CRITEO REPORTS FIRST QUARTER 2026 RESULTS
Rhea-AI Summary
Criteo (NASDAQ: CRTO) reported Q1 2026 results: revenue $425M, gross profit $223M, Contribution ex-TAC $250M, net income $9M and adjusted EBITDA $65M. Q1 media spend topped $1.0B and the company repurchased $31M of shares. Fiscal 2026 guidance expects low-single-digit Contribution ex-TAC decline.
Positive
- Q1 media spend surpassed $1.0 billion (first time)
- Cash and marketable securities of $371 million as of March 31, 2026
- Deployed $31 million for share repurchases in Q1 2026
- Expanded partnerships (OpenAI ad integration, DoorDash Canada, Hyundai Department Store APAC)
Negative
- Revenue declined 6% YoY to $425 million
- Net income fell to $9 million from $40 million (79% decline)
- Adjusted EBITDA down 30% YoY to $65 million
- Retail Media Contribution ex-TAC down 31% YoY, with $27 million scope headwind
News Market Reaction – CRTO
On the day this news was published, CRTO declined 21.17%, reflecting a significant negative market reaction. Argus tracked a trough of -10.9% from its starting point during tracking. Our momentum scanner triggered 45 alerts that day, indicating elevated trading interest and price volatility. This price movement removed approximately $269M from the company's valuation, bringing the market cap to $1.00B at that time. Trading volume was exceptionally heavy at 5.4x the daily average, suggesting significant selling pressure.
Data tracked by StockTitan Argus on the day of publication.
Key Figures
Market Reality Check
Peers on Argus
CRTO gained 4.52% with mixed peer moves: QNST +7.21% and STGW +3.91% rose, while EEX -1.29% and ZD -1.19% fell. With no peers in the momentum scanner and divergent directions, the move screens as stock-specific rather than a broad advertising-agency rotation.
Previous Earnings Reports
| Date | Event | Sentiment | Move | Catalyst |
|---|---|---|---|---|
| Feb 11 | Quarterly earnings | Positive | -5.0% | Q4 2025 results with solid profitability, buybacks and 2026 guidance. |
| Oct 29 | Strong earnings | Positive | +6.2% | Q3 2025 beat with higher Contribution ex‑TAC, EBITDA and raised margin view. |
| Jul 30 | Strong earnings | Positive | +0.7% | Q2 2025 growth in revenue and Contribution ex‑TAC plus raised guidance. |
| May 02 | Record earnings | Positive | -11.8% | Record Q1 2025 with strong growth but disclosure of major client scope cut. |
| Feb 05 | Record earnings | Positive | +17.6% | Record Q4 2024, expanding margins, high media spend and large buybacks. |
Earnings releases have mostly been positive fundamentally, with three aligned price reactions and two notable selloffs on strong results, showing a mixed but slightly favorable response pattern.
Over the last five earnings cycles, Criteo reported generally strong fundamentals, including record quarters and consistent profitability. Q4 2024 and Q2/Q3 2025 highlighted growing Contribution ex‑TAC, robust Adjusted EBITDA, and sizable buybacks. However, Q1 and Q4 2025 showed that positive results and guidance still sometimes led to selloffs. Against this backdrop, the current Q1 2026 release, which combines softer year-over-year metrics with continued investment and capital returns, follows a history where market reactions to earnings have been uneven despite broadly constructive trends.
Historical Comparison
Across 5 recent earnings releases, average next-day move was about 1.53%, with a mix of sharp rallies and selloffs on broadly positive fundamentals.
Recent earnings trace a path from record 2024 and strong 2025 growth, with expanding media spend and buybacks, into 2026 where guidance and segment headwinds imply a more tempered trajectory versus prior mid‑single‑digit growth ambitions.
Market Pulse Summary
The stock dropped -21.2% in the session following this news. A negative reaction despite management’s focus on AI expansion, partnerships, and ongoing buybacks would fit prior episodes where strong fundamentals failed to support the share price, notably Q1 and Q4 2025. With Q1 2026 showing declines in revenue, net income, and Free Cash Flow alongside cautious guidance, a sharp selloff would be consistent with concerns about slowing growth, Retail Media scope reductions, and higher operating expenses pressuring profitability.
Key Terms
adjusted ebitda financial
free cash flow financial
non-gaap financial measures financial
traffic acquisition costs financial
adjusted net income financial
AI-generated analysis. Not financial advice.
Q1 Activated Media Spend Surpasses
Deployed
First Quarter 2026 Financial Highlights:
The following table summarizes our consolidated financial results for the three months ended March 31, 2026:
Three Months Ended | |||||
March 31, | |||||
2026 | 2025 | YoY Change | |||
(in millions, except EPS data) | |||||
GAAP Results | |||||
Revenue | (6) % | ||||
Gross Profit | (6) % | ||||
Net Income | (79) % | ||||
Gross Profit margin | 52 % | 52 % | 0 ppt | ||
Diluted EPS | (77) % | ||||
Cash from operating activities | (23) % | ||||
Cash and cash equivalents | 12 % | ||||
Non-GAAP Results1 | |||||
Contribution ex-TAC | (5) % | ||||
Adjusted EBITDA | (30) % | ||||
Adjusted diluted EPS | (34) % | ||||
Free Cash Flow (FCF) | (65) % | ||||
FCF / Adjusted EBITDA | 25 % | 49 % | (24) ppt | ||
"We delivered a solid start to 2026 with disciplined execution and meaningful progress against our strategy," said Michael Komasinski, Chief Executive Officer of Criteo. "While the near-term outlook reflects a more challenging environment, we are advancing our AI roadmap, strengthening our commercial organization, and scaling our AI-driven solutions across Performance Media and Retail Media. We remain confident in our path to reacceleration and the opportunity ahead."
Operating Highlights
- Criteo became the first advertising technology partner integrating with OpenAI's advertising solution.
- We expanded our GO platform with full self-service access and agentic onboarding for small and mid-sized businesses (SMBs).
- Criteo's media spend2 was
$4.4 billion $1.0 billion 8% year-over-year at constant currency3. - Retail Media Contribution ex-TAC was down (32)% year-over-year at constant currency3, as expected, reflecting the impact of previously communicated scope changes with two specific Retail Media clients. Excluding this impact, Contribution ex-TAC grew
24% in Q1 across the underlying client base. - We expanded our DoorDash partnership in
Canada and added Hyundai Department Store in APAC, further strengthening our Retail Media footprint. - Performance Media Contribution ex-TAC was down (2)% year-over-year at constant currency3.
- We deployed
$31 million - We received overwhelming shareholder support to redomicile from
France to Luxembourg, with completion expected in the third quarter of 2026.
___________________________________________________ |
1 Contribution ex-TAC, Adjusted EBITDA, Adjusted EBITDA margin, Adjusted diluted EPS and Free Cash Flow are not measures calculated in accordance with |
2 Media spend is defined as working media spend allocated to Retail Media campaigns and media spend activated on behalf of Performance Media clients. |
3 Constant currency measures exclude the impact of foreign currency fluctuations and is computed by applying the prior year monthly exchange rates to transactions denominated in settlement or billing currencies other than the |
Financial Summary
Revenue for Q1 2026 was
Sarah Glickman, Chief Financial Officer, said, "Our first quarter results reflect strong execution, while our outlook incorporates macro volatility, including geopolitical tensions in the
First Quarter 2026 Results
Revenue, Gross Profit and Contribution ex-TAC
Revenue decreased (6)% year-over-year in Q1 2026, or decreased (9)% at constant currency, to
- Retail Media revenue decreased (31)%, or (32)% at constant currency, and Retail Media Contribution ex-TAC decreased (31)%, or (32)% at constant currency, reflecting a
$27 million 24% in Q1 across the underlying client base.
- Performance Media revenue decreased (2)%, or decreased (6)% at constant currency, and Performance Media Contribution ex-TAC increased
2% , or decreased (2)% at constant currency, reflecting mixed trends in Commerce Growth, continued momentum in our SSP, and improvement in AdTech services.
Net Income and Adjusted Net Income
Net income was
Adjusted net income, a non-GAAP financial measure, was
Adjusted EBITDA and Operating Expenses
Adjusted EBITDA was
Operating expenses increased
Cash Flow, Cash and Financial Liquidity Position
Cash flow from operating activities was
Free Cash Flow was
Cash and cash equivalents, and marketable securities, were
As of March 31, 2026, the Company had total financial liquidity of approximately
2026 Business Outlook
The following forward-looking statements reflect Criteo's expectations as of May 6, 2026, including current macro-economic conditions, ongoing geopolitical tensions in the
Fiscal year 2026 guidance:
- We now expect Contribution ex-TAC to decrease low-single-digit at constant currency.
- We continue to expect an Adjusted EBITDA margin of approximately
32% to34% of Contribution ex-TAC.
Second quarter 2026 guidance:
- We expect Contribution ex-TAC between
$260 million $264 million 11% to -9% year-over-year at constant-currency. - We expect Adjusted EBITDA between
$67 million $71 million
The Company's second quarter 2026 guidance reflects the temporary impact of previously communicated scope changes with two specific Retail Media clients.
The above guidance for the fiscal year ending December 31, 2026 assumes the following exchange rates for the main currencies impacting our business: a
The above guidance assumes that no acquisitions and dispositions are completed during the second quarter of 2026 or the fiscal year ended December 31, 2026.
Reconciliations of Contribution ex-TAC, Adjusted EBITDA and Adjusted EBITDA margin guidance to the closest corresponding
Non-GAAP Financial Measures
This press release and its attachments include the following financial measures defined as non-GAAP financial measures by the
Contribution ex-TAC is a profitability measure akin to gross profit. It is calculated by deducting traffic acquisition costs from revenue and reconciled to gross profit through the exclusion of other costs of revenue. Contribution ex-TAC is not a measure calculated in accordance with
Adjusted EBITDA is our consolidated earnings before financial income (expense), income taxes, depreciation and amortization, adjusted to eliminate the impact of equity related compensation, which includes employee equity awards compensation and director fees for share purchases, pension service costs, certain acquisition costs, certain restructuring and related costs, integration and transformation costs, and other nonrecurring or noncash items impacting net income that we do not consider indicative of our ongoing business performance. Adjusted EBITDA and Adjusted EBITDA margin are key measures used by our management and board of directors to understand and evaluate our core operating performance and trends, to prepare and approve our annual budget and to develop short- and long-term operational plans. In particular, we believe that Adjusted EBITDA and Adjusted EBITDA margin can provide useful measures for period-to-period comparisons of our business. Accordingly, we believe that Adjusted EBITDA and Adjusted EBITDA margin provide useful information to investors and the market generally in understanding and evaluating our results of operations in the same manner as our management and board of directors.
Adjusted Net Income is our net income adjusted to eliminate the impact of equity related compensation, which includes employee equity awards compensation and director fees for share purchases, amortization of acquisition-related assets, certain restructuring and related costs, integration and transformation costs, certain acquisition costs, other nonrecurring or noncash items impacting net income that we do not consider indicative of our ongoing business performance, and the tax impact of these adjustments. Adjusted Net Income and Adjusted diluted EPS are key measures used by our management and board of directors to evaluate operating performance, generate future operating plans and make strategic decisions regarding the allocation of capital. In particular, we believe that Adjusted Net Income and Adjusted diluted EPS can provide useful measures for period-to-period comparisons of our business. Accordingly, we believe that Adjusted Net Income and Adjusted diluted EPS provide useful information to investors and the market generally in understanding and evaluating our results of operations in the same manner as our management and board of directors.
Free Cash Flow is defined as cash flow from operating activities less net acquisition of intangible assets, property, and equipment. Free Cash Flow Conversion is defined as free cash flow divided by Adjusted EBITDA. Free Cash Flow and Free Cash Flow Conversion are key measures used by our management and board of directors to evaluate the Company's ability to generate cash. Accordingly, we believe that Free Cash Flow and Free Cash Flow Conversion permit a more complete and comprehensive analysis of our available cash flows.
Non-GAAP Operating Expenses are our consolidated operating expenses adjusted to eliminate depreciation and amortization, equity related compensation, which includes employee equity awards compensation and director fees for share purchases, pension service costs, certain restructuring and related costs, integration and transformation costs, certain acquisition costs, and other nonrecurring or noncash items. The Company uses Non-GAAP Operating Expenses to understand and compare operating results across accounting periods, for internal budgeting and forecasting purposes, for short-term and long-term operational plans, and to assess and measure our financial performance and the ability of our operations to generate cash. We believe Non-GAAP Operating Expenses reflects our ongoing operating expenses in a manner that allows for meaningful period-to-period comparisons and analysis of trends in our business. As a result, we believe that Non-GAAP Operating Expenses provides useful information to investors in understanding and evaluating our core operating performance and trends in the same manner as our management and in comparing financial results across periods. In addition, Non-GAAP Operating Expenses is a key component in calculating Adjusted EBITDA, which is one of the key measures the Company uses to provide its quarterly and annual business outlook to the investment community.
Please refer to the supplemental financial tables provided in the appendix of this press release for a reconciliation of Contribution ex-TAC to gross profit, Adjusted EBITDA to net income, Adjusted Net Income to net income, Free Cash Flow to cash flow from operating activities, and Non-GAAP Operating Expenses to operating expenses, in each case, the most comparable
Forward-Looking Statements Disclosure
This press release contains forward-looking statements, including projected financial results for the quarter ending December 31, 2026 and the year ending December 31, 2026, our expectations regarding our market opportunity and future growth prospects and other statements that are not historical facts and involve risks and uncertainties that could cause actual results to differ materially. Factors that might cause or contribute to such differences include, but are not limited to: failure related to our technology and our ability to innovate and respond to changes in technology, including our use and expected use of AI; uncertainty regarding our ability to access a consistent supply of internet display advertising inventory and expand access to such inventory; investments in new business opportunities and the timing of these investments, whether the projected benefits of acquisitions or strategic transactions, including the redomiciliation from
Except as required by law, the Company undertakes no duty or obligation to update any forward-looking statements contained in this release as a result of new information, future events, changes in expectations or otherwise.
Conference Call Information
Criteo's senior management team will discuss the Company's earnings on a call that will take place today, May 6, 2026, at 8:00 AM ET, 2:00 PM CET. The conference call will be webcast live on the Company's website at https://criteo.investorroom.com/ and will subsequently be available for replay.
- United States: +1 800 836 8184
- International: +1 646 357 8785
- France 080-094-5120
Please ask to be joined into the "Criteo" call.
About Criteo
Criteo (NASDAQ: CRTO) is the global commerce intelligence platform that drives performance for brands, agencies, retailers, and publishers. Built on proprietary commerce data from more than
Contacts
Investor Relations & Corporate Communications
Melanie Dambre, m.dambre@criteo.com
Public Relations
Jessica Meyers, j.meyers@criteo.com
Financial information to follow
CRITEO S.A. Consolidated Statement of Financial Position (
| |||
March 31, 2026 | December 31, 2025 | ||
Assets | |||
Current assets: | |||
Cash and cash equivalents | $ 319,981 | $ 342,038 | |
Trade receivables, net of allowances of | 448,275 | 582,102 | |
Income taxes | 12,985 | 14,233 | |
Other taxes | 61,100 | 57,050 | |
Marketable securities - current portion | 28,348 | 23,242 | |
Prepaid expenses and other current assets | 69,597 | 53,210 | |
Total current assets | 940,286 | 1,071,875 | |
Property and equipment, net | 155,502 | 139,330 | |
Intangible assets, net | 148,724 | 151,853 | |
Goodwill | 532,525 | 535,761 | |
Right of use assets - operating leases | 128,692 | 134,205 | |
Marketable securities - noncurrent portion | 22,996 | 23,500 | |
Noncurrent financial assets | 8,193 | 8,314 | |
Deferred tax assets | 88,355 | 90,689 | |
Other noncurrent assets | 46,777 | 45,680 | |
Total noncurrent assets | 1,131,764 | 1,129,332 | |
Total assets | $ 2,072,050 | $ 2,201,207 | |
Liabilities and shareholders' equity | |||
Current liabilities: | |||
Trade payables | $ 448,472 | $ 566,046 | |
Contingencies - current portion | 11,390 | 9,229 | |
Income taxes | 21,943 | 27,528 | |
Financial liabilities - current portion | 10,626 | 11,360 | |
Lease liability - operating - current portion | 34,475 | 33,085 | |
Other taxes | 12,820 | 14,713 | |
Employee - related payables | 119,297 | 114,416 | |
Other current liabilities | 78,025 | 68,277 | |
Total current liabilities | 737,048 | 844,654 | |
Deferred tax liabilities | 5,179 | 5,285 | |
Defined benefit plans | 5,725 | 5,707 | |
Lease liability - operating - noncurrent portion | 99,221 | 105,277 | |
Contingencies - noncurrent portion | 23,039 | 22,729 | |
Other noncurrent liabilities | 32,403 | 31,826 | |
Total noncurrent liabilities | 165,567 | 170,824 | |
Total liabilities | 902,615 | 1,015,478 | |
Shareholders' equity: | |||
Common shares, | 1,871 | 1,871 | |
Treasury stock, 5,561,756 and 4,508,029 shares at cost as of March 31, 2026 and December 31, 2025, respectively. | (126,390) | (120,853) | |
Additional paid-in capital | 698,717 | 706,321 | |
Accumulated other comprehensive loss | (77,319) | (68,879) | |
Retained earnings | 635,935 | 630,750 | |
Equity attributable to the shareholders of Criteo S.A. | 1,132,814 | 1,149,210 | |
Noncontrolling interests | 36,621 | 36,519 | |
Total equity | 1,169,435 | 1,185,729 | |
Total equity and liabilities | $ 2,072,050 | $ 2,201,207 | |
CRITEO S.A.
| ||||
Three Months Ended | ||||
March 31, | ||||
2026 | 2025 | |||
Revenue | $ 424,639 | $ 451,434 | ||
Cost of revenue | ||||
Traffic acquisition cost | 174,271 | 187,062 | ||
Other cost of revenue | 27,626 | 27,396 | ||
Gross profit | 222,742 | 236,976 | ||
Operating expenses: | ||||
Research and development expenses | 69,683 | 60,749 | ||
Sales and operations expenses | 97,501 | 88,889 | ||
General and administrative expenses | 45,158 | 39,171 | ||
Total operating expenses | 212,342 | 188,809 | ||
Income from operations | 10,400 | 48,167 | ||
Financial and other income | 1,873 | 2,302 | ||
Income before taxes | 12,273 | 50,469 | ||
Provision for income taxes | 3,693 | 10,458 | ||
Net income | $ 8,580 | $ 40,011 | ||
Net income available to shareholders of Criteo S.A. | $ 7,817 | $ 37,928 | ||
Net income available to noncontrolling interests | $ 763 | $ 2,083 | ||
Weighted average shares outstanding used in computing per share amounts: | ||||
Basic | 50,352,465 | 53,979,157 | ||
Diluted | 50,965,933 | 57,195,898 | ||
Net income allocated to shareholders per share: | ||||
Basic | $ 0.16 | $ 0.70 | ||
Diluted | $ 0.15 | $ 0.66 | ||
CRITEO S.A. Consolidated Statement of Cash Flows (
| ||||
Three Months Ended | ||||
March 31, | ||||
2026 | 2025 | |||
Cash flows from operating activities | ||||
Net income | $ 8,580 | $ 40,011 | ||
Noncash and nonoperating items | 40,266 | 42,630 | ||
- Amortization and provisions | 28,569 | 23,583 | ||
- Equity awards compensation expense | 13,347 | 15,409 | ||
- Gain (Loss) on disposal of and impairment of long-lived assets | (749) | 547 | ||
- Change in uncertain tax positions | 427 | — | ||
- Change in deferred taxes | 2,007 | 6,888 | ||
- Change in income taxes | (3,692) | (4,288) | ||
- Other | 357 | 491 | ||
Changes in assets and liabilities: | (639) | (20,300) | ||
- Trade receivables | 131,986 | 163,943 | ||
- Trade payables | (112,841) | (174,331) | ||
- Other assets | (24,515) | (8,460) | ||
- Other liabilities | 3,828 | (145) | ||
- Operating lease liabilities and right of use assets | 903 | (1,307) | ||
Net cash provided by operating activities | 48,207 | 62,341 | ||
Cash flows from investing activities | ||||
Acquisition of intangible assets, property and equipment | (32,848) | (17,091) | ||
Disposal of intangibles assets, property and equipment | 641 | — | ||
Purchases of investment securities | (17,319) | (11,449) | ||
Maturities and sales of investment securities | 11,613 | 11,002 | ||
Net cash used in investing activities | (37,913) | (17,538) | ||
Cash flows from financing activities | ||||
Proceeds from exercise of stock options | — | 1,845 | ||
Repurchase of treasury stocks | (30,969) | (56,168) | ||
Change in other financing activities | (316) | (471) | ||
Net cash used in financing activities | (31,285) | (54,794) | ||
Effect of exchange rates changes on cash and cash equivalents | (1,066) | 5,219 | ||
Net decrease in cash and cash equivalents and restricted cash | (22,057) | (4,772) | ||
Net cash and cash equivalents and restricted cash at the beginning of the period | 342,359 | 290,943 | ||
Net cash and cash equivalents and restricted cash at the end of the period | $ 320,302 | |||
Reconciliation of cash, cash equivalents, and restricted cash to the consolidated statement of financial position | ||||
Cash and cash equivalents | $ 319,981 | |||
Restricted cash, included in other current assets | $ 321 | $ 321 | ||
Total cash, cash equivalents, and restricted cash | $ 320,302 | |||
SUPPLEMENTAL DISCLOSURES OF CASH FLOW INFORMATION | ||||
Cash paid for taxes, net of refunds | $ (4,951) | $ (5,920) | ||
Cash paid for interest | $ (527) | $ (244) | ||
Noncash investing and financing activities | ||||
Intangible assets, property and equipment acquired through payables | $ 12,204 | $ 1,621 | ||
CRITEO S.A. Reconciliation of Cash from Operating Activities to Free Cash Flow (
| ||||
Three Months Ended | ||||
March 31, | ||||
2026 | 2025 | |||
CASH FROM OPERATING ACTIVITIES | $ 48,207 | $ 62,341 | ||
Acquisition of intangible assets, property and equipment | (32,848) | (17,091) | ||
Disposal of intangible assets, property and equipment | 641 | — | ||
FREE CASH FLOW (1) | $ 16,000 | $ 45,250 | ||
(1) Free Cash Flow is defined as cash flow from operating activities less acquisition and disposition of intangible assets, property and equipment. |
CRITEO S.A. Reconciliation of Contribution ex-TAC to Gross Profit (
| ||
Three Months Ended | ||
March 31, | ||
2026 | 2025 | |
Gross Profit | 222,742 | 236,976 |
Other Cost of Revenue | 27,626 | 27,396 |
Contribution ex-TAC (1) | $ 250,368 | $ 264,372 |
(1) Refer to the "Non-GAAP Financial Measures" section for the definition of this Non-GAAP metric. |
CRITEO S.A. Segment Information (
| ||||||||
Three Months Ended | ||||||||
March 31, | ||||||||
Segment | 2026 | 2025 | YoY | YoY | ||||
Revenue | ||||||||
Retail Media | $ 41,271 | $ 59,498 | (31) % | (32) % | ||||
Performance Media | 383,368 | 391,936 | (2) % | (6) % | ||||
Total | 424,639 | 451,434 | (6) % | (9) % | ||||
Contribution ex-TAC | ||||||||
Retail Media | 40,589 | 58,790 | (31) % | (32) % | ||||
Performance Media | 209,779 | 205,582 | 2 % | (2) % | ||||
Total (1) | $ 250,368 | $ 264,372 | (5) % | (9) % | ||||
(1) Refer to the Non-GAAP Financial Measures section of this filing for the definition of the Non-GAAP metric. |
(2) Constant currency measures exclude the impact of foreign currency fluctuations and are computed by applying the prior year monthly exchange rates to transactions denominated in settlement or billing currencies other than the US dollar. |
CRITEO S.A. Reconciliation of Adjusted EBITDA to Net Income (
| ||||||
Three Months Ended | ||||||
March 31, | ||||||
2026 | 2025 | YoY Change | ||||
Net income | $ 8,580 | $ 40,011 | (79) % | |||
Adjustments: | ||||||
Financial income | (1,873) | (1,948) | 4 % | |||
Provision for income taxes | 3,693 | 10,458 | (65) % | |||
Equity related compensation | 13,822 | 15,880 | (13) % | |||
Pension service costs | 198 | 183 | 8 % | |||
Depreciation and amortization expense | 28,367 | 25,693 | 10 % | |||
Restructuring, integration and transformation costs | 10,162 | 1,871 | 443 % | |||
Other noncash or nonrecurring events (2) | 1,950 | — | NM | |||
Total net adjustments | 56,319 | 52,137 | 8 % | |||
Adjusted EBITDA (1) | $ 64,899 | $ 92,148 | (30) % | |||
(1) Refer to the "Non-GAAP Financial Measures" section for the definition of this Non-GAAP metric. |
(2) Includes costs related to nonrecurring litigation matters. |
CRITEO S.A. Reconciliation from Non-GAAP Operating Expenses to Operating Expenses under GAAP (
| ||||||
Three Months Ended | ||||||
March 31, | ||||||
2026 | 2025 | YoY | ||||
Research and Development expenses | $ 69,683 | $ 60,749 | 15 % | |||
Equity related compensation | 4,889 | 4,334 | 13 % | |||
Depreciation and Amortization expense | 19,139 | 16,673 | 15 % | |||
Pension service costs | 116 | 101 | 15 % | |||
Restructuring, integration and transformation costs | 315 | 73 | 332 % | |||
Non-GAAP - Research and Development expenses | 45,224 | 39,568 | 14 % | |||
Sales and Operations expenses | 97,501 | 88,889 | 10 % | |||
Equity related compensation | 2,952 | 5,421 | (46) % | |||
Depreciation and Amortization expense | 1,417 | 3,339 | (58) % | |||
Pension service costs | 21 | 24 | (13) % | |||
Restructuring, integration and transformation costs | 4,539 | 66 | NM | |||
Non-GAAP - Sales and Operations expenses | 88,572 | 80,039 | 11 % | |||
General and Administrative expenses | 45,158 | 39,171 | 15 % | |||
Equity related compensation | 5,981 | 6,125 | (2) % | |||
Depreciation and Amortization expense | 380 | 333 | 14 % | |||
Pension service costs | 61 | 58 | 5 % | |||
Restructuring, integration and transformation costs | 5,308 | 1,732 | 206 % | |||
Other noncash or nonrecurring events (2) | 1,950 | — | NM | |||
Non-GAAP - General and Administrative expenses | 31,478 | 30,923 | 2 % | |||
Total Operating expenses | 212,342 | 188,809 | 12 % | |||
Equity related compensation | 13,822 | 15,880 | (13) % | |||
Depreciation and Amortization expense | 20,936 | 20,345 | 3 % | |||
Pension service costs | 198 | 183 | 8 % | |||
Restructuring, integration and transformation costs | 10,162 | 1,871 | 443 % | |||
Other noncash or nonrecurring events (2) | 1,950 | — | NM | |||
Total Non-GAAP Operating expenses (1) | $ 165,274 | $ 150,530 | 10 % | |||
(1) Refer to the "Non-GAAP Financial Measures" section for the definition of this Non-GAAP metric. |
(2) Includes costs related to nonrecurring litigation matters. |
CRITEO S.A.
| ||||||
Three Months Ended | ||||||
March 31, | ||||||
2026 | 2025 | YoY | ||||
Net income | $ 8,580 | $ 40,011 | (79) % | |||
Adjustments: | ||||||
Equity related compensation | 13,822 | 15,880 | (13) % | |||
Amortization of acquisition-related intangible assets | 6,635 | 8,998 | (26) % | |||
Restructuring, integration and transformation costs | 10,162 | 1,871 | 443 % | |||
Other noncash or nonrecurring events (2) | 1,950 | — | NM | |||
Tax impact of the above adjustments (3) | (4,021) | (3,930) | (2) % | |||
Total net adjustments | 28,548 | 22,819 | 25 % | |||
Adjusted net income (1) | $ 37,128 | $ 62,830 | (41) % | |||
Weighted average shares outstanding | ||||||
- Basic | 50,352,465 | 53,979,157 | ||||
- Diluted | 50,965,933 | 57,195,898 | ||||
Adjusted net income per share | ||||||
- Basic | $ 0.74 | $ 1.16 | (36) % | |||
- Diluted | $ 0.73 | $ 1.10 | (34) % | |||
(1) Refer to the "Non-GAAP Financial Measures" section for the definition of this Non-GAAP metric. |
(2) Includes costs related to nonrecurring litigation matters. |
(3) We consider the nature of the adjustment to determine its tax treatment in the various tax jurisdictions we operate in. The tax impact is calculated by applying the actual tax rate for the entity and period to which the adjustment relates. |
CRITEO S.A. Constant Currency Reconciliation(1) (
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Three Months Ended | ||||||
March 31, | ||||||
2026 | 2025 | YoY Change | ||||
Gross Profit as reported | $ 222,742 | $ 236,976 | (6) % | |||
Other cost of revenue as reported | 27,626 | 27,396 | 1 % | |||
Contribution ex-TAC as reported(2) | 250,368 | 264,372 | (5) % | |||
Conversion impact | (9,474) | — | ||||
Contribution ex-TAC at constant currency | 240,894 | 264,372 | (9) % | |||
Traffic acquisition costs as reported | 174,271 | 187,062 | (7) % | |||
Conversion impact | (5,692) | — | ||||
Traffic acquisition costs at constant currency | 168,579 | 187,062 | (10) % | |||
Revenue as reported | 424,639 | 451,434 | (6) % | |||
Conversion impact | (15,166) | — | ||||
Revenue at constant currency | $ 409,473 | $ 451,434 | (9) % | |||
(1) Constant currency measures exclude the impact of foreign currency fluctuations and are computed by applying the prior year monthly exchange rates to transactions denominated in settlement or billing currencies other than the |
(2) Refer to the "Non-GAAP Financial Measures" section for the definition of this Non-GAAP metric. |
CRITEO S.A. Information on Share Count (unaudited)
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Three Months Ended | ||||
2026 | 2025 | |||
Shares outstanding as at January 1, | 51,151,866 | 54,277,422 | ||
Weighted-average effect of changes in shares outstanding during the period | (799,401) | (298,265) | ||
Basic number of shares - Basic EPS basis | 50,352,465 | 53,979,157 | ||
Dilutive effect of share-based awards - Treasury method | 613,468 | 3,216,741 | ||
Diluted number of shares - Diluted EPS basis | 50,965,933 | 57,195,898 | ||
Shares issued as at March 31, before Treasury stocks | 55,659,895 | 57,854,895 | ||
Treasury stocks as of March 31, | (5,561,756) | (4,285,178) | ||
Shares outstanding as of March 31, after Treasury stocks | 50,098,139 | 53,569,717 | ||
CRITEO S.A. Supplemental Financial Information and Operating Metrics (
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YoY Change | QoQ Change | Q1 2026 | Q4 2025 | Q3 2025 | Q2 2025 | Q1 2025 | Q4 2024 | Q3 2024 | Q2 2024 | Q1 2024 | |
Clients | (3) % | (2) % | 16,528 | 16,786 | 16,977 | 17,142 | 17,084 | 17,269 | 17,162 | 17,744 | 17,767 |
Revenue | (6) % | (22) % | 424,639 | 541,136 | 469,660 | 482,671 | 451,434 | 553,035 | 458,892 | 471,307 | 450,055 |
(18) % | (34) % | 158,629 | 241,987 | 201,978 | 199,797 | 192,908 | 274,620 | 206,816 | 212,374 | 198,365 | |
EMEA | 6 % | (14) % | 175,330 | 202,901 | 174,335 | 185,955 | 164,861 | 183,372 | 161,745 | 168,496 | 162,842 |
APAC | (3) % | (6) % | 90,680 | 96,248 | 93,347 | 96,919 | 93,665 | 95,043 | 90,331 | 90,437 | 88,848 |
Revenue | (6) % | (22) % | 424,639 | 541,136 | 469,660 | 482,671 | 451,434 | 553,035 | 458,892 | 471,307 | 450,055 |
Retail Media | (31) % | (46) % | 41,271 | 76,347 | 67,114 | 60,913 | 59,498 | 91,889 | 60,765 | 54,777 | 50,872 |
Performance Media | (2) % | (18) % | 383,368 | 464,789 | 402,546 | 421,758 | 391,936 | 461,146 | 398,127 | 416,530 | 399,183 |
TAC | (7) % | (17) % | 174,271 | 211,094 | 181,526 | 190,602 | 187,062 | 218,636 | 192,789 | 204,214 | 196,167 |
Retail Media | (4) % | (61) % | 682 | 1,727 | 849 | 904 | 708 | 1,661 | 1,182 | 911 | 703 |
Performance Media | (7) % | (17) % | 173,589 | 209,367 | 180,677 | 189,698 | 186,354 | 216,975 | 191,607 | 203,303 | 195,464 |
Contribution ex-TAC (1) | (5) % | (24) % | 250,368 | 330,042 | 288,134 | 292,069 | 264,372 | 334,399 | 266,103 | 267,093 | 253,888 |
Retail Media | (31) % | (46) % | 40,589 | 74,620 | 66,265 | 60,009 | 58,790 | 90,228 | 59,583 | 53,866 | 50,169 |
Performance Media | 2 % | (18) % | 209,779 | 255,422 | 221,869 | 232,060 | 205,582 | 244,171 | 206,520 | 213,227 | 203,719 |
Cash flow from (used for) operating activities | (23) % | (70) % | 48,207 | 160,688 | 89,600 | (1,397) | 62,341 | 169,454 | 57,503 | 17,187 | 14,017 |
Capital expenditures | 88 % | 22 % | 32,207 | 26,495 | 22,258 | 34,882 | 17,091 | 23,394 | 18,899 | 21,119 | 13,224 |
Net cash position | 12 % | (6) % | 320,302 | 342,359 | 255,335 | 206,024 | 286,171 | 290,943 | 283,990 | 291,698 | 341,862 |
Headcount | 1 % | (3) % | 3,553 | 3,649 | 3,650 | 3,621 | 3,533 | 3,507 | 3,504 | 3,498 | 3,559 |
Days Sales Outstanding (days - end of month) | (8) days | 3 days | 60 | 57 | 64 | 65 | 68 | 62 | 65 | 64 | 66 |
(1) Refer to the "Non-GAAP Financial Measures" section for the definition of this Non-GAAP metric. |
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SOURCE Criteo Corp