Similarweb Ltd.

Q2 revenue was $77.2 million, up 9% year over year and above the top end of guidance. Non-GAAP operating profit was $6.5 million, or an 8% margin, versus $2.4 million in Q2 2025; non-GAAP diluted EPS was $0.06 versus $0.01 a year ago. Normalized free cash flow was $8.7 million with an 11% margin, and the company reported positive GAAP operating profit for the first time. AI-related revenue was 13% of revenue, up from 11% at the end of Q4 2025. Full-year 2026 guidance was raised to revenue of $340 million to $380 million and non-GAAP operating profit of $24 million to $26 million. Q3 revenue guidance was $80.5 million to $82.5 million, with non-GAAP operating profit of $7.5 million to $9.5 million.

Or Offer framed the quarter as evidence that Similarweb is at an inflection point: the core business is strengthening while AI is creating a new growth path. He emphasized bigger deals, longer commitments, better retention, and expanding profitability, saying the company is becoming an enterprise data company rather than just a software seat business. His tone was highly confident and strategic, especially around the idea that AI increases the value of Similarweb’s data and broadens its use cases across large enterprises.

Ran Vered highlighted the $77.2 million in Q2 revenue, $6.5 million in non-GAAP operating profit, $0.06 non-GAAP diluted EPS, and $8.7 million in normalized free cash flow. He noted that RPO was $345 million, up 26% year over year, and deferred revenue was $141 million, up 21% year over year, with about 66% of RPO expected to convert to revenue over the next 12 months. He also said the company ended the quarter with about $73.9 million in cash and cash equivalents, no debt, and a $75 million available credit line, while acknowledging FX pressure from the stronger Israeli shekel. Guidance was raised to $340 million-$380 million in revenue and $24 million-$26 million in non-GAAP operating profit for the full year.

Analysts focused on whether the new large enterprise and AI deals represent a broader shift in how Similarweb’s data is consumed, and management said yes: larger customers are using the data at scale across more use cases, not just LLM training. Asked about NRR, management said the reported figure should continue to improve because it is a rolling four-quarter average and because gross retention and expansion efforts are strengthening. On the pipeline, Or said one of the previously discussed large AI deals is still in the pipeline and could close by year-end, while management repeatedly stressed that the sales organization has been reoriented toward expansion and large enterprise opportunities.