The company's revenue growth remains inconsistent, with a 2026Q1 top-line contraction of -0.9% and a structurally constrained gross margin of 34.0%.
| Sales/Revenue | 127.35M | 127.67M | 158.24M | 155.16M | 155.01M | 145.58M | 91.32M | 73.63M |
| Revenue Growth % | -20.34% | -19.32% | 1.98% | 0.1% | 6.48% | 59.42% | 24.03% | - |
| Cost of Goods Sold | 94.54M | 99.19M | 113.02M | 114.56M | 112.02M | 111.51M | 69.63M | 56.13M |
| COGS % of Revenue | - | 77.69% | 71.42% | 73.83% | 72.26% | 76.6% | 76.25% | 76.24% |
| Gross Profit | 32.81M | 28.48M | 45.22M | 40.6M | 42.99M | 34.07M | 21.68M | 17.5M |
| Gross Margin % | 25.76% | 22.31% | 28.58% | 26.17% | 27.74% | 23.4% | 23.75% | 23.76% |
| Gross Profit Growth % | - | -37.02% | 11.38% | -5.56% | 26.2% | 57.1% | 23.94% | - |
| Operating Expenses | 119.74M | 111.88M | 178.64M | 79.64M | 153.52M | 112.54M | 26.25M | 11.11M |
| OpEx % of Revenue | - | 87.63% | 112.89% | 51.32% | 99.04% | 77.31% | 28.74% | 15.1% |
| Selling, General & Admin | 101.63M | 95.13M | 80.04M | 65.78M | 90.52M | 106.51M | 15.54M | 11M |
| SG&A % of Revenue | - | 74.51% | 50.58% | 42.4% | 58.4% | 73.16% | 17.02% | 14.95% |
| Research & Development | 18.12M | 16.75M | 10.86M | 5.04M | 8.39M | 6.03M | 615K | 110K |
| R&D % of Revenue | - | 13.12% | 6.87% | 3.25% | 5.41% | 4.14% | 0.67% | 0.15% |
| Other Operating Expenses | 0 | 0 | 87.74M | 8.82M | 54.6M | 0 | 10.09M | 0 |
| Operating Income | -86.93M | -83.41M | -133.42M | -39.03M | -110.53M | -78.47M | -4.56M | 6.38M |
| Operating Margin % | -68.26% | -65.33% | -84.32% | -25.16% | -71.3% | -53.9% | -5% | 8.67% |
| Operating Income Growth % | - | 37.49% | -241.8% | 64.68% | -40.85% | -1620.12% | -171.48% | - |
| EBITDA | -75.12M | -68.13M | -121.55M | -31.13M | -102.77M | -71.21M | -3.48M | 6.43M |
| EBITDA Margin % | -58.99% | -53.36% | -76.81% | -20.06% | -66.3% | -48.92% | -3.81% | 8.74% |
| EBITDA Growth % | -828.35% | 43.95% | -290.41% | 69.71% | -44.32% | -1945.09% | -154.14% | - |
| D&A (Non-Cash Add-back) | 11.81M | 15.28M | 11.87M | 7.9M | 7.76M | 7.26M | 1.08M | 50K |
| EBIT | -241.99M | -275.8M | -270.16M | -30.22M | -55.92M | -114.71M | 5.53M | 6.38M |
| Net Interest Income | 253K | -4.86M | -25.65M | -14.2M | -14.44M | -7.76M | 0 | -127K |
| Interest Income | 9.47M | 13.25M | 0 | 0 | 0 | 0 | 0 | 0 |
| Interest Expense | 13.32M | 18.12M | 25.65M | 14.2M | 14.44M | 7.76M | 0 | 127K |
| Other Income/Expense | -202.43M | -232.23M | -162.38M | -31.4M | 1.04M | -44M | 4.64M | -127K |
| Pretax Income | -288.7M | -315.64M | -295.8M | -70.44M | -109.48M | -122.47M | 81K | 6.25M |
| Pretax Margin % | -226.7% | -247.22% | -186.94% | -45.39% | -70.63% | -84.13% | 0.09% | 8.5% |
| Income Tax | -11K | -21.72M | -256K | 222K | 1.88M | 1.08M | 2.63M | 9K |
| Effective Tax Rate % | 0% | 6.88% | 0.09% | -0.32% | -1.72% | -0.89% | 3246.95% | 0.14% |
| Net Income | -288.69M | -293.91M | -295.55M | -70.66M | -111.37M | -123.55M | -2.55M | 6.25M |
| Net Margin % | -226.69% | -230.21% | -186.78% | -45.54% | -71.84% | -84.87% | -2.79% | 8.48% |
| Net Income Growth % | -22.8% | 0.55% | -318.28% | 36.55% | 9.86% | -4747.08% | -140.81% | - |
| Net Income (Continuing) | -288.69M | -293.91M | -295.55M | -70.66M | -111.37M | -123.55M | -2.55M | 6.25M |
| Discontinued Operations | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Minority Interest | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| EPS (Diluted) | -0.06 | -0.82 | -1.27 | -0.40 | -0.95 | -1.15 | 0.00 | 0.06 |
| EPS Growth % | 7.22% | 35.43% | -217.5% | 57.89% | 17.39% | - | -100% | - |
| EPS (Basic) | - | -0.82 | -1.27 | -0.40 | -0.95 | -1.15 | 0.00 | 0.06 |
| Diluted Shares Outstanding | 4.73B | 3.59B | 233.6M | 149.23M | 127.7M | 107.01M | 105M | 105M |
| Basic Shares Outstanding | 473.06M | 358.8M | 233.6M | 149.23M | 127.7M | 107.01M | 105M | 105M |
| Dividend Payout Ratio | - | - | - | - | - | - | - | 13.43% |
Contract retention and execution
As reported in recent financial filings, BigBear.ai experienced a notable revenue decline, with quarterly figures fluctuating around $34.4M in 2026Q1, reflecting the inherent volatility of a project-based government contracting model that struggles to maintain consistent top-line growth across its Cyber & Engineering and Analytics segments.
The inconsistent revenue trajectory suggests that the company is facing significant headwinds in replacing expiring legacy contracts with higher-value, scalable software engagements. Investors should monitor whether this contraction represents a deliberate exit from low-margin work or a broader failure to capture new federal appropriations.
Based on the provided income statement data, the company's gross margin has remained structurally constrained, hovering near 22.31% on average, which highlights the labor-intensive nature of its services-heavy business model rather than the high-margin software profile often associated with pure-play artificial intelligence firms.
This margin profile suggests that the cost of retaining specialized, security-cleared personnel significantly outweighs the contribution from software licensing. Without a fundamental shift toward scalable product deployments, the company may continue to struggle with achieving the profitability levels seen in broader software-as-a-service peers.
According to historical income statements, BigBear.ai's operating margin of -65.33% indicates that the firm has yet to achieve the necessary scale to cover its fixed overhead, as SG&A expenses continue to outpace gross profit generation in most reported periods throughout the last ten quarters.
The persistent gap between revenue and operating expenses suggests that the company is currently unable to leverage its existing infrastructure to drive bottom-line efficiency. This warrants further investigation into whether management can optimize its cost structure without compromising the specialized talent required for its defense-focused contracts.
As evidenced by the -230.21% net margin and recurring quarterly net losses, the company's current financial trajectory appears unsustainable, raising questions about the long-term viability of its business model if it cannot convert its existing backlog into consistent, cash-generative revenue streams in the near term.
Short-sellers would likely focus on the discrepancy between the company's 'AI' branding and its services-heavy financial reality, which necessitates constant capital consumption. Investors should remain cautious regarding the potential for future dilutive financing if the current burn rate persists without a clear path to operational break-even.
Quick answers to the most common questions about buying BBAI stock.
For fiscal year 2025, BigBear.ai Holdings, Inc. (BBAI) reported total revenue of $127.7M. This represents a 73.4% increase compared to $73.6M in 2019.
BigBear.ai Holdings, Inc. (BBAI) reported a net loss of $293.9M for the fiscal year ending 2025.
BigBear.ai Holdings, Inc. (BBAI) reported an operating income of $-83.4M, resulting in an operating profit margin of -65.3%. This margin reflects the operational efficiency of the business before interest and taxes.
BigBear.ai Holdings, Inc. (BBAI) generated $28.5M in gross profit for the year, representing a gross profit margin of 22.3%. This demonstrates the company's core pricing power and production efficiency.