Marchex (NASDAQ:MCHX) Releases Earnings Results, Hits Estimates

Marchex (NASDAQ:MCHX) posted its quarterly earnings data on Tuesday. The technology company reported $0.04 earnings per share for the quarter, meeting analysts’ consensus estimates of $0.04, FiscalAI reports. The business had revenue of $15.97 million during the quarter, compared to analyst estimates of $16.24 million. Marchex had a negative net margin of 12.44% and a negative return on equity of 18.25%.

Here are the key takeaways from Marchex’s conference call:

• Third-quarter revenue rose to $16 million from $15.2 million a year earlier; Marchex reported $1.3 million in GAAP net income and $2.4 million in Adjusted EBITDA, up from a year-ago loss and $0.5 million, respectively. Lower operating expenses drove much of the improvement, while gross margin declined to 51% from 54%.
• Marchex reported early commercial traction for its combined and AI-powered offerings: an existing customer’s paid pilot converted to an AI Voice Agent deployment, which management expects to add more than $200,000 to that customer’s annualized revenue in 2027. A major automaker also approved Engage for Service for its dealer portal after an early-access rollout across 75 dealerships.
• For Q4, the company expects revenue of at least $15 million and Adjusted EBITDA of $2.3 million to $2.5 million; management said the revenue outlook implies year-over-year growth but anticipates a sequential decline from typical seasonal softness in call volumes and advertising budgets.
• Management said it sees a path to accelerating growth in 2027, expanding Adjusted EBITDA beyond the current annualized run rate of more than $10 million, and ultimately building a business with over $100 million in annual revenue. It cited significant upsell potential in existing customers and a pipeline of deals, while noting that converting opportunities into broader deployments remains a priority.

Marchex Stock Performance

NASDAQ MCHX traded up $0.10 during trading hours on Tuesday, hitting $1.40. 38,438 shares of the company’s stock were exchanged, compared to its average volume of 24,757. The business’s 50 day moving average is $1.38 and its 200-day moving average is $1.57. Marchex has a 12-month low of $1.15 and a 12-month high of $2.00. The firm has a market capitalization of $62.08 million, a P/E ratio of -11.67 and a beta of 1.88.

Analyst Ratings Changes

Separately, Weiss Ratings reaffirmed a “sell (d-)” rating on shares of Marchex in a research note on Thursday, October 15th. One investment analyst has rated the stock with a Hold rating and one has given a Sell rating to the stock. According to data from MarketBeat.com, Marchex currently has an average rating of “Reduce”.

About Marchex

Marchex, Inc. is a conversational intelligence and analytics company that helps businesses understand and improve customer interactions. The company analyzes phone calls, text messages and other customer conversations to provide insights into marketing performance, sales effectiveness and service quality. Its solutions include call tracking and attribution, conversation analytics, lead management and artificial intelligence-powered tools that identify customer intent, buying signals and opportunities for follow-up.