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Sep 30
Nexxen International Q3 2025 Earnings Report
Nexxen International reported record programmatic revenue and Contribution ex-TAC in Q3 2025 but lowered its full-year guidance due to Q4 headwinds.
Key Takeaways
Nexxen delivered strong programmatic performance in Q3 2025, setting new records for programmatic revenue and Contribution ex-TAC. However, the company reported a significant drop in net income and adjusted EBITDA margins and revised its full-year outlook downward.
Record Q3 programmatic revenue of $89.6M and Contribution ex-TAC of $92.6M
CTV revenue fell 17% YoY, accounting for 27% of programmatic revenue
Adjusted EBITDA decreased 11% YoY to $28.2M with margin compression
Full-year guidance lowered due to reduced activity from key DSP partners
Nexxen International
Nexxen International
Nexxen International Revenue by Segment
Revenue by Segment
Programmatic Revenue
CapyFin.comCTV Revenue
CapyFin.com Forward Guidance
Nexxen lowered its full-year 2025 guidance due to weak performance in its open marketplace channel, reduced customer spending, and continued softness in non-core businesses.
Positive Outlook
- Programmatic revenue expected to comprise ~95% of FY25 revenue
- Demand from Nexxen DSP to Nexxen SSP remains in-line with expectations
- New and expanded VIDAA partnership offers long-term CTV growth potential
- Launch of first-to-market Smart TV home screen activation solution
- Increased focus on enterprise DSP adoption and data platform
Challenges Ahead
- Lower-than-expected activity from third-party DSPs in Q4
- Reduced spending from a key DSP customer impacting Q4 Contribution ex-TAC
- Softness in specific verticals and customer segments
- Continued weakness in non-core, non-programmatic business
- Guidance now reflects lower growth expectations for full year 2025
Revenue & Expenses
Visualization of income flow from segment revenue to net income