Aug 13, 2026 earnings call — VDR growth and major cost restructuring
Veritone reported Q2 revenue of $24.3 million and announced $11.3 million annualized cost savings.
Revenue $0.0B (est $0.0B) · EPS $-0.11 (est $-0.11)
Key quotes
"We are successfully converting VDR opportunities into large commercial deployments, having closed some of our largest individual deals in the second quarter."
"As of today, we have implemented actions that represent approximately $11.3 million in annualized savings, including headcount reductions and lower non-payroll expenses, towards a projected total of $15 million to $20 million by the end of fiscal year 2026."
"This quarter, we launched Veritone Document Redaction and Veritone Assess to our product portfolio."
Analyst Q&A 2
What drove the revenue guide cut
Q (Kevin McVeigh · UBS): He asked how much of the revenue guidance adjustment came from VDR versus other items and whether VDR revenue remains in the back half. He also asked timing for the $46 million update and if cost cuts are fully in effect.
A: They said the guide pullback reflects a combination of primarily Department of War Fed and reduced expected contributions from VDR, not removing VDR entirely. They confirmed there will be VDR revenue in the back half. On the $46 million, they are in active discussions with the debt holders and hope to have news "over the coming months," and they said cost reductions are helping with more cuts planned while noting VDR margin is lower than some SaaS products.
"I would say it comprises the combination of bulk, not removing VDR entirely by no stretch, but bringing down I'd say the contributions or expected contributions from primarily DoW Fed and the elements of VDR." — Ryan Steelberg (CEO)
Public sector wins and breakeven plan
Q (Patrick McCann · D. Boral Capital): He asked if recent public sector wins have increased interest and pipeline elsewhere, including the effect of the CHP win. He also asked how confident management is in reaching breakeven in early 2027 given revenue and cost-cutting factors.
A: They said landing material public agencies creates a ripple and referral effect and helps the pipeline, and they plan to publicize wins when allowed; they expect material contributions to bookings and revenues in 2027 from recent awards. For breakeven, they said with modest growth to $125 million to $130 million and execution of $3.5 million to $8.5 million of additional cost reductions in the back half, that should be sufficient to reach breakeven, but it depends on execution and reengagement with the Department of War and some deal risk.
"I think the $125 million, if you take the midpoint of the $125 million to $130 million, it's about 11% growth at the high end of our guide." — Michael Zemetra (CFO)