Castellum Announces Second Quarter and First Half 2026 Financial Results
Rhea-AI Summary
Castellum (NYSE-American: CTM) reported Q2 2026 revenue of $13.9 million, essentially flat versus $14.0 million in Q2 2025, with gross margin at 34% and a net loss of $1.1 million, or $(0.01) per share. Adjusted EBITDA was $0.03 million versus $0.50 million a year earlier.
For the first half of 2026, revenue rose 10% year over year to $28.2 million and gross profit increased 2% to $9.8 million, while net loss narrowed slightly to $1.4 million, or $(0.02) per share. Castellum ended June 30, 2026 with $16.9 million in cash, no long‑term debt, and total backlog of $271.7 million, and it expects record full‑year 2026 revenue.
Positive
- First half 2026 revenue up 10% to $28.2 million
- First half gross profit up 2% to $9.8 million year over year
- Net loss first half 2026 improved slightly to $1.4 million
- Cash balance increased to $16.9 million with no long-term debt
- Backlog of $271.7 million with 16% expected within 12 months
- CMMC Level 2 achieved and new U.S. Navy contracts and positions won
Negative
- Q2 2026 gross margin declined to 34% from 36% in Q2 2025
- Q2 adjusted EBITDA fell to $0.03 million from $0.50 million
- Q2 net loss widened to $1.1 million from $0.3 million year over year
News Explained
The release adds one secured $4.0 million Navy subcontract; the $250.0 million vehicle is opportunity access, not disclosed committed revenue.
Castellum reported results for the periods ended
The
The company also says it achieved CMMC Level 2 certification, which it describes as validating eligibility to support Department of War programs.
Market reaction after Q2 2026 earnings report: CTM -14.68%
Following this news, CTM has declined 14.68%, reflecting a significant negative market reaction. Our momentum scanner has triggered 3 alerts so far, indicating moderate trading interest and price volatility. The stock is currently trading at $0.68.
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Key Figures
Previous Earnings Reports
| Date | Event | Sentiment | 24h Move | Catalyst |
|---|---|---|---|---|
| May 08 | Q1 earnings | Positive | +14.7% | Revenue growth, higher cash, debt elimination, backlog expansion, and improved adjusted EBITDA |
| Mar 04 | FY2025 earnings | Positive | -2.4% | Revenue growth, improved losses, higher adjusted EBITDA, and stronger liquidity |
| Nov 07 | Q3 earnings | Positive | +4.3% | First quarterly GAAP profit, record revenue, higher cash, and reduced debt |
| Aug 08 | Q2 earnings | Positive | +4.9% | Record revenue, narrowed losses, debt reduction, higher cash, and positive adjusted EBITDA |
| May 09 | Q1 earnings | Positive | +5.8% | First year-over-year organic growth, narrower operating loss, stronger cash, and Navy contract |
24h Move is the share-price change in the day after each event; other market factors may also have contributed.
Tag-specific earnings events were usually followed by positive 24-hour reactions, with four aligned events and one divergence.
Key Terms
adjusted ebitda financial
cmmc level 2 regulatory
devsecops technical
firm-fixed-price financial
AI-generated analysis. How Rhea-AI works. Not financial advice.
First Half 2026 Revenue Increased
Debt-Free Balance Sheet with
Conference Call Scheduled for Friday, August 7 at 10am ET
VIENNA, Va., Aug. 06, 2026 (GLOBE NEWSWIRE) -- Castellum, Inc. (NYSE-American: CTM) (“Castellum,” “CTM,” “we,” or the “Company”), a cybersecurity, electronic warfare, and software services company focused on the federal government, today announced its financial results for the three- and six-month periods (“Q2” and “first half”) ended June 30, 2026.
Q2 2026 Financial Highlights
- Revenues of
$13.9 million , stable compared to$14.0 million in Q2 2025. - Gross profit of
$4.7 million , or34% of revenues, as compared to$5.1 million , or36% of revenues, in Q2 2025. - Adjusted EBITDA* was
$0.03 million , as compared to$0.50 million in Q2 2025. - Net loss was
$(1.1) million (or$(0.01) per basic and diluted share), as compared to a net loss of$(0.3) million (or$0.00 per basic and diluted share) in Q2 2025. - Cash and cash equivalents as of June 30, 2026 was
$16.9 million , as compared to$15.8 million at March 31, 2026 and$14.9 million at December 31, 2025. - No long-term debt as of June 30, 2026.
First Half 2026 Financial Highlights
- Revenues of
$28.2 million , up10% as compared to$25.7 million in the first half of 2025. - Gross profit of
$9.8 million , up2% as compared to$9.6 million in the first half of 2025. - Adjusted EBITDA* was
$0.4 million , as compared to$0.6 million in the first half of 2025. - Net loss was
$(1.4) million (or$(0.02) per basic and diluted share), improved from a net loss of$(1.5) million (or$(0.02) per basic and diluted share) in the first half of 2025.
* Q2 2026 Adjusted EBITDA excludes certain non-cash expenses, including stock-based compensation of
Q2 2026 Operational Highlights
- Total backlog was
$271.7 million as of June 30, 2026, as compared to$273.3 million at March 31, 2026 and$265.0 million at December 31, 2025. - Qualified pipeline totaled
$953.5 million as of June 30, 2026, as compared to$938.0 million at March 31, 2026. - Achieved Cybersecurity Maturity Model Certification ("CMMC") Level 2 validating Castellum's advanced cybersecurity posture and eligibility to support DoW programs.
- Secured a directed
$4.0 million U.S. Navy ADMACS modernization subcontract expanding Castellum’s portfolio of high‑value, mission‑critical U. S. Navy software modernization work. - Won a position on the U.S. Navy’s
$250.0 million LIIS CMDS Logistics IT MAC, providing a multi‑year pipeline of task order opportunities to modernize naval maintenance and logistics IT systems.
Glen Ives, President and Chief Executive Officer of Castellum, commented, “Revenue for the first six months of 2026 grew
David Bell, Chief Financial Officer of Castellum, noted, “Our first half results reflect the strength of the underlying business, with revenue up
Discussing the go-forward strategy, Mr. Ives concluded, “Our priorities in Phase 3 of Castellum's evolution remain unchanged, and the first half of 2026 was about putting the resources behind them. Based on the momentum we are seeing in our backlog, pipeline, and contract awards, we expect to deliver record revenue for the full year, and our focus for the second half is translating that growth into durable, higher-margin performance.
- Converting our backlog and pipeline into organic revenue growth. We expanded our business development capacity this year specifically to increase the volume and quality of opportunities we pursue, and that investment is already contributing to the growth we are seeing in the first half, which we expect to continue through the remainder of the year.
- Selectively pursuing M&A opportunities that meet our criteria. Our standards have not changed. We are looking for businesses that bring differentiated capability, contract vehicles or customer access we do not already have, and a valuation that is accretive to shareholders. We would rather pass on a transaction than force one.
We continue to invest in mission-critical technologies and capabilities that expand both our addressable market and our client base. We are doing that work from a position of financial strength, funded internally and without leverage, which is what allows us to invest through the cycle rather than react to it. As we move through the second half of 2026, disciplined execution remains the priority. We believe that discipline, applied consistently, is what positions Castellum for sustainable long-term growth and enhanced shareholder value.”
Conference Call
Castellum will hold a conference call on Friday, August 7, 2026, at 10:00 am Eastern Time to discuss its second quarter 2026 financial results.
By Phone: To access the call, please dial (833) 461-5787 approximately 10 minutes prior to the start of the conference call and use the conference ID 900 517 065.
By Webcast: A live audio webcast of the conference call can be accessed via the Internet, on a listen-only basis at https://events.q4inc.com/attendee/900517065.
The archived version of the webcast will be available on the Company’s website shortly after the call at www.investors.castellumus.com in the Investor Relations section under Events and Presentations.
About Castellum, Inc.
Castellum, Inc. (NYSE-American: CTM) is a technology company focused on leveraging the power of information technology to help solve our Nation’s most pressing national security challenges. CTM provides U.S. government and commercial clients with cybersecurity, software development, systems engineering, information / electronic warfare, program support, and data analytics services. It also offers subject matter expertise in artificial intelligence / machine learning, 5G technologies, model-based systems engineering, program management, information assurance, intelligence analysis, and CMMC compliance. In addition to constantly innovating and enhancing its organic capabilities, Castellum is executing strategic acquisitions of firms that share our passionate commitment to U.S. national security and have a history of bringing exceptional value to their clients. For more information visit: https://castellumus.com.
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. These forward-looking statements represent the Company’s expectations or beliefs concerning future events and can generally be identified by the use of statements that include words such as “estimate,” “project,” “believe,” “anticipate,” “shooting to,” “intend,” “in a position,” “looking to,” “pursue,” “positioned,” “will,” “likely,” “would,” or similar words or phrases. Forward-looking statements include, but are not limited to, statements regarding the Company’s expectations for revenue growth, new customer opportunities, improvements to cost structure, and profitability. These forward-looking statements are subject to risks, uncertainties, and other factors, many of which are outside of the Company’s control, that could cause actual results to differ (sometimes materially) from the results expressed or implied in the forward-looking statements, including, among others: the Company’s ability to continue to grow and execute on its total backlog and qualified pipeline and compete against new and existing competitors; its ability to effectively integrate and grow its acquired companies; its ability to identify additional acquisition targets and close additional acquisitions; and the Company’s ability to maintain the listing of its common stock on the NYSE American LLC. For a more detailed description of these and other risk factors, please refer to the Company’s Annual Report on Form 10-K and its Quarterly Reports on Form 10-Q and other filings with the Securities and Exchange Commission (“SEC”) which can be viewed at www.sec.gov. All forward-looking statements are inherently uncertain, based on current expectations and assumptions concerning future events or the 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. The Company expressly disclaims any intent or obligation to update any of the forward-looking statements made in this release or in any of its SEC filings except as may be otherwise stated by the Company.
Contacts:
Castellum, Inc.
1934 Old Gallows Road, Suite 350
Vienna, VA 22182
Investor Relations:
The Equity Group
Lena Cati (212) 836-9611
lena.cati@theequitygroup.com
Val Ferraro (212) 836-9633
val.ferraro@theequitygroup.com
| Castellum, Inc. and Subsidiaries Consolidated Balance Sheets | |||||||
| June 30, 2026 | December 31, 2025 | ||||||
| (unaudited) | |||||||
| Assets | |||||||
| Current Assets: | |||||||
| Cash | $ | 16,865,160 | $ | 14,884,778 | |||
| Accounts receivable, net | 7,146,578 | 8,180,180 | |||||
| Contract asset | — | 568,705 | |||||
| Due from buyer | 55,916 | 58,207 | |||||
| Prepaid income taxes | 252,896 | 153,153 | |||||
| Prepaid expenses and other current assets | 802,226 | 800,671 | |||||
| Total current assets | 25,122,776 | 24,645,694 | |||||
| Fixed assets, net | 218,112 | 231,136 | |||||
| Non-Current Assets: | |||||||
| Due from buyer, net of current portion | 8,320 | 77,259 | |||||
| Right of use asset - operating lease | 938,005 | 800,069 | |||||
| Investment in joint ventures/captive insurance entity | 100,250 | 100,250 | |||||
| Intangible assets, net | 4,762,510 | 5,371,602 | |||||
| Goodwill | 10,676,834 | 10,676,834 | |||||
| Total non-current assets | 16,704,031 | 17,257,150 | |||||
| Total Assets | $ | 41,826,807 | $ | 41,902,844 | |||
| Liabilities and Stockholders' Equity | |||||||
| Liabilities | |||||||
| Current Liabilities | |||||||
| Accounts payable and accrued expenses | $ | 2,019,079 | $ | 1,904,962 | |||
| Accrued payroll and payroll related expenses | 2,954,048 | 2,761,998 | |||||
| Current portion of lease liability – operating leases | 351,287 | 270,868 | |||||
| Derivative liability | 10,000 | 262,000 | |||||
| Notes payable, related party | — | 400,000 | |||||
| Total current liabilities | 5,334,414 | 5,599,828 | |||||
| Non-Current Liabilities | |||||||
| Lease liability – operating leases, net of current portion | 607,621 | 550,219 | |||||
| Total non-current liabilities | 607,621 | 550,219 | |||||
| Total Liabilities | 5,942,035 | 6,150,047 | |||||
| Stockholders' Equity | |||||||
| Preferred stock, 50,000,000 shares authorized | |||||||
| Series A Preferred stock, par value | 588 | 588 | |||||
| Series C Preferred stock, par value | 57 | 57 | |||||
| Common stock, par value, | 9,470 | 9,461 | |||||
| Additional paid in capital | 93,894,384 | 92,330,909 | |||||
| Accumulated deficit | (58,019,727 | ) | (56,588,218 | ) | |||
| Total stockholders' equity | 35,884,772 | 35,752,797 | |||||
| Total Liabilities and Stockholders' Equity | $ | 41,826,807 | $ | 41,902,844 | |||
| Castellum, Inc. and Subsidiaries Consolidated Statements of Operations (Unaudited) | |||||||||||||||
| Three Months Ended June 30, | Six Months Ended June 30, | ||||||||||||||
| 2026 | 2025 | 2026 | 2025 | ||||||||||||
| Revenues | $ | 13,864,676 | $ | 14,024,090 | $ | 28,156,637 | $ | 25,688,455 | |||||||
| Cost of Revenues | 9,145,257 | 8,963,643 | 18,374,997 | 16,073,392 | |||||||||||
| Gross Profit | 4,719,419 | 5,060,447 | 9,781,640 | 9,615,063 | |||||||||||
| Operating Expenses | |||||||||||||||
| Indirect costs | 2,399,115 | 2,216,730 | 4,860,255 | 4,602,274 | |||||||||||
| Overhead | 545,009 | 497,307 | 1,189,365 | 1,010,231 | |||||||||||
| General and administrative | 2,869,387 | 2,729,933 | 5,524,109 | 5,872,088 | |||||||||||
| Total operating expenses | 5,813,511 | 5,443,970 | 11,573,729 | 11,484,593 | |||||||||||
| Loss From Operations Before Other Income | (1,094,092 | ) | (383,523 | ) | (1,792,089 | ) | (1,869,530 | ) | |||||||
| Other Income (Expense) | |||||||||||||||
| Gain from change in fair value of derivative liability | — | 16,000 | 252,000 | 517,000 | |||||||||||
| Interest income (expense), net | 104,444 | (30,357 | ) | 205,843 | (141,121 | ) | |||||||||
| Total other income (expense) | 104,444 | (14,357 | ) | 457,843 | 375,879 | ||||||||||
| Loss Before Income Taxes and Preferred Stock Dividends | (989,648 | ) | (397,880 | ) | (1,334,246 | ) | (1,493,651 | ) | |||||||
| Income tax (expense) benefit | (36,949 | ) | 75,773 | (43,625 | ) | 1,497 | |||||||||
| Net Loss | (1,026,597 | ) | (322,107 | ) | (1,377,871 | ) | (1,492,154 | ) | |||||||
| Less: preferred stock dividends | 26,819 | 26,820 | 53,639 | 53,804 | |||||||||||
| Net Loss To Common Shareholders | $ | (1,053,416 | ) | $ | (348,927 | ) | $ | (1,431,510 | ) | $ | (1,545,958 | ) | |||
| Net Loss Per Share - Basic And Diluted | $ | (0.01 | ) | $ | — | $ | (0.02 | ) | $ | (0.02 | ) | ||||
| Weighted Average Shares Outstanding - Basic And Diluted | 94,697,992 | 87,144,174 | 94,655,606 | 83,809,130 | |||||||||||
Non-GAAP Financial Measures and Key Performance Metrics
This press release contains Non-GAAP Adjusted EBITDA, 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 this measure's definition, utility, and purpose are also set forth herein.
Definition:
Adjusted EBITDA is a Non-GAAP measure, calculated as the Company’s earnings before (not including expenses related to) interest, taxes, depreciation, and amortization, also adjusted for other non-cash items such as stock-based compensation, and other non-recurring cash items, such as expenses for a one-time policy change.
Utility and Purpose:
The Company discloses Non-GAAP Adjusted EBITDA 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 Adjusted EBITDA is useful for investors and others in understanding and evaluating our operating results in the same manner as its management. However, Non-GAAP Adjusted EBITDA 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 Adjusted EBITDA, 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 Adjusted EBITDA alongside other financial performance measures, including net loss and our other financial results presented in accordance with GAAP.
| Reconciliation of Unaudited Non-GAAP Adjusted EBITDA to Operating Loss | |||||||
| Three Months Ended June 30 | |||||||
| 2026 | 2025 | ||||||
| Revenues | $ | 13,864,676 | $ | 14,024,090 | |||
| Gross profit | 4,719,419 | 5,060,447 | |||||
| Loss from operations before other income (expense) | (1,094,092 | ) | (383,523 | ) | |||
| Add Back: | |||||||
| Depreciation and amortization | 324,346 | 372,026 | |||||
| Adjust for non-cash and one-time charges | |||||||
| Stock based compensation and ESPP | 795,538 | 511,814 | |||||
| Non-GAAP Adjusted EBITDA | $ | 25,792 | $ | 500,317 | |||
| Six Months Ended June 30 | |||||||
| 2026 | 2025 | ||||||
| Revenues | $ | 28,156,637 | $ | 25,688,455 | |||
| Gross profit | 9,781,640 | 9,615,063 | |||||
| Loss from operations before other income (expense) | (1,792,089 | ) | (1,869,530 | ) | |||
| Add Back: | |||||||
| Depreciation and amortization | 649,336 | 750,213 | |||||
| Adjust for non-cash and one-time charges | |||||||
| Stock based compensation and ESPP | 1,563,475 | 1,691,021 | |||||
| Non-GAAP Adjusted EBITDA | $ | 420,722 | $ | 571,704 | |||
