FiscalNote Holdings, Inc. Q2 2026 Earnings Call Summary

1Key Financial Results and Metrics

Revenue: $19.6 million, within guidance of $19.5 million to $20.5 million, but down 16% year-over-year.

Adjusted EBITDA: $2.3 million, $200,000 below guidance; adjusted EBITDA margin at 11.9%, stable compared to the previous year.

Annual Recurring Revenue (ARR): $74.9 million, a decrease of approximately $800,000 quarter-over-quarter and down 13% year-over-year.

Net Revenue Retention (NRR): Improved to 98% from 89% in Q1, indicating reduced client churn.

GAAP Net Loss: $27.8 million, including a noncash goodwill impairment charge of $19.1 million; adjusted net loss was approximately $8.7 million.

2Strategic Updates and Business Highlights

New CEO Key Compton emphasized the company's strong client base and proprietary data capabilities, which differentiate FiscalNote from competitors.

Focus on stabilizing the core business, enhancing capital discipline, and leveraging existing assets for growth.

Continued efforts in platform consolidation and retention strategies are beginning to yield results, as evidenced by improved NRR.

The company is exploring growth opportunities in adjacent areas such as appropriations and government spending, as well as enhancing API and MCP server offerings.

3Forward Guidance and Outlook

Full-Year 2026 Revenue Guidance: Revised to $75 million to $78 million, down from $80 million to $83 million.

Adjusted EBITDA Guidance: Revised to $9 million to $11 million, down from $14 million to $16 million.

Q3 2026 Revenue Forecast: Expected to be between $19 million and $20 million, with adjusted EBITDA around $3.5 million.

4Bad News, Challenges, or Points of Concern

The company is facing headwinds from a cautious macro environment, particularly in the federal and public sectors, leading to declining subscription and non-subscription revenues.

The recent delisting from the New York Stock Exchange is a significant concern, with ongoing discussions about relisting options and managing debt agreements.

The overall decline in ARR and subscription revenue reflects ongoing challenges in customer retention and market conditions.

5Notable Q&A Insights

There were no questions from participants during the call, indicating either a lack of immediate concerns or a focus on the prepared remarks. Overall, FiscalNote's Q2 2026 results reflect a company in transition, facing significant challenges while also identifying strategic opportunities for growth and stabilization.