Key Highlights

  • Giftify's second-quarter 2026 gross billings rose 26.2% to $45.5 million, while net sales rose 4.0% to $21.7 million.
  • The net loss narrowed to $1.2 million, or $0.04 per share, from $2.6 million a year earlier.
  • The company disclosed substantial doubt about its ability to continue as a Going Concern and gave no financial guidance.

Billings growth, small profit improvement

Giftify, Inc. (NASDAQ:GIFT), which operates the CardCash.com and Restaurant.com businesses, reported second-quarter 2026 results on 3 August 2026.

Gross billings, a measure the company reports alongside net sales, rose 26.2% to $45.5 million from $36.1 million. For the six months, gross billings were $90.6 million, up 25.6%. Net sales were $21.7 million, up 4.0% in the quarter, but six-month net sales of $43.1 million were down 0.2%. The gap between billings and net sales is therefore the central analytical point.

Simple subtraction from the six-month figures suggests first-quarter gross billings of about $45.1 million, net sales of about $21.4 million and a net loss of about $2.7 million. On that basis, the second quarter showed sequential improvement in the loss while billings were broadly stable, which is consistent with a Business that is still working towards sustained profitability.

Margins and losses

Gross profit increased 14.2% to $4.4 million, and gross Margin improved by 180 basis points to 20.2%. The net loss narrowed to $1.2 million, or $0.04 per share, from $2.6 million a year earlier, an improvement of 52.1%. The six-month net loss was $3.9 million, or $0.11 per share.

The company also reported modified EBITDA, a non-GAAP measure, of $126,036 for the quarter, against a loss of $150,236 a year earlier. The six-month figure remained negative at $606,800. Interest expense fell to $116,725 from $143,374.

These amounts are small in absolute terms, and a swing of a few hundred thousand dollars can change the sign of modified EBITDA. That makes the measure sensitive to timing and to individual transactions, so a single positive quarter should be read cautiously. Operating leverage, meaning the extent to which extra billings are converted into profit, is the key issue to follow.

Liquidity and the going-concern disclosure

Cash was $3.9 million at 30 June 2026, including $750,000 of restricted cash. Total Debt was about $3.8 million, comprising a $3.05 million secured revolving line of credit, roughly $656,000 of notes payable and a $48,000 convertible promissory note.

The company stated that it has identified substantial doubt about its ability to continue as a going concern. That language is a formal accounting disclosure, not a prediction of failure, but it signals that management must show it can fund operations over the following twelve months. The company gave no financial guidance, so any view of future results would be speculative.

What to watch

The next Earnings release is expected around 9 November 2026, though the company has not confirmed the date. Useful markers include whether billings growth continues at about a quarter, whether net sales begin to track billings more closely, whether gross margin keeps expanding, and whether the company addresses its funding position. The next Balance Sheet will show how cash and borrowings have changed since June.