"Revenue -- $1.7 billion, representing 66% growth year over year, driven by advancements in core mobile gaming technology, seasonal momentum, and expansion in e-commerce. Adjusted EBITDA -- $1.4 billion, up 82% year over year, resulting in an 84% margin and over 700 basis points of margin expansion. Quarter-over-quarter adjusted EBITDA flow-through -- Approximately 95%, highlighting efficient incremental revenue conversion. Free cash flow -- $1.3 billion, a year-over-year increase of 88%, raising the cash balance to $2.5 billion."
"Share repurchases -- 800,000 shares repurchased and withheld during the quarter for $482 million; 6.4 million shares repurchased and withheld over the year for $2.6 billion, entirely funded by free cash flow. Remaining share repurchase authorization -- $3.3 billion as of period end. Weighted average diluted shares outstanding -- Reduced from 346 million to approximately 340 million over four quarters. Q1 2026 revenue guidance -- Forecasted between $1.7 billion and $1.8 billion, reflecting 5%-7% sequential growth. Q1 2026 adjusted EBITDA guidance -- Expected in the $1.5 billion to $1.5 billion range with an approximately 84% margin."
Revenue reached $1.7 billion, up 66% year over year, powered by core mobile gaming technology improvements, seasonal momentum, and e-commerce expansion. Adjusted EBITDA rose 82% to $1.4 billion, producing an 84% margin and over 700 basis points of margin expansion, with approximately 95% quarter-over-quarter flow-through. Free cash flow increased 88% to $1.3 billion, lifting cash to $2.5 billion. Full-year metrics include $5.5 billion revenue, $4.5 billion adjusted EBITDA at an 82% margin, and $4.0 billion free cash flow. Share repurchases totaled $2.6 billion for the year, with $3.3 billion remaining authorization. E-commerce self-service will expand in H1 2026 and generative AI creative tools are in pilot.
Read at The Motley Fool
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