EarningsQ2 2026 Earnings Report
DE:2N2A Q2 2026 EPS Results
Actual EPS€0.06
Consensus EPS>-€0.01
Beat/MissBeat by +€0.07
One Year Ago EPS€0.40
DE:2N2A Q2 2026 Revenue Results
Actual Revenue€478.03M
Expected Revenue€487.23M
Beat/MissMissed by -€9.20M
YoY Revenue Growth-8.30%
Earnings Announcement Details
QuarterQ2 2026
Date08/06/2026
TimeBefore Open
Conference CallThursday, August 6, 2026
DE:2N2A Upcoming Earnings
USA TODAY's next earnings date is estimated for October 29, 2026, based on past reporting schedules.
Q2 2026 Earnings Call Audio
DE:2N2A Q2 2026 Earnings Call
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Q2 2026 Earnings Slide Deck
Q2 2026 Earnings Call Summary
Earnings Call Sentiment|Positive
The call conveyed a constructive view of the company's transformation: management reaffirmed full-year guidance and highlighted clear progress in higher-value digital initiatives — notably subscription ARPU (+34.4% YoY), digital other growth (+20.2% YoY), LOCALiQ improvements and double-digit free cash flow growth — while acknowledging near-term variability driven by advertising headwinds, lower overall revenue (-8.3% YoY) and traffic shifts away from traditional search. Management emphasized active mitigation (Palantir partnership, off-platform distribution, machine-readable content/licensing, cost discipline) and expects advertising and licensing trends to improve in the back half of the year. Given notable operational and cash-flow wins alongside identifiable but manageable headwinds, the tone is cautiously optimistic.Company Guidance
Free Cash Flow Growth and Profitability
Generated approximately $19.6–$20.0 million of free cash flow in Q2, an increase of ~11.2% year-over-year; reported second consecutive quarter of positive GAAP net income of $9.1 million and adjusted net income of $11 million; cash provided by operating activities grew 8.6% to $35.4 million.
Digital-Only Subscriptions Momentum
Digital-only subscription revenue reached $45.6 million, up 6.8% year-over-year; digital-only ARPU set a record at $10.47, rising 34.4% year-over-year; subscriber volumes are stabilizing with sequential improvement in the start-to-stop ratio, supporting confidence in future sequential volume growth.
Digital Other / Licensing & Commerce Growth
Digital other revenues (AI partnerships, content licensing, syndication, commerce) totaled $20.4 million, up 20.2% year-over-year; management expects this revenue stream to continue expanding as licensing partnerships and commerce opportunities grow.
LOCALiQ Sequential Recovery and Record ARPU
LOCALiQ core platform revenue was $106.3 million, up 7%; core platform average customer count increased by 300 (2.8%) and core platform ARPU reached a record $2,908, up 4.1%; LOCALiQ segment adjusted EBITDA was $13.2 million and margins expanded ~560 basis points to 12.4%.
Audience & AI Product Traction
Off-platform video momentum: 3 billion off-platform video views in H1 with TikTok surpassing 1 billion; DeeperDive AI answer engine saw >50 million questions asked and average daily interactions >390,000, producing longer time on site, higher ad revenue per session and stronger subscription intent; partnership with Palantir launched to accelerate first-party data activation and real-time monetization.
Expense Discipline and Balance Sheet Moves
Operating expenses decreased 7.8% year-over-year; cash balance $86.7 million; total debt reduced by $17.7 million in Q2 to $970.5 million and net debt decreased to $883.8 million, reflecting continued debt paydown and balance-sheet management.
DE:2N2A Earnings History
The table shows recent earnings report dates and whether the forecast was beat or missed. See the change in forecast and EPS from the previous year.
Beat
Missed