Shutterstock Posts $155.9M Q2 Loss on Goodwill Impairment, Suspends Guidance
SSTK sits 21% above its 52-week low of $5.172.
Summary
Shutterstock reported a $155.9M Q2 net loss, driven by a $163.4M goodwill impairment after the failed Getty merger. Revenue dropped 17%, and the company suspended guidance, signaling ongoing challenges.
Key Events · Earnings and Guidance · SSTK
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Q2 Revenue Down 17%
Revenue fell to $221.8M from $267.0M a year ago, driven by weakness in new customer acquisition across both Content and Data segments.
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$163.4M Goodwill Impairment
A non-cash goodwill impairment charge of $173.7M pre-tax ($163.4M after-tax) was recorded due to the decline in fair value following the terminated Getty Images merger.
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Net Loss of $155.9M
Net loss was $155.9M, or $4.25 per diluted share, compared to net income of $29.4M a year ago. Adjusted net income was $30.0M, or $0.82 per share.
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Cost-Cutting Target Raised
Management is targeting an additional $60M in annualized run-rate operating expense reductions by year-end, on top of $70M already achieved over the past 18 months.
Analysis · SSTK · Technology
Shutterstock's Q2 results reveal a sharp deterioration: revenue fell 17% to $221.8M, and a $163.4M non-cash goodwill impairment drove a net loss of $155.9M. The impairment reflects the collapse of the Getty Images merger and a declining business. Management is cutting costs aggressively—targeting $60M in additional annualized savings—but the suspension of guidance and the earnings call signals deep uncertainty. With cash down to $133.2M after the $35M FTC settlement, the company faces a tough road to stabilize.
At the time of this filing, SSTK was trading at $6.28 on NYSE in the Technology sector, with a market capitalization of approximately $221.2M. The 52-week trading range was $5.17 to $29.50. This filing was assessed with negative market sentiment and an importance score of 8 out of 10.