Core Insights - Getty Images reported third quarter results that met expectations, with top-line growth flattening due to challenging year-over-year comparisons against a strong event calendar from the previous year [2] - The company finalized strategic partnerships to integrate its content into emerging AI platforms, which are expected to create new revenue streams aligned with its traditional business [2] - The company remains confident in its value proposition and is focused on disciplined execution against its 2025 outlook [2] Financial Performance - Revenue for Q3 2025 was $240.0 million, a slight decrease of 0.2% year-over-year and 2.0% on a currency-neutral basis [6] - Creative revenue increased by 8.4% year-over-year to $144.9 million, while editorial revenue decreased by 3.7% to $89.3 million [6] - Annual subscription revenue grew to 58.4% of total revenue, up from 52.4% in Q3 2024 [6] - Net income for Q3 2025 was $21.6 million, compared to a net loss of $2.5 million in Q3 2024, resulting in a net income margin of 9.0% [6][15] - Adjusted EBITDA was $78.7 million, down 2.4% year-over-year, with an adjusted EBITDA margin of 32.8% [6][15] Liquidity and Balance Sheet - The company had an ending cash balance of $109.5 million as of September 30, 2025, down from $121.2 million at the end of 2024 [6][35] - Total debt was $1.38 billion, which included $539.9 million in senior secured notes and $543.6 million in term loans [15] - The company has $150.0 million available through its revolver, resulting in total available liquidity of $259.5 million [7] Key Performance Indicators - Total purchasing customers decreased by 2.3% year-over-year to 703,000, while active annual subscribers increased by 1.7% to 304,000 [10] - Paid download volume decreased by 1.3% to 93 million, and the annual subscriber revenue retention rate fell to 90.3% [10] Financial Outlook - The updated revenue guidance for 2025 is between $942 million and $951 million, reflecting a year-over-year growth of 0.3% to 1.2% [14] - Adjusted EBITDA guidance for 2025 is set between $291 million and $293 million, indicating a year-over-year decline of 3.0% to 2.3% [16] Merger and Legal Developments - Getty Images is in the process of merging with Shutterstock, with the transaction expected to close in 2026, pending regulatory approvals [19] - The company recently won a trademark infringement case against Stability AI, establishing a precedent for copyright claims related to AI-generated outputs [21][22]

Core Insights - Getty Images reported solid growth in Q2 2025, driven by subscription momentum and strong demand across Corporate and Media sectors [2][5] - The company achieved its fifth consecutive quarter of revenue growth, emphasizing execution and fiscal discipline moving forward [2][5] Financial Performance - Q2 2025 revenue was $234.9 million, a 2.5% increase year-over-year and 1.8% on a currency-neutral basis [6] - Creative revenue decreased by 5.1% year-over-year to $130.8 million, while editorial revenue increased by 5.6% to $88.3 million [6] - Annual subscription revenue grew to 53.5% of total revenue, up from 52.9% in Q2 2024 [6] Profitability Metrics - The company reported a net loss of $34.4 million in Q2 2025, compared to a net income of $3.7 million in Q2 2024 [6] - Adjusted EBITDA for Q2 2025 was $68.0 million, down 1.2% year-over-year, with an adjusted EBITDA margin of 28.9% [6][44] - Free cash flow was $(9.6) million in Q2 2025, a decrease from $31.1 million in the prior year [6] Liquidity and Balance Sheet - The ending cash balance on June 30, 2025, was $110.3 million, down from $121.2 million a year earlier [6][35] - Total debt stood at $1.39 billion, including $539.9 million in Senior Secured Notes and a Term Loan balance of $550.3 million [7] Key Performance Indicators - Total purchasing customers decreased by 4.4% to 707,000, while active annual subscribers increased by 13.8% to 321,000 [9] - The annual subscriber revenue retention rate improved to 93.4%, up from 89.4% in the previous year [9] Business Highlights - The company reaffirmed its 2025 revenue guidance of $931 million to $968 million, with expected year-over-year growth of -0.9% to 3.1% [14] - Getty Images is working towards closing its merger with Shutterstock by the end of 2025, with regulatory reviews ongoing [19][18]