e.l.f. Beauty stock plummets 20% as revenue and guidance fall short of expectations
NEW YORK - On Wednesday, Taboola.com Ltd. (NASDAQ:TBLA) reported third-quarter results that exceeded analyst expectations and raised its full-year guidance.
The performance advertising technology company’s shares rose 3.60% in pre-market trading after the results.
The company posted adjusted earnings of $0.02 per share for the third quarter, beating the analyst consensus of $0.00. Revenue reached $496.8 million, significantly outpacing the consensus estimate of $466.51 million and representing a 14.7% increase YoY. The strong performance was driven by 4.4% growth in Scaled Advertisers and a 10.9% increase in Average Revenue per Scaled Advertiser.
"We delivered another strong quarter with our third quarter results beating the high-end of our guidance across all metrics," said Adam Singolda, CEO of Taboola. "Realize is at an inflection point and driving meaningful success for our advertisers."
Ex-TAC Gross Profit, a key metric for the company, rose 6.3% to $176.8 million compared to the same period last year. This growth included a 0.6% benefit from currency fluctuations. The company reported net income of $5.2 million, a significant improvement from the $6.5 million loss in the third quarter of 2024.
For the fourth quarter, Taboola expects revenue between $532 million and $542 million and ex-TAC Gross Profit between $204 million and $210 million. The company raised its full-year 2025 outlook, now projecting revenue of $1.914 billion to $1.932 billion and ex-TAC Gross Profit of $700 million to $710 million.
The company has been aggressively repurchasing shares, having bought back 14% of the company this year, according to Singolda. Free Cash Flow for the quarter was $46.3 million, up from $42.9 million in the same period last year.
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