GAAP net loss of $10.8 million reflects approximately $5.2 million of share-based compensation and $3.4 million of one-time business-combination expenses; adjusted EBITDA loss was $3.2 million

ARR increased 19% year-over-year to approximately $7.0 million, while revenue increased 12% year-over-year and gross margin expanded to approximately 86%

Recent Fortune 500 agreement, expanded customer renewal, public-sector activity and strategic collaborations reflect early execution against Cyabra’s post-listing priorities: recurring revenue growth, scalable distribution, deeper platform adoption

NEW YORK, May 15, 2026 (GLOBE NEWSWIRE) -- Cyabra, Inc. (Nasdaq: CYAB) ("Cyabra" or the "Company"), an AI-powered digital trust platform that helps governments and enterprises detect coordinated manipulation and protect digital trust and authenticity, today announced financial results for the first quarter ended March 31, 2026 and provided a corporate update.

“Cyabra entered the public markets with clear commercial momentum, expanding customer adoption and a growing recurring revenue foundation,” said Dan Brahmy, Cyabra Co-Founder and Chief Executive Officer. “During the first quarter, revenue increased 12% year-over-year to approximately $1.4 million, annual recurring revenue (“ARR”) increased 19% year-over-year to approximately $7.0 million, and gross profit increased by 15% representing gross margins of about 86%, reflecting the strength of our high-margin platform model and the increasing relevance of our digital trust solutions across enterprise, public-sector and strategic collaboration channels. Since the beginning of the year, we have advanced several important commercial and strategic initiatives, including a major Fortune 500 consumer brand agreement, an expanded two-year customer renewal, strategic collaboration with Carahsoft, United Partners Network and Orchestra, and continued work with NATO StratCom COE. We have also focused on additional public-sector engagement designed to extend Cyabra’s reach into larger addressable markets.

These developments reflect the execution of our strategy to expand recurring revenue, deepen platform adoption and broaden distribution through strategic collaborations.

The first quarter marked Cyabra’s transition from a private-company to a publicly traded company. Cyabra has spent the last seven years building the technology, evidence corpus, and institutional credibility required to operate in environments where trust, security, and public perception are under attack. In late March 2026, we completed our business combination and began trading on Nasdaq. Our Q1 results reflect revenue and margin growth while also including certain non-cash and one-time transaction-related costs associated with that milestone, principally $5.2 million of share-based compensation expense and $3.4 million of one-time expenses tied to the business combination. Those costs should be viewed in the context of the operating momentum we are building: a recurring-revenue platform designed to help organizations distinguish authentic activity from coordinated manipulation by analyzing actors, behaviors and content, and translating that intelligence into actionable insights.

Our strategy is to continue expanding recurring revenue through new customers, renewals, upsells, and broader platform adoption; convert strategic collaborations into scalable distribution; and continue enhancing Cyabra’s capabilities across authenticity analysis, narrative intelligence, synthetic media analysis and evidence-based mitigation,” Mr. Brahmy continued. “Our work supports organizations including NATO, Korea’s Ministry of Foreign Affairs, and multiple global enterprises, and our research has been cited across thousands of media reports covering some of the world’s high-profile examples of online manipulation. We are focused on positioning Cyabra as a leading digital trust platform that brings authenticity assessment, coordination detection, synthetic media analysis, impersonation monitoring and evidence-based mitigation into a unified platform for institutions. Our objective is to help organizations assess authenticity, identify coordinated activity, and determine what requires a proportionate response.”

First Quarter 2026 Financial Highlights and Subsequent Commercial Developments

• ARR increased 19% year-over-year to approximately $7.0 million as of March 31, 2026, compared to approximately $5.9 million as of March 31, 2025
• Revenue increased 12% year-over-year to approximately $1.4 million for the first quarter of 2026, compared to approximately $1.3 million for the first quarter of 2025
• Gross margin expanded to approximately 86% for the first quarter of 2026, compared to approximately 84% for the first quarter of 2025
• Secured a yearly agreement with a major Fortune 500 consumer brand supporting narrative analysis, proactive alerts, evidence-backed mitigation support and executive impersonation and fraud risk monitoring
• Signed expanded two-year customer renewal with a global entertainment management firm, expanding the scope of Cyabra's support to include real-time narrative and authenticity analysis, proactive threat alerts, impersonation monitoring and AI-generated misinformation monitoring
• NATO StratCom COE commissioned Cyabra to uncover AI-driven social media manipulation in a major 2026 report
• Announced collaboration with Carahsoft to deliver advanced disinformation detection solutions to the U.S. public sector
• Published analysis of an Iran-driven coordinated information operation that generated more than 145 million views online, with findings cited by The New York Times, Foreign Policy and additional international media outlets, demonstrating the scale and sophistication of coordinated manipulation activity across digital platforms
• Expanded public-sector footprint with a new European customer
• Announced strategic collaboration with Orchestra to deliver real-time brand safety at scale by combining Cyabra's AI-driven authenticity and narrative intelligence with Orchestra's communications and reputation expertise
• Announced strategic collaboration with United Partners Network to strengthen brand protection and combat disinformation across Europe
• Strengthened Board composition with the addition of leaders across national security, intelligence, diplomacy, public-company governance, cybersecurity, enterprise software and technology operations
• Completed business combination with Trailblazer Merger Corp. and commenced trading on Nasdaq under the ticker symbol "CYAB”
  

Recent Product Developments

Cyabra also continued to expand its platform capabilities with the launch of a new third-party integration scan flow, enabling customers to import and analyze data from leading social listening platforms directly in Cyabra, starting with Meltwater and Talkwalker. The new workflow is designed to allow customers to use Cyabra as an intelligence layer on top of existing social listening systems, helping teams better understand authenticity, narratives, authors, and visual content without replacing established workflows.

Cyabra also expanded the depth and reach of its analysis capabilities with support for Douyin and WeChat, significantly increasing coverage across the Chinese-language social platforms; conflicting-location detection on X -- formerly Twitter -- to help identify profiles displaying inconsistent location signals that may indicate inauthentic or state-coordinated activity; harmful content and emotion detection to provide greater insight into amplified content and related sentiment and contextual framing; and a new Authenticity Benchmark that helps customers determine whether observed levels of inauthentic behavior are typical or anomalous compared to similar environments.

Cyabra also introduced the News Claims Analysis module, a new capability that surfaces and analyzes claims circulating in news content and tracks how narratives move from online networks into mainstream media. The module is designed to give customers a structured view of how a narrative travels — from its origin in coordinated online activity through its absorption into traditional media channels — enabling earlier identification of narrative threats and more informed response decisions. News Claims Analysis represents a meaningful expansion of Cyabra's narrative intelligence capabilities and is part of the Company's broader strategy to unify authenticity analysis, coordination detection, synthetic media analysis and narrative intelligence into a single operating system for institutions.

First Quarter 2026 Results

Revenues for the three months ended March 31, 2026, were $1.4 million, an increase of $0.2 million, or 12%, compared to $1.3 million for the three months ended March 31, 2025. The increase was primarily attributable to revenue from new customers acquired during 2026 and increased revenue recognition from existing customers, which was partially offset by customers that did not renew their contracts in 2026.

Cyabra’s ARR was $7.0 million as of March 31, 2026, compared to $5.9 million as of March 31, 2025. While year-over-year revenue grew by 12%, our ARR saw a more substantial increase of 19%. This performance reflects a strong surge in booking activity from new customers during the latter part of the last year. Due to revenue recognition rules, these deals only contributed marginally to this quarter’s top line. The growth in ARR serves as a key leading indicator for the accelerated revenue we expect to realize in the coming year.

Gross profit for the quarter was $1.2 million, compared to $1.1 million in the prior-year period. Gross margin was over 86%, up from 84% in the first quarter of 2025, reflecting the Company's high-margin software model and continued efficiency in platform delivery.

Operating expenses were $13.0 million, compared to $5.1 million in the first quarter of 2025. The increase was primarily attributable to non-cash share-based compensation expense of $5.2 million and one-time expenses related to the business combination of $3.4 million.

Net loss for the three months ended March 31, 2026 was $10.8 million, an increase of $7.5 million, or 225%, compared to $3.3 million for the three months ended March 31, 2025, primarily as a result of share-based payment expenses of $5.2 million, and one-time non-recurring expenses of $3.4 million related to the business combination.

Adjusted EBITDA loss was $3.2 million, compared to adjusted EBITDA loss of $2.6 million in the first quarter of 2025. In addition to our financial results determined in accordance with GAAP, we believe Adjusted EBITDA, as a non-GAAP measure, is useful in evaluating our operating performance. See the reconciliation of Net Loss to Adjusted EBITDA below.

As of March 31, 2026, Cyabra had approximately $3.1 million in cash and cash equivalents. During the quarter, the Company completed its business combination and entered the public markets as it continued to advance commercialization of its digital trust platform.

A reconciliation of GAAP to non-GAAP measures has been provided in the financial statement tables included in this press release. An explanation of these measures is also included below under the heading "Non-GAAP Financial Measures."

Market Opportunities and Strategic Priorities

Enterprises, governments and public figures increasingly need to identify inauthentic networks, synthetic content, impersonation risk, coordinated influence and narrative attacks before they cause reputational, operational or public-trust damage. Cyabra is executing against this need as the authenticity and intelligence layer that operates alongside leading social listening, media monitoring and investigative platforms — adding evidence-based analysis of actors, behaviors and content without replacing established workflows. With its solutions, Cyabra enables customers to assess authenticity, identify coordinated activity, and determine what requires a proportionate response.

Near-term priorities are focused on expanding recurring revenue, deepening adoption within existing customer relationships, converting strategic collaborations into scalable distribution, increasing penetration across enterprise and public-sector channels, and continuing to enhance Cyabra’s capabilities across narrative intelligence, authenticity analysis, synthetic content detection, impersonation monitoring and evidence-based mitigation.

About Cyabra

Cyabra is an AI-powered digital trust platform that helps governments, enterprises and public figures detect coordinated manipulation, understand online narratives and protect trust and authenticity in digital environments. Cyabra analyzes actors, behaviors and content across digital platforms to reveal coordinated influence activity, assess authenticity and enable evidence-based mitigation. The Company's platform supports use cases across disinformation defense, brand protection, public-sector intelligence, impersonation risk, synthetic content analysis and narrative threat detection.

For more information please visit www.cyabra.com

Forward-Looking Statements

This press release contains forward-looking statements within the meaning of the United States Private Securities Litigation Reform Act of 1995. Forward-looking statements include all statements that are not historical statements of fact and statements regarding Cyabra's intent, belief or expectations, including, but not limited to, statements regarding Cyabra's future results of operations and financial position, annual recurring revenue, expected revenue recognition, customer adoption, commercial momentum, platform capabilities, strategic collaborations, product development, market opportunity, competitive position, business strategy, public-company execution priorities and long-term stockholder value.

Some of these forward-looking statements can be identified by the use of forward-looking words, including "may," "should," "expect," "intend," "will," "estimate," "anticipate," "believe," "predict," "plan," "target," "project," "could," "would," "continue," "forecast" or the negatives of these terms or variations of them or similar expressions.

These statements relate to future events and involve known and unknown risks, uncertainties and other factors which may cause actual results, performance or achievements to be materially different from any future results, performance or achievements expressed or implied by the forward-looking statements. Such factors include those set forth in Cyabra's filings with the Securities and Exchange Commission (the “SEC”). These risks and uncertainties include, among others, those described under the heading “Risk Factors” in Cyabra’s filings with the SEC. Prospective investors are cautioned not to place undue reliance on such forward-looking statements, which speak only as of the date of this press release. Cyabra undertakes no obligation to publicly update any forward-looking statement, whether as a result of new information, future events or otherwise, except as required by applicable law.

Contact

Investors: ir@cyabra.com | Media: pr@cyabra.com 

Non-GAAP Financial Measures

This release includes financial measures that are not prepared in accordance with U.S. GAAP. Management uses these non-GAAP measures internally to evaluate ongoing operating performance and believes they provide investors with additional insight when used as a supplement to GAAP measures. Non-GAAP measures should not be considered in isolation from, or as a substitute for, GAAP measures. A reconciliation of GAAP to non-GAAP measures is provided in the financial tables included in this release.

Cyabra uses annualized recurring revenues (“ARR”) as a performance metric in managing its business. Cyabra defines ARR as of a specific date as the annualized recurring revenue of signed term-based contracts from all customers with a term of at least 12 months. ARR is calculated by dividing the total contract value of each signed contract with a term of at least 12 months by the number of years in the term. ARR represents the annualized contract value for all contractually binding term-based contracts at the end of a period. Management uses ARR to understand customer trends and the overall health of Cyabra’s business, helping it to formulate strategic business decisions

In addition to our financial results determined in accordance with GAAP, we believe Adjusted EBITDA, as a non-GAAP measure, is useful in evaluating our operating performance. We use Adjusted EBITDA to evaluate our ongoing operations. We believe that this non-GAAP financial measure, when taken together with the corresponding GAAP financial measures, provides meaningful supplemental information regarding our performance by excluding certain items that may not be indicative of our business, results of operations or outlook. In particular, we believe that the use of Adjusted EBITDA is helpful to our investors as it is a metric used by management in assessing our operating performance.

		For the three months ended March 31,
		2026				2025
Revenues		$	1,415			$	1,260
Cost of revenues			192				196
Gross profit			1,223				1,064
Operating costs and expenses
Research and development expenses			5,508				1,851
Sales and marketing expenses			1,255				1,736
General and administrative expenses			6,284				1,515
Total operating loss			(11,824	)			(4,038	)
Finance income			1,054				724
Loss before taxes on income			(10,770	)			(3,314	)
Taxes on income			-				-
Net loss for the period		$	(10,770	)		$	(3,314	)
Loss per share attributable to ordinary shareholders
Basic and diluted loss per share		$	(3.10	)		$	(1.47	)
Weighted average number of ordinary shares outstanding used in computation of basic and diluted loss per share			3,471,031				2,356,837

			March 31, 2026				December 31, 2025
Assets
Current assets
Cash and cash equivalents			$	3,122			$	294
Restricted cash				193				22
Accounts receivable				216				269
Other current assets				241				152
Total current assets				3,772				737
Non-current assets
Operating right-of-use asset				493				575
Property and equipment, net				137				146
Other assets				125				-
Total non-current assets				755				721
Total assets				4,527				1,458
Liabilities, redeemable convertible preferred shares and capital deficiency
Current liabilities
Trade accounts payable				2,484				1,775
Accrued expenses				4,700				476
Short term loans				2,237				5,768
Operating lease liability				390				380
Deferred revenues				2,288				2,816
Employees and related				2,944				1,298
Other current liabilities				1,180				94
Convertible notes				-				12,869
Liability with respect to warrants				142				-
Total current liabilities				16,365				25,476
Non-current liabilities
Operating lease liability				169				268
Long-term deferred revenues				41				115
Liability with respect to warrants				-				370
Total non-current liabilities				210				753
Total liabilities				16,575				26,229
Commitments and contingent liabilities
Redeemable convertible preferred shares:
Redeemable Preferred A and A-1 shares, NIS 0.01 par value: 0 and 607,373 shares authorized as of March 31, 2026 and December 31, 2025, respectively, 0 and 515,186 issued and outstanding as of March 31, 2026 and December 31, 2025, respectively. Aggregate liquidation preference of $0 and $7,180 as of March 31, 2026 and December 31, 2025, respectively; Redeemable Preferred A-2 and A-3 shares, NIS 0.01 par value: 0 and 596,056 shares authorized as of March 31, 2026 and December 31, 2025, respectively, and 0 and 388,739 issued and outstanding as of March 31, 2026 and December 31, 2025, respectively. Aggregate liquidation preference of $0 and $6,554 as of March 31, 2026 and December 31, 2025, respectively. Redeemable Convertible Preferred C and C-1 shares, NIS 0.01 par value: 0 and 803,963 shares authorized as of March 31, 2026 and December 31, 2025, respectively, and 0 and 233,001 issued and outstanding as of March 31, 2026 and December 31, 2025, respectively. Aggregate liquidation preference of $0 $3,446 as of March 31, 2026 and December 31, 2025, respectively.				-				15,268
Capital deficiency:
Series A Convertible Preferred Stock of Holdings, $0.0001 par value per share, 2,177 and zero shares outstanding as of March 31, 2026 and December 31, 2025, respectively				-				-
Series B Convertible Preferred Stock of Holdings, $0.0001 par value per share, 13,330 and zero shares outstanding as of March 31, 2026 and December 31, 2025, respectively				-				-
Series C Convertible Preferred Stock of Holdings, $0.0001 par value per share, 10,660 and zero shares outstanding as of March 31, 2026 and December 31, 2025, respectively				-				-
Class A common stock				2				2
Additional paid in capital				46,093				7,332
Accumulated deficit				(58,143	)			(47,373	)
Total capital deficiency				(12,048	)			(40,039	)
Total liabilities, redeemable convertible preferred shares and capital deficiency			$	4,527			$	1,458

		Three Months Ended
		March 31,
		2026				2025
		USD				USD
		thousands				thousands
Cash flows – operating activities
Net loss for the period		$	(10,770	)		$	(3,314	)
Adjustments:
Depreciation			14				14
Interest expense			173				-
Share based payments			4,208				1,389
Share based payments for advisory services			1,009				-
Exchange rate differences			32				15
Revaluation of financial liabilities accounted at fair value			(1,259	)			(701	)
Changes in operating assets and liabilities:
(Decrease) increase in other current assets			(25	)			27
Increase in accounts receivable			53				26
Increase (decrease) in trade accounts payable			709				157
Change in ROU asset and lease liability			(6	)			(19	)
(Decrease) increase in deferred revenues			(603	)			1,207
Increase in employees and related			1,645				46
Increase (decrease) in other current liabilities			2,222				(120	)
Net cash used in operating activities			(2,598	)			(1,273	)
Cash flows – investing activity
Purchase of property and equipment			(5	)			(12	)
Net cash used in investing activity			(5	)			(12	)
Cash flows – financing activities
Receipt of loans			2,655				1,371
Repayment of loans			(6,370	)			(312	)
Exercise of options and warrants			3				1
Cash received from Merger Agreement upon the effectiveness of the Business Combination			1,336				-
Proceeds from PIPE, net of transaction costs			8,000				-
Net cash provided by financing activities			5,624				1,060
Increase (decrease) in cash, cash equivalents and restricted cash			3,021				(225	)
Exchange rate differences on cash and cash equivalents and restricted cash			(22	)			(15	)
Cash, cash equivalents and restricted cash at the beginning of period			316				946
Cash, cash equivalents and restricted cash at the end of the period			3,315				706
Supplemental disclosures of cash flow information:
Interest paid		$	179			$	31
Supplemental disclosure of non-cash activity:
Conversion of redeemable preferred shares		$	15,268			$	-
Conversion of convertible notes		$	12,676			$	-
Conversion of warrant liability to equity		$	390			$	-
Cash, cash equivalent and restricted cash at the end of the period:
Cash and cash equivalents		$	3,122			$	688
Restricted cash		$	193			$	19

Non-GAAP Financial Measure

The Company uses Adjusted EBITDA as a non-GAAP financial measure in evaluating its operating performance. Adjusted EBITDA is not a financial measure calculated in accordance with GAAP and should not be considered as a substitute for net loss or any other financial measure calculated in accordance with GAAP. The Company believes Adjusted EBITDA provides useful supplemental information to investors and others in understanding and evaluating its operating results in the same manner as management.

Reconciliation of Net Loss to Adjusted EBITDA U.S. dollars in thousands
	Three Months Ended March 31, 2026				Three Months Ended March 31, 2025
Net loss	$	(10,770	)		$	(3,314	)
Depreciation and amortization	14				14
Income taxes	—				—
Finance income, net	(1,054		)		(724		)
EBITDA	$	(11,810	)		$	(4,024	)
Stock-based compensation expenses	5,217				1,389
Non-recurring expenses related to the Business Combination	3,438				—
Adjusted EBITDA	$	(3,155	)		$	(2,635	)

Footnotes:

(1) Represents non-cash charges associated with stock-based compensation expense, which is a significant recurring expense in the Company’s business and an important part of its compensation strategy.

(2) Represents non-recurring costs related to the Business Combination, including bonus expenses to several employees in connection with the Business Combination.

Source: Cyabra