Marchex (MCHX) Q4 2025 earnings summary

Executive summary

• Achieved primary completion of technology platform migration, positioning for accelerated revenue growth and margin expansion in 2026.

• Q4 2025 GAAP revenue was $10.8M, down from $11.9M in Q4 2024; full-year 2025 revenue was $45.4M, down from $48.1M in 2024.

• Expanded product platform with new unified interface, vertical AI capabilities, and innovative features launched during 2025.

• Joint development and early sales of bundled AI-driven solutions with Archenia, targeting home and auto services verticals.

• Net loss for Q4 2025 was $2.3M ($0.05/share) vs. $1.9M ($0.04/share) in Q4 2024; full-year net loss was $5.2M ($0.12/share) vs. $4.9M ($0.11/share) in 2024.

Financial highlights

• Q4 2025 revenue was $10.8 million, down from $11.5 million in Q3 2025, impacted by platform migration.

• Adjusted EBITDA loss for 2025 was $0.7M, including $2.6M in non-recurring costs; excluding these, Adjusted EBITDA was a $1.9M gain.

• Cash and cash equivalents at year-end 2025 were $9.9M, down from $12.8M at year-end 2024.

• Gross margin for 2025 was approximately 63%, consistent with prior year.

• Operating efficiencies realized from organizational realignment and technology initiatives.

Outlook and guidance

• Q1 2026 revenue expected to be in line with Q4 2025, with Adjusted EBITDA of $500,000 or more.

• Sequential revenue and Adjusted EBITDA growth anticipated in Q2 2026, with Adjusted EBITDA potentially exceeding $1 million.

• Projected sequential quarterly revenue increases in 2026, targeting 10% run rate revenue growth from 2025 year-end levels.

• Adjusted EBITDA margins expected to reach 10% or more during 2026.