Bigmerce (US:BIGC)2025-07-31 11:19PART I. FINANCIAL INFORMATION Financial Statements The company presents its unaudited condensed consolidated financial statements for Q2 2025, reporting a net loss of $8.4 million and detailing a corporate name change to Commerce.com, Inc Condensed Consolidated Balance Sheet Highlights (in thousands) | Account | June 30, 2025 (unaudited) | December 31, 2024 | | :--- | :--- | :--- | | Total Assets | $302,534 | $340,289 | | Cash and cash equivalents | $46,265 | $88,877 | | Total current assets | $209,664 | $251,219 | | Total Liabilities | $263,768 | $306,920 | | Convertible notes | $157,545 | $216,466 | | Total current liabilities | $98,281 | $88,006 | | Total Stockholders' Equity | $38,766 | $33,369 | Condensed Consolidated Statements of Operations Highlights (in thousands) | Metric | Q2 2025 | Q2 2024 | YTD 2025 | YTD 2024 | | :--- | :--- | :--- | :--- | :--- | | Revenue | $84,433 | $81,829 | $166,803 | $162,189 | | Gross Profit | $66,694 | $62,018 | $132,080 | $123,939 | | Loss from Operations | $(6,787) | $(13,488) | $(9,197) | $(21,716) | | Net Loss | $(8,382) | $(11,255) | $(8,735) | $(17,647) | | Basic Net Loss Per Share | $(0.10) | $(0.15) | $(0.11) | $(0.23) | Condensed Consolidated Statements of Cash Flows Highlights (in thousands) | Cash Flow Activity | Six months ended June 30, 2025 | Six months ended June 30, 2024 | | :--- | :--- | :--- | | Net cash provided by operating activities | $13,958 | $8,321 | | Net cash provided by (used in) investing activities | $(3,858) | $53,393 | | Net cash provided by (used in) financing activities | $(53,027) | $(351) | | Net change in cash | $(42,927) | $61,363 | - Effective July 31, 2025, BigCommerce Holdings, Inc. rebranded to Commerce.com, Inc., changing its ticker to CMRC, reflecting a strategic shift to a multi-product, AI-driven commerce ecosystem including BigCommerce, Feedonomics, and Makeswift222324 Management's Discussion and Analysis of Financial Condition and Results of Operations Management discusses the company's Q2 2025 financial performance, highlighting a rebranding to Commerce.com, 3.2% revenue growth to $84.4 million, and strategic investments in AI-driven commerce - The company rebranded to Commerce.com, unifying BigCommerce, Feedonomics, and Makeswift into an intelligent, composable ecommerce infrastructure, reflecting a strategic shift towards AI-driven commerce and a flexible, open, partner-centric architecture132133138 - Strategic priorities include leveraging AI for merchant value, investing in core B2B and B2C offerings, and expanding growth initiatives, with a beta launch of self-serve Feedonomics and a new branded payments offering planned for fiscal year 2026141143148 Key Business Metrics (as of period end) | Metric | June 30, 2025 | June 30, 2024 | | :--- | :--- | :--- | | ARR (in thousands) | $354,608 | $345,832 | | Subscription ARR (in thousands) | $267,951 | $263,526 | | Number of Enterprise Accounts | 5,803 | 5,961 | | ARR attributable to Enterprise Accounts (in thousands) | $269,276 | $253,798 | | ARR from Enterprise as % of Total ARR | 76% | 73% | | Average Revenue Per Account (ARPA) | $46,403 | $42,576 | Revenue Comparison (in thousands) | Revenue Source | Q2 2025 | Q2 2024 | Change | % Change | | :--- | :--- | :--- | :--- | :--- | | Subscription solutions | $63,656 | $61,796 | $1,860 | 3.0% | | Partner and services | $20,777 | $20,033 | $744 | 3.7% | | Total Revenue | $84,433 | $81,829 | $2,604 | 3.2% | - The company anticipates existing cash, cash equivalents, and operating cash flows will be sufficient to meet working capital and capital expenditure needs for at least the next twelve months, driven by investments in sales, R&D, AI innovation, and platform enhancements209210 Quantitative and Qualitative Disclosures About Market Risk The company faces market risks from interest rate fluctuations, foreign currency exchange rates, and credit risk, impacting its cash equivalents, convertible notes, and accounts receivable - The company faces interest rate risk on cash equivalents and marketable securities, where a 100 basis point change could impact market value by approximately $1.0 million, and the fair value of 2028 and 2026 Convertible Notes is sensitive to market rate changes due to their fixed interest rates227228 - Foreign currency exchange risk is currently limited as most transactions are in U.S. dollars, though operations in Mexico, Australia, and the UK create some exposure, which the company does not currently hedge229230231 - Credit risk arises from cash and cash equivalents held in financial institutions that may exceed FDIC insured limits, and from accounts receivable, mitigated by using high-credit-quality institutions and securities232 Controls and Procedures As of June 30, 2025, the company's disclosure controls and procedures were deemed ineffective due to a material weakness in IT general controls, with ongoing remediation efforts - Disclosure controls and procedures were deemed ineffective as of June 30, 2025, due to a material weakness in IT general controls233 - The material weakness involves ineffective controls over user access, segregation of duties, and program change management for financial IT applications, impacting related IT-dependent controls234235 - Management, with Audit Committee oversight, is continuing to dedicate resources to remediate this material weakness through 2025236 PART II. OTHER INFORMATION Legal Proceedings The company is not currently a party to any legal proceedings that would materially adversely affect its business or financial condition - The Company believes there are no pending or threatened claims or actions that would have a material adverse effect on the company240 Risk Factors This section outlines material business risks, including potential adverse effects from U.S. trade policy changes, challenges with the Commerce.com rebranding, and significant risks associated with AI development and use - Changes in U.S. trade policy and increased tariffs could lead to economic uncertainty, reduced consumer demand, and increased costs, potentially having a material adverse effect on the business and financial results242243 - The rebranding to Commerce.com, Inc. involves costs and risks that the new brand may not achieve the recognition of the existing BigCommerce brand, potentially affecting customer attraction and marketing efforts244245 - The company faces risks related to its use and development of AI technologies, including potential issues with model design, data quality, cybersecurity threats, and reliance on third-party AI providers, which could harm the business and its reputation246248250 Unregistered Sales of Equity Securities and Use of Proceeds The company reported no unregistered sales of equity securities, use of proceeds, or stock repurchases during the period - There were no unregistered sales of equity securities, use of proceeds, or repurchases during the quarter251 Defaults Upon Senior Securities The company reported no defaults upon senior securities - None252 Mine Safety Disclosures This item is not applicable to the company - Not applicable253 Other Information The company reports no director or officer adopted or terminated a Rule 10b5-1 or non-Rule 10b5-1 trading arrangement during Q2 2025 - No director or officer of the Company adopted or terminated a Rule 10b5-1 trading arrangement or non-Rule 10b5-1 trading arrangement during the three months ended June 30, 2025257 Exhibits This section provides an index of exhibits filed with the Form 10-Q, including certifications and corporate governance documents - Lists the exhibits filed with the report, including certifications pursuant to the Sarbanes-Oxley Act and corporate governance documents256