Castellum, Inc. Announces Strong Second Quarter Financial Results
August 14 2023 - 6:45AM
Castellum, Inc. (NYSE-American: CTM) (the “Company”), a
cybersecurity and electronic warfare company focused on the federal
government, announces highlights of its operating results for its
second quarter ended June 30, 2023.
Second Quarter 2023 Financial
Highlights:
- Revenues were $12.5 million compared to $9.9 million during the
first quarter of 2023.
- Gross profit was $5.2 million compared to $4 million during the
first quarter of 2023.
- Operating loss, inclusive of all non-cash charges ($2.0
million), was $1.9 million compared to $4.7 million during the
first quarter of 2023.
- Cash provided by operating activities was $0.6 million compared
to negative $2.4 million during the first quarter of 2023.
- Non-GAAP Recurring Cash Operating Profit was positive $86
thousand for the second quarter compared to negative $455 thousand
during the first quarter of 2023.
Castellum, Inc.’s full financial results for the
three and six months ended June 30, 2023, will be published later
today on Form 10-Q at www.sec.gov.
“We are proud to announce another strong quarter
for Castellum,” said Mark Fuller, President and CEO of Castellum.
“Revenue was a record for the quarter, gross margins remain strong
north of 40%, and recurring cash operating profit moved back to
positive territory. Our cost-cutting started in Q2 and we should
see more impact in Q3 and full impact in Q4. With our growing
pipeline of business development opportunities, our prospects for
organic growth are the best they have ever been. We also continue
to selectively look at M&A opportunities.”
Forward-Looking Statements:
This release contains forward-looking statements
within the meaning of Section 27A of the Securities Act of 1933, as
amended, and Section 21E of the Securities Exchange Act of 1934, as
amended. All forward-looking statements are inherently uncertain,
based on current expectations and assumptions concerning future
events or future performance of the company. Readers are cautioned
not to place undue reliance on these forward-looking statements,
which are only predictions and speak only as of the date hereof. In
evaluating such statements, prospective investors should review
carefully various risks and uncertainties identified in Item 1A.
“Risk Factors” section of the Company’s Form 10-Q and other filings
with the Securities and Exchange Commission which can be viewed at
www.sec.gov. These risks and uncertainties could cause the
Company's actual results to differ materially from those indicated
in the forward-looking statements.
Non-GAAP Financial Measures and Key
Performance Metrics
This press release contains Non-GAAP Recurring
Cash Operating Profit (Loss), which is a Non-GAAP financial measure
that is used by management to measure the Company’s operating
performance. A reconciliation of this measure to the most directly
comparable GAAP financial measure is contained herein. To the
extent required, statements disclosing the definition, utility, and
purpose of this measure is also set forth herein.
Definition: Non-GAAP Recurring Cash Operating
Profit (Loss) represents the Company’s GAAP operating loss
excluding non-cash charges such as stock-based compensation,
depreciation, amortization, and change in the value of contingent
earnout as well as any non-recurring charges.
Utility and Purpose: The Company discloses
Non-GAAP Recurring Cash Operating Profit (Loss) because this
Non-GAAP measure is used by management to evaluate our business,
measure its operating performance, and make strategic decisions. We
believe Non-GAAP Recurring Cash Operating Profit (Loss) is useful
for investors and others in understanding and evaluating our
operating results in the same manner as its management. However,
Non-GAAP Recurring Cash Operating Profit (Loss) is not a financial
measure calculated in accordance with GAAP and should not be
considered as a substitute for GAAP operating loss or any other
operating performance measure calculated in accordance with GAAP.
Using this Non-GAAP measure to analyze our business would have
material limitations because the calculations are based on the
subjective determination of management regarding the nature and
classification of events and circumstances that investors may find
significant. In addition, although other companies in our industry
may report a measure titled Non-GAAP Recurring Cash Operating
Profit (Loss), this measure may be calculated differently from how
we calculate this Non-GAAP financial measure, which reduces its
overall usefulness as a comparative measure. Because of these
inherent limitations, you should consider Non-GAAP Recurring Cash
Operating Profit (Loss) alongside other financial performance
measures, including net loss and our other financial results
presented in accordance with GAAP.
Castellum, Inc.
Reconciliation of unaudited Non-GAAP Recurring Cash
Operating Profit to Operating Loss Three Months
Ended June 30, 2023
Revenues |
$ |
12,475,802 |
|
Gross profit |
|
5,211,818 |
|
Operating loss |
|
(1,893,891 |
) |
|
|
Non-cash charges: |
|
Depreciation
and amortization |
|
680,407 |
|
Stock based
compensation |
|
1,216,194 |
|
Gain from
change in value of contingent earnout |
|
83,000 |
|
Total non-cash charges |
|
1,979,601 |
|
|
|
Non-GAAP Recurring Cash Operating Profit |
$ |
85,710 |
|
Contact:
Mark Fuller, President & CEO
info@castellumus.com 301-961-4895
A photo accompanying this announcement is available at
https://www.globenewswire.com/NewsRoom/AttachmentNg/7e9db10a-77ad-4c2f-a737-3b509ac37274
Castellum (AMEX:CTM)
Historical Stock Chart
From Mar 2024 to Apr 2024
Castellum (AMEX:CTM)
Historical Stock Chart
From Apr 2023 to Apr 2024