MarketWise (NASDAQ: MKTW) raises 2026 guidance as Q2 billings jump 56%
Filing Impact
Filing Sentiment
Form Type
8-K
Rhea-AI Filing Summary
MarketWise, Inc. reported preliminary, unaudited operating updates for the second quarter of 2026. Billings were approximately $91 million, a 56% year-over-year increase and the highest quarterly level since 2023, driven by higher customer acquisition, improved retention, and strong uptake of higher-priced products.
Paid Subscribers reached 400 thousand at June 30, 2026, up from 374 thousand at December 31, 2025, with 2.1 million Active Free Subscribers. Preliminary ARPU was $821 at June 30, 2026, up from $474 a year earlier, a 73% increase. Full-year 2026 Billings guidance was raised 10% to $330 million, representing a 21.7% increase versus 2025.
Cash and cash equivalents were $33 million at June 30, 2026 after a $12.2 million legal settlement that included redeeming about 3% of outstanding shares and terminating related Tax Receivable Agreement rights. Dividends to Class A shareholders were $0.45 per share in the quarter, and the $1.80 per share full-year dividend target was reaffirmed. Total Class A and Class B shares outstanding were 15,651,315 as of June 30, 2026.
Positive
- Billings growth and guidance raise: Q2 2026 Billings were approximately $91 million, up 56% year over year, and full-year 2026 Billings guidance was raised 10% to $330 million, a 21.7% increase over 2025.
Negative
- None.
Insights
Preliminary Q2 2026 data show strong billings and ARPU growth, with higher full-year revenue guidance and maintained dividends.
MarketWise reports Q2 2026 Billings of about $91 million, up 56% year over year and 12% sequential, its strongest quarter since 2023. Paid Subscribers rose to 400 thousand, while ARPU reached $821, up 73% from June 30, 2025, reflecting greater mix toward higher-value offerings.
Management raised FY 2026 Billings guidance 10% to $330 million, a 21.7% increase over FY 2025, and reaffirmed the $1.80 per-share Class A dividend target. Cash ended Q2 at $33 million after a $12.2 million settlement that also retired roughly 3% of shares and terminated certain Tax Receivable Agreement rights, simplifying the capital structure.
Tax distributions for FY 2026 are now expected to be about $40 million versus the earlier ~$35 million expectation, with $31 million already paid in the first half and $9 million expected in the second half. Management states that, with lower second-half tax distributions and anticipated higher margins, overall cash balances are expected to increase in the second half of 2026.
8-K Event Classification
2 items: 2.02, 9.01
2 items
Item 2.02
Results of Operations and Financial Condition
Financial
Disclosure of earnings results, typically an earnings press release or preliminary financials.
Item 9.01
Financial Statements and Exhibits
Exhibits
Financial statements, pro forma financial information, and exhibit attachments filed with this report.
Key Figures
Q2 2026 Billings: $91 million
FY 2026 Billings Guidance: $330 million
Paid Subscribers: 400 thousand
+5 more
8 metrics
Q2 2026 Billings
$91 million
Preliminary billings for second quarter 2026, up 56% year over year and 12% sequential
FY 2026 Billings Guidance
$330 million
Raised full-year 2026 Billings target, a 10% increase and 21.7% above FY 2025
Paid Subscribers
400 thousand
Paid Subscribers at June 30, 2026, up from 374 thousand at December 31, 2025
ARPU
$821
Average revenue per user at June 30, 2026, up $347 or 73% from $474 at June 30, 2025
Cash and cash equivalents
$33 million
Balance as of June 30, 2026, after a $12.2 million legal settlement payment
Legal settlement cash disbursement
$12.2 million
April 2026 payment tied to settlement, including redemption of approximately 3% of outstanding shares
Expected FY 2026 tax distributions
$40 million
Tax distributions for full year 2026, with $31 million in first half and $9 million expected in second half
Total shares outstanding
15,651,315 shares
Sum of 2,664,541 Class A and 12,986,774 Class B common shares as of June 30, 2026
Key Terms
Billings, Average Revenue Per User, Tax Receivable Agreement, noncontrolling interests, +1 more
5 terms
Billings financial
"Billings for second quarter totaled approximately $91 million, representing a 56% year over year increase"
Billings represent the total amount of money a company is expected to receive from customers for products or services delivered during a specific period. Think of it as the sales that have been agreed upon or scheduled, even if the cash hasn't been received yet. For investors, billings are an important indicator of future revenue and business growth, showing how well a company is selling its offerings.
Average Revenue Per User financial
"Average Revenue Per User (“ARPU”) We believe ARPU is a key indicator of how successful we are"
Average revenue per user measures the amount of money a company earns, on average, from each customer or user over a set period, calculated by dividing total revenue by the number of users. Investors watch it like an average bill per diner: rising figures suggest the company is getting more value from each customer (better pricing or sales), while falling numbers can signal weakening pricing power or engagement, affecting future profits and growth prospects.
Tax Receivable Agreement financial
"termination of related rights under the Company’s Tax Receivable Agreement, and the resolution and release of related litigation claims"
A contract in which a company agrees to pay a specified party (often former owners after a spinoff or IPO) a share of future tax savings the company realizes. Think of it like agreeing to share a future tax refund with someone who helped create the conditions for that refund. For investors it matters because those payments reduce the cash the company can use for dividends, buybacks, or reinvestment, and therefore affect valuation and returns.
noncontrolling interests financial
"Net Income attributable to noncontrolling interests on Condensed Consolidated Statements of Operations is primarily associated with these Class B shares"
The portion of a subsidiary’s equity and profits that belongs to outside owners rather than the parent company; when a parent reports consolidated results it includes the whole subsidiary but shows the noncontrolling slice separately. Think of a company’s subsidiary as a pie where the parent owns most slices but some are held by other investors — noncontrolling interests tell you how much of the pie and its future earnings don’t belong to the parent, which affects how much profit and net assets are truly attributable to the parent’s shareholders.
trailing four quarters financial
"We calculate ARPU as the trailing four quarters of net Billings divided by the average number"
A company’s results summed over its most recent four consecutive quarterly reports, showing performance for the last 12 months; it’s often called trailing twelve months (TTM). Investors use it to see the most up-to-date trend in revenue, profit or cash flow while smoothing one-off seasonal swings. Think of it like judging someone’s income by their last four paychecks rather than a single month — more steady and comparable.
Earnings Snapshot
Billings: $91 million · Guidance included
second quarter 2026
Billings
$91 million
increased 56% year over year and 12% sequential
ARPU
$821
up $347 or 73% from $474 at June 30, 2025, and up $83 or 11% sequentially
Paid Subscribers
400 thousand
up 26 thousand or 7% from 374 thousand at December 31, 2025
Guidance
FY 2026 Billings Target increased by 10% to $330 million, representing a 21.7% increase compared to FY 2025.
FAQ
What preliminary Q2 2026 Billings did MarketWise (MKTW) report?
MarketWise reported preliminary Q2 2026 Billings of approximately $91 million, a 56% year-over-year increase and a 12% sequential rise, marking its highest quarterly Billings since 2023.
How did MarketWise (MKTW) change its FY 2026 Billings guidance?
MarketWise raised its FY 2026 Billings target by 10% to $330 million, which the company states represents a 21.7% full-year increase compared to FY 2025.
What were MarketWise (MKTW) Paid Subscribers and ARPU at June 30, 2026?
At June 30, 2026, MarketWise had 400 thousand Paid Subscribers and preliminary ARPU of $821, up $347 or 73% from ARPU of $474 at June 30, 2025.
What is MarketWise’s (MKTW) dividend outlook for 2026?
During Q2 2026, MarketWise paid $0.45 per share in dividends to Class A shareholders and reaffirmed its full-year $1.80 per share dividend target for 2026.
What cash balance and tax distributions did MarketWise (MKTW) report for 2026?
As of June 30, 2026, MarketWise held $33 million in cash and cash equivalents. FY 2026 tax distributions are expected to be about $40 million, with $31 million in the first half and $9 million expected in the second half.
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d)
of the Securities Exchange Act of 1934
Date of Report (Date of earliest event reported): July 9, 2026
(Exact name of registrant as specified in its charter)
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N/A
(Former name or former address, if changed since last report)
Check the appropriate box below if the Form 8-K is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:
| Written communications pursuant to Rule 425 under the Securities Act | |||||
| Soliciting material pursuant to Rule 14a-12 under the Exchange Act | |||||
| Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act | |||||
| Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act | |||||
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Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).
Emerging growth company ☐
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐
Item 2.02. Results of Operations and Financial Condition.
On July 9, 2026, MarketWise, Inc. issued a press release announcing preliminary selected unaudited financial and operational updates results for the second quarter of 2026. A copy of the press release is furnished as Exhibit 99.1 to this Current Report on Form 8-K and is herein incorporated by reference.
The foregoing information (including Exhibit 99.1) is being furnished and shall not be deemed “filed” for purposes of Section 18 of the Securities Exchange Act of 1934, as amended (“Exchange Act”), or otherwise subject to the liabilities of that section, nor shall it be deemed incorporated by reference in any filing under the Securities Act of 1933, as amended, except as expressly set forth by specific reference in such filing.
Item 9.01. Financial Statements and Exhibits.
(d)Exhibits.
| Exhibit No. | Description | |||||||
| 99.1 | MarketWise, Inc. press release, dated July 9, 2026 | |||||||
| 104 | Cover Page Interactive Data File (embedded within the Inline XBRL document) | |||||||
SIGNATURE
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.
| MarketWise, Inc. | ||||||||
Date: July 9, 2026 | By: | /s/ Erik Mickels | ||||||
| Name: | Erik Mickels | |||||||
| Title: | Chief Operating and Financial Officer | |||||||
MarketWise, Inc. Reports Preliminary Selected Unaudited Second Quarter Results With Paid Subscriber Growth Continuing In The Second Quarter 2026; Billings Increased 56% Year-Over-Year To Approximately $91 million; Raises FY 2026 Billings Guidance 10% To $330 million; Affirms FY 2026 Dividend Target To Class A Shareholders Of $1.80 Per Share
BALTIMORE, MD -- (GLOBE NEWSWIRE)—MarketWise, Inc. (NASDAQ: MKTW) is a leading multi-brand digital subscription services platform that provides premium financial research, software, education, and tools for self-directed investors, today reported preliminary selected unaudited financial and operational updates for second quarter 2026. Consistent with past practice, we are providing investors with selected information in advance of issuing our second quarter 2026 earnings press release, which we expect to release on August 6, 2026.
The selected unaudited results in this press release are preliminary and subject to the Company’s normal quarterly accounting procedures and external review by the Company’s independent registered public accounting firm. Therefore, these preliminary unaudited results are subject to adjustment. In addition, these preliminary unaudited results are not a comprehensive statement of the Company’s financial results and should not be viewed as a substitute for full, audited financial statements prepared in accordance with generally accepted accounting principles.
Q2 2026 Preliminary Selected Unaudited Financial and Operational Updates:
▪Paid Subscribers were 400 thousand at June 30, 2026, compared to 374 thousand at December 31, 2025. Active Free Subscribers were 2.1 million at June 30, 2026.
▪Billings for second quarter totaled approximately $91 million, representing a 56% year over year increase, and the highest quarterly Billings since 2023.
▪Raised FY 2026 Guidance for Billings by 10% to $330 million, which represents a 21.7% full year increase compared to FY 2025.
▪Cash and cash equivalents balances remained strong at $33 million at June 30, 2026, which includes the $12.2 million cash disbursement related to the previously disclosed legal settlement and the associated repurchase of 3% of total shares outstanding in April 2026.
▪Dividends paid to Class A Shareholders during the quarter were $0.45 per share. No change to full year dividend target of $1.80 per share.
"The operational momentum from the first quarter continued into the second quarter as Billings topped $91 million on the back of higher customer acquisition, improved customer retention, and strong conversion of our higher priced products” said Dr. David Eifrig, Chief Executive Officer. “Our strategy is simple. Acquire new customers with compelling products and ideas, earn trust as we educate and empower, and then deepen our relationship with our customers over time.”
Eifrig continued, “As we mentioned previously, for the first quarter, and continuing into the second quarter, we meaningfully increased investment in customer acquisition. This opportunistic marketing investment resulted in a strong increase in Paid Subscribers during the first and second quarters. Consistent with our plans, we now moderate customer acquisition and shift toward disciplined cash generation for the balance of the year. This is the strategic core of our business model, where we toggle between growth and margin, on a near real-time basis, in response to market conditions and opportunity. As such, while margins were lower in the first half of 2026 due to an increase in opportunistic investment in customer acquisition, we expect margins to increase significantly in the second half of the year.”
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“Regarding our financial guidance, given the robust growth in the first half of 2026, we are increasing our FY 2026 Billings Target by 10% to $330 million, which represents a 21.7% increase compared to FY 2025.”
“Finally, as I mentioned last quarter, we recently completed a review of our long-term strategic plan with our Board of Directors. To reiterate some of those points, I am more excited than ever about our plans to provide high-quality products for our customers while delivering strong top-line growth coupled with margin expansion over time. The plan also forges the alignment of incentives as we execute our business strategy. Achieving our ambitious plans will require discipline, innovation, and operational creativity. We have fantastic brands, fantastic teams, and a strategy designed to enhance value for subscribers and shareholders. We look forward to providing a full discussion of our Q2 2026 financial results in the weeks ahead."
Selected Operational and Financial Supplemental Information
We are providing the additional information below to provide further context on results and trends.
Paid Subscribers
Paid Subscribers at June 30, 2026 were 400 thousand, an increase of 26 thousand or 7% from 374 thousand at December 31, 2025. The increase in Paid Subscribers, as presented in the chart below, is a result of compelling products and content combined with the significant investment in Direct Marketing in the first half of 2026. Our plan for the second half of 2026 to scale back marketing investment and focus on monetization of existing subscribers could result in modest declines in Paid Subscribers as we balance growth and margin.
Average Revenue Per User (“ARPU”)
We believe ARPU is a key indicator of how successful we are in attracting subscribers to higher-value content. We believe that our high ARPU is indicative of the trust we build with our subscribers and of the value they see in our products and services. We calculate ARPU as the trailing four quarters of net Billings divided by the average number of quarterly Paid Subscribers over that period. ARPU (preliminary) at June 30, 2026 was $821, an increase of $347 or 73% to ARPU of $474 at June 30, 2025. This increase is driven by a 35% increase in trailing four quarter
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Billings while trailing four quarter paid subscribers decreased by 22%. Sequentially, our ARPU of $821 at June 30, 2026 is up $83 or 11%. This increase was driven by a 12% increase in trailing four quarter Billings while trailing four quarter paid subscribers was flat. The chart below illustrates the trend in ARPU over the past five quarters.
Billings
2Q 2026 Billings represents amounts invoiced to customers and increased 56% year over year and 12% sequentially, to approximately $91 million. The increased Billings, which represents the highest total since 2023, was the result of our marketing efforts in the quarter which yielded a significant cohort of new subscribers combined with strong revenue retention from existing subscribers. The chart below illustrates Billings trends over the last several quarters and demonstrates the sustained recovery in Billings since the low mark in 3Q 2024.
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Balance Sheet and Capital Structure
As of June 30, 2026, the Company held cash and cash equivalents of $33 million, compared to $53 million at March 31, 2026. The decrease was primarily driven by a $12.2 million cash disbursement made in April 2026 in connection with the previously disclosed legal settlement, which included the redemption and cancellation of approximately 3% of the Company’s outstanding shares, the termination of related rights under the Company’s Tax Receivable Agreement, and the resolution and release of related litigation claims.
As previously disclosed, for FY 2026, we expected tax distributions to decline to approximately $35 million, or nearly $15 million lower than FY 2025. However, due to the continued improvement in the performance of the business, full year 2026 tax distributions are now expected to be approximately $40 million. Similar to the timing of tax distribution payments in FY 2025, FY 2026 tax distributions will be higher in the first half of the year and lower in the second half. Specifically, tax distributions were $31 million in the first half of 2026 and are expected to be $9 million in the second half of 2026. As such, due to the timing of tax distribution payments, combined with higher
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expected margins in the second half of the year, we expect overall cash balances to increase in the second half of 2026.
As noted previously, a portion of the quarterly dividend paid by the Company ($0.20 currently) arises from the mechanics associated with our corporate structure and the aforementioned tax distribution payments. As such, increases in tax distributions could result in future increases in these dividends.
MarketWise Inc.’s Class A common stock trades on the Nasdaq Global Market under the symbol "MKTW." As of June 30, 2026, the Company had 2,664,541 Class A common shares and 12,986,774 Class B common shares issued and outstanding, totaling 15,651,315 Class A and Class B common shares.
When determining the market capitalization or equity value of the Company, we believe it is appropriate to include the total of the Class A and Class B common shares. Net Income attributable to noncontrolling interests on Condensed Consolidated Statements of Operations is primarily associated with these Class B shares and is a result of our corporate structure.
Upcoming Events
The Company plans to report full and audited results for the second quarter ended June 30, 2026 on August 6, 2026.
Key Business Metrics and Non-GAAP Financial Measures
In this release we discuss certain key business metrics, which we believe provide useful information about the Company’s business and the operational factors underlying the Company’s financial performance. We are not aware of any uniform standards for calculating these key metrics, which may hinder comparability with other companies who may calculate similarly titled metrics in a different way.
Billings is defined as amounts invoiced to customers.
Active Free Subscribers are defined as unique subscribers who have subscribed to one of our free investment publications via a valid email address and who have received and/or consumed our content during the quarter, excluding any Paid Subscribers who also have free subscriptions.
Paid Subscribers are defined as the total number of unique subscribers with at least one paid subscription at the end of the period.
Average revenue per user or ARPU is defined as the trailing four quarters of net Billings divided by the average number of quarterly total Paid Subscribers over that period.
Forward-Looking Statements
This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, including statements regarding the financial position, business strategy, and the plans and objectives of management for future operations of MarketWise. These forward-looking statements generally are identified by the words “estimate,” “believe,” “project,” “expect,” “anticipate,” “intend,” “strategy,” “future,” “opportunity,” “plan,” “may,” “should,” “will,” “would,” “will be,” “will continue,” “will likely result,” and similar expressions, but the absence of these words does not mean that a statement is not forward-looking. Forward-looking statements are predictions, projections, and other statements about future events that are based on current expectations and assumptions and, as a result, are subject to risks and uncertainties. Many factors could cause actual future events to differ materially from the forward-looking statements in this press release, including, but not limited to: our ability to attract new subscribers and to persuade existing subscribers to renew their subscription agreements with us and to purchase additional products and services from us; our ability to adequately market our products and services, and to develop additional products and product offerings; our ability to manage our growth effectively, including through acquisitions; failure to maintain and protect our reputation for trustworthiness and independence; our ability to attract, develop, and retain capable management, editors, and other key personnel; our ability to grow market share in our existing markets or any new markets we may enter; adverse or weakened conditions in the financial sector, global financial markets, and global economy; current macroeconomic events, including heightened
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inflation, rise in interest rates and the potential for an economic recession; failure to comply with laws and regulations or other regulatory action or investigations, including the Advisers Act; our ability to respond to and adapt to changes in technology and consumer behavior; failure to successfully identify and integrate acquisitions, or dispose of assets and businesses; our public securities’ potential liquidity and trading; the impact of the regulatory environment and complexities with compliance related to such environment; our future capital needs; our ability to maintain an effective system of internal control over financial reporting, and to address and remediate existing material weaknesses in our internal control over financial reporting; and other factors beyond our control.
The foregoing list of factors is not exhaustive. You should carefully consider the foregoing factors and the other risks and uncertainties described in the “Risk Factors” section of our filings with the U.S. Securities and Exchange Commission (the “SEC”). These filings identify and address other important risks and uncertainties that could cause actual events and results to differ materially from those contained in the forward-looking statements. New risks emerge from time to time. It is not possible for our management to predict all risks, nor can we assess the impact of all factors on our business or the extent to which any factor, or combination of factors, may cause actual results to differ materially from those contained in any forward-looking statements we may make. In light of these risks, uncertainties and assumptions, the forward-looking events and circumstances discussed in this press release may not occur and actual results could differ materially and adversely from those anticipated.
Forward-looking statements speak only as of the date they are made. Readers are cautioned not to put undue reliance on forward-looking statements, and we assume no obligation and do not intend to update or revise these forward-looking statements, whether as a result of new information, future events or otherwise. We do not give any assurance that we will achieve our expectations.
MarketWise Investor Relations Contact Information
Email: ir@marketwise.com
MarketWise Media Contact
Email: media@marketwise.com
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