Financial Data and Key Metrics Changes - Q3 2025 revenue was $240 million, a slight year-over-year decrease of 0.2% and 2% on a currency-neutral basis [4][9] - Adjusted EBITDA for the quarter was $78.7 million, down 2.4% reported and 4.4% on a currency-neutral basis, with a margin of 32.8% [4][16] - Free cash flow improved to $7.9 million compared to negative $1.8 million in Q3 2024 [17] - Total debt outstanding was $1.38 billion, with net leverage at 4.3 times, slightly up from 4.2 times in Q3 2024 [18] Business Line Data and Key Metrics Changes - Creative revenue was $144.9 million, up 8.4% year-on-year, driven by Premium Access revenue [11][12] - Editorial revenue was $89.3 million, down 3.7% year-on-year, primarily due to declines in news and sports [13] - Agency revenue declined 22% year-on-year, reflecting ongoing macro uncertainty [12][13] Market Data and Key Metrics Changes - Revenue growth in the Americas was 0.8% on a currency-neutral basis, while EMEA was down 4% and APAC down 10.8% [15] - Annual subscription revenue increased to 58.4% of total revenue, up from 52.4% in Q3 2024, with growth driven by Premium Access [10] Company Strategy and Development Direction - The company is focusing on AI initiatives, including partnerships for content licensing with technology platforms [5][25] - The merger with Shutterstock is a key strategic focus, with ongoing regulatory reviews impacting the timeline [6][19] - The company aims to enhance operational efficiency through AI deployment within its business functions [26] Management's Comments on Operating Environment and Future Outlook - Management noted headwinds from tough year-on-year comparisons due to a strong editorial calendar in Q3 2024 [9][21] - The company updated its full-year revenue guidance to $942 million-$951 million, reflecting a year-on-year growth of 0.3%-1.2% [21][22] - Management expressed optimism about the potential for AI-related revenue streams in the future [25] Other Important Information - The company is facing legal challenges, including a favorable ruling in a trademark infringement case against Stability AI [7][8] - SG&A expenses increased to $101 million, primarily due to SOX compliance efforts and ongoing litigation costs [15][16] Q&A Session Summary Question: Can you elaborate on Getty's key AI initiatives and their potential revenue impacts for 2026? - Management highlighted multiple licensing deals, including a confidential agreement with Perplexity, which could develop into a material revenue stream [24][25] Question: How are the corporate and media customer segments performing? - Media segment saw a 3% decline, particularly in broadcast and production, while corporate segment remains healthy with close to 100% retention [27][28] Question: What is the retention rate for Premium Access subscriptions? - Premium Access has the highest retention rates among subscriptions, remaining consistent over time [29][30] Question: What drove the sequential recovery in creative revenue? - The recovery was attributed to a normalization of revenue allocation between creative and editorial, along with a significant deal that provided upfront revenue recognition [32][34]

Financial Data and Key Metrics Changes - First quarter revenue for 2025 was $224.1 million, representing growth of 0.8% or 2.6% on a currency neutral basis [4][11] - Adjusted EBITDA was $70.1 million for the quarter, down 0.1% or up 2.2% on a currency neutral basis [4][16] - Annual subscription revenue accounted for 57.2% of total revenue, up from 54.7% in Q1 of the previous year [12] - Free cash flow was negative $0.3 million, down from $7.1 million in Q1 2024 [18] Business Line Data and Key Metrics Changes - Subscription revenue grew by 5.4% or 7.2% on a currency neutral basis, driven primarily by growth in premium access [12] - Paid downloads decreased slightly to $93 million, while video attachment rate increased to 16.7% from 14% [13] - Editorial revenue increased by 4% year on year to $82.6 million, while creative revenue decreased by 4.8% year on year to $132.2 million [13][14] - Other revenue increased to $9.3 million, driven by new multiyear creative content deals [15] Market Data and Key Metrics Changes - Currency neutral revenue growth of 6.4% in The Americas, while EMEA was down 3% and APAC was down less than 1% [15] - The company experienced a mid single-digit decline in its media business, primarily due to the impact of the LA fires [14] Company Strategy and Development Direction - The company is committed to investing in core assets and evolving its offerings to deepen relevance for customers [10] - The annual subscription business represents more than half of total revenue, positioning the company to adapt to potential macroeconomic uncertainties [9] - The company is focused on expanding its customer base, annual subscription business, and geographic footprint [20] Management's Comments on Operating Environment and Future Outlook - Management acknowledged early FX pressures and tariff-driven uncertainty impacting customer investments [5][11] - The company expects to navigate challenging environments by remaining flexible and financially disciplined [9] - Guidance for full year 2025 anticipates revenue of $931 million to $968 million, reflecting a decrease of 0.9% to an increase of 3.1% year over year [21] Other Important Information - The proposed merger with Shutterstock is under regulatory review, with expectations for closure in the second half of 2025 [8][9] - The company completed refinancing of its term loan structure, extending maturity to February 2030 [19] Q&A Session Summary Question: Can you elaborate on the subscription mix shift to corporate and the demand perspective? - Management noted a continued trend of building internal corporate marketing groups, which drives subscription growth [28] Question: Are the impacts from LA fires, FX pressures, and broader macro uncertainties resolved? - Management confirmed that while some impacts are expected to continue, they have baked these uncertainties into their guidance [33] Question: What is the expected acceleration in currency neutral guidance and data licensing revenue? - Management indicated no significant changes in data licensing revenue expectations and noted growth opportunities in subscription and video [44] Question: Can you provide an update on the company's Gen AI offering and client adoption? - Management reported consistent adoption of Gen AI offerings, with revenue still in the single-digit millions but growing steadily [54] Question: How has client spending been affected by tariff uncertainty since Liberation Day? - Management observed a decline in agency business, attributing it to macro uncertainties rather than direct tariff impacts [58]

Financial Data and Key Metrics Changes - First quarter revenue for 2025 was $224.1 million, representing growth of 0.8% or 2.6% on a currency neutral basis [4][11] - Adjusted EBITDA was $70.1 million for the quarter, down 0.1% or up 2.2% on a currency neutral basis [4][17] - Annual subscription revenue was 57.2% of total revenue in Q1, up from 54.7% in Q1 of last year [12] - Free cash flow was negative $0.3 million, down from $7.1 million in Q1 2024 [19] Business Line Data and Key Metrics Changes - Subscription revenue grew by 5.4% or 7.2% on a currency neutral basis, driven primarily by growth in premium access [12] - Paid downloads were down slightly at $93 million, while video attachment rate rose to 16.7% from 14% in the previous year [13] - Editorial revenue increased by 4% year on year to $82.6 million, while creative revenue decreased by 4.8% year on year to $132.2 million [13][14] Market Data and Key Metrics Changes - Revenue growth of 6.4% in The Americas, while EMEA was down 3% and APAC was down less than 1% [15] - The annual subscription revenue retention rate was 92.7%, up from 90% in the previous year [12] Company Strategy and Development Direction - The company is committed to investing in core assets and evolving offerings to deepen relevance for customers [10] - The annual subscription business represents more than half of total revenue, positioning the company to adapt to macroeconomic uncertainties [9] Management's Comments on Operating Environment and Future Outlook - Management noted that revenue was impacted by early FX pressures, tariff-driven uncertainty, and softness in agency and entertainment sectors [5][11] - The company expects to close the merger with Shutterstock in the second half of 2025, pending regulatory approvals [9][8] - Guidance for full year 2025 anticipates revenue of $931 million to $968 million, reflecting a decrease of 0.9% to an increase of 3.1% year over year [22] Other Important Information - The company completed refinancing of its term loan structure, extending maturity to February 2030 [20] - Total debt outstanding was $1.36 billion, with a net leverage of 4.1 times [20] Q&A Session Summary Question: Can you elaborate on the mix shift to corporate subscriptions and the demand perspective? - Management indicated a continued trend of building internal corporate marketing groups, which drives subscription growth [29] Question: Are the impacts from FX, tariff uncertainty, and LA fires resolved? - Management confirmed that while some impacts persist, they are largely baked into the guidance [32] Question: What is the expected acceleration in currency neutral guidance and data licensing revenue? - Management stated that data licensing revenue remains unchanged, with growth expected from new customers and geographic markets [42] Question: Can you provide an update on litigation regarding copyright protections against AI training? - Management explained ongoing litigation with Stability AI to clarify whether training on copyrighted material requires permission [46] Question: What is the current status of the company's Gen AI offering and client adoption? - Management reported consistent but slow adoption of Gen AI offerings, with revenue still in the single-digit millions [55]