ANGI earnings analysis
What we found in ANGI's 10-Q: the parts that mattered, the offsets in the same document, and what the company said about what comes next.
Our reading of the filing · Free to read, no account needed
Angi reported Q2 revenue of $248.003 million, down 11% year over year and below the provided $262.059 million consensus estimate. Gross margin was steady at 95%, but operating margin deteriorated to negative 94% from positive 6%, principally reflecting a $225.628 million goodwill impairment and a $9.600 million intangible-asset impairment; net loss was $230.667 million, and diluted EPS was not disclosed in the supplied filing text. Core U.S. demand metrics and revenue weakened, while International Adjusted EBITDA rose 25% to $6.771 million and debt was reduced by $100.0 million principal in the first half.
The parts that mattered.
Pulled out of the filing itself, with the figures the company reported.
- International EBITDA grew despite flat revenue
- International revenue was essentially stable at $32.628 million versus $32.690 million a year ago, while International Adjusted EBITDA increased $1.347 million, or 25%, to $6.771 million.
- Workforce actions materially reduced overhead
- Cost actions lowered general and administrative expense by $14.196 million, or 19%, to $59.885 million, and product development expense by $12.693 million, or 54%, to $10.901 million.
- Debt reduction generated extinguishment gain
- The company repurchased $100.0 million principal amount of 3.875% senior notes for $91.9 million in cash during the first six months, producing an $8.4 million gain on extinguishment; remaining notes were $400.0 million at June 30.
- Gross margin remained resilient
- Gross margin held at 95% on $248.003 million of revenue, unchanged from 95% in the prior-year quarter, as cost of revenue declined $1.473 million, or 11%.
And the other side of it.
The offsets in the same document — the things a summary that only listed the good news would have left out.
- New impairment risk after $235.2M charge
- A newly added risk factor follows a $225.6 million U.S. goodwill impairment and $9.6 million trade-name impairment. After the charge, a 100-basis-point increase in the U.S. discount rate would create approximately $35.0 million of additional impairment.
- U.S. demand and monetization weakened
- Total revenue fell $30.218 million, or 11%, year over year to $248.003 million. U.S. revenue declined $30.156 million, or 12%, as management cited weaker Pro spend and utilization amid macroeconomic conditions.
- Network channel contraction continued
- Network revenue declined $9.054 million, or 34%, to $17.229 million and Network Leads fell 210,000, or 35%, reflecting the continuing consumer-traffic shift after the January 2025 homeowner-choice transition.
- GAAP profitability severely impaired
- GAAP operating income swung to a $233.749 million loss from $17.673 million of income, yielding a negative 94% operating margin; the loss included $225.628 million of goodwill impairment.
- Cash generation and liquidity declined
- Six-month operating cash flow declined to $9.338 million from $54.008 million, while capital expenditures were $30.677 million; calculated free cash flow was negative $21.339 million. Cash declined to $188.701 million from $303.701 million at year-end.
- Pro activity and Proprietary Leads fell
- Average Monthly Active Pros declined 21,000, or 17%, to 106,000, while Proprietary Leads declined 529,000, or 11%, to 4.451 million.
What they reported.
What the company itself reported, taken out of the document.
- Gross margin
- 95%
- Operating margin
- -94%
- Segment
- U.S. revenue: $215.375 million, down $30.156 million (12%) year over year.
- Segment
- International revenue: $32.628 million, down $0.062 million (approximately flat) year over year.
What they said about what is next.
No quantitative revenue or EPS outlook was provided in the 10-Q. Management expects 2026 capital expenditures to be consistent with 2025 capital expenditures of $59.6 million.
The filing reads worse than the one before it.
What came before.
- 10-Q · May 5, 2026
- Angi Inc. reported Q1 2026 results with a revenue of $238.2 million, reflecting a 3% decline year-over-year. The company experienced a diluted EPS loss of $0.22, surpassing estimates but still representing ongoing…
- 10-K · February 20, 2026
- Angi positions itself as a large two-segment home-services marketplace (U.S. and International) connecting consumers and Pros across >500 categories, with 111,000 Average Monthly Active Pros and ~16 million projects in…
- 10-Q · August 5, 2025
- Angi reported Q2 revenue of $278.221M, beating the estimate but down 11.7% versus Q2 2024. Gross margin remained high at ~95.3% and operating income improved year-over-year to $17.673M, driving diluted EPS of $0.23 (up…
- 10-K · February 28, 2025
- Angi describes a marketplace connecting consumers with home professionals across over 500 service categories, reporting approximately 17 million projects in the twelve months ended December 31, 2024 and ~168,000…
This is our reading of a public filing, not the filing. Read the original on SEC.gov · Educational only. Nothing here is investment advice.
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