Similarweb (SMWB) Q1 2026 earnings summary

Executive summary

• Q1 2026 revenue and non-GAAP operating profit reached the top end of guidance, reflecting resilient performance, improved sales productivity, and the strongest first quarter ARR increase since 2022.

• CEO succession process initiated, with a search for a successor underway and transition expected by mid-2027.

• Multi-year contracts rose to 64% of ARR, up from 52% in Q1 2025.

• AI-related revenues, solutions, and strategic deals are expanding rapidly, driving pipeline growth and revenue expansion.

• Normalized free cash flow was positive for the 10th consecutive quarter, at $6.6M.

Financial highlights

• Q1 2026 revenue grew 10% year-over-year to $73.9M.

• Non-GAAP operating profit was $2.4M (3% margin), compared to a $1.3M loss in Q1 2025.

• Non-GAAP net income was $1.0M (1% of revenue), versus a non-GAAP net loss of $2.4M a year ago.

• Gross margin remained strong at 80%.

• Remaining performance obligation (RPO) totaled $297.7M, up 18% year-over-year.

Outlook and guidance

• FY 2026 revenue guidance raised to $307M–$350M, representing 10% year-over-year growth at midpoint.

• FY 2026 non-GAAP operating profit guidance increased to $17M–$19M.

• Q2 2026 revenue expected between $74.5M and $76.5M, 6% year-over-year growth at midpoint; non-GAAP operating profit forecasted at $3M–$5M.

• Confident in revenue growth acceleration in the second half of 2026, supported by a strong enterprise pipeline and new product launches.