SBIG Holdings, Inc.

What they do

SpringBig provides a B2B2C software platform for loyalty marketing, digital communications, and text/email/push messaging, used by retailers and brands in cannabis and other regulated verticals. Clients pay monthly subscriptions for platform access and message credits, with additional revenue from excess usage. The platform serves about 750 clients across 2,250+ retail locations, distributing roughly 640 million messages annually.

Revenue drivers

• Subscription revenue — Monthly subscription fees for platform access and bundled message credits; ~88% of Q1 2026 revenue ($4.8M), flat year-over-year.
• Excess use revenue — Charges when client messaging exceeds subscription credits; contributes incremental revenue but is not separately disclosed.
• Non-cannabis verticals — Revenue from gaming, casino, alcohol, and nutraceuticals; grew over 200% in Q1 2026 vs Q4 2025, still a small base.

Recent performance

Q1 2026 revenue was $5.4M, down slightly from $5.5M in Q1 2025; net loss narrowed 34% to $(0.5M). Adjusted EBITDA turned positive at $0.1M. Operating expenses cut 21% year-over-year. Message volume grew 11% to 147 million, but net revenue retention was flat at 86%. Retail client count fell to 744 from 900 a year earlier.

Strategy

Management emphasizes disciplined cost reduction, operational optimization, and continued investment in AI capabilities. The company is expanding beyond cannabis into gaming and other regulated markets, aiming to leverage its marketing and CRM infrastructure. The amended vendor agreement (largest vendor) is intended to establish a more sustainable cost structure.

Risks

• Client attrition — Retail client count declined from 900 to 744 in a year, with net revenue retention at 86%, indicating shrinking recurring revenue base.
• Negative equity and liquidity — Shareholder equity was $(12.9)M at March 31, 2026, with only $1.3M cash; long-term debt of $9.8M and a triggering event in May 2026 may strain liquidity.
• Cannabis market pressure — Management cites macroeconomic pressure in cannabis, which could further reduce client spend and revenue.
• Board instability — Multiple director resignations during 2025 and 2026, leaving three of five board seats vacant, may impair governance.

Outlook

Management expects continued positive Adjusted EBITDA and further operating expense reductions. They plan to sustain subscription revenue and grow message volume. Expansion into adjacent regulated verticals is seen as a growth opportunity, but no specific financial guidance was provided.