Verve Group (VRV) Q3 2025 earnings summary

Executive summary

• Q3 2025 marked a pivotal period with the completion of in-app platform unification, driving cost efficiencies, increased yield, and improved performance, setting up positive momentum for Q4.

• Strategic acquisitions of Captify Technologies, Acardo, and Viewento expanded demand-side capabilities, geographic reach, and data solutions.

• Investments continued in product, data, AI, and sales expansion to support long-term growth.

• Revenue and EBITDA declined year-over-year due to platform unification, market softness, and absence of political ad spend, but late-quarter momentum and efficiency gains set up a strong Q4.

• Inclusion in the SDAX index and executive team expansion signal strengthened market position and leadership.

Financial highlights

• Q3 2025 reported revenue grew 25% year-over-year to €141.9m–€142m, but like-for-like revenue declined 3% to €110m due to revenue recognition changes.

• Adjusted EBITDA was €26m–€26.1m, down 22% year-over-year, with an adjusted EBITDA margin of 18% (reported) or 24% (like-for-like).

• Gross margin improved to 37%, up 2 percentage points versus Q2 and Q3 2024.

• Operating cash flow was €4.7m–€34.3m, significantly lower than prior year due to working capital changes and acquisition-related liabilities.

• Total net debt increased to €421.2m, with a cash position of €111.9m.

Outlook and guidance

• Full-year 2025 net revenue guidance reaffirmed and updated to €560–580m, including M&A and revenue recognition effects.

• Adjusted EBITDA guidance maintained at €125–140m, reflecting ongoing investments.

• Q4 expected to deliver net revenues of €200m–€223m and EBITDA between €39m–€54m.

• Management expects a strong Q4 and successful 2026, with positive contributions from acquisitions and efficiency measures.

• Guidance reflects continued FX headwinds and softer market conditions, especially in political ad spend.