FiscalNote (NYSE:NOTE) Announces Quarterly Earnings Results

FiscalNote (NYSE:NOTE) announced its quarterly earnings data on Thursday. The company reported ($0.66) EPS for the quarter, topping analysts’ consensus estimates of ($0.67) by $0.01, Zacks reports. FiscalNote had a negative net margin of 68.39% and a negative return on equity of 74.45%. The company had revenue of $22.20 million during the quarter, compared to the consensus estimate of $22.40 million.

Here are the key takeaways from FiscalNote’s conference call:

• FiscalNote is guiding to approximately $14–16 million adjusted EBITDA for full‑year 2026 (about $1 million in Q1) and expects trailing‑12‑month positive free cash flow by March 31, 2027, marking a planned inflection to sustained profitability.
• Management plans to reduce cash operating expenses by >19% and cut headcount roughly 25% year‑over‑year, driven by broad adoption of generative/agentic AI that management says has made R&D cycles ~3x faster and materially boosted productivity.
• The migration from the legacy FiscalNote platform to PolicyNote is complete for legacy customers, with higher engagement (legislation views +250%, alerts +88%) and early indications of improved retention among migrated cohorts.
• FiscalNote is expanding its API footprint with native MCP support to let AI agents and third‑party platforms embed its policy intelligence (early customers include Lumen and ICE), a potentially large TAM but with uncertain timing and monetization scale.
• ARR declined to $84.1 million (from $107.5M) and full‑year 2025 revenue fell to $95.4M, driven by strategic divestitures and some enterprise churn, although those divestitures generated $144.9M of gross cash proceeds improving liquidity.

FiscalNote Trading Down 15.9%

NYSE:NOTE opened at $0.78 on Friday. FiscalNote has a 1 year low of $0.74 and a 1 year high of $12.96. The company has a debt-to-equity ratio of 1.66, a quick ratio of 1.01 and a current ratio of 1.01. The stock has a fifty day moving average price of $1.20 and a two-hundred day moving average price of $2.55. The stock has a market capitalization of $12.19 million, a price-to-earnings ratio of -0.17 and a beta of 0.62.

FiscalNote News Summary

Here are the key news stories impacting FiscalNote this week:

• Positive Sentiment: Expanded Asia distribution: FiscalNote announced a partnership with D&A LLC (advisory arm of a leading Korean law firm) to broaden access to its U.S. policy intelligence across Asian markets, which could help international sales and market reach over time. FiscalNote Expands Access to Its U.S. Policy Intelligence Across Asian Markets Through Partnership with Advisory Arm of Leading Korean Law Firm, D&A LLC
• Positive Sentiment: Medium‑term profitability target: Management is guiding to $14M–$16M adjusted EBITDA for 2026 and is pushing AI and prediction‑market products as growth/leverage drivers, signaling a path to improved margins if execution holds. FiscalNote targets $14M–$16M adjusted EBITDA in 2026 as AI and prediction markets drive
• Neutral Sentiment: Q4 results mixed: FiscalNote reported a $0.66 loss per share, slightly beating consensus by $0.01, but revenue of $22.2M modestly missed estimates — a mixed print that shows improving EPS trends but top‑line softness. FiscalNote Reports Fourth Quarter and Full Year 2025 Financial Results
• Neutral Sentiment: Earnings call framed as strategic pivot: Management emphasized strategic shifts toward AI, prediction markets and cost transformation (slides/transcript available), which could re-shape the business but increases execution risk in the near term. FiscalNote Holdings Inc (NOTE) Q4 2025 Earnings Call Highlights: Strategic Shifts and AI …
• Negative Sentiment: Large workforce reduction and offshoring: FiscalNote will cut ~25% of its staff and shift work to AI/offshore resources as sales decline, an immediate cost‑cutting move that signals near‑term revenue pressure and raises execution and morale risks. FiscalNote to lay off a quarter of workforce as it turns to AI, offshoring
• Negative Sentiment: Governance concern: The company disclosed the resignation of the audit committee chair, a board change that can unsettle investors given the recent financial and operational shifts. FiscalNote Announces Resignation of Audit Committee Chair

Hedge Funds Weigh In On FiscalNote

Institutional investors and hedge funds have recently made changes to their positions in the stock. Price T Rowe Associates Inc. MD purchased a new position in shares of FiscalNote in the 4th quarter valued at about $36,000. XTX Topco Ltd grew its position in FiscalNote by 131.4% during the fourth quarter. XTX Topco Ltd now owns 35,516 shares of the company’s stock worth $52,000 after buying an additional 20,166 shares during the period. Bank of America Corp DE grew its position in FiscalNote by 51.5% during the fourth quarter. Bank of America Corp DE now owns 49,042 shares of the company’s stock worth $52,000 after buying an additional 16,675 shares during the period. Two Sigma Investments LP purchased a new position in FiscalNote in the third quarter valued at about $64,000. Finally, Raymond James Financial Inc. increased its holdings in FiscalNote by 4,900.0% in the third quarter. Raymond James Financial Inc. now owns 15,000 shares of the company’s stock valued at $69,000 after buying an additional 14,700 shares in the last quarter. 54.31% of the stock is owned by institutional investors and hedge funds.

Analyst Upgrades and Downgrades

A number of research analysts have recently issued reports on NOTE shares. LADENBURG THALM/SH SH upgraded shares of FiscalNote to a “strong-buy” rating in a research note on Thursday, December 18th. Weiss Ratings restated a “sell (e+)” rating on shares of FiscalNote in a research report on Thursday, January 22nd. One research analyst has rated the stock with a Strong Buy rating, one has assigned a Buy rating and one has given a Sell rating to the company. According to MarketBeat.com, the stock currently has a consensus rating of “Moderate Buy” and an average price target of $37.50.

FiscalNote Company Profile

FiscalNote is a technology and data services company specializing in government and regulatory intelligence. Founded in 2013 by Timothy Hwang, Gerald Yao and Jonathan Chen, the company is headquartered in Washington, DC, with additional offices in New York, Brussels, London, Singapore and Hong Kong. FiscalNote went public in March 2021 through a special-purpose acquisition company (SPAC) merger and is listed on the New York Stock Exchange under the ticker NOTE.

The company’s flagship software-as-a-service platform aggregates legislative and regulatory data from jurisdictions around the world, combining that information with AI-driven analytics and expert commentary.