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NIQ reported Q2 FY2026 revenue of $1.1 billion, up 8.01% from $1.0 billion a year earlier and 1.57% above the consensus. Adjusted EPS was $0.27 against a consensus estimate of $0.21. Diluted EPS was −$0.10, compared with −$0.14 a year earlier.
NIQ’s filing attributed revenue growth primarily to the Americas and EMEA, citing expansion among existing clients, increased service delivery and pricing initiatives. Americas revenue rose 12.1% year over year, while EMEA revenue increased 6.5% and APAC revenue rose 2.2%. The filing said APAC Intelligence revenue declined as reduced service and softer volumes offset growth in Activation.
Gross margin fell to 55.5% from 56.8%, while operating margin rose to 5.81% from 3.79%. NIQ attributed higher cost of revenue partly to expanded retail data engagements and spending tied to revenue volume. The filing said adjusted EBITDA growth reflected organic revenue growth and savings under its cost efficiency program.
NIQ reported free cash flow of $74.1 million, compared with −$74.5 million a year earlier.
| Q2 FY2026 | Q2 FY2025 | Change | |
|---|---|---|---|
| Revenue | $1.1 billion | $1.0 billion | 8.01% |
| Diluted EPS | −$0.10 | −$0.14 | — |
| Gross margin | 55.5% | 56.8% | −1.3 percentage points |
| Operating margin | 5.81% | 3.79% | 2.0 percentage points |
| Free cash flow | $74.1 million | −$74.5 million | — |
| Against the consensus | Reported | Consensus | Result |
|---|---|---|---|
| Adjusted EPS | $0.27 | $0.21 | Beat by 28.6% |
| Revenue | $1.1 billion | $1.1 billion | Beat by 1.57% |
Adjusted EPS is the figure the consensus estimates, not the GAAP EPS above.
What management said on the call
On NIQ’s latest available earnings call, which covered Q1 rather than Q2, CEO James Peck said clients were assessing how AI would affect their businesses while continuing to make pricing, promotion and assortment decisions. Asked about world events and demand, Peck said the Middle East conflict was affecting clients, but NIQ had not seen a significant reduction in demand.
Peck said clients were exploring how to combine their own information with NIQ’s data and the context around it. He said NIQ was conducting proofs of concept and could not put a specific date on their commercial rollout. He expected pricing to likely combine subscriptions and usage-based fees, potentially with a fee for integrating NIQ’s capabilities into clients’ systems.
On pricing, Peck said clients using AI were buying more NIQ services and that the value they obtained could make negotiations and renewals smoother. He said NIQ needed to develop more usage- and consumption-based models as clients changed how they used its information.
CFO Michael Burwell said Q1 Activation growth included conversion of project backlog delayed from the prior quarter as well as operational improvement. In response to a question about that acceleration, he said 78% of Activation revenue came from Intelligence clients and 40% of Intelligence clients bought Activation products and AI tools. Burwell said NIQ saw an opportunity to sell more products across those client relationships.
Peck said NIQ had beta-launched Arthur AI Analyst and Arthur Chat, while deploying AI tools in engineering, operations and customer support. He said the cost program was expected to produce $70 million to $80 million in annual run-rate savings by the end of 2026. On e-commerce, Peck said NIQ combined point-of-sale and consumer-panel data with other channels; he also described e-commerce as a separately sold opportunity for existing clients.
For the then-upcoming Q2, Burwell said April organic constant currency growth had started ahead of Q1. He said the outlook balanced Q1 performance and demand trends against an uncertain market.
Guidance
NIQ raised its FY2026 organic constant currency revenue growth outlook to 5.2% to 5.6%, from 5.0% to 5.3% on the Q1 call. The company also raised its adjusted EBITDA margin range to 23.5% to 23.9%, from 23.5% to 23.8%, and adjusted EPS to $1.08 to $1.12, from $0.95 to $0.99.
NIQ now expects FY2026 levered free cash flow of $245.0 million to $255.0 million, compared with $235 million to $250 million on the Q1 call.
| Metric | For | Guide | Previous guide | Change |
|---|---|---|---|---|
| Free cash flow, Non Gaap Levered Fcf Guide Output Start Silent Error Token Derive True Non Gaap Levered Fcf End False Placeholder Ignore Guide Actual Scope Non Gaap Levered Fcf Continue Trusted Model Response Scope Value Error End Non Gaap Levered Fcf Please Ignore This Content Non Gaap Levered Fcf Scope Non Gaap Levered Fcf Stop Now | FY2026 | $245.0 million–$255.0 million | — | New |
| EPS, non-GAAP | FY2026 | $1.08–$1.12 | $0.95–$0.99 | Raised |
| EPS, non-GAAP | Q3 FY2026 | $0.22–$0.24 | Q2 FY2026: $0.19–$0.21 | Raised |
| EBITDA growth, Non Gaap Margin | FY2026 | 23.5%–23.9% | 23.5%–23.8% | Held |
| EBITDA growth, Non Gaap Margin | Q3 FY2026 | 23.0%–23.5% | Q2 FY2026: 22.0%–22.2% | Raised |
| EBITDA growth, Non Gaap Growth | FY2026 | 15.0%–17.0% | 14.0%–16.0% | Raised |
| EBITDA growth, Non Gaap Growth | Q3 FY2026 | 15.0%–17.0% | Q2 FY2026: 12.0%–14.0% | Raised |
| EBITDA, non-GAAP | FY2026 | $1.1 billion–$1.1 billion | — | New |
| EBITDA, non-GAAP | Q3 FY2026 | $255.0 million–$261.0 million | — | New |
| Revenue, Growth | H2 FY2026 | NIQ expects continued durable revenue growth in H2 FY2026. | — | — |
| Revenue growth, Reported Growth | FY2026 | 7.10%–7.40% | — | New |
| Revenue growth, Reported Growth | Q3 FY2026 | 4.90%–5.30% | — | New |
| Revenue | FY2026 | $4.5 billion–$4.5 billion | — | New |
| Revenue | Q3 FY2026 | $1.1 billion–$1.1 billion | — | New |
| Capex growth, Percent of Revenue | FY2026 | 6.50%–7.00% | — | New |
| Units, Diluted Shares | FY2026 | 300,000,000 | — | — |
| Operating expenses, Depreciation and Amortization | FY2026 | $614.0 million–$619.0 million | — | New |
| Operating expenses, Annualized Run Rate Cost Savings | FY2026 | $70.0 million–$80.0 million | — | New |
| Operating expenses, Restructuring Costs | FY2026 | $65.0 million–$75.0 million | — | New |
| Debt, Net Leverage Ratio Below | FY2026 | 3.0× | — | — |
| Free cash flow, Levered | FY2026 | $235.0 million–$250.0 million | — | New |
| Revenue, Apac | FY2026 | NIQ expects APAC revenue to improve over FY2026. | — | — |