QuinStreet Inc
QNST
$14.47 -2.49%
Exchange: NASDAQ | Sector: Communication Services | Industry: Advertising Agencies
Q1 2026
Published: Nov 7, 2025

Earnings Highlights

  • Revenue of $285.85M up 44.1% year-over-year
  • EPS of $0.08 increased by 304.6% from previous year
  • Gross margin of 9.4%
  • Net income of 4.54M
  • ""We are confident that we are going to be an AI winner. We expect AI to accelerate our already fast-growing markets by improving consumer access, interface and engagement in digital media. We also believe that we will disproportionately benefit from AI due to our structured proprietary data and our over 17-year history of successfully applying AI as a competitive advantage."" - Doug Valenti
QNST
Company QNST

Executive Summary

QuinStreet delivered a strong Fiscal First Quarter 2026 with record revenue of $285.9 million, representing a substantial year-over-year increase of 44.1% and a solid sequential performance. Gross profit totaled $26.94 million, translating to a gross margin of 9.42%, with adjusted EBITDA of $20.5 million, underscoring a normalization toward higher-margin media and product initiatives after meaningful media investments. The company continued to benefit from robust auto insurance demand and double-digit growth in Home Services, while Financial Services remained the largest revenue contributor at 73% of total revenue ($207.5 million). Management signaled a clear path to margin expansion through three levers: scaling higher-margin media campaigns (especially in auto insurance), growing higher-margin products (QRP and 360), and capturing operating leverage from top-line growth and productivity initiatives. In addition, QuinStreet announced a new $40 million share repurchase program, signaling confidence in the business and capital allocation discipline. Looking ahead, Q2 revenue guidance is $270–$280 million with adjusted EBITDA of $19–$20 million, and full-year revenue growth of at least 10% year over year with EBITDA growth of at least 20%. The company remains confident in AI-driven enhancements to consumer engagement and media efficiency, expecting multiple AI initiatives to contribute to revenue and margin expansion over the medium term. Potential risks include tariff-related uncertainty impacting carrier marketing spend and typical seasonality in the December quarter, which could temper near-term growth. Overall, QuinStreet appears positioned to extend its multi-year growth trajectory through strategic media investments, product expansion, and capital returns, supported by a strong balance sheet and meaningful free cash flow generation.

Key Performance Indicators

Revenue
Increasing
285.85M
QoQ: 5.93% | YoY: 44.14%
Gross Profit
Increasing
26.94M
9.42% margin
QoQ: -3.31% | YoY: 54.53%
Operating Income
Increasing
4.79M
QoQ: -2.50% | YoY: 432.80%
Net Income
Increasing
4.54M
QoQ: 2.69% | YoY: 309.57%
EPS
Increasing
0.08
QoQ: 0.00% | YoY: 304.60%

Revenue Trend

Margin Analysis

Historical Earnings Comparison

PeriodRevenue ($M)EPS ($)YoY GrowthReport
Q1 2026 285.85 0.08 +44.1% View
Q3 2025 269.84 0.08 +60.1% View
Q2 2025 282.60 -0.03 +130.4% View
Q1 2025 279.22 -0.02 +125.3% View
Q4 2024 198.32 -0.04 +52.2% View