BigBear.ai Holdings, Inc. stock research
FY2025 Q4
BigBear.ai Holdings (BBAI) Gross Margin — Quarter Ended Dec 31, 2025
Revenue, gross profit, and gross margin all decreased compared to both the prior quarter and the same quarter last year. Cost of revenue fell less sharply than revenue, compressing gross margin.
Gross margin takeaway
Quarter ended Dec 31, 2025 · FY2025 Q4
Revenue, gross profit, and gross margin all decreased compared to both the prior quarter and the same quarter last year. Cost of revenue fell less sharply than revenue, compressing gross margin.
- The decline in gross profit was proportionally larger than the decline in revenue, indicating that cost of revenue absorbed a greater share of revenue. This is the strongest observable driver of margin compression.
- Compared to the prior quarter, revenue, gross profit, and gross margin were all lower. Compared to the same quarter one year earlier, all three metrics were also lower, with gross margin showing the most pronounced weakening.
Gross margin snapshot
The selected quarter's reported revenue, gross profit, direct costs, and margin comparisons.
Gross margin
20.3%
Gross profit
$5.5M
Revenue
$27.3M
Cost of revenue
$21.8M
Quarter-over-quarter change
-2.1 pts
Year-over-year change
-17.1 pts
Quarterly gross margin trend
A four-quarter view of the revenue and direct-cost bridge behind gross margin.
| Period | Revenue | Gross profit | Cost of revenue | Gross margin |
|---|---|---|---|---|
| Mar 31, 2025 | $34.8M | $7.4M | $27.4M | 21.3% |
| Jun 30, 2025 | $32.5M | $8.1M | $24.4M | 25.0% |
| Sep 30, 2025 | $33.1M | $7.4M | $25.7M | 22.4% |
| Dec 31, 2025 | $27.3M | $5.5M | $21.8M | 20.3% |
Quarterly comparisons
Compare the selected margin with the preceding quarter and the same fiscal quarter one year earlier.
Previous-quarter change
Sep 30, 2025
-2.1 pts
Year-over-year change
Dec 31, 2024
-17.1 pts
What the margin says
Filing-constrained interpretation of margin direction, comparisons, and what to monitor next.
The decline in gross profit was proportionally larger than the decline in revenue, indicating that cost of revenue absorbed a greater share of revenue. This is the strongest observable driver of margin compression.
Compared to the prior quarter, revenue, gross profit, and gross margin were all lower. Compared to the same quarter one year earlier, all three metrics were also lower, with gross margin showing the most pronounced weakening.
Monitor the trajectory of cost of revenue relative to revenue in upcoming quarters for signs of stabilization or further margin pressure.