Kaltura (NASDAQ:KLTR) Announces Earnings Results, Beats Expectations By $0.02 EPS

Kaltura (NASDAQ:KLTR) announced its earnings results on Wednesday. The company reported $0.01 EPS for the quarter, beating analysts’ consensus estimates of ($0.01) by $0.02, FiscalAI reports. The firm had revenue of $46.89 million for the quarter, compared to analysts’ expectations of $45.60 million. Kaltura had a negative return on equity of 40.54% and a negative net margin of 6.92%.

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

• Q2 results exceeded guidance: Revenue rose 5% year over year to $46.9 million, subscription revenue increased 8% to $45.6 million, and adjusted EBITDA grew 44% to a record $5.9 million. Non-GAAP gross margin also reached a record 75%.
• Kaltura reported accelerating AI adoption, with a record 14 new deals—including nine involving Agentic Avatars—and more than 500 AI-related pipeline opportunities representing approximately $17 million of non-weighted potential annual contract value. Management expects limited AI revenue in the second half of 2026 but a more meaningful contribution in 2027.
• Management raised full-year 2026 guidance to subscription revenue of $176.6 million-$178.6 million, total revenue of $183 million-$185 million, and adjusted EBITDA of $15.8 million-$17.2 million, while continuing to invest in AI products and PathFactory integration.
• Retention and certain business segments remain pressured: net dollar retention was 96%, Media and Telecom revenue declined 10% year over year, and management expects continued churn or attrition in legacy contracts, including PathFactory customers, over the next several quarters.
• Kaltura is repositioning around Agentic Revenue Engagement and Agentic Learning and Enablement, combining its platform with PathFactory’s content intelligence. The strategy could broaden the addressable market, but the company acknowledged that the standalone PathFactory business is declining and that the new offerings are still early in commercialization.

Kaltura Stock Up 1.7%

Shares of NASDAQ:KLTR traded up $0.03 during midday trading on Friday, reaching $1.75. The company’s stock had a trading volume of 719,497 shares, compared to its average volume of 601,772. The firm has a market cap of $239.03 million, a price-to-earnings ratio of -19.44 and a beta of 1.15. The business has a 50 day moving average price of $1.39 and a 200 day moving average price of $1.38. Kaltura has a 1 year low of $1.05 and a 1 year high of $2.05.

Analysts Set New Price Targets

Several analysts have recently issued reports on KLTR shares. Needham & Company LLC restated a “buy” rating and issued a $3.00 price objective on shares of Kaltura in a research report on Wednesday, May 13th. Weiss Ratings reiterated a “sell (e+)” rating on shares of Kaltura in a research report on Tuesday, June 16th. One research analyst has rated the stock with a Buy rating and one has given a Sell rating to the company. Based on data from MarketBeat, Kaltura presently has an average rating of “Hold” and a consensus target price of $3.00.

Insider Buying and Selling

In other news, insider Natan Israeli sold 259,322 shares of the stock in a transaction dated Wednesday, August 5th. The shares were sold at an average price of $1.87, for a total transaction of $484,932.14. Following the transaction, the insider directly owned 1,809,537 shares in the company, valued at $3,383,834.19. This represents a 12.53% decrease in their position. The sale was disclosed in a legal filing with the SEC, which is available at this link. Also, insider Eynav Azaria sold 83,995 shares of the firm’s stock in a transaction that occurred on Wednesday, August 5th. The stock was sold at an average price of $2.01, for a total transaction of $168,829.95. Following the completion of the sale, the insider directly owned 2,072,527 shares in the company, valued at $4,165,779.27. This represents a 3.89% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Over the last ninety days, insiders have sold 777,125 shares of company stock worth $1,348,869. 16.30% of the stock is owned by company insiders.

Hedge Funds Weigh In On Kaltura

A number of large investors have recently bought and sold shares of the stock. Tocqueville Asset Management L.P. raised its position in shares of Kaltura by 69.5% in the 3rd quarter. Tocqueville Asset Management L.P. now owns 1,402,383 shares of the company’s stock worth $2,019,000 after buying an additional 575,000 shares during the period. Arrowstreet Capital Limited Partnership increased its stake in Kaltura by 63.3% during the second quarter. Arrowstreet Capital Limited Partnership now owns 917,078 shares of the company’s stock worth $1,843,000 after acquiring an additional 355,358 shares during the last quarter. Los Angeles Capital Management LLC increased its stake in Kaltura by 355.7% during the fourth quarter. Los Angeles Capital Management LLC now owns 191,285 shares of the company’s stock worth $293,000 after acquiring an additional 149,310 shares during the last quarter. Squarepoint Ops LLC raised its holdings in shares of Kaltura by 348.8% in the 3rd quarter. Squarepoint Ops LLC now owns 189,860 shares of the company’s stock worth $273,000 after purchasing an additional 147,559 shares during the period. Finally, State Street Corp lifted its stake in shares of Kaltura by 9.2% in the 4th quarter. State Street Corp now owns 1,598,453 shares of the company’s stock valued at $2,621,000 after purchasing an additional 135,092 shares in the last quarter. Hedge funds and other institutional investors own 30.79% of the company’s stock.

About Kaltura

Kaltura, Inc (NASDAQ: KLTR) is a leading provider of video technology solutions designed to empower organizations to create, manage, distribute and monetize video content at scale. The company’s cloud-native platform supports an array of use cases including enterprise communications, online learning, virtual events, media delivery and over-the-top (OTT) television services. By combining open-source roots with software-as-a-service (SaaS) flexibility, Kaltura offers organizations the ability to tailor their video workflows and integrate seamlessly with existing collaboration, learning management and content management systems.

Key offerings from Kaltura include a comprehensive video management system, live streaming and video conferencing capabilities, lecture capture for educational institutions, virtual events and webinars, and turnkey OTT solutions.