Teads | 8-K: FY2025 Q3 Revenue Misses Estimate at USD 318.77 M

Revenue: As of FY2025 Q3, the actual value is USD 318.77 M, missing the estimate of USD 335.38 M.

EPS: As of FY2025 Q3, the actual value is USD -0.21.

Segment Revenue

• Revenue for Q3 2025 was $318.8 million, marking a 42% increase from $224.2 million in Q3 2024. For the nine months ended September 30, 2025, revenue was $948.2 million, a 45% increase from $655.3 million in the same period of 2024.

Operational Metrics

• Gross profit for Q3 2025 was $105.7 million, a 116% increase from $48.9 million in Q3 2024. The gross margin increased to 33.2% from 21.8% in the prior year period.
• Net loss for Q3 2025 was -$19.7 million, compared to net income of $6.7 million in Q3 2024. For the nine months ended September 30, 2025, the net loss was -$88.8 million, compared to a net loss of -$0.5 million in the same period of 2024.
• Adjusted EBITDA for Q3 2025 was $19.2 million, a 66% increase from $11.5 million in Q3 2024.

Cash Flow

• Net cash used in operating activities for Q3 2025 was -$23.7 million, compared to net cash provided by operating activities of $13.7 million in Q3 2024.
• Adjusted free cash flow for Q3 2025 was -$24.0 million, compared to $8.7 million in Q3 2024.

Unique Metrics

• Ex-TAC gross profit for Q3 2025 was $130.5 million, a 119% increase from $59.7 million in Q3 2024. Ex-TAC gross margin increased to 41.0% from 26.6% in the prior year period.

Outlook / Guidance

• For Q4 2025, Teads expects Ex-TAC gross profit to be between $142 million and $152 million, and Adjusted EBITDA to be between $26 million and $36 million.