Key Takeaways BBAI stock jumped nearly 86% in a month, far outpacing tech peers and broader market indices. Defense wins and global AI partnerships helped drive 5% revenue growth and a 30% jump in backlog. BBAI remains unprofitable but cut long-term debt by $58M and reaffirmed $160M-$180M revenue guidance.BigBear.ai Holdings, Inc. (BBAI) has been on a tear, with its stock surging nearly 86% over the past month. This sharp rally far outpaces the broader market, where the S&P 500 rose just 3.5%, the Zacks C ...

Core Insights - Geopolitical risks and increasing defense budgets are driving the integration of artificial intelligence (AI) into national security modernization, with BigBear.ai (BBAI) positioning itself at the intersection of AI and defense [1][5] Company Performance - In Q1 2025, BigBear.ai reported a 5% year-over-year revenue increase to $34.8 million, primarily due to contracts with the Department of Homeland Security and digital identity projects [2][12] - The company secured a significant deal to deliver and maintain the Department of Defense's Joint Staff J35 Orion AI platform, enhancing its credibility in military applications [2][12] - Despite a wider adjusted EBITDA loss of $7 million in Q1, attributed to government funding delays and increased R&D investments, BigBear.ai has a $385 million backlog and $108 million in cash, positioning it well for future growth [4][12] Competitive Landscape - BigBear.ai faces competition from established players like Palantir Technologies and C3.ai in the national security AI sector [6] - Palantir is recognized for its strong government partnerships and platforms, setting a high benchmark for BigBear.ai in terms of scale and influence [7] - C3.ai, while more commercially diversified, is aggressively targeting defense, focusing on predictive maintenance and logistics, areas where BigBear.ai is also making strides [8][9] Stock Performance - BigBear.ai's stock has surged 101.3% in the past month, outperforming the Zacks Computers - IT Services industry, the Zacks Computer and Technology sector, and the S&P 500 index [10] - The stock is currently trading at a forward 12-month price-to-sales (P/S) ratio of 12.44, indicating it is priced at a discount compared to industry peers [18] Earnings Estimates - Earnings estimates for BigBear.ai indicate a projected loss of 41 cents per share for 2025, showing improvement from a loss of $1.10 per share the previous year [14] - Estimates for 2026 have trended slightly downward to a loss of 21 cents per share [14]

Key Takeaways Notably, the Pangiam acquisition enables BBAI to explore the commercial sector globally (especially airports and ports), offering the latter a strong Vision AI portfolio focused on travel, trade and identity. One of the widely demanded commercial AI solutions, Pangiam Threat Detection, is a strategic addition to BBAI's portfolio, which strengthens its market share in the commercial sector. Moreover, BigBear.ai's other commercial and software solutions, including veriScan, Trueface, Pro Model A ...

Key Takeaways BBAI's backlog rose 30% year over year to $384.9M, driven by long-term national security contracts. Revenue growth is expected to accelerate in H2 2025, averaging 6.8% versus 4% in H1. BBAI retained its 2025 revenue outlook of $160M-$180M, projecting up to 13.8% year-over-year growth.BigBear.ai Holdings, Inc.’s (BBAI) AI-based portfolio of offerings is at a juncture where the demand for national security and mission-critical needs meet. The increasing spending by the United States on travel, ...

The underdog AI software maker still has a lot to prove.BigBear.ai (BBAI -2.87%) hasn't impressed too many investors since its public debut. The artificial intelligence (AI) software company went public by merging with a special purpose acquisition company (SPAC) on Dec. 7, 2021. Its stock opened at $9.84 on its first day, but it now trades at less than $4.Like many other SPAC-backed start-ups, BigBear.ai overpromised and underdelivered. In the company's pre-merger presentation, it claimed it would triple a ...

BigBear.ai Holdings (BBAI) Q1 2025 Earnings Call May 01, 2025 04:30 PM ET Company Participants None - ExecutiveKevin McAleenan - CEO & DirectorJulie Peffer - Chief Financial Officer Operator Greetings, and welcome to the Big Bear AI Holdings Incorporated First Quarter twenty five Earnings Call and Webcast. At this time, all participants are in a listen only mode. As a reminder, this conference is being recorded. It is now my pleasure to introduce David Cronlow. Thank you, David. You may begin. None Thank yo ...

BigBear.ai Holdings (BBAI) Q1 2025 Earnings Call May 01, 2025 04:30 PM ET Company Participants None - ExecutiveKevin McAleenan - CEO & DirectorJulie Peffer - Chief Financial Officer Operator Greetings, and welcome to the Big Bear AI Holdings Incorporated First Quarter twenty five Earnings Call and Webcast. At this time, all participants are in a listen only mode. As a reminder, this conference is being recorded. It is now my pleasure to introduce David Cronlow. Thank you, David. You may begin. None Thank yo ...

Financial Data and Key Metrics Changes - Revenue for Q1 2025 was $34.8 million, up 5% year-on-year from $33.1 million in Q1 2024, primarily driven by additional revenue from the Department of Homeland Security and digital identity awards [21] - Gross profit increased by 6% from $7 million in Q1 2024 to $7.4 million in Q1 2025, with a gross margin of 21.3%, slightly up from 21.1% in Q1 2024 [22] - Net loss for Q1 2025 was $62 million, significantly improved from a net loss of $127.8 million in Q1 2024, mainly due to the absence of goodwill impairment charges that were $85 million in the previous year [24] - Adjusted EBITDA was negative $7 million for Q1 2025 compared to negative $1.6 million in Q1 2024, primarily driven by increased R&D expenses and recurring SG&A due to government funding delays [25] - Backlog at the end of Q1 2025 was $385 million, up 30% from Q1 2024, indicating continued customer confidence [26] - Cash and cash equivalents at the end of Q1 2025 were $108 million, up from $81 million in Q1 2024, providing increased financial flexibility [26] Business Line Data and Key Metrics Changes - The company is focusing on core markets such as border security, defense, and manufacturing, where it continues to deepen its leadership and expand AI infrastructure [14][18] - In border security, advanced AI solutions have been deployed at major points of entry, enhancing operational efficiency and security [18] - The company is also modernizing the American industrial base and streamlining global supply chains, particularly in shipbuilding [15] Market Data and Key Metrics Changes - The global security environment is driving renewed focus and investment in defense technology, creating opportunities for AI innovation [9] - There is a shift in federal procurement practices towards efficiency and the adoption of advanced commercial technologies [9] - The company is seeing early signs of strategic focus resonating in sectors where it has built deep relationships and understands the mission [17] Company Strategy and Development Direction - The company is committed to mission expertise, international growth, business alliances, and relentless innovation in AI as core strategic priorities for 2025 [12][13] - The growth strategy focuses on strengthening core markets while selectively expanding into high-potential adjacencies [13] - The company aims to build flexible, mission-driven solutions that can adapt and scale with technology innovation [11] Management's Comments on Operating Environment and Future Outlook - Management acknowledges the dynamic business and macroeconomic environment, which presents both opportunities and potential short-term risks [19] - The company reaffirms its full-year guidance for 2025, emphasizing a strong financial foundation and healthy backlog [30] - Management expresses confidence in the strategy and the ability to navigate market uncertainties while investing in future growth [31] Other Important Information - The company is focused on responsible capital allocation towards projects that aim to provide material improvement to shareholder returns [27] - The debt position has materially reduced, with a significant portion of convertible notes converted into equity, enhancing financial flexibility [27] Q&A Session Summary - No specific questions and answers were provided in the content, thus this section is not applicable.