Creatd (CRTD) investor relations material

Executive summary

• Revenue for Q2 2026 was $173,941, down 12% year-over-year, with a net loss attributable to common stockholders of $2.49 million for the quarter and $16.91 million for the six months ended June 30, 2026.

• The company completed the sale of its aviation subsidiary, Fly Flyte, Inc., in March 2026, resulting in a $912,840 loss on sale, and reclassified its results as discontinued operations.

• Stock-based compensation was a significant expense, totaling $1.44 million for the quarter and $12.75 million for the six months, primarily due to option grants that vested immediately.

Financial highlights

• Q2 2026 revenue decreased by $23,005 compared to Q2 2025, mainly due to lower subscription and agency revenue.

• Cost of revenue fell to $31,987 from $47,768 year-over-year, reflecting a downward revision in estimated liabilities for user wallet balances.

• Operating expenses for Q2 2026 were $2.43 million, down from $2.74 million in Q2 2025, with a decrease in stock-based compensation offset by higher legal and professional fees.

• Net cash used in operating activities for the six months ended June 30, 2026, was $2.36 million, up from $0.68 million in the prior year period.

• Working capital improved to $1.12 million at June 30, 2026, from a deficit of $6.82 million at December 31, 2025, mainly due to proceeds from the Fly Flyte sale.

Outlook and guidance

• Management highlights substantial doubt about the company's ability to continue as a going concern due to recurring losses and accumulated deficit of $280.22 million.

• The company is seeking to implement its business plan and raise additional funds but cannot assure success or favorable terms.