Octave posts $1.97 billion Q2 net loss on $2.1 billion impairment; revenue falls 4%
Octave Intelligence reported second quarter 2026 total revenue of $398 million, down 4% year over year, while annualized recurring revenue rose 7% to $1,143 million. A $2,135 million non-cash impairment charge drove a net loss of $1,971 million, or $7.34 per share, though adjusted EPS was flat at $0.36 and free cash flow was $93 million. The company says the charges did not affect cash flows or debt covenant compliance, and it gave initial full-year 2026 revenue guidance of $1,635 million to $1,665 million.
Key points
- Q2 2026 total revenue was $398 million, down from $413 million a year earlier; recurring revenue rose 6% to $283 million.
- Net loss was $1,971 million (EPS of -$7.34), including a $1,671 million goodwill impairment and a $464 million trademark impairment.
- Adjusted EPS was $0.36, the same as Q2 2025; free cash flow was $93 million.
- Initial guidance: Q3 2026 revenue of $400 million to $410 million and full-year 2026 revenue of $1,635 million to $1,665 million.
The filing
Written by AI on Nov 9, 2026, 11:48 AM ET, from this filing only. Written later: this filing was briefed after the fact, when past filings were added to the site, so the brief may be read with hindsight; the filing itself is the record of what was known on August 12, 2026.
Briefs are written by AI from the filing text and can contain mistakes — open the filing before acting on anything. Impact (1-5) and tone are the AI's reading of the filing for shareholders, not a price forecast. Not investment advice.