Kaltura (KLTR) investor relations material

Executive summary

• Q2 2026 revenue reached $46.9M, up 5% YoY, exceeding guidance, with adjusted EBITDA of $5.9M, up 44% YoY, and record non-GAAP gross margin of 75%.

• Subscription revenue was $45.6M, up 8% YoY, with the EE&T segment growing 11% YoY and M&T declining 10% YoY.

• Signed a record 14 new AI-related deals across multiple industries, with a growing pipeline of over 500 AI opportunities representing ~$17M in potential ACV.

• Achieved strongest gross retention since Q4 2022 and continued strategic transition to agentic digital experience platforms.

• Advanced integration of PathFactory, BlueRush, and eSelf.ai, expanding AI-driven and personalized video capabilities.

Financial highlights

• Total revenue: $46.9M (+5% YoY); subscription revenue: $45.6M (+8% YoY); annualized recurring revenue: $184.6M (+8% YoY).

• Adjusted EBITDA: $5.9M (up $1.8M YoY); adjusted EBITDA margin: 12% (up 300 bps YoY).

• GAAP gross profit: $34.5M (74% margin); non-GAAP gross margin: 75%.

• GAAP net loss: $5.5M ($0.04/share); non-GAAP net profit: $2.3M ($0.01/share).

• Cash, cash equivalents, and marketable securities: $35.5M at quarter end; net cash used in operations: $2M.

Outlook and guidance

• Q3 2026: Subscription revenue $43.9M–$44.6M; total revenue $45.8M–$46.5M; adjusted EBITDA $2M–$3M.

• FY 2026: Subscription revenue $176.6M–$178.6M; total revenue $183M–$185M; adjusted EBITDA $15.8M–$17.2M.

• Management expects continued gross margin improvement, growth in AI-powered offerings, and sufficient liquidity for at least 12 months.

• EE&T segment expected to post higher YoY growth, with M&T revenue decline in 2026 but sequential growth in 2027.

• Continued focus on recurring subscription revenue and investment in AI product portfolio.