Perion Network Ltd. (NASDAQ: PERI) reported second-quarter 2026 total revenue of $98.2 million, down 5% from $103.0 million in the same period a year earlier, as the company posted a GAAP net loss of $6.8 million, nearly double the $3.5 million loss recorded in Q2 2025.

Advertising solutions revenue declined 5% year-over-year to $76.2 million, driven by a decrease in the company's web channel. Search advertising revenue fell 2% to $22.1 million. Traffic acquisition costs remained roughly flat at $55.9 million but rose as a share of revenue to 57%, from 54% a year earlier.

Adjusted EBITDA was $2.8 million, compared with $7.1 million in Q2 2025. Non-GAAP net income was $3.9 million, down from $12.0 million a year ago. Cash flow from operations totaled $2.5 million, compared with $21.3 million in the prior-year period. As of June 30, 2026, cash, deposits, and marketable securities totaled $267.8 million, down from $312.9 million at year-end 2025.

The company's Perion One platform reported a 15% year-over-year increase in spend to $156.7 million. Connected TV spend rose 56%, digital out-of-home spend increased 45%, retail media vertical spend grew 60%, and the Outmax AI agent recorded a 136% increase in spend on a pro forma basis.

During the quarter, Perion repurchased approximately 2.7 million shares for $24.5 million. Under its $200 million authorized buyback program, the company has repurchased a cumulative total of 18.0 million shares for $166.8 million as of June 30, 2026.

The company narrowed its full-year 2026 guidance, projecting contribution ex-TAC of $215 million to $225 million, tightened from a prior range of $215 million to $235 million. Adjusted EBITDA guidance was set at $51 million to $53 million, compared with the previous range of $50 million to $54 million.

Business developments in the quarter included Best Buy Canada selecting Perion as its retail digital out-of-home technology partner, and South Korea's GS Netvision choosing Perion for more than 3,300 screens. The company also launched an Ask Perion mobile app and announced a data partnership with Fetch.