Giftify Inc. (NASDAQ: GIFT) reported second-quarter results showing why transaction growth and revenue growth can tell different stories in the gift-card resale market. The owner of CardCash reported $45.5 million in gross billings, up 26.2%, while net sales increased 4.0% to $21.7 million. Its August 3 release attributes that gap to a larger share of transactions handled as an agent. [S01]
The distinction matters commercially. A marketplace can process more customer spending without recording the whole purchase price as its own revenue. For Giftify, understanding the mix is essential to assessing both the expansion and the margin improvement.
The business behind the numbers
Giftify operates CardCash, a secondary market where consumers and businesses buy and sell gift cards, alongside Restaurant.com, its dining-deals platform. Its corporate portfolio also includes restaurant ordering and marketing services. The company therefore connects stored value with several routes to customer spending, rather than relying on a single consumer gift-card storefront. [S02]
The latest figures cover the three months ended June 30, 2026. All amounts below are US dollars, rounded as presented in the announcement. [S01]
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| Measure | Q2 2026 | Q2 2025 |
|---|---|---|
| Gross billings | $45.5 million | $36.1 million |
| Net sales | $21.7 million | $20.9 million |
| Gross profit | $4.4 million | $3.9 million |
| Gross margin | 20.2% | 18.4% |
| Net loss | $1.2 million | $2.6 million |
CardCash gift-card revenue
Reported GAAP revenue in the two second quarters.
USD
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Source
Revenue combines gross principal transactions and net agent commissions. It is not the face value of cards traded or group gross billings.
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| Category | CardCash gift-card revenue |
|---|---|
| Q2 2025 | 20,294,650 USD |
| Q2 2026 | 21,263,311 USD |
More commissions, a different revenue profile
Giftify's regulatory filing explains the underlying mechanics. When it owns and resells card inventory as principal, it records the full sale and bears inventory risk. When a supplier delivers the card and Giftify acts as agent, it records only its retained fee or commission. [S03]
Agency revenue rose to $1.60 million from $1.09 million. The filing links that change to cruise-related gift cards, product mix and the number of orders handled on an agency basis. That supplies a more specific explanation than attributing the results simply to stronger demand. [S03]
Giftify revenue from agent transactions
Commissions recognized net when Giftify acts as agent.
USD
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Source
Net commission revenue, not gross customer purchases. The filing table is used; a one-dollar discrepancy in the narrative change is not repeated.
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| Category | Net agent-transaction revenue |
|---|---|
| Q2 2025 | 1,093,682 USD |
| Q2 2026 | 1,603,543 USD |
The commercial implication is a route to handling transactions without buying the underlying inventory. However, a higher reported gross-margin percentage can also reflect the different accounting denominator. It should not automatically be read as proof that Giftify earns more on every customer dollar spent.
A smaller loss does not resolve the funding question
Giftify also reported positive Modified EBITDA of $126,036. This is a company-defined non-GAAP measure, not net profit or operating cash flow. Lower share-based compensation helped narrow the net loss. [S01]
The quarterly filing still identifies substantial doubt about the company's ability to continue as a going concern, citing historical losses and negative operating cash flows. It says continued operations depend on additional capital and ultimately sustainable revenues and profitability. [S03]
Giftify first-half operating cash flow
Cash provided by or used in operations over six months.
USD
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Source
Negative value means cash used. Six-month totals differ from the quarterly earnings period and from company-defined Modified EBITDA.
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| Category | Net operating cash flow |
|---|---|
| First half 2025 | 289,951 USD |
| First half 2026 | -310,447 USD |
For gift-card distributors and marketplace partners, the results consequently present two developments together: greater transaction throughput and a business still working toward financial sustainability. The agency mix helps explain the first. It does not, by itself, settle the second.
In this article
Suzie Elis
Suzie Elis covers gift card products, digital gifting and distribution for Gift Card News.