Getty Images Stock Drops In After-Hours Trading After Disappointing Q2 Results

Getty Images Holdings, Inc. GETY shares are trading lower in the after-hours session Monday after the company reported second-quarter earnings.

What To Know: Getty reported quarterly losses of 1 cent per share which missed the analyst consensus estimate of positive 4 cents. It's a 103.45% decrease over earnings of 29 cents per share from the same period last year.

The company reported quarterly sales of $225.68 million, which missed the analyst consensus estimate of $235.64 million and represents a 3.28% decrease over sales of $233.33 million the same period last year.

Free cash flow was reported at $27.9 million compared to $16.8 million in the prior year period.

The company lowered full-year 2023 revenue guidance from a range between $936 million and $963 million to a range between $920 million to $935 million.

"The second quarter was a more challenging environment; however, we continue to see increased customer commitment and content utilization, notably through growth in subscriptions, new customers and in our Corporate sector," said Craig Peters, CEO for Getty Images.

"The second quarter also saw us launch major search improvements through Natural Language search, providing significantly improved returns against any customer query. We also continue to make progress in developing a truly differentiated generative AI service that addresses customers' commercial needs and in introducing new AI modification capabilities within our sites."

The stock is also a top short squeeze candidate this week, as Benzinga highlighted earlier Monday. 

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GETY Price Action: Shares of GETY were down 14.1% at $3.90 in the after-hours session at the time of publication, according to Benzinga Pro.

Image by PublicDomainPictures from Pixabay.

Editor's Note: The story has been updated to correct that the company has lowered guidance.