Comscore’s Loss Widens to $65.5 Million as Revenue Falls 14.3% in Third Quarter
Key Facts
Comscore reported results on November 3 for the third quarter ended September 30, with revenue of $76.2 million and a net loss of $65.5 million. Revenue was 14.3% lower than the $88.9 million reported in the year-earlier quarter, while the company swung from net income of $0.5 million to a loss. The loss attributable to common shareholders was $4.26 per share, compared with a loss of $0.86 per share in the third quarter of 2025. The company attributed the net loss primarily to a goodwill impairment charge and restructuring costs. The non-cash goodwill impairment charge was $57.3 million, while restructuring costs totaled $5.5 million.
Excluding the divested movies business, revenue fell 4.1% from $79.4 million in the comparable period, a comparison that shows a narrower decline than the reported decrease. The company said content and advertising measurement revenue fell 14.4% year over year, or 2.1% on a comparable basis excluding the impact of movies. Revenue from research and insights solutions also declined 13.9%. In its earnings release, Comscore linked the goodwill impairment partly to the decline in its share price and market value, as well as the implementation of its reorganization plan during the quarter. It added that the charge does not directly affect liquidity, cash flows or future operations.
Adjusted EBITDA fell to $5.8 million from $11 million a year earlier. The corresponding margin declined to 7.6% from 12.4%, indicating a deterioration in adjusted profitability alongside the revenue decline. Chief Executive Matt McLaughlin said the team implemented the new operating model during the quarter "with a strong sense of urgency," enabling the company to achieve significant cost savings. These savings are part of the return on investment strategy that the company said it is using to reorganize the business and cost structure and improve operations. The company did not provide a separate figure for savings achieved during the quarter in the published information.
Cash, cash equivalents and restricted cash totaled $19.5 million as of September 30, including $0.2 million of restricted cash. Comscore said its only remaining debt obligations were the principal due on finance leases, after it repaid all outstanding obligations under its secured credit facility in May 2026. As for its outlook, the company kept its fiscal 2026 estimates unchanged, with expected revenue of between $315 million and $325 million. It also expects an adjusted EBITDA margin in the low- to mid-single digits. Management therefore maintained its annual revenue range following the third-quarter results.
Management said it remains on track to achieve annualized run-rate savings of between $20 million and $25 million from the reorganization. It said some of these savings would be directed toward its return on investment strategy and growth opportunities. The company identified 2027 as the time frame for moving toward investment in long-term growth. The plan puts cost reductions and operational reorganization at the center of its stated path for the coming period. The earnings release did not specify an additional date beyond that time frame.