Taboola.com (TBLA) Q4 2024 earnings summary

Executive summary

• Achieved record financial results in 2024, with revenue up 23% year-over-year to $1.77B, ex-TAC gross profit up 25% to $667M, and Adjusted EBITDA more than doubling to $201M.

• Exceeded free cash flow targets by 49%, generating $149M, nearly three times the prior year.

• Launched Realize, a new performance advertising platform, expanding beyond native ads to target a $55B+ market opportunity.

• Increased share repurchase authorization by $200M, reflecting confidence in future growth.

• Record scaled advertiser count grew 19% to 2,100, with average revenue per scaled advertiser up 1% to $199,000.

Financial highlights

• Q4 2024 revenue reached $491M; full-year revenue was $1.77B, up from $1.44B in 2023.

• Q4 ex-TAC gross profit was $212.7M, up 26% year-over-year; full-year ex-TAC gross profit was $667.5M, up 25%.

• Q4 Adjusted EBITDA was $92.3M, up 84% year-over-year; full-year Adjusted EBITDA was $200.9M, up 104%.

• Q4 net income was $33.1M; full-year net loss narrowed to $3.8M, with non-GAAP net income at $122.4M.

• Free cash flow for 2024 was $149.2M, with a 74.2% conversion from Adjusted EBITDA.

Outlook and guidance

• FY 2025 guidance: revenue $1.838B–$1.89B, ex-TAC gross profit $674M–$690M, Adjusted EBITDA $201M–$209M, maintaining a 30% EBITDA margin.

• Q1 2025 revenue expected between $407M–$427M; ex-TAC gross profit $142M–$148M; Adjusted EBITDA $22M–$26M.

• Guidance is conservative to allow time for Realize to gain traction.