Cobbs Allen Capital Holdings widened its net loss to $478.6 million in 2025 from $108.7 million in 2024, as operating costs more than doubled and other expenses increased sharply.
Revenue rose 6.1% to $299.2 million from $282.0 million, but operating expenses climbed to $735.4 million from $370.9 million. The biggest driver was commissions, salaries and benefits, which jumped to $670.3 million from $320.5 million. Other operating expense, net, also increased to $57.6 million from $42.8 million, while depreciation edged up to $1.3 million from $0.8 million and amortization slipped to $6.2 million from $6.9 million.
That pushed operating loss to $436.2 million, compared with $88.9 million a year earlier. Below operating income, other expenses widened to $50.8 million from $15.8 million, including $40.5 million of other expense, net versus $4.2 million in 2024. Interest expense rose to $10.3 million from $9.0 million.
The company reported an income tax benefit of $8.4 million in 2025, versus tax expense of $4.0 million in 2024.
On the balance sheet, total assets fell to $373.6 million from $422.5 million. Cash and cash equivalents dropped to $13.7 million from $43.4 million, fiduciary cash declined to $88.8 million from $119.9 million, and total current assets fell to $275.9 million from $318.5 million. Property and equipment rose to $10.8 million from $8.1 million, while intangible assets declined to $23.9 million from $28.4 million.
Total liabilities increased to $1.436 billion from $1.059 billion. Current liabilities surged to $1.416 billion from $299.6 million, driven by current portion of long-term debt rising to $137.2 million from $19.0 million and current portion of accrued stock-based compensation jumping to $983.2 million from zero. At the same time, long-term debt fell to zero from $124.6 million, and accrued stock-based compensation dropped to zero from $613.8 million.
Redeemable members’ interests deepened to a deficit of $1.062 billion from a deficit of $649.6 million. Noncontrolling interests moved to a deficit of $0.2 million from a positive $2.8 million. Total liabilities, redeemable interests and noncontrolling interests remained equal to total assets at $373.6 million.
Cash used in operations increased to $46.2 million from $35.9 million. Stock-based compensation expense rose to $423.1 million from $129.2 million, while redemptions of liability-classified membership units eased to $21.8 million from $45.7 million.
Investing activity used $0.8 million in 2025, versus $3.6 million of cash provided in 2024. The company recorded $3.5 million of property and equipment purchases, $1.7 million of intangible asset purchases, and $8.4 million of repayments from subordinated notes, partly offset by $4.0 million of proceeds from sale of equity method investments.
Financing activity used $14.0 million in 2025, reversing a $70.0 million inflow in 2024. Member contributions increased to $30.6 million from $2.8 million, but long-term debt repayments rose to $47.9 million from $13.6 million. Proceeds from long-term debt fell to $36.1 million from $42.0 million, and fiduciary cash decreased by $31.1 million after increasing by $41.6 million a year earlier.
At year-end, cash and cash equivalents plus fiduciary cash totaled $102.5 million, down from $163.6 million. Following these announcements, the company's shares moved 0.13%, and are now trading at a price of $31.85. Check out the company's full 8-K submission here.
