KRMNHIGH SIGNALFINANCIAL10-K

KRMN completed its IPO in February 2025 and delivered strong revenue growth alongside a near-doubling of stockholders' equity.

The company successfully transitioned to public markets and demonstrated robust operational execution with meaningful revenue expansion and improved profitability. However, the reference to "Department of War" replacing "Department of Defense" in business descriptions raises questions about either disclosure accuracy or potential shifts in government contracting focus that warrant investor attention.

Comparing 2026-04-03 vs 2025-04-10View on EDGAR →
FINANCIAL ANALYSIS

KRMN delivered strong financial performance with revenue growing notably to $471.5M and gross profit expanding meaningfully to $190.0M, while net income increased modestly to $17.4M. The balance sheet strengthened considerably with stockholders' equity nearly doubling to $382.7M following the IPO, though total liabilities increased 24.8% to $721.4M. Current liabilities declined 22.6%, suggesting improved working capital management despite the company's rapid growth phase.

FINANCIAL STATEMENT CHANGES
Stockholders Equity
Balance Sheet
+95.3%
$196.0M$382.7M

Equity base grew 95.3% — retained earnings accumulation or equity issuance strengthening the balance sheet.

Current Assets
Balance Sheet
+44.5%
$201.7M$291.4M

Current assets grew 44.5% — improving short-term liquidity or inventory/receivables build.

Gross Profit
P&L
+43.8%
$132.1M$190.0M

Gross profit expanding — improving pricing power or product mix shift toward higher-margin offerings.

Total Assets
Balance Sheet
+42.7%
$774.0M$1.1B

Asset base grew 42.7% — expansion through organic growth, acquisitions, or capital deployment.

Accounts Receivable
Balance Sheet
+42.6%
$55.2M$78.7M

Receivables surged 42.6% — revenue recognized but not yet collected; watch for collection issues or channel stuffing.

Net Income
P&L
+36.7%
$12.7M$17.4M

Net income grew 36.7% — bottom-line growth signals improving overall business health.

Revenue
P&L
+36.6%
$345.3M$471.5M

Strong top-line growth of 36.6% — accelerating demand or successful expansion into new markets.

Capital Expenditure
Cash Flow
+33.3%
$15.3M$20.3M

Capital expenditure jumped 33.3% — major investment cycle underway; assess returns on deployment.

Total Liabilities
Balance Sheet
+24.8%
$578.0M$721.4M

Liabilities increased 24.8% — monitor debt-to-equity ratio and interest coverage.

Current Liabilities
Balance Sheet
-22.6%
$114.6M$88.7M

Current liabilities reduced — improved short-term financial position and working capital health.

LANGUAGE CHANGES
NEW — 2026-04-03
PRIOR — 2025-04-10
ADDED
Karman Holdco is the reporting entity following our initial public offering on February 14, 2025.
We cannot guarantee the accuracy or completeness of any such information contained in this Annual Report on Form 10-K.
Our ability to generate cash depends on many factors, and any failure to meet our debt service obligations could materially adversely affect our business, results of operations, prospects and financial condition; the increased expenses associated with being a public company; our stock price may be volatile, and an investment in our common stock could suffer a decline in value; the impact of escalating tariff and non-tariff trade measures imposed by the U.S.
federal government shutdown, the COVID-19 pandemic, or a similar public health threat, or the ongoing conflicts and the potential for new or unforeseen conflicts, on global capital and financial markets, political events, general economic conditions in the United States, and our business and operations; our ability to remediate the identified material weaknesses in our internal control over financial reporting; and the other factors discussed under Risk Factors.
Our integrated payload protection, interstage and propulsion system solutions are deployed across a wide variety of existing and emerging programs supporting important Department of War ( DoW ) and space sector initiatives.
For the years ending December 31, 2025 and 2024, we estimate that no single program out of the more than 130 active programs in production and development that we support accounted for more than 12% of our revenue, on average, for those twelve month periods.
Our revenue base is diversified across these active programs, supporting current production and next-generation space, missile, hypersonics, and defense applications.
We believe that our engineering expertise, vertically integrated production capabilities, and successful track record with critical subcomponent and subsystem design and manufacturing position us to successfully serve our prime contractor customers.
Our customers rely on us to design and deliver integrated system at scale that must operate effectively in extreme environments while meeting stringent performance requirements.
We believe that our differentiated technical design, expertise, intellectual property, high degree of vertical integration and heritage of mission success combine to represent a value proposition that would be difficult to replicate by our current and potential future competitors.
REMOVED
The registrant s common stock began trading on the New York Stock Exchange on February 13, 2025.
333-284382) is incorporated into certain portions of Part I, II, and III as disclosed herein.
Neither we nor the underwriters can guarantee the accuracy or completeness of any such information contained in this Annual Report on Form 10-K.
Our ability to generate cash depends on many factors, and any failure to meet our debt service obligations could materially adversely affect our business, results of operations, prospects and financial condition; the increased expenses associated with being a public company; the impact of escalating tariff and non-tariff trade measures imposed by the U.S.
federal government shutdown, the COVID-19 pandemic, or a similar public health threat, or the ongoing conflicts between Russia and Ukraine and Hamas and Israel, on global capital and financial markets, political events, general economic conditions in the United States, and our business and operations; our ability to remediate the identified material weaknesses in our internal control over financial reporting; and the other factors discussed under Risk Factors.
Our integrated payload protection, propulsion, and interstage system solutions are deployed across a wide variety of existing and emerging programs supporting important Department of Defense ( DoD ) and space sector initiatives.
For the years ending December 31, 2024 and 2023, we estimate that no single program accounted for more than 10% of revenue on average for those twelve month periods, with revenue from over 100 active programs supporting current production and next-generation space, missile, hypersonics, and defense applications.
We believe that our engineering expertise, vertically integrated production capabilities, and track record with critical piece part and subcomponent manufacturing positions us to successfully serve our prime customers who rely on us to deliver technical design and scaled manufacturing for integrated systems that are required to withstand extreme environments and meet stringent performance requirements.
We believe that our differentiated technical design, expertise, intellectual property, and heritage of mission success provides us with a value proposition that would be difficult to replicate by our current and potential future competitors.
By utilizing our vertically integrated and concept-to-production capabilities along with a highly targeted acquisition strategy, we have created a business model aimed at creating long-term, sustainable value for our customers, the programs we support, and the warfighter.
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