Fluent (NASDAQ:FLNT) reported 14% revenue growth in the third quarter of 2026 as its Commerce Media Solutions business doubled in size and helped narrow the company’s losses.
Revenue rose to $53.6 million from $47 million a year earlier, while revenue from aggregate continuing businesses increased 29%, the company said on its earnings call. The prior-year total included revenue from the Call Solutions business, which Fluent divested in January, as well as other runoff revenue.
Chief Executive Officer Don Patrick said the results reflected the company’s investment in commerce media following a strategic pivot in 2023. Fluent expects double-digit growth in revenue from its continuing businesses for full-year 2026 and double-digit consolidated revenue growth in 2027, based on its current visibility.
Commerce Media Drives Growth
Commerce Media Solutions revenue increased 100% year over year to $37.5 million, marking its 11th consecutive quarter of high double-digit growth or better. The business accounted for 70% of consolidated revenue, up from 40% a year earlier, and ended the quarter operating at an annual revenue run rate above $145 million.
Revenue from Fluent’s Owned and Operated business fell 33% to $13.8 million as the company continued shifting its focus toward Commerce Media Solutions.
Patrick said CVS went live on Fluent’s platform in the third quarter and was scaling. He also pointed to Fluent’s work with one of the largest retail media networks, which he did not name, as a growth opportunity. The company helps partners present consumers with offers outside a retailer’s core product categories, such as travel or insurance offers at a grocery checkout.
For the fourth quarter, Chief Financial Officer Ryan Perfit said he expects Commerce Media Solutions growth to moderate from the third quarter but remain in the high double digits year over year. He attributed part of the expected slowdown to the business’s larger size and a more diversified partner base, including CVS and Wyndham, whose businesses have less pronounced retail seasonality.
Loss Narrows as Margins Expand
Fluent’s third-quarter gross profit, exclusive of depreciation and amortization, rose 41% to $15.3 million, or 28% of revenue. Commerce Media Solutions gross profit increased 173% to $11.1 million, representing 30% of segment revenue.
Perfit said the segment’s margin benefited from improved monetization with certain partners and a partner contract renegotiation. The renegotiation benefit will not recur in future periods, he said, and Fluent continues to guide toward a gross margin in the high 20% range for the business.
The company reported a net loss of $3.1 million, compared with $7.6 million a year earlier. Adjusted EBITDA, a non-GAAP measure, was a loss of $43,000, compared with a loss of $3.4 million in the prior-year quarter. Fluent expects positive adjusted EBITDA in the fourth quarter.
Operating expenses, excluding depreciation and amortization, increased to $16.7 million from $14.7 million. Perfit attributed the increase partly to performance-related compensation, sales commissions, higher share-based compensation and a $504,000 provision for credit losses on a note receivable from the January divestiture.
Cash, Outlook and In-Store Plans
Fluent ended September with $11.4 million in cash and cash equivalents, down from $12.9 million at the end of 2025. Short-term debt, net of unamortized discount and fees, was $31.5 million. The company generated $2.8 million in operating cash flow during the first nine months of 2026, compared with $4.3 million used in the same period a year earlier. Its Bay View Funding facility was amended on September 30 to increase maximum credit to $35 million.
Perfit said Fluent expects to continue improving adjusted EBITDA in 2027 but did not provide a specific profitability forecast. Asked whether double-digit consolidated revenue growth could apply to each quarter next year, he said that was a “fair assumption,” while noting the company had not stated it specifically.
Patrick said Fluent is testing in-store and loyalty offerings with key partners in the fourth quarter and plans to discuss the opportunity more substantially in 2027. CVS went live with online post-transaction services in the third quarter, and Fluent has an in-store testing and integration plan with the partner for 2027, he said.
Chief Strategy Officer Ryan Schulke said the company’s focus includes tailoring offers to shoppers and helping advertisers navigate differences among retail partners. The call’s forward-looking statement disclaimer noted that actual results could differ materially because of risks and uncertainties, including Fluent’s ability to continue as a going concern.
About Fluent (NASDAQ:FLNT)
Fluent, Inc. is a digital marketing and advertising technology company that helps brands and agencies acquire, engage and retain customers. Its services are designed to support performance marketing campaigns across digital channels, using audience data, targeting tools and campaign optimization capabilities. The company provides solutions for programmatic advertising, customer acquisition, lead generation and audience engagement. Fluent’s offerings are intended to help advertisers reach relevant consumers, manage campaigns across multiple channels and measure marketing outcomes.
