Q2 FY2026
Filed Aug 13, 2026Revenue grew 126% to $704 million in Q2 2026, while Adjusted Operating Income grew 150% to $381 million and the company forecast Q3 revenue of $733 million to $745 million.
Revenue, operating income, net income, diluted earnings per share, Adjusted Operating Income and Adjusted Earnings per Share all increased by more than 100% year over year. Reported and adjusted margins expanded, although acquisition-driven growth, higher interest expense and $4.09 billion of net debt remain central considerations.
Key metrics
as reported| Metric | Value | q/q | y/y |
|---|---|---|---|
| RevenueGAAP | $704,155 | – | 126% |
| Gross profitGAAP | $463,621 | – | 127% |
| Cost of revenueGAAP | $240,534 | – | 126% |
| Operating incomeGAAP | $240,251 | – | 139% |
| Operating income as a percentage of revenueGAAP | 34% | – | 2 pp |
| Net incomeGAAP | $176,967 | – | 171% |
| Net income as a percentage of revenueGAAP | 25% | – | 4 pp |
| Diluted earnings per shareGAAP | $0.28 | – | 163% |
| Basic earnings per share attributable to Bending Spoons shareholdersGAAP | $0.30 | – | – |
| Net income attributable to Bending Spoons shareholdersGAAP | $176,967 | – | – |
| Research and development expenseGAAP | $58,204 | – | – |
| Sales and marketing expenseGAAP | $72,679 | – | – |
| General and administrative expenseGAAP | $92,488 | – | – |
| Interest expenseGAAP | $108,970 | – | – |
| Other expense (income)GAAP | $(19,488) | – | – |
| Income before taxGAAP | $150,769 | – | – |
| Income tax expense (benefit)GAAP | $(26,198) | – | – |
| Diluted weighted average sharesGAAP | 634,748 | – | 3% |
| Adjusted Operating Incomenon-GAAP | $381,149 | – | 150% |
| Adjusted Operating Income Marginnon-GAAP | 54% | – | 5 pp |
| Adjusted Net Incomenon-GAAP | $292,976 | – | 175% |
| Adjusted Net Income Marginnon-GAAP | 42% | – | 7 pp |
| Adjusted Earnings per Sharenon-GAAP | $0.46 | – | 167% |
| Organic revenue growthother | 3% | – | – |
| Net debtother | $4.09 billion | – | – |
| Leverage ratioother | 2.4× | – | – |
| Cash and cash equivalentsGAAP | $792,950 | – | – |
| Long-term debt, currentGAAP | $794,141 | – | – |
| Long-term debt, non-currentGAAP | $4,086,939 | – | – |
| Borrowing capacity under revolving credit facilities, net of amounts drawnother | $1.28 billion | – | – |
| Net cash from operating activities, six months ended June 30GAAP | $254,240 | – | – |
| Net cash from investing activities, six months ended June 30GAAP | $(2,290,228) | – | – |
| Acquisitions of businesses net of cash, cash equivalents, and restricted cash acquired, six months ended June 30GAAP | $(2,286,259) | – | – |
| Purchase of property, plant, and equipment, six months ended June 30GAAP | $(3,969) | – | – |
| Net cash from financing activities, six months ended June 30GAAP | $2,267,448 | – | – |
| Proceeds from issuance of debt, six months ended June 30GAAP | $2,566,532 | – | – |
| Principal repayments of long-term debt, six months ended June 30GAAP | $(203,694) | – | – |
Q3 2026 and full year 2026 outlook
- RevenueQ3 2026: $733 million to $745 million; full year 2026: $2.78 billion to $2.82 billion
- NoteQ3 2026 Adjusted Operating Income: $380 million to $400 million
- NoteQ3 2026 revenue: year-over-year growth of 113% at the midpoint
- NoteQ3 2026 Adjusted Operating Income: year-over-year growth of 111% at the midpoint
- NoteFull year 2026 revenue: year-over-year growth of 114% at the midpoint of the range
- NoteFull year 2026 Adjusted Operating Income: $1.46 billion to $1.51 billion
- NoteFull year 2026 Adjusted Operating Income: year-over-year growth of 142% at the midpoint of the range
- NoteOutlook is based solely on the portfolio of businesses owned as of August 12, 2026, and does not include any contribution from additional acquisitions.
What drove it
- Revenue grew by $393 million, or 126%, primarily driven by acquisitions of AOL, Eventbrite, Harvest, MileIQ, Tractive, and Vimeo.
- Organic revenue growth was 3% in Q2 2026, with Tractive and WeTransfer making the largest contributions.
- Tractive was acquired in May 2026 for an enterprise value of $759 million, including deferred consideration of $115 million payable one year after closing.
- Gross profit increased by $259 million, or 127%, as cost of revenue rose by $134 million, or 126%.
- The company cited increased amortization of acquired intangible assets, IT infrastructure expense and distribution and payment processing expense as cost-of-revenue drivers.
- Operating expenses increased by $120 million, primarily reflecting personnel costs for newly acquired businesses and separation packages related to reorganizations of AOL, Eventbrite, Tractive, and Vimeo.
- AOL increased first-party advertising revenue by approximately 20% and reduced paid user acquisition spend by 30%.
- Vimeo reduced system stability incidents by approximately 90% versus pre-acquisition levels and accelerated video upload and search functionality by at least 30%.
Concerns
- Organic revenue growth was 3%, while reported revenue growth was primarily driven by acquisitions.
- Remini and Splice revenue declined, partly offsetting growth at Tractive and WeTransfer.
- Interest expense increased by $73 million, primarily driven by higher borrowings associated with acquisition financing.
- Q2 2026 included $50 million of reorganization-related expense, $82 million of amortization of acquired intangible assets and $5 million of transaction-related expense within the adjustments to non-GAAP measures.
- The company had $794 million of debt scheduled to mature within the following twelve months.
- The outlook excludes any contribution from additional acquisitions.
What to watch
- Q3 2026 revenue guidance of $733 million to $745 million and Adjusted Operating Income guidance of $380 million to $400 million.
- Execution of the Airtable acquisition agreement, announced after the end of Q2 2026 at an enterprise value of $1.29 billion.
- The contribution from Tractive, acquired in May 2026, and its subscription-based monetization.
- Whether growth at Tractive and WeTransfer continues to offset declines in Remini and Splice revenue.
- Debt maturities, revolving-credit usage and leverage after the IPO and new or expanded loan facilities.
- Margin effects from acquisition integration, reorganizations, amortization and transaction-related costs.
Balance sheet and cash flow
- Cash and cash equivalents were $792,950 at June 30, 2026, compared with $629,944 at December 31, 2025.
- Net debt totaled $4.09 billion and the leverage ratio was 2.4× at the end of Q2 2026.
- Long-term debt was $794,141 current and $4,086,939 non-current at June 30, 2026.
- Revolving credit facilities provided borrowing capacity of up to $1.58 billion, of which $1.28 billion was undrawn at quarter end.
- $794 million of debt was scheduled to mature within the following twelve months.
- Net cash from operating activities was $254,240 for the six months ended June 30, 2026, compared with $87,733 for the six months ended June 30, 2025.
- Net cash from investing activities was $(2,290,228) for the six months ended June 30, 2026, including $(2,286,259) for acquisitions of businesses net of cash, cash equivalents, and restricted cash acquired.
- Net cash from financing activities was $2,267,448 for the six months ended June 30, 2026, including $2,566,532 of proceeds from issuance of debt and $(203,694) of principal repayments of long-term debt.
- After the end of Q2 2026, the company completed an initial public offering raising aggregate net proceeds of $1.10 billion, after deducting underwriting discounts and commissions.
- After the end of Q2 2026, the company entered into additional euro-denominated term loan facilities totaling €590 million and obtained increases of euro-denominated revolving credit facilities for a total amount of €30 million.
Analysis
Bending Spoons reported a sharply larger Q2 2026, with revenue of $704,155, up 126% from $311,100 in Q2 2025. The release attributes the $393 million revenue increase primarily to acquisitions, including AOL, Eventbrite, Harvest, MileIQ, Tractive and Vimeo. Organic revenue growth was 3%, led by Tractive and WeTransfer, while declines in Remini and Splice revenue partly offset those contributions. This separates the reported growth rate from the underlying growth measure disclosed by the company.
Profitability expanded on both reported and adjusted measures. Gross profit increased 127% to $463,621, operating income increased 139% to $240,251, and the GAAP operating-income margin improved to 34% from 32%. Net income rose 171% to $176,967 and net-income margin increased to 25% from 21%. Adjusted Operating Income rose 150% to $381,149, lifting Adjusted Operating Income Margin to 54% from 49%, while Adjusted Net Income Margin increased to 42% from 34%.
The difference between GAAP and adjusted profitability remains material. Q2 adjustments included $82 million of amortization and impairment of acquired intangible assets, $50 million of reorganization-related expense, $6,553 of transaction-related expense and $1,236 of other items not indicative of core or ongoing operating performance in the Adjusted Operating Income reconciliation. The adjusted-net-income reconciliation also included a $(19,610) foreign exchange gain and $5,261 of losses from changes in the fair value of interest rate swaps. The company revised the definitions of Adjusted Net Income, Adjusted Net Income Margin and Adjusted Earnings per Share to include foreign exchange and interest-rate-swap adjustments.
Acquisition activity and financing shaped the balance sheet and cash flow. The company acquired Tractive in May 2026 for an enterprise value of $759 million, and cash used for acquisitions was $(2,286,259) for the six months ended June 30, 2026. Net debt totaled $4.09 billion at quarter end, with a 2.4× leverage ratio and $794 million of debt scheduled to mature within the next twelve months. Net cash from operating activities was $254,240 for the first six months, while financing cash flow included $2,566,532 of debt issuance proceeds. After quarter end, the company raised $1.10 billion of aggregate net IPO proceeds and added euro-denominated loan and revolving-credit capacity.
The Q3 outlook calls for revenue of $733 million to $745 million and Adjusted Operating Income of $380 million to $400 million. Full-year guidance calls for revenue of $2.78 billion to $2.82 billion and Adjusted Operating Income of $1.46 billion to $1.51 billion. Management specifies that the outlook uses only businesses owned as of August 12, 2026, excluding any contribution from additional acquisitions. The pending Airtable transaction, announced at an enterprise value of $1.29 billion after quarter end, is therefore outside the stated outlook.
Not in the filing
stated, not guessed- Prior outlook was not provided, so no comparison of actual results with prior guidance is available.
- Segment revenue and segment-level financial results were not reported.
- GAAP gross margin was not reported.
- Free cash flow was not reported.
- Quarterly operating cash flow and quarterly capital expenditures were not reported.
- Share repurchases and dividends were not reported.
- GAAP operating income guidance was not provided; the company stated that it did not provide a forecast or reconciliation without unreasonable effort.
- Guidance for gross margin, operating expenses and tax rate was not provided.
- Named executive quotes were not provided.
AlphaAI analysis generated from the company’s SEC earnings filing (Form 8-K Item 2.02, or Form 6-K for a foreign private issuer). Every figure was cross-checked against the filing text; consensus estimates, price targets and share-price reactions are not shown because they are not in the filing. AI-generated research, not investment advice.