=chunk)[279](index=279&type=chunk)[280](index=280&type=chunk) - Warrants are classified as **liabilities at fair value** and remeasured at each balance sheet date[287](index=287&type=chunk) [Recent Accounting Pronouncements](index=61&type=section&id=RECENT%20ACCOUNTING%20PRONOUNCEMENTS) The company refers to Note 2 for details on recent accounting pronouncements adopted and under evaluation - For additional information regarding recent accounting pronouncements, refer to **Note 2 – Summary of Significant Accounting Policies**[288](index=288&type=chunk) [Emerging Growth Company and Smaller Reporting Company Status](index=61&type=section&id=EMERGING%20GROWTH%20COMPANY%20AND%20SMALLER%20REPORTING%20COMPANY%20STATUS) The company qualifies as an "emerging growth company" and a "smaller reporting company," benefiting from reduced disclosure obligations - The Company is an **"emerging growth company"** and has elected to use the extended transition period for new accounting standards[289](index=289&type=chunk) - This status will be maintained until the earliest of December 31, 2028, or meeting certain revenue or market capitalization thresholds[291](index=291&type=chunk) - The Company is also a **"smaller reporting company,"** which allows for certain reduced disclosure obligations[292](index=292&type=chunk) [ITEM 3. QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK](index=56&type=section&id=Item%203.%20Quantitative%20and%20Qualitative%20Disclosures%20about%20Market%20Risk.) As a smaller reporting company, Bridger Aerospace is not required to provide these disclosures - The Company is a "smaller reporting company" and is **not required to provide** quantitative and qualitative disclosures about market risk[260](index=260&type=chunk)[295](index=295&type=chunk) [ITEM 4. CONTROLS AND PROCEDURES](index=57&type=section&id=Item%204.%20Controls%20and%20Procedures.) Disclosure controls were deemed ineffective due to two material weaknesses in accounting for complex transactions and IT user access controls - The Company's disclosure controls and procedures were **not effective** as of June 30, 2025[296](index=296&type=chunk) - **Two material weaknesses** were identified: (1) accounting for complex transactions and (2) monitoring user access to certain IT systems[298](index=298&type=chunk) - **Remediation efforts** are underway, including improving workflows, hiring a Director of Technical Accounting, and enhancing IT access controls[299](index=299&type=chunk)[301](index=301&type=chunk) PART II – OTHER INFORMATION [ITEM 1. LEGAL PROCEEDINGS](index=65&type=section&id=Item%201.%20Legal%20Proceedings.) The company is involved in routine legal proceedings that are not expected to have a material adverse effect - The Company is involved in routine legal proceedings and litigation in the normal course of business[304](index=304&type=chunk) - There are **no material pending legal proceedings** expected to have a material adverse effect on the Company's financial condition or results[135](index=135&type=chunk)[304](index=304&type=chunk) [ITEM 1A. RISK FACTORS](index=65&type=section&id=Item%201A.%20Risk%20Factors.) There have been no material changes to the risk factors previously disclosed in the company's Annual Report on Form 10-K - There have been **no material changes** during the three months ended June 30, 2025, to the risk factors disclosed in the Company's Annual Report[305](index=305&type=chunk) - The Company may experience additional risks and uncertainties not currently known or deemed immaterial[306](index=306&type=chunk) [ITEM 2. UNREGISTERED SALES OF EQUITY SECURITIES AND USE OF PROCEEDS](index=65&type=section&id=Item%202.%20Unregistered%20Sales%20of%20Equity%20Securities%20and%20Use%20of%20Proceeds.) There were no unregistered sales of equity securities or use of proceeds to report during the period - None to report[307](index=307&type=chunk) [ITEM 3. DEFAULTS UPON SENIOR SECURITIES](index=65&type=section&id=Item%203.%20Defaults%20Upon%20Senior%20Securities.) There were no defaults upon senior securities to report during the period - None to report[308](index=308&type=chunk) [ITEM 4. MINE SAFETY DISCLOSURES](index=65&type=section&id=Item%204.%20Mine%20Safety%20Disclosures.) This item is not applicable to the company - Not applicable[309](index=309&type=chunk) [ITEM 5. OTHER INFORMATION](index=65&type=section&id=Item%205.%20Other%20Information.) No directors or executive officers adopted or terminated a Rule 10b5-1 trading arrangement during the quarter - During the three months ended June 30, 2025, none of the Company's directors or executive officers adopted or terminated a "Rule 10b5-1 trading arrangement" or "non-Rule 10b5-1 trading arrangement"[310](index=310&type=chunk) [ITEM 6. EXHIBITS](index=66&type=section&id=Item%206.%20Exhibits.) This section lists all exhibits filed with the Quarterly Report on Form 10-Q - The exhibits include organizational documents, material agreements, and certifications from the CEO and CFO[312](index=312&type=chunk)

Financial Data and Key Metrics Changes - Revenue for Q2 2025 reached a record $30,800,000, up 136% from $13,000,000 in Q2 2024 [22] - Positive net income of $300,000 reported, compared to a net loss of $10,000,000 in the previous year, marking the first positive net income in Q2 [7][24] - Adjusted EBITDA for Q2 2025 was $10,800,000, compared to $200,000 in Q2 2024 [25] - Total cash and cash equivalents at the end of Q2 2025 were $17,000,000, down from $39,300,000 in Q2 2024 [27] Business Line Data and Key Metrics Changes - FMS contributed $400,000 in revenue during Q2 2025, with optimism for year-round revenue growth despite delays due to federal budgeting [11][12] - Revenue from ongoing operations more than doubled to $25,700,000 compared to $11,200,000 in Q2 2024 [22] Market Data and Key Metrics Changes - Year-to-date wildfires have been above average in count with approximately 40,000 fires, but below average in acreage burned at just over 3,000,000 acres [10] - The company secured two separate 120-day task orders for its Super Scoopers, indicating strong adoption of its firefighting assets [8][9] Company Strategy and Development Direction - The company is focused on year-round demand and maximizing fleet utilization, with a strategy to enhance operational effectiveness through new technologies [10][12] - Plans to develop a new water scooping firefighting aircraft, the FF72, with the first delivery scheduled for 2029 [13] - The company is pursuing exclusive use contracts with states to provide firefighting assets, anticipating increased demand due to year-round wildfire threats [20] Management's Comments on Operating Environment and Future Outlook - Management highlighted the significance of the President's executive order to restructure the national wildland firefighting system, which is expected to enhance efficiency and effectiveness in wildfire management [17][18] - The company is optimistic about future growth driven by federal and state initiatives aimed at improving wildfire response and management [20][30] Other Important Information - The company plans to use proceeds from a sale-leaseback transaction of its Bozeman campus facilities to repay outstanding debt, which will lower ongoing interest expenses [27] - Guidance for 2025 anticipates adjusted EBITDA of $42,000,000 to $48,000,000 on revenue of $105,000,000 to $111,000,000, with expectations for continued improvement in cash flow [28] Q&A Session Summary Question: What is the outlook for the company's growth? - The company is trending towards the higher end of its annual guidance due to increased adoption of its aircraft and record task orders [30] Question: Are there any updates on the Spanish Super Scoopers? - The company plans to revisit guidance after reporting third-quarter results, which are expected to represent the bulk of revenue and adjusted EBITDA for the year [28]

[Press Release Overview](index=1&type=section&id=Press%20Release%20Overview) Bridger Aerospace reports record second-quarter performance driven by expanded contracts, increased fire activity, and strategic fleet deployment [Second Quarter Highlights](index=1&type=section&id=Second%20Quarter%20Highlights) Bridger Aerospace reported its strongest second quarter in company history, driven by expanded contracts and increased fire activity, achieving record revenue, positive net income, and substantial Adjusted EBITDA growth Second Quarter Financial Highlights (in thousands) | Metric | Q2 2025 | Q2 2024 | YoY Change | | :------------------------ | :------ | :------ | :--------- | | Revenues | $30,751 | $13,014 | +136% | | Operating income (loss) | $5,527 | $(4,755) | Swing to profit | | Net income (loss) | $308 | $(9,981) | Swing to profit | | Adjusted EBITDA | $10,819 | $191 | +5564% | - Achieved **100% deployment** of the fleet with earliest call-outs in Company history[6](index=6&type=chunk) - Secured historic **120-day Super Scooper task orders**, ensuring deployment through at least October, underscoring year-round wildfire activity[6](index=6&type=chunk) - Signed a **$46 million sale leaseback deal** for hangar and campus HQ, expected to close in Q3 2025, with proceeds aimed at reducing interest expense and fortifying the balance sheet[6](index=6&type=chunk) [CEO Commentary](index=1&type=section&id=CEO%20Commentary) CEO Sam Davis highlighted the team's dedication during an active wildfire year, emphasizing early Super Scooper deployment and 120-day task orders guaranteeing fleet utilization and anticipating increased year-round revenue - Early deployment of Super Scoopers and record **120-day task orders** guarantee utilization and fleet dedication to critical wildfire response efforts[5](index=5&type=chunk) - Expects more year-round revenue by focusing on maximizing daily availability and flight hours[5](index=5&type=chunk) - Positioned for another **record year** due to continued high wildfire activity early in Q3, actively supporting state and federal customers[5](index=5&type=chunk) [Financial Results - Detailed Analysis](index=1&type=section&id=Financial%20Results%20-%20Detailed%20Analysis) This section details Bridger Aerospace's strong Q2 and year-to-date financial performance, highlighting growth and profitability [Second Quarter 2025 Results](index=1&type=section&id=Second%20Quarter%202025%20Results) Bridger Aerospace achieved record financial performance in Q2 2025, with significant revenue growth, a positive swing in net income, and a substantial increase in Adjusted EBITDA, primarily driven by higher activity and earlier aircraft deployment [Revenue (Q2 2025)](index=1&type=section&id=Revenue%20%28Q2%202025%29) Q2 2025 revenue saw a substantial increase, primarily driven by significantly higher operational activity and earlier deployment of multiple Super Scoopers and surveillance aircraft Q2 Revenue (in millions) | Metric | 2025 | 2024 | YoY Change | | :------------------------------------------------ | :--- | :--- | :--------- | | Total Revenue | $30.8 | $13.0 | +136% | | Revenue (excluding MAB return-to-service work) | $25.7 | $11.2 | +129% | - Revenue increase driven by significantly higher activity with multiple Super Scoopers and surveillance aircraft deployed earlier in Q2 2025[7](index=7&type=chunk) [Cost of Revenues (Q2 2025)](index=2&type=section&id=Cost%20of%20Revenues%20%28Q2%202025%29) Cost of revenues increased in Q2 2025, primarily due to expenses associated with return-to-service work for the Spanish Super Scoopers Q2 Cost of Revenues (in millions) | Metric | 2025 | 2024 | YoY Change | | :---------------- | :--- | :--- | :--------- | | Cost of Revenues | $18.7 | $9.9 | +89% | - Increase includes **$3.9 million of expenses** associated with return-to-service work for the Spanish Super Scoopers[8](index=8&type=chunk) [Operating Expenses (Q2 2025)](index=2&type=section&id=Operating%20Expenses%20%28Q2%202025%29) Operating expenses in Q2 2025 decreased, mainly reflecting lower non-cash stock-based compensation and a reduction in earnout consideration Q2 Operating Expenses (in millions) | Metric | 2025 | 2024 | YoY Change | | :-------------------------------- | :--- | :--- | :--------- | | Selling, General & Administrative | $6.5 | $7.9 | -17.7% | | Interest Expense | $5.7 | $5.9 | -3.4% | - SG&A decrease reflects lower non-cash stock-based compensation and a decrease in earnout consideration, partially offset by an increase in the market value of warrants[9](index=9&type=chunk) [Net Income (Loss) and EPS (Q2 2025)](index=2&type=section&id=Net%20Income%20%28Loss%29%20and%20EPS%20%28Q2%202025%29) Q2 2025 saw a significant swing to positive net income and improved loss per diluted share, reflecting enhanced profitability Q2 Net Income (Loss) and EPS (in millions, except per share) | Metric | 2025 | 2024 | YoY Change | | :-------------------- | :--- | :--- | :--------- | | Net Income (Loss) | $0.3 | $(10.0) | Swing to profit | | Loss per Diluted Share | $(0.12) | $(0.33) | Improved | [Adjusted EBITDA (Q2 2025)](index=2&type=section&id=Adjusted%20EBITDA%20%28Q2%202025%29) Adjusted EBITDA for Q2 2025 experienced a substantial increase, indicating strong operational profitability Q2 Adjusted EBITDA (in millions) | Metric | 2025 | 2024 | YoY Change | | :-------------- | :--- | :--- | :--------- | | Adjusted EBITDA | $10.8 | $0.2 | +5300% | [Cash and Cash Equivalents (Q2 2025)](index=2&type=section&id=Cash%20and%20Cash%20Equivalents%20%28Q2%202025%29) Cash and cash equivalents declined from year-end due to winter maintenance and training, with future increases expected from early fire season receivables Cash and Cash Equivalents (in millions) | Metric | As of June 30, 2025 | As of Dec 31, 2024 | Change | | :------------------------ | :------------------ | :----------------- | :----- | | Cash and Cash Equivalents | $17.0 | $39.3 | -56.7% | - The decline in cash from year-end is due to expenses related to the bulk of winter maintenance and training activities that occurred in the first half of the year[11](index=11&type=chunk) - Incoming receivables of **$18.3 million** from early fire season activity are expected to further increase the cash balance in the coming months[11](index=11&type=chunk) [Year to Date Results](index=2&type=section&id=Year%20to%20Date%20Results) For the first six months of 2025, Bridger Aerospace demonstrated strong revenue growth and a significant reduction in net loss, alongside a positive swing in Adjusted EBITDA, driven by increased operational activity and effective cost management [Revenue (YTD 2025)](index=2&type=section&id=Revenue%20%28YTD%202025%29) Year-to-date revenue significantly increased, driven by higher activity and earlier deployment of Super Scoopers and surveillance aircraft YTD Revenue (in millions) | Metric | 2025 | 2024 | YoY Change | | :------------------------------------------------ | :--- | :--- | :--------- | | Total Revenue | $46.4 | $18.5 | +150% | | Revenue (excluding MAB return-to-service work) | $35.4 | $15.7 | +125% | - Revenue increase driven by significantly higher activity with multiple Super Scoopers and surveillance aircraft deployed earlier in the first six months of 2025[12](index=12&type=chunk) [Cost of Revenues (YTD 2025)](index=2&type=section&id=Cost%20of%20Revenues%20%28YTD%202025%29) Year-to-date cost of revenues increased, primarily due to expenses associated with the return-to-service work for the Spanish Super Scoopers YTD Cost of Revenues (in millions) | Metric | 2025 | 2024 | YoY Change | | :---------------- | :--- | :--- | :--------- | | Cost of Revenues | $35.9 | $19.1 | +88% | - Increase includes **$9.5 million of expenses** associated with the return-to-service work for the Spanish Super Scoopers[13](index=13&type=chunk) [Operating Expenses (YTD 2025)](index=2&type=section&id=Operating%20Expenses%20%28YTD%202025%29) Year-to-date operating expenses decreased, reflecting lower non-cash stock-based compensation and reduced earnout consideration YTD Operating Expenses (in millions) | Metric | 2025 | 2024 | YoY Change | | :-------------------------------- | :--- | :--- | :--------- | | Selling, General & Administrative | $15.1 | $19.5 | -22.6% | | Interest Expense | $11.5 | $11.8 | -2.5% | - SG&A decrease reflects lower non-cash stock-based compensation expense and a decrease in earnout consideration, partially offset by an increase in the market value of warrants[14](index=14&type=chunk) [Net Loss and Adjusted EBITDA (YTD 2025)](index=2&type=section&id=Net%20Loss%20and%20Adjusted%20EBITDA%20%28YTD%202025%29) Year-to-date net loss significantly reduced, and Adjusted EBITDA swung to positive, indicating improved financial performance YTD Net Loss and Adjusted EBITDA (in millions) | Metric | 2025 | 2024 | YoY Change | | :-------------- | :---- | :---- | :--------- | | Net Loss | $(15.2) | $(30.1) | Reduced by 49.5% | | Adjusted EBITDA | $5.7 | $(6.7) | Swing to positive | [Business Outlook](index=2&type=section&id=Business%20Outlook) Bridger Aerospace expects to achieve the higher end of its 2025 guidance for Adjusted EBITDA and revenue, driven by strong fleet utilization [Business Outlook](index=2&type=section&id=Business%20Outlook) Bridger Aerospace expects to achieve the higher end of its 2025 guidance for Adjusted EBITDA and revenue, driven by strong fleet utilization in Q2 and Q3, and record Super Scooper task orders - Expects to end 2025 at the **higher end of previously issued guidance** due to strong fleet utilization in Q2 and Q3, as well as record task orders for Super Scoopers[17](index=17&type=chunk)[18](index=18&type=chunk) 2025 Guidance (Higher End) | Metric | Amount | | :-------------- | :----------- | | Adjusted EBITDA | $48 million | | Revenue | $111 million | - Expects continued improvement in cash provided by operating activities in 2025[18](index=18&type=chunk) - This guidance excludes any potential impact from the Spanish Super Scoopers acquired by the joint venture partnership between the Company and MAB[18](index=18&type=chunk) [Corporate Information](index=3&type=section&id=Corporate%20Information) This section outlines Bridger Aerospace's mission, services, investor contacts, and forward-looking statement disclaimers [About Bridger Aerospace](index=3&type=section&id=About%20Bridger%20Aerospace) Bridger Aerospace Group Holdings, Inc. is a leading aerial firefighting company based in Belgrade, Montana, providing essential services to federal and state government agencies - One of the nation's largest aerial firefighting companies, based in Belgrade, Montana[21](index=21&type=chunk) - Provides aerial firefighting and wildfire management services to federal and state government agencies (e.g., U.S. Forest Service) across the nation and internationally[21](index=21&type=chunk) [Conference Call & Investor Contacts](index=3&type=section&id=Conference%20Call%20%26%20Investor%20Contacts) Bridger Aerospace will host an investor conference call on August 7, 2025, to discuss its Q2 results and business outlook, with details provided for access and investor relations - Investor conference call scheduled for **Thursday, August 7, 2025, at 5:00 p.m. Eastern Time**[20](index=20&type=chunk) - Access details for the conference call and audio replay are available via phone and the Investor Relations section of the company website[20](index=20&type=chunk) - Investor contact: Alison Ziegler of Darrow Associates[22](index=22&type=chunk) [Forward Looking Statements](index=3&type=section&id=Forward%20Looking%20Statements) This press release contains forward-looking statements, subject to various risks and uncertainties, including wildfire season severity, operational expansion, and financial performance - Statements regarding future events, such as operational expansion, financial performance, demand for aerial firefighting services, and cost reduction actions, are forward-looking[22](index=22&type=chunk) - Subject to risks and uncertainties including the duration or severity of wildfire seasons, changes in market conditions, failure to realize anticipated benefits of acquisitions, increased competition, and difficulties managing growth[22](index=22&type=chunk)[23](index=23&type=chunk) - Actual events and circumstances are difficult or impossible to predict and will differ from assumptions; undue reliance should not be placed upon these statements[22](index=22&type=chunk)[23](index=23&type=chunk) [Consolidated Financial Statements](index=4&type=section&id=Consolidated%20Financial%20Statements) This section presents Bridger Aerospace's consolidated statements of operations, balance sheets, and cash flows [CONSOLIDATED STATEMENTS OF OPERATIONS](index=4&type=section&id=CONSOLIDATED%20STATEMENTS%20OF%20OPERATIONS) The Consolidated Statements of Operations present Bridger Aerospace's revenues, costs, and expenses, leading to net income or loss for the three and six months ended June 30, 2025, and 2024 For the three months ended June 30 (in thousands) | Metric | 2025 | 2024 | | :-------------------------------- | :----- | :----- | | Revenues | $30,751 | $13,014 | | Total cost of revenues | $18,700 | $9,867 | | Gross profit (loss) | $12,051 | $3,147 | | Operating income (loss) | $5,527 | $(4,755) | | Net income (loss) | $308 | $(9,981) | | Loss per share - basic | $(0.12) | $(0.33) | For the six months ended June 30 (in thousands) | Metric | 2025 | 2024 | | :-------------------------------- | :----- | :----- | | Revenues | $46,397 | $18,521 | | Total cost of revenues | $35,907 | $19,073 | | Gross profit (loss) | $10,490 | $(552) | | Operating income (loss) | $(4,624) | $(20,064) | | Net income (loss) | $(15,230) | $(30,068) | | Loss per share - basic | $(0.53) | $(0.89) | [CONSOLIDATED BALANCE SHEETS](index=5&type=section&id=CONSOLIDATED%20BALANCE%20SHEETS) The Consolidated Balance Sheets provide a snapshot of Bridger Aerospace's financial position as of June 30, 2025, compared to December 31, 2024, highlighting changes in assets and liabilities As of (in thousands) | Metric | June 30, 2025 | December 31, 2024 | | :------------------------------------------ | :------------ | :---------------- | | Total assets | $279,038 | $290,809 | | Cash and cash equivalents | $17,036 | $39,336 | | Accounts and note receivable | $18,325 | $5,945 | | Total current assets | $53,578 | $63,809 | | Total liabilities | $236,652 | $237,332 | | Total stockholders' deficit | $(350,990) | $(326,702) | [CONSOLIDATED STATEMENTS OF CASH FLOWS](index=6&type=section&id=CONSOLIDATED%20STATEMENTS%20OF%20CASH%20FLOWS) The Consolidated Statements of Cash Flows detail cash generated from or used in operating, investing, and financing activities for the six months ended June 30, 2025, and 2024 For the six months ended June 30 (in thousands) | Metric | 2025 | 2024 | | :------------------------------------------ | :------- | :------- | | Net cash used in operating activities | $(16,215) | $(25,558) | | Net cash (used in) provided by investing activities | $(3,890) | $4,448 | | Net cash (used in) provided by financing activities | $(2,010) | $6,718 | | Net change in cash, cash equivalents and restricted cash | $(22,210) | $(14,392) | | Cash and cash equivalents – end of the period | $17,036 | $8,526 | [Non-GAAP Results and Reconciliations](index=7&type=section&id=Non-GAAP%20Results%20and%20Reconciliations) This section defines and reconciles non-GAAP measures like EBITDA and Adjusted EBITDA, offering insights into business performance [Non-GAAP Definitions and Rationale](index=7&type=section&id=Non-GAAP%20Definitions%20and%20Rationale) Bridger Aerospace utilizes non-GAAP measures like EBITDA and Adjusted EBITDA to assess business performance and supplement GAAP results, providing a more comprehensive understanding of underlying trends - EBITDA and Adjusted EBITDA are used as key profitability measures to assess business performance and illustrate underlying trends[34](index=34&type=chunk) - These non-GAAP measures are not recognized under GAAP, have limitations as analytical tools, and should not be considered in isolation or as substitutes for GAAP results[35](index=35&type=chunk) - Bridger does not provide a reconciliation of forward-looking measures where such a reconciliation would imply a degree of precision and certainty that could be confusing to investors and is unable to reasonably predict certain items contained in the GAAP measures without unreasonable efforts[36](index=36&type=chunk) [EBITDA Definition](index=7&type=section&id=EBITDA%20Definition) EBITDA is a non-GAAP profitability measure representing net income or loss before interest, taxes, depreciation, and amortization, used to compare performance across different capital structures - EBITDA is a non-GAAP profitability measure that represents net income or loss for the period before the impact of interest expense, income tax expense (benefit), and depreciation and amortization of property, plant and equipment and intangible assets[37](index=37&type=chunk) - It eliminates potential differences in performance caused by variations in capital structures, the cost and age of tangible assets, and the extent to which intangible assets are identifiable[37](index=37&type=chunk) [Adjusted EBITDA Definition](index=7&type=section&id=Adjusted%20EBITDA%20Definition) Adjusted EBITDA is a non-GAAP profitability measure that further adjusts EBITDA for specific items to facilitate period-over-period and peer-to-peer performance comparisons - Adjusted EBITDA is a non-GAAP profitability measure that represents EBITDA before certain items considered to hinder comparison of business performance on a period-over-period basis or with other businesses[38](index=38&type=chunk) - Exclusions include offering costs related to financing and other transactions, non-cash stock-based compensation, business development and integration expenses, and changes in the fair value of earnout consideration and warrants[38](index=38&type=chunk)[39](index=39&type=chunk) [EBITDA and Adjusted EBITDA Reconciliation](index=8&type=section&id=EBITDA%20and%20Adjusted%20EBITDA%20Reconciliation) This section provides a detailed reconciliation of net income (loss) to EBITDA and Adjusted EBITDA for the three and six months ended June 30, 2025, and 2024 EBITDA and Adjusted EBITDA Reconciliation (in thousands) For the three months ended June 30 | Metric | 2025 | 2024 | | :-------------------------------- | :----- | :----- | | Net income (loss) | $308 | $(9,981) | | Income tax expense (benefit) | $182 | $(484) | | Depreciation and amortization | $4,019 | $1,998 | | Interest expense | $5,737 | $5,854 | | **EBITDA** | **$10,246** | **$(2,613)** | | Stock-based compensation | $1,737 | $4,477 | | Business development & integration expenses | $355 | $149 | | Offering costs | $279 | $(149) | | Change in fair value of earnout consideration | $(2,597) | $192 | | Change in fair value of Warrants | $799 | $(1,865) | | **Adjusted EBITDA** | **$10,819** | **$191** | For the six months ended June 30 | Metric | 2025 | 2024 | | :-------------------------------- | :----- | :----- | | Net income (loss) | $(15,230) | $(30,068) | | Income tax expense (benefit) | $433 | $(470) | | Depreciation and amortization | $5,999 | $3,288 | | Interest expense | $11,472 | $11,777 | | **EBITDA** | **$2,674** | **$(15,473)** | | Stock-based compensation | $3,728 | $10,350 | | Business development & integration expenses | $587 | $460 | | Offering costs | $437 | $(149) | | Change in fair value of earnout consideration | $(2,748) | $207 | | Change in fair value of Warrants | $1,066 | $(2,132) | | **Adjusted EBITDA** | **$5,744** | **$(6,737)** |

Industry Overview - The Aerospace and Defense industry is experiencing a strong demand outlook, characterized by high barriers to entry and significant aftermarket opportunities [1] - Growth in the industry is expected to exceed GDP growth, driven by increased defense spending and potential mergers and acquisitions (M&A) [1] Event Details - Gabelli Funds, LLC is hosting the annual Aerospace & Defense Symposium on September 4, 2025, at The Harvard Club in New York City [1] - The symposium will feature top executives from over ten companies, providing opportunities for one-on-one meetings with management [1] Featured Companies - Notable companies participating in the symposium include AIRO Group Holdings, Elbit Systems, Albany International, Graham Corporation, and Textron, among others [2]