Thryv Reports Second Quarter 2026 Results and Launches Thryv Growth Platform (Form 8-K)

Thryv Reports Second Quarter 2026 Results and Launches Thryv Growth Platform

-Q2 SaaS Revenue Grows to 76% of Total Revenue

-Q2 SaaS Monthly ARPU Increases 12% Year-Over-Year to $394

-Company Announces Strategic Restructuring Plan to Improve Operating Efficiencies

DALLAS, August 4, 2026 - Thryv Holdings, Inc. (NASDAQ:THRY) ("Thryv" or the "Company"), the provider of Thryv®, an AI-native growth platform for local service businesses, reported results for the second quarter of 2026.

"Our second quarter marked another step forward in the transformation of our business, with SaaS now representing 76% of our revenue and ARPU growing 12% year-over-year," said Joe Walsh, Thryv Chairman and CEO. "Our SaaS profile now reflects our deliberate focus on the newly launched Thryv Growth Platform, the first platform purpose-built for the small business owner with AI running underneath to turn every lead into measurable revenue. We are also announcing a restructuring plan that realigns our cost structure to focus on a SaaS operating model and extend the agentic AI capabilities embedded in Thryv's customer-facing platform. Looking ahead, we remain focused on reaccelerating the growth of our SaaS business. We are announcing today that we have partnered Ooma and plan to establish a strategic partnership with Wix, with a shared focus on helping small businesses succeed."

The Company expects to incur total restructuring and related charges of approximately $20 million to $25 million, approximately 10% of which has already been incurred, with approximately 40% expected to be recognized in the second half of 2026 and the remaining 50% to be recognized in 2027. Cost savings are anticipated to begin in 2027, building to approximately $55 million to $60 million in gross annualized cost savings upon completion.

"We remain focused on optimizing the Thryv Growth Platform, a unified, AI-native growth offering, concentrating investments to scale the business and expand profitability. These initiatives are expected to be accretive to Adjusted EBITDA margins in the future, while strengthening the Company's free cash flow generation," stated Paul Rouse, Chief Financial Officer.

Second Quarter Financial 2026 Highlights:

•SaaS revenue was $114.5 million, a decrease of 0.5% year-over-year, of which Market, Sell, Grow initiatives grew 21%1 year-over-year, offset by headwinds in legacy CRM products

•Marketing Services revenue was $36.2 million

•Consolidated total revenue was $150.7 million

•Consolidated net loss was $16.7 million, or $(0.38) per diluted share; compared to net income of $13.9 million, or $0.31 per diluted share, for the second quarter of 2025

•Consolidated Adjusted EBITDA was $20.8 million, representing an Adjusted EBITDA margin of 13.8%

1 Excludes Keap. Market, Sell, Grow initiatives include Marketing Center and additional marketing value-added services.

•SaaS Adjusted EBITDA was $13.6 million, representing an Adjusted EBITDA margin of 11.8%

•Marketing Services Adjusted EBITDA was $7.3 million, representing an Adjusted EBITDA margin of 20.0%

•Consolidated Gross Profit was $94.6 million

•Consolidated Adjusted Gross Profit2 was $99.2 million

•SaaS Gross Profit was $72.7 million, representing a Gross Margin of 63.5%

•SaaS Adjusted Gross Profit1 was $76.2 million, representing an Adjusted Gross Margin of 66.6%

Recent Business Highlights and Metrics

•Quality customers3 (defined as those contributing more than $400 in monthly recurring revenue) accounted for 72% of SaaS revenue3 in the second quarter of 2026

•SaaS clients were 95 thousand at the end of the second quarter of 2026

•Seasoned Net Revenue Retention4 was 90% for the second quarter of 2026

•SaaS monthly Average Revenue per Unit ("ARPU")5 was $394 for the second quarter of 2026, an increase of 11.9% year-over-year

Outlook

Based on information available as of August 4, 2026, Thryv is issuing guidance6 for the third quarter of 2026 and updating full year 2026 as indicated below:

						3rd Quarter						4th Quarter						Full Year
(in millions)						2026						2026						2026
SaaS Revenue						$111.0 - $112.0						$111.0 - $114.0						$453.0 - $457.0
SaaS Adjusted EBITDA7						$8.5 - $9.5						$9.0 - $10.0						$42.0 - $44.0

						3rd Quarter						4th Quarter						Full Year
(in millions)						2026						2026						2026
Marketing Services Revenue						$34.0 - $35.0						$40.0 - $41.0						$161.0 - $163.0
Marketing Services Adjusted EBITDA7						$5.0 - $6.0						$5.5 - $6.5						$31.0 - $33.0

2 Defined as Gross profit adjusted to exclude the impact of depreciation and amortization expense and stock-based compensation expense.

3 Excludes customers and revenue attributed to the Keap acquisition.

4 Seasoned NRR is calculated by dividing the revenue of all clients that have had one or more SaaS offerings for at least two years as of the last month of the year or quarter, as applicable, by the same clients' revenue one year ago. For each reporting quarter, the weighted-average monthly NRR from all the months in the quarter are reported. Seasoned NRR excludes clients acquired in the Keap acquisition.

5 Defined as total client billings for a particular month divided by the number of clients that have one or more revenue-generating solutions in that same month. This is a weighted-average calculation and inclusive of the impact from the Keap acquisition.

6 These statements are forward-looking and actual results may materially differ. Refer to the "Forward-Looking Statements" section below for information on the factors that could cause our actual results to materially differ from these forward-looking statements.

7 SaaS Adjusted EBITDA and Marketing Services Adjusted EBITDA are forward-looking non-GAAP financial measurers. We calculate forward-looking non-GAAP financial measures based on internal forecasts that omit certain amounts that would be included in GAAP financial measures. We have not provided quantitative reconciliations of these forward-looking non-GAAP financial measures because the excluded items are not available on a prospective basis without unreasonable effort.

Earnings Conference Call Information

Thryv will host a conference call on Tuesday, August 4, 2026 at 8:30 a.m. (Eastern Time) to discuss the Company's second quarter 2026 results.

To listen to this conference call, please use this link. After registering, a confirmation email will be sent, including access details. We recommend registering a day in advance or at a minimum thirty minutes prior to the start of the call. A live webcast will also be available on the Investor Relations section of the Company's website at investor.thryv.com.

Thryv Holdings, Inc. and Subsidiaries

Consolidated Statements of Operations and Comprehensive (Loss) Income

			Three Months Ended												Six Months Ended
			June 30,												June 30,
(in thousands, except share and per share data)			2026						2025						2026						2025
Revenue			$	150,728					$	210,470					$	318,412					$	391,841
Cost of services			56,168						63,850						114,596						125,933
Gross profit			94,560						146,620						203,816						265,908
Operating expenses:
Sales and marketing			47,038						56,063						94,986						115,905
Research and development			7,509						8,661						18,940						18,870
General and administrative			41,156						52,356						86,975						104,627
Total operating expenses			95,703						117,080						200,901						239,402
Operating (loss) income			(1,143)						29,540						2,915						26,506
Other income (expense):
Interest expense			(5,035)						(5,981)						(9,176)						(12,048)
Interest expense, related party			(2,483)						(2,971)						(4,949)						(5,977)
Net periodic pension cost			(357)						(778)						(702)						(1,546)
Other income			(446)						2,557						987						2,949
(Loss) income before income tax expense			(9,464)						22,367						(10,925)						9,884
Income tax expense			(7,196)						(8,436)						(1,193)						(5,571)
Net (loss) income			$	(16,660)					$	13,931					$	(12,118)					$	4,313
Other comprehensive loss:
Foreign currency translation adjustment, net of tax			(114)						(72)						(509)						(259)
Comprehensive (loss) income			$	(16,774)					$	13,859					$	(12,627)					$	4,054
Net (loss) income per common share:
Basic			$	(0.38)					$	0.32					$	(0.27)					$	0.10
Diluted			$	(0.38)					$	0.31					$	(0.27)					$	0.10
Weighted-average shares used in computing basic and diluted net (loss) income per common share:
Basic			44,358,330						43,744,144						44,283,478						43,579,171
Diluted			44,358,330						44,303,331						44,283,478						44,586,162

Thryv Holdings, Inc. and Subsidiaries

Consolidated Balance Sheets

(in thousands, except share data)			June 30, 2026						December 31, 2025
Assets
Current assets
Cash and cash equivalents			$	9,136					$	10,752
Accounts receivable, net of allowance of $13,144 in 2026 and $13,830 in 2025			127,756						136,394
Contract assets, net of allowance of $2 in 2026 and $2 in 2025			622						411
Taxes receivable			1,172						8,134
Deferred costs			8,243						11,548
Prepaid expenses and other current assets			11,041						11,618
Total current assets			157,970						178,857
Fixed assets and capitalized software, net			49,242						50,885
Goodwill			253,809						253,809
Intangible assets, net			22,979						25,929
Deferred tax assets			137,604						133,221
Other assets			32,528						45,886
Total assets			$	654,132					$	688,587
Liabilities and Stockholders' Equity
Current liabilities
Accounts payable			$	5,509					$	9,764
Accrued liabilities			88,753						91,246
Current portion of unrecognized tax benefits			1,847						28,303
Contract liabilities			24,820						28,875
Current portion of Term Loan			21,000						10,500
Current portion of Term Loan, related party			14,000						7,000
Other current liabilities			2,518						3,905
Total current liabilities			158,447						179,593
Term Loan, net			115,886						125,419
Term Loan, net, related party			78,788						85,448
ABL Facility			14,057						25,120
Pension obligations, net			41,425						44,171
Other liabilities			33,967						10,697
Total long-term liabilities			284,123						290,855
Commitments and contingencies
Stockholders' equity
Common stock - $0.01 par value, 250,000,000 shares authorized; 72,970,119 shares issued and 44,417,798 shares outstanding at June 30, 2026; and 72,002,129 shares issued and 43,815,268 shares outstanding at December 31, 2025			730						720
Additional paid-in capital			1,310,845						1,303,144
Treasury stock - 28,552,321 shares at June 30, 2026 and 28,186,861 shares at December 31, 2025			(499,764)						(498,103)
Accumulated other comprehensive loss			(16,020)						(15,511)
Accumulated deficit			(584,229)						(572,111)
Total stockholders' equity			211,562						218,139
Total liabilities and stockholders' equity			$	654,132					$	688,587

Thryv Holdings, Inc. and Subsidiaries

Consolidated Statements of Cash Flows

			Six Months Ended June 30,
(in thousands)			2026						2025
Cash Flows from Operating Activities
Net (loss) income			$	(12,118)					$	4,313
Adjustments to reconcile net (loss) income to net cash provided by operating activities:
Depreciation and amortization			20,060						21,707
Amortization of deferred commissions			3,046						6,944
Amortization of debt issuance costs			1,465						1,648
Deferred income taxes			(4,116)						2,310
Provision for credit losses and service credits			6,734						9,020
Stock-based compensation expense			7,537						13,745
Net periodic pension cost			702						1,546
Gain on foreign currency exchange rates			(962)						(2,787)
Other			2						38
Changes in working capital items, excluding acquisitions:
Accounts receivable			24,677						15,392
Prepaid expenses and other assets			(389)						(16,493)
Accounts payable and accrued liabilities			(33,831)						(20,515)
Contract liabilities			(4,443)						(13,748)
Other liabilities			18,990						(4,045)
Net cash provided by operating activities			27,354						19,075
Cash Flows from Investing Activities
Additions to fixed assets and capitalized software			(16,121)						(14,855)
Other			-						(143)
Net cash used in investing activities			(16,121)						(14,998)
Cash Flows from Financing Activities
Payments of Term Loan			-						(15,750)
Payments of Term Loan, related party			-						(10,500)
Proceeds from ABL Facility			154,389						206,317
Payments of ABL Facility			(165,451)						(190,292)
Principal payments on finance lease obligations			(436)						-
Other			(1,486)						165
Net cash used in financing activities			(12,984)						(10,060)
Effect of exchange rate changes on cash, cash equivalents and restricted cash			61						592
Decrease in cash, cash equivalents and restricted cash			(1,690)						(5,391)
Cash, cash equivalents and restricted cash, beginning of period			10,869						17,760
Cash, cash equivalents and restricted cash, end of period			$	9,179					$	12,369
Supplemental Information
Cash paid for interest			$	13,438					$	16,480
Cash (received) paid for income taxes, net			$	(3,969)					$	3,373

Segment Information

The following tables summarize the operating results of the Company's reportable segments:

			Three Months Ended June 30,												Change
(dollars in thousands)			2026						2025						Amount						%
Revenue
SaaS			$	114,480					$	115,005					$	(525)					(0.5)		%
Marketing Services			36,248						95,465						(59,217)						(62.0)		%
Total Revenue			$	150,728					$	210,470					$	(59,742)					(28.4)		%
Adjusted EBITDA
SaaS			$	13,562					$	23,393					$	(9,831)					(42.0)		%
Marketing Services			7,263						27,839						(20,576)						(73.9)		%
Consolidated Adjusted EBITDA8			$	20,825					$	51,232					$	(30,407)					(59.4)		%

			Six Months Ended June 30,												Change
(dollars in thousands)			2026						2025						Amount						%
Revenue
SaaS			$	231,218					$	226,134					$	5,084					2.2		%
Marketing Services			87,194						165,707						(78,513)						(47.4)		%
Total Revenue			$	318,412					$	391,841					$	(73,429)					(18.7)		%
Adjusted EBITDA
SaaS			$	24,378					$	34,208					$	(9,830)					(28.7)		%
Marketing Services			20,511						37,925						(17,414)						(45.9)		%
Consolidated Adjusted EBITDA8			$	44,889					$	72,133					$	(27,244)					(37.8)		%

8 Consolidated Adjusted EBITDA is equal to SaaS Adjusted EBITDA and Marketing Services Adjusted EBITDA. See Non-GAAP Measures below for a reconciliation of Consolidated Adjusted EBITDA to Net income (loss).

Non-GAAP Measures

Our results included in this press release include Adjusted EBITDA, Adjusted EBITDA Margin and Adjusted Gross Profit, which are not presented in accordance with U.S. generally accepted accounting principles ("GAAP").

We have included Adjusted EBITDA, Adjusted EBITDA Margin, Adjusted Gross Profit because management believes they provide useful information to investors in gaining an overall understanding of our current financial performance and provide consistency and comparability with past financial performance. Specifically, we believe Adjusted EBITDA provides useful information to management and investors by excluding certain non-operating items that we believe are not indicative of our core operating results. In addition, Adjusted EBITDA, Adjusted EBITDA Margin, and Adjusted Gross Profit are used by management for budgeting and forecasting as well as measuring the Company's performance. We believe Adjusted EBITDA, Adjusted EBITDA Margin, and Adjusted Gross Profit provide investors with the financial measures that closely align with our internal processes.

We define Adjusted EBITDA ("Adjusted EBITDA") as Net income (loss) plus Interest expense, Income tax expense (benefit), Depreciation and amortization expense, Restructuring and integration expenses, Stock-based compensation expense, and non-operating expenses, such as Net periodic pension cost and certain unusual and non-recurring charges that might have been incurred. Adjusted EBITDA should not be considered as an alternative to Net income (loss) as a performance measure. We define Adjusted EBITDA Margin as Adjusted EBITDA divided by revenue. We define Adjusted Gross Profit ("Adjusted Gross Profit") as Gross profit adjusted to exclude the impact of Depreciation and amortization expense and Stock-based compensation expense.

Non-GAAP financial information has limitations as an analytical tool and is presented for supplemental informational purposes only. Such information should not be considered a substitute for financial information presented in accordance with U.S. GAAP and may be different from similarly-titled non-GAAP measures used by other companies.

The following is a reconciliation of Adjusted EBITDA to its most directly comparable GAAP measure, Net (loss) income:

			Three Months Ended June 30,												Six Months Ended June 30,
(in thousands)			2026						2025						2026						2025
Reconciliation of Adjusted EBITDA
Net (loss) income			$	(16,660)					$	13,931					$	(12,118)					$	4,313
Interest expense			7,518						8,952						14,125						18,025
Depreciation and amortization expense			10,894						10,191						20,060						21,707
Stock-based compensation expense			2,787						6,008						7,537						13,745
Restructuring and integration expenses (1)			8,288						5,493						14,378						10,175
Income tax expense (benefit)			7,196						8,436						1,193						5,571
Net periodic pension cost (2)			357						778						702						1,546
Other (3)			445						(2,557)						(988)						(2,949)
Adjusted EBITDA			$	20,825					$	51,232					$	44,889					$	72,133

(1)For the three and six months ended June 30, 2026 and 2025, expenses relate to periodic efforts to enhance efficiencies and reduce costs, and include severance benefits, and costs associated with abandoned facilities and system consolidation. For more information on our restructuring and integration expenses, please see our Q2 2026 Quarterly Report on Form 10-Q.

(2)Net periodic pension cost is primarily from our non-contributory defined benefit pension plans that are currently frozen and incur no additional service costs.

(3)Other primarily includes foreign exchange-related (income) expense.

The following tables set forth reconciliations of Adjusted Gross Profit and Adjusted Gross Margin, to their most directly comparable GAAP measures, Gross Profit and Gross Margin:

			Three Months Ended June 30, 2026
(in thousands)			SaaS						Marketing Services						Total
Reconciliation of Adjusted Gross Profit
Gross Profit			$	72,745					$	21,815					$	94,560
Plus:
Depreciation and amortization expense			3,449						1,099						4,548
Stock-based compensation expense			51						18						69
Adjusted Gross Profit			$	76,245					$	22,932					$	99,177
Gross Margin			63.5		%				60.2		%				62.7		%
Adjusted Gross Margin			66.6		%				63.3		%				65.8		%

			Three Months Ended June 30, 2025
(in thousands)			SaaS						Marketing Services						Total
Reconciliation of Adjusted Gross Profit
Gross Profit			$	82,911					$	63,709					$	146,620
Plus:
Depreciation and amortization expense			2,118						1,754						3,872
Stock-based compensation expense			93						73						166
Adjusted Gross Profit			$	85,122					$	65,536					$	150,658
Gross Margin			72.1		%				66.7		%				69.7		%
Adjusted Gross Margin			74.0		%				68.6		%				71.6		%

			Six Months Ended June 30, 2026
(in thousands)			SaaS						Marketing Services						Total
Reconciliation of Adjusted Gross Profit
Gross Profit			$	148,377					$	55,439					$	203,816
Plus:
Depreciation and amortization expense			5,946						2,186						8,132
Stock-based compensation expense			98						39						137
Adjusted Gross Profit			$	154,421					$	57,664					$	212,085
Gross Margin			64.2		%				63.6		%				64.0		%
Adjusted Gross Margin			66.8		%				66.1		%				66.6		%

			Six Months Ended June 30, 2025
(in thousands)			SaaS						Marketing Services						Total
Reconciliation of Adjusted Gross Profit
Gross Profit			$	161,681					$	104,227					$	265,908
Plus:
Depreciation and amortization expense			4,716						3,381						8,097
Stock-based compensation expense			177						142						319
Adjusted Gross Profit			$	166,574					$	107,750					$	274,324
Gross Margin			71.5		%				62.9		%				67.9		%
Adjusted Gross Margin			73.7		%				65.0		%				70.0		%

The following table sets forth a reconciliation of Free Cash Flow to its most directly comparable GAAP measure, Net cash provided by operating activities:

			Three Months Ended June 30,												Six Months Ended June 30,
(in thousands)			2026						2025						2026						2025
Reconciliation of Free Cash Flow
Net cash provided by operating activities			$	25,881					$	29,556					$	27,354					$	19,075
Additions to fixed assets and capitalized software			(9,195)						(7,770)						(16,121)						(14,855)
Free Cash Flow			$	16,686					$	21,786					$	11,233					$	4,220

Supplemental Financial Information

The following supplemental financial information provides Revenue, Net Income (Loss), Net Income (Loss) Margin, Adjusted EBITDA and Adjusted EBITDA Margin by our (i) SaaS business and (ii) Marketing Services business. Total SaaS Adjusted EBITDA and Adjusted EBITDA margin are non-GAAP financial measures. Total Marketing Services Adjusted EBITDA and Adjusted EBITDA margin are also non-GAAP financial measures. These non-GAAP financial measures are presented for supplemental informational purposes only and are not intended to be considered in isolation or as a substitute for, or superior to, financial information prepared and presented in accordance with GAAP.

We believe that these non-GAAP financial measures provide useful information about our global SaaS and Marketing Services financial performance, enhance the overall understanding of our global SaaS and Marketing Services past financial performance and allow for greater transparency with respect to important metrics used by our management for financial and operational decision-making. We believe that these measures provide additional tools for investors to use in comparing our core financial performance over multiple periods.

			Three Months Ended June 30, 2026
(dollars in thousands)			SaaS						Marketing Services						Total
Revenue			$	114,480					$	36,248					$	150,728
Net Loss															(16,660)
Net Loss Margin															(11.1)		%
Adjusted EBITDA			13,562						7,263						20,825
Adjusted EBITDA Margin			11.8		%				20.0		%				13.8		%

			Three Months Ended June 30, 2025
(dollars in thousands)			SaaS						Marketing Services						Total
Revenue			$	115,005					$	95,465					$	210,470
Net Income															13,931
Net Income Margin															6.6		%
Adjusted EBITDA			23,393						27,839						51,232
Adjusted EBITDA Margin			20.3		%				29.2		%				24.3		%

			Six Months Ended June 30, 2026
(dollars in thousands)			SaaS						Marketing Services						Total
Revenue			$	231,218					$	87,194					$	318,412
Net Loss															(12,118)
Net Loss Margin															(3.8)		%
Adjusted EBITDA			24,378						20,511						44,889
Adjusted EBITDA Margin			10.5		%				23.5		%				14.1		%

			Six Months Ended June 30, 2025
(dollars in thousands)			SaaS						Marketing Services						Total
Revenue			$	226,134					$	165,707					$	391,841
Net Income															4,313
Net Income Margin															1.1		%
Adjusted EBITDA			34,208						37,925						72,133
Adjusted EBITDA Margin			15.1		%				22.9		%				18.4		%