Shares of FiscalNote Holdings shifted below $0.10 this week, capping a 97% collapse over the past year and leaving the policy-intelligence software maker with a market value barely above $4 million. The slide accelerated after first-quarter results revealed shrinking revenue, fleeing customers, and a balance sheet under siege — raising existential questions about whether the company can survive long enough for its AI-turnaround story to matter.
Customers Are Leaving Faster Than the Company Can Replace Them
Annual recurring revenue — the yearly value of active subscriptions — fell $12 million, or 14%, to $75.7 million.
Net revenue retention dropped to 89%, indicating customer attrition. In plain terms, for every dollar FiscalNote earned from existing clients a year ago, it now keeps only 89 cents. The company blamed cancellations by large enterprise clients who never migrated to its new platform, along with macroeconomic pressures that lengthened sales cycles and drove higher-than-normal churn.
Revenue Cratered 27% While Losses Ballooned
Q1 revenue fell to $20 million from $27.5 million a year earlier, while a $35.6 million goodwill write-down — an admission that past acquisitions are worth less than what was paid — pushed the net loss to $43.6 million.
Current debt maturities surged to $111.6 million, lifting total current liabilities to $155.6 million against just $24.8 million in shareholder equity.
A Debt Clock Ticking Down to July 21
Creditors holding convertible debt agreed to temporarily waive defaults triggered by FiscalNote's NYSE delisting in April, but that forbearance expires July 21, 2026.
Separately, a $2 million principal payment due July 1 was deferred to 2029.
The company says it is pursuing "strategic value-maximizing options," including lender negotiations on maturity extensions and potential exchanges — language that often precedes restructuring.
New CEO Inherits a Crisis
FiscalNote replaced CEO Josh Resnik with board member Key Compton, effective June 26.
Compton, a three-decade tech investor and co-founder of GPO Fund — which invested in FiscalNote in 2020 — now must stabilize a company he helped finance.
At least one analyst still carries a $9.75 buy target , but with the stock at a dime and the debt forbearance window closing in 11 days, that gap measures hope against hard arithmetic.