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Jun 30, 2024

Digital Turbine Q1 2025 Earnings Report

Digital Turbine's first quarter of fiscal year 2025 resulted in a revenue of $118.0 million and a GAAP net loss of $25.2 million.

Key Takeaways

Digital Turbine reported a 19% year-over-year decline in revenue, totaling $118.0 million for the first quarter of fiscal year 2025. The company experienced a GAAP net loss of $25.2 million, or ($0.25) per share, while non-GAAP adjusted net income was $7.3 million, or $0.07 per share. Despite these challenges, the company saw sequential growth in revenue and EBITDA, driven by increases in On Device Solutions and App Growth Platform revenues.

First quarter revenue totaled $118.0 million, a 5% increase quarter-over-quarter but a 19% decrease year-over-year.

GAAP net loss was $25.2 million, or ($0.25) per share, compared to a net loss of $8.4 million, or ($0.08) per share, in the same quarter last year.

Non-GAAP adjusted net income was $7.3 million, or $0.07 per share, down from $18.2 million, or $0.18 per share, in the prior year.

Non-GAAP adjusted EBITDA was $14.5 million, reflecting sequential growth but a 46% year-over-year decrease.

Total Revenue
$118M
Previous year: $146M
-19.4%
EPS
$0.07
Previous year: $0.18
-61.1%
Gross Profit
$33.7M
Previous year: $67.2M
-49.8%
Cash and Equivalents
$35.7M
Previous year: $58.6M
-39.0%
Free Cash Flow
-$7.28M
Total Assets
$860M
Previous year: $1.26B
-31.8%

Digital Turbine

Digital Turbine

Digital Turbine Revenue by Segment

Forward Guidance

The Company currently reaffirms its expectations for the following for fiscal year 2025: Revenue of between $540 million and $560 million and Non-GAAP adjusted EBITDA of between $85 million and $95 million.

Positive Outlook

  • Revenue of between $540 million and $560 million
  • Non-GAAP adjusted EBITDA of between $85 million and $95 million

Challenges Ahead

  • It is not reasonably practicable to provide a business outlook for GAAP net income because the Company cannot reasonably estimate the changes in stock-based compensation expense, which is directly impacted by changes in the Company’s stock price, or other items that are difficult to predict with precision.

Revenue & Expenses

Visualization of income flow from segment revenue to net income