Firy (FIRY) Q2 2026 earnings summary

Executive summary

• Q2 2026 revenue reached $31.0 million, up 6% sequentially and 23% year-over-year, driven by RZR surpassing $10 million in quarterly revenue and achieving its fourth consecutive profitable quarter.

• Net loss widened to $24.5 million from $17.9 million in Q2 2025, reflecting higher general and administrative expenses, increased R&D, and higher interest expense.

• Adjusted EBITDA loss for Q2 2026 was $13.6 million; excluding litigation, loss improved to $2.7 million, a 63% sequential improvement.

• The company completed its rebrand to Firy, won a major litigation award, and continued executing growth strategies.

• The company recorded a $7.5 million gain from a litigation settlement in Q1 2026, with further annual payments expected through 2028.

Financial highlights

• Q2 2026 GAAP revenue: $31.0 million (Q1: $29.1M; Q2 2025: $25.2M); gross profit: $27.1 million; gross margin: approximately 87%.

• Q2 net loss: $24.5 million (Q2 2025: $17.9M); loss per share: $(1.52) basic and diluted.

• Adjusted EBITDA loss: $13.6 million (Q2 2025: $11.4M); excluding litigation, loss improved to $2.7 million.

• R&D expenses: $6.9 million, up 42% year-over-year; general and administrative expenses: $28.2 million, up 69% year-over-year.

• Ended Q2 with $164 million in cash and $130 million in debt (with $80 million redeemed post-quarter, leaving $50 million outstanding).

Outlook and guidance

• RZR profitability expected to continue in H2 2026, with revenue momentum and operating leverage.

• Skillz platform expected to return to sequential growth in Q4 2026, following operational improvements.

• RZR revenue projected to nearly double year-over-year for full-year 2026.

• Modest positive operating cash flow anticipated in 2027, accelerating into 2028.

• Management believes existing liquidity is sufficient for short- and long-term needs but may seek additional financing if required.