Companies /Technology

Digital Turbine Inc

NASDAQ: APPS Software - Application
$11.80
▲ $0.74 (+6.69%) today
Markets closed · 4:56pm ET

Q3 2025 Earnings

Reported Feb 5, 2025, 4:08pm ET · SEC source
$0.13
Beat +116.67%
EPS · est. $0.06
$134.6M
Beat +8.86%
Revenue · est. $123.7M
−34.0%
Trailing market
APPS vs S&P since report
4 quarters
Consecutive EPS beats

Market Reaction

% change · around the report
−30%0+30%Feb 5Feb 6report 4:08pm ETearnings+0.3%+41.1%
−30%0+30%Feb 5Feb 6earnings+0.3%+41.1%
APPS +41.1%S&P 500 +0.3%
−30%0+30%Feb 5Feb 6report 4:08pm ETearnings+0.5%+41.1%
−30%0+30%Feb 5Feb 6earnings+0.5%+41.1%
APPS +41.1%NASDAQ +0.5%
0+40%+80%+120%Feb 4Feb 13report 4:08pm ETearnings+0.8%+107.8%
0+40%+80%+120%Feb 4Feb 13earnings+0.8%+107.8%
APPS +107.8%S&P 500 +0.8%
0+40%+80%+120%Feb 4Feb 13report 4:08pm ETearnings+1.5%+107.8%
0+40%+80%+120%Feb 4Feb 13earnings+1.5%+107.8%
APPS +107.8%NASDAQ +1.5%
+96.46%
Day of report
−1.80%
Next session
+30.66%
One week
−42.28%
30 days

S&P 500 over the same 30 days: −8.31%.

Did APPS Beat Earnings? Q3 2025 Results

Digital Turbine delivered a standout fiscal third quarter, posting non-GAAP adjusted EPS of $0.13 against a consensus estimate of just $0.06, a beat of more than 116%, while revenue of $134.64 million topped the $123.68 million Wall Street expected and climbed 13.4% year-over-year, driven by strong advertiser and publisher demand for its On-Device product offerings and accelerating agency and brand spending on the App Growth Platform. The results sent shares surging nearly 72% in the session following the report, reflecting the degree to which the quarter exceeded expectations. Non-GAAP adjusted EBITDA came in at $22.00 million, a 44% sequential improvement, as the company's profit-optimization initiatives began showing tangible results in operating performance and free cash flow generation. Management raised its full fiscal year 2025 outlook, now guiding for revenue of $485 million to $490 million and non-GAAP adjusted EBITDA of $69 million to $71 million, with CEO Bill Stone signaling that year-over-year revenue growth is expected to resume in the March quarter alongside more material EBITDA expansion.

Key Takeaways
  • Strong advertiser and publisher demand for On-Device product offerings
  • Continuing growth in spending from leading advertising agencies and brand advertisers on App Growth Platform
  • Transformational profit-optimization measures driving improved operating performance
  • 13% sequential revenue growth quarter-over-quarter
  • 44% sequential increase in non-GAAP adjusted EBITDA

“Our financial results exceeded our expectations in the December quarter with improved execution and the enactment of transformational profit-optimization measures driving improved operating performance and free cash flow.”

Digital Turbine CEO, on the earnings call

Forward Guidance & Outlook

Digital Turbine raised its fiscal year 2025 annual guidance. The company now expects revenue of $485 million to $490 million and non-GAAP adjusted EBITDA of $69 million to $71 million. Management indicated this implies year-over-year revenue growth in the March quarter (fiscal Q4 2025) with more material year-over-year growth in EBITDA.

APPS YoY Financials

Q3 2025 vs Q3 2024 · SEC filings Q3 2024 Q3 2025
$0$50.0M$100.0M$118.7M$134.6MRevenue$-12,050,458$-12,753,000Operating Income$-21,533,234$-23,131,000Net Income
$0$50.0M$100.0MRevenueOperating IncomeNet Income

APPS Revenue by Segment

On Device Solutions$91.7M−3.0%
App Growth Platform$44.2M−10.0%

Figures from SEC filings and company reports. Not investment advice.