Cricut Reports 2% Revenue Growth to $172.1 Million in Q2 2025

Cricut, Inc. reported its financial results for the second quarter of 2025, revealing a total revenue of $172.1 million, a 2% increase from $167.9 million in the same period last year. The company's net income for the quarter was $24.5 million, or $0.12 per share, compared to $19.8 million, or $0.09 per share, in the prior year. For the first half of 2025, total revenue was $334.7 million, slightly down from $335.3 million in the first half of 2024, while net income rose to $48.4 million from $39.4 million year-over-year.

The company experienced notable changes in its revenue streams. Platform revenue increased by 4% to $80.7 million, driven by a rise in paid subscribers from 2.8 million to 3.0 million. Conversely, Products revenue saw a modest increase of 1% to $91.4 million, attributed to higher sales of accessories and materials, although this was partially offset by a decline in connected machine sales. The overall gross profit for the quarter was $101.5 million, reflecting a 13% increase from the previous year, with gross margins improving in the Products segment from 23% to 32%.

Cricut's operational metrics indicate a strong user engagement, with 5.9 million active users reported as of June 30, 2025. The company also noted a significant increase in its cash and cash equivalents, which rose to $298.1 million from $232.1 million at the end of 2024. The company’s total liabilities increased significantly to $412.6 million, primarily due to a rise in accounts payable and accrued expenses, reflecting ongoing operational investments and dividend declarations.

Strategically, Cricut has focused on enhancing its product offerings and expanding its market presence. The company continues to invest in research and development, with expenses rising to $16.8 million for the quarter, up 17% from the previous year. Additionally, Cricut has initiated a stock repurchase program and declared a special dividend of $0.75 per share, alongside a recurring semi-annual dividend of $0.10 per share, indicating a commitment to returning value to shareholders.

Looking ahead, Cricut anticipates continued growth in its platform revenue driven by an expanding subscriber base and increased user engagement. However, the company remains cautious about potential market challenges, including economic uncertainties and supply chain issues. Management emphasized the importance of maintaining operational efficiency and adapting to changing market conditions as it seeks to capitalize on its innovative product offerings and enhance its competitive position in the crafting and DIY market.