FiscalNote stock faces debt pressure as strategic review continues

FiscalNote's board is reviewing strategic options, including possible divestitures of non-core assets, as the policy intelligence company faces significant balance-sheet pressure. The review had no announced timetable or assurance of a transaction in the Kalkine report published on October 28, 2026.

Debt remains the central issue

FiscalNote reported second-quarter revenue of USD 19.6 million for the period ended June 30, 2026, down 16 percent from a year earlier. The company posted a net loss of USD 27.8 million, including a non-cash goodwill impairment of USD 19.1 million.

Total debt was about USD 119.2 million, with USD 106.8 million classified as current, while cash and cash equivalents stood at USD 18.0 million. Stockholders' equity had fallen to about USD 0.3 million. The company also said creditors could call a default if its Class A stock was no longer listed on the New York Stock Exchange.

Guidance points to another contraction

Management lowered its full-year 2026 revenue outlook to USD 75 million to USD 78 million from USD 80 million to USD 83 million. Adjusted EBITDA guidance was reduced to USD 9 million to USD 11 million from USD 14 million to USD 16 million.

For the third quarter, FiscalNote guided to revenue of USD 19 million to USD 20 million and adjusted EBITDA of about USD 3.5 million. The company was expected to report its third-quarter results after the market close on November 5, 2026, according to MarketBeat.

Retention improves, revenue still weak

Quarterly net revenue retention improved to 98 percent from 89 percent in the first quarter, although trailing twelve-month retention was 81 percent. Subscription revenue represented 96 percent of second-quarter revenue, highlighting the company's focus on recurring policy intelligence revenue.

Policy intelligence is the core business

FiscalNote develops technology and products that help organizations navigate policy, people and geopolitical developments. Its offering includes subscription-based policy intelligence and PolicyNote tools that provide structured legislative and regulatory information for enterprise users. The company presents its mission as helping organizations turn mission-critical insights into action.

The key investor questions are whether retention gains persist, whether the company can manage current debt and whether the strategic review produces asset sales, refinancing terms or another capital solution.