QuoteMedia, Inc.

Q2 revenue increased 11% year over year, driven by a 14% increase in interactive content revenue and a 9% increase in corporate Quotestream revenue. Gross margin improved to 50% from 46% in the prior-year quarter. Net loss narrowed to $362,000 from $854,000, and adjusted EBITDA improved to $241,000 from $99,000. Cash at quarter end was $187,000, deferred revenue was $1.6 million, cash from operations was $257,000, and investing activities used $369,000. For the remainder of fiscal 2026, management expects sustained double-digit revenue growth, with ongoing gross margin and profitability improvement as scale increases and prior-period amortization declines.

Dave Shworan framed the quarter as evidence that QuoteMedia is entering a new phase of scalable growth. He emphasized that the company is winning larger multiyear enterprise accounts by replacing much bigger incumbents, and said those deals are broadening customer relationships and increasing visibility into future revenue. His tone was optimistic and confident, especially around AI, which he described as both a product enhancer and a demand driver for the company’s data.

Keith Randall highlighted that revenue growth outpaced costs, helping gross margin move to 50% from 46%. He said total operating expenses rose 4%, with sales and marketing down 4% and G&A down 10% due to lower bad debt, rent, and professional fees, partly offset by increased AI tool investment and higher software development expense from a lower capitalization rate. He noted the net loss narrowed to $362,000, adjusted EBITDA improved to $241,000, cash from operations was $257,000, and investing cash use was $369,000, while deferred revenue stood at $1.6 million and should largely be replaced by pending contracts.

Analysts asked about the $1.6 million deferred revenue balance, and management said most of it will be recognized over this year, with new contracts expected to replenish it, though recognition of new deals will lag until setup work is complete. They also asked why corporate Quotestream growth slowed in Q2; Dave said one large customer went through a user cleanup cycle and has already ramped back up. On enterprise deals, management said the new contracts are in the company’s top 10 and have no pass-through costs, while on AI they said exchange-related fees may eventually flow through to customers but that QuoteMedia’s owned, directly sourced data is still a key advantage.