There might be two reasons why you received this message-
Badges are applied using Burn Mode
You might be using an Image optimiser/SEO app which modifies the Image with badges, thus ModeMagic does not have a reference URL for that image to revert.
What you can do -
Click on restore all, once done Original image will be restored and the Image with the badge will be there as the second pic now.
In case you need any further assistance, please ping us from the in-App Help chat or write to us on [email protected]