Shutterstock, Inc. (NYSE:SSTK) released its third-quarter 2026 financial results on November 5, 2026, reporting a net loss of $197.8 million driven largely by a $203.3 million non-cash goodwill impairment charge, alongside the immediate departure of Chief Financial Officer Rik Powell.

Key Highlights

  • Revenue declined 33%: Third-quarter revenue was $173.9 million, down from $260.1 million in the third quarter of 2025, a decrease of $86.2 million.
  • Goodwill impairment: The company recorded a non-cash goodwill impairment charge of $203.3 million, identified after a triggering event resulting from the dividend suspension announced on July 22, 2026.
  • Net loss of $197.8 million: Net loss per diluted common share was $5.35, compared to net income per diluted common share of $0.37 in the third quarter of 2025.
  • Adjusted EBITDA fell 47%: Adjusted EBITDA was $41.8 million, down $37.6 million from $79.4 million in the prior-year period; adjusted EBITDA margin was 24.0% versus 30.5%.
  • CFO departure: Rik Powell departed his role effective immediately and will leave the company effective November 13, 2026; Scott Grossman, Senior Vice President and Global Head of Finance, assumed the role of Interim Chief Financial Officer immediately.
  • Subscriber count down: Subscribers at end of period were 890,000, compared to 1,060,000 at the end of the third quarter of 2025.
  • Expense reductions on track: Product Development and SG&A expenses were reduced 30% year-over-year to $96 million, representing $39 million in quarterly savings, according to the company's disclosure.

Shutterstock Reports Steep Revenue Drop and Goodwill Impairment in Q3 2026

According to the filing, Shutterstock's third-quarter 2026 revenue of $173.9 million reflected broad-based declines across both of its product segments. Content revenue fell 19% to $158.1 million, representing 91% of total revenue, with the company attributing the reduction primarily to weakness in new customer acquisition. Revenue from Data, Distribution, and Services dropped 76% to $15.8 million, representing 9% of total revenue, with the company noting that revenue recognition in its data offering "may vary from quarter-to-quarter based on the delivery timing of metadata licensed assets."

The company disclosed a non-cash goodwill impairment charge of $203.3 million recorded in the quarter, which it said was triggered by the impact of a dividend suspension announced on July 22, 2026. The after-tax amount of the impairment was $195.6 million. Additional items affecting net loss included $0.4 million of unrealized losses related to an investment in Meitu, Inc., $0.5 million of costs related to a proposed merger, $2.6 million of strategic advisory and other fees, and $4.3 million of workforce optimization expenses, according to the filing.

The company reported cash and cash equivalents of $110.5 million at September 30, 2026, a decrease of $22.7 million from $133.2 million at June 30, 2026. Net cash from operating activities was $18.3 million, while cash used in financing activities totaled $29.8 million, consisting primarily of $30.0 million in repayments on the revolving credit facility. Adjusted free cash flow was $12.5 million for the quarter, a decrease of $62.7 million from the third quarter of 2025. The filing also stated that the company is "on target to deliver the $60 million in annualized run-rate operating expense reductions" committed to in its second-quarter earnings announcement, and that total headcount was reduced by 16% year-to-date.

What Was Disclosed

Shutterstock disclosed third-quarter 2026 results showing a net loss of $197.8 million, a 33% revenue decline to $173.9 million, a $203.3 million goodwill impairment charge, the departure of CFO Rik Powell, and the appointment of Scott Grossman as Interim CFO, all as of or effective November 5, 2026.