Gaia (GAIA) Q3 2026 earnings summary

Executive summary

• Q3 reset prioritized direct subscribers and higher-quality member economics over lower-ARPU acquisition and discounting, accepting near-term revenue pressure; churn improved by more than 20% from Q1 to Q3.

• Q3 revenue was $22.0M, down 11.8% YoY, as subscriber acquisition shifted toward direct subscribers with historically longer retention and lower churn.

• Revenue stabilized at a ~$21.0M quarterly run rate over the 60 days before the update; annualized gross profit per employee reached $827,000.

Financial highlights

• Q3 revenue was $22.0M vs. $25.0M YoY; nine-month revenue was $69.7M vs. $73.5M.

• Q3 net loss attributable to common shareholders was $3.0M, or $0.12 per share, vs. $1.2M, or $0.05 per share.

• Q3 gross margin was 85.2% vs. 86.7% YoY; lower revenue was the primary factor, while content-related amortization remained relatively consistent.

• Nine-month operating loss was $7.6M vs. $4.4M; net loss was $7.8M vs. $4.6M.

Outlook and guidance

• Q4 revenue is expected to be closer to $22M, partly due to marketplace trips; positive free cash flow is expected to resume in Q4.

• SG&A is expected to decline from Q3 levels as cost reductions are fully realized in Q4 and beyond.

• Annual content and technology investment is planned at ~15% of revenue and can be scaled back to preserve liquidity.

• Cash, expected operating cash generation, revolver capacity, and flexibility to reduce discretionary spending are expected to cover anticipated needs for at least 12 months.