ZipRecruiter (ZIP) investor relations material

Executive summary

• Q2 2026 revenue reached $118.1 million, up 5% year-over-year and exceeding guidance midpoint by $6 million.

• Adjusted EBITDA was $14.6 million (12% margin), up from 8% in Q2 2025 and above guidance midpoint.

• Net income was $43.4 million, with a 37% margin, reversing a $9.5 million loss in Q2 2025 and boosted by a gain on debt extinguishment.

• Quarterly Paid Employers rose 12% sequentially to over 70,000, though revenue per Paid Employer declined due to new and returning customers.

• AI-driven product innovations and enhancements improved matchmaking, hiring experiences, and employer response rates.

Financial highlights

• Revenue: $118.1 million, up 5% year-over-year and 10% quarter-over-quarter.

• Adjusted EBITDA: $14.6 million (12% margin), up from 8% last year and 9% last quarter.

• Net income: $43.4 million, 37% margin, increased due to gain on debt repurchase.

• Performance-based revenue grew 15% year-over-year in Q2 2026; subscription revenue grew 2%.

• Cash and investments totaled $174 million at quarter end.

Outlook and guidance

• Q3 2026 revenue expected at $121 million midpoint, 5% year-over-year and 2% sequential growth.

• Q3 Adjusted EBITDA projected at $16 million (13% margin), up from 8% prior year.

• Full-year Adjusted EBITDA margin expected between 12%-14%, up from 9% in 2025.

• Management expects continued investment in marketplace functionality and growth, with AI-driven initiatives supporting margin expansion.

• Company believes existing liquidity and cash flow will meet working capital needs for at least the next 12 months.