Similarweb Ltd. (NYSE: SMWB) shares moved -2.15% in Wednesday trading following the disclosure of financial results for the fourth quarter and full year 2025. Management projects fiscal year 2026 revenue between $305 million and $315 million, representing approximately 10% growth at the midpoint. First quarter 2026 revenue is estimated to be between $72 million and $74 million. The market capitalization for Similarweb Ltd. is $336.5 million as of February 18, 2026.
Fourth Quarter Results
Consolidated revenue for the fourth quarter was $72.8 million, an increase of 11% compared to the prior-year period. Net loss was a GAAP loss of $7.5 million.
Segment Highlights:
- Multi-year subscriptions reached 60% of annual recurring revenue (ARR), up from 49% a year ago.
- The number of customers with an ARR of $100,000 or more grew to 454, an increase of 12% year-over-year.
- Remaining performance obligations (RPO) increased 17% to $288.8 million.
- Overall net retention rate was 98%, while retention for customers with over $100,000 in ARR was 103%.
Financial Trends
Full Year Results Context
For the full year 2025, revenue was $282.6 million, compared to $249.9 million in 2024. Net profit was a non-GAAP operating profit of $9.1 million. Financial results indicate a trend of revenue expansion and narrowing operating losses.
Business & Operations Update
Similarweb launched AI Studio on February 10, 2026, a platform providing AI agents access to digital datasets for enterprise intelligence. The company also expanded its data availability on the Bloomberg Terminal, integrating unique visitors and bounce rate metrics into Bloombergโs analytics workflow.
M&A or Strategic Moves
Phoenix Financial disclosed a 5.04% holding in Similarweb in late 2025. The company also announced a collaboration with Manus to integrate digital marketing insights into AI agents.
Equity Analyst Commentary
Needham & Company reissued a buy rating on Similarweb, citing improved revenue visibility from multi-year contracts. Oppenheimer lowered its price target to $7.00 following the fourth quarter revenue miss, while Goldman Sachs maintained a neutral rating. Market research indicates institutional ownership of approximately 57%.
Performance Summary
- Similarweb shares traded lower following the fourth quarter revenue results.
- Consolidated revenue increased 11% to $72.8 million.
- The company achieved its ninth consecutive quarter of positive free cash flow.
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