Nexxen International Ltd
Q4 2025 Earnings
Market Reaction
S&P 500 over the same 30 days: −3.82%.
Did NEXN Beat Earnings? Q4 2025 Results
Nexxen International delivered a mixed Q4 2025, beating revenue expectations while falling short on the bottom line, as the absence of political advertising spending that had buoyed the year-ago quarter weighed heavily on results. Revenue came in at $100.71 million, topping the $91.93 million consensus by 9.56%, yet the 10.3% year-over-year decline underscored the political headwind at work. Non-IFRS diluted EPS of $0.33 missed the $0.40 consensus by 18.24%, reflecting a 47% drop in operating profit to $13.00 million and adjusted EBITDA margin compression from 42% to 35% on a Contribution ex-TAC basis. The company's shares had already absorbed punishment earlier, falling sharply after Nexxen trimmed its fiscal 2025 outlook due to a shift in spending from one DSP customer, though that customer has since increased year-over-year spend heading into 2026. Looking ahead, management guided full-year 2026 Contribution ex-TAC of $375 million to $390 million and Adjusted EBITDA of $122 million to $132 million, each implying roughly 10% growth at the midpoint.
- Programmatic revenue increased to 94% of revenue from 88% in Q4 2024
- Contribution ex-TAC per active customer increased to approximately $563,000 from $526,000 in 2024
- Political advertising absence negatively impacted Q4 2025 year-over-year comparisons
- Reduced spending by one DSP customer impacted Q4 2025
- Video revenue represented 72% of programmatic revenue
“We met our updated 2025 guidance and are off to a strong start in 2026, with Contribution ex-TAC and programmatic revenue exceeding our initial expectations to this point in Q1, driven by broad-based strength across our programmatic business lines.”
Nexxen International CEO, on the earnings call
Forward Guidance & Outlook
For full year 2026, Nexxen guides Contribution ex-TAC of $375-$390 million (approximately 8% YoY growth at midpoint), programmatic revenue of $367-$381 million (approximately 10% YoY growth at midpoint), and Adjusted EBITDA of $122-$132 million (approximately 10% YoY growth at midpoint, representing 33% Adjusted EBITDA Margin). Q1 2026 Contribution ex-TAC and programmatic revenue have exceeded management's initial expectations. The reduced spending by one DSP customer in Q4 2025 is expected to remain isolated and not affect 2026 performance. Management expects growth in CTV, self-service and data products revenue in 2026. Operating expenses are expected to decrease modestly as a percentage of Contribution ex-TAC. The company will continue evaluating strategic options for non-core, non-programmatic business lines following weakness in Q4 2025 that has persisted into Q1 2026.
NEXN YoY Financials
NEXN Revenue by Segment
Figures from SEC filings and company reports. Not investment advice.