Veritone Reports Q2 2026 Revenue Growth to $24.3M Despite Net Loss

Veritone, Inc. reported its financial results for the second quarter of 2026, revealing a revenue of $24.3 million, a 4.6% increase from $23.2 million in the same period last year. For the first half of 2026, revenue totaled $44.5 million, down 2.5% from $45.7 million in the prior year. The company attributed the revenue growth in the second quarter primarily to an increase in Managed Services, which rose 15.2% to $7.5 million, driven by higher representation services. However, Software Products & Services revenue remained relatively flat, with a slight increase to $16.7 million compared to $16.6 million in the previous year.

Despite the revenue increase, Veritone reported a net loss of $22.2 million for the second quarter, an improvement from a net loss of $26.5 million in the same quarter of 2025. For the first half of 2026, the net loss was $41.7 million, compared to $46.4 million in the prior year. The company’s operating expenses increased to $46.4 million in the second quarter, up from $42.2 million a year earlier, largely due to restructuring expenses of $4.5 million related to a workforce reduction plan initiated in June 2026.

Veritone's operational metrics showed a decline in its total Software Products & Services customer base, which fell to 2,829, a decrease of 7.7% year-over-year. This decline was attributed to reduced consumption-based customers, particularly in the Talent Acquisition segment, as smaller hiring agencies faced challenges in the current macroeconomic environment. The company is actively investing in customer retention and acquisition strategies to counteract this trend.

In terms of strategic developments, Veritone has been focusing on cost reduction initiatives, achieving approximately $60 million in annualized savings since January 2023. The company has also entered into a strategic partnership with Oracle to leverage its AI superclusters, which is expected to enhance the scalability and performance of Veritone's aiWARE platform. Looking ahead, Veritone anticipates continued operating losses as it invests in growth, particularly in its VDR and Public Sector initiatives, while also addressing its liquidity challenges, including the need to refinance its Convertible Notes due in November 2026.

As of June 30, 2026, Veritone had cash and cash equivalents of $12.4 million and a working capital deficit of $53.1 million. The company is exploring various financing options, including an at-the-market equity offering program, to bolster its liquidity. However, there remains substantial doubt regarding its ability to continue as a going concern for at least the next year, given its current financial position and ongoing operational losses.