NXDRNasdaqServices-Computer Programming, Data Processing, Etc.US GAAP · USD

Nextdoor Holdings, Inc.

Nextdoor Holdings, Inc. operates a neighborhood-focused digital platform that connects verified neighbors with local news, safety alerts, recommendations, listings, and community events. The company also provides a local advertising platform that helps businesses, publishers, and public agencies reach geographically targeted audiences across the United States and other countries.

Revenue258m USD
+4.2 %y/y
Operating profit (EBIT)-71.9m USD
+40.9 %y/y
EBIT margin-27.9%
+21.3 ppy/y
Net income-54.2m USD
+44.7 %y/y
Free cash flow5.9m USD
+128.6 %y/y

Fiscal year 2025 · change from previous year

Development 2020–2025

-200-1000100200300m USD2020: 123 m USD2020: EBIT -77 m USD20202021: 192 m USD2021: EBIT -95 m USD20212022: 213 m USD2022: EBIT -144 m USD20222023: 218 m USD2023: EBIT -172 m USD20232024: 247 m USD2024: EBIT -122 m USD20242025: 258 m USD2025: EBIT -72 m USD2025258-72
RevenueOperating profit (EBIT)

Business

Share of revenue
Neighborhood network0 %

Consumer-facing local community platform with posts, alerts, recommendations, and listings.

Local advertising95 %

Targeted ad products sold to businesses of all sizes on CPM, CPC, and subscription bases.

Publisher and civic communications5 %

Tools for news publishers and public agencies to distribute local information to neighbors.

Customers

Nextdoor serves verified neighbors who use the platform to discover trusted local information and interact with people nearby. On the monetization side, customers include small local businesses, national brands, publishers, and civic or government agencies that want to reach audiences by neighborhood and household. The advertising product is designed for buyers seeking local intent, community relevance, and measurable reach in specific geographies.

Verified neighbors

Consumers who use the platform for local news, alerts, recommendations, and neighborhood discussion.

Small local businesses

Businesses buying self-serve local advertising to reach nearby customers with high purchase intent.

National brands

Larger advertisers using managed campaigns to target households and neighborhoods at scale.

Publishers and media partners

Organizations distributing local news and content to neighborhood audiences.

Public agencies and civic organizations

Government and civic entities using the platform for alerts, notices, and community engagement.

Strategy

Nextdoor is focused on improving engagement and monetization by making the platform more useful for neighbors and more effective for advertisers. The company is investing in AI and machine learning, a more dynamic content feed, and a proprietary ad stack to increase relevance, ad performance, and local utility. It is also pursuing measured international expansion while prioritizing the U.S. market where it has the deepest operating experience.

Increase neighbor engagementShort term

Higher engagement improves the utility of the network and creates more ad inventory and targeting value.

Improve monetization efficiencyShort term

Better ad relevance and performance support higher advertiser demand and stronger platform ARPU.

Expand internationally in a measured wayMedium term

International markets offer long-term growth, but require localized execution and monetization capability.

Geography

Q1/2026

Nextdoor operates in over 350,000 neighborhoods across 11 countries, but the United States is the core market and the main source of revenue. The company also has international user and advertising activity, with management describing international monetization as a longer-term opportunity. Geography matters because the platform’s value depends on dense local participation, while advertising performance and monetization vary by market maturity.

United States96 %
Other countries (US filing)3.7 %

Share of the revenue the company reports by geography.

Risks

Nextdoor depends on user trust, advertiser demand, and the ability to keep the platform relevant in a crowded digital advertising market. Its business is exposed to competition from larger platforms, privacy and data-use regulation, and execution risk around product changes and international expansion. Because revenue is tied to ad engagement and local targeting effectiveness, any drop in user activity or advertiser confidence can quickly affect monetization.

Sorted by severity
LowMediumHighLowMediumHighImpact →Likelihood →Regulatory changes affecting privacy, cookies, and content1Intense competition for users and ad spend2Loss of customer trust or data security incident3Execution risk from product transformation4International expansion risk5
Impact is the risk’s severity and likelihood how probable it is over the next few years, both assessed from the company’s reports. Numbers match the list.
  1. Regulatory changes affecting privacy, cookies, and contentImpact: HighLikelihood: High

    Restrictions on data collection or content liability can weaken ad targeting and platform functionality.

    Exposure: Targeting effectiveness and compliance costs

  2. Intense competition for users and ad spendImpact: HighLikelihood: Medium

    Larger platforms have broader reach, more data, and stronger sales resources, which can reduce Nextdoor's advertiser appeal.

    Exposure: Advertising revenue and user engagement

  3. Loss of customer trust or data security incidentImpact: HighLikelihood: Medium

    The platform relies on verified neighbors and sensitive location-based information, so breaches or service interruptions can reduce usage.

    Exposure: Platform adoption and advertiser retention

  4. Execution risk from product transformationImpact: MediumLikelihood: High

    Changes to the feed and content mix can shift usage patterns and ad impressions before benefits are realized.

    Exposure: User engagement and monetization

  5. International expansion riskImpact: MediumLikelihood: Low

    The company has less operating experience outside the U.S. and may face weaker monetization or local regulatory hurdles.

    Exposure: Growth outside the United States

Accounting

Judgemental items
Advertising revenue recognition

Revenue is earned through CPM, CPC, and subscription arrangements, so timing depends on delivery and measurement of ad activity.

Impact: Affects reported revenue timing and quarterly trends

Seasonality of advertising spend

Advertising demand typically improves from the second quarter through the fourth quarter, affecting period-to-period comparisons.

Impact: Affects quarterly revenue and ARPU comparability

Stock-based compensation

Equity awards are a material operating expense for a software company and reduce reported profitability.

Impact: Affects operating expenses and adjusted earnings reconciliation

Restructuring charges

Non-recurring charges can distort operating trends when the company changes its cost base or organization.

Impact: Affects comparability of operating results

Publicly listed companies with a comparable business focus.

Last updated: 24/09/2026