Cricut (NASDAQ:CRCT) Announces Quarterly Earnings Results, Meets Expectations

Cricut (NASDAQ:CRCT) released its quarterly earnings data on Tuesday. The company reported $0.04 earnings per share for the quarter, meeting analysts’ consensus estimates of $0.04, FiscalAI reports. The business had revenue of $203.60 million during the quarter, compared to analyst estimates of $202.22 million. Cricut had a net margin of 11.31% and a return on equity of 19.91%.

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

• Net income and margins improved — full‑year net income was $76.7 million (up 22% YoY), gross margins expanded (FY 55.1% vs 49.5%), the company generated $200 million of operating cash, remains debt‑free, and continues share repurchases and dividends.
• Revenue stagnation and consumables weakness — total company sales were down <1% for 2025 and Q4 sales fell 3% YoY, while accessories and materials declined 13% in Q4 and 9% for the year amid increased low‑cost competition.
• Platform momentum — paid subscribers rose over 4% to 3.09 million, platform revenue increased ~5% and ARPU grew 5%, with AI features (Create AI) and guided project flows cited as acquisition and engagement drivers.
• Product and monetization roadmap — launched two next‑generation machines (Cricut Joy 2, Explore 5), new heat presses, and a direct‑to‑film (DTF) service, and is shifting to a bundle‑first strategy intended to improve out‑of‑box experience and drive future sell‑through and materials monetization.
• Outlook and risks — management expects to be profitable and generate cash flow in 2026 while accelerating R&D and marketing, but cites tariff uncertainty and will stop reporting standalone connected‑machine vs materials revenue as it moves to bundled sales.

Cricut Trading Up 0.5%

Shares of CRCT opened at $4.32 on Wednesday. The firm has a fifty day simple moving average of $4.61 and a two-hundred day simple moving average of $5.17. The firm has a market cap of $914.72 million, a PE ratio of 11.37 and a beta of 0.17. Cricut has a 1-year low of $3.94 and a 1-year high of $7.33.

Analyst Ratings Changes

Several equities research analysts recently weighed in on the stock. Weiss Ratings downgraded shares of Cricut from a “hold (c-)” rating to a “sell (d+)” rating in a research report on Tuesday, January 27th. The Goldman Sachs Group reduced their target price on Cricut from $3.50 to $3.00 and set a “sell” rating for the company in a report on Wednesday, January 14th. Finally, Wall Street Zen downgraded Cricut from a “buy” rating to a “hold” rating in a report on Saturday, November 29th. Four research analysts have rated the stock with a Sell rating, According to MarketBeat, Cricut has an average rating of “Strong Sell” and a consensus target price of $3.60.

Insider Activity at Cricut

In related news, CEO Arora Ashish sold 60,000 shares of the company’s stock in a transaction on Monday, February 23rd. The stock was sold at an average price of $4.42, for a total transaction of $265,200.00. Following the completion of the sale, the chief executive officer owned 3,798,453 shares in the company, valued at approximately $16,789,162.26. This represents a 1.56% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Insiders sold a total of 245,459 shares of company stock valued at $1,171,898 over the last three months. Insiders own 18.02% of the company’s stock.

Institutional Investors Weigh In On Cricut

A number of large investors have recently made changes to their positions in CRCT. Invesco Ltd. increased its position in shares of Cricut by 29.7% during the 4th quarter. Invesco Ltd. now owns 132,981 shares of the company’s stock valued at $658,000 after purchasing an additional 30,484 shares during the last quarter. Corient Private Wealth LLC grew its position in Cricut by 34.6% during the fourth quarter. Corient Private Wealth LLC now owns 16,917 shares of the company’s stock valued at $84,000 after buying an additional 4,349 shares during the period. XTX Topco Ltd grew its position in Cricut by 52.2% during the fourth quarter. XTX Topco Ltd now owns 81,668 shares of the company’s stock valued at $404,000 after buying an additional 27,996 shares during the period. Millennium Management LLC increased its holdings in Cricut by 374.5% during the fourth quarter. Millennium Management LLC now owns 982,343 shares of the company’s stock valued at $4,863,000 after buying an additional 775,330 shares during the last quarter. Finally, Guggenheim Capital LLC bought a new position in Cricut in the fourth quarter worth approximately $55,000. 19.60% of the stock is currently owned by institutional investors.

Cricut Company Profile

Cricut, Inc (NASDAQ: CRCT) is a U.S.-based technology company specializing in personal and small-business crafting solutions. The company designs and markets a family of cutting machines that leverage computer-aided design to precisely cut a wide range of materials, including paper, vinyl, fabric and leather. Complementing its hardware offerings, Cricut provides proprietary software and mobile applications that enable users to create custom artwork, import graphics and access a vast library of pre-designed projects and fonts through a subscription service.

Founded as a division of Provo Craft & Novelty in 2005, Cricut emerged as an independent public company in March 2021.