Latest news with #DigitalTurbine
Yahoo
06-08-2025
- Business
- Yahoo
Why Digital Turbine Stock Is Plummeting Today
Key Points Digital Turbine posted a big sales beat in fiscal Q1, but its earnings for the period fell short of expectations. The digital marketing specialist raised its full-year sales outlook, but that hasn't been enough to stop big sell-offs for its stock. Following the company's latest quarterly report, investors have concerns about the business's margin trajectory. 10 stocks we like better than Digital Turbine › Digital Turbine (NASDAQ: APPS) stock is getting crushed Wednesday following the company's latest earnings report. The digital marketing player's share price was down 18% as of 1 p.m. ET. After the market closed yesterday, Digital Turbine published results for the first quarter of its current fiscal year -- a period that ended June 30. Despite raising its full-year sales outlook in conjunction with the report, the company's stock is falling due to investors' concerns about profitability. Digital Turbine stock sinks on Q1 profit miss Digital Turbine recorded non-GAAP (adjusted) earnings per share of $0.05 on revenue of $130.92 million in fiscal Q1. While sales for the period beat the average Wall Street analyst estimate by roughly $9 million, the company's earnings per share came in $0.03 lower than the target. Sales were up roughly 9% year over year and were strong enough to cause the digital marketing specialist to issue a significant increase for its full-year revenue outlook, but weaker-than-anticipated margins are causing investors to sell out of the stock. What's next for Digital Turbine? Digital Turbine is now guiding for full-year revenue to come in between $525 million and $535 million -- up from its previous guidance for sales to be between $515 million and $525 million. While the target increase is a significant one, it looks like most of the projected sales beat was already recorded last quarter. Given that last quarter's big sales beat also arrived with weaker-than-expected earnings, investors are taking a more cautious stance on the stock's outlook. Should you buy stock in Digital Turbine right now? Before you buy stock in Digital Turbine, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the for investors to buy now… and Digital Turbine wasn't one of them. The 10 stocks that made the cut could produce monster returns in the coming years. Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you'd have $619,036!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you'd have $1,092,648!* Now, it's worth noting Stock Advisor's total average return is 1,026% — a market-crushing outperformance compared to 180% for the S&P 500. Don't miss out on the latest top 10 list, available when you join Stock Advisor. See the 10 stocks » *Stock Advisor returns as of August 4, 2025 Keith Noonan has no position in any of the stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. Why Digital Turbine Stock Is Plummeting Today was originally published by The Motley Fool Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
06-08-2025
- Business
- Yahoo
Digital Turbine Inc (APPS) Q1 2026 Earnings Call Highlights: Strong Revenue Growth Amidst Challenges
Release Date: August 05, 2025 For the complete transcript of the earnings call, please refer to the full earnings call transcript. Positive Points Digital Turbine Inc (NASDAQ:APPS) reported an 11% year-over-year revenue growth, reaching $131 million. The company achieved a 73% increase in EBITA, reflecting strong operational performance. On-device solution business revenue grew by 18% year-over-year, driven by higher device volumes and improved revenue per device. The company made significant progress in first-party data and AI machine learning platforms, enhancing targeting and user experience. There was a nearly 50% increase in brand campaigns, indicating stronger and more diversified demand across various verticals. Negative Points The application growth platform business saw a 5% year-over-year decline in revenue. Despite positive cash flow, the company reported a GAAP net loss of $14.1 million for the fiscal first quarter. The cash balance decreased by approximately $6 million from the previous quarter, primarily due to working capital timing. Total debt remains high at $400.5 million, though there was a reduction of over $8 million quarter over quarter. The company faces ongoing challenges in stabilizing and growing its application growth platform business. Q & A Highlights Warning! GuruFocus has detected 5 Warning Signs with APPS. Q: Can you elaborate on the international carrier strength and RPD growth in the international business? Is this due to new customers or better rates? A: (Bill Stone, CEO) Our international on-device business grew by 70%, driven by better device volumes and improved RPDs. We are executing better and seeing stronger demand from other geographies. This demand is now being effectively channeled into markets like Latin America and Europe, enhancing our RPDs and overall performance. Q: The brand revenue was strong this quarter. Can you discuss the sustainability and visibility of this business? A: (Bill Stone, CEO) The brand business saw nearly a 50% increase in brand advertisers across various verticals. This diversification is encouraging, and we believe our mobile-first strategy is unique. We are committed to growing and scaling this segment, which is a long-term play for us. Q: Regarding the potential breakup of Apple and Google's app store monopoly, what are you seeing in terms of customer activity and alternative app store launches? A: (Bill Stone, CEO) The recent legal ruling in the Epic and Google case is encouraging for alternative app stores. We see strong interest from publishers seeking different billing methods and are leveraging our platform to offer options. We are also seeing traction in the US, Latin America, and the EU with various partners. Q: What needs to happen for the AGP business to return to year-over-year growth? Are there specific areas for improvement? A: (Bill Stone, CEO) Our supply side platform and DTX product are growing well. The key will be improving the performance side of the business, where we are investing in first-party data and AI. We saw sequential growth, which is encouraging for future quarters. Q: How do you see device sales trends affecting Digital Turbine going forward? A: (Bill Stone, CEO) Device sales have been a headwind, but recent trends are turning into a tailwind. We are seeing growth in device sales, which is encouraging. Additionally, we are expanding our device footprint with partners like T-Mobile and others, which should drive growth. For the complete transcript of the earnings call, please refer to the full earnings call transcript. This article first appeared on GuruFocus.
Globe and Mail
06-08-2025
- Business
- Globe and Mail
Digital Turbine (APPS) Q1 Revenue Up 11%
Key Points GAAP revenue rose 11% to $130.9 million in Q1 fiscal 2026, driven by strong On Device Solutions (ODS) performance. Non-GAAP adjusted EBITDA increased 73% to $25.1 million, while GAAP net loss narrowed to $14.1 million. Management raised full-year revenue and adjusted EBITDA guidance. These 10 stocks could mint the next wave of millionaires › Digital Turbine (NASDAQ:APPS), a software company specializing in mobile app distribution and monetization, reported its latest earnings for the quarter ended June 30, 2025. The results, announced on August 5, 2025, signaled a return to growth as GAAP revenue increased to $130.9 million, up 11% year over year. The company also delivered a sharp rise in non-GAAP adjusted EBITDA and narrowed its GAAP net loss compared to the prior year period. Although non-GAAP earnings per share (EPS) dipped from $0.07 in the prior-year quarter to $0.05, both revenue and profitability showed improvement in core business areas. The period marked meaningful operational progress, particularly in the ODS segment. With no analyst estimates available for comparison, management's raised forecasts for the rest of fiscal 2026 are the key takeaway this quarter. Metric Q1 FY26(ended June 30, 2025) Q1 FY25(ended June 30, 2024) Y/Y Change Revenue (GAAP) $130.9 million $118.0 million 10.9 % EPS (Non-GAAP) $0.05 $0.07 (28.6 %) Net Income (GAAP) $(14.1) million $(25.2) million N/A Adjusted EBITDA (Non-GAAP) $25.1 million $14.5 million 73.1 % Free Cash Flow (Non-GAAP) $1.4 million $(5.7) million N/A What Digital Turbine Does and Its Core Business Drivers Digital Turbine provides technology that simplifies how apps are delivered, discovered, and monetized on smartphones. Its main customers are mobile carriers, device manufacturers, app developers, and advertisers. The company has built a global platform that installs and promotes mobile apps directly on devices, leveraging a massive network—over two billion mobile devices worldwide use its software. The business relies on two segments: On Device Solutions (ODS), which supplies carriers and manufacturers with solutions to deliver apps and services straight to end users, and App Growth Platform (AGP), which helps app developers and brands reach potential users through targeted advertising and analytics. To succeed, Digital Turbine must maintain strong partnerships with wireless carriers and device makers, continually advance its technology to outpace competitors, and adapt its business to new privacy and regulatory standards. Quarter in Review: Growth Engines and Headwinds GAAP revenue grew 11% compared to the prior year. The ODS segment was the main engine, increasing GAAP revenue before eliminations by 18% to $95.4 million. Key to this improvement was stronger performance of the Ignite platform, an app delivery tool pre-installed on devices, and modestly improved device sales. On Device Solutions now generates the majority of the company's revenue. AGP, which includes Digital Turbine's app discovery and advertising platforms, saw revenue decrease by 5% to $36.3 million compared to the prior-year period. The segment remains pressured by increased competition and market changes. However, management pointed to new opportunities involving non-gaming brands and international expansion, as well as increased use of first-party data and artificial intelligence to enhance results. Management views AGP as crucial for the company's diversification and future development. Profitability metrics reflected improved operational leverage. Gross profit rose alongside margins, with non-GAAP gross margin reaching 47%, up from 46% in the prior-year quarter. GAAP net loss narrowed to $14.1 million, less than the $25.2 million loss in the prior-year period, driven primarily by top-line gains. Improved non-GAAP free cash flow—$1.4 million versus a negative $5.7 million in the prior-year quarter—underlined better cash management, though heavy capital expenditures and elevated debt continued to weigh on the balance sheet. Noteworthy this quarter was a modest decrease in cash to $34.1 million, down from $40.1 million at the end of the previous quarter, and a persistently high debt level at $400.5 million. The company's reliance on a few key carrier partners remained unchanged, maintaining a degree of revenue risk. There were no dividends declared or changes to dividend policy—Digital Turbine does not currently pay a dividend. Looking Forward: Management Guidance and Investor Focus Management has raised its financial outlook for fiscal 2026. It now expects revenue between $525 million and $535 million for the year, above prior guidance. The non-GAAP adjusted EBITDA range is now $90 million to $95 million for fiscal 2026, up from earlier forecasts. These revised figures reflect increased confidence in the ODS segment and improved device sales. The company did not provide a forecast for net income due to variability in stock-based compensation and other one-time items. Operating expenses are projected to remain relatively flat, according to the latest call (Q4 fiscal 2025 earnings call), suggesting additional gains in profitability could be driven by top-line growth. Looking ahead, investors should monitor further revenue progress in ODS, as well as any rebound in AGP segment metrics. The competitive landscape—dominated by larger platforms and alternative app distribution models—will remain a key variable. Management emphasizes the importance of expanding partnerships, exploring alternative app distribution channels, and leveraging new technology like AI and first-party analytics. Cash flow, capital expenditures, debt reduction, and customer concentration will also remain central topics in the next quarters. Revenue and net income presented using U.S. generally accepted accounting principles (GAAP) unless otherwise noted. Where to invest $1,000 right now When our analyst team has a stock tip, it can pay to listen. After all, Stock Advisor's total average return is 1,039%* — a market-crushing outperformance compared to 181% for the S&P 500. They just revealed what they believe are the 10 best stocks for investors to buy right now, available when you join Stock Advisor. See the stocks » *Stock Advisor returns as of August 4, 2025
Yahoo
23-07-2025
- Business
- Yahoo
Digital Turbine to Host Fiscal 2026 First Quarter Financial Results Conference Call on August 5, 2025, at 4:30p ET
AUSTIN, Texas, July 23, 2025 /PRNewswire/ -- Digital Turbine, Inc. (Nasdaq: APPS), a global mobile platform company, announced it will host a conference call and webcast to discuss its fiscal 2026 first quarter financial results and operating progress on Tuesday, August 5th, at 4:30pm ET/1:30pm PT. The call, hosted by Digital Turbine's Chief Executive Officer Bill Stone and Chief Financial Officer Steve Lasher, can be accessed via webcast link: The call can also be accessed by dialing 888-317-6003 in the United States (or 412-317-6061 from international locations) and entering access code 6968884. A live and archived webcast of the call can be accessed via the Investor Relations section of Digital Turbine's website. The webcast will be archived for a period of one year. For those unable to join the live call, a playback will be available through August 12th, 2025. The replay can be accessed by dialing 877-344-7529 in the United States or 412-317-0088 from international locations, passcode 2487796. About Digital Turbine Digital Turbine is the driving force behind superior mobile experiences for consumers and results for the world's leading mobile operators, advertisers and publishers. Our platform uniquely simplifies our partners' ability to drive end-to-end recognition, acquisition and monetization - connecting them to more consumers, in more ways, on more devices. Digital Turbine is headquartered in North America, with offices around the world. For additional information visit Follow Digital Turbine: Twitter Facebook LinkedIn Digital TurbineInvestor Relations Contact: Brian BartholomewDigital View original content to download multimedia: SOURCE Digital Turbine, Inc.
Yahoo
21-06-2025
- Business
- Yahoo
Why Digital Turbine Stock Skyrocketed This Week
Digital Turbine stock rocketed higher after the company posted stronger-than-anticipated quarterly results on Tuesday. The company also issued guidance for its new fiscal year that topped Wall Street's targets. Digital Turbine's cost-cutting moves and increased focus on AI appear to have the business moving in the right direction. 10 stocks we like better than Digital Turbine › Digital Turbine (NASDAQ: APPS) stock saw explosive gains after reporting quarterly results earlier this week. The company's share price closed out the week up 23.1% from the previous week's market close. Before the market opened on Tuesday, Digital Turbine published its results for the fourth quarter of its last fiscal year, which wrapped up on March 31. While the stock saw significant pullbacks later in the week, it still ended the stretch with big gains. Digital Turbine's fiscal Q4 report arrived with sales and earnings that came in ahead of Wall Street's expectations. The business posted non-GAAP (adjusted) earnings per share of $0.10 on sales of $119.15 million, beating the average analyst estimate's call for adjusted per-share earnings of $0.04 on revenue of $116.64 million. While its adjusted per-share profit was down roughly 16.7% year over year, sales were up by around 6.2%. Investors were happy to see stronger-than-anticipated sales and earnings performance in the period. In addition to reporting Q4 results that beat Wall Street's targets, the adtech specialist also issued forward guidance that came in better than anticipated. With guidance for sales between $515 million and $525 million this year, Digital Turbine's midpoint target calls for annual revenue growth of roughly 6%. Meanwhile, the company is targeting adjusted earnings before interest, taxes, depreciation, and amortization (EBITDA) of between $85 million and $90 million. Hitting the midpoint of that guidance range would mean posting annual growth of 21%. Digital Turbine's business appears to be stabilizing, and its efforts to integrate artificial intelligence (AI) tools into its services for app promotions appear to be yielding beneficial results. The company's heavy exposure to the Chinese market poses a significant risk factor if geopolitical tensions with the U.S. continue to rise, but the company's cost-cutting moves and strategic shifts have been bearing fruit. Before you buy stock in Digital Turbine, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the for investors to buy now… and Digital Turbine wasn't one of them. The 10 stocks that made the cut could produce monster returns in the coming years. Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you'd have $664,089!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you'd have $881,731!* Now, it's worth noting Stock Advisor's total average return is 994% — a market-crushing outperformance compared to 172% for the S&P 500. Don't miss out on the latest top 10 list, available when you join . See the 10 stocks » *Stock Advisor returns as of June 9, 2025 Keith Noonan has no position in any of the stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. Why Digital Turbine Stock Skyrocketed This Week was originally published by The Motley Fool
