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Jun 30, 2022

IAS Q2 2022 Earnings Report

Reported second quarter results with revenue growth and strong profitability.

Key Takeaways

IAS reported strong second quarter 2022 financial results, with total revenue increasing by 34% to $100.3 million and programmatic revenue increasing by 51%. The company's net income was $2.0 million, or $0.01 per share, and adjusted EBITDA increased to $31.6 million.

Total revenue increased 34% to $100.3 million.

Programmatic revenue increased 51% to $47.9 million.

Net income was $2.0 million, or $0.01 per share.

Adjusted EBITDA increased to $31.6 million.

Total Revenue
$100M
Previous year: $75.1M
+33.6%
EPS
$0.01
Previous year: -$0.26
-103.8%
Gross Profit Margin
82%
Net Income Margin
2%
Adjusted EBITDA Margin
31%
Gross Profit
$82.2M
Previous year: $62.2M
+32.3%
Cash and Equivalents
$77.4M
Previous year: $73.2M
+5.7%
Free Cash Flow
$11.9M
Previous year: $25M
-52.5%
Total Assets
$1.14B
Previous year: $852M
+34.0%

IAS

IAS

IAS Revenue by Geographic Location

Forward Guidance

IAS expects full-year 2022 revenue growth of approximately 24% compared to 2021, and is maintaining its adjusted EBITDA margin outlook for 2022 at prior levels of approximately 31%.

Positive Outlook

  • Expects full-year 2022 revenue growth of approximately 24% compared to 2021.
  • Maintaining adjusted EBITDA margin outlook for 2022 at prior levels of approximately 31%.
  • Third Quarter 2022 Total revenue of $99 million to $101 million.
  • Third Quarter 2022 Adjusted EBITDA of $28 million to $30 million.
  • Year Ending December 31, 2022 Total revenue of $398 million to $402 million.

Challenges Ahead

  • Reflecting the current macroeconomic environment.
  • IAS is unable to provide a reconciliation for forward-looking guidance of Adjusted EBITDA and corresponding margin to net income (loss) and corresponding margin, the most closely comparable GAAP measures, because certain material reconciling items, such as depreciation and amortization, interest expense, income tax expense (benefit) and acquisition, restructuring and integration expenses, cannot be estimated due to factors outside of IAS's control and could have a material impact on the reported results.
  • IAS estimates stock-based compensation expense for the third quarter of 2022 in the range of $13.5 million to $15 million and for the full year 2022 in the range of $46 million to $50 million.
  • A reconciliation is not available without unreasonable effort.
  • All forward-looking statements are subject to risks and uncertainties that may cause actual results to differ materially from those that we expected