System1 revenue falls to $30.2 million as net loss narrows to $15.3 million
System1 reported second-quarter 2026 revenue of $30.2 million, down from $78.1 million a year earlier, which it attributed to a planned cut in marketing tied to search monetization. The net loss narrowed to $15.3 million from $21.5 million, but adjusted EBITDA fell to $1.9 million from $11.7 million, and the CEO said the company signed and closed a debt exchange transaction that cuts gross debt by half.
Key points
- Revenue was $30.2 million for the quarter ended June 30, 2026, versus $78.1 million in the same quarter of 2025.
- Net loss was $15.3 million versus $21.5 million a year earlier; net loss attributable to System1 was $12.6 million versus $17.5 million.
- Adjusted EBITDA was $1.9 million versus $11.7 million; adjusted gross margin rose to 85%.
- Cash and cash equivalents were $40.5 million at June 30, 2026, down from $86.9 million at December 31, 2025, and total stockholders' equity was a deficit of $53.0 million.
The filing
Written by AI on Nov 9, 2026, 11:43 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 05, 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.