"LiveRamp, which reported its Q4 earnings on Thursday, is staring straight down the barrel of this conventional wisdom. Its shares have fallen by roughly one-third over the past year and, because it's the main subscription hub for martech and SaaS companies - the SaaS vendor at the very heart of other SaaS business models - many investors see LiveRamp as a proxy for the entire category. But LiveRamp is putting up a good fight."
"Still, the main theme of the call was the growth of AI and investors sharing their pessimistic positions on SaaS businesses. "I'm bullish on the future," Howe told investors during his opening remarks. "In contrast to what Wall Street may believe about the software sector overall, we believe AI is a tailwind, a true force multiplier for our platform as the advertising ecosystem looks to adopt AI in a trusted, secure way.""
Wall Street investors have grown skeptical that subscription software will survive widespread AI adoption, treating SaaS developers as particularly vulnerable. LiveRamp, a central subscription hub for martech and SaaS companies, experienced a roughly one‑third share decline over the past year yet reported Q4 revenue of $212 million, up 9% year over year, and net profit of $40 million, up from $12 million the year prior. CEO Scott Howe portrayed AI as a tailwind and a "true force multiplier" for the platform as advertisers adopt AI in trusted, secure ways. Shares recovered modestly (up 2–3%) after the earnings report, while analysts credited strong financials, record operating margins, a debt‑free balance sheet, and direct engagement with investor skepticism.
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