Shutterstock recently released its 10-Q report. The company describes itself as a global creative platform that connects brands and businesses with licensed content, including images, footage, music, 3D models and generative AI content. It also sells data, distribution and services products, including metadata licensing, GIF-based offerings through Giphy, and production services through Shutterstock Studios.
Item 2. Management’s Discussion and Analysis of Financial Condition and Results of Operations
Shutterstock’s filing centers on the pending merger with Getty Images, announced on Jan. 6, 2025. Under the merger agreement, Getty Images would pay Shutterstock stockholders a mix of cash and stock valued at $9.50 in cash plus 9.17 Getty Images shares per Shutterstock share in the mixed-election structure, or alternatively $28.8487 in cash or 13.67237 Getty Images shares for each share, subject to proration.
Stockholders approved the deal on June 10, 2025, and Getty Images’ stockholder approval was later obtained by written consent. The Form S-4 became effective on April 30, 2025, and the HSR waiting period has since expired without conditions after the DOJ completed its review on Feb. 23, 2026.
The main remaining regulatory issue is in the U.K. The CMA referred the transaction to Phase 2 on Nov. 3, 2025, then issued an interim report on Feb. 19, 2026, provisionally concluding that the merger is not expected to create competition issues in the global stock content market but may lessen competition in the U.K. editorial market. On April 16, 2026, the CMA said Getty’s proposed remedy was unlikely to fix that concern and indicated that a sale of Shutterstock’s Rex Features, Backgrid and Splash News businesses would likely be acceptable; the CMA’s final report deadline is June 14, 2026.
Shutterstock quantified the editorial business tied to the CMA review. In 2025, global editorial revenue was $32.7 million, including $11.7 million from Rex Features-related content and Shutterstock brands and $21.0 million from Backgrid and Splash branded content. U.K. editorial revenue in 2025 was $10.6 million, with $5.4 million from Rex Features-related content and Shutterstock brands and $5.2 million from Backgrid and Splash branded content.
The company’s operating metrics showed weaker subscriber revenue and lower paid downloads, even as average revenue per customer increased. For the three months ended March 31, 2026, subscribers were 1,993,000, up from 1,079,000 a year earlier, reflecting the inclusion of acquired businesses in the metric. Subscriber revenue fell to $103.8 million from $109.9 million, average revenue per customer rose to $284 from $244, and paid downloads declined to 104.1 million from 120.9 million. Following these announcements, the company's shares moved -2.13%, and are now trading at a price of $17.48. For the full picture, make sure to review Shutterstock's 10-Q report.
