Q2 Revenue Growth of 47% Year over Year, for a Record $877 million

Record NRR of 129%, up from 118% in the Prior Year Period

LEHI, Utah--(BUSINESS WIRE)--August 05, 2026-- 

Pattern Group Inc. (NASDAQ: PTRN), a leader in accelerating brands on global ecommerce marketplaces, today announced financial results for the second quarter ended June 30, 2026.

"Q2 marked our fourth consecutive quarter of 40%-plus revenue growth, and the fourth consecutive quarter of adjusted EBITDA growth outpacing revenue. NRR reached a record 129% and our international business crossed $100 million for the first time. Our model is working," said Dave Wright, Co-Founder and CEO of Pattern. "The deeper brands engage with Pattern, the stronger our data advantage becomes, and the faster they grow."

"The brands we serve are operating in a faster, more competitive, and more complex ecommerce landscape than they were even just a year ago. In May, we launched Pattern Intelligence, or Pi, powered by more than 91 trillion data points and 44 patents issued or pending, delivering real-time optimization across every lever of ecommerce growth. Pi represents years of deliberate investment in our data and AI architecture. We enter the second half of 2026 with momentum and a model that keeps compounding," said Wright.

Second Quarter 2026 Financial Highlights

   --  Record Revenues of $877 million, up 47% year over year. 
 
   --  Record Net Revenue Retention Rate ("NRR") of 129%, up from 118% in the 
      prior year. 
 
   --  Record Revenue, not attributable to Amazon, of $82 million, up 93% year 
      over year. 
 
   --  Record International Revenue of $110 million, up 87% year over year. 
 
   --  Net income of $27 million, up 16% year over year, and diluted earnings 
      per share of $0.15. 
 
   --  Adjusted EBITDA (non-GAAP) of $54 million, up 54% year over year. 
 
   --  Net cash provided by operating activities for the trailing twelve 
      months ("TTM") ended June 30, 2026 of $136 million, up 76% year over 
      year. 
 
   --  Free Cash Flow (non-GAAP) for the TTM ended June 30, 2026 of $106 
      million, up 92% year over year. 

See "Non-GAAP Financial Measures" for additional information on non-GAAP financial measures and a reconciliation to the most comparable GAAP measures.

Financial Outlook

"Q2 demonstrates the strength of our model. Revenue grew 47% year over year, Adjusted EBITDA grew 54%, trailing twelve-month free cash flow grew 92%, and we ended the quarter with $346 million in cash and no debt. This performance gives us confidence to again raise our full-year outlook," said Jason Beesley, Chief Financial Officer. "Our Q3 outlook reflects about 4 points of revenue and Adjusted EBITDA growth moving into Q2 from Q3, due to the calendar shift of the large marketplace promotional events, which changed from July last year to June this year. We are seeing strong momentum across the business and look forward to continuing to deliver for our brand partners."

For the third quarter 2026, Pattern anticipates:

Revenues in the range of $840 million to $860 million, representing approximately 31% to 34% growth year over year.

Adjusted EBITDA (non-GAAP) in the range of $51 million to $53 million, representing approximately 25% to 29% growth year over year.

For the full year 2026, Pattern anticipates:

Revenues in the range of $3.42 billion to $3.46 billion, representing approximately 37% to 38% growth year over year.

Adjusted EBITDA (non-GAAP) in the range of $211 million to $213 million, representing approximately 38% to 40% growth year over year.

See "Non-GAAP Financial Measures" for additional information on non-GAAP financial measures.

Conference Call, Webcast, and Other Information

Pattern will host a conference call and live webcast to discuss its second quarter 2026 financial results at 2:30 p.m. Mountain Time today, August 5, 2026. A live webcast of the call can be accessed from Pattern's investor relations website at https://investors.pattern.com/. An archived version of the webcast will be available from the same website after the call.

About Pattern

Pattern accelerates brands on global ecommerce marketplaces leveraging proprietary technology and AI. Utilizing more than 91 trillion data points, sophisticated machine learning and AI models, Pattern optimizes and automates all levers of ecommerce growth for global brands, including advertising, content management, logistics and fulfillment, pricing, forecasting and customer service. Hundreds of global brands depend on Pattern's ecommerce acceleration platform every day to drive profitable revenue growth across more than 70 global marketplaces--including Amazon, TikTok Shop, Walmart.com, Target.com, eBay, Tmall, JD, and Mercado Libre.

Forward-Looking Statements

This press release and corresponding presentation contain "forward-looking statements" within the meaning of the Securities Act of 1933, as amended, the Securities Exchange Act of 1934, as amended, and the Private Securities Litigation Reform Act of 1995. Such forward-looking statements include all statements other than statements of historical fact, including but not limited to statements regarding the Company's future performance, growth, opportunities, profitability, cash flows, offerings, momentum, growth of new and existing brand partners, expectations regarding our share repurchase program, growth of our non-Amazon and international business, strategies, market position, macro environment, geopolitical conflict, impacts of trade policies, potential supply chain disruptions, price increases, market trends, consumer spending, sentiment and practices, and our ability to navigate the same; financial guidance regarding revenues, revenue growth, adjusted EBITDA, adjusted EBITDA growth, and other financial items; and statements involving timing, beliefs or assumptions underlying any of the foregoing. You should not place any undue reliance on any forward-looking statements, which speak only as of the date they were made. We undertake no obligation to update any forward-looking statements to reflect events or circumstances arising after the date hereof.

Forward-looking statements are inherently difficult to predict. Actual results could differ materially for a number of reasons, including but not limited to those related to the Company's relatively limited history operating as a public company which makes it difficult to evaluate the Company's business and prospects, the market for the Company's product or service offerings developing slower or differently than expected; any difficulties we may experience with brand partners, marketplaces, sourcing of products, accessing and utilizing marketplace data, responding to technological advancement, attracting/retaining key employees, forecasting consumer demand and practices, maintaining customer satisfaction, optimizing operations, driving traffic to our products; any difficulties with our infrastructure, fulfillment partners, supply chain, payment processors, data storage, data processing, shipping, insurance, competition, macroeconomic factors, consumer discretionary spending, tariffs or trade policies, global or political conflict, inflation rates, exchange rates, or any inability to sustain profitable growth. Other risks and uncertainties include, among others, any problems with product or tool integration, protection of our intellectual property, cyber-attacks or data breaches affecting us, adverse tax, compliance, regulatory or legal developments, lawsuits or claims, and other risks and uncertainties that are detailed under the caption "Risk Factors" and elsewhere in our Annual Report on Form 10-K for the year ended December 31, 2025, filed with the Securities and Exchange Commission ("SEC") on March 6, 2026, our quarterly report on Form 10-Q for the quarter ended March 31, 2026, filed with the SEC on May 7, 2026, and in our subsequent filings with the SEC.

 
                   Pattern Group Inc. and Subsidiaries 
       Condensed Consolidated Statements of Operations (Unaudited) 
                  (in thousands, except per share data) 
 
                          Three Months Ended 
                               June 30,        Six Months Ended June 30, 
                          -------------------  -------------------------- 
                            2025      2026        2025          2026 
                          --------  ---------  -----------  ------------- 
Revenues                  $598,150  $876,773   $1,138,556   $1,650,500 
Operating expenses: 
         Cost of goods 
          sold             341,333   492,410      645,933      925,904 
         Operations, 
          general and 
          administrative   103,692   165,073      203,768      310,821 
         Sales and 
          marketing        116,541   170,801      217,220      314,527 
         Research and 
          development        6,455    12,953       12,098       24,141 
                           -------   -------    ---------    --------- 
            Total 
             operating 
             expenses      568,021   841,237    1,079,019    1,575,393 
                           -------   -------    ---------    --------- 
            Operating 
             income         30,129    35,536       59,537       75,107 
                           -------   -------    ---------    --------- 
         Interest 
          income, net        1,688     2,199        3,205        4,453 
         Other income 
          (expense), 
          net                   32      (197)        (129)        (479) 
                           -------   -------    ---------    --------- 
            Income 
             before 
             income 
             taxes          31,849    37,538       62,613       79,081 
Provision for income 
 taxes                       8,068    10,039       16,030       22,369 
                           -------   -------    ---------    --------- 
         Net income       $ 23,781  $ 27,499   $   46,583   $   56,712