Company Reports Q1 Revenue of $199.2M, Down Year-over-Year
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Apr 28 2026
0mins
Should l Buy SSTK?
Reports Q1 revenue $199.2M vs. $242.6M last year. Commenting on the Company's performance, Paul Hennessy, the Company's Chief Executive Officer, said, "During the first quarter, we maintained a strong focus on operational discipline and cost management, delivering $43 million in Adjusted EBITDA in the face of ongoing industry headwinds. While first quarter revenue was impacted by a slower start in our Content business than expected and the timing of revenue recognition associated with data licensing deals, we continue to invest in areas that will drive long-term growth and remain committed to simplifying our product offerings to better meet our customers' needs." With regards to the pending merger with Getty Images, Hennessy said, "Like Getty Images, we disagree with the CMA's most recent assessment and do not believe the merger would substantially lessen competition in Editorial content in the UK. We remain confident in the merits of the merger and will continue working closely with Getty Images and the CMA toward closing."
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Analyst Views on SSTK
Wall Street analysts forecast SSTK stock price to rise
2 Analyst Rating
0 Buy
2 Hold
0 Sell
Hold
Current: 16.990
Low
28.85
Averages
28.85
High
28.85
Current: 16.990
Low
28.85
Averages
28.85
High
28.85
No data
About SSTK
Shutterstock, Inc. is a global creative platform connecting brands and businesses to high-quality content. Its platform brings together users and contributors of content by providing readily searchable content that customers pay for licenses and by compensating contributors as their content is licensed. Contributors upload their content to the Company’s Web properties in exchange for royalty payments based on customer download activity. It offers licenses to metadata associated with the Company’s images, footage, music tracks and 3D models through the Company’s data offering, distribution and advertising services from the Company’s Giphy business, which consists of graphics interchange format visuals (GIFs). It offers specialized solutions for content matched with production tools and services through Shutterstock Studios. Its content offering includes images consisting of photographs, vectors and illustrations and footage consisting of video clips and cinema-grade video effects.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
Shutterstock Reports Q1 Revenue Decline Amid Industry Challenges
- Revenue Decline: In Q1 2026, Shutterstock reported revenue of $199.2 million, a decrease of $43.5 million or 18% compared to Q1 2025, primarily due to weak new customer acquisition in the Content business, impacting overall performance.
- Widening Net Loss: The company recorded a net loss of $47.6 million in Q1 2026, a significant drop from a net income of $18.7 million in Q1 2025, largely attributed to declining revenues and operating costs not decreasing at a similar rate, resulting in a net loss per share of $1.34.
- Adjusted EBITDA Decline: Adjusted EBITDA for Q1 2026 was $42.7 million, down $20.7 million or 33% year-over-year, reflecting a significant impact on profitability amid declining revenues.
- Cash Flow Situation: As of March 31, 2026, Shutterstock's cash and cash equivalents decreased by $15.7 million to $162.5 million, primarily due to cash outflows from financing and investing activities, indicating pressure on the company's cash management.
See More
Shutterstock Q1 Earnings Miss Expectations Significantly
- Earnings Shortfall: Shutterstock's Q1 non-GAAP EPS of $0.58 missed expectations by $0.38, indicating a significant decline in profitability that could undermine investor confidence.
- Revenue Decline: Total revenue for Q1 was $199.2 million, down 17.9% year-over-year and missing estimates by $22.26 million, reflecting weak market demand and increasing competitive pressures.
- Content Revenue Drop: Revenue from content offerings decreased by $24.8 million, or 12%, to $178.1 million compared to Q1 2025, primarily due to weak new customer acquisition, highlighting challenges in market expansion.
- Data and Services Revenue Plummet: Revenue from data, distribution, and services fell by $18.7 million, or 47%, to $21.0 million compared to Q1 2025, indicating extremely poor performance in this segment, which may impact future business growth.
See More
UK Antitrust Regulator Calls for Shutterstock to Divest Editorial Business
- Antitrust Review Progress: The UK's Competition and Markets Authority (CMA) provisionally found that requiring Shutterstock to divest its entire editorial business to Getty Images is the least burdensome remedy for merger approval, which could significantly impact the competitive landscape for both companies in the UK market.
- Merger Impact Assessment: The CMA indicated in its report that the merger may reduce competition in the supply of editorial content in the region, although Getty Images disagrees, asserting that the merger will not adversely affect the market, and both companies plan to provide additional evidence to the regulator to support their position.
- Transaction Background: This merger, valued at $3.7 billion, was announced in January 2025 and received approval from the U.S. Department of Justice in February 2025, highlighting the regulatory challenges faced by multinational mergers in different markets.
- Decision Timeline: The CMA's final decision is expected by June 14, which will be crucial for the future direction of the merger and may influence the strategic positioning of both companies in the global market.
See More
Shutterstock Expands AI Content Licensing Catalog
- Catalog Expansion: Shutterstock announced the expansion of its licensed content catalog, adding templates, fonts, long-form videos, premium metadata, and specialized podcast and science imagery to meet AI companies' demand for high-quality, diverse data.
- Data Licensing Options: The company will offer both research and commercial data licensing options to support AI innovation, indicating its strategic positioning in the rapidly evolving generative AI landscape.
- Investment in Data Management: Shutterstock will continue to invest in data structuring, labeling, rights management, training orchestration, and MLOps deployment and monitoring, ensuring its content is both rights-cleared and technically optimized, thereby enhancing the reliability of AI development.
- Growing Market Demand: Senior Vice President Daniel Mandell highlighted that as generative AI evolves, the demand for high-quality data has never been greater, emphasizing the critical role of data integrity in model performance and reliability.
See More
Shutterstock Accelerates Generative AI Data Expansion
- Dataset Expansion: Shutterstock announces the expansion of its training datasets, providing high-quality multimodal data to support developers and enterprises throughout the generative AI model training lifecycle, thereby enhancing its competitive edge in the data licensing business.
- Global Tech Partnerships: As a strategic AI data licensing partner to global tech giants, Shutterstock supports companies like OpenAI, ensuring the innovation and market adaptability of their AI systems, further solidifying its leadership position in the industry.
- Diverse Content Types: The newly expanded data catalog includes a variety of assets such as templates, fonts, long-form videos, and scientific imagery, meeting the evolving needs of model builders for diverse training materials and driving the next generation of generative models.
- Full Lifecycle Support: By offering both research and commercial data licensing options, Shutterstock supports the entire AI innovation process from research to commercialization, ensuring partners can quickly and effectively bring high-performing AI systems to market.
See More
Shutterstock Accelerates Generative AI Data Expansion
- Dataset Expansion: Shutterstock announces the expansion of its training datasets, adding templates, fonts, long-form videos, and more to meet the global demand for high-quality generative AI training data, thereby enhancing its competitiveness in the data licensing market.
- Strategic Partnerships: The company has become a strategic AI data licensing partner for global tech giants, supporting enterprises like OpenAI and driving AI innovation, ensuring its leadership in the rapidly evolving market.
- Full Lifecycle Support: Shutterstock offers both research and commercial data licensing options, enabling researchers and startups to transition smoothly from model validation to commercial deployment, further accelerating the market introduction of AI systems.
- Technical Optimization and Compliance: By investing in data structuring, labeling, and management, Shutterstock ensures its content is not only rights-cleared but also technically optimized for AI development, enhancing model performance and reliability.
See More
Shutterstock Reports Q1 Revenue Decline Amid Industry Challenges
- Revenue Decline: In Q1 2026, Shutterstock reported revenue of $199.2 million, a decrease of $43.5 million or 18% compared to Q1 2025, primarily due to weak new customer acquisition in the Content business, impacting overall performance.
- Widening Net Loss: The company recorded a net loss of $47.6 million in Q1 2026, a significant drop from a net income of $18.7 million in Q1 2025, largely attributed to declining revenues and operating costs not decreasing at a similar rate, resulting in a net loss per share of $1.34.
- Adjusted EBITDA Decline: Adjusted EBITDA for Q1 2026 was $42.7 million, down $20.7 million or 33% year-over-year, reflecting a significant impact on profitability amid declining revenues.
- Cash Flow Situation: As of March 31, 2026, Shutterstock's cash and cash equivalents decreased by $15.7 million to $162.5 million, primarily due to cash outflows from financing and investing activities, indicating pressure on the company's cash management.
See More
Shutterstock Q1 Earnings Miss Expectations Significantly
- Earnings Shortfall: Shutterstock's Q1 non-GAAP EPS of $0.58 missed expectations by $0.38, indicating a significant decline in profitability that could undermine investor confidence.
- Revenue Decline: Total revenue for Q1 was $199.2 million, down 17.9% year-over-year and missing estimates by $22.26 million, reflecting weak market demand and increasing competitive pressures.
- Content Revenue Drop: Revenue from content offerings decreased by $24.8 million, or 12%, to $178.1 million compared to Q1 2025, primarily due to weak new customer acquisition, highlighting challenges in market expansion.
- Data and Services Revenue Plummet: Revenue from data, distribution, and services fell by $18.7 million, or 47%, to $21.0 million compared to Q1 2025, indicating extremely poor performance in this segment, which may impact future business growth.
See More
UK Antitrust Regulator Calls for Shutterstock to Divest Editorial Business
- Antitrust Review Progress: The UK's Competition and Markets Authority (CMA) provisionally found that requiring Shutterstock to divest its entire editorial business to Getty Images is the least burdensome remedy for merger approval, which could significantly impact the competitive landscape for both companies in the UK market.
- Merger Impact Assessment: The CMA indicated in its report that the merger may reduce competition in the supply of editorial content in the region, although Getty Images disagrees, asserting that the merger will not adversely affect the market, and both companies plan to provide additional evidence to the regulator to support their position.
- Transaction Background: This merger, valued at $3.7 billion, was announced in January 2025 and received approval from the U.S. Department of Justice in February 2025, highlighting the regulatory challenges faced by multinational mergers in different markets.
- Decision Timeline: The CMA's final decision is expected by June 14, which will be crucial for the future direction of the merger and may influence the strategic positioning of both companies in the global market.
See More
Shutterstock Expands AI Content Licensing Catalog
- Catalog Expansion: Shutterstock announced the expansion of its licensed content catalog, adding templates, fonts, long-form videos, premium metadata, and specialized podcast and science imagery to meet AI companies' demand for high-quality, diverse data.
- Data Licensing Options: The company will offer both research and commercial data licensing options to support AI innovation, indicating its strategic positioning in the rapidly evolving generative AI landscape.
- Investment in Data Management: Shutterstock will continue to invest in data structuring, labeling, rights management, training orchestration, and MLOps deployment and monitoring, ensuring its content is both rights-cleared and technically optimized, thereby enhancing the reliability of AI development.
- Growing Market Demand: Senior Vice President Daniel Mandell highlighted that as generative AI evolves, the demand for high-quality data has never been greater, emphasizing the critical role of data integrity in model performance and reliability.
See More
Shutterstock Accelerates Generative AI Data Expansion
- Dataset Expansion: Shutterstock announces the expansion of its training datasets, providing high-quality multimodal data to support developers and enterprises throughout the generative AI model training lifecycle, thereby enhancing its competitive edge in the data licensing business.
- Global Tech Partnerships: As a strategic AI data licensing partner to global tech giants, Shutterstock supports companies like OpenAI, ensuring the innovation and market adaptability of their AI systems, further solidifying its leadership position in the industry.
- Diverse Content Types: The newly expanded data catalog includes a variety of assets such as templates, fonts, long-form videos, and scientific imagery, meeting the evolving needs of model builders for diverse training materials and driving the next generation of generative models.
- Full Lifecycle Support: By offering both research and commercial data licensing options, Shutterstock supports the entire AI innovation process from research to commercialization, ensuring partners can quickly and effectively bring high-performing AI systems to market.
See More
Shutterstock Accelerates Generative AI Data Expansion
- Dataset Expansion: Shutterstock announces the expansion of its training datasets, adding templates, fonts, long-form videos, and more to meet the global demand for high-quality generative AI training data, thereby enhancing its competitiveness in the data licensing market.
- Strategic Partnerships: The company has become a strategic AI data licensing partner for global tech giants, supporting enterprises like OpenAI and driving AI innovation, ensuring its leadership in the rapidly evolving market.
- Full Lifecycle Support: Shutterstock offers both research and commercial data licensing options, enabling researchers and startups to transition smoothly from model validation to commercial deployment, further accelerating the market introduction of AI systems.
- Technical Optimization and Compliance: By investing in data structuring, labeling, and management, Shutterstock ensures its content is not only rights-cleared but also technically optimized for AI development, enhancing model performance and reliability.
See More
