Digital Turbine

Digital Turbine (APPS) Q4 2024 Earnings

Reported May 28, 2024 at 4:06 PM ET · SEC Source

Q4 24 EPS

$0.12

BEAT +71.43%

Est. $0.07

Q4 24 Revenue

$112.2M

MISS 4.65%

Est. $117.7M

vs S&P Since Q4 24

+398.7%

BEATING MARKET

APPS +441.5% vs S&P +42.9%

Full Year 2024 Results

FY 24 EPS

$0.58

FY 24 Revenue

$544.5M

Market Reaction

Did APPS Beat Earnings? Q4 2024 Results

Digital Turbine delivered a mixed fiscal fourth quarter, posting adjusted earnings that cleared Wall Street's bar even as revenue continued to slide. The Austin-based mobile technology company earned $0.12 per share on a non-GAAP basis, well above th… Read more Digital Turbine delivered a mixed fiscal fourth quarter, posting adjusted earnings that cleared Wall Street's bar even as revenue continued to slide. The Austin-based mobile technology company earned $0.12 per share on a non-GAAP basis, well above the $0.07 consensus estimate, but revenue of $112.22 million fell short of the $117.69 million analysts had expected and declined nearly 20% from the year-ago period, pressured by decade-low device upgrade rates and selective app distribution constraints in the U.S. Market. A $189.46 million noncash goodwill impairment charge deepened the pain on a GAAP basis, driving a net loss of $236.51 million for the quarter. Non-GAAP adjusted EBITDA also contracted sharply, falling to $12.30 million from $23.11 million a year prior. CEO Bill Stone pointed to new global device partnerships and a re-engineered ad tech platform as catalysts for recovery, and the company guided fiscal 2025 revenue of $540 million to $560 million alongside non-GAAP adjusted EBITDA of $85 million to $95 million, signaling expectations for stabilization ahead.

Key Takeaways

  • Decade-low device upgrade rates negatively impacted results
  • Selective app distribution limitations in the U.S.
  • 20% year-over-year revenue decline
  • Noncash goodwill impairment charge of $189.5 million in Q4
  • Total goodwill impairment charges of $336.6 million for full fiscal year 2024
24/7 Wall St

APPS YoY Financials

Q4 2024 vs Q4 2023, source: SEC Filings

24/7 Wall St

APPS Revenue by Segment

With YoY comparisons, source: SEC Filings

Q1 25 Q4 26

“We are seeing encouraging real-time momentum in the marketplace that we believe validates our strategy and positions the Company for a return to growth in the new fiscal year.”

— Bill Stone, Q4 2024 Earnings Press Release