Taboola (NASDAQ: TBLA) logs stronger 2025 profits and boosts 2026 targets
Filing Impact
Filing Sentiment
Form Type
8-K
Taboola.com Ltd. reported strong fourth quarter and full-year 2025 results, highlighted by a return to consistent profitability and solid cash generation. Q4 2025 revenues were $522.3 million versus $491.0 million a year earlier, with net income rising to $50.1 million from $33.1 million and diluted EPS improving to $0.17 from $0.10.
For full year 2025, revenues reached $1,912.0 million compared with $1,766.2 million in 2024, while net income improved to $42.3 million from a loss of $3.8 million. Non-GAAP net income increased to $168.6 million from $122.4 million, Adjusted EBITDA grew to $215.5 million, and free cash flow rose to $163.4 million. Management noted that 2025 included accelerated growth, better advertiser outcomes, and an approximately 18% reduction in share count through buybacks.
For 2026, Taboola guides revenues to $1,993–$2,054 million, ex-TAC gross profit to $753–$774 million, Adjusted EBITDA to $222–$236 million, and Non-GAAP net income to $165–$191 million, indicating expectations for continued growth and margin strength.
Positive
- None.
Negative
- None.
Insights
Taboola moved from near break-even to solid profitability with stronger 2026 guidance.
Taboola delivered higher 2025 revenues of
Cash generation was robust, with free cash flow increasing to
Guidance for
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM 8-K
CURRENT REPORT
PURSUANT TO SECTION 13 OR 15(D) OF THE
SECURITIES EXCHANGE ACT OF 1934
PURSUANT TO SECTION 13 OR 15(D) OF THE
SECURITIES EXCHANGE ACT OF 1934
Date of report (Date of earliest event reported):
February 25, 2026
(Exact name of registrant as specified in its charter)
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Not applicable
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(Address of principal executive offices, including zip code)
(Registrant’s telephone number, including area code)
N/A
(Former name or former address, if changed since last report)
(Former name or former address, if changed since last report)
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions
(see General Instruction A.2. below):
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Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
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Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
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Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
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Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))
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Securities registered pursuant to Section 12(b) of the Act:
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Title of each class
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Trading Symbol(s)
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Name of each exchange on which registered
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Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of
the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).
Emerging growth company ☐
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised
financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐
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Item 2.02.
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Results of Operations and Financial Condition.
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On February 25, 2026, Taboola.com Ltd. (the “Company” or “Taboola”) issued a press release announcing its financial results for the fourth quarter of 2025. That press release is furnished herewith as Exhibit 99.1 and is
incorporated herein by reference.
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Item 7.01.
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Regulation FD Disclosure.
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On February 25, 2026, the Company made available an investor presentation and prepared remarks which provide highlights of the Company’s fourth quarter of 2025 financial
results and related information, which is being made available in connection with the February 25, 2026 earnings conference call.
The investor presentation and prepared remarks can be found on Taboola’s website at https://investors.taboola.com.
We have included our web address in this Current Report on Form 8-K solely for informational purposes and the information on our website is not incorporated by reference into this
Current Report on Form 8-K.
The information furnished with this Form 8-K, including Exhibit 99.1 shall not be deemed "filed" for purposes of Section 18 of the Securities Exchange Act
of 1934, as amended (the "Exchange Act"), or otherwise subject to the liabilities of that section, nor shall it be deemed incorporated by reference into any other filing under the Securities Act of 1933, as amended, or the Exchange Act, except as
expressly set forth by specific reference in such a filing.
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Item 9.01.
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Financial Statement and Exhibits.
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(d) Exhibits
TABLE OF CONTENTS
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Exhibit No.
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Description
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99.1
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Press Release dated February 25, 2026
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104
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Cover Page Interactive Data File (embedded within the Inline XBRL document)
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SIGNATURE
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its
behalf by the undersigned, thereunto duly authorized.
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TABOOLA.COM LTD.
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By:
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/s/ Stephen Walker
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Name:
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Stephen Walker
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Title:
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Chief Financial Officer
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Date: February 25, 2026
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Exhibit 99.1
Taboola Reports Strong Fourth Quarter & Full Year 2025 Financial Results
NEW YORK, Feb. 25, 2026 (GLOBE NEWSWIRE) -- Taboola (Nasdaq: TBLA), a global leader in delivering performance at scale for advertisers, today announced its results for the fourth quarter ended December
31, 2025.
“2025 was not just about beating guidance - it was a turning point for Taboola and validation that Realize is working.” said Adam Singolda, CEO of Taboola. “We accelerated growth throughout the year, improved advertiser outcomes, generated strong
free cash flow, and reduced our share count by 18%, all while continuing to invest heavily in AI-driven innovation. As Realize gains traction, our proprietary intent data and deep distribution across the open web increasingly differentiate us in an
AI-driven world. We believe these structural advantages in data and distribution position Taboola to build the leading performance advertising company beyond Search and Social and drive long-term expansion.”
Fourth Quarter and Full Year 2025 Financial Results
(All comparisons are to the fourth quarter and full year of 2024 unless otherwise noted.)
| • |
Revenues in the fourth quarter were $522.3 million and $1.9 billion for the full year, an increase of 6.4% and 8.3%, respectively.
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| • |
Gross Profit in the fourth quarter was $175.6 million and $569.5 million for the full year, a decrease of 1.1% and increase of 6.6%, respectively. Ex-TAC Gross Profit in the fourth quarter was $212.8 million, and $713.5 million for the full year, an increase of 0.1% and 6.9%, respectively.
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| • |
Net Income in the fourth quarter was $50.1 million, and $42.3 million for the full year, improving from a Net Income (loss) of $33.1 million and $(3.8) million, respectively.
Adjusted EBITDA in the fourth quarter was $86.1 million, and $215.5 million for the full year, a decrease of 6.6% and increase of 7.2%, respectively. Adjusted EBITDA margins of 30.2% compared to 30.1%
from last year.
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| • |
Cash Flow generated by operating activities in the fourth quarter was $59.7 million, and $208.4 million for the full year, compared to $61.9 million and $184.3 million,
respectively. Free Cash Flow in the fourth quarter was $46.9 million and $163.4 million for the full year, compared to $51.9 million and $149.2 million, respectively.
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First Quarter and Full Year 2026 Guidance
For the First Quarter and Full Year 2026, the Company currently expects (dollars in millions):
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Q1 2026
Guidance
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FY 2026
Guidance
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|||||
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Unaudited
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||||||
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Revenues
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$444 - $462
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$1,993 - $2,054
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Gross profit
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$119 - $125
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$601 - $621
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ex-TAC Gross Profit*
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$158 - $164
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$753 - $774
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Adjusted EBITDA*
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$20 - $26
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$222 - $236
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Non-GAAP Net Income (Loss)*
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($1) - $7
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$165 - $191
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Although we provide guidance for Adjusted EBITDA and Non-GAAP Net Income (Loss), we are not able to provide guidance for projected net income (loss), the most directly comparable GAAP measure. Certain elements of net income (loss), including
share-based compensation expenses and warrant valuations, are not predictable due to the high variability and difficulty of making accurate forecasts. As a result, it is impractical for us to provide guidance on net income (loss) or to reconcile our
Adjusted EBITDA and Non-GAAP Net Income (Loss) guidance without unreasonable efforts. Consequently, no disclosure of projected net income (loss) is included. For the same reasons, we are unable to address the probable significance of the unavailable
information.
Webcast & Conference Call
Taboola’s senior management team will discuss the Company’s earnings on a call that can be accessed via webcast at https://investors.taboola.com. To access the call by phone, please go to this link: https://register-conf.media-server.com/register/BI4b6a251069304db0b673999b819f7c19
to register at and you will be provided with dial in details. The webcast will be available for replay for one year, through the close of business on February 25, 2027.
*About Non-GAAP Financial Information
This press release includes ex-TAC Gross Profit, Adjusted EBITDA, Ratio of Adjusted EBITDA to ex-TAC Gross Profit, Free Cash Flow, Non-GAAP Net Income (Loss), which are non-GAAP financial measures. These non-GAAP financial measures are not
measures of financial performance in accordance with GAAP and may exclude items that are significant in understanding and assessing the Company’s financial results. Therefore, these measures should not be considered in isolation or as an alternative
to revenues, gross profit, net income (loss), cash flows from operations or other measures of profitability, liquidity or performance under GAAP. You should be aware that the Company’s presentation of these measures may not be comparable to
similarly-titled measures used by other companies. The Company believes non-GAAP financial measures provide useful supplemental information to management and investors regarding future financial and business trends relating to the Company. The
Company believes that the use of these measures provides an additional tool for investors to use in evaluating operating results and trends and in comparing the Company’s financial measures with other similar companies, many of which present similar
non-GAAP financial measures to investors. Non-GAAP financial measures are subject to inherent limitations because they reflect the exercise of judgments by management about which items are excluded or included in calculating them, which may vary from
period to period. Please refer to the appendix at the end of this press release for reconciliations to the most directly comparable measures in accordance with GAAP.
Definitions
| • |
ex-TAC Gross Profit: Gross profit adjusted to add back other cost of revenues and non-cash amortization of the Commercial agreement asset. We add back the non-cash amortization of the Commercial
agreement asset because it is unique primarily due to the issuance of equity rather than cash, such that ex-TAC Gross Profit includes solely direct cash contribution components.
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| • |
Adjusted EBITDA: Net income (loss) before finance income (expenses), net, income tax expenses, depreciation and amortization and non-cash amortization of the Commercial agreement asset, further
adjusted to exclude share-based compensation including Connexity holdback compensation expenses and other noteworthy income and expense items such as M&A costs and restructuring costs which may vary from period-to-period.
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Adjusted EBITDA margins: The ratio of Adjusted EBITDA to ex-TAC Gross Profit as Adjusted EBITDA divided by ex-TAC Gross Profit.
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Note Regarding Forward-Looking Statements
Certain statements in this press release are forward-looking statements. Forward-looking statements generally relate to future events including future financial or operating performance of Taboola.com Ltd. (the “Company”). In some cases, you can
identify forward-looking statements by terminology such as “may”, “should”, “expect”, “guidance”, “intend”, “will”, “estimate”, “anticipate”, “believe”, “predict”, “target”, “potential” or “continue”, or the negatives of these terms or variations of
them or similar terminology. Such forward-looking statements are subject to risks, uncertainties, and other factors which could cause actual results to differ materially from those expressed or implied by such forward looking statements.
These forward-looking statements are based upon estimates and assumptions that, while considered reasonable by the Company and its management, are inherently uncertain. Uncertainties and risk factors that could affect the
Company’s future performance and cause results to differ from the forward-looking statements in this press release include, but are not limited to: the Company’s ability to grow and manage growth profitably, maintain relationships with customers and
retain its management and key employees; changes in applicable laws or regulations; the degree to which, or whether, Realize can achieve its intended performance objectives and attract, retain and grow advertisers and advertising spending; the
Company’s estimates of expenses and profitability and underlying assumptions with respect to accounting presentations and purchase price and other adjustments; the extent to which we will buyback any of our shares pursuant to authority granted by the
Company’s Board of Directors, which may depend upon market and economic conditions, other business opportunities and priorities, satisfying required conditions under the Israeli Companies Law and the Companies Regulations or other factors; the
ability to attract new digital properties and advertisers; ability to meet minimum guarantee requirements in contracts with digital properties; intense competition in the digital advertising space, including with competitors who have significantly
more resources; ability to grow and scale the Company’s ad and content platform through new relationships with advertisers and digital properties; ability to secure high quality content from digital properties; ability to maintain relationships with
current advertiser and digital property partners; ability to prioritize investments to improve profitability and free cash flow; ability to make continued investments in the Company’s AI-powered technology platform; the need to attract, train and
retain highly-skilled technical workforce; changes in the regulation of, or market practice with respect to, “third party cookies” and its impact on digital advertising; continued engagement by users who interact with the Company’s platform on
various digital properties; reliance on a limited number of partners for a significant portion of the Company’s revenue; changes in laws and regulations related to privacy, data protection, advertising regulation, competition and other areas related
to digital advertising; ability to enforce, protect and maintain intellectual property rights; the potential or expected impact of tariffs on advertising spend, consumer and business sentiment, and the general economic environment; risks related to
the fact that we are incorporated in Israel and governed by Israeli law; the potential impacts of conflicts in Israel to the Company’s operations; and other risks and uncertainties set forth in the Company’s Annual Report on Form 10-K for the year
ended December 31, 2025 under Part 1, Item 1A “Risk Factors” and in the Company’s subsequent filings with the Securities and Exchange Commission.
Nothing in this press release should be regarded as a representation by any person that the forward-looking statements set forth herein will be achieved or that any of the contemplated results of such forward-looking statements will be achieved.
You should not place undue reliance on these forward-looking statements, which speak only as of the date they were made. The Company undertakes no duty to update these forward-looking statements except as may be required by law.
About Taboola
Taboola empowers businesses to grow through performance advertising technology that goes beyond search and social and delivers measurable outcomes at scale.
Taboola works with thousands of businesses who advertise directly on Realize, Taboola’s powerful ad platform, reaching over 600 million daily active users across some of the best publishers in the world. Publishers like NBC News, Yahoo, and OEMs
such as Samsung, Xiaomi and others use Taboola’s technology to grow audience and revenue, enabling Realize to offer unique data, specialized algorithms, and unmatched scale.
Investor Contact:
Aadam Anwar
investors@taboola.com
Fourth Quarter and Full Year 2025 Financial Results
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(dollars in millions, except per share data)
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Three months Ended
December 31,
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Year ended December 31,
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||||||||||||||
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2025
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2024
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2025
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2024
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Unaudited
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||||||||||||||||
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Revenues
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$
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522.3
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$
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491.0
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$
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1,912.0
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$
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1,766.2
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Gross profit
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$
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175.6
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$
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177.6
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$
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569.5
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$
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534.2
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Net income (loss)
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$
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50.1
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$
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33.1
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$
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42.3
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$
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(3.8)
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|||||||
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EPS diluted (1)
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$
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0.17
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$
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0.10
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$
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0.13
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$
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(0.01)
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Ratio of net income (loss) to gross profit
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28.6
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%
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18.7
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%
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7.4
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%
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(0.7)
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%
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||||||||
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Cash flow provided by operating activities
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$
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59.7
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$
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61.9
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$
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208.4
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$
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184.3
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||||||||
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Cash, cash equivalents, short-term deposits and investments
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$
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120.9
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$
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230.4
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$
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120.9
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$
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230.4
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||||||||
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Non-GAAP Financial Data *
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||||||||||||||||
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ex-TAC Gross Profit
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$
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212.8
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$
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212.7
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$
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713.5
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$
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667.5
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Adjusted EBITDA
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$
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86.1
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$
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92.3
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$
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215.5
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$
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200.9
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Non-GAAP Net Income
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$
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79.1
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$
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73.3
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$
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168.6
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$
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122.4
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Ratio of Adjusted EBITDA to ex-TAC Gross Profit
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40.5
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%
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43.4
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%
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30.2
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%
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30.1
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%
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||||||||
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Free Cash Flow
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$
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46.9
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$
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51.9
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$
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163.4
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$
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149.2
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||||||||
(1) The weighted-average shares used in the computation of the diluted EPS for the three months ended December 31, 2025 and 2024, are 297,893,227 and 348,834,250 respectively. The weighted-average
shares used in the computation of the diluted EPS for the years ended December 31, 2025 and 2024 are 318,741,962 and 343,388,908, respectively. The weighted-average shares for the three months ended December 31, 2025 and 2024, included 267,813,982
and 304,623,844 Ordinary shares, and 30,079,245 and 44,210,406 Non-voting Ordinary shares, respectively. The weighted-average shares for the years ended December 31, 2025 and 2024, included 283,538,088 and 298,769,457 Ordinary shares, and 35,203,874
and 44,619,451 Non-voting Ordinary shares, respectively.
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CONSOLIDATED BALANCE SHEETS
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U.S. dollars in thousands, except share and per share data
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December 31,
2025 |
December 31,
2024 |
|||||||
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ASSETS
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||||||||
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CURRENT ASSETS
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||||||||
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Cash and cash equivalents
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$
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120,865
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$
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226,583
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||||
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Short-term investments
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—
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3,780
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||||||
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Restricted deposits
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—
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200
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||||||
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Trade receivables (net of allowance for credit losses of $13,889 and $11,815 as of December 31, 2025 and 2024, respectively) (1)
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360,166
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370,110
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Prepaid expenses and other current assets
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77,000
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55,328
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Total current assets
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558,031
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656,001
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NON-CURRENT ASSETS
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Long-term prepaid expenses
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15,116
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25,193
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Commercial agreement asset
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270,248
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286,619
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Restricted deposits
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1,462
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1,462
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||||||
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Deferred tax assets, net
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20,624
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—
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Operating lease right of use assets
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79,167
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58,997
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Property and equipment, net
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95,335
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69,388
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Intangible assets, net
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13,925
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65,067
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Goodwill
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555,931
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555,931
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||||||
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Total non-current assets
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1,051,808
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1,062,657
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Total assets
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$
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1,609,839
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$
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1,718,658
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||||
(1) Includes related party trade receivables of $39,210 and $76,677, as of December 31, 2025 and 2024, respectively.
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CONSOLIDATED BALANCE SHEETS
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U.S. dollars in thousands, except share and per share data
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December 31,
2025 |
December 31,
2024 |
|||||||
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LIABILITIES AND SHAREHOLDERS’ EQUITY
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||||||||
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CURRENT LIABILITIES
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||||||||
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Trade payables (2)
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$
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330,684
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$
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309,229
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||||
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Short-term operating lease liabilities
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30,408
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21,881
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||||||
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Accrued expenses and other current liabilities
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159,874
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154,472
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||||||
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Total current liabilities
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520,966
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485,582
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||||||
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LONG-TERM LIABILITIES
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||||||||
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Long-term loan and revolving credit facility (3)
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102,300
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116,452
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||||||
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Long-term operating lease liabilities
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61,382
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42,561
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||||||
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Warrants liability
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501
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3,368
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||||||
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Deferred tax liabilities, net
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628
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5,497
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||||||
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Other long-term liabilities
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16,867
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13,292
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||||||
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Total long-term liabilities
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181,678
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181,170
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||||||
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COMMITMENTS AND CONTINGENCIES (Note 15)
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||||||||
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SHAREHOLDERS’ EQUITY
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||||||||
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Ordinary shares with no par value- Authorized: 700,000,000 as of December 31, 2025 and 2024; 341,610,237 and 325,674,930 shares issued, and 246,330,707 and 293,134,865 outstanding as of
December 31, 2025 and 2024, respectively
|
—
|
—
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||||||
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Non-voting Ordinary shares with no par value- Authorized: 46,000,000 as of December 31, 2025 and 2024; 45,198,702 shares issued, and 30,039,644 and 44,210,406 outstanding as of December 31, 2025 and 2024,
respectively
|
—
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—
|
||||||
|
Treasury Ordinary shares, at cost - 110,438,588 (95,279,530 Ordinary shares and 15,159,058 Non-voting Ordinary shares) and 33,528,361 (32,540,065 Ordinary shares and 988,296 Non-voting Ordinary shares) as of
December 31, 2025 and 2024, respectively
|
(385,651)
|
|
(130,117)
|
|
||||
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Additional paid-in capital
|
1,404,248
|
1,335,825
|
||||||
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Accumulated other comprehensive income
|
534
|
418
|
||||||
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Accumulated deficit
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(111,936)
|
|
(154,220)
|
|
||||
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Total shareholders’ equity
|
907,195
|
1,051,906
|
||||||
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Total liabilities and shareholders’ equity
|
$
|
1,609,839
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$
|
1,718,658
|
||||
(2) Includes related party trade payables of $70,950 and $68,556, as of December 31, 2025 December 31, 2024, respectively.
(3) The balance as of December 31, 2025, reflects $102,300 outstanding under the revolving credit facility. The December 31, 2024,
balance reflects $116,452 under the long-term loan. (See Note 11).
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CONSOLIDATED STATEMENTS OF LOSS
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U.S. dollars in thousands, except share and per share data
|
Three months Ended
December 31,
|
Year ended December 31,
|
|||||||||||||||
|
2025
|
2024
|
2025
|
2024
|
|||||||||||||
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Unaudited
|
|||||||||||||||
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Revenues (1)
|
$
|
522,309
|
$
|
491,040
|
$
|
1,912,040
|
$
|
1,766,220
|
||||||||
|
Cost of revenues:
|
||||||||||||||||
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Traffic acquisition cost (2)
|
$
|
313,602
|
$
|
279,819
|
$
|
1,214,901
|
$
|
1,101,556
|
||||||||
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Other cost of revenues
|
$
|
33,134
|
$
|
33,611
|
$
|
127,629
|
$
|
130,446
|
||||||||
|
Total cost of revenues
|
$
|
346,736
|
$
|
313,430
|
$
|
1,342,530
|
$
|
1,232,002
|
||||||||
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Gross profit
|
$
|
175,573
|
$
|
177,610
|
$
|
569,510
|
$
|
534,218
|
||||||||
|
Operating expenses:
|
||||||||||||||||
|
Research and development
|
$
|
36,739
|
$
|
36,174
|
$
|
148,044
|
$
|
142,438
|
||||||||
|
Sales and marketing
|
$
|
67,982
|
$
|
68,273
|
$
|
275,210
|
$
|
268,526
|
||||||||
|
General and administrative
|
$
|
27,082
|
$
|
25,940
|
$
|
102,199
|
$
|
97,337
|
||||||||
|
Total operating expenses
|
$
|
131,803
|
$
|
130,387
|
$
|
525,453
|
$
|
508,301
|
||||||||
|
Operating income
|
$
|
43,770
|
$
|
47,223
|
$
|
44,057
|
$
|
25,917
|
||||||||
|
Finance expenses, net
|
$
|
(4,801)
|
|
$
|
(8,240)
|
|
$
|
(4,695)
|
|
$
|
(11,980)
|
|
||||
|
Loss on extinguishment of debt
|
$
|
—
|
$
|
—
|
$
|
(6,597)
|
|
$
|
—
|
|||||||
|
Income before income taxes expenses
|
$
|
38,969
|
$
|
38,983
|
$
|
32,765
|
$
|
13,937
|
||||||||
|
Income tax benefit (expenses)
|
$
|
11,166
|
$
|
(5,840)
|
|
$
|
9,519
|
$
|
(17,697)
|
|
||||||
|
Net income (loss)
|
$
|
50,135
|
$
|
33,143
|
$
|
42,284
|
$
|
(3,760)
|
|
|||||||
|
|
||||||||||||||||
|
Net income (loss) per share attributable to Ordinary and Non-voting Ordinary shareholders, basic
|
$
|
0.17
|
$
|
0.10
|
$
|
0.14
|
$
|
(0.01)
|
|
|||||||
|
Weighted-average shares used in computing net income (loss) per share, basic
|
290,888,626
|
344,451,734
|
311,660,379
|
343,388,908
|
||||||||||||
|
Net income (loss) per share attributable to Ordinary and Non-voting Ordinary shareholders, diluted
|
$
|
0.17
|
$
|
0.10
|
$
|
0.13
|
$
|
(0.01)
|
|
|||||||
|
Weighted-average shares used in computing net income (loss) per share, diluted
|
297,893,227
|
348,834,250
|
318,741,962
|
343,388,908
|
||||||||||||
(1) Includes revenues from related party of $54,752 and $76,277 for the three months ended December 31, 2025
and 2024, respectively and of $201,638 and $233,640 for the years ended December 31, 2025 and 2024,
respectively.
(2) Includes traffic acquisition cost to related party of $96,351 and $97,327 for the three months ended December 31, 2025 and 2024, respectively and of $348,995 and $275,539 for the years ended December 31, 2025 and 2024,
respectively.
|
CONSOLIDATED STATEMENTS OF COMPREHENSIVE LOSS
|
U.S. dollars in thousands
|
Three months Ended
December 31,
|
Year ended December 31,
|
|||||||||||||||
|
2025
|
2024
|
2025
|
2024
|
|||||||||||||
|
Unaudited
|
||||||||||||||||
|
Net income (loss)
|
$
|
50,135
|
$
|
33,143
|
$
|
42,284
|
$
|
(3,760)
|
|
|||||||
|
Other comprehensive income (loss):
|
||||||||||||||||
|
Unrealized gains on available-for-sale marketable securities, net
|
—
|
—
|
—
|
6
|
||||||||||||
|
Unrealized gains (losses) on derivative instruments, net
|
(959)
|
|
253
|
116
|
(530)
|
|
||||||||||
|
Other comprehensive income (loss)
|
(959)
|
|
253
|
116
|
(524)
|
|
||||||||||
|
Comprehensive income (loss)
|
$
|
49,176
|
$
|
33,396
|
$
|
42,400
|
$
|
(4,284)
|
|
|||||||
|
SHARE-BASED COMPENSATION BREAK-DOWN BY EXPENSE LINE
|
U.S. dollars in thousands
|
Three months Ended
December 31,
|
Year ended December 31,
|
|||||||||||||||
|
2025
|
2024
|
2025
|
2024
|
|||||||||||||
|
Unaudited
|
||||||||||||||||
|
Cost of revenues
|
$
|
864
|
$
|
813
|
$
|
3,592
|
$
|
3,853
|
||||||||
|
Research and development
|
6,249
|
5,861
|
25,792
|
25,876
|
||||||||||||
|
Sales and marketing
|
4,265
|
4,321
|
17,358
|
17,847
|
||||||||||||
|
General and administrative
|
4,755
|
4,211
|
17,194
|
19,522
|
||||||||||||
|
Total share-based compensation expenses
|
$
|
16,133
|
$
|
15,206
|
$
|
63,936
|
$
|
67,098
|
||||||||
|
DEPRECIATION AND AMORTIZATION BREAK-DOWN BY EXPENSE LINE
|
U.S. dollars in thousands
|
Three months Ended
December 31,
|
Year ended December 31,
|
|||||||||||||||
|
2025
|
2024
|
2025
|
2024
|
|||||||||||||
|
Unaudited
|
||||||||||||||||
|
Cost of revenues
|
$
|
9,151
|
$
|
10,919
|
$
|
35,667
|
$
|
42,125
|
||||||||
|
Research and development
|
929
|
729
|
2,524
|
4,222
|
||||||||||||
|
Sales and marketing
|
8,681
|
11,310
|
41,488
|
50,907
|
||||||||||||
|
General and administrative
|
147
|
1,423
|
1,005
|
599
|
||||||||||||
|
Total depreciation and amortization expense
|
$
|
18,908
|
$
|
24,381
|
$
|
80,684
|
$
|
97,853
|
||||||||
|
CONSOLIDATED STATEMENTS OF CASH FLOWS
|
||||||||||||||||
|
U.S. dollars in thousands
|
||||||||||||||||
|
Three months Ended
December 31,
|
Year ended December 31,
|
|||||||||||||||
|
2025
|
2024
|
2025
|
2024
|
|||||||||||||
|
Unaudited
|
||||||||||||||||
|
Cash flows from operating activities
|
||||||||||||||||
|
Net income (loss)
|
$
|
50,135
|
$
|
33,143
|
$
|
42,284
|
$
|
(3,760)
|
|
|||||||
|
Adjustments to reconcile net income (loss) to net cash flows provided by operating activities:
|
||||||||||||||||
|
Depreciation, amortization and write-off
|
18,908
|
24,952
|
83,484
|
100,928
|
||||||||||||
|
Share-based compensation expenses
|
16,133
|
15,206
|
63,936
|
67,098
|
||||||||||||
|
Net loss (gain) from financing expenses
|
726
|
4,895
|
(4,170)
|
|
3,764
|
|||||||||||
|
Revaluation of the Warrants liability
|
(396)
|
|
1,864
|
(2,867)
|
|
(2,761)
|
|
|||||||||
|
Amortization of loan and credit facility issuance costs
|
184
|
444
|
1,058
|
1,536
|
||||||||||||
|
Amortization of premium and accretion of discount on short-term investments, net
|
—
|
(53)
|
|
—
|
177
|
|||||||||||
|
Loss on extinguishment of debt
|
—
|
—
|
6,597
|
—
|
||||||||||||
|
Commercial agreement asset amortization
|
4,126
|
1,442
|
16,371
|
2,832
|
||||||||||||
|
Loss from disposal of property and equipment
|
87
|
—
|
339
|
—
|
||||||||||||
|
Change in operating assets and liabilities:
|
||||||||||||||||
|
Decrease (increase) in trade receivables, net (1)
|
(51,266)
|
|
(76,780)
|
|
9,944
|
(63,803)
|
|
|||||||||
|
Decrease (increase) in prepaid expenses and other current assets and long-term prepaid expenses
|
(9,476)
|
|
4,876
|
(8,620)
|
|
28,663
|
||||||||||
|
Increase in trade payables (2)
|
19,424
|
38,821
|
11,829
|
25,920
|
||||||||||||
|
Increase in accrued expenses and other current liabilities and other long-term liabilities
|
30,087
|
12,550
|
8,977
|
35,577
|
||||||||||||
|
Decrease (increase) in deferred taxes, net
|
(20,013)
|
|
1,644
|
(25,493)
|
|
(9,318)
|
|
|||||||||
|
Change in operating lease right of use assets
|
6,459
|
5,276
|
25,804
|
19,914
|
||||||||||||
|
Change in operating lease liabilities
|
(5,465)
|
|
(6,345)
|
|
(21,109)
|
|
(22,436)
|
|
||||||||
|
Net cash provided by operating activities
|
59,653
|
61,935
|
208,364
|
184,331
|
||||||||||||
|
Cash flows from investing activities
|
||||||||||||||||
|
Purchase of property and equipment, including intangible assets
|
(12,727)
|
|
(10,025)
|
|
(44,918)
|
|
(35,155)
|
|
||||||||
|
Cash paid in connection with acquisitions, net of cash acquired
|
—
|
—
|
—
|
(719)
|
|
|||||||||||
|
Proceeds from maturities of short-term investments and restricted deposits
|
—
|
—
|
3,980
|
5,765
|
||||||||||||
|
Net cash (used in) investing activities
|
(12,727)
|
|
(10,025)
|
|
(40,938)
|
|
(30,109)
|
|
||||||||
|
Cash flows from financing activities
|
||||||||||||||||
|
Issuance costs
|
—
|
—
|
(938)
|
|
(695)
|
|
||||||||||
|
Exercise of options
|
3,555
|
1,855
|
8,851
|
7,564
|
||||||||||||
|
Payment of tax withholding for share-based compensation expenses
|
(2,832)
|
|
(689)
|
|
(5,965)
|
|
(3,085)
|
|
||||||||
|
shares
|
(70,770)
|
|
(8,663)
|
|
(255,369)
|
|
(73,602)
|
|
||||||||
|
Payments on account of repurchase of Ordinary shares
|
937
|
(165)
|
|
(942)
|
|
(165)
|
|
|||||||||
|
Repayment of Long term loan
|
—
|
(30,000)
|
|
(122,736)
|
|
(30,000)
|
|
|||||||||
|
Proceeds from revolving credit line, net of issuance costs
|
—
|
—
|
123,985
|
—
|
||||||||||||
|
Additional proceeds from revolving credit line
|
153,800
|
—
|
382,500
|
—
|
||||||||||||
|
Repayment of revolving credit line
|
(125,500)
|
|
—
|
(406,700)
|
|
—
|
||||||||||
|
Net cash (used in) financing activities
|
(40,810)
|
|
(37,662)
|
|
(277,314)
|
|
(99,983)
|
|
||||||||
|
equivalents
|
(726)
|
|
(4,895)
|
|
4,170
|
(3,764)
|
|
|||||||||
|
Increase (decrease) in cash and cash equivalents
|
5,390
|
9,353
|
(105,718)
|
|
50,475
|
|||||||||||
|
Cash and cash equivalents - at the beginning of the period
|
115,475
|
217,230
|
226,583
|
176,108
|
||||||||||||
|
Cash and cash equivalents - at the end of the period
|
$
|
120,865
|
$
|
226,583
|
$
|
120,865
|
$
|
226,583
|
||||||||
(1) Includes a decrease (increase) in related party trade receivables of $(1,269) and $(24,919), for the three
months ended December 31, 2025 and 2024, respectively, and a decrease (increase) of $37,467 and $(64,380) for the years ended December 31, 2025 and 2024, respectively.
(2) Includes an increase in related party trade payables of $3,260 and $17,935, for the three months ended
December 31, 2025 and 2024, respectively, and an increase in related party trade payables of $2,394 and $29,899, for the years
ended December 31, 2025 and 2024, respectively.
|
CONSOLIDATED STATEMENTS OF CASH FLOWS
|
U.S. dollars in thousands
|
Three months Ended
December 31,
|
Year ended December 31,
|
|||||||||||||||
|
2025
|
2024
|
2025
|
2024
|
|||||||||||||
|
|
Unaudited
|
|||||||||||||||
|
Supplemental disclosures of cash flow information:
|
||||||||||||||||
|
Cash paid during the year for:
|
||||||||||||||||
|
Income taxes
|
$
|
6,286
|
$
|
6,482
|
$
|
29,695
|
$
|
19,878
|
||||||||
|
Interest
|
$
|
715
|
$
|
3,259
|
$
|
5,577
|
$
|
14,313
|
||||||||
|
Non-cash investing and financing activities:
|
||||||||||||||||
|
Purchase of property and equipment
|
$
|
10,247
|
$
|
1,080
|
$
|
10,925
|
$
|
1,080
|
||||||||
|
Share-based compensation included in capitalized internal-use software
|
$
|
471
|
$
|
411
|
$
|
1,601
|
$
|
2,156
|
||||||||
|
Creation and modification of operating lease right-of-use assets and operating lease liability
|
$
|
2,619
|
$
|
3,944
|
$
|
48,457
|
$
|
17,165
|
||||||||
|
Lease incentive
|
$
|
2,483
|
$
|
3,944
|
$
|
2,483
|
$
|
17,165
|
||||||||
|
Reclassification of Restricted deposit to Short-term deposit
|
$
|
—
|
$
|
3,780
|
$
|
—
|
$
|
3,780
|
||||||||
APPENDIX: Non-GAAP Reconciliation
RECONCILIATION OF GAAP TO NON-GAAP FINANCIAL MEASURES FOR THE THREE MONTHS AND THE YEARS ENDED DECEMBER 31, 2025 AND 2024 (UNAUDITED)
The following table provides a reconciliation of revenues to ex-TAC Gross Profit.
|
Three months Ended
December 31,
|
Year ended December 31,
|
|||||||||||||||
|
2025
|
2024
|
2025
|
2024
|
|||||||||||||
|
(dollars in thousands)
|
||||||||||||||||
|
Revenues
|
$
|
522,309
|
$
|
491,040
|
$
|
1,912,040
|
$
|
1,766,220
|
||||||||
|
Traffic acquisition cost
|
313,602
|
279,819
|
1,214,901
|
1,101,556
|
||||||||||||
|
Other cost of revenues
|
33,134
|
33,611
|
127,629
|
130,446
|
||||||||||||
|
Gross profit
|
$
|
175,573
|
$
|
177,610
|
$
|
569,510
|
$
|
534,218
|
||||||||
|
Add back: Other cost of revenues and amortization (1)
|
37,261
|
35,053
|
144,001
|
133,278
|
||||||||||||
|
ex-TAC Gross Profit
|
$
|
212,834
|
$
|
212,663
|
$
|
713,511
|
$
|
667,496
|
||||||||
1 The three months ended December 31, 2025 and 2024, included $4,126 and $1,442 amortization expense of the non-cash based Commercial agreement asset respectively. The years ended December 31, 2025 and 2024, included $16,372 and $2,832 amortization expense of the non-cash based Commercial agreement asset, respectively. See Note 1b of Notes to the Consolidated Financial Statements.
The following table provides a reconciliation of net income (loss) to Adjusted EBITDA.
|
Three months Ended
December 31,
|
Year ended December 31,
|
|||||||||||||||
|
2025
|
2024
|
2025
|
2024
|
|||||||||||||
|
(dollars in thousands)
|
||||||||||||||||
|
Net income (loss)
|
$
|
50,135
|
$
|
33,143
|
$
|
42,284
|
$
|
(3,760
|
)
|
|||||||
|
Adjusted to exclude the following:
|
|
|
|
|
||||||||||||
|
Finance (income) expenses, net (1)
|
4,801
|
8,240
|
11,292
|
11,980
|
||||||||||||
|
Income tax (benefit) expenses
|
(11,166
|
)
|
5,840
|
(9,519
|
)
|
17,697
|
||||||||||
|
Depreciation and amortization (2)
|
23,033
|
26,356
|
99,855
|
103,722
|
||||||||||||
|
Share-based compensation expenses
|
16,133
|
15,206
|
63,936
|
60,044
|
||||||||||||
|
Holdback compensation expenses (3)
|
—
|
—
|
—
|
7,054
|
||||||||||||
|
Other costs (4)
|
3,213
|
3,494
|
7,637
|
4,189
|
||||||||||||
|
Adjusted EBITDA
|
$
|
86,149
|
$
|
92,279
|
$
|
215,485
|
$
|
200,926
|
||||||||
1Represents total finance expenses including 6,597 loss on extinguishment of debt.
2 The years ended December 31, 2025 and December 31, 2024, includes
write-off of internal use software in the amount of $2,800 and $3,038, respectively. See Note 7 of Notes to the Consolidated Financial Statements. The three months ended December 31, 2025 and 2024, included
$4,126 and $1,442 amortization expense of the non-cash based Commercial agreement asset respectively. The years ended December 31, 2025 and 2024, includes $16,372 and $2,832
amortization expense of the non-cash based Commercial agreement asset, respectively. See Note 1b of Notes to the Consolidated Financial Statements.
3 Represents share-based compensation due to holdback of Ordinary shares issuable under compensatory
arrangements relating to Connexity acquisition.
4 The three months and year ended December 31, 2025, includes professional and legal expenses related to a
litigation matter in which the Company is the plaintiff and is not related to our ongoing business operations in the amounts of $2,483 and $6,907, respectively. See Note 19 of Notes to the Consolidated Financial Statements. The year ended December
31, 2024, includes $1,830 related to excess termination expenses from a headcount reduction due to the launch of Realize, $1,664 professional and legal expenses related to a litigation matter in which the Company is the plaintiff and is not related
to our ongoing business operations and one-time professional services costs.
The following table provides a reconciliation of net income (loss) to Non-GAAP Net Income (loss).
|
Three months Ended
December 31,
|
Year ended December 31,
|
|||||||||||||||
|
2025
|
2024
|
2025
|
2024
|
|||||||||||||
|
(dollars in thousands)
|
||||||||||||||||
|
Net income (loss)
|
$
|
50,135
|
$
|
33,143
|
$
|
42,284
|
$
|
(3,760
|
)
|
|||||||
|
Amortization of acquired intangibles (1)
|
$
|
15,214
|
$
|
16,972
|
$
|
67,813
|
$
|
65,135
|
||||||||
|
Share-based compensation expenses
|
$
|
16,133
|
$
|
15,206
|
$
|
63,936
|
$
|
60,044
|
||||||||
|
Holdback compensation expenses (2)
|
$
|
—
|
$
|
—
|
$
|
—
|
$
|
7,054
|
||||||||
|
M&A and Other costs (3)
|
$
|
3,213
|
$
|
3,494
|
$
|
7,637
|
$
|
4,189
|
||||||||
|
Revaluation of Warrants
|
$
|
(396
|
)
|
$
|
1,863
|
$
|
(2,867
|
)
|
$
|
(2,761
|
)
|
|||||
|
Foreign currency exchange rate losses (gains) (4)
|
$
|
3,678
|
$
|
4,975
|
$
|
1,752
|
$
|
5,625
|
||||||||
|
Income tax effects
|
$
|
(8,854
|
)
|
$
|
(2,329
|
)
|
$
|
(18,558
|
)
|
$
|
(13,149
|
)
|
||||
|
Loss on extinguishment of debt (5)
|
$
|
—
|
$
|
—
|
$
|
6,597
|
$
|
—
|
||||||||
|
Non-GAAP Net Income
|
$
|
79,123
|
$
|
73,324
|
$
|
168,594
|
$
|
122,377
|
||||||||
1 The three months ended December 31, 2025 and 2024, includes $4,126
and $1,442 amortization expense of the non-cash based Commercial agreement asset respectively. The years ended December 31, 2025 and 2024, includes $16,372 and $2,832
amortization expense of the non-cash based Commercial agreement asset, respectively. See Note 1b of Notes to the Consolidated Financial Statements.
2 Represents share-based compensation due to holdback of Ordinary shares issuable under compensatory
arrangements relating to Connexity acquisition.
3 The three months and year ended December 31, 2025, includes professional and legal expenses
related to a litigation matter in which the Company is the plaintiff and is not related to our ongoing business operations in the amounts of $2,483 and $6,907, respectively. See Note 19 of Notes to the Consolidated Financial Statements. The year
ended December 31, 2024, includes $1,830 related to excess termination expenses from a headcount reduction due to the launch of Realize, $1,664 professional and legal expenses related to a litigation matter in
which the Company is the plaintiff and is not related to our ongoing business operations and one-time professional services costs.
4 Represents foreign currency exchange rate gains or losses related to the remeasurement of monetary assets and liabilities to the
Company’s functional currency using exchange rates in effect at the end of the reporting period.
5 See Note 11 of Notes to the Financial Statements.
The following table provides a reconciliation of net cash provided by operating activities to Free Cash Flow.
|
Three months Ended
December 31,
|
Year ended December 31,
|
|||||||||||||||
|
2025
|
2024
|
2025
|
2024
|
|||||||||||||
|
(dollars in thousands)
|
||||||||||||||||
|
Net cash provided by operating activities
|
$
|
59,653
|
$
|
61,935
|
$
|
208,364
|
$
|
184,331
|
||||||||
|
Purchases of property and equipment, including capitalized internal-use software
|
(12,727
|
)
|
(10,025
|
)
|
(44,918
|
)
|
(35,155
|
)
|
||||||||
|
Free Cash Flow
|
$
|
46,926
|
$
|
51,910
|
$
|
163,446
|
$
|
149,176
|
||||||||
APPENDIX: Non-GAAP Guidance Reconciliation
RECONCILIATION OF GAAP TO NON-GAAP FINANCIAL MEASURES FOR Q1 2026 AND FULL YEAR 2026 GUIDANCE
(Unaudited)
The following table provides a reconciliation of projected Gross profit to ex-TAC Gross Profit.
|
Q1 2026
Guidance
|
FY 2026
Guidance
|
||||||
|
Unaudited
|
|||||||
|
|
(dollars in millions)
|
||||||
|
Revenues
|
$444 - $462
|
$1,993 - $2,054
|
|||||
|
Traffic acquisition cost
|
($290) - ($302)
|
($1,223) - ($1,263)
|
|
||||
|
Other cost of revenues
|
|
($35) - ($35)
|
($135) - ($136)
|
|
|||
|
Gross profit
|
$119 - $125
|
$601 - $621
|
|||||
|
Add back: Other cost of revenues & amortization
|
$39 -39
|
$152 - 153
|
|||||
|
ex-TAC Gross Profit
|
$158 - $164
|
$753 - $774
|
|||||
Although we provide guidance for Adjusted EBITDA and Non-GAAP Net Income (Loss), we are not able to provide guidance for projected net income (loss), the most directly comparable GAAP measure. Certain elements of net
income (loss), including share-based compensation expenses and warrant valuations, are not predictable due to the high variability and difficulty of making accurate forecasts. As a result, it is impractical for us to provide guidance on net income
(loss) or to reconcile our Adjusted EBITDA and Non-GAAP Net Income (Loss) guidance without unreasonable efforts. Consequently, no disclosure of projected net income (loss) is included. For the same reasons, we are unable to address the probable
significance of the unavailable information.
FAQ
How did Taboola (TBLA) perform financially in the fourth quarter of 2025?
Taboola reported Q4 2025 revenues of $522.3 million, up from $491.0 million a year earlier. Net income rose to $50.1 million from $33.1 million, and diluted EPS improved to $0.17 from $0.10, reflecting stronger profitability.
What were Taboola’s (TBLA) full-year 2025 revenue and profit figures?
For 2025, Taboola generated $1,912.0 million in revenue versus $1,766.2 million in 2024. Net income was $42.3 million compared with a $3.8 million loss, while Non-GAAP net income increased to $168.6 million, showing a meaningful improvement in earnings.
What 2026 financial guidance did Taboola (TBLA) provide?
Taboola expects 2026 revenues of $1,993–$2,054 million and ex-TAC gross profit of $753–$774 million. The company also guides to $222–$236 million in Adjusted EBITDA and $165–$191 million in Non-GAAP net income, suggesting continued growth and profitability.
How strong was Taboola’s (TBLA) cash flow and liquidity in 2025?
Taboola generated $208.4 million in cash from operating activities and $163.4 million in free cash flow during 2025. Year-end cash and cash equivalents totaled $120.9 million, supporting ongoing investments and the company’s share repurchase activity.
What non-GAAP metrics does Taboola (TBLA) emphasize and why?
Taboola highlights ex-TAC gross profit, Adjusted EBITDA, Free Cash Flow, and Non-GAAP Net Income. Management believes these measures help investors better understand underlying performance by adjusting for items like traffic acquisition costs, share-based compensation, amortization, and certain non-recurring expenses.
How did Taboola’s (TBLA) margins evolve in 2025?
In 2025, Taboola’s ratio of net income to gross profit improved to 7.4% from negative 0.7%. The ratio of Adjusted EBITDA to ex-TAC gross profit was 30.2% for the year, with Q4 at 40.5%, indicating healthier operating leverage versus 2024.
Filing Exhibits & Attachments
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Taboola.Com Ltd
NASDAQ:TBLA
TBLA Rankings
TBLA Latest News
TBLA Latest SEC Filings
Feb 25, 2026
[10-K] Taboola.com Ltd. Files Annual Report
Feb 19, 2026
[Form 4] Taboola.com Ltd. Insider Trading Activity
Feb 19, 2026
[Form 4] Taboola.com Ltd. Insider Trading Activity
Feb 19, 2026
[Form 4] Taboola.com Ltd. Insider Trading Activity
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