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VerticalScope (FORA) investor relations material
VerticalScope Q2 2025 earnings summary
Complete event summary combining all related documents: earnings call transcript, report, and slide presentation.
Executive summary
Q2 revenue was $14.5M, down 13% year-over-year, mainly due to lower MAUs impacting programmatic advertising.
E-commerce revenue grew 41% year-over-year, driven by the Ritual acquisition and supporting a 17% increase in ARPU.
Adjusted EBITDA was $4.3M with a 30% margin, down from $7.1M and 42% margin last year, reflecting increased investments in AI and traffic diversification.
Net loss of $1.8M versus net income of $0.4M last year, mainly due to lower revenue and $1.6M in one-time personnel and acquisition costs.
Free Cash Flow totaled $3.7M, with 87% conversion of Adjusted EBITDA; available liquidity stood at $64.1M.
Financial highlights
Q2 2025 revenue was $14.5M, a 13% decrease compared to Q2 2024.
Adjusted EBITDA margin was 30%, down from 42% in Q2 2024.
Operating Cash Flow increased 4% to $6.4M, including non-cash working capital changes from acquisitions.
Net loss of $1.8M, compared to net income of $0.4M in Q2 2024, primarily due to revenue decline and $1.6M in one-time costs.
Free Cash Flow was $3.7M, with available liquidity of $64.1M.
Outlook and guidance
Full-year adjusted EBITDA guidance remains $21M–$24M, with expectations for stronger results in the back half, especially Q4.
No material improvement in MAUs assumed for Q4; incremental gains expected from direct traffic initiatives.
Continued investment in AI, engagement, and data products to drive long-term growth.
Focus remains on long-term growth through direct user engagement, AI-powered innovation, and audience monetization.
Forward-looking statements highlight organic growth, capital deployment, and risk from AI and third-party traffic sources.
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