Banzai Q1 Revenue Dips 4% to $2.7M while Net Loss Widens
BNZI•First quarter revenue fell 4% sequentially to $2.7 million with gross margin at 80.7%, while net loss widened to $8.4 million, up from $5.0 million in Q4. Banzai reduced debt by $4.5 million year to date and signed an LOI to acquire ConnectAndSell assets to expand its AI platform.
1. First Quarter Financial Results
Banzai reported Q1 revenue of $2.7 million, a 4% sequential decline from Q4 2025 and a 20.2% year-over-year drop, with gross profit of $2.2 million and a margin of 80.7%. Net loss widened to $8.4 million from $5.0 million in the prior quarter, and Adjusted EBITDA loss increased to $1.9 million.
2. Balance Sheet Improvements
During Q1, the company reduced total debt by $4.5 million, bringing year-to-date debt reduction to $7.4 million through cash payments and $3.8 million of debt-to-equity conversions. Stockholders’ equity held steady at $8.1 million, supported by a $3.3 million capital infusion via SEPA and ATM facilities.
3. Acquisition and Strategic Outlook
Banzai signed a non-binding LOI to acquire ConnectAndSell assets to broaden its AI-powered sales and marketing platform and boost future revenue streams. Management plans further cost optimization, enterprise pipeline expansion, and targeted acquisitions to drive operational discipline and long-term profitability.
