MKTW

BALTIMORE, Aug. 06, 2026 (GLOBE NEWSWIRE) -- MarketWise, Inc. (NASDAQ: MKTW) (“MarketWise” or the “Company”), a leading multi-brand digital subscription services platform that provides premium financial research, software, education, and tools for self-directed investors, today reported financial results for second quarter 2026.(1) Second Quarter 2026 Highlights(1) Billings for second quarter 2026 totaled $91.2 million, representing a 57% year-over-year increase compared to second quarter 2025, and the highest quarterly Billings since 2023. Cash from Operating Activities (“CFFO”) was $22.4 million in the second quarter 2026, an increase of $4.6 million or 25.7% compared to the second quarter 2025, primarily driven by higher Billings and  movements in working capital. Total Net Revenue was $75.8 million in the second quarter 2026(2) Net Loss was $2.6 million in the second quarter 2026 due primarily to the difference in the timing of deferred revenue recognition and the increase in sales and marketing costs. Cash and cash equivalents remained strong at $33 million as of June 30, 2026, which includes the $12.2 million cash disbursement in April 2026 related to the previously disclosed legal settlement and the associated repurchase of 3% of total shares outstanding. Paid Subscribers were 400 thousand as of June 30, 2026, compared to 381 thousand as of March 31, 2026. Active Free subscribers were 2.1 million as of June 30, 2026. Raised FY 2026 guidance for Billings by 10% to $330.0 million, which represents a 21.7% full year increase compared to FY 2025. Dividends paid to Class A Shareholders during the quarter were $0.45 per share. No change to full year dividend target of $1.80 per share. (1)   All quarterly results reported herein are unaudited.(2)   Net Revenue (a GAAP measure) represents Billings that are recognized over the term of the subscription, which can be multiple years. Billings are amounts invoiced to customers in the period and is thus indicative of the current operating environment and demand for our products. "As we shared in mid-July, the operational momentum from the first quarter continued into the second quarter as Billings topped $91 million on the back of higher customer acquisition, improved customer retention, and strong conversion of our higher priced products” said Dr. David Eifrig, Chief Executive Officer. “Our strategy is simple. Acquire the right customers with compelling products and ideas, earn trust as we educate and empower, and then deepen our relationship with our customers over time.” Eifrig continued, “As we mentioned previously, for the first quarter, and continuing into the second quarter, we meaningfully increased investment in customer acquisition. This opportunistic marketing investment resulted in a strong increase in Paid Subscribers during the first and second quarters. Consistent with our plans, we now moderate customer acquisition and shift toward disciplined cash generation for the balance of the year. This is the strategic core of our business model, where we toggle between growth and margin, on a near real-time basis, in response to market conditions and opportunity. As such, while margins were lower in the first half of 2026 due to an increase in investment in customer acquisition, we expect margins to increase significantly in the second half of the year.” “Regarding our financial guidance, given the robust growth in the first half of 2026, we are increasing our FY 2026 Billings Target by 10% to $330 million, which represents a 21.7% increase compared to FY 2025.” “Finally, as I mentioned last quarter, we recently completed a review of our long-term strategic plan with our Board of Directors. To reiterate some of those points, I am more excited than ever about our plans to provide high-quality products for our customers while delivering strong top-line growth coupled with margin expansion over time. The plan also forges the alignment of incentives as we execute our business strategy. Achieving our ambitious plans will require discipline, innovation, and operational creativity. We have fantastic brands, fantastic teams, and a strategy designed to enhance value for subscribers and shareholders." Our summary results and selected financial data are as follows: GAAP Net Revenue versus Billings GAAP Net Revenue represents cash received by the Company for the sale of subscriptions which are then recognized as revenue for GAAP purposes over the term of the subscription, or up to 5 years. Cash received by the company is recorded as Deferred Revenue on the Balance Sheet until such amounts are recognized as GAAP Net Revenue.  Given the deferred nature of revenue recognition, there can be a significant lag between when cash is received by the Company and when revenue is recognized in the Income Statement. To illustrate, Net Revenue recognized in Q2 2026 included significant cash sales from 2021 and 2022. As such, GAAP Net Revenue may not be indicative of the current trajectory or operating environment of the Company. In contrast, Billings, represent current period cash sales by the Company which is reflective of the current, real-time operating activity of the Company. The disconnect between GAAP Net Revenue and the current trajectory of the Company can be observed in our 2026 results. Specifically, GAAP Net Revenue declined 5.2% from Q2 2025 to Q2 2026 whereas Billings, the actual cash sales of the business, increased 56.7%. We expect a similar dynamic to occur during FY 2026 where GAAP Net Revenue will decline while customer sales activity and Billings increase. Billings tend to lead Net Revenue by 12-24 months, on average, and as such we expect Net Revenue to stabilize in 2026 and return to growth in 2027. The historical relationship between GAAP Net Revenue and Billings is illustrated in the following chart: Selected Operational and Financial Supplemental Information We are providing the additional information below to provide further context on results and trends. Paid Subscribers Paid Subscribers at June 30, 2026 were 400 thousand, an increase of 19 thousand or 4.8% from 381 thousand as of March 31, 2026. The increase in Paid Subscribers, as presented in the chart below, is a result of compelling products and content combined with the significant investment in direct marketing in the first half of 2026. Our plan for the second half of 2026 is to scale back marketing investment and focus on monetization of existing subscribers which could result in modest declines in Paid Subscribers as we strategically balance growth and margin. Subscriber Composition Trends As of June 30, 2026, the Company had 2.1 million Active Free Subscribers. Part of the Company’s acquisition strategy is to convert Active Free Subscribers to Paid Subscribers. As of June 30, 2026, the Company had 400 thousand Paid Subscribers, which is an increase of 4.8% compared to March 31, 2026. As previously disclosed, the Company’s strategy has pivoted since mid-2024 to focus on higher priced products. Thus, while Paid Subscribers have declined over the last 2 years in absolute terms, with modest sequential improvement in the two most recent quarters, the quality and lifetime spend of the subscribers have increased. As illustrated in the chart below, the customer mix has improved over time with 61% of customers as of June 30, 2026, having a lifetime spend of more than $500. In contrast, the majority of customer churn is from the lower value tiers as those cohorts generally continue to decline as a percent of the total. As of June 30, 2026, however, the $500 or less cohort increased due to the successful customer acquisition efforts in the quarter.  As these new customers purchase additional products, we expect lifetime spend for this cohort to increase. This positive mix shift and improvement in customer quality has contributed to the Billings and ARPU growth experienced over the last several quarters. Billings After the period of Billings declines from 2021 through mid-2024, the Company experienced an inflection point in Q4 2024 with a return to sequential Billings growth. Billings have continued a steady increase with an increase in Q2 2026 Billings of 57% year over year and 12% sequentially, to approximately $91.2 million. The increased Billings, which represents the highest total since 2023, was the result of our marketing efforts in the quarter which yielded a significant cohort of new subscribers combined with strong revenue retention from existing subscribers. The chart below illustrates Billings trends over the last several quarters and demonstrates the sustained recovery in Billings since Q3 2024. Cash Flow from Operating Activities CFFO was $22.4 million for the three months ended June 30, 2026 which was an increase of $4.6 million compared to Q2 2025. For the six months ended June 30, 2026, CFFO was $20.3 million compared to $19.6 million for the same period in FY 2025. Based on the nature of our business, and as illustrated in the chart below, CFFO fluctuates from quarter to quarter. Specifically, Q2 and Q4 tend to have higher CFFO while Q1 and Q3 tend to have lower CFFO. The amount of CFFO in any given quarter is impacted by the timing of product launches, marketing campaigns, and discrete working capital items. Given this variability, we believe it is useful to evaluate CFFO trends over multiple quarters, or a full year. Balance Sheet and Capital Structure As of June 30, 2026, the Company held cash and cash equivalents of $33 million, down from $53 million at March 31, 2026. The decrease was primarily due to a $12.2 million cash disbursement made in April 2026 in connection to the previously disclosed legal settlement, including termination of related rights under the Company’s Tax Receivable Agreement and resolution of the associated litigation claims. The disbursement also resulted in the buyback of 3% of the Company’s total shares outstanding. As previously disclosed, we expected FY 2026 tax distributions to decline to approximately $35.0 million, nearly $14.8 million below FY 2025. However, given continued improvement in business performance, full-year 2026 tax distributions are now expected to be approximately $40.0 million. Consistent with the timing of FY 2025 tax distribution payments, FY 2026 distributions will be higher in the first half of the year and lower in the second half. As a result, due to the timing of tax distribution payments and higher expected margins in the second half of the year, we expect overall cash balances to increase during the second half of 2026. MarketWise Inc.’s Class A common stock trades on the Nasdaq Global Market under the symbol "MKTW." As of June 30, 2026, the Company had 2,666,908 Class A common shares and 12,986,774 Class B common shares issued and outstanding, totaling 15,653,682 Class A and Class B common shares. When determining the market capitalization or equity value of the Company, we believe it is appropriate to include the total of the Class A and Class B common shares. Net Income attributable to noncontrolling interests on Condensed Consolidated Statements of Operations is primarily associated with these Class B shares and is a result of our corporate structure. FY 2026 Targets Our strategic plans and initiatives are built around bringing high-quality investing ideas and tools to our customers at a dynamic and volatile time for markets. Our focus will continue to be on delivering high-quality products to our customers, in an efficient manner, which we believe will drive both top line growth and margin expansion. Further, we intend to continue our disciplined approach to capital allocation with a mix of dividends, share repurchases, and prudent investments in our business. For FY 2026, our targets are as follows: Billings of approximately $330 million for FY 2026, which is growth of approximately 21.7% from FY 2025 Billings. CFFO of approximately $50 million for FY 2026 which is nearly a 10% YoY increase as compared to FY 2025. Total dividends of $1.80 per share of MarketWise, Inc. Class A common stock. These forward-looking targets are based on trends and market conditions as they exist currently, and actual results may differ materially. In the case of dividends, amounts are subject to the ongoing approval by our Board of Directors. About MarketWise Founded with a mission to level the playing field for self-directed investors, today MarketWise is a leading multi-brand subscription services platform providing premium financial research, software, education, and tools for investors. With more than 25 years of operating history, MarketWise serves a community of millions of free and paid subscribers. MarketWise’s products are a trusted source for high-value financial research, education, actionable investment ideas, and investment software. MarketWise is a 100% digital, direct-to-customer company offering its research across a variety of platforms including mobile, desktops, and tablets. MarketWise has a proven, agile, and scalable platform and our vision is to become the leading financial solutions platform for self-directed investors. Key Business Metrics and Non-GAAP Financial Measures In this release we discuss certain key business metrics, which we believe provide useful information about the Company’s business and the operational factors underlying the Company’s financial performance. We are not aware of any uniform standards for calculating these key metrics, which may hinder comparability with other companies who may calculate similarly titled metrics in a different way. Billings is defined as amounts invoiced to customers. Paid Subscribers is defined as the total number of unique subscribers with at least one paid subscription at the end of the period. Active Free Subscribers are unique subscribers who have subscribed to one of our free investment publications via a valid email address and who have received and/or consumed our content during the quarter, excluding any Paid Subscribers who also have free subscriptions. Average revenue per user or ARPU is defined as the trailing four quarters of net Billings divided by the average number of quarterly total Paid Subscribers over that period. In addition to our results determined in accordance with GAAP, we believe that the below non-GAAP financial measures are useful in evaluating operating performance. We use the below non-GAAP financial measures, collectively, to evaluate our ongoing operations and for internal planning and forecasting purposes. We believe that non-GAAP financial information, when taken collectively, may be helpful to investors because it provides consistency and comparability with past financial performance. This non-GAAP financial information is presented for supplemental informational purposes only and should not be considered a substitute for financial information presented in accordance with GAAP, and may be different from similarly titled non-GAAP measures used by other companies. A reconciliation is provided below for each non-GAAP financial measure to the most directly comparable financial measure stated in accordance with GAAP. Investors are encouraged to review the related GAAP financial measures and the reconciliations of these non-GAAP financial measures to their most directly comparable GAAP financial measures. Management uses these non-GAAP measures internally to evaluate performance and make operating decisions, and we believe they provide a meaningful perspective to investors when used in conjunction with our GAAP results. These non-GAAP measures have limitations as analytical tools, and should not be considered in isolation or as substitutes for analysis of other GAAP financial measures, such as cash flow from operations, operating cash flow margin, and net income. Some of the limitations of using these non-GAAP measures are that these metrics may be calculated differently by other companies in our industry. Adjusted CFFO is defined as cash flow from operations (“CFFO”) plus or minus any non-recurring items. Adjusted CFFO Margin is defined as Adjusted CFFO as a percentage of Billings. We believe that Adjusted CFFO and Adjusted CFFO Margin are useful indicators that provide information to management and investors about our ability to generate cash, and for internal planning and forecasting purposes. We expect Adjusted CFFO and Adjusted CFFO Margin to fluctuate in future periods as we invest in our business to execute our growth strategy. These activities, along with any non-recurring items as described above, may result in fluctuations in Adjusted CFFO and Adjusted CFFO Margin in future periods. Free Cash Flow is defined as net cash provided by (used in) operating activities less capital expenditures. We define capital expenditures as purchases of property and equipment plus capitalized software development costs. Acquisitions are not included in capital expenditures. We believe Free Cash Flow is a useful indicator that provides information to management and investors about the cash generated by the business that is available for discretionary purposes, such as dividends and strategic investments. Non-GAAP Measures The following table provides a reconciliation of net cash provided by (used in) operating activities to Adjusted CFFO, and net cash provided by operating activities margin as a percentage of total net revenue to Adjusted CFFO Margin, net cash provided by (used in) operating activities to Free Cash Flow, in each case, the most directly comparable financial measure calculated in accordance with generally accepted accounting principles in the United States (“GAAP”): Cautionary Statement Regarding Forward-Looking Statements This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, including statements regarding the financial position, business strategy, and the plans and objectives of management for future operations of MarketWise. These forward-looking statements generally are identified by the words “believe,” “project,” “expect,” “anticipate,” “estimate,” “intend,” “strategy,” “future,” “opportunity,” “plan,” “may,” “should,” “will,” “would,” “will be,” “will continue,” “will likely result,” “target,” and similar expressions, but the absence of these words does not mean that a statement is not forward-looking. Forward-looking statements are predictions, projections, and other statements about future events that are based on current expectations and assumptions and, as a result, are subject to risks and uncertainties. Many factors could cause actual future events to differ materially from the forward-looking statements in this press release, including, but not limited to: our ability to attract new subscribers and to persuade existing subscribers to renew their subscription agreements with us and to purchase additional products and services from us; our ability to adequately market our products and services, and to develop additional products and product offerings; our ability to manage our growth effectively, including through acquisitions; failure to maintain and protect our reputation for trustworthiness and independence; our ability to attract, develop, and retain capable management, editors, and other key personnel; our ability to grow market share in our existing markets or any new markets we may enter; adverse or weakened conditions in the financial sector, global financial markets, and global economy; current macroeconomic events, including heightened inflation, rise in interest rates and the potential for an economic recession; failure to comply with laws and regulations or other regulatory action or investigations, including the Investment Advisers Act of 1940, as amended; our ability to respond to and adapt to changes in technology and consumer behavior; failure to successfully identify and integrate acquisitions, or dispose of assets and businesses; our public securities’ potential liquidity and trading; the impact of the regulatory environment and complexities with compliance related to such environment; our future capital needs; our ability to maintain an effective system of internal control over financial reporting, and to address and remediate existing material weaknesses in our internal control over financial reporting; and other factors beyond our control. The foregoing list of factors is not exhaustive. You should carefully consider the foregoing factors and the other risks and uncertainties described in the “Risk Factors” section of our filings with the U.S. Securities and Exchange Commission (the “SEC”). These filings identify and address other important risks and uncertainties that could cause actual events and results to differ materially from those contained in the forward-looking statements. New risks emerge from time to time. It is not possible for our management to predict all risks, nor can we assess the impact of all factors on our business or the extent to which any factor, or combination of factors, may cause actual results to differ materially from those contained in any forward-looking statements we may make. In light of these risks, uncertainties and assumptions, the forward-looking events and circumstances discussed in this press release may not occur and actual results could differ materially and adversely from those anticipated. Forward-looking statements speak only as of the date they are made. Readers are cautioned not to put undue reliance on forward-looking statements, and we assume no obligation and do not intend to update or revise these forward-looking statements, whether as a result of new information, future events or otherwise. We do not give any assurance that we will achieve our expectations. Table 1. Income Statement (1)   Cost of revenue, sales and marketing, general and administrative, and research and development expenses are exclusive of depreciation and amortization shown as a separate line item Table 2. Balance Sheet Table 3. Cash Flows MarketWise Investor Relations ContactErik Mickels – Chief Operating and Financial OfficerEmail: [email protected] MarketWise Media ContactEmail: [email protected] Figures accompanying this announcement are available at: https://www.globenewswire.com/NewsRoom/AttachmentNg/2ecebb99-587c-4efb-8761-c663e978cd12 https://www.globenewswire.com/NewsRoom/AttachmentNg/c16c49b4-052a-4f24-ab71-a50268cae0fc https://www.globenewswire.com/NewsRoom/AttachmentNg/7fe6a4eb-04c6-40bb-af4c-ea974a568eb5 https://www.globenewswire.com/NewsRoom/AttachmentNg/b540c790-2e7c-4327-8148-1fded30bd3a9 https://www.globenewswire.com/NewsRoom/AttachmentNg/47916752-61e3-4526-b0e1-4e43f3bc9877

BALTIMORE, Aug. 05, 2026 (GLOBE NEWSWIRE) -- MarketWise, Inc. (NASDAQ: MKTW) (“MarketWise” or the “Company”), a leading multi-brand digital subscription services platform that provides premium financial research, software, education, and tools for self-directed investors, announced that its Board of Directors declared a quarterly cash dividend to holders of Class A common stock of $0.45 per share on August 4, 2026. A distribution of $0.25 per unit has also been approved to holders of MarketWise, LLC units. A portion of the dividends paid to Class A shareholders are a result of our corporate structure, resulting tax distribution payments, and excess tax distributions received by the Company. Historically, we have characterized these dividends that are funded from the excess tax distributions (currently at $0.20) as “special”. However, given the mechanical nature of the excess tax distribution and resulting dividend, along with the expectation that tax distributions will continue, beginning this quarter these dividends will be recharacterized as “regular” along with the other recurring regular dividend of $0.25, for a total quarterly dividend of $0.45. The dividend and distribution will be paid on September 30, 2026. The Record Date is August 19, 2026. About MarketWise Founded with a mission to level the playing field for self-directed investors, today MarketWise is a leading multi-brand subscription services platform providing premium financial research, software, education, and tools for investors. With more than 25 years of operating history, MarketWise serves a community of millions of free and paid Subscribers. MarketWise’s products are a trusted source for high-value financial research, education, actionable investment ideas, and investment software. MarketWise is a 100% digital, direct-to-customer company offering its research across a variety of platforms including mobile, desktops, and tablets. MarketWise has a proven, agile, and scalable platform and our vision is to become the leading financial solutions platform for self-directed investors. Cautionary Statement Regarding Forward-Looking Statements This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, including statements regarding the Company’s performance and ability to generate cash flow. These forward-looking statements generally are identified by the words “believe,” “project,” “expect,” “anticipate,” “estimate,” “intend,” “strategy,” “future,” “opportunity,” “plan,” “may,” “should,” “will,” “would,” “will be,” “will continue,” “will likely result,” and similar expressions, but the absence of these words does not mean that a statement is not forward-looking. Forward-looking statements are predictions, projections, and other statements about future events that are based on current expectations and assumptions and, as a result, are subject to risks and uncertainties. Many factors could cause actual future events to differ materially from the forward-looking statements in this press release, including those described in the “Risk Factors” section of the Company’s most recently filed periodic reports on Forms 10-K and 10-Q. The Company assumes no obligation to update or revise these forward-looking statements for any reason, even if new information becomes available in the future, unless required by law. MarketWise Investor Relations Contact Information Email: [email protected] MarketWise Media Contact Email: [email protected] A PDF accompanying this announcement is available at http://ml.globenewswire.com/Resource/Download/4b267a81-f7a6-4173-8314-8a182e8922d4

BALTIMORE, Md., July 09, 2026 (GLOBE NEWSWIRE) -- MarketWise, Inc. (NASDAQ: MKTW) is a leading multi-brand digital subscription services platform that provides premium financial research, software, education, and tools for self-directed investors, today reported preliminary selected unaudited financial and operational updates for second quarter 2026. Consistent with past practice, we are providing investors with selected information in advance of issuing our second quarter 2026 earnings press release, which we expect to release on August 6, 2026. The selected unaudited results in this press release are preliminary and subject to the Company’s normal quarterly accounting procedures and external review by the Company’s independent registered public accounting firm. Therefore, these preliminary unaudited results are subject to adjustment. In addition, these preliminary unaudited results are not a comprehensive statement of the Company’s financial results and should not be viewed as a substitute for full, audited financial statements prepared in accordance with generally accepted accounting principles. Q2 2026 Preliminary Selected Unaudited Financial and Operational Updates: Paid Subscribers were 400 thousand at June 30, 2026, compared to 374 thousand at December 31, 2025. Active Free Subscribers were 2.1 million at June 30, 2026. Billings for second quarter totaled approximately $91 million, representing a 56% year over year increase, and the highest quarterly Billings since 2023. Raised FY 2026 Guidance for Billings by 10% to $330 million, which represents a 21.7% full year increase compared to FY 2025. Cash and cash equivalents balances remained strong at $33 million at June 30, 2026, which includes the $12.2 million cash disbursement related to the previously disclosed legal settlement and the associated repurchase of 3% of total shares outstanding in April 2026. Dividends paid to Class A Shareholders during the quarter were $0.45 per share. No change to full year dividend target of $1.80 per share. "The operational momentum from the first quarter continued into the second quarter as Billings topped $91 million on the back of higher customer acquisition, improved customer retention, and strong conversion of our higher priced products” said Dr. David Eifrig, Chief Executive Officer. “Our strategy is simple. Acquire new customers with compelling products and ideas, earn trust as we educate and empower, and then deepen our relationship with our customers over time.” Eifrig continued, “As we mentioned previously, for the first quarter, and continuing into the second quarter, we meaningfully increased investment in customer acquisition. This opportunistic marketing investment resulted in a strong increase in Paid Subscribers during the first and second quarters. Consistent with our plans, we now moderate customer acquisition and shift toward disciplined cash generation for the balance of the year. This is the strategic core of our business model, where we toggle between growth and margin, on a near real-time basis, in response to market conditions and opportunity. As such, while margins were lower in the first half of 2026 due to an increase in opportunistic investment in customer acquisition, we expect margins to increase significantly in the second half of the year.” “Regarding our financial guidance, given the robust growth in the first half of 2026, we are increasing our FY 2026 Billings Target by 10% to $330 million, which represents a 21.7% increase compared to FY 2025.” “Finally, as I mentioned last quarter, we recently completed a review of our long-term strategic plan with our Board of Directors. To reiterate some of those points, I am more excited than ever about our plans to provide high-quality products for our customers while delivering strong top-line growth coupled with margin expansion over time. The plan also forges the alignment of incentives as we execute our business strategy. Achieving our ambitious plans will require discipline, innovation, and operational creativity. We have fantastic brands, fantastic teams, and a strategy designed to enhance value for subscribers and shareholders. We look forward to providing a full discussion of our Q2 2026 financial results in the weeks ahead." Selected Operational and Financial Supplemental Information We are providing the additional information below to provide further context on results and trends. Paid Subscribers Paid Subscribers at June 30, 2026 were 400 thousand, an increase of 26 thousand or 7% from 374 thousand at December 31, 2025. The increase in Paid Subscribers, as presented in the chart below, is a result of compelling products and content combined with the significant investment in Direct Marketing in the first half of 2026. Our plan for the second half of 2026 to scale back marketing investment and focus on monetization of existing subscribers could result in modest declines in Paid Subscribers as we balance growth and margin. Average Revenue Per User (“ARPU”) We believe ARPU is a key indicator of how successful we are in attracting subscribers to higher-value content. We believe that our high ARPU is indicative of the trust we build with our subscribers and of the value they see in our products and services. We calculate ARPU as the trailing four quarters of net Billings divided by the average number of quarterly Paid Subscribers over that period. ARPU (preliminary) at June 30, 2026 was $821, an increase of $347 or 73% to ARPU of $474 at June 30, 2025. This increase is driven by a 35% increase in trailing four quarter Billings while trailing four quarter paid subscribers decreased by 22%. Sequentially, our ARPU of $821 at June 30, 2026 is up $83 or 11%. This increase was driven by a 12% increase in trailing four quarter Billings while trailing four quarter paid subscribers was flat. The chart below illustrates the trend in ARPU over the past five quarters. Billings 2Q 2026 Billings represents amounts invoiced to customers and increased 56% year over year and 12% sequentially, to approximately $91 million. The increased Billings, which represents the highest total since 2023, was the result of our marketing efforts in the quarter which yielded a significant cohort of new subscribers combined with strong revenue retention from existing subscribers. The chart below illustrates Billings trends over the last several quarters and demonstrates the sustained recovery in Billings since the low mark in 3Q 2024. Balance Sheet and Capital Structure As of June 30, 2026, the Company held cash and cash equivalents of $33 million, compared to $53 million at March 31, 2026. The decrease was primarily driven by a $12.2 million cash disbursement made in April 2026 in connection with the previously disclosed legal settlement, which included the redemption and cancellation of approximately 3% of the Company’s outstanding shares, the termination of related rights under the Company’s Tax Receivable Agreement, and the resolution and release of related litigation claims. As previously disclosed, for FY 2026, we expected tax distributions to decline to approximately $35 million, or nearly $15 million lower than FY 2025. However, due to the continued improvement in the performance of the business, full year 2026 tax distributions are now expected to be approximately $40 million. Similar to the timing of tax distribution payments in FY 2025, FY 2026 tax distributions will be higher in the first half of the year and lower in the second half. Specifically, tax distributions were $31 million in the first half of 2026 and are expected to be $9 million in the second half of 2026. As such, due to the timing of tax distribution payments, combined with higher expected margins in the second half of the year, we expect overall cash balances to increase in the second half of 2026. As noted previously, a portion of the quarterly dividend paid by the Company ($0.20 currently) arises from the mechanics associated with our corporate structure and the aforementioned tax distribution payments. As such, increases in tax distributions could result in future increases in these dividends. MarketWise Inc.’s Class A common stock trades on the Nasdaq Global Market under the symbol "MKTW." As of June 30, 2026, the Company had 2,664,541 Class A common shares and 12,986,774 Class B common shares issued and outstanding, totaling 15,651,315 Class A and Class B common shares. When determining the market capitalization or equity value of the Company, we believe it is appropriate to include the total of the Class A and Class B common shares. Net Income attributable to noncontrolling interests on Condensed Consolidated Statements of Operations is primarily associated with these Class B shares and is a result of our corporate structure. Upcoming Events The Company plans to report full and audited results for the second quarter ended June 30, 2026 on August 6, 2026. Key Business Metrics and Non-GAAP Financial Measures In this release we discuss certain key business metrics, which we believe provide useful information about the Company’s business and the operational factors underlying the Company’s financial performance. We are not aware of any uniform standards for calculating these key metrics, which may hinder comparability with other companies who may calculate similarly titled metrics in a different way. Billings is defined as amounts invoiced to customers. Active Free Subscribers are defined as unique subscribers who have subscribed to one of our free investment publications via a valid email address and who have received and/or consumed our content during the quarter, excluding any Paid Subscribers who also have free subscriptions. Paid Subscribers are defined as the total number of unique subscribers with at least one paid subscription at the end of the period. Average revenue per user or ARPU is defined as the trailing four quarters of net Billings divided by the average number of quarterly total Paid Subscribers over that period. Forward-Looking Statements This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, including statements regarding the financial position, business strategy, and the plans and objectives of management for future operations of MarketWise. These forward-looking statements generally are identified by the words “estimate,” “believe,” “project,” “expect,” “anticipate,” “intend,” “strategy,” “future,” “opportunity,” “plan,” “may,” “should,” “will,” “would,” “will be,” “will continue,” “will likely result,” and similar expressions, but the absence of these words does not mean that a statement is not forward-looking. Forward-looking statements are predictions, projections, and other statements about future events that are based on current expectations and assumptions and, as a result, are subject to risks and uncertainties. Many factors could cause actual future events to differ materially from the forward-looking statements in this press release, including, but not limited to: our ability to attract new subscribers and to persuade existing subscribers to renew their subscription agreements with us and to purchase additional products and services from us; our ability to adequately market our products and services, and to develop additional products and product offerings; our ability to manage our growth effectively, including through acquisitions; failure to maintain and protect our reputation for trustworthiness and independence; our ability to attract, develop, and retain capable management, editors, and other key personnel; our ability to grow market share in our existing markets or any new markets we may enter; adverse or weakened conditions in the financial sector, global financial markets, and global economy; current macroeconomic events, including heightened inflation, rise in interest rates and the potential for an economic recession; failure to comply with laws and regulations or other regulatory action or investigations, including the Advisers Act; our ability to respond to and adapt to changes in technology and consumer behavior; failure to successfully identify and integrate acquisitions, or dispose of assets and businesses; our public securities’ potential liquidity and trading; the impact of the regulatory environment and complexities with compliance related to such environment; our future capital needs; our ability to maintain an effective system of internal control over financial reporting, and to address and remediate existing material weaknesses in our internal control over financial reporting; and other factors beyond our control. The foregoing list of factors is not exhaustive. You should carefully consider the foregoing factors and the other risks and uncertainties described in the “Risk Factors” section of our filings with the U.S. Securities and Exchange Commission (the “SEC”). These filings identify and address other important risks and uncertainties that could cause actual events and results to differ materially from those contained in the forward-looking statements. New risks emerge from time to time. It is not possible for our management to predict all risks, nor can we assess the impact of all factors on our business or the extent to which any factor, or combination of factors, may cause actual results to differ materially from those contained in any forward-looking statements we may make. In light of these risks, uncertainties and assumptions, the forward-looking events and circumstances discussed in this press release may not occur and actual results could differ materially and adversely from those anticipated. Forward-looking statements speak only as of the date they are made. Readers are cautioned not to put undue reliance on forward-looking statements, and we assume no obligation and do not intend to update or revise these forward-looking statements, whether as a result of new information, future events or otherwise. We do not give any assurance that we will achieve our expectations. MarketWise Investor Relations Contact Information Email: [email protected] MarketWise Media Contact Email: [email protected] Photos accompanying this announcement are available at: https://www.globenewswire.com/NewsRoom/AttachmentNg/579978aa-9798-4a79-ab39-5986817fe69d https://www.globenewswire.com/NewsRoom/AttachmentNg/626beb61-efd2-4847-872e-2f50a21be046 https://www.globenewswire.com/NewsRoom/AttachmentNg/a0bde56e-7ba1-4b9c-b4e3-454f557de6e8

BALTIMORE, May 07, 2026 (GLOBE NEWSWIRE) -- MarketWise, Inc. (NASDAQ: MKTW) (“MarketWise” or the “Company”), a leading multi-brand digital subscription services platform that provides premium financial research, software, education, and tools for self-directed investors, today reported financial results for first quarter 2026.(1) First Quarter 2026 Highlights(1) Paid Subscribers returned to growth in first quarter 2026 following stabilization in the second half of 2025, reflecting improved customer acquisition and retention. Paid Subscribers were 381 thousand as of March 31, 2026, compared with 374 thousand as of December 31, 2025. Active Free subscribers were 2.0 million as of March 31, 2026. Total Net Revenue was $77.0 million in the first quarter 2026(2) Billings for first quarter 2026 totaled $81.4 million, representing a 15% year-over-year increase compared to first quarter 2025, and the highest quarterly Billings since 2023. Net Loss was $0.6 million in first quarter 2026 due in large part to the difference timing of deferred revenue recognition and recognition of sales and marketing costs. Cash from Operating Activities (“CFFO”) was $(2.1) million in first quarter 2026, a decrease of $3.8 million compared to first quarter 2025, driven primarily by increased cash basis investments in marketing and customer acquisition of $15 million in first quarter 2026. Affirmed FY 2026 guidance for Billings ($300 million) and Cash from Operating Activities ($50 million). Cash and Cash Equivalents remained strong at $52.7 million as of March 31, 2026, compared to $70 million as of December 31, 2025, and $51 million as of September 30, 2025. Generally, cash expenditures are highest in the first quarter of each year due to various items including the timing of marketing efforts, tax distributions and working capital items. Announced quarterly regular and special dividends totaling $0.45 per share of Class A common stock. No change to full year dividend target of $1.80 per share of Class A common stock. In April 2026, as previously disclosed, as part of a settlement of a legal matter, we repurchased over 3% of our total shares outstanding for $12.2 million and at prices we believe represent a discount to intrinsic value. “First quarter Billings were the strongest since 2023 and represented a 15% year-over-year increase compared to first quarter 2025, which enabled us to accelerate investments in customer acquisition in the quarter,” said Dr. David Eifrig, Chief Executive Officer. “Specifically, we increased marketing spend by nearly $15 million, which drove meaningful new subscriber additions and reversed several periods of decline in our Paid Subscriber total.” Eifrig continued, “First quarter cash flow was impacted by this increased investment in customer acquisition, compounded by the typical seasonal pattern of Q1. This opportunistic marketing investment has continued into the second quarter, as we now shift meaningfully toward cash generation for the balance of the year. This is the toggle our business model is designed to execute — moving between growth and margin in response to market conditions and opportunity. Our Q1 results validate that we can do so with discipline.” “On capital allocation, we declared this week a dividend of $0.45 per share to Class A shareholders. And, as previously disclosed, in April we repurchased over 3% of our total shares outstanding at prices we believe represent a discount to intrinsic value. We take our responsibility as stewards of shareholder capital seriously, and every allocation decision is evaluated with care.” “Lastly, and perhaps most importantly, we recently completed a review of our long-term strategic plan with our Board of Directors. I am more excited than ever about our plans to provide high-quality products for our customers while delivering strong top-line growth coupled with margin expansion over time. Achieving our ambitious plans will require innovation, discipline, and operational excellence. We have the right strategy, the right brands, and the right team. I look forward to providing updates as we progress.” Our summary results and selected financial data are as follows: Net Revenue versus Billings Net Revenue represents cash received by the Company for the sale of subscriptions which are then recognized as revenue for GAAP purposes over the term of the subscription, or up to 5 years. Cash received by the company is recorded as Deferred Revenue on the Balance Sheet until such amounts are recognized as Net Revenue. Given the deferred nature of revenue recognition, there can be a significant lag between when cash is received by the Company and when revenue is recognized in the Income Statement. To illustrate, Net Revenue recognized in Q1 2026 included the significant cash sales from 2021 and 2022. As such, Net Revenue may not be indicative of the current trajectory or operating environment of the Company. In contrast, Billings, represent current period cash sales by the Company which is reflective of the current, real-time operating activity of the Company. The disconnect between Net Revenue and the current trajectory of the Company can be observed in our 2026 results. Specifically, Net Revenue declined 7.8% from Q1 2025 to Q1 2026 whereas Billings, the actual cash sales of the business, increased 15.5%. We expect a similar dynamic to occur in FY 2026 where Net Revenue will decline while customer sales activity and Billings increase. Billings tend to lead Net Revenue by 12-24 months, on average, and as such we expect Net Revenue to stabilize in 2026 and return to growth in 2027. The historical relationship between Net Revenue and Billings is illustrated in the following chart: Selected Operational and Financial Supplemental Information We are providing the additional information below to provide further context on results and trends. Subscriber Composition Trends As of March 31, 2026, the Company had 2.3 million Active Free Subscribers and Paid Subscribers. Part of the Company’s acquisition strategy is to convert Active Free Subscribers to Paid Subscribers. As of March 31, 2026, the Company had 381 thousand Paid Subscribers, which is an increase of 2.0% compared to December 31, 2025. As previously disclosed, the Company’s strategy has pivoted since mid-2024 to focus on higher priced products. Thus, while Paid Subscribers have declined over the last 2-years in absolute terms, the quality and lifetime spend of the subscribers have increased. As illustrated in the chart below, the customer mix has steadily improved with 62% of customers as of March 31, 2026, having a lifetime spend of over $500. In contrast, the majority of customer churn is from the lower value tiers as those cohorts generally continue to decline as a percent of the total. As of March 31, 2026, however, the $500 and below cohort increased due to the successful customer acquisition efforts in the quarter. As these new customers purchase additional products, we expect lifetime spend for this cohort to increase. This positive mix shift and improvement in customer quality has contributed to the Billings and ARPU growth experienced over the last several quarters. Billings After the period of Billings declines from 2021 through mid-2024, the Company experienced an inflection point in 4Q 2024 with a return to sequential Billings growth. Billings have continued a steady increase with Q1 2026 Billings representing more than a 15% year over year increase compared to Q1 2025. For Q1 2026, Billings were $81.4 million compared to $70.5 million for Q1 2025. Further, as illustrated in the chart below, there has been a historical correlation between our Billings and share price. This correlation, however, has decoupled in recent quarters. We remain focused on driving higher Billings, coupled with margin expansion, which we believe will increase intrinsic value over time. Cash from Operating Activities CFFO was $(2.1) million for Q1 2026 which was a decline of $3.8 million compared to Q1 2025. Based on the nature of our business, and as illustrated in the chart below, CFFO fluctuates from quarter to quarter. Specifically, Q2 and Q4 tend to have higher CFFO while Q1 and Q3 tend to have lower CFFO. The amount of CFFO in any given quarter is impacted by the timing of product launches, marketing campaigns, and discrete working capital items. This timing dynamic on CFFO was particularly acute in Q1 2026 as we opportunistically increased cash basis marketing investment by $15 million in the quarter compared to Q1 of 2025, in response to favorable market conditions. Normalized for this increased and accelerated marketing investment, Q1 2026 CFFO would have been meaningfully higher than the prior year comparable period. This opportunistic marketing investment continued into the second quarter, as we now shift toward cash generation for the balance of the year. Given this variability, we believe it is useful to evaluate CFFO trends over multiple quarters, or a full year. Balance Sheet and Capital Structure As of March 31, 2026, the Company holds Cash and Cash Equivalents of $52.7 million, compared to $70.1 million as of December 31, 2025 and $50.5 million as of September 30, 2025. Generally, cash expenditures are highest in the first quarter of each year due to various items including the timing of marketing efforts, tax distributions, and working capital items. Tax distribution payments were significant in FY 2025 due to the timing of taxable income which arose from the Billings in prior years. For FY 2026, we expect tax distributions to decline significantly to approximately $35 million, or nearly $15 million lower than FY 2025. Similar to the timing of tax distribution payments in FY 2025, we expect FY 2026 tax distributions to be higher in the first half of the year and lower in the second half. Due to the timing of tax distributions and the higher working capital needs in the first quarter of each year, we expect overall cash balances to decline in the first half of 2026 before increasing in the second half of 2026. MarketWise Inc.’s Class A common stock trades on the Nasdaq Global Market under the symbol “MKTW.” As of March 31, 2026, the Company had 2,533,780 Class A common shares and 13,612,641 Class B common shares issued and outstanding, totaling 16,146,421 Class A and Class B common shares. When determining the market capitalization or equity value of the Company, we believe it is appropriate to include the total of the Class A and Class B common shares. Net Income attributable to noncontrolling interests on the Income Statement is primarily associated with these B shares and is a result of our corporate structure. On May 5, 2026, we announced that our Board of Directors declared a regular quarterly cash dividend and a special cash dividend to holders of Class A common stock of $0.25 and $0.20 per share, respectively, on May 5, 2026. A comparable distribution of $0.25 per common unit has also been approved to holders of MarketWise, LLC common units. The dividend and distribution will be paid on June 25, 2026. The Record Date is May 15, 2026. Note that the special dividends referenced above arise from the previously mentioned tax distributions to noncontrolling interests, and represent the proportionate payment to MarketWise, Inc. To the extent the proportionate payment to MarketWise, Inc. exceeds the amounts required for corporate income taxes, any excess may be distributed to Class A shareholders in the form of dividends. Given the mechanical nature of the tax distribution payments, we expect the quarterly special dividends to continue. The amounts, however, may vary. FY 2026 Targets Our strategic plans and initiatives are built around bringing high-quality investing ideas and tools to our customers at a dynamic and volatile time for markets. Our focus will continue to be on delivering high-quality products to our customers, in an efficient manner, which we believe will drive both top line growth and margin expansion. Further, we intend to continue our disciplined approach to capital allocation with a mix of dividends, share repurchases, and prudent investments in our business. For FY 2026, our reaffirmed targets are as follows: Billings of approximately $300 million for FY 2026, which is growth of approximately 10% from FY 2025 Billings. CFFO of approximately $50 million for FY 2026 which is nearly a 10% YoY increase as compared to FY 2025. Total dividends of $1.80 per share of MarketWise, Inc. Class A common stock. These forward-looking targets are based on trends and market conditions as they exist currently, and actual results may differ materially. In the case of dividends, amounts are subject to the ongoing approval by our Board of Directors. About MarketWise Founded with a mission to level the playing field for self-directed investors, today MarketWise is a leading multi-brand subscription services platform providing premium financial research, software, education, and tools for investors. With more than 25 years of operating history, MarketWise serves a community of millions of free and paid subscribers. MarketWise’s products are a trusted source for high-value financial research, education, actionable investment ideas, and investment software. MarketWise is a 100% digital, direct-to-customer company offering its research across a variety of platforms including mobile, desktops, and tablets. MarketWise has a proven, agile, and scalable platform and our vision is to become the leading financial solutions platform for self-directed investors. Key Business Metrics and Non-GAAP Financial Measures In this release we discuss certain key business metrics, which we believe provide useful information about the Company’s business and the operational factors underlying the Company’s financial performance. We are not aware of any uniform standards for calculating these key metrics, which may hinder comparability with other companies who may calculate similarly titled metrics in a different way. Billings are defined as amounts invoiced to customers. Paid Subscribers are defined as the total number of unique subscribers with at least one paid subscription at the end of the period. Active Free Subscribers are unique subscribers who have subscribed to one of our free investment publications via a valid email address and who have received and/or consumed our content during the quarter, excluding any Paid Subscribers who also have free subscriptions. Average revenue per user or ARPU is defined as the trailing four quarters of net Billings divided by the average number of quarterly total Paid Subscribers over that period. In addition to our results determined in accordance with GAAP, we believe that the below non-GAAP financial measures are useful in evaluating operating performance. We use the below non-GAAP financial measures, collectively, to evaluate our ongoing operations and for internal planning and forecasting purposes. We believe that non-GAAP financial information, when taken collectively, may be helpful to investors because it provides consistency and comparability with past financial performance. This non-GAAP financial information is presented for supplemental informational purposes only and should not be considered a substitute for financial information presented in accordance with GAAP, and may be different from similarly titled non-GAAP measures used by other companies. A reconciliation is provided below for each non-GAAP financial measure to the most directly comparable financial measure stated in accordance with GAAP. Investors are encouraged to review the related GAAP financial measures and the reconciliations of these non-GAAP financial measures to their most directly comparable GAAP financial measures. Management uses these non-GAAP measures internally to evaluate performance and make operating decisions, and we believe they provide a meaningful perspective to investors when used in conjunction with our GAAP results. These non-GAAP measures have limitations as analytical tools, and should not be considered in isolation or as substitutes for analysis of other GAAP financial measures, such as cash flow from operations, operating cash flow margin, and net income. Some of the limitations of using these non-GAAP measures are that these metrics may be calculated differently by other companies in our industry. Adjusted CFFO is defined as cash flow from operations (“CFFO”) plus or minus any non-recurring items. Adjusted CFFO Margin is defined as Adjusted CFFO as a percentage of Billings. We believe that Adjusted CFFO and Adjusted CFFO Margin are useful indicators that provide information to management and investors about our ability to generate cash, and for internal planning and forecasting purposes. We expect Adjusted CFFO and Adjusted CFFO Margin to fluctuate in future periods as we invest in our business to execute our growth strategy. These activities, along with any non-recurring items as described above, may result in fluctuations in Adjusted CFFO and Adjusted CFFO Margin in future periods. Free Cash Flow is defined as net cash provided by (used in) operating activities less capital expenditures. We define capital expenditures as purchases of property and equipment plus capitalized software development costs. Acquisitions are not included in capital expenditures. We believe Free Cash Flow is a useful indicator that provides information to management and investors about the cash generated by the business that is available for discretionary purposes, such as dividends and strategic investments. Non-GAAP Measures The following table provides a reconciliation of net cash provided by (used in) operating activities to Adjusted CFFO, and net cash provided by operating activities margin as a percentage of total net revenue to Adjusted CFFO Margin, net cash provided by (used in) operating activities to Free Cash Flow, in each case, the most directly comparable financial measure calculated in accordance with generally accepted accounting principles in the United States (“GAAP”): Cautionary Statement Regarding Forward-Looking Statements This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, including statements regarding the financial position, business strategy, and the plans and objectives of management for future operations of MarketWise. These forward-looking statements generally are identified by the words “believe,” “project,” “expect,” “anticipate,” “estimate,” “intend,” “strategy,” “future,” “opportunity,” “plan,” “may,” “should,” “will,” “would,” “will be,” “will continue,” “will likely result,” “target,” and similar expressions, but the absence of these words does not mean that a statement is not forward-looking. Forward-looking statements are predictions, projections, and other statements about future events that are based on current expectations and assumptions and, as a result, are subject to risks and uncertainties. Many factors could cause actual future events to differ materially from the forward-looking statements in this press release, including, but not limited to: our ability to attract new subscribers and to persuade existing subscribers to renew their subscription agreements with us and to purchase additional products and services from us; our ability to adequately market our products and services, and to develop additional products and product offerings; our ability to manage our growth effectively, including through acquisitions; failure to maintain and protect our reputation for trustworthiness and independence; our ability to attract, develop, and retain capable management, editors, and other key personnel; our ability to grow market share in our existing markets or any new markets we may enter; adverse or weakened conditions in the financial sector, global financial markets, and global economy; current macroeconomic events, including heightened inflation, rise in interest rates and the potential for an economic recession; failure to comply with laws and regulations or other regulatory action or investigations, including the Investment Advisers Act of 1940, as amended; our ability to respond to and adapt to changes in technology and consumer behavior; failure to successfully identify and integrate acquisitions, or dispose of assets and businesses; our public securities’ potential liquidity and trading; the impact of the regulatory environment and complexities with compliance related to such environment; our future capital needs; our ability to maintain an effective system of internal control over financial reporting, and to address and remediate existing material weaknesses in our internal control over financial reporting; and other factors beyond our control. The foregoing list of factors is not exhaustive. You should carefully consider the foregoing factors and the other risks and uncertainties described in the “Risk Factors” section of our filings with the U.S. Securities and Exchange Commission (the “SEC”). These filings identify and address other important risks and uncertainties that could cause actual events and results to differ materially from those contained in the forward-looking statements. New risks emerge from time to time. It is not possible for our management to predict all risks, nor can we assess the impact of all factors on our business or the extent to which any factor, or combination of factors, may cause actual results to differ materially from those contained in any forward-looking statements we may make. In light of these risks, uncertainties and assumptions, the forward-looking events and circumstances discussed in this press release may not occur and actual results could differ materially and adversely from those anticipated. Forward-looking statements speak only as of the date they are made. Readers are cautioned not to put undue reliance on forward-looking statements, and we assume no obligation and do not intend to update or revise these forward-looking statements, whether as a result of new information, future events or otherwise. We do not give any assurance that we will achieve our expectations. Table 1. Income Statement Table 2. Balance Sheet Table 3. Cash Flows MarketWise Investor Relations Contact Erik Mickels – Chief Operating and Financial Officer Email: [email protected] MarketWise Media Contact Email: [email protected] Charts accompanying this announcement are available at: https://www.globenewswire.com/NewsRoom/AttachmentNg/70708ca4-b2e4-41ea-bea6-4d1901d323e7 https://www.globenewswire.com/NewsRoom/AttachmentNg/ba2ffd9c-d5d3-425c-8d7a-fe4cb87f337d https://www.globenewswire.com/NewsRoom/AttachmentNg/12283ab7-aff6-4cfb-bd20-fd0b0f7bff4e https://www.globenewswire.com/NewsRoom/AttachmentNg/2cadc0af-a2bb-4f10-89e1-568d8738ccc7

BALTIMORE, April 13, 2026 (GLOBE NEWSWIRE) -- MarketWise, Inc. (NASDAQ: MKTW) is a leading multi-brand digital subscription services platform that provides premium financial research, software, education, and tools for self-directed investors, today reported preliminary selected unaudited financial and operational updates for first quarter 2026 below. Consistent with past practice, we are providing investors with selected information in advance of issuing our first quarter 2026 earnings press release, which we expect to release on May 7, 2026. The selected unaudited results in this press release are preliminary and subject to the Company’s normal quarterly accounting procedures and external review by the Company’s independent registered public accounting firm. Therefore, these preliminary unaudited results are subject to adjustment. In addition, these preliminary unaudited results are not a comprehensive statement of the Company’s financial results and should not be viewed as a substitute for full, audited financial statements prepared in accordance with generally accepted accounting principles. Q1 2026 Preliminary Selected Unaudited Financial and Operational Updates: Paid Subscribers returned to growth in first quarter 2026 following stabilization in the second half of 2025, reflecting improved customer acquisition and retention. Paid subscribers were 381 thousand at March 31, 2026, compared to 374 thousand at December 31, 2025. Active Free subscribers were 2.0 million at March 31, 2026. Billings for first quarter totaled approximately $81 million, representing a 15% year over year increase, and the highest quarterly Billings since 2023. Affirmed FY 2026 Guidance for Billings ($300 million) and Cash for Operating Activities ($50 million). Cash and cash equivalents balances remained strong at $53 million at March 31, 2026 compared to $70 million at December 31, 2025 and $51 million at September 30, 2025. Note that the first quarter is historically the highest cash use quarter of each year due to the timing of marketing efforts, tax distributions, and working capital items. Dividends paid to Class A Shareholders during the quarter were $0.45 per share. No change to full year dividend target of $1.80 per share. "We are pleased with the momentum we are seeing in our business with 15% Billings growth to start 2026, which is a continuation of the growth we saw in 2025," said Dr. David Eifrig, Chief Executive Officer of MarketWise. "Further, the return to paid subscriber growth reflects the work our teams have done to sharpen our marketing execution, enhance our product offerings, and re-engage our audience, while maintaining pricing discipline. The 15% year-over-year increase in Billings to approximately $81 million demonstrates real top-of-funnel momentum, and as a leading indicator, gives us increased visibility into future revenue recognition. We look forward to providing a full discussion of our Q1 2026 financial results in the weeks ahead." Selected Operational and Financial Supplemental Information We are providing the additional information below to provide further context on results and trends. Billings Q1 2026 Billings represents amounts invoiced to customers and increased 15% year over year and 3% sequentially, to approximately $81M. The increased Billings, which represents the highest total since 2023, was the result of our marketing efforts in the quarter which yielded a significant cohort of new subscribers combined with strong revenue retention from existing subscribers. The chart below illustrates Billings trends over the last several quarters and demonstrates the sustained recovery in Billings since the low mark in 3Q 2024. Balance Sheet and Capital Structure As of March 31, 2026, the Company holds cash and cash equivalents of $53 million, compared to $70.1 million at December 31, 2025 and $50.5 million as of September 30, 2025. Note that the first quarter is historically the highest cash use quarter of each year due to the timing of marketing efforts, tax distributions, and working capital items. As previously disclosed, for FY 2026, we expect tax distributions to decline significantly, at approximately $35 million, or nearly $15 million lower than FY 2025. Similar to the tax distribution payments in FY 2025, we expect FY 2026 tax distributions to be higher in the first half of the year and lower in the second half. As such, due to the timing of tax distribution payments and the higher working capital needs in the first part of each year, we expect overall cash balances to decline in the first half of 2026 before increasing in the second half of 2026. MarketWise Inc.’s Class A common stock trades on the Nasdaq Global Market under the symbol "MKTW." As of March 31, 2026, the Company had 2,537,037 Class A common shares and 13,612,641 Class B common shares issued and outstanding, totaling 16,149,678 Class A and Class B common shares. When determining the market capitalization or equity value of the Company, we believe it is appropriate to include the total of the Class A and Class B common shares. Net Income attributable to noncontrolling interests on Condensed Consolidated Statements of Operations is primarily associated with these Class B shares and is a result of our corporate structure. Upcoming Events The Company plans to report full and audited results for the first quarter ended March 31, 2026 on May 7, 2026. Forward-Looking Statements This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, including statements regarding the financial position, business strategy, and the plans and objectives of management for future operations of MarketWise. These forward-looking statements generally are identified by the words “estimate,” “believe,” “project,” “expect,” “anticipate,” “intend,” “strategy,” “future,” “opportunity,” “plan,” “may,” “should,” “will,” “would,” “will be,” “will continue,” “will likely result,” and similar expressions, but the absence of these words does not mean that a statement is not forward-looking. Forward-looking statements are predictions, projections, and other statements about future events that are based on current expectations and assumptions and, as a result, are subject to risks and uncertainties. Many factors could cause actual future events to differ materially from the forward-looking statements in this press release, including, but not limited to: our ability to attract new subscribers and to persuade existing subscribers to renew their subscription agreements with us and to purchase additional products and services from us; our ability to adequately market our products and services, and to develop additional products and product offerings; our ability to manage our growth effectively, including through acquisitions; failure to maintain and protect our reputation for trustworthiness and independence; our ability to attract, develop, and retain capable management, editors, and other key personnel; our ability to grow market share in our existing markets or any new markets we may enter; adverse or weakened conditions in the financial sector, global financial markets, and global economy; current macroeconomic events, including heightened inflation, rise in interest rates and the potential for an economic recession; failure to comply with laws and regulations or other regulatory action or investigations, including the Advisers Act; our ability to respond to and adapt to changes in technology and consumer behavior; failure to successfully identify and integrate acquisitions, or dispose of assets and businesses; our public securities’ potential liquidity and trading; the impact of the regulatory environment and complexities with compliance related to such environment; our future capital needs; our ability to maintain an effective system of internal control over financial reporting, and to address and remediate existing material weaknesses in our internal control over financial reporting; and other factors beyond our control. The foregoing list of factors is not exhaustive. You should carefully consider the foregoing factors and the other risks and uncertainties described in the “Risk Factors” section of our filings with the U.S. Securities and Exchange Commission (the “SEC”). These filings identify and address other important risks and uncertainties that could cause actual events and results to differ materially from those contained in the forward-looking statements. New risks emerge from time to time. It is not possible for our management to predict all risks, nor can we assess the impact of all factors on our business or the extent to which any factor, or combination of factors, may cause actual results to differ materially from those contained in any forward-looking statements we may make. In light of these risks, uncertainties and assumptions, the forward-looking events and circumstances discussed in this press release may not occur and actual results could differ materially and adversely from those anticipated. Forward-looking statements speak only as of the date they are made. Readers are cautioned not to put undue reliance on forward-looking statements, and we assume no obligation and do not intend to update or revise these forward-looking statements, whether as a result of new information, future events or otherwise. We do not give any assurance that we will achieve our expectations. MarketWise Investor Relations Contact Information Email: [email protected] MarketWise Media Contact Email: [email protected] An infographic accompanying this announcement is available at https://www.globenewswire.com/NewsRoom/AttachmentNg/1c4ad117-1daa-4162-aef0-7b3e591efce6

BALTIMORE, March 06, 2026 (GLOBE NEWSWIRE) -- MarketWise, Inc. (NASDAQ: MKTW) (“MarketWise” or the “Company”), a leading multi-brand digital subscription services platform that provides premium financial research, software, education, and tools for self-directed investors, today reported financial results for fourth quarter 2025.(1) Fourth Quarter 2025 Highlights(1) Total net revenue was $83.4 million in the fourth quarter 2025 (1) Total Billings were $78.9 million in fourth quarter 2025, a year-over-year increase of 42% Net income was $14.0 million in fourth quarter 2025 Cash from Operating Activities for fourth quarter 2025 improved $18.2 million compared to fourth quarter 2024. On a year to date basis, CFFO improved by $68.1 million compared to the year ended December 31, 2024. Cash and cash equivalents were $70.1 million as of December 31, 2025, and no debt outstanding. Announced on March 3, 2026 quarterly and special dividend totaling $0.45 per Class A share projecting FY26 dividends of $1.80 per Class A Share. “FY 2025 was our strongest year of Billings growth since going public in 2021, capped off by terrific Q4 results with Billings increasing 42% year over year and 24% higher than last quarter,” said MarketWise CEO Dr. David Eifrig. “This growth in Billings, coupled with ongoing efficiency initiatives, drove solid cash flow for the year with CFFO of over $40M for FY 2025, which was over a $60M improvement compared to FY 2024. With these results, we beat our FY 2025 guidance for both Billings and CFFO, by a substantial margin. I am grateful to our over 400 employees for their dedication in delivering high-quality, trustworthy, investment research and software tools to our over 2 million subscribers.” “These strong results, coupled with our confidence in our go-forward strategy, led to the Board decision to increase our regular dividend to Class A Shareholders by 25%. With this increase to the dividend, the annualized dividend yield is over 13%, based on current stock prices. We remain committed to being excellent stewards of our owner’s capital through dividends, share buybacks, and prudent investments in the business.” Eifrig continued, “As I have mentioned before, a bit over a year ago we made the decision to increase the prices we charge on many of our investment research products and software tools. This shift has resulted in higher revenue per user and better overall margins. As a result, paid subscriber totals have become a less meaningful driver given our focus on efficient growth, renewal efforts, and maximizing life-time values. We are continuing to see an overall improvement in our customer mix, where roughly 50% of our paid subscribers have a cumulative lifetime spend of over $1000.” “At a more strategic and macro level, I have been asked by folks recently regarding how AI might impact our business. In short, we are excited about the opportunities that AI unlocks for us for a couple primary reasons. First, in a world where data, news, and research have been commoditized, our customers look to our analysts and editors more than ever to make sense of the rapidly evolving investing landscape. Over our 25-year history, we have provided trustworthy, independent financial research to millions of self-directed investors. Some of these customers have been with us for decades. Trust earned over time is a competitive advantage. Second, we are incorporating AI functionality into our investing tools and software. We believe these two elements will be an advantage for us in a competitive environment.” Eifrig concluded, “Last November we provided preliminary Targets for FY 2026 which was Billings of $290M and CFFO of $45M. Things are off to a good start in 2026 with year to date Billings through February tracking around 10% higher than last year. As such, we are increasing our FY 2026 Guidance to be Billings of $300M and CFFO of $50M. I remind investors that the timing of product launches and marketing campaigns can have a significant impact on results and cash balances from one quarter to another. Thus, it is useful to view our business across a few quarters or on a full year basis. I am enthusiastic about the strategy and plans in place to continue our momentum and create value for our shareholders. I look forward to providing updates as things progress.” Full Year 2025 Highlights(1) Paid Subscribers were 374 thousand as of December 31, 2025 compared with 506 thousand as of December 31, 2024 Total net revenue was $328.1 million for full year 2025 compared with $408.7 million for full year 2024 (1) Total Billings was $271.2 million for full year 2025 compared with $239.1 million for full year 2024 Net income was $64.0 million for full year 2025 compared with $93.1 million for full year 2024 Cash from Operating Activities (“CFFO”) was $46.0 million for full year 2025 compared with $(22.2) million for full year 2024 Net Revenue versus Billings Net Revenue represents cash received by the Company for the sale of subscriptions which are then recognized as revenue for GAAP purposes over the term of the subscription, or up to 5 years. Cash received by the company is recorded as Deferred Revenue on the Balance Sheet until such amounts are recognized as Net Revenue. Given the deferred nature of revenue recognition, there can be a significant lag between when cash is received by the Company and when revenue is recognized in the Income Statement. To illustrate, Net Revenue recognized in FY 2025 included the significant cash sales from 2021 and 2022. As such, Net Revenue may not be indicative of the current trajectory or operating environment of the Company. In contrast, Billings, represent current period cash sales by the Company which is reflective of the current, real-time operating activity of the Company. The disconnect between Net Revenue and the current trajectory of the Company can be observed in our 2025 results. Specifically, Net Revenue declined 19.7% from FY 2024 to FY 2025 whereas Billings, the actual cash sales of the business, increased 13.4%. We expect a similar dynamic to occur in FY 2026 where Net Revenue will decline while customer sales activity and Billings increase. Beginning in FY 2027, when the significant sales years of 2021 and 2022 are fully recognized as Net Revenue, we expect a more intuitive relationship between Net Revenue and Billings. Selected Operational and Financial Supplemental Information We are providing the additional information below to provide further context on results and trends. Subscriber Composition Trends As of December 31, 2025, the Company had 2.4 million active free and paid subscribers. Part of the Company’s acquisition strategy is to convert active free subscribers to paid subscribers. As of December 31, 2025, the Company had 374 thousand paid subscribers, which is relatively flat compared to September 30, 2025. As previously disclosed, the Company’s strategy has pivoted since mid-2024 to focus on higher priced products. Thus, while the paid subscriber count has declined over the last 2-years in absolute terms, the quality and lifetime value of the subscribers have increased. As illustrated in the chart below, the customer mix has steadily improved with 65% of customers as of December 31, 2025, having a lifetime spend of over $500. In contrast, the majority of customer churn is from the lower value tiers as those cohorts continue to decline as a percent of the total. This positive mix shift and improvement in customer quality has contributed to the sales growth and margin expansion experienced over the last several quarters. Billings After several quarters of Billings declines, the Company experienced an inflection point in 4Q 2024 with a return to sequential Billings growth. Other than the favorable spike in Billings in 1Q 2025, Billings have continued a steady increase with 4Q 2025 Billings representing more than a 40% year over year increase in the 4th Quarter. For FY 2025, Billings were $271.2 million compared to $239.1 million for FY 2024. Further, as illustrated in the chart below, there has been a historical correlation between our Billings and share price. The correlation, however, has decoupled in recent quarters. We remain focused on driving higher Billings, coupled with margin expansion, which we believe will increase intrinsic value over time. Cash from Operating Activities CFFO was $24.2 million for Q4 2025 which was an improvement of $18.2 million compared to Q4 2024. For FY 2025, CFFO was $46.0 million compared to CFFO of ($22.2) million for FY 2024, or an improvement of over $68.1 million. Based on the nature of our business, and as illustrated in the chart below, CFFO fluctuates from quarter to quarter. Specifically, Q2 and Q4 tend to have higher CFFO while Q1 and Q3 tend to have lower CFFO. The amount of CFFO in any given quarter is impacted by the timing of product launches, marketing campaigns, and discrete working capital items. Given this variability, we believe it is useful to evaluate CFFO trends over multiple quarters, or a full year. Balance Sheet and Capital Structure As of December 31, 2025, the Company holds cash and cash equivalents of $70.1 million, compared to $50.5 million as of September 30, 2025. The $20 million increase in cash balances is due to strong Cash from Operating Activities in the 4th quarter of 2025 which were partially offset by dividends paid in the quarter. Partnership tax distributions to MarketWise, LLC’s partners, which arise from our corporate structure, totaled $49.8 million for FY 2025. Tax distribution payments were significant in FY 2025 due to the timing of taxable income which arose from the Billings in prior years. For FY 2026, we expect these tax distributions to decline significantly to approximately $35 million, or nearly $15 million lower than FY 2025. Similar to the timing of tax distribution payments in FY 2025, we expect FY 2026 tax distributions to be higher in the first half of the year and lower in the second half. As such, due to the timing of tax distribution payments and the higher working capital needs in the first quarter of each year, we expect overall cash balances to decline in the first half of 2026 before increasing in the second half of 2026. MarketWise Inc.’s Class A common stock trades on the Nasdaq Global Market under the symbol "MKTW." As of December 31, 2025, the Company had 2,445,010 Class A common shares and 13,612,641 Class B common shares issued and outstanding, totaling 16,057,651 Class A and Class B common shares. When determining the market capitalization or equity value of the Company, we believe it is appropriate to include the total of the Class A and Class B common shares. Net Income attributable to noncontrolling interests on the Income Statement is primarily associated with these B shares and is a result of our corporate structure. As previously announced, the Board of Directors authorized a stock repurchase program of our Class A common stock. Since April 2025, the Company has repurchased 209,726 shares for $3.4 million. The Company suspended repurchases effective October 30, 2025, after receiving the Proposal described below. The program remains authorized and the Company plans to resume repurchases after filing its FY25 annual report. On October 29, 2025, the Company announced that it had received a proposal from Monument & Cathedral Holdings, LLC (collectively with its affiliates, “M&C”) to acquire all of the outstanding equity interests of the Company and MarketWise, LLC that are not owned by M&C, for cash consideration of $17.25 per share (the “Proposal”), contingent upon the termination of the Company’s tax receivable agreement. On February 17, 2026, M&C withdrew its Proposal after feedback from the Special Committee of the Company’s Board of Directors that its offer price per share undervalued the Company’s stock. The Special Committee of the Company’s Board of Directors carefully evaluated the Proposal, consistent with its fiduciary duties and in consultation with independent legal and financial advisors, with a focus on maximizing value for shareholders. The Company remains committed to its standalone strategy of driving sustainable growth in high-margin subscription sales, enhancing operational efficiency, and returning capital to shareholders through dividends and share repurchases. On March 3, 2026, we announced that our Board of Directors declared a regular cash dividend and a special cash dividend to holders of Class A common stock of $0.25 and $0.20 per share, respectively. The quarterly cash dividend of $0.25 per share represents a 25% increase. The regular and special dividend totaling $0.45 per share represents a 13% projected cash dividend yield at current share prices. A comparable distribution of $0.25 per unit has also been approved to holders of MarketWise, LLC units. The dividend and distribution will be paid on March 31, 2026. The Record Date is March 18, 2026. Note that the special dividends referenced above arise from the previously mentioned tax distribution payments to noncontrolling interests, and represent the proportionate payment to Marketwise, Inc. To the extent the proportionate payment to Marketwise, Inc. exceeds the amounts required for corporate income taxes, any excess may be distributed to Class A shareholders in the form of dividends. Given the mechanical nature of the tax distribution payments, we expect the quarterly special dividends to continue. The amounts, however, may vary. FY 2026 Targets Our strategic plans and initiatives are built around bringing high-quality investing ideas and tools to our customers at a dynamic and volatile time for markets. Our focus will continue to be on delivering high-quality products to our customers, in an efficient manner, which we believe will drive both top line growth and margin expansion next year. Further, we intend to continue our disciplined approach to capital allocation with a mix of dividends, share repurchases, and prudent investments in our business. For FY 2026, our targets are as follows: Billings of approximately $300 million for FY 2026, which is growth of approximately 10% from FY 2025 Billings. CFFO of approximately $50 million for FY 2026 which is nearly a 10% YoY increase as compared to FY 2025 Dividends to the publicly traded Class A shares of $1.80 per share, inclusive of the recently announced 25% increase in the quarterly regular dividend, and a $0.20 per share per quarter special dividend. Again, these forward-looking targets are based on trends and market conditions as they exist currently, and actual results may differ materially. In the case of dividends, amounts are subject to the ongoing approval by our Board of Directors. About MarketWise Founded with a mission to level the playing field for self-directed investors, today MarketWise is a leading multi-brand subscription services platform providing premium financial research, software, education, and tools for investors. With more than 25 years of operating history, MarketWise serves a community of millions of free and paid subscribers. MarketWise’s products are a trusted source for high-value financial research, education, actionable investment ideas, and investment software. MarketWise is a 100% digital, direct-to-customer company offering its research across a variety of platforms including mobile, desktops, and tablets. MarketWise has a proven, agile, and scalable platform and our vision is to become the leading financial solutions platform for self-directed investors. Key Business Metrics and Non-GAAP Financial Measures In this release we discuss certain key business metrics, which we believe provide useful information about the Company’s business and the operational factors underlying the Company’s financial performance. We are not aware of any uniform standards for calculating these key metrics, which may hinder comparability with other companies who may calculate similarly titled metrics in a different way. Billings are defined as amounts invoiced to customers. Paid Subscribers are defined as the total number of unique subscribers with at least one paid subscription at the end of the period. Average revenue per user or ARPU is defined as the trailing four quarters of net Billings divided by the average number of quarterly total Paid Subscribers over that period. In addition to our results determined in accordance with GAAP, we believe that the below non-GAAP financial measures are useful in evaluating operating performance. We use the below non-GAAP financial measures, collectively, to evaluate our ongoing operations and for internal planning and forecasting purposes. We believe that non-GAAP financial information, when taken collectively, may be helpful to investors because it provides consistency and comparability with past financial performance. This non-GAAP financial information is presented for supplemental informational purposes only and should not be considered a substitute for financial information presented in accordance with GAAP, and may be different from similarly titled non-GAAP measures used by other companies. A reconciliation is provided below for each non-GAAP financial measure to the most directly comparable financial measure stated in accordance with GAAP. Investors are encouraged to review the related GAAP financial measures and the reconciliations of these non-GAAP financial measures to their most directly comparable GAAP financial measures. Management uses these non-GAAP measures internally to evaluate performance and make operating decisions, and we believe they provide a meaningful perspective to investors when used in conjunction with our GAAP results. These non-GAAP measures have limitations as analytical tools, and should not be considered in isolation or as substitutes for analysis of other GAAP financial measures, such as cash flow from operations, operating cash flow margin, and net income. Some of the limitations of using these non-GAAP measures are that these metrics may be calculated differently by other companies in our industry. Adjusted CFFO is defined as cash flow from operations (“CFFO”) plus or minus any non-recurring items. Adjusted CFFO Margin is defined as Adjusted CFFO as a percentage of Billings. We believe that Adjusted CFFO and Adjusted CFFO Margin are useful indicators that provide information to management and investors about our ability to generate cash, and for internal planning and forecasting purposes. We expect Adjusted CFFO and Adjusted CFFO Margin to fluctuate in future periods as we invest in our business to execute our growth strategy. These activities, along with any non-recurring items as described above, may result in fluctuations in Adjusted CFFO and Adjusted CFFO Margin in future periods. Free Cash Flow is defined as net cash provided by (used in) operating activities less capital expenditures. We define capital expenditures as purchases of property and equipment plus capitalized software development costs. Acquisitions are not included in capital expenditures. We believe Free Cash Flow is a useful indicator that provides information to management and investors about the cash generated by the business that is available for discretionary purposes, such as dividends and strategic investments. Non-GAAP Measures The following table provides a reconciliation of net cash provided by (used in) operating activities to Adjusted CFFO, and net cash provided by operating activities margin as a percentage of total net revenue to Adjusted CFFO Margin, net cash provided by (used in) operating activities to Free Cash Flow, in each case, the most directly comparable financial measure calculated in accordance with generally accepted accounting principles in the United States (“GAAP”): NM: Not meaningful Cautionary Statement Regarding Forward-Looking Statements This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, including statements regarding the financial position, business strategy, and the plans and objectives of management for future operations of MarketWise. These forward-looking statements generally are identified by the words “believe,” “project,” “expect,” “anticipate,” “estimate,” “intend,” “strategy,” “future,” “opportunity,” “plan,” “may,” “should,” “will,” “would,” “will be,” “will continue,” “will likely result,” “target,” and similar expressions, but the absence of these words does not mean that a statement is not forward-looking. Forward-looking statements are predictions, projections, and other statements about future events that are based on current expectations and assumptions and, as a result, are subject to risks and uncertainties. Many factors could cause actual future events to differ materially from the forward-looking statements in this press release, including, but not limited to: our ability to attract new subscribers and to persuade existing subscribers to renew their subscription agreements with us and to purchase additional products and services from us; our ability to adequately market our products and services, and to develop additional products and product offerings; our ability to manage our growth effectively, including through acquisitions; failure to maintain and protect our reputation for trustworthiness and independence; our ability to attract, develop, and retain capable management, editors, and other key personnel; our ability to grow market share in our existing markets or any new markets we may enter; adverse or weakened conditions in the financial sector, global financial markets, and global economy; current macroeconomic events, including heightened inflation, rise in interest rates and the potential for an economic recession; failure to comply with laws and regulations or other regulatory action or investigations, including the Investment Advisers Act of 1940, as amended; our ability to respond to and adapt to changes in technology and consumer behavior; failure to successfully identify and integrate acquisitions, or dispose of assets and businesses; our public securities’ potential liquidity and trading; the impact of the regulatory environment and complexities with compliance related to such environment; our future capital needs; our ability to maintain an effective system of internal control over financial reporting, and to address and remediate existing material weaknesses in our internal control over financial reporting; and other factors beyond our control. The foregoing list of factors is not exhaustive. You should carefully consider the foregoing factors and the other risks and uncertainties described in the “Risk Factors” section of our filings with the U.S. Securities and Exchange Commission (the “SEC”). These filings identify and address other important risks and uncertainties that could cause actual events and results to differ materially from those contained in the forward-looking statements. New risks emerge from time to time. It is not possible for our management to predict all risks, nor can we assess the impact of all factors on our business or the extent to which any factor, or combination of factors, may cause actual results to differ materially from those contained in any forward-looking statements we may make. In light of these risks, uncertainties and assumptions, the forward-looking events and circumstances discussed in this press release may not occur and actual results could differ materially and adversely from those anticipated. Forward-looking statements speak only as of the date they are made. Readers are cautioned not to put undue reliance on forward-looking statements, and we assume no obligation and do not intend to update or revise these forward-looking statements, whether as a result of new information, future events or otherwise. We do not give any assurance that we will achieve our expectations. Table 1. Income Statement Table 2. Balance Sheet Table 3. Cash Flows MarketWise Investor Relations Contact Erik Mickels – Chief Operating and Financial Officer Email: [email protected] MarketWise Media Contact Email: [email protected] Charts accompanying this announcement are available at: https://www.globenewswire.com/NewsRoom/AttachmentNg/d6d9d457-d14e-46be-8e4c-b35ac5b159c5 https://www.globenewswire.com/NewsRoom/AttachmentNg/9ba9493c-04ec-42ad-b5a9-4922b899aebe https://www.globenewswire.com/NewsRoom/AttachmentNg/28c9d533-c586-463b-97fd-5d7decdc9a7a

BALTIMORE, March 03, 2026 (GLOBE NEWSWIRE) -- MarketWise, Inc. (NASDAQ: MKTW) (“MarketWise” or the “Company”), a leading multi-brand digital subscription services platform that provides premium financial research, software, education, and tools for self-directed investors, announced that its Board of Directors declared a regular quarterly cash dividend and a special cash dividend to holders of Class A common stock of $0.25 and $0.20 per share, respectively, on March 2, 2026. The regular quarterly cash dividend of $0.25 per share represents a 20% increase. Cumulative dividends declared by the Company to Class A Shareholders over the last twelve months equates to a dividend yield of 13%, based on the share price as of March 2, 2026 (1). A comparable distribution of $0.25 per unit has also been approved to holders of MarketWise, LLC units. The dividend and distribution will be paid on March 31, 2026. The Record Date is March 18, 2026. About MarketWise Founded with a mission to level the playing field for self-directed investors, today MarketWise is a leading multi-brand subscription services platform providing premium financial research, software, education, and tools for investors. With more than 25 years of operating history, MarketWise serves a community of millions of free and paid Subscribers. MarketWise’s products are a trusted source for high-value financial research, education, actionable investment ideas, and investment software. MarketWise is a 100% digital, direct-to-customer company offering its research across a variety of platforms including mobile, desktops, and tablets. MarketWise has a proven, agile, and scalable platform and our vision is to become the leading financial solutions platform for self-directed investors. Cautionary Statement Regarding Forward-Looking Statements This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, including statements regarding the Company’s performance and ability to generate cash flow. These forward-looking statements generally are identified by the words “believe,” “project,” “expect,” “anticipate,” “estimate,” “intend,” “strategy,” “future,” “opportunity,” “plan,” “may,” “should,” “will,” “would,” “will be,” “will continue,” “will likely result,” and similar expressions, but the absence of these words does not mean that a statement is not forward-looking. Forward-looking statements are predictions, projections, and other statements about future events that are based on current expectations and assumptions and, as a result, are subject to risks and uncertainties. Many factors could cause actual future events to differ materially from the forward-looking statements in this press release, including those described in the “Risk Factors” section of the Company’s most recently filed periodic reports on Forms 10-K and 10-Q. The Company assumes no obligation to update or revise these forward-looking statements for any reason, even if new information becomes available in the future, unless required by law. MarketWise Investor Relations Contact Information Email: [email protected] MarketWise Media Contact Email: [email protected] 1 Dividends declared in the last twelve months totaled $1.75, on a reverse-split adjusted basis, and consist of regular dividends declared on February 27 2025, May 1 2025, July 31 2025, October 30 2025 and March 2 2026, and special dividends declared to Class A shareholders on May 1 2025, July 31 2025, October 30 2025 and March 2 2026.

BALTIMORE, Jan. 22, 2026 (GLOBE NEWSWIRE) -- MarketWise, Inc. (NASDAQ: MKTW) (“MarketWise” or the “Company”), a leading multi-brand digital subscription services platform that provides premium financial research, software, education, and tools for self-directed investors, today reported preliminary selected unaudited financial and operational updates for fourth quarter 2025 below. Consistent with past practice, and as we did in January of last year, we are providing investors with selected information on recent directional trends in advance of issuing our usual earnings press release announcing full year 2025 financial results, which we expect to release in March 2026. The selected unaudited results in this press release are preliminary and subject to the Company’s normal quarter and year-end accounting procedures and external audit by the Company’s independent registered public accounting firm. Therefore, these preliminary unaudited results are subject to adjustment. In addition, these preliminary unaudited results are not a comprehensive statement of the Company’s financial results for the year ended December 31, 2025 and should not be viewed as a substitute for full, audited financial statements prepared in accordance with generally accepted accounting principles. Q4 2025 Preliminary Selected Unaudited Financial and Operational Updates: Consolidated Paid subscribers at December 31, 2025 were 374 thousand. Active Free subscribers were 2.0 million at December 31, 2025. Billings, or Net Sales1, for fourth quarter 2025 totaled approximately $79 million, representing over a 23% sequential increase compared with Q3 2025, and a year-over-year increase of 42%. Billings for FY 2025 totaled approximately $271 million, beating guidance of $250 million. CFFO for fourth quarter 2025 was approximately $24 million, or $45 million for the full year beating guidance of $30 million. This represents an approximately $65 million improvement in CFFO compared to FY 2024. Cash and cash equivalents balance increased to $70 million at December 31, 2025 from $51 million at September 30, 2025. Cumulative dividends paid by the Company to Class A Shareholders over the last twelve months equates to a cash dividend yield of 13%, based on the share price as of December 31, 2025.2 _________________ 1 The Company uses Net Sales and Billings interchangeably, which represents amounts invoiced to customers. 2 Dividends paid in the last twelve months totaled $1.90, on a reverse-split adjusted basis, and consist of regular dividends paid on March 31, 2025, June 25, 2025, September 25, 2025 and December 24, 2025, and special dividends paid to Class A shareholders on February 26 2025, June 25 2025, September 25 2025 and December 24 2025. "I am pleased to report that the strategic roadmap we laid out one year ago continues to deliver clear, measurable results with fourth quarter Net Sales up more than 40% in the fourth quarter year over year and more than 20% higher than last quarter,” said Marketwise CEO Dr. David Eifrig. “By sharpening our focus on product excellence, customer experience, and operational discipline, we exceeded the external guidance we provided in May 2025 for Billings and Cash from Operating Activities. We believe this financial outperformance validates our business model and demonstrates that our strategy is working. We are proving that by putting the subscriber first and maintaining a disciplined approach to growth, we can deliver strong results for our shareholders while continuing to innovate in a competitive landscape." Eifrig continued, "This past year marked a special milestone for MarketWise as we celebrated 25 years dedicated to educating, empowering, and enriching self-directed investors. What began as a mission to level the playing field for the individual investor has grown into a community of more than 2 million subscribers who trust us to help them navigate the complexities of the financial markets. Our #1 priority remains steadfast: providing unparalleled value to our members, ensuring they have the institutional-grade insights and tools necessary to take control of their financial futures." Eifrig concluded, "Our success is a direct reflection of the talent and heart of our organization. I am grateful to the more than 400 employees whose dedication and tireless service to our customers drives our company forward every day. The strong foundation we have built over the past year has not only stabilized our trajectory but has positioned us well for 2026. We enter this next chapter with momentum, a lean and efficient structure, and a renewed commitment to providing high-quality financial research and software tools to our customers." Selected Operational and Financial Supplemental Information We are providing the additional information below to provide further context on results and trends. Subscriber Composition Trends As of December 31, 2025, the Company has 2.4 million active free and paid subscribers. Part of the Company’s acquisition strategy is to convert active free subscribers to paid subscribers. As of December 31, 2025, the Company had 374 thousand paid subscribers, which is relatively flat compared to September 30, 2025. As previously disclosed, the Company’s strategy has pivoted since mid-2024 to focus on higher priced products. Thus, while the paid subscriber count has declined over the last 2-years in absolute terms, the quality and lifetime value of the subscribers have increased. As illustrated in the chart below, the customer mix has steadily improved with 65% of customers as of December 31, 2025, having a lifetime spend of over $500. In contrast, the majority of customer churn is from the lower value tiers as those cohorts continue to decline as a percent of the total. This positive mix shift and improvement in customer quality has contributed to the sales growth and margin expansion experienced over the last several quarters. Billings After several quarters of Net Sales, or Billings declines, the Company experienced an inflection point in 4Q 2024 with a return to sequential Billings growth. Other than the favorable spike in Billings in 1Q 2025, Billings have continued a steady increase with 4Q 2025 Billings representing more than a 40% year over yearincrease in the 4th Quarter. For FY 2025, Billings were approximately $271 million compared to $239.1 million for FY 2024. Cash from Operating Activities Cash from Operating Activities (“CFFO”) was approximately $24 million for Q4 2025 which was an improvement of approximately $18 million compared to Q4 2024. For FY 2025, CFFO was approximately $45 million compared to CFFO of ($22.2) million for FY 2024, or an improvement of over $65 million. Based on the nature of our business, and as illustrated in the chart below, CFFO will fluctuate from quarter to quarter. Specifically, Q2 and Q4 tend to have higher CFFO while Q1 and Q3 tend to have lower CFFO. The amount of CFFO in any given quarter can be impacted by the timing of product launches, marketing campaigns, and discrete working capital items. Given this variability, we believe it is useful to evaluate CFFO trends over multiple quarters, or a full year. Balance Sheet and Capital Structure As of December 31, 2025, the Company holds cash and cash equivalents of $70.1 million, compared to $50.5 million as of September 30, 2025. The $20 million increase in cash balances is due to strong Cash from Operating Activities in the 4th quarter of 2025 which were partially offset by dividends paid in the quarter. Partnership tax distributions to MarketWise, LLC’s partners, which arise from our corporate structure, totaled $49.8 million for FY 2025. Tax distribution payments were significant in FY 2025 due to the timing of taxable income which arose from the higher Net Sales in prior years. For FY 2026, we expect these tax distributions to decline significantly, at approximately $35 million, or nearly $15 million lower than FY 2025. Similar to the timing of tax distribution payments in FY 2025, we expect FY 2026 tax distributions to be higher in the first half of the year and lower in the second half. As such, due to the timing of tax distribution payments and the higher working capital needs in the first quarter of each year, we expect overall cash balances to decline in the first half of 2026 before increasing in the second half of 2026. MarketWise Inc.’s Class A common stock trades on the Nasdaq Global Market under the symbol "MKTW." As of December 31, 2025, the Company had 2,434,407 Class A common shares and 13,612,641 Class B common shares issued and outstanding, totaling 16,047,048 Class A and Class B common shares. When determining the market capitalization or equity value of the Company, we believe it is appropriate to include the total of the Class A and Class B common shares. Net Income attributable to noncontrolling interests on the Income Statement is primarily associated with these B shares and is a result of our corporate structure. As previously announced, the Board of Directors authorized a stock repurchase program of our Class A common stock. Since April, the Company has repurchased 209,726 shares for $3.4 million. The Company suspended repurchases effective October 30, 2025, after receiving the Proposal described below. The program remains authorized; however, repurchases are not currently being made. On October 29, 2025, the Company announced that it had received a proposal from Monument & Cathedral Holdings, LLC (collectively with its affiliates, “M&C”) to acquire all of the outstanding equity interests of the Company and MarketWise, LLC that are not owned by M&C, for cash consideration of $17.25 per share (the “Proposal”), contingent upon the termination of the Company’s tax receivable agreement. A Special Committee of the Board of Directors is evaluating the Proposal in consultation with its legal and financial advisors. There can be no assurance that any transaction will result from the Special Committee’s evaluation, or, if so, the timing, terms and conditions of any such transaction. The Company does not intend to comment on or disclose further developments with respect to this matter unless and until further disclosure is appropriate or required. As previously announced, on October 30, 2025, the Board of Directors declared a quarterly cash dividend to holders of Class A common stock of $0.20 per share. A comparable distribution of $0.20 per unit was also approved to holders of MarketWise, LLC units. The Company also previously announced a special dividend to shareholders of Class A common stock of $0.20 per share. The regular dividend, distribution, and the special dividend were paid on December 24, 2025. Note that the special dividends referenced above arise from the previously mentioned tax distribution payments to noncontrolling interests, and represent the proportionate payment to Marketwise, Inc. and Class A shareholders. Upcoming Events The Company plans to report full and audited results for the fourth quarter and year ended December 31, 2025 no later than March 31, 2026. Forward-Looking Statements This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, including statements regarding the financial position, business strategy, and the plans and objectives of management for future operations of MarketWise. These forward-looking statements generally are identified by the words “estimate,” “believe,” “project,” “expect,” “anticipate,” “intend,” “strategy,” “future,” “opportunity,” “plan,” “may,” “should,” “will,” “would,” “will be,” “will continue,” “will likely result,” and similar expressions, but the absence of these words does not mean that a statement is not forward-looking. Forward-looking statements are predictions, projections, and other statements about future events that are based on current expectations and assumptions and, as a result, are subject to risks and uncertainties. Many factors could cause actual future events to differ materially from the forward-looking statements in this press release, including, but not limited to: our ability to attract new subscribers and to persuade existing subscribers to renew their subscription agreements with us and to purchase additional products and services from us; our ability to adequately market our products and services, and to develop additional products and product offerings; our ability to manage our growth effectively, including through acquisitions; failure to maintain and protect our reputation for trustworthiness and independence; our ability to attract, develop, and retain capable management, editors, and other key personnel; our ability to grow market share in our existing markets or any new markets we may enter; adverse or weakened conditions in the financial sector, global financial markets, and global economy; current macroeconomic events, including heightened inflation, rise in interest rates and the potential for an economic recession; failure to comply with laws and regulations or other regulatory action or investigations, including the Advisers Act; our ability to respond to and adapt to changes in technology and consumer behavior; failure to successfully identify and integrate acquisitions, or dispose of assets and businesses; our public securities’ potential liquidity and trading; the impact of the regulatory environment and complexities with compliance related to such environment; our future capital needs; our ability to maintain an effective system of internal control over financial reporting, and to address and remediate existing material weaknesses in our internal control over financial reporting; and other factors beyond our control. The foregoing list of factors is not exhaustive. You should carefully consider the foregoing factors and the other risks and uncertainties described in the “Risk Factors” section of our filings with the U.S. Securities and Exchange Commission (the “SEC”). These filings identify and address other important risks and uncertainties that could cause actual events and results to differ materially from those contained in the forward-looking statements. New risks emerge from time to time. It is not possible for our management to predict all risks, nor can we assess the impact of all factors on our business or the extent to which any factor, or combination of factors, may cause actual results to differ materially from those contained in any forward-looking statements we may make. In light of these risks, uncertainties and assumptions, the forward-looking events and circumstances discussed in this press release may not occur and actual results could differ materially and adversely from those anticipated. Forward-looking statements speak only as of the date they are made. Readers are cautioned not to put undue reliance on forward-looking statements, and we assume no obligation and do not intend to update or revise these forward-looking statements, whether as a result of new information, future events or otherwise. We do not give any assurance that we will achieve our expectations. MarketWise Investor Relations Contact Information Email: [email protected] MarketWise Media Contact Email: [email protected] Photos accompanying this announcement are available at https://www.globenewswire.com/NewsRoom/AttachmentNg/c650d4cc-5e9c-4022-a998-11cee6ee13ec https://www.globenewswire.com/NewsRoom/AttachmentNg/f495bafc-8713-4644-8991-2a31ca9546cb https://www.globenewswire.com/NewsRoom/AttachmentNg/e0f1234d-287e-455d-a3a9-54f3d53a40f4

BALTIMORE, Nov. 06, 2025 (GLOBE NEWSWIRE) -- MarketWise, Inc. (NASDAQ: MKTW) (“MarketWise” or the “Company”), a leading multi-brand digital subscription services platform that provides premium financial research, software, education, and tools for self-directed investors, today reported financial results for third quarter 2025.(1) Third Quarter 2025 Highlights(1)(2) Total net revenue was $81.3 million in the third quarter 2025 (2) Total Billings were $63.7 million in third quarter 2025, a year-over-year increase of 30% Net income was $17.9 million in third quarter 2025 Cash from Operating Activities for third quarter 2025 improved $8.0 million compared to third quarter 2024. On a year to date basis, CFFO improved by $49.9 million compared to the first nine months of 2024. Cash and cash equivalents were $50.5 million as of September 30, 2025, and no debt outstanding. Cash balances were $65.5 million at the end of October. Announced on October 30, 2025 quarterly and special dividend totaling $0.40 per Class A share Shares repurchased year to date under the buyback program total $2.9 million at an average price per share of approximately $16 Strong results for October 2025 with Billings of approximately $32 million, which is the highest monthly total in nearly 2 years “Our strategy is working, as evidenced by our strong financial results for the quarter,” said MarketWise CEO Dr. David Eifrig, “with Billings increasing 30% year over year and 9% higher than last quarter.” Eifrig continued, “A bit over a year ago we made the decision to increase the prices we charge on many of our investment research products. The decision to increase prices was based on our belief that our customers would be willing to spend more for high-quality, trustworthy investment research that empowers, educates, and enriches. It was also our belief that higher prices would attract more serious investors, that if we served well, would renew and remain with us over time. We are pleased with the trends to date.” “More specifically, this shift in our business model has resulted in higher revenue per user and better overall margins. As a result, paid subscriber totals have become a less meaningful driver given our focus on efficient growth, renewal efforts, and maximizing life-time values. As we continue to execute on our strategy, however, we expect to achieve growth in our paid subscriber total while maintaining reasonable prices, and we are starting to see stabilization of the paid subscriber total as customer acquisition is now nearly offsetting customer churn.” “Regarding our FY 2025 guidance, the momentum in the business has continued into the fourth quarter. As such, we expect we will achieve or beat our FY 2025 Billings and CFFO targets we set at the beginning of the year. As a reminder, the timing of product launches and marketing campaigns can have a significant impact on results and cash balances from one quarter to another. Thus, we believe it is more informative to view the results and trends of the business across a few quarters or on a full year basis.” Eifrig concluded, “Finally, strategic planning for FY 2026 is well underway. I am excited about our plans which will bring high-quality investing ideas and tools to our customers at a dynamic and volatile time for markets. I believe our focus on delivering high-quality products to our customers, in an efficient manner, will drive both top line growth and margin expansion next year as reflected in the FY 2026 preliminary targets we are providing today. Further, we intend to continue our disciplined approach to capital allocation with a mix of dividends, opportunistic buybacks, and prudent investments in our business. We look forward to providing additional updates in the near future.” Our summary results and selected financial data are as follows: Selected Operational and Financial Supplemental Information In addition to the tabular data included above, we are providing additional information below to provide further context on results and trends. Paid Subscribers Over the past several quarters, our Paid Subscriber base has been in decline as a result of the aforementioned pivot in pricing strategy as well as elevated customer churn following the transition of the Legacy Research business. However, as seen in the chart below, during 3Q 2025, and continuing into October 2025, we are beginning to see stabilization of the Paid Subscriber base as customer acquisition is largely offsetting customer churn. We are focused on increasing our overall Paid Subscriber base while maintaining reasonable pricing. While total Paid Subscribers have declined in recent quarters, ARPU has increased meaningfully, which has resulted in the overall increase in Billings. As further mentioned above, the decline in Paid Subscribers is partially due to a shift in pricing strategy in mid-2024 which resulted in a favorable mix shift and acceptable attrition within our customer base. For example, High/Ultra High Value customer represented approximately 50% of our customers in mid-2024 and represent over 60% of our customer mix at 3Q 2025. Similarly, the percentage of lower value subscribers has declined over the same period. Billings After several quarters of Billings declines, the Company experienced an inflection point in 4Q 2024 with a return to sequential Billings growth. Other than the favorable spike in Billings in 1Q 2025, Billings have continued a steady ramp with 3Q 2025 Billings representing a 30% increase YoY. We expect this sequential growth in Billings to continue into 4Q 2025. Cash from Operating Activities Cash from Operating Activities (“CFFO”) was $2.2 million for 3Q 2025, which was an improvement of $8.0 million compared to 3Q 2024. CFFO for the nine months ended September 30, 2025 was $21.7 million or an improvement of $49.9 million compared to the same period of prior year. Note that CFFO for 3Q 2025 was impacted by IT expenditures of approximately $5.8 million and are recorded in prepaid assets. These prepaid IT expenditures will benefit and enhance IT functionality in future periods. Based on the nature of our business, CFFO will fluctuate from quarter to quarter. Specifically, 2Q and 4Q tend to have higher CFFO while 1Q and 3Q tend to have lower CFFO. The amount of CFFO in any given quarter can be impacted by the timing of product launches, marketing campaigns, and discrete working capital items. Given this variability, we believe it is useful to evaluate CFFO trends over multiple quarters, or a full year. Balance Sheet and Capital Structure As of September 30, 2025 the consolidated Cash balance was $50.5 million as compared with $97.9 million at December 31, 2024. The decline in cash balances is primarily due to the dividends and planned tax distribution payments which occurred during the first half of the year, partially offset by Cash from Operating Activities of $21.7 million. The aforementioned tax distributions totaled $50.0 million for the first nine months of 2025 and we do not expect further significant tax distribution payments in the fourth quarter of this year. As such, we expect the consolidated Cash balance to increase at the end of the fourth quarter as compared to cash balances at September 30, 2025. Looking into next year, we expect these tax distributions to be meaningfully lower in FY 2026 as compared to FY 2025. Similar to the timing of tax distribution payments in FY 2025, we expect FY 2026 tax distributions to be higher in the first half of the year and lower in the second half. For the nine months ended September 30, 2025, interest income earned totaled $2.4 million. As previously announced, the Board of Directors authorized a stock repurchase program of our Class A common stock. Since April, the Company has repurchased 174,897 shares for $2.9 million. On October 29, 2025, the Company announced that it had received a proposal (the “Proposal”) from Monument & Cathedral Holdings, LLC (collectively with its affiliates, “M&C”) to acquire all of the outstanding equity interests of each of the Company and MarketWise, LLC that are not owned directly or indirectly by M&C. In connection with the Board of Directors’ review of the Proposal, the Company suspended repurchases under its share repurchase program effective October 30, 2025. The program remains authorized by the Board; however, repurchases are not currently being made. The Special Committee of the Board of Directors is reviewing the Proposal in consultation with its advisors. The Proposal may or may not lead to a transaction, and the Company does not intend to provide additional updates regarding the Proposal unless a definitive agreement has been reached or disclosure is otherwise required under applicable U.S. securities laws. MarketWise Inc.’s Class A common stock trades on the Nasdaq Global Market under the symbol "MKTW." On April 2, 2025, the Company effected a 1-for-20 reverse stock split. As of September 30, 2025, the Company had 2,451,469 Class A common shares and 13,612,641 Class B common shares issued and outstanding, totaling 16,064,110 Class A and Class B common shares on a post-split basis. When determining the market capitalization of equity value of the Company, it is appropriate to include the total of the Class A and Class B common shares. Net Income attributable to noncontrolling interests on the Income Statement is primarily associated with these B shares and is a result of our corporate structure. As previously announced, on October 30, 2025, the Board of Directors declared a quarterly cash dividend to holders of Class A common stock of $0.20 per share. A comparable distribution of $0.20 per unit was also approved to holders of MarketWise, LLC units. The Company also previously announced a special dividend to shareholders of Class A common stock of $0.20 per share. The regular dividend, distribution, and the special dividend will be paid on December 24, 2025. The Record Date is November 14, 2025. Full Year 2025 Guidance and Preliminary FY 2026 Targets Historically, the Company has not provided forward-looking information partially due to the inherent variability in our business. However, notwithstanding the variability in our business, we believe it is useful to provide investors with a line of sight into what we believe is the general direction of the business. These forward-looking Targets are based on trends and market conditions as they exist currently, and actual results may differ materially. Selected FY 2025 Targets, as provided earlier this year, are as follows along with the current period update: We currently expect FY 2025 Billings to be approximately $260 million, which exceeds our original FY 2025 Billings target of $250 million. Cash from Operating Activities and Free Cash Flow were estimated to be approximately $30 million, or over a $50 million improvement compared to FY 2024. We currently expect to achieve our FY 2025 CFFO target. Dividends to Class A shareholders were estimated to be approximately $1.60 to $1.80 per share. This total included both the regular quarterly dividends (currently $0.20 per quarter) as well as special dividends related to excess tax distributions. Inclusive of the $0.40 regular and special dividend recently announced, we expect total dividends paid in FY 2025 to be $1.90 per share. With these announced dividends, total dividends for FY 2025 will be $1.90 per share. Upon December payment of these dividends, the FY 2025 dividend yield will be 13%, based on the October 29, 2025 stock price. Our strategic planning for FY 2026 is well underway. Our strategic plans and initiatives are built around bringing high-quality investing ideas and tools to our customers at a dynamic and volatile time for markets. Our focus will continue to be on delivering high-quality products to our customers, in an efficient manner, which we believe will drive both top line growth and margin expansion next year. Further, we intend to continue our disciplined approach to capital allocation with a mix of dividends, and prudent investments in our business. For FY 2026, our preliminary targets are as follows: Billings of approximately $290 million for FY 2026, which is growth of 10% from estimated FY 2025 Billings and a 40% increase from the annualized 2H 2024 Billings. CFFO of $45 million for FY 2026 which represents a 50% YoY increase as compared to the FY 2025 CFFO Target of $30 million Dividends to the publicly traded Class A shares of $1.60 per share Again, these forward-looking preliminary Targets are based on trends and market conditions as they exist currently, and actual results may differ materially. In the case of dividends, amounts are subject to the ongoing approval by our Board of Directors. About MarketWise Founded with a mission to level the playing field for self-directed investors, today MarketWise is a leading multi-brand subscription services platform providing premium financial research, software, education, and tools for investors. With more than 25 years of operating history, MarketWise serves a community of millions of free and paid subscribers. MarketWise’s products are a trusted source for high-value financial research, education, actionable investment ideas, and investment software. MarketWise is a 100% digital, direct-to-customer company offering its research across a variety of platforms including mobile, desktops, and tablets. MarketWise has a proven, agile, and scalable platform and our vision is to become the leading financial solutions platform for self-directed investors. Key Business Metrics and Non-GAAP Financial Measures In this release we discuss certain key business metrics, which we believe provide useful information about the Company’s business and the operational factors underlying the Company’s financial performance. We are not aware of any uniform standards for calculating these key metrics, which may hinder comparability with other companies who may calculate similarly titled metrics in a different way. Billings are defined as amounts invoiced to customers. Paid Subscribers are defined as the total number of unique subscribers with at least one paid subscription at the end of the period. Average revenue per user or ARPU is defined as the trailing four quarters of net Billings divided by the average number of quarterly total Paid Subscribers over that period. In addition to our results determined in accordance with GAAP, we believe that the below non-GAAP financial measures are useful in evaluating operating performance. We use the below non-GAAP financial measures, collectively, to evaluate our ongoing operations and for internal planning and forecasting purposes. We believe that non-GAAP financial information, when taken collectively, may be helpful to investors because it provides consistency and comparability with past financial performance. This non-GAAP financial information is presented for supplemental informational purposes only and should not be considered a substitute for financial information presented in accordance with GAAP, and may be different from similarly titled non-GAAP measures used by other companies. A reconciliation is provided below for each non-GAAP financial measure to the most directly comparable financial measure stated in accordance with GAAP. Investors are encouraged to review the related GAAP financial measures and the reconciliations of these non-GAAP financial measures to their most directly comparable GAAP financial measures. Management uses these non-GAAP measures internally to evaluate performance and make operating decisions, and we believe they provide a meaningful perspective to investors when used in conjunction with our GAAP results. These non-GAAP measures have limitations as analytical tools, and should not be considered in isolation or as substitutes for analysis of other GAAP financial measures, such as cash flow from operations, operating cash flow margin, and net income. Some of the limitations of using these non-GAAP measures are that these metrics may be calculated differently by other companies in our industry. Adjusted CFFO is defined as cash flow from operations (“CFFO”) plus or minus any non-recurring items. Adjusted CFFO Margin is defined as Adjusted CFFO as a percentage of Billings. We believe that Adjusted CFFO and Adjusted CFFO Margin are useful indicators that provide information to management and investors about our ability to generate cash, and for internal planning and forecasting purposes. We expect Adjusted CFFO and Adjusted CFFO Margin to fluctuate in future periods as we invest in our business to execute our growth strategy. These activities, along with any non-recurring items as described above, may result in fluctuations in Adjusted CFFO and Adjusted CFFO Margin in future periods. Free Cash Flow is defined as net cash provided by (used in) operating activities less capital expenditures. We define capital expenditures as purchases of property and equipment plus capitalized software development costs. Acquisitions are not included in capital expenditures. We believe Free Cash Flow is a useful indicator that provides information to management and investors about the cash generated by the business that is available for discretionary purposes, such as dividends and strategic investments. EBITDA is defined as net income before interest income (expense), income taxes, depreciation, and amortization. We believe EBITDA provides a useful supplemental measure of operating performance and is helpful to investors in evaluating our GAAP results. Non-GAAP Measures The following table provides a reconciliation of net cash provided by (used in) operating activities to Adjusted CFFO, and net cash provided by operating activities margin as a percentage of total net revenue to Adjusted CFFO Margin, net cash provided by (used in) operating activities to Free Cash Flow, and net income to EBITDA, in each case, the most directly comparable financial measure calculated in accordance with generally accepted accounting principles in the United States (“GAAP”): NM: Not meaningful Cautionary Statement Regarding Forward-Looking Statements This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, including statements regarding the financial position, business strategy, and the plans and objectives of management for future operations of MarketWise. These forward-looking statements generally are identified by the words “believe,” “project,” “expect,” “anticipate,” “estimate,” “intend,” “strategy,” “future,” “opportunity,” “plan,” “may,” “should,” “will,” “would,” “will be,” “will continue,” “will likely result,” “target,” and similar expressions, but the absence of these words does not mean that a statement is not forward-looking. Forward-looking statements are predictions, projections, and other statements about future events that are based on current expectations and assumptions and, as a result, are subject to risks and uncertainties. Many factors could cause actual future events to differ materially from the forward-looking statements in this press release, including, but not limited to: our ability to attract new subscribers and to persuade existing subscribers to renew their subscription agreements with us and to purchase additional products and services from us; our ability to adequately market our products and services, and to develop additional products and product offerings; our ability to manage our growth effectively, including through acquisitions; failure to maintain and protect our reputation for trustworthiness and independence; our ability to attract, develop, and retain capable management, editors, and other key personnel; our ability to grow market share in our existing markets or any new markets we may enter; adverse or weakened conditions in the financial sector, global financial markets, and global economy; current macroeconomic events, including heightened inflation, rise in interest rates and the potential for an economic recession; failure to comply with laws and regulations or other regulatory action or investigations, including the Investment Advisers Act of 1940, as amended; our ability to respond to and adapt to changes in technology and consumer behavior; failure to successfully identify and integrate acquisitions, or dispose of assets and businesses; our public securities’ potential liquidity and trading; the impact of the regulatory environment and complexities with compliance related to such environment; our future capital needs; our ability to maintain an effective system of internal control over financial reporting, and to address and remediate existing material weaknesses in our internal control over financial reporting; and other factors beyond our control. The foregoing list of factors is not exhaustive. You should carefully consider the foregoing factors and the other risks and uncertainties described in the “Risk Factors” section of our filings with the U.S. Securities and Exchange Commission (the “SEC”). These filings identify and address other important risks and uncertainties that could cause actual events and results to differ materially from those contained in the forward-looking statements. New risks emerge from time to time. It is not possible for our management to predict all risks, nor can we assess the impact of all factors on our business or the extent to which any factor, or combination of factors, may cause actual results to differ materially from those contained in any forward-looking statements we may make. In light of these risks, uncertainties and assumptions, the forward-looking events and circumstances discussed in this press release may not occur and actual results could differ materially and adversely from those anticipated. Forward-looking statements speak only as of the date they are made. Readers are cautioned not to put undue reliance on forward-looking statements, and we assume no obligation and do not intend to update or revise these forward-looking statements, whether as a result of new information, future events or otherwise. We do not give any assurance that we will achieve our expectations. Table 1. Income Statement Table 2. Balance Sheet Table 3. Cash Flows MarketWise Investor Relations Contact Erik Mickels – Chief Operating and Financial Officer Email: [email protected] MarketWise Media Contact Email: [email protected] Charts accompanying this announcement are available at https://www.globenewswire.com/NewsRoom/AttachmentNg/2b62b631-2b24-46fa-9b50-f0405e4be292 https://www.globenewswire.com/NewsRoom/AttachmentNg/2b4a0b1b-dd8e-44c1-8cca-7c1ed9256bec https://www.globenewswire.com/NewsRoom/AttachmentNg/5bd6296f-7a51-439a-93fb-cf390f778f55 https://www.globenewswire.com/NewsRoom/AttachmentNg/193eb7bb-b7cd-4128-8e20-6bcb3df4c66e

BALTIMORE, Aug. 07, 2025 (GLOBE NEWSWIRE) -- MarketWise, Inc. (NASDAQ: MKTW) (“MarketWise” or the “Company”), a leading multi-brand digital subscription services platform that provides premium financial research, software, education, and tools for self-directed investors, today reported financial results for second quarter 2025.(1) Second Quarter 2025 Highlights(1)(2) Total net revenue was $80.0 million in the second quarter 2025(2) Total Billings were $58.2 million in second quarter 2025, a year-over-year increase of 10% on an adjusted basis Net income was $15.3 million in second quarter 2025 Cash from Operating Activities was $17.8 million in second quarter 2025, an improvement of $21.6 million compared to second quarter 2024 Cash and cash equivalents were $69.1 million as of June 30, 2025, and no debt outstanding Announced on August 1, 2025 quarterly and special dividend totaling $0.40 per Class A share MarketWise CEO Dr. David Eifrig commented, “I am delighted by the results for the quarter as our teams continue to deliver against our strategic priorities of growth, efficiency, and new business. I see meaningful contributions from everywhere in the Company and could not be prouder of the dedication of our 400+ employees as we provide world-class financial research and tools to our millions of engaged subscribers.” Eifrig continued, “The strength of our business model was displayed during the second quarter as the company generated Cash from Operating Activities of over $17 million and Adjusted CFFO Margins of over 30%. When we are executing well, our business is a cash generating machine, with virtually no CAPEX needed. And while our Billings were down a bit sequentially from the positive Q1 results, our Q2 Billings were up over 10% year over year, when adjusted to exclude the second quarter 2024 Billings of Legacy Research. Furthermore, Q3 is off to a good start with July Billings meaningfully exceeding the average monthly Billings for Q2. “At a more detailed level, our average revenue per user, or ARPU, continues to be strong which evidences the value our customers see in our products and our ability to monetize our installed base. In addition to driving ARPU higher, we are also focused on increasing the number of paid subscribers. We are developing exciting initiatives to increase customer acquisition and improve engagement and retention.” Eifrig concluded, “From a FY 2025 Guidance perspective, I am pleased to report that we are on track to achieve the FY 2025 Targets we communicated earlier this year. Lastly, our balance sheet remains strong with $69 million of cash, and no debt, enabling us to deliver on our capital allocation plans: rewarding our shareholders with an attractive yield, opportunistically buying back shares, and investing sensibly in our business.” Our summary results and selected financial data are as follows: The chart below further illustrates CFFO and Billings trends over the last several quarters: Balance Sheet and Capital Structure As of June 30, 2025 the consolidated Cash balance was $69.1 million as compared with $97.9 million at December 31, 2024. The decline in cash balances is primarily due to the dividends and planned tax distribution payments which occurred during the first half of the year, partially offset by Cash from Operating Activities of $17.8 million. For the second half of 2025, we expect tax distribution payments to decline significantly compared to the $32.8 million of tax distribution payments in the first half. As such, we expect cash balances at the end of the year to be materially consistent with the cash balances at June 30, 2025, assuming current trends. For the six months ended June 30, 2025, interest income earned totaled $1.7 million. As previously announced, the Board of Directors authorized a stock repurchase program of our Class A common stock. Since April, the Company has repurchased 117,673 shares for $1.9 million. MarketWise Inc.’s Class A common stock trades on the Nasdaq Global Market under the symbol "MKTW." On April 2, 2025, the Company effected a 1-for-20 reverse stock split. As of June 30, 2025, the Company had 2,357,128 Class A common shares and 13,612,641 Class B common shares issued and outstanding, totaling 15,969,769 Class A and Class B common shares on a post-split basis. Net Income attributable to noncontrolling interests on the Income Statement is primarily associated with these B shares and is a result of our corporate structure. As previously announced, on July 31, 2025, the Board of Directors declared a quarterly cash dividend to holders of Class A common stock of $0.20 per share. A comparable distribution of $0.20 per unit was also approved to holders of MarketWise, LLC units. The Company also previously announced a special dividend to shareholders of Class A common stock of $0.20 per share. The regular dividend, distribution, and the special dividend will be paid on September 25, 2025. The Record Date is August 15, 2025. Full Year 2025 Targets Historically, the Company has not provided forward-looking information partially due to the inherent variability in our business. However, notwithstanding the variability in our business, we believe it is useful to provide investors with a line of sight into what we believe is the general direction of the business. These forward-looking Targets are based on trends and market conditions as they exist currently, and actual results may differ materially. Based on current projections and trends, we expect to meet or exceed the Targets previously disclosed. Selected FY 2025 Targets, as originally disclosed, are as follows: Billings are estimated to increase by 20% compared to the annualized 2H 2024 Billings, or approximately $250 million. Cash from Operating Activities and Free Cash Flow are estimated to be approximately $30 million, or over a $50 million improvement compared to FY 2024. Dividends to Class A shareholders are estimated to be approximately $1.60 to $1.80 per share. This total includes both the recurring quarterly dividends (currently $0.20 per quarter) as well as additional dividends related to excess tax distributions. About MarketWise Founded with a mission to level the playing field for self-directed investors, today MarketWise is a leading multi-brand subscription services platform providing premium financial research, software, education, and tools for investors. With more than 25 years of operating history, MarketWise serves a community of millions of free and paid subscribers. MarketWise’s products are a trusted source for high-value financial research, education, actionable investment ideas, and investment software. MarketWise is a 100% digital, direct-to-customer company offering its research across a variety of platforms including mobile, desktops, and tablets. MarketWise has a proven, agile, and scalable platform and our vision is to become the leading financial solutions platform for self-directed investors. Key Business Metrics and Non-GAAP Financial Measures In this release we discuss certain key business metrics, which we believe provide useful information about the Company’s business and the operational factors underlying the Company’s financial performance. We are not aware of any uniform standards for calculating these key metrics, which may hinder comparability with other companies who may calculate similarly titled metrics in a different way. Billings are defined as amounts invoiced to customers. Paid Subscribers are defined as the total number of unique subscribers with at least one paid subscription at the end of the period. Average revenue per user or ARPU is defined as the trailing four quarters of net Billings divided by the average number of quarterly total Paid Subscribers over that period. In addition to our results determined in accordance with GAAP, we believe that the below non-GAAP financial measures are useful in evaluating operating performance. We use the below non-GAAP financial measures, collectively, to evaluate our ongoing operations and for internal planning and forecasting purposes. We believe that non-GAAP financial information, when taken collectively, may be helpful to investors because it provides consistency and comparability with past financial performance. This non-GAAP financial information is presented for supplemental informational purposes only and should not be considered a substitute for financial information presented in accordance with GAAP, and may be different from similarly titled non-GAAP measures used by other companies. A reconciliation is provided below for each non-GAAP financial measure to the most directly comparable financial measure stated in accordance with GAAP. Investors are encouraged to review the related GAAP financial measures and the reconciliations of these non-GAAP financial measures to their most directly comparable GAAP financial measures. Management uses these non-GAAP measures internally to evaluate performance and make operating decisions, and we believe they provide a meaningful perspective to investors when used in conjunction with our GAAP results. These non-GAAP measures have limitations as analytical tools, and should not be considered in isolation or as substitutes for analysis of other GAAP financial measures, such as cash flow from operations, operating cash flow margin, and net income. Some of the limitations of using these non-GAAP measures are that these metrics may be calculated differently by other companies in our industry. Adjusted CFFO is defined as cash flow from operations (“CFFO”) plus or minus any non-recurring items. Adjusted CFFO Margin is defined as Adjusted CFFO as a percentage of Billings. We believe that Adjusted CFFO and Adjusted CFFO Margin are useful indicators that provide information to management and investors about our ability to generate cash, and for internal planning and forecasting purposes. We expect Adjusted CFFO and Adjusted CFFO Margin to fluctuate in future periods as we invest in our business to execute our growth strategy. These activities, along with any non-recurring items as described above, may result in fluctuations in Adjusted CFFO and Adjusted CFFO Margin in future periods. Free Cash Flow is defined as net cash provided by (used in) operating activities less capital expenditures. We define capital expenditures as purchases of property and equipment plus capitalized software development costs. Acquisitions are not included in capital expenditures. We believe Free Cash Flow is a useful indicator that provides information to management and investors about the cash generated by the business that is available for discretionary purposes, such as dividends and strategic investments. EBITDA is defined as net income before interest income (expense), income taxes, depreciation, and amortization. We believe EBITDA provides a useful supplemental measure of operating performance and is helpful to investors in evaluating our GAAP results. Non-GAAP Measures The following table provides a reconciliation of net cash provided by (used in) operating activities to Adjusted CFFO, and net cash provided by operating activities margin as a percentage of total net revenue to Adjusted CFFO Margin, net cash provided by (used in) operating activities to Free Cash Flow, and net income to EBITDA, in each case, the most directly comparable financial measure calculated in accordance with generally accepted accounting principles in the United States (“GAAP”): Cautionary Statement Regarding Forward-Looking Statements This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, including statements regarding the financial position, business strategy, and the plans and objectives of management for future operations of MarketWise. These forward-looking statements generally are identified by the words “believe,” “project,” “expect,” “anticipate,” “estimate,” “intend,” “strategy,” “future,” “opportunity,” “plan,” “may,” “should,” “will,” “would,” “will be,” “will continue,” “will likely result,” “target,” and similar expressions, but the absence of these words does not mean that a statement is not forward-looking. Forward-looking statements are predictions, projections, and other statements about future events that are based on current expectations and assumptions and, as a result, are subject to risks and uncertainties. Many factors could cause actual future events to differ materially from the forward-looking statements in this press release, including, but not limited to: our ability to attract new subscribers and to persuade existing subscribers to renew their subscription agreements with us and to purchase additional products and services from us; our ability to adequately market our products and services, and to develop additional products and product offerings; our ability to manage our growth effectively, including through acquisitions; failure to maintain and protect our reputation for trustworthiness and independence; our ability to attract, develop, and retain capable management, editors, and other key personnel; our ability to grow market share in our existing markets or any new markets we may enter; adverse or weakened conditions in the financial sector, global financial markets, and global economy; current macroeconomic events, including heightened inflation, rise in interest rates and the potential for an economic recession; failure to comply with laws and regulations or other regulatory action or investigations, including the Investment Advisers Act of 1940, as amended; our ability to respond to and adapt to changes in technology and consumer behavior; failure to successfully identify and integrate acquisitions, or dispose of assets and businesses; our public securities’ potential liquidity and trading; the impact of the regulatory environment and complexities with compliance related to such environment; our future capital needs; our ability to maintain an effective system of internal control over financial reporting, and to address and remediate existing material weaknesses in our internal control over financial reporting; and other factors beyond our control. The foregoing list of factors is not exhaustive. You should carefully consider the foregoing factors and the other risks and uncertainties described in the “Risk Factors” section of our filings with the U.S. Securities and Exchange Commission (the “SEC”). These filings identify and address other important risks and uncertainties that could cause actual events and results to differ materially from those contained in the forward-looking statements. New risks emerge from time to time. It is not possible for our management to predict all risks, nor can we assess the impact of all factors on our business or the extent to which any factor, or combination of factors, may cause actual results to differ materially from those contained in any forward-looking statements we may make. In light of these risks, uncertainties and assumptions, the forward-looking events and circumstances discussed in this press release may not occur and actual results could differ materially and adversely from those anticipated. Forward-looking statements speak only as of the date they are made. Readers are cautioned not to put undue reliance on forward-looking statements, and we assume no obligation and do not intend to update or revise these forward-looking statements, whether as a result of new information, future events or otherwise. We do not give any assurance that we will achieve our expectations. Table 1. Income Statement Table 2. Balance Sheet Table 3. Cash Flows MarketWise Investor Relations Contact Erik Mickels – Chief Operating and Financial Officer Email: [email protected] MarketWise Media Contact Email: [email protected] A chart accompanying this announcement is available at https://www.globenewswire.com/NewsRoom/AttachmentNg/e93781a2-0d77-403b-b311-49dca64faa14