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Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-K (Mark One) ☒ ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(D) OF THE SECURITIES EXCHANGE ACT OF 1934 For the fiscal year ended December 31, 2025 ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(D) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from __________ to __________ Commission file number: 001-37862 PHUNWARE, INC. (Exact name of registrant as specified in its charter) | Delaware 30-12057 ...

Phunware Inc. CEO Jeremy Krol joined Steve Darling from Proactive to discuss the company’s financial results for the fourth quarter and full year ended December 31, 2025, highlighting momentum in its software segment despite broader market headwinds. Phunware reported a slight year-over-year revenue decline of approximately $0.6 million from 2024 to 2025, primarily due to a softer advertising market. However, this was offset by growth in its software business, which continues to be a key strategic focus. ...

Core Insights - Phunware Inc. reported an earnings surprise of 18.52%, with an EPS of -$0.11 for March 20, 2026, better than the anticipated -$0.13 [1][5] - The company's quarterly revenue reached $800,000, a 33% increase from the previous year's $590,000, indicating consistent growth [2][5] - A strategic pivot towards artificial intelligence in the hospitality sector has led to a significant increase in gross margin to 57.7% from 23.3% the previous year [3][5] Financial Performance - Despite a year-over-year decline in full-year revenue to $2.6 million from $3.2 million, the company narrowed its net loss to $2.1 million from $2.6 million [3] - The negative price-to-earnings (P/E) ratio of -3.16 reflects the current earnings deficit, while a low debt-to-equity ratio of 0.0036 and a strong current ratio of 5.03 indicate minimal debt reliance and excellent liquidity [4]

Phunware (PHUN) came out with a quarterly loss of $0.11 per share versus the Zacks Consensus Estimate of a loss of $0.14. This compares to a loss of $0.06 per share a year ago. These figures are adjusted for non-recurring items.This quarterly report represents an earnings surprise of +18.52%. A quarter ago, it was expected that this company would post a loss of $0.14 per share when it actually produced a loss of $0.12, delivering a surprise of +14.29%.Over the last four quarters, the company has surpassed c ...

Revenue Performance - Net revenue increased by 33% to $0.8 million in Q4 2025, compared to $0.6 million in Q4 2024[4] - FY 2025 net revenue decreased to $2.6 million from $3.2 million in FY 2024[4] - Net revenue for the year ended December 31, 2025, was $2,553 million, a decrease of 20% from $3,189 million in 2024[27] Gross Margin - Gross margin improved to 57.7% in Q4 2025, up from 23.3% in Q4 2024, representing a 3,443 basis point increase[4] - FY 2025 gross margin increased by 500 basis points to 50.6%, compared to 45.6% in FY 2024[4] Cash and Cash Equivalents - Cash and cash equivalents totaled $100.6 million as of December 31, 2025[4] - Cash and cash equivalents at the end of the period were $100,587 million, down from $112,974 million at the beginning of the period[29] Operating Expenses and Losses - Total operating expenses increased significantly to $21,810 million in 2025, up 42.3% from $15,343 million in 2024[27] - Operating loss widened to $20,519 million in 2025, compared to a loss of $13,889 million in 2024[27] - Net loss for 2025 was $11,401 million, an increase from a net loss of $10,316 million in 2024[27] - Net loss per share improved to $(0.57) in 2025 from $(0.94) in 2024[27] Investment and Product Development - The company introduced two hospitality-specific product tiers aimed at enhancing guest experiences and driving revenue growth[3] - Continued investment in artificial intelligence, with a focus on guest personalization, is expected to capitalize on a projected 50% allocation of AI budgets in hospitality by 2030[7] - The AI Concierge product, which integrates real-time conversational AI with navigation technology, is now commercially available following a successful pilot program[9] - The company plans to expand its sales and marketing initiatives to drive adoption of its AI Concierge and future AI-enabled capabilities[12] Liabilities - Phunware's total liabilities increased to $24.6 million in 2025 from $7.6 million in 2024[25] Other Income - Total other income increased to $9,099 million in 2025, compared to $3,614 million in 2024[27] Cash Flow from Operations - Net cash used in operating activities from continued operations was $12,467 million in 2025, slightly improved from $13,125 million in 2024[29] - Proceeds from sales of common stock were $80 million in 2025, significantly lower than $122,342 million in 2024[29]

Core Insights - Phunware, Inc. is focusing on the hospitality market and related sectors, reporting a strong cash position to accelerate its AI platform and product initiatives [1][4][10] Financial Highlights - Net revenue for FY 2025 decreased to $2.6 million from $3.2 million in FY 2024, while Q4 2025 net revenue increased by 33% to $0.8 million compared to $0.6 million in Q4 2024 [4][26] - Gross margin improved to 50.6% for FY 2025, up 500 basis points from 45.6% in FY 2024, and reached 57.7% in Q4 2025, a significant increase from 23.3% in Q4 2024 [4][26] - The net loss for FY 2025 was $11.4 million, or ($0.57) per share, compared to a net loss of $10.3 million, or ($0.94) per share in FY 2024 [4][26] - Cash and cash equivalents totaled $100.6 million as of December 31, 2025, down from $112.9 million at the end of 2024 [4][23] Recent Business Highlights - The company introduced two hospitality-specific product tiers: Luxury Engagement for premium brands and Enriched Experience for full-service independent properties, aimed at enhancing guest experiences and driving revenue [6][9] - Continued investment in AI, with a focus on guest personalization, is expected to capitalize on a trend where 50% of AI budgets in hospitality will be allocated to such efforts by 2030 [7][9] - The AI Concierge product, designed to enhance guest engagement through real-time wayfinding and personalized recommendations, is now commercially available following a successful pilot [7][9] Management Commentary - The company aims to transform the economics of large hotels and resorts through its mobile software products, emphasizing the importance of technology and AI in enhancing guest experiences and operational efficiencies [5][9] - A deliberate approach to AI development is being taken, focusing on tailored solutions that meet immediate operational needs while building robust language models for long-term value [8][9] - The leadership team has been expanded with the election of Ed Lu to the Board of Directors and the appointment of Elliot Han as Chairperson, enhancing the company's strategic direction [4][10]

Group 1 - Proactive provides fast, accessible, informative, and actionable business and finance news content to a global investment audience [2] - The news team covers medium and small-cap markets, as well as blue-chip companies, commodities, and broader investment stories [3] - Proactive's content includes insights across various sectors such as biotech, pharma, mining, natural resources, battery metals, oil and gas, crypto, and emerging technologies [3] Group 2 - Proactive is committed to adopting technology to enhance workflows and improve content production [4] - The company utilizes automation and software tools, including generative AI, while ensuring all content is edited and authored by humans [5]

Company Overview - Proactive is a financial news publisher that provides fast, accessible, informative, and actionable business and finance news content to a global investment audience [2] - The company has a team of experienced news journalists who produce independent content across various financial markets [2] Market Focus - Proactive specializes in medium and small-cap markets while also covering blue-chip companies, commodities, and broader investment stories [3] - The content delivered includes insights into sectors such as biotech and pharma, mining and natural resources, battery metals, oil and gas, crypto, and emerging digital and EV technologies [3] Technology Adoption - Proactive is recognized for its forward-looking approach and enthusiastic adoption of technology to enhance workflows [4] - The company utilizes automation and software tools, including generative AI, while ensuring that all content is edited and authored by humans [5]

Core Viewpoint - Phunware has introduced a redesigned corporate website and a refined product portfolio aimed at enhancing guest experiences in the hospitality sector, focusing on luxury brands and full-service property owners [1][2][3] Group 1: Product Offerings - The company launched two hospitality-specific products: the Luxury Engagement product for premium brands and the Enriched Experience product for full-service properties, both designed to enhance guest engagement and revenue [3][5] - The Luxury Engagement product provides personalized digital experiences and utilizes advanced wayfinding capabilities to improve guest interactions and brand loyalty [5] - The Enriched Experience product aims to elevate guest engagement through curated exploration of property amenities and services, driving additional revenue opportunities [5] Group 2: Market Strategy - Phunware's strategy focuses on leveraging its platform to transform the economics of large hotels and resorts, aiming for significant increases in ancillary revenue through enhanced guest engagement [4][6] - The company reports guest app adoption rates exceeding 70% at properties using its hospitality software, indicating a strong level of engagement that can convert traditional stays into high-margin digital marketplaces [6] Group 3: Company Vision and Future - Phunware's mission is to achieve unparalleled connectivity and monetization through the adoption of its mobile technologies, with plans to expand its audience through new generative AI products and enhancements [8] - The company emphasizes its commitment to addressing friction in guest experiences, which is seen as a major challenge in the hospitality industry [6]