Core Insights - LiveRamp reported a total revenue of $200 million for the quarter ended September 30, 2025, representing an 8% increase year-over-year [7] - The company achieved an annual recurring revenue (ARR) of $516 million, up $14 million quarter-over-quarter and a 7% increase year-over-year [5][9] - LiveRamp's share repurchases totaled $80 million fiscal year-to-date, with $50 million spent in the second quarter [7] Financial Performance - Subscription revenue reached $150 million, a 5% increase year-over-year, while Marketplace & Other revenue was $50 million, up 18% [6][7] - GAAP gross profit was $140 million, reflecting a 4% increase, with a gross margin of 70%, down 2 percentage points from the previous year [7] - Operating income under GAAP was $21 million, compared to $7 million in the prior year, with an operating margin of 11%, expanding by 7 percentage points [7][8] Earnings and Cash Flow - GAAP diluted earnings per share were $0.42, while non-GAAP diluted earnings per share were $0.55 [8] - Net cash provided by operating activities was $57 million, slightly up from $56 million in the previous year [7] - Free cash flow for the quarter was $56.8 million, indicating strong cash generation capabilities [46] Business Highlights - The company launched three new AI tools aimed at enhancing its data collaboration platform, focusing on autonomous AI agents, AI-powered segmentation, and AI-powered search capabilities [9] - LiveRamp expanded its first-party data activation capabilities on Netflix to ten new geographic markets, enhancing its service offerings [9] - The company was recognized as a Leader in Data Collaboration in Snowflake's 2026 Modern Marketing Stack Report, underscoring its market position [9] Customer Metrics - LiveRamp ended the quarter with 132 customers whose annualized subscription revenue exceeds $1 million, up from 125 in the prior year [9] - The total number of direct subscription customers decreased to 834 from 885 year-over-year [9] - Subscription net retention was reported at 102%, while platform net retention stood at 105% [9] Future Outlook - LiveRamp expects revenue for the third quarter of fiscal 2026 to be between $209 million and $213 million, reflecting an increase of 7% to 9% [17] - The company anticipates GAAP operating income for the same period to be between $33 million and $35 million [17] - For the full fiscal year 2026, revenue is projected to be between $804 million and $818 million, an increase of 8% to 10% [17]