Verve Group’s shares tumbled 16.39% on Thursday after the digital advertising company reported second-quarter revenue growth but warned of ongoing macroeconomic challenges in the sector.
The company, which operates under Verve SE, posted a 6.5% increase in like-for-like revenue to €152.3 million for the quarter. Gross margin expanded to 40.0% from 33.1% a year earlier, while adjusted EBITDA rose to €30.1 million. However, the adjusted EBITDA margin narrowed to 19.8%, down 0.8 percentage points year-over-year, reflecting margin pressure amid a more selective advertising market.
Despite the mixed financial performance, Verve Group reaffirmed its 2026 guidance, citing expectations of an acceleration in the second half of the year and improved sales team productivity. CEO Remco Westermann acknowledged that Q2 2026 was more challenging than anticipated due to macroeconomic headwinds and a slower-than-expected rebound in ad spend on the company’s platform.
Westermann emphasized that the company’s technology and sales investments remain on track, stating that maintaining growth in the current environment validates the strategic direction. The stock’s sharp decline underscores investor concerns about near-term demand dynamics in digital advertising, even as Verve Group projects a rebound in the latter half of the year.
