Marchex (MCHX) Q2 2026 earnings summary

Executive summary

• Completed acquisition of Archenia on July 1, 2026, enhancing AI-powered conversational analytics and expanding the customer base across major verticals including automotive, insurance, and healthcare.

• Revenue for Q2 2026 was $11.0 million, down 6% year-over-year from $11.7 million, with a net loss of $0.4 million versus net income of $0.1 million in Q2 2025.

• Combined platform aims to deliver measurable business value by connecting insights, automated actions, and outcomes, with strong initial adoption and upsell momentum among top customers.

• The company settled litigation related to the Telmetrics acquisition for $2.0 million, resolving all related claims.

• Top 100 customers represent about 90% of revenue, with significant early adoption of new AI-powered offerings and pilots.

Financial highlights

• Q2 2026 revenue was $11.0 million, down from $11.7 million in Q2 2025, driven by new sales, upsells, and customer migrations.

• Net loss for Q2 2026 was $0.4 million, or $(0.01) per diluted share; Adjusted EBITDA improved to $0.7 million, or $1.7 million excluding $1.0 million in reorganization/acquisition costs.

• Operating expenses decreased due to lower sales, marketing, and product development costs, partially offset by nonrecurring acquisition-related charges.

• Cash and cash equivalents at June 30, 2026, were $8.2 million, down from $9.9 million at year-end 2025, mainly due to transaction and realignment expenses.

• Pro forma combined Q2 2026 revenue was $15.5 million with Adjusted EBITDA of $1.0 million (or $2.0 million excluding acquisition costs).

Outlook and guidance

• Q3 2026 revenue expected at $16.0–$16.5 million, with Adjusted EBITDA of $2.3–$2.5 million, reflecting a full quarter of Archenia results.

• Fourth quarter and 2027 outlook to be provided with Q3 results in early November 2026.

• Management expects sufficient resources to fund operations for at least twelve months, but macroeconomic factors could influence plans and resources.

• Additional equity or debt financing may be needed to support acquisition strategy and long-term obligations.

• Targeting Rule of 30–40 trajectory (annual revenue growth plus adjusted EBITDA margin).