XBP Europe (XBP) - 2025 Q4 - Annual Results

Financial Performance - Reported revenue for full year 2025 totaled $791.0 million, a decline of 9.4% year-over-year[6] - Combined pro forma revenue for full year 2025 was $879.6 million, a decline of 13.6% year-over-year[6] - GAAP net income for 2025 was $1.1 billion, compared to a net loss of $215.2 million in the prior year[6] - Pro forma normalized EBITDA for full year 2025 was $90.2 million, a decrease of 13.7% year-over-year[6] - Fourth quarter revenue totaled $207.0 million, a decline of 15.1% year-over-year on a pro forma basis[6] - Reported revenue for FY 2025 was $791,042, a decrease of 9.3% from FY 2024's $872,690[39] - Pro forma revenue for FY 2025 adjusted to $879,600, down 13.6% from FY 2024's $1,017,618[39] - Reported gross profit for FY 2025 was $171,670, a decline of 9.1% compared to FY 2024's $188,766[39] - Pro forma normalized EBITDA for FY 2025 was $90,167, down 13.6% from FY 2024's $104,442[41] Contract Value and Growth Initiatives - Closed total contract value (TCV) of $297.8 million, including $163.8 million of new TCV[6] - New TCV closed in the fourth quarter was $60.2 million, a 53.2% increase year-over-year[6] - The company has strategically invested in sales leadership and AI initiatives to drive growth and operational efficiency[5] - XBP Global aims to stabilize its portfolio and return to growth following the acquisition of Exela Technologies BPA[4] Assets and Liabilities - Total assets increased to $902.097 million as of December 31, 2025, up from $390.421 million in the previous year[31] - Current liabilities totaled $322.043 million, significantly reduced from $1.790206 billion in the previous period[31] - The total stockholder's equity was $87.339 million, a significant improvement from a deficit of $1.456788 billion in the previous year[31] Cash Flow and Expenses - Net cash provided by operating activities for the period was $18,232, compared to a net cash used of $(159,942) in the previous period[37] - Net cash used in investing activities was $(6,336), an increase from $(2,690) in the prior period[37] - Net cash provided by financing activities was $13,109, a significant decrease from $145,264 in the previous period[37] - Selling, general and administrative expenses were $49.669 million, slightly down from $53.946 million in the previous period[34] - Interest expense for the period was $24.237 million, a decrease from $75.226 million in the previous period[34] Impairment and Deficits - The impairment of goodwill was recorded at $320.292 million, indicating a significant write-down[34] - The company reported a net loss of $351.123 million for the same period, compared to a net profit of $1.454658 billion in the previous period[34] - The company’s accumulated deficit reached $351.123 million as of December 31, 2025[31]