Revenue and non-GAAP operating profit at the top end of the guidance range
Raising the lower end of the 2026 guidance range for both revenue and Non-GAAP operating profit
Tenth consecutive quarter of positive normalized free cash flow
Multi-year subscriptions increase to 64% of ARR up from 52% in 2025
TEL AVIV, Israel--(BUSINESS WIRE)--May 13, 2026--
Similarweb Ltd. (NYSE: SMWB) ("Similarweb" or the "Company"), a leading digital data and analytics company powering critical business decisions, today announced financial results for its first quarter ended March 31, 2026.
"I am proud of the first quarter financial results that reflect solid execution and the resilience of the Similarweb team during an eventful quarter," stated Or Offer, Co-Founder and CEO of Similarweb. "We delivered revenue and non-GAAP operating profit at the top end of our guidance range. Sales productivity improved for the third consecutive quarter and contributed to our strongest first quarter ARR increase since 2022." Offer concluded, "Commercial interest in our AI-related data and solutions continues to expand, and our growing pipeline of opportunities provides us with confidence in our strategy to build an AI-driven data powerhouse that delivers profitable growth."
First Quarter 2026 Financial Highlights
(All results compared with the first quarter of 2025)
-- Total revenue was $73.9 million, an increase of 10% compared to $67.1
million.
-- GAAP loss from operations was $(4.4) million or (6)% of revenue,
compared to $(9.3) million or (14)% of revenue. GAAP net loss was $(6.4)
million compared to $(9.3) million. GAAP net loss per share was $(0.07),
compared to $(0.11).
-- Non-GAAP operating profit was $2.4 million or 3% of revenue, compared
to non-GAAP operating loss of $(1.3) million or (2)% of revenue. Non-GAAP
net income was $1.0 million or 1% of revenue, compared to non-GAAP net
loss of $(2.4) million or (4)% of revenue. Non-GAAP diluted net income
per share was $0.01, compared to non-GAAP diluted loss per share of
$(0.03).
First Quarter 2026 Operational Highlights
-- Number of customers with annual recurring revenue $(ARR)$ of $100,000 or more grew to 461, as of March 31, 2026, an increase of 12% year-over-year. -- Customers with ARR of $100,000 or more contributed 64% of the total ARR as of March 31, 2026, up from 61% as of March 31, 2025. -- Dollar-based net retention rate (NRR), for customers with ARR of $100,000 or more was 103% in the first quarter of 2026, compared to 111% in the first quarter of 2025. -- Overall NRR was 98% in the first quarter of 2026, compared to 101% in the first quarter of 2025. -- 64% of our overall ARR is contracted under multi-year subscriptions as of March 31, 2026, increased from 52% as of March 31, 2025. -- Remaining performance obligations (RPO) , increased 18% year-over-year, to $297.7 million as of March 31, 2026, as compared to $252.7 million as of March 31, 2025.
Recent Business Highlights
-- The company recently expanded its ecommerce offering with the launch of
Similarweb Retail Intelligence, a unified suite that combines Amazon IQ
with Cross-Retail IQ to give brands and retailers a more complete view of
shopper behavior and digital shelf performance. The product extends
Similarweb's coverage across Amazon marketplaces and more than 650 online
stores and marketplaces, enabling customers to analyze product mix,
availability, pricing, competitive positioning, and emerging retail
trends in a single intelligence layer.
-- In May, Similarweb expanded its partnership with Manus, embedding
additional keyword, referral, landing page and popular page datasets into
Manus's AI agent experience. Building on the January integration of
Similarweb traffic and engagement data, Manus users can now ask
plain-language business questions and generate competitive intelligence
briefs that explain not only who is winning online, but why. The
expansion strengthens Similarweb's role as an AI-native intelligence
layer, grounding agent-driven workflows in trusted, real-world digital
data.
-- During the first quarter, the company signed a seven digit LLM data
training contract with an existing big tech customer. This was one of the
two contracts that was deferred from the fourth quarter. We expect a
second large LLM data contract to be signed over the coming quarters.
Balance Sheet and Cash Flow
-- In the first quarter of 2026, net cash provided by operating activities
was $0.2 million, compared to $4.9 million for the first quarter of 2025.
Free cash flow was $(0.3) million, compared to $4.4 million for the first
quarter of 2025. Normalized free cash flow was $6.6 million, compared to
$4.9 million for the first quarter of 2025.
-- Cash and cash equivalents was $65.3 million as of March 31, 2026,
compared to $72.4 million as of December 31, 2025.
"We delivered revenue and non-GAAP operating profit at the top end of our guidance range, while generating $6.6 million of normalized free cash flow in the first quarter," said Ran Vered, Chief Financial Officer of Similarweb. "This was our tenth consecutive quarter of positive normalized free cash flow, reinforcing our commitment to disciplined execution, profitable growth and durable cash generation. Our first quarter performance provides a solid base for 2026, and we are raising the low end of our full year guidance to reflect increased confidence in our outlook."
Financial Outlook
-- FY 2026 Guidance
-- Total revenue for fiscal year 2026 estimated between $307.0
million and $315.0 million, representing approximately 10% growth
year-over-year at the mid-point of the range.
-- Non-GAAP operating profit for fiscal year 2026 estimated between
$17.0 million and $19.0 million.
-- Q2 2026 Guidance
-- Total revenue estimated between $74.5 million and $76.5 million,
representing approximately 6% growth year-over-year at the
mid-point of the range.
-- Non-GAAP operating profit estimated between $3.0 million and
$5.0 million.
The Company's second quarter and full year 2026 financial outlook is based upon a number of assumptions that are subject to change and many of which are outside the Company's control. Actual results may vary from these assumptions, and the Company's expectations may change. There can be no assurance that the Company will achieve these results.
The Company does not provide guidance for operating loss, the most directly comparable GAAP measure to non-GAAP operating loss, and similarly cannot provide a reconciliation of this measure to their closest GAAP equivalent without unreasonable effort due to the unavailability of reliable estimates for certain items. These items are not within the Company's control and may vary greatly between periods and could significantly impact future financial results.
Conference Call Information
The financial results and business highlights will be discussed on a conference call and webcast scheduled at 8:30 a.m. Eastern Time on Wednesday, May 13, 2026. A live webcast of the call can be accessed from Similarweb's Investor Relations website at https://ir.similarweb.com. An archived webcast of the conference call will also be made available on the Similarweb website following the call. The live call may also be accessed via telephone at (877) 407-0726 toll-free and at +1 (201) 689-7806 internationally.
About Similarweb: Similarweb powers businesses to win their markets with Digital Data. By providing essential web and app data, analytics, and insights, we empower our users to discover business opportunities, identify competitive threats, optimize strategy, acquire the right customers, and increase monetization. Similarweb products are integrated into users' workflow, powered by advanced technology, and based on leading comprehensive Digital Data.
Forward-Looking Statements
This press release contains "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933, as amended, or the Securities Act, and Section 21E of the Securities Exchange Act of 1934, as amended, including statements relating to our guidance for the second quarter and full year of 2026 described under "Financial Outlook" and the expected performance of our business, future financial results, strategy, long-term growth and overall future prospects. Forward-looking statements include all statements that are not historical facts. Such statements may be preceded by the words "intends," "may," "will," "plans, " "expects," "anticipates," "projects," "predicts," "estimates," "aims," "believes," "hopes," "potential" or similar words. These forward-looking statements reflect our current views regarding our intentions, products, services, plans, expectations, strategies and prospects, which are based on information currently available to us and assumptions we have made. Actual results may differ materially from those described in such forward-looking statements and are subject to a number of known and unknown risks, uncertainties, other factors and assumptions that are beyond our control. Such risks and uncertainties include, without limitation, risks and uncertainties associated with: (i) our expectations regarding our revenue, expenses and other operating results; (ii) our ability to acquire new customers and successfully retain existing customers; (iii) our ability to successfully develop and market AI solutions and to increase usage of our solutions and upsell and cross-sell additional solutions; (iv) our ability to sustain profitability; (v) anticipated trends, growth rates, changes in currency
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