"AppLovin posted its third-quarter earnings report on Nov. 5. The adtech company's revenue surged 68% year over year to $1.41 billion and exceeded analysts' expectations by $70 million. Its adjusted earnings before interest, taxes, depreciation, and amortization ( EBITDA) jumped 90% to $1.16 billion, while its earnings per share ( EPS) rose 96% to $2.45 and cleared the consensus forecast by $0.06."
"AppLovin was originally a mobile game publisher. But in 2022, it acquired the mobile adtech company MoPub and the connected TV advertising company Wurl to expand its digital advertising business. In 2023, it launched its artificial intelligence (AI)-powered Axon ad discovery platform. As it helped more mobile developers monetize their apps, its growth accelerated. AppLovin subsequently expanded its advertising ecosystem into non-gaming markets (like e-commerce marketplaces and connected TV services), and launched a new self-service platform that allowed advertisers to manage their own ad campaigns."
AppLovin delivered strong third-quarter results with revenue up 68% year over year to $1.41 billion, adjusted EBITDA up 90% to $1.16 billion, and EPS rising 96% to $2.45. Those growth rates exclude the mobile gaming business sold to Tripledot Studios, and management expects sequential fourth-quarter revenue growth of 12%–14% and adjusted EBITDA growth of 11%–14%. Strategic moves since 2022 — including acquisitions of MoPub and Wurl and the 2023 launch of the AI-powered Axon platform — shifted the company toward an AI-driven adtech model. Expansion into non-gaming markets and a self-service advertiser platform made advertising the core growth engine. An SEC probe into data-collection practices is creating regulatory uncertainty that likely capped post-earnings stock gains.
Read at The Motley Fool
Unable to calculate read time
Collection
[
|
...
]