Red Violet Q2 Revenue Jumps 23%, Net Income Nearly Doubles; $108.6M Offering Closed
RDVT has more than doubled off its 52-week low of $33.4 on elevated volume (1.8× avg).
Summary
Red Violet reported Q2 2026 revenue of $26.7M (+23% YoY) and net income of $5.0M (+85% YoY). The company closed a $108.6M public offering, bolstering its cash position for growth initiatives.
Key Events · Earnings and Guidance · RDVT
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Q2 Revenue +23% to $26.7M
Revenue grew 23% year-over-year to $26.7 million, driven by new customer onboarding and volume expansion across the existing base. IDI billable customers reached 10,869, and FOREWARN users grew to 443,173.
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Net Income Nearly Doubles
Net income increased 85% to $5.0 million, with diluted EPS of $0.34. Adjusted EBITDA rose 48% to $11.2 million, and adjusted EBITDA margin expanded to 42% from 35% a year ago.
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$108.6M Public Offering Closed
On August 7, 2026, the company closed an underwritten public offering of 1,916,667 shares at $60.00 per share, generating net proceeds of approximately $108.6 million. Proceeds are earmarked for working capital and potential acquisitions.
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Stock Repurchase Program Update
During the first half of 2026, the company repurchased 74,500 shares for $3.1 million. As of June 30, 2026, $15.5 million remained under the $30 million authorization.
Analysis · RDVT · Technology
A strong second quarter saw revenue climb 23% to $26.7 million and net income surge 85% to $5.0 million, as operating leverage pushed adjusted EBITDA margin to 42%. The company also closed a $108.6 million public offering on August 7, providing substantial capital for working capital and potential acquisitions. While the offering adds dilution, the combination of accelerating growth and a fortified balance sheet strengthens the investment thesis.
At the time of this filing, RDVT was trading at $67.30 on NASDAQ in the Technology sector, with a market capitalization of approximately $926.3M. The 52-week trading range was $33.40 to $71.19. This filing was assessed with positive market sentiment and an importance score of 8 out of 10.