ZipRecruiter, Inc. (NYSE: ZIP) is a technology company headquartered in Santa Monica, California, founded in 2010 by Ian Siegel, Joe Edmonds, Ward Poulos, and Will Redd. The company operates a two-sided online employment marketplace that connects job seekers with employers, particularly small and medium-sized businesses. Its platform uses AI-driven smart ...ZipRecruiter, Inc. (NYSE: ZIP) is a technology company headquartered in Santa Monica, California, founded in 2010 by Ian Siegel, Joe Edmonds, Ward Poulos, and Will Redd. The company operates a two-sided online employment marketplace that connects job seekers with employers, particularly small and medium-sized businesses. Its platform uses AI-driven smart matching technology to streamline the hiring process, allowing employers to post jobs to multiple job boards with a single submission, and providing job seekers with personalized job recommendations and easy application tools.
Business and Products: The core product is a web-based hiring platform that includes job distribution, resume database access, and candidate management tools. The company also offers reseller programs, ATS integrations, and email alert programs. Additionally, ZipRecruiter has launched 'Breakroom' in the U.S., a feature to provide job seekers with community and insights.
Financials: Financially, ZipRecruiter experienced significant growth, with revenue reaching US$418.1 million in 2020. The company went public in May 2021. Recent financial metrics (TTM) show a market cap of ~$443 million, a price-to-sales ratio of 0.98, and a gross profit margin of 89.1%. The company has a net profit margin of 6.2% and a negative return on equity (-41.4%), indicating a challenging financial position. Despite this, it maintains a strong current ratio of 3.03, suggesting good short-term liquidity.
Key People: The leadership team includes Ian Siegel as CEO and Co-Founder, Dave Travers as President and Interim CFO, and Amy Garefis as EVP and Chief People Officer. The board of directors includes the founders.
Employees and Global Presence: While the company reports 800 full-time employees, other sources indicate a company size of 1,001-5,000, reflecting potential rounding or fluctuations. ZipRecruiter has offices in the U.S., Canada, the U.K., and Israel, serving over 2.8 million businesses and 110 million job seekers since its founding.
Future Outlook: The company aims to simplify the job market and improve hiring outcomes through technology. It continues to innovate, focusing on AI to enhance matching efficiency and expand its marketplace.
Operator: Hello, everyone. Thank you for joining us, and welcome to the ZipRecruiter First Quarter 2026 Earnings Conference Call. [Operator Instructions] I will now hand the conference over to Emilio Sartori, Head of Investor Relations. Emilio, please go ahead.
Emilio Sartori: Thank you, operator, and good afternoon. Thank you for joining us for our earnings conference call, during which we will discuss ZipRecruiter's performance for the first quarter ended March 31, 2026, and our guidance for the second quarter of 2026. Joining me on the call today are Ian Siegel, Co-Founder and CEO; and David Travers, President and Interim CFO. Before we begin, please be reminded that forward-looking statements made today are subject to risks and uncertainties relating to future events and/or the future financial performance of ZipRecruiter. Actual results could differ materially from those anticipated in these forward-looking statements. A discussion of some of the risk factors that could cause actual results to differ materially from any forward-looking statements can be found in ZipRecruiter's quarterly report on Form 10-Q for the quarter ended March 31, 2026, which is available on our Investor website and the SEC's website. The forward-looking statements in this conference call are based on the current expectations as of today, and ZipRecruiter assumes no obligation to update or revise them, whether as a result of new developments or otherwise. In addition, during today's call, we will discuss non-GAAP financial measures. These non-GAAP financial measures should be considered in addition to, not as a substitute for, or in isolation from GAAP results. Reconciliations of the non-GAAP metrics to the nearest GAAP metrics are included in ZipRecruiter's shareholder letter and in our Form 10-Q. And now I will turn the call over to Ian.
Ian Siegel: Thank you. Good afternoon to everyone joining us today. ZipRecruiter opened 2026 with a strong first quarter, delivering revenue of $107.5 million and beating the midpoint of our guidance. Net loss was $4.7 million, and adjusted EBITDA came in above the high end of our guidance range at $9.7 million. At ZipRecruiter, our mission is to actively connect people to their next great opportunity. We do that by playing the role of active matchmaker. Increasing direct meaningful conversations between employers and job seekers is a central focus of our R&D. And in Q1, we saw engagement increase across multiple metrics. First, we launched our next-generation search and matching AI engine in Q1. This represents a massive leap forward in how we drive more conversations between employers and job seekers. This engine delivers 2 major upgrades: a step change in how we assess candidate qualifications; and a new level of precision in interpreting job seeker intent. The results were immediate. Application volume increased by 37% for job seekers using the new engine. While only live for a subset of job seekers, we expect a full rollout by …