Taboola Reports Strong Q3 2025 Financial Results, Surpassing High-End of Guidance; Raises Full-Year Outlook

Core Insights - Taboola reported strong third quarter results for 2025, exceeding guidance across all metrics, with CEO Adam Singolda highlighting the success of the Realize platform and ongoing share repurchase efforts [2][3]. Financial Performance - Revenues for Q3 2025 reached $496.8 million, a 14.7% increase from $433.0 million in Q3 2024, driven by a 4.4% growth in Scaled Advertisers and a 10.9% increase in Average Revenue per Scaled Advertiser [6][16]. - Gross Profit for Q3 2025 was $139.0 million, up 4.6% from $132.9 million in Q3 2024. Ex-TAC Gross Profit was $176.8 million, reflecting a 6.3% increase [6][16]. - Net Income improved to $5.2 million from a net loss of $6.5 million in the previous year, with Adjusted EBITDA at $48.2 million, a slight increase of 0.6% [6][16]. - Cash flow from operating activities was $53.2 million, compared to $49.8 million in Q3 2024, while Free Cash Flow increased to $46.3 million from $42.9 million [6][16]. Guidance - For Q4 2025, Taboola expects revenues between $532 million and $542 million, with full-year 2025 revenue guidance set at $1.914 billion to $1.932 billion [3][18]. - Gross profit guidance for Q4 2025 is projected between $166 million and $171 million, with full-year guidance of $550 million to $564 million [3][18]. - Adjusted EBITDA for Q4 2025 is expected to be between $83 million and $85 million, with full-year guidance of $209 million to $214 million [3][18]. Shareholder Actions - The company has repurchased 14% of its shares in 2025, indicating a commitment to returning value to shareholders [2][3].