BigBear.ai shares sank more than 30% in U.S. pre-market trading after the defense-focused artificial-intelligence contractor reported a steeper-than-expected second-quarter loss and slashed its full-year outlook. Revenue for the three months ended 30 June fell 18% from a year earlier to $32.5 million, well below the roughly $40 million analysts expected. The shortfall was attributed to lower volumes on several U.S. Army programs, a key source of the company’s data-analytics work. Gross margin narrowed to 25.0% from 27.8% amid the weaker sales mix. BigBear.ai posted a GAAP loss of $0.71 a share, missing the consensus forecast for a $0.06 loss. Management also withdrew its previous adjusted-EBITDA target, citing continuing uncertainty around federal contract timing and scope. For fiscal 2025 the company now projects revenue of $125 million to $140 million, down sharply from Wall Street’s prior expectations of roughly $167 million. While executives highlighted balance-sheet strength and potential legislative tailwinds for defense AI spending, investors reacted to the guidance cut and the lack of clarity on near-term contract recoveries.