Group 1 - Perion Network (PERI) is undergoing a significant transformation after facing major headwinds in its search segment during 2024 [1] - Despite the transformation, certain revenue headwinds still persist as management navigates the challenges [1] Group 2 - The company is focused on identifying asymmetric investment opportunities within the technology, software, electronics, and energy transition sectors [1] - The analysis aims to achieve market-beating returns by studying small to mid-cap companies that are often less researched [1]

Core Insights - Perion Network reported a significant business reset and early results from its "Perion One" strategy, positioning itself as an AI-native execution infrastructure for digital advertising [5] Financial Performance - For Q4, GAAP net income was $8 million, or $0.19 per diluted share, while non-GAAP net income was $21.4 million, or $0.49 per diluted share [1] - Full-year 2025 revenue reached $439.9 million, with Contribution ex-TAC at $203.4 million and Adjusted EBITDA of $45.2 million, reflecting a 22% margin [6] - The company generated $41.9 million in cash from operations for 2025, a 504% year-over-year increase, and Adjusted free cash flow was $40.2 million, up 142% [7] Strategic Initiatives - CEO Tal Jacobson emphasized 2025 as a defining year for Perion, focusing on building Perion One as a centralized platform for marketers through technology integration and strategic partnerships [4] - The company launched new partnerships with Amazon, Walmart, and Mastercard to enhance its advertising capabilities [8][9] Revenue Mix and Growth Engines - Advertising Solutions revenue increased by 7% year-over-year in Q4, while web revenue declined by 17% year-over-year in Q4 and 13% for the full year [7] - CTV revenue grew by 59% in Q4 and 42% for the full year, reaching $62.1 million, while digital out-of-home revenue increased by 28% in Q4 and 36% for the full year, totaling $94.9 million [8] Future Guidance and Targets - For full-year 2026, Perion guided to Contribution ex-TAC of $215 million to $235 million and Adjusted EBITDA of $50 million to $54 million, factoring in a gradual decline in search and legacy activities [12] - Management set ambitious targets for 2028, including a performance spend CAGR of at least 25%, Contribution ex-TAC CAGR of at least 20%, and Adjusted EBITDA margins reaching 28% of Contribution ex-TAC [14]

Perion Network (NasdaqGS:PERI) Q4 2025 Earnings call February 18, 2026 08:30 AM ET Company ParticipantsElad Tzubery - CFOTal Jacobson - CEO and DirectorNone - Video NarratorConference Call ParticipantsAndrew Marok - AnalystEric Martinuzzi - Senior Research AnalystJason Kreyer - Senior Research AnalystJeff Martin - Co-Director of Research and Senior Research AnalystLaura Martin - Senior Entertainment and Internet AnalystSteve Orman - AnalystOperatorHello everybody, and Welcome to the Perion Network Q4 and Fu ...

Perion Network (NasdaqGS:PERI) Q4 2025 Earnings call February 18, 2026 08:30 AM ET Company ParticipantsElad Tzubery - CFOTal Jacobson - CEO and DirectorNone - Video NarratorConference Call ParticipantsAndrew Marok - AnalystEric Martinuzzi - Senior Research AnalystJason Kreyer - Senior Research AnalystJeff Martin - Co-Director of Research and Senior Research AnalystLaura Martin - Senior Entertainment and Internet AnalystSteve Orman - AnalystOperatorHello everybody, and welcome to the Perion Network Q4 and fu ...

Perion Network (NasdaqGS:PERI) Q4 2025 Earnings call February 18, 2026 08:30 AM ET Speaker6Hello everybody, and welcome to the Perion Network Q4 and full year 2025 earnings call. Today's conference is being recorded, and an archive of the webcast will be posted on the company's website. The press release detailing the financial results is available on the company's website at www.perion.com. Before we begin, I'd like to read the following safe harbor statement. Today's discussion includes forward-looking st ...

Core Insights - Perion Network reported quarterly earnings of $0.49 per share, matching the Zacks Consensus Estimate, and showing an increase from $0.33 per share a year ago, resulting in an earnings surprise of +1.03% [1] - The company achieved revenues of $137.14 million for the quarter ended December 2025, exceeding the Zacks Consensus Estimate by 0.32% and up from $129.58 million year-over-year [2] Financial Performance - Over the last four quarters, Perion Network has consistently surpassed consensus EPS estimates [2] - The company has also topped consensus revenue estimates four times in the same period [2] - The current consensus EPS estimate for the upcoming quarter is $0.15 on revenues of $95.6 million, and for the current fiscal year, it is $1.27 on revenues of $468.77 million [7] Market Position - Perion Network shares have declined approximately 10.5% since the beginning of the year, contrasting with the S&P 500's flat performance [3] - The Zacks Industry Rank places the Internet - Content sector in the top 37% of over 250 Zacks industries, indicating a favorable outlook compared to the bottom 50% [8] Future Outlook - The company's earnings outlook will be crucial for determining stock price movements, particularly in light of management's commentary during the earnings call [3][4] - The trend of estimate revisions prior to the earnings release was unfavorable, resulting in a Zacks Rank 4 (Sell) for the stock, suggesting expected underperformance in the near future [6]

Investor Presentation Forward Looking Statements This presentation contains historical information and forward-looking statements within the meaning of the Securities Act of 1933, as amended, the Securities Exchange Act of 1934, as amended, and the safe- harbor provisions of the Private Securities Litigation Reform Act of 1995 with respect to the business, financial condition and results of operations of Perion. The words "will," "believe," "expect," "intend," "plan," "should," "estimate" and similar expres ...

Summary of Perion Network FY Conference Call Company Overview - **Company**: Perion Network (NasdaqGS:PERI) - **Industry**: Digital Advertising Technology - **CEO**: Tal assumed the role in 2023, previously led CodeFuel search advertising business, focusing on market share and revenue growth [3][5] Core Business and Strategy - **Market Position**: Perion aims to address inefficiencies in digital advertising, where $1 trillion is spent annually, by creating a centralized platform for advertisers [5][6] - **Perion One**: A new product that integrates various advertising channels into a single platform, optimizing budget allocation across different channels [7][20] - **Performance Focus**: Shifted all products to be performance-driven, enhancing advertiser retention by ensuring measurable results [25][31] - **Outmax**: An AI-driven algorithm that optimizes ad campaigns in real-time, reportedly improving yield by up to 40% on the same budget [11][35] Financial Performance and Growth - **CTV Growth**: Achieved 75% growth in CTV in Q3, compared to a 14% market growth, indicating strong performance in this segment [35][36] - **Revenue Model**: Maintains a take rate based on ad spending, similar to models used by Google and Meta, with potential for volume discounts as budgets increase [82][86] - **Buyback Program**: Announced a $200 million buyback program, reflecting confidence in the company's valuation and cash generation capabilities [97][98] Product Development and Market Trends - **Dynamic Creative Optimization (DCO)**: Utilizes DCO to enhance ad performance, particularly in out-of-home advertising, by tailoring messages based on real-time data [80][81] - **Retail Media**: Recognizes the growing importance of out-of-home advertising as a performance channel, linking it to retail media strategies [80][81] - **Self-Service Initiatives**: Plans to introduce more self-service options for small and medium businesses, leveraging GenAI for ease of use [32][93] Challenges and Future Outlook - **Market Positioning**: Acknowledges the need to pivot away from traditional Open Web advertising due to changing consumer behavior and competition from walled gardens [122][123] - **Long-Term Goals**: Aims for significant growth in 2027, focusing on scaling operations and enhancing product offerings [100][101] - **Customer Acquisition**: Currently relies on major agencies for customer acquisition but plans to simplify the process for smaller businesses in the future [91][94] Key Takeaways - Perion Network is transforming its business model to focus on performance-driven advertising solutions, leveraging AI technology to optimize ad spend and improve results for advertisers [5][11][25] - The company is experiencing significant growth in CTV and is actively working to integrate out-of-home advertising into its performance metrics [35][80] - Future strategies include expanding self-service capabilities and enhancing the overall user experience for advertisers, particularly in the SMB segment [32][93]

Summary of Perion Network Conference Call Company Overview - **Company**: Perion Network (NasdaqGS:PERI) - **Industry**: Advertising Technology and Digital Media - **Core Offering**: Perion One Platform, an AI-driven solution to streamline digital advertising across multiple channels [3][6] Key Insights Industry Dynamics - The digital advertising market is valued at approximately **$1 trillion**, with continuous growth expected [5] - A significant shift is occurring where advertisers are prioritizing **ROI-driven channels** over brand awareness, leading to increased demand for performance-based advertising solutions [7][10] Company Strategy - Perion is focusing on **performance-driven advertising**, with recent launches like Performance CTV and Outmax aimed at enhancing ROI for clients [7][10] - The company is consolidating its offerings under the Perion One platform to reduce inefficiencies caused by multiple vendors and platforms [9][10] Product Development - The introduction of **SODA**, an AI algorithm for traffic shaping, aims to optimize supply paths by connecting advertisers with high-quality inventory, thus reducing costs and increasing yields [12][13] - AI plays a crucial role in Perion's product development, with features like Dynamic Creative Optimization (DCO) and high-frequency trading algorithms enhancing campaign performance [15][16] Market Positioning - Perion is well-positioned in the **CTV** and **digital out-of-home** advertising spaces, reporting a **75% year-over-year growth** in CTV [20][22] - The company has launched a **digital out-of-home player**, establishing itself as a full-stack operator in this emerging market [26][31] Financial Performance - In Q3, Perion reported a **63% growth in EBITDA**, driven by operational efficiencies and a shift towards platform-based revenue [34] - The company plans to increase its share buyback program to **$200 million**, indicating confidence in its financial health and future growth [36] Future Outlook - The focus for 2026 will be on scaling growth and improving efficiency through technology rather than increasing headcount [40] - Key performance indicators (KPIs) to watch include growth in **ex-TAC** (revenue excluding traffic acquisition costs) and overall operational efficiency [40] Additional Considerations - The tension between CMOs and CFOs is pushing the industry towards a greater emphasis on measurable outcomes, impacting how advertising strategies are developed [39] - Perion's unique position as a technology provider in the digital out-of-home space allows it to capitalize on the growing demand for programmatic advertising solutions [25][31]

Group 1 - The article does not provide any specific content or key points related to a company or industry [1]