Character.ai generates $2.5 million in monthly ad revenue but still loses $8 million

Character Technologies submitted a CEO declaration to the Delaware bankruptcy court disclosing that Character.ai’s monthly advertising revenue rose from about $500,000 in July 2025 to about $2.5 million in August 2026, nearly half of that month’s total revenue of $5.3 million, while the company still incurs monthly operating losses of about $8 million to $9 million.