Taboola's Q1 revenue beats estimates, returns to profit on advertiser success

Taboola.Com

06/05/2026 11:25

Overview

Digital advertising platform's Q1 revenue rose 9%, beating analyst expectations

Company swung to net profit from loss a year earlier

Adjusted EBITDA fell yr/yr, while cash flow from operations more than doubled

Outlook

Taboola sees Q2 revenue between $492 mln and $505 mln

Company raises full-year 2026 revenue outlook to $2,006 mln-$2,062 mln

Taboola expects full-year 2026 adjusted EBITDA of $222 mln-$240 mln

Result Drivers

ADVERTISER ACTIVITY - Co said growth was driven by advertiser success on its Realize platform

TECHNOLOGY AND DATA - Co cited unique data, AI, and distribution as supporting performance outcomes

LEGAL SETTLEMENT - Net income included a $77 mln pre-tax gain from a legal settlement

Company press release: ID:nGNX54lbyL

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q1 Revenue
Beat
$466.40 mln
$453.28 mln (7 Analysts)
Q1 EPS
$0.2
Q1 Net Income
$59.07 mln
Q1 Gross Profit
$129.58 mln


Analyst Coverage

The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 5 "strong buy" or "buy", 2 "hold" and no "sell" or "strong sell"

The average consensus recommendation for the software peer group is "buy"

Wall Street's median 12-month price target for Taboola.com Ltd is $4.75, about 24.7% above its May 5 closing price of $3.81

The stock recently traded at 6 times the next 12-month earnings vs. a P/E of 8 three months ago

For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)