Revenue growth has turned negative with a 9.8% year-over-year decline in 2026Q1, while gross margins have compressed significantly from historical highs above 80% to just 39.1%.
| Sales/Revenue | 89.99M | 92.19M | 92.64M | 99.99M | 149.73M | 115.31M | 57.71M | 49.65M | 27.05M | 14.41M | 8.91M | 13.93M | 7.81M |
| Revenue Growth % | -1.05% | -0.48% | -7.35% | -33.22% | 29.85% | 99.81% | 16.23% | 83.56% | 87.66% | 61.74% | -36.02% | 78.43% | - |
| Cost of Goods Sold | 41.47M | 56.78M | 27.25M | 27.77M | 27.43M | 22.13M | 15.66M | 15.26M | 6.48M | 1.07M | 1.58M | 1.86M | 134.47K |
| COGS % of Revenue | - | 61.59% | 29.42% | 27.77% | 18.32% | 19.19% | 27.14% | 30.74% | 23.95% | 7.42% | 17.7% | 13.35% | 1.72% |
| Gross Profit | 48.52M | 35.41M | 65.38M | 72.22M | 122.3M | 93.18M | 42.05M | 34.39M | 20.57M | 13.34M | 7.33M | 12.07M | 7.67M |
| Gross Margin % | 53.91% | 38.41% | 70.58% | 72.23% | 81.68% | 80.81% | 72.86% | 69.26% | 76.05% | 92.58% | 82.3% | 86.65% | 98.28% |
| Gross Profit Growth % | - | -45.84% | -9.47% | -40.95% | 31.25% | 121.61% | 22.27% | 67.19% | 54.15% | 81.93% | -39.23% | 57.31% | - |
| Operating Expenses | 127.11M | 111.55M | 153.59M | 171.79M | 160.29M | 154.55M | 89.72M | 98.46M | 82.56M | 60.1M | 31.11M | 18.36M | 11.87M |
| OpEx % of Revenue | - | 121% | 165.8% | 171.82% | 107.05% | 134.03% | 155.47% | 198.31% | 305.24% | 417.02% | 349.16% | 131.81% | 152.1% |
| Selling, General & Admin | 93.44M | 96.2M | 98.26M | 106.01M | 95.52M | 120.6M | 69.96M | 70.82M | 60.46M | 46.13M | 23.21M | 13.72M | 9.24M |
| SG&A % of Revenue | - | 104.35% | 106.07% | 106.02% | 63.8% | 104.59% | 121.23% | 142.65% | 223.55% | 320.09% | 260.51% | 98.54% | 118.4% |
| Research & Development | 21.26M | 20.8M | 26.82M | 40.59M | 43.59M | 25.07M | 14.38M | 22.78M | 22.09M | 13.97M | 7.9M | 4.63M | 2.64M |
| R&D % of Revenue | - | 22.56% | 28.95% | 40.6% | 29.11% | 21.75% | 24.92% | 45.88% | 81.69% | 96.93% | 88.65% | 33.26% | 33.83% |
| Other Operating Expenses | 1.55M | -5.45M | 28.51M | 25.19M | 21.18M | 8.87M | 5.38M | 4.86M | 0 | 0 | 0 | 85K | 0 |
| Operating Income | -78.6M | -76.14M | -88.21M | -99.57M | -37.99M | -61.37M | -47.67M | -64.07M | -61.99M | -46.76M | -23.78M | -6.29M | -4.21M |
| Operating Margin % | -87.34% | -82.59% | -95.22% | -99.58% | -25.38% | -53.23% | -82.61% | -129.05% | -229.19% | -324.44% | -266.86% | -45.16% | -53.96% |
| Operating Income Growth % | - | 13.68% | 11.41% | -162.06% | 38.09% | -28.74% | 25.59% | -3.36% | -32.56% | -96.64% | -278.06% | -49.34% | - |
| EBITDA | -52.38M | -48.08M | -58.87M | -72.82M | -14.45M | -51.96M | -41.27M | -58.12M | -58.29M | -46.51M | -23.63M | -6.23M | -4.18M |
| EBITDA Margin % | -58.21% | -52.15% | -63.55% | -72.83% | -9.65% | -45.07% | -71.51% | -117.07% | -215.51% | -322.69% | -265.17% | -44.75% | -53.56% |
| EBITDA Growth % | -0.39% | 18.32% | 19.16% | -403.92% | 72.19% | -25.92% | 29% | 0.28% | -25.33% | -96.83% | -279.1% | -49.1% | - |
| D&A (Non-Cash Add-back) | 26.21M | 28.06M | 29.34M | 26.75M | 23.55M | 9.41M | 6.41M | 5.95M | 3.7M | 253K | 151K | 57K | 31.28K |
| EBIT | -103.14M | -76.14M | -88.12M | -66.27M | -18.39M | -61.44M | -47.67M | -64.07M | -61.99M | -46.76M | -23.08M | -6.21M | -4.21M |
| Net Interest Income | -7.16M | -10.2M | -12.07M | -2.45M | -4.86M | -538K | 85K | 549K | 803K | -4.03M | -3.88M | 0 | 0 |
| Interest Income | 0 | 0 | 0 | 0 | 0 | 0 | 85K | 549K | 803K | 211K | 6K | 0 | 0 |
| Interest Expense | 7.16M | 10.2M | 12.07M | 2.45M | 4.86M | 538K | 0 | 0 | 0 | 4.24M | 3.89M | 0 | 0 |
| Other Income/Expense | -33.28M | -35.82M | -11.99M | 30.53M | 14.75M | -600K | -127K | 541K | 908K | -12.83M | -3.19M | 85K | 10.62K |
| Pretax Income | -111.88M | -111.96M | -100.19M | -69.04M | -23.25M | -61.97M | -47.8M | -63.53M | -61.08M | -59.59M | -26.97M | -6.21M | -4.2M |
| Pretax Margin % | -124.33% | -121.44% | -108.16% | -69.05% | -15.53% | -53.75% | -82.83% | -127.96% | -225.84% | -413.48% | -302.69% | -44.55% | -53.82% |
| Income Tax | -515K | -228K | -3.86M | -3.32M | 2.31M | 2.7M | 76K | -1.45M | 22K | 6K | 6K | 5K | 10.28K |
| Effective Tax Rate % | 0.46% | 0.2% | 3.85% | 4.81% | -9.93% | -4.36% | -0.16% | 2.29% | -0.04% | -0.01% | -0.02% | -0.08% | -0.24% |
| Net Income | -111.36M | -111.73M | -37.38M | -58.63M | -25.56M | -64.67M | -47.88M | -62.08M | -61.1M | -59.6M | -26.98M | -6.21M | -4.21M |
| Net Margin % | -123.76% | -121.19% | -40.36% | -58.63% | -17.07% | -56.09% | -82.96% | -125.04% | -225.92% | -413.52% | -302.76% | -44.59% | -53.95% |
| Net Income Growth % | -247.38% | -198.88% | 36.23% | -129.39% | 60.48% | -35.08% | 22.88% | -1.59% | -2.52% | -120.92% | -334.44% | -47.46% | - |
| Net Income (Continuing) | -111.36M | -111.73M | -96.33M | -65.71M | -25.56M | -64.67M | -47.88M | -62.08M | -61.1M | -59.6M | -26.98M | -6.21M | -4.21M |
| Discontinued Operations | 0 | 0 | 58.95M | 7.09M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Minority Interest | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| EPS (Diluted) | -1.20 | -1.76 | -0.98 | -1.59 | -0.71 | -1.94 | -1.73 | -2.85 | -3.48 | -5.77 | -3.98 | -0.49 | -2.47 |
| EPS Growth % | 37.7% | -79.59% | 38.36% | -123.94% | 63.4% | -12.14% | 39.3% | 18.1% | 39.69% | -44.97% | -712.24% | 80.16% | - |
| EPS (Basic) | - | -1.76 | -0.98 | -1.59 | -0.71 | -1.94 | -1.73 | -2.85 | -3.48 | -5.77 | -3.98 | -0.92 | -2.47 |
| Diluted Shares Outstanding | 92.9M | 63.32M | 38.03M | 36.91M | 36.03M | 33.3M | 27.59M | 21.8M | 17.57M | 10.33M | 6.78M | 12.63M | 1.7M |
| Basic Shares Outstanding | 92.9M | 63.32M | 38.03M | 36.91M | 36.03M | 33.3M | 27.59M | 21.8M | 17.57M | 10.33M | 6.78M | 6.78M | 1.7M |
| Dividend Payout Ratio | - | - | - | - | - | - | - | - | - | - | - | - | - |
Insufficient liquidity for operations
As indicated by the most recent quarterly data, Veritone's revenue has experienced a significant decline, with 2026Q1 revenue falling to $20.3 million, representing a 9.8% year-over-year contraction that highlights the company's ongoing struggle to achieve sustainable top-line growth within its core AI and managed services segments.
The consistent downward trajectory in quarterly revenue suggests that the company is failing to capture meaningful market share despite the broader industry tailwinds in artificial intelligence. This trend implies that the firm's current product-market fit may be weakening, as the transition from legacy services to software-based recurring revenue remains elusive.
According to the provided income statement data, gross margins have demonstrated notable volatility, dropping from historical highs above 80% in 2023 to 39.1% in 2026Q1, which suggests that the company's reliance on third-party compute and API licensing is increasingly pressuring its fundamental unit economics.
The compression of gross margins indicates that the company lacks the pricing power necessary to offset rising infrastructure costs. This structural reality suggests that the business model may be fundamentally limited by its dependence on external cloud providers, preventing the margin expansion typically expected from a software-centric enterprise.
Based on reported figures, Veritone continues to struggle with extreme operating inefficiency, as evidenced by a 2026Q1 operating margin of -93.7%, which demonstrates that the company's fixed cost base remains disproportionately high relative to its current revenue generation capacity and overall scale.
The inability to scale operating income faster than gross profit suggests that the company's SG&A and R&D expenditures are not yielding the expected operational leverage. Investors should monitor whether management can implement meaningful cost-rationalization measures, as the current burn rate appears unsustainable without significant structural changes.
As highlighted by the persistent net losses and a 2026Q1 net margin of -96.3%, the company's financial narrative faces significant scrutiny regarding its long-term viability, particularly as the firm navigates a challenging environment with limited cash reserves and stagnant top-line performance across its primary business segments.
Short-sellers may focus on the disconnect between the company's 'AI' valuation premium and its actual financial performance, which more closely resembles a struggling tech-enabled service provider. The reliance on stock-based compensation and potential divestitures suggests that the company is in a defensive posture, which may limit its ability to invest in future innovation.
Quick answers to the most common questions about buying VERI stock.
For fiscal year 2025, Veritone, Inc. (VERI) reported total revenue of $92.2M. This represents a 1081.1% increase compared to $7.8M in 2014.
Veritone, Inc. (VERI) reported a net loss of $111.7M for the fiscal year ending 2025.
Veritone, Inc. (VERI) reported an operating income of $-76.1M, resulting in an operating profit margin of -82.6%. This margin reflects the operational efficiency of the business before interest and taxes.
Veritone, Inc. (VERI) generated $35.4M in gross profit for the year, representing a gross profit margin of 38.4%. This demonstrates the company's core pricing power and production efficiency.