Near Intelligence, Inc.

Second-quarter 2023 GAAP revenue was $17.7 million, up 19% year over year and at the midpoint of guidance. GAAP gross profit was $12.1 million, representing a 68% gross margin. GAAP operating loss was $16.1 million, GAAP net loss was $17.7 million, non-GAAP operating loss was $7.8 million, non-GAAP net loss was $9.4 million, and adjusted EBITDA loss was $5.1 million, slightly better than guidance. Revenue from subscription customers was 89% of top-line revenue, and NRR was 112%. The company ended Q2 with $54.1 million in cash and cash equivalents, including restricted cash, and $101.3 million of total outstanding debt. For Q3, management guided to revenue of $18 million to $20 million and adjusted EBITDA of negative $1.5 million to negative $2.5 million. Management also said the company will need to raise additional capital and must keep liquidity above $20 million under its financing agreement.

Anil Mathews framed the quarter as evidence that Near can execute while keeping costs disciplined, emphasizing that the business is built around data, privacy, and AI. He said proprietary data and generative AI could become a key differentiator, particularly as they help fill gaps in consumer journeys without sacrificing privacy. Strategically, he highlighted a shift toward a more verticalized, channel-partner-led go-to-market model, citing tourism and property as strong areas and saying the company is adapting to longer sales cycles and market realities.

Rahul Agarwal focused on the financial profile: $17.7 million of revenue, $12.1 million of gross profit, 68% gross margin, and $5.1 million adjusted EBITDA loss in Q2. He noted operating expenses of $28.2 million, including $5.1 million of stock-based compensation and $3.2 million of one-time transaction-related costs, and said the company expects operating expenses to stay fairly stable over the next few quarters. On the balance sheet, he cited $54.1 million of cash and cash equivalents, $101.3 million of debt, and $23.2 million of accounts receivable, which he said remain elevated due to delayed collections. He also said the company agreed with Blue Torch Capital to prepay a portion of debt and that additional capital will be needed to meet liquidity requirements.

Analysts focused on whether tourism and property can drive second-half bookings, and management said both are working well, with tourism especially strong. Questions also probed the reduction in sales reps from 25 to 20; management said this was part of a shift toward channel partners, not simply a cost-cutting move, and that direct-sales pipeline remains strong even as the company prioritizes profitability. On seasonality, management said Q4 is typically flat to higher than Q3 and does not expect it to be lower, but withheld formal Q4 guidance because of capital-raising work and team restructuring. Analysts also asked about generative AI, and management said it could improve the platform by filling gaps in consumer journey data while preserving privacy.