Criteo S.A.(US:CRTO)2026-02-11 12:11Financial Performance - Revenue for Q4 2025 was $541 million, a decrease of 2% year-over-year, while full year revenue increased 1% to $1.9 billion[2][7]. - Gross profit for Q4 2025 was $297 million, down 1% year-over-year, and for the full year, gross profit increased 7% to $1.049 billion[2][7]. - Net income for Q4 2025 was $46 million, a decrease of 36% year-over-year, while full year net income increased 30% to $149 million[2][7][10][16]. - Adjusted EBITDA for Q4 2025 was $120 million, down 17% year-over-year, and for the full year, adjusted EBITDA increased 4% to $407 million[2][17]. - Free Cash Flow for Q4 2025 was $134 million, a decrease of 8% year-over-year, while full year Free Cash Flow increased 16% to $211 million[2][8][20]. - Revenue for Q4 2025 was reported at $541.136 million, down 2% year-over-year, while full-year revenue increased by 1% to $1.944901 billion[67]. - Adjusted net income for Q4 2025 was $69.062 million, a decrease of 32% year-over-year, while the full-year adjusted net income decreased by 6% to $252.985 million[65]. Cash and Assets - Cash and cash equivalents increased 18% year-over-year to $342 million as of December 31, 2025[2][8]. - The company reported cash and cash equivalents of $342,038 thousand as of December 31, 2025, up from $290,693 thousand as of December 31, 2024[49]. - Total assets decreased from $2,266,449 thousand as of December 31, 2024, to $2,201,207 thousand as of December 31, 2025[49]. - Current liabilities decreased from $1,046,600 thousand as of December 31, 2024, to $844,654 thousand as of December 31, 2025[49]. - The net cash position improved by 18% year-over-year, totaling $342,359,000 as of Q4 2025[71]. Media and Revenue Segments - Retail Media Contribution ex-TAC decreased 18% in Q4 2025, while Performance Media Contribution ex-TAC increased 2% in the same period[3][13]. - The Retail Media segment revenue decreased by 17% year-over-year to $76,347,000 in Q4 2025, while Performance Media segment revenue increased by 1% to $464,789,000[59]. - Revenue from the Americas region decreased by 12% year-over-year, amounting to $241,987,000 in Q4 2025[71]. - EMEA region revenue increased by 11% year-over-year, reaching $202,901,000 in Q4 2025[71]. Operational Metrics - Total operating expenses for Q4 2025 were $224,889,000, up from $206,463,000 in Q4 2024, with R&D expenses increasing to $75,266,000 from $67,559,000[51]. - Total operating expenses for Q4 2025 increased by 9% year-over-year to $224,889 million, with a full-year increase of 2% to $846.615 million[63]. - Research and Development expenses for Q4 2025 rose by 11% year-over-year to $75.266 million, with a full-year increase of 1% to $283.303 million[63]. - Traffic acquisition costs for Q4 2025 decreased by 3% year-over-year to $211.094 million, while full-year costs decreased by 5% to $770.284 million[67]. Future Outlook - The company expects the first quarter of 2026 to represent the low point of the year due to previously communicated scope changes[25]. - Contribution ex-TAC is projected to be between $245 million and $250 million, reflecting a year-over-year decline of -11% to -9% at constant currency[32]. - Adjusted EBITDA is expected to be between $50 million and $55 million, with an adjusted EBITDA margin of approximately 32% to 34% of Contribution ex-TAC[32]. - The company anticipates forward-looking statements regarding financial results for the quarter ending March 31, 2026, and the year ending December 31, 2026[41]. Shareholder Actions - Criteo deployed $152 million for share repurchases in 2025, with remaining authorization increased to $200 million[1][30]. Client Metrics - The number of clients decreased by 3% year-over-year, totaling 16,786 clients in Q4 2025[71]. - The company experienced a significant increase in restructuring costs, which rose by 226% year-over-year to $9.200 million in Q4 2025[63].