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GlobeNewswire·

MarketWise Reports Net Revenue of $77.0 Million and Net Loss of $0.6 Million for First Quarter 2026; Q1 Billings Increase 15% YoY; Announced Quarterly Regular and Special Dividends totaling $0.45 per Class A share; Affirms FY 2026 Guidance of Billings of $300 Million and CFFO of $50 Million; Board Authorizes New $50M Share Buyback Program

MKTW
  • MarketWise, Inc. reported financial results for the first quarter of 2026 on May 7, 2026.
  • Paid subscribers grew to 381,000 as of March 31, 2026, up from 374,000 at the end of 2025, reversing previous declines.
  • Active free subscribers totaled 2.0 million as of March 31, 2026.
  • Total net revenue for the quarter was $77.0 million, a 7.8% decrease compared to the first quarter of 2025.
  • Total billings reached $81.4 million in the first quarter, representing a 15% year-over-year increase & the highest quarterly total since 2023.
  • The company recorded a net loss of $0.6 million due to timing differences in deferred revenue recognition & sales and marketing costs.
  • Cash from operating activities (CFFO) was $(2.1) million, a $3.8 million decrease from the prior year period.
  • Increased marketing investments of $15 million drove the decline in cash flow, as the company accelerated customer acquisition.
  • Cash & cash equivalents stood at $52.7 million as of March 31, 2026, down from $70.0 million at the end of 2025.
  • MarketWise reaffirmed full-year 2026 guidance for billings of approximately $300 million & CFFO of approximately $50 million.
  • The Board declared a total quarterly dividend of $0.45 per share of Class A common stock ($0.25 regular & $0.20 special).
  • The full-year dividend target remains $1.80 per share of Class A common stock.
  • In April 2026, the company repurchased over 3% of its total shares outstanding for $12.2 million as part of a legal settlement.
  • Management plans to shift focus from growth investments to cash generation for the remainder of 2026.
  • The company expects tax distributions to decline significantly in 2026 to approximately $35 million compared to 2025.
  • Average revenue per user (ARPU) increased to $738 in the trailing four quarters.
  • Net revenue is projected to decline in 2026 while billings grow, with revenue growth expected to return in 2027.