The quarter was roughly in line operationally, but below expectations on reported earnings. Published estimates called for approximately $469.9 million of revenue, $201.6 million of EBITDA, and $60.4 million of net income; Mobility Global delivered $468 million, $202 million, and $53 million, respectively. That makes revenue a narrow miss, adjusted EBITDA a narrow beat, and GAAP net income a clear miss.
| Metric | Q2 2026 | Q2 2025 | Change | Published expectation |
|---|---|---|---|---|
| Total revenue | $468 million | $439 million | +7% | ~$469.9 million |
| Adjusted EBITDA | $202 million | $188 million | +7% | ~$201.6 million |
| Adjusted EBITDA margin | 43% | 43% | Flat | — |
| Net income | $53 million | $65 million | -18% | ~$60.4 million |
| Diluted EPS | $0.18 | $0.22 | -18% | Implied roughly $0.19 |
| Free cash flow | $129 million | $163 million | -21% | — |
| Full-year revenue guidance | $1.870-$1.885 billion | — | — | 2026 estimate ~$1.896 billion |
| Full-year adjusted EBITDA guidance | $745-$760 million | — | — | 2026 estimate ~$752 million |
Revenue growth remained healthy, but the mix was uneven. CARFAX grew 8% to $312 million, while the smaller B2B segment grew only 4% to $156 million; total subscription revenue rose 7%, versus 5% growth in non-subscription revenue (Financial Highlights). The result supports the core recurring-revenue model, but it does not show acceleration beyond the roughly 7% growth investors were already expecting.
The main disappointment was cost control below EBITDA. Selling and general expenses jumped 31% to $175 million, including corporate costs of $22 million versus $9 million a year earlier, while interest expense rose 75% to $7 million after the new debt structure (Income Statement; Segment results; Balance Sheet). Those pressures drove operating profit down 15% to $82 million and net income down 18% to $53 million, even though adjusted EBITDA increased 7% to $202 million (Financial Highlights). The EBITDA result therefore flatters the underlying GAAP earnings picture, with $36 million of transaction costs added back in the quarter (Non-GAAP Financial Information).
Cash generation was materially weaker, despite the new dividend. Operating cash flow fell 19% to $135 million in the quarter and 19% to $189 million for the first six months; free cash flow declined 21% to $129 million and $177 million, respectively (Cash Flow statement; Free Cash Flow reconciliation). The $0.06 quarterly dividend is a new capital-return signal, but it arrives alongside $1.981 billion of long-term debt and follows a $2.011 billion transfer to the parent company (Balance Sheet; Cash Flow statement). That makes the dividend strategically notable, not evidence that cash conversion improved.
The outlook is effectively mixed, with revenue expectations trimmed but EBITDA maintained. Full-year revenue guidance of $1.870-$1.885 billion sits below the published 2026 estimate of roughly $1.896 billion, while the $745-$760 million adjusted EBITDA range brackets an estimate near $752 million. The filing therefore preserves the profitability framework but implies less top-line upside than the market had been modeling (Outlook). The July 1 standalone launch and spin-off milestones were largely scheduled events, so they add less incremental information than the earnings and guidance details (Business Highlights).
Read the original 8-K on SEC EDGAR ↗