Getty Images Holdings, Inc. Q2 FY2025 earnings call

• Strong growth in annual subscription business with gains across premium access, Unsplash+, and demand for video, news, and sport content. Corporate growth accelerated and media returned to growth despite production/entertainment challenges. Agency business remained soft due to ad industry challenges. - Sport coverage was strong with exclusive imagery from Formula 1, PGA Championship, etc. Entertainment coverage included Coachella, Met Gala, etc. News saw expansion of Bloomberg partnership. Production business supported film/TV productions. VisualGPS insights platform provided data-backed guidance. AI suite upgraded and bundles launched into image subscriptions. - Merger with Shutterstock: Shutterstock shareholders approved the merger, working with regulators for approvals, expected to close by end of 2025.

Second quarter revenue for 2025 was $234.9 million, with reported growth of 2.5% and 1.8% on a currency-neutral basis. Corporate and media represent roughly 58% and 29% of total revenue, respectively. Corporate had high single-digit growth, media had low single-digit growth. Annual subscription revenue was 53.5% of total revenue, up from 52.9% in Q2 of last year, and grew by 3.7% or 3% on a currency-neutral basis. Creative revenue was $130.8 million, down 5.1% year-on-year primarily due to agency weakness. Editorial revenue was $88.3 million, up 5.6% year-on-year. Other revenue was $15.7 million, an increase from Q2 2024, driven by multiyear creative content deals with AI rights.

• Full-year 2025 revenue anticipated $931 million to $968 million, down 0.9% to up 3.1% year-on-year, currency-neutral 1% decrease to 3% increase. - Adjusted EBITDA expected $277 million to $297 million, down 7.6% to 1.2% year-on-year, currency-neutral 7.9% decrease to 1.4% decrease. - Guidance reflects odd/even year editorial events, production disruptions, Hollywood strikes, and $8 million in one-off SG&A increases for SOX acceleration efforts (largely in Q2-Q4 2025).

• Regulatory review of merger with Shutterstock. - Uncertainties from global macroeconomic conditions and tariffs. - Litigation with Stability AI, including differences in jurisdictional outcomes (e.g., dropping of claims in U.K. due to lack of training facts in that jurisdiction).

Q: Mark Zgutowicz asked about top line, subscription mix, and agency vs. a la carte.

A: Jennifer Leyden discussed creative decline due to agency, subscription growth from e-commerce, and that agency weakness impacts a la carte on the creative side.

Q: Jake (on behalf of Ron Josey) asked about subscription mix shift and litigation with Stability AI.

A: Jennifer Leyden talked about subscription growth from e-commerce and premium access, and Craig Peters discussed litigation differences between jurisdictions, noting dropping of U.K. claims due to lack of training facts there while continuing with U.S. case.