Taboola shares jump 4% as Q2 revenue beats estimates, raises full-year outlook

Published 06/08/2025, 11:28
© Taboola PR

NEW YORK - On Wednesday, Taboola (NASDAQ:TBLA) reported second-quarter revenue that exceeded analyst expectations and raised its full-year guidance, signaling continued momentum in its advertising business.

The digital advertising company’s shares rose 4.36% in pre-market trading after the release.

The company posted revenue of $465.5 million for the quarter ended June 30, 2025, surpassing the consensus estimate of $448.7 million and representing an 8.7% increase from the same period last year. Adjusted EBITDA rose 21.3% to $45.2 million, with margins expanding to 26.2% from 24.9% a year earlier. Taboola reported a quarterly net loss of $0.01 per share, in line with analyst expectations.

"We delivered a strong second quarter, beating the high end of our guidance across our key metrics," said Adam Singolda, CEO of Taboola. "We bought back nearly 12% of the company in the first half of the year which reflects our confidence in the business and our long-term vision."

Revenue growth was primarily driven by an 8.5% increase in Scaled Advertisers, complemented by a 1.8% rise in Average Revenue per Scaled Advertiser. The company also reported strong contributions from its Taboola News and Bidded Supply segments.

Taboola’s Ex-TAC Gross Profit, a key metric for the company, increased 15.1% to $172.1 million, which included a 0.5% benefit from currency. Free Cash Flow improved to $34.2 million compared to $26.2 million in the year-ago quarter.

Looking ahead, Taboola raised its full-year 2025 revenue guidance to $1.858-$1.888 billion, up from its previous forecast and above the consensus estimate of $1.86 billion. For the third quarter, the company expects revenue between $461 million and $469 million, in line with analyst expectations of $462.8 million.

The company has been actively repurchasing shares, buying back nearly 12% of outstanding stock in the first half of 2025, and indicated plans to continue the buyback program.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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