SST · System1, Inc.

System1, Inc. disclosed unaudited Q1 2026 financials via Regulation FD, revealing revenue of $37.2 million, a sharp decline from $74.5 million in Q1 2025, driven by Marketing revenue dropping to $18.4 million from higher prior levels amid fewer Active Marketing Partners (56 vs. 149). Products revenue held at $18.8 million with 654 thousand sessions but RPS fell to $0.03. Operating expenses included a one-time $36.8 million goodwill impairment, contributing to a GAAP net loss of $57.6 million, wider than the prior year's $19.9 million loss. Excluding impairments and adjustments, Adjusted EBITDA was $2.7 million, down from $12.1 million year-over-year, reflecting pressures from higher cost of revenues ($13.9 million) and salaries ($20.8 million). Non-GAAP reconciliations add back depreciation ($12.1 million), stock-based compensation ($1.3 million), acquisition costs ($0.2 million), and other items. The filing emphasizes this is furnished, not filed, data posted on ir.system1.com, signaling ongoing challenges in revenue generation and cost control for investors to monitor.