Cardlytics (CDLX) Q3 2026 earnings summary

Executive summary

• Q3 Billings were $57.224m, down 32% YoY, and revenue was $32.882m, down 30%, amid a U.S. FI partner exit, a U.K. bank disruption and advertiser budget pressure.

• Monthly Qualified Users declined 43.7m YoY, primarily following a U.S. FI partner exit from the platform.

• New advertiser activity, CRP partnerships and technology initiatives support plans to build growth into 2027.

Financial highlights

• Revenue was $32.882m vs. $46.962m YoY; Billings were $57.224m vs. $84.124m and Consumer Incentives were $24.342m vs. $37.162m.

• Gross profit was $16.242m vs. $21.429m; Adjusted Contribution was $19.397m vs. $25.565m and Adjusted EBITDA was $0.386m vs. $3.339m.

• Operating loss was $5.421m vs. $66.449m and net loss was $8.947m vs. $72.673m; Q3 2025 included a $58.843m goodwill and intangible impairment.

• Adjusted operating expenses were $19m, down 14% YoY; Free Cash Flow was negative $1.6m vs. negative $2.7m.

• 9M operating cash use was $20.138m vs. $3.720m.

Outlook and guidance

• Q4 2026 guidance: Billings $63m–$69m, revenue $35m–$39m, Adjusted Contribution $20m–$23m and Adjusted EBITDA negative $1m to positive $2m.

• Billings guidance implies 10%–20% sequential growth; management expects sequential growth in Q4, while YoY comparisons remain difficult through Q4 and ease in Q1 2027.

• Near-term operating losses are expected; liquidity is expected to fund operations and capital requirements for at least 12 months after issuance of the financial statements.

• Management is evaluating options to improve the balance sheet and Free Cash Flow, with investments focused on self-sustaining growth.