| Metric | Value ($ M) | Q1 FY25 |
|---|---|---|
| Revenue | 37.23 | 50.0% |
| Total Income | 37.23 | 50.0% |
| Expenditure | 88.27 | 0.7% |
| PBT | -57.67 | 184.9% |
| Net Profit | -47.07 | 196.4% |
| OPM | — | |
| NPM | — | |
| EPS | -5.82 | 2671.4% |
System1 Announces Q1 2026 Financial Results: Revenue $37.2 million
13 May 2026 · 13 May, 1:38 am
Summary
System1, Inc. announced its financial results for the first quarter of 2026, with revenue totaling $37.2 million. The company reported a GAAP gross profit of $23.3 million, representing a 63% margin, and an adjusted gross profit of $28.2 million with a 76% margin. The GAAP net loss for the quarter was $57.6 million, while adjusted EBITDA reached $2.7 million. Management highlighted a focus on AI and consumer intent as key opportunities for growth.
Key Highlights
- 1
System1 reported revenue of $37.2 million for the first quarter of 2026.
- 2
The company's GAAP gross profit was $23.3 million, resulting in a margin of 63% for Q1 2026.
- 3
Adjusted gross profit reached $28.2 million, with a margin of 76% for the first quarter.
- 4
System1's GAAP net loss amounted to $57.6 million for Q1 2026.
- 5
Adjusted EBITDA stood at $2.7 million for the first quarter of 2026.
- 6
MapQuest.com delivered year-over-year organic traffic growth of 14%, and site-wide revenue growth of 23%.
Management Comments
Michael Blend
"This quarter marked an important reset for System1 as we narrowed our focus to where we see the greatest opportunities to win: the intersection of AI and consumer intent," commented Michael Blend, System1’s Co-Founder & Chief Executive Officer. "With our best-in-class marketing platform and category-leading offerings, System1 is uniquely equipped to thrive as AI agents become a primary interface for shopping, search and travel. We are agile, focused, and ready to lead in the AI-driven future."
Tridivesh Kidambi
"The actions we took this quarter are expected to deliver meaningful cost savings, while also improving our financial profile going forward. We also continue to make meaningful progress on right-sizing our capital structure, which we believe will give us greater flexibility to invest across our highest-return opportunities. We view this past quarter as a clear inflection point for both the year ahead and the future for our businesses, and we are well-positioned to drive stronger operating performance and long-term shareholder value."
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