Company Update
Subsequent to the end of the fourth quarter 2025, the Company completed the acquisition of
Fourth-Quarter Fiscal 2025 Financial Highlights
- On
December 8, 2025 ,ContextLogic announced the planned $907.5 million acquisition of US Salt and subsequently completed the transaction onFebruary 26, 2026 . - Net loss was
$13 million , compared to a net loss of$2 million in the fourth quarter of fiscal year 2024. - As of
December 31, 2025 , the Company had$77 million in cash and cash equivalents and$141 million in marketable securities. The Company had total liabilities of$7 million .
Recent Developments
During the fourth quarter of 2025, the Company continued to operate efficiently while advancing its strategy of building a differentiated business ownership platform through the acquisition of niche, competitively advantaged, long-duration businesses.
As of
“The fourth quarter capped a transformative year for ContextLogic,” said
About
Forward-Looking Statements
This news release contains forward-looking statements within the meaning of the Safe Harbor provisions of the Private Securities Litigation Reform Act of 1995. All statements other than statements of historical fact could be deemed forward-looking, including, but not limited to, statements regarding ContextLogic’s financial outlook, the strategic alternatives considered by our Board of Directors, including the decisions taken thereto and alternatives for the use of the cash or cash equivalents, the impact of the US Salt acquisition, possible or assumed future results of operations and expenses, management strategies and plans, competitive position, business environment, potential growth strategies, ContextLogic’s continued listing on the OTC Markets, and other quotes of management. In some cases, forward-looking statements can be identified by terms such as “anticipates,” “believes,” “could,” “estimates,” “expects,” “foresees,” “forecasts,” “guidance,” “intends” “goals,” “may,” “might,” “outlook,” “plans,” “potential,” “predicts,” “projects,” “seeks,” “should,” “targets,” “will,” “would” or similar expressions and the negatives of those terms. These forward-looking statements are subject to risks, uncertainties, and assumptions. If the risks materialize or assumptions prove incorrect, actual results could differ materially from the results implied by these forward-looking statements. Important factors, risks and uncertainties that could cause actual results to differ materially from those forward-looking statements include but are not limited to: statements regarding the US Salt acquisition, the strategic alternatives considered by the Company’s board of directors, including the decisions taken thereto; future financial performance; future liquidity and operating expenditures; financial condition and results of operations; enforceability of transfer restrictions and occurrence of an ownership change with the result that ContextLogic’s ability to use its net operating losses could be severely limited; future legislation resulting in
Condensed Consolidated Balance Sheets ($ in millions) (unaudited) | ||||||||
| As of | As of | |||||||
| 2025 | 2024 | |||||||
| Assets | ||||||||
| Current assets: | ||||||||
| Cash and cash equivalents | $ | 77 | $ | 66 | ||||
| Marketable securities | 141 | 83 | ||||||
| Prepaid expenses and other current assets | — | 7 | ||||||
| Total current assets | 218 | 156 | ||||||
| Total assets | $ | 218 | $ | 156 | ||||
| Liabilities, Redeemable Non-controlling Interest, and Stockholders’ Equity | ||||||||
| Current liabilities: | ||||||||
| Accounts payable | $ | 5 | $ | — | ||||
| Accrued liabilities | 2 | 5 | ||||||
| Total current liabilities | 7 | 5 | ||||||
| Total liabilities | 7 | 5 | ||||||
| Redeemable non-controlling interest | 78 | — | ||||||
| Stockholders’ equity | 133 | 151 | ||||||
| Total liabilities, redeemable non-controlling interest, and stockholders’ equity | $ | 218 | $ | 156 | ||||
Condensed Consolidated Statements of Operations ($ in millions, shares in thousands, except per share data) (unaudited) | |||||||||||||||
| Three Months Ended | Year Ended | ||||||||||||||
| 2025 | 2024 | 2025 | 2024 | ||||||||||||
| Revenue | $ | — | $ | — | $ | — | $ | 43 | |||||||
| Cost of revenue | — | — | — | 36 | |||||||||||
| Gross profit | — | — | — | 7 | |||||||||||
| Operating expenses: | |||||||||||||||
| Sales and marketing | — | — | — | 18 | |||||||||||
| Product development | — | — | — | 26 | |||||||||||
| General and administrative | 15 | 4 | 31 | 42 | |||||||||||
| Total operating expenses | 15 | 4 | 31 | 86 | |||||||||||
| Loss from operations | (15 | ) | (4 | ) | (31 | ) | (79 | ) | |||||||
| Other income, net: | |||||||||||||||
| Interest and other income, net | 2 | 2 | 8 | 6 | |||||||||||
| Gain on Asset Sale | — | — | — | 4 | |||||||||||
| Loss before provision for income taxes | (13 | ) | (2 | ) | (23 | ) | (69 | ) | |||||||
| Provision for income taxes | — | — | — | 6 | |||||||||||
| Net loss | (13 | ) | (2 | ) | (23 | ) | (75 | ) | |||||||
| Adjustments attributable to redeemable non-controlling interest | (3 | ) | — | (7 | ) | — | |||||||||
| Net loss attributable to redeemable non-controlling interest | 2 | — | 1 | — | |||||||||||
| Net loss attributable to common stockholders | $ | (14 | ) | $ | (2 | ) | $ | (29 | ) | $ | (75 | ) | |||
| Net loss per share attributable to common stockholders, basic and diluted | $ | (0.52 | ) | $ | (0.08 | ) | $ | (1.09 | ) | $ | (2.92 | ) | |||
| Weighted-average shares used in computing net loss per share attributable to common stockholders, basic and diluted | 26,745 | 26,292 | 26,586 | 25,690 | |||||||||||
Condensed Consolidated Statements of Cash Flows (in millions) (unaudited) | ||||||||
| Year Ended | ||||||||
| 2025 | 2024 | |||||||
| Cash flows from operating activities: | ||||||||
| Net loss attributable to common stockholders | $ | (29 | ) | $ | (75 | ) | ||
| Net loss and adjustment attributable to redeemable non-controlling interest | 6 | — | ||||||
| Net loss | (23 | ) | (75 | ) | ||||
| Adjustments to reconcile net loss to net cash used in operating activities: | ||||||||
| Depreciation and amortization | — | 1 | ||||||
| Noncash lease expense | — | 1 | ||||||
| Stock-based compensation | 11 | 12 | ||||||
| Net accretion of discounts and premiums on marketable securities | (6 | ) | (4 | ) | ||||
| Gain on Asset Sale | — | (4 | ) | |||||
| Changes in operating assets and liabilities: | ||||||||
| Prepaid expenses, other current and noncurrent assets | — | 1 | ||||||
| Accounts payable | 4 | (15 | ) | |||||
| Merchants payable | — | (8 | ) | |||||
| Accrued and refund liabilities | (2 | ) | (7 | ) | ||||
| Lease liabilities | — | (2 | ) | |||||
| Other current and noncurrent liabilities | — | 6 | ||||||
| Net cash used in operating activities | (16 | ) | (94 | ) | ||||
| Cash flows from investing activities: | ||||||||
| Cash disposed on Asset Sale, net of proceeds | — | (133 | ) | |||||
| Purchases of marketable securities | (331 | ) | (168 | ) | ||||
| Sales of marketable securities | — | 5 | ||||||
| Maturities of marketable securities | 279 | 228 | ||||||
| Net cash used in investing activities | (52 | ) | (68 | ) | ||||
| Cash flows from financing activities: | ||||||||
| Proceeds from issuance of redeemable convertible Preferred Units, net | 72 | — | ||||||
| Payments of taxes related to RSU settlement | — | (1 | ) | |||||
| Net cash provided by (used in) financing activities | 72 | (1 | ) | |||||
| Foreign currency effects on cash, cash equivalents and restricted cash | — | (2 | ) | |||||
| Net increase (decrease) in cash, cash equivalents and restricted cash | 4 | (165 | ) | |||||
| Cash, cash equivalents and restricted cash at beginning of year | 73 | 238 | ||||||
| Cash, cash equivalents and restricted cash at end of year | $ | 77 | $ | 73 | ||||
| Reconciliation of cash, cash equivalents, and restricted cash to the consolidated balance sheets: | ||||||||
| Cash and cash equivalents | $ | 77 | $ | 66 | ||||
| Restricted cash included in prepaid and other current assets in the consolidated balance sheets | — | 7 | ||||||
| Total cash, cash equivalents and restricted cash | $ | 77 | $ | 73 | ||||
| Supplemental cash flow disclosures: | ||||||||
| Cash paid for operating leases | $ | — | 3 | |||||
| Cash paid for income taxes, net of refunds | $ | — | $ | — | ||||
Contacts
Investor Relations:
ir@contextlogic.com
