Tue, Apr 15, 8:27 PM (33 days ago)
**Summary of WidePoint Corporation (WYY) 10-K for the Fiscal Year Ended December 31, 2024** **Financial Performance:** - **Revenue:** $142.6 million, a 34% increase from $106.0 million in 2023. - **Net Loss:** $1.9 million ($0.21 loss per share) compared to $4.0 million ($0.46 loss per share) in 2023. - **Gross Profit:** $19.0 million (13% of revenues) compared to $15.6 million (15% of revenues) in 2023. - **Operating Expenses:** $20.9 million in 2024 compared to $19.3 million in 2023. - **Cash Flow from Operations:** $1.7 million in 2024 compared to $0.6 million in 2023. **Revenue Breakdown:** - **Carrier Services:** $86.8 million (49% of revenues), primarily due to increased contracting activity with federal customers. - **Managed Services:** $55.8 million (17% of revenues), including managed service fees and reselling services. **Customer Type Revenue:** - **U.S. Federal Government:** $118.9 million (83.4% of revenues). - **Commercial Enterprises:** $23.2 million (16.3% of revenues). **Strategic Overview:** - **Key Goals:** Winning the DHS CWHS 3.0 re-compete, growing recurring managed services revenues, expanding commercial customer base, and leveraging FedRAMP Authorized status. - **Market Position:** Leading provider of Technology Management as a Service (TMaaS), including federally certified communications management, identity management, and IT as a Service. **Future Outlook:** - **Growth Strategy:** Focus on winning new contracts, expanding solution offerings, and leveraging strategic partnerships. - **Risk Factors:** Dependence on federal contracts, competitive market, technological changes, and economic conditions. **Financial Condition:** - **Liquidity:** Net working capital of approximately $2.4 million, with access to a credit facility. - **Capital Expenditures:** Plans to spend additional funds for equipment and infrastructure to support growth. **Market Position Changes:** - **Customer Concentration:** 79% of revenues from the Department of Homeland Security for Cellular Wireless Managed Services (CWMS) 2.0 ID/IQ Contract, which is up for renewal in November 2025. - **Competitive Landscape:** Highly competitive market with intense competition from both large and small companies. **Risk Factors:** - **Contract Renewal:** Risk of not renewing the DHS CWMS 2.0 IDIQ contract. - **Economic Conditions:** Inflationary pressures and economic downturns. - **Technological Changes:** Rapid advancements in technology may affect the company's ability to respond timely with new and innovative product offerings. - **Regulatory Risks:** Compliance with U.S. government contracts and regulations. **Ticker:** WYY **Note:** Amounts are usually in thousands, 000s.