Castellum, Inc. 2025 Annual Report: Key Highlights and Investor Insights

Overview

Castellum, Inc., a Nevada corporation headquartered in Vienna, VA, has published its Annual Report on Form 10-K for the fiscal year ended December 31, 2025. The company is listed on NYSE American LLC under the trading symbol “CTM” and had 94,612,750 shares of common stock outstanding as of March 6, 2026, with a public float valued at approximately \$97.87 million as of June 30, 2025.

Key Financial and Business Metrics

• Accumulated Deficit: Castellum reported an accumulated deficit of \$56,588,218 as of December 31, 2025.
• Expected Losses: The company expects to continue generating net losses through 2025.
• Market Value: As of the last business day of Q2 2025, the aggregate market value of shares held by non-affiliates was \$97,867,246.
• Outstanding Shares: 94,612,750 shares of common stock outstanding as of March 6, 2026.
• Dilutive Instruments: Potential dilution from conversion/exercise of preferred stock, options, and warrants could total up to 19,950,231 shares.

Corporate Classification

• Non-accelerated filer
• Smaller reporting company
• Emerging growth company
• Has elected not to use the extended transition period for complying with new or revised financial accounting standards

Forward-Looking Statements and Risks

The company provides extensive caution regarding forward-looking statements, noting numerous risk factors that could materially affect business performance and share value. These include:

• Political and budgetary uncertainty in U.S. government spending, including risks of government shutdowns, debt ceiling breaches, or sequestration
• Economic, regulatory, and market changes
• Potential continued net income losses and uncertain growth trajectory
• Ability to retain and recruit key management and personnel, especially those with security clearances
• Funding uncertainties for contracts in backlog
• Potential systems failures or security breaches
• Challenges in executing and integrating acquisitions
• Ongoing financing efforts and volatility in the company’s share price

Risks and Uncertainties Specific to Castellum

• Capital Raising: Company’s ability to raise capital is critical to both business development and ongoing operations. If unable to secure additional funding, the company may have to curtail planned activities.
• Potential Dilution: Any future equity or debt financing could substantially dilute existing shareholders or subordinate their rights.
• Key Personnel Risks: Reliance on select key employees; loss of these could materially impact operations.
• Integration Risk: Difficulty in integrating acquired companies could adversely affect results.
• Fluctuating Results: Revenue and operating results may fluctuate unpredictably due to government contract cycles, political events, and market dynamics.
• Fixed-Price Contracts: If labor costs for fixed-price contracts are underestimated, profitability may suffer.
• Insurance Coverage: Company insurance may be inadequate for all potential losses from system or operational failures.
• Competition: Faces competition from much larger competitors with greater resources.

Price Sensitivity & Shareholder Impact

Several issues highlighted in the report are potentially price sensitive and could affect the share value:

1. Ongoing Net Losses and Accumulated Deficit: Castellum has a substantial accumulated deficit and expects continued net losses. This may undermine investor confidence and impact share price.
2. Potential Dilution: The maximum potential dilution from preferred stock conversion, options, and warrants is significant relative to current outstanding shares, possibly impacting market value and shareholder returns.
3. Capital Raising Uncertainty: If Castellum cannot raise additional capital, it may have to scale back operations, which could negatively affect growth prospects and share valuation.
4. Integration and Acquisition Risk: The company’s growth strategy relies on acquisitions; difficulties in integration could lead to underperformance.
5. Government Contracts Exposure: As a government contractor, Castellum is exposed to risks related to U.S. political and budgetary cycles, including potential contract suspensions or cancellations during government shutdowns or delays.
6. Management and Key Personnel Retention: Loss of key employees could materially impact business execution and shareholder value.
7. Market Volatility: The company’s share price is subject to volatility based on financing activities, operational results, and broader market conditions.

Investor Access and Transparency

Castellum makes its filings available on its investor relations website (castellumus.com/investor-relations.html) and the SEC’s website. Shareholders are encouraged to review not only the 10-K but also related proxy statements and quarterly reports for ongoing developments.

Conclusion

The 2025 Annual Report contains several material items that investors should consider:

• Continued net losses and deficit
• Significant potential dilution
• Dependency on capital raising
• Acquisition and integration risks
• Government contract exposure
• Personnel and management risks
• Share price volatility

These factors may impact Castellum’s share value and should be closely monitored by shareholders and prospective investors.

Disclaimer

This article is for informational purposes only and does not constitute investment advice. The information presented is based on Castellum, Inc.’s 2025 Annual Report and other publicly available SEC filings. Investors should conduct their own due diligence and consult professional advisors before making any investment decisions. Past performance is not indicative of future results. The company’s future performance is subject to numerous risks and uncertainties as outlined above and in official filings.