Earnings release
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Ibotta Reports Second Quarter 2025 Financial Results Revenue declined by 2% year-over-year to $86.0 million Redemption revenue declined by 1% year-over-year to $73.2 million Generated net income of $2.5 million, representing net income as a percent of revenue of 3%, and Adjusted EBITDA of $17.9 million, representing a 21% Adjusted EBITDA margin Generated cash from operating activities of $25.9 million and free cash flow of $18.9 million DENVER, August 13, 2025 (Business Wire) -- Ibotta, Inc. (NYSE: IBTA), which operates the largest item-level digital promotions network in North America, today announced financial results for the second quarter ended June 30, 2025. “Ibotta is working hard to bring the power of performance marketing to the CPG industry, allowing our clients to drive profitable revenue growth at scale,” said Ibotta CEO and founder, Bryan Leach. “We are working to fundamentally shift the ways promotions are perceived which requires us to reinvent how they are measured and change how they are purchased to more closely resemble other forms of digital media, where advertisers turn on campaigns and leave them on as long as they are delivering positive incremental returns on investment. We believe this transformation will allow us to capture a greater portion of our total addressable market for CPG marketing spend, unlock advertiser supply, and take advantage of our fast-growing network, both now and into the future. I also want to welcome Matt Puckett to Ibotta as our new CFO. We are thrilled to have his leadership as we move into our next phase of growth.” Second Quarter 2025 Financial Highlights: • Total revenue of $86.0 million, representing a year-over-year decline of 2%. • Total redemption revenue of $73.2 million, a decrease of 1% year-over-year. • During the quarter, the IPN had 17.3 million redeemers, compared to 13.7 million redeemers in the second quarter of 2024, an increase of 27% year-over-year. The primary driver of year-over-year growth was the launch of Instacart during the fourth quarter of 2024, like-for-like growth at our existing publishers, and the partial launch of DoorDash. • Increased third-party publisher redemptions to 58.6 million, compared to 52.1 million in the second quarter of 2024, an increase of 12% year-over-year. • Generated net income of $2.5 million, representing net income as a percent of revenue of 3%, and adjusted net income of $14.9 million, representing adjusted net income as a percent of revenue of 17%. • Delivered Adjusted EBITDA of $17.9 million, representing an Adjusted EBITDA margin of 21%.
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• Generated cash from operating activities of $25.9 million and free cash flow of $18.9 million. • Repurchased 1.4 million shares for a total of $67.5 million at an average price per share of $46.59, exclusive of broker commissions and excise tax. The following table summarizes the Company’s financial results for the three and six months ended June 30, 2025 and 2024: Three months ended June 30, % Change Six months ended June 30, % Change2025 2024 2025 2024 (in thousands, except per share figures and percentages) GAAP Results Redemption revenue $ 73,208 $ 73,951 (1)% $ 146,607 $ 141,940 3 % Revenue $ 86,029 $ 87,926 (2)% $ 170,603 $ 170,253 — % Net income $ 2,490 $ (33,966) 107 % $ 3,045 $ (24,669) 112 % Net income per share,diluted $ 0.08 $ (1.32) 106 % $ 0.10 $ (1.41) 107 % Net income as a percent ofrevenue 3 % (39)% 2 % (14)% Non-GAAP Results Adjusted EBITDA $ 17,882 $ 25,274 (29)% $ 32,555 $ 47,933 (32)% Adjusted EBITDA margin 21 % 29 % 19 % 28 % Adjusted net income $ 14,892 $ 19,859 (25)% $ 27,001 $ 35,257 (23)% Adjusted net income pershare, diluted 0.49 0.68 (28)% 0.85 1.76 (52)%
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The following table summarizes the Company’s performance metrics for the three and six months ended June 30, 2025 and 2024: Three months ended June30, Six months ended June 30, 2025 2024 % Change 2025 2024 % Change (in thousands, except per share figures and percentages) Performance Metrics Redemptions: Direct-to-consumer redemptions 21,933 28,573 (23)% 43,561 56,248 (23)% Third-party publisher redemptions 58,551 52,142 12 % 119,763 95,934 25 % Total redemptions 80,484 80,715 — % 163,324 152,181 7 % Redeemers: Direct-to-consumer redeemers 1,594 1,800 (11)% 1,625 1,864 (13)% Third-party publisher redeemers 15,742 11,902 32 % 15,588 11,230 39 % Total redeemers 17,336 13,702 27 % 17,213 13,095 31 % Redemptions per redeemer: Direct-to-consumer redemptions perredeemer 13.8 15.9 (13)% 26.8 30.2 (11)% Third-party publisher redemptions perredeemer 3.7 4.4 (15)% 7.7 8.5 (9)% Total redemptions per redeemer 4.6 5.9 (21)% 9.5 11.6 (18)% Redemption revenue per redemption: Direct-to-consumer redemption revenue perredemption $ 1.12 $ 1.13 — % $ 1.14 $ 1.16 (2)% Third-party publisher redemption revenue perredemption $ 0.83 $ 0.80 4 % $ 0.81 $ 0.80 1 % Total redemption revenue per redemption$ 0.91 $ 0.92 (1)% $ 0.90 $ 0.93 (3)% Note that certain figures shown above may not recalculate due to rounding. Second Quarter 2025 Business Highlights: • 27% year-over-year growth in quarterly redeemers on the Ibotta Performance Network. • Ibotta digital offers became available to the majority of DoorDash customers. • Added to our Revenue leadership team with new hires in the roles of SVP of Enterprise Sales and SVP of Business Marketing and subsequent to quarter-end, SVP of Revenue Operations. • Subsequent to quarter-end, announced the hiring of Matt Puckett as CFO. • Subsequent to quarter-end, implemented a sales re-organization and held our Summer Sales Kick Off, where we introduced a simplified sales motion and paved the way for our transition to performance marketing.
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Financial Guidance: Third quarter 2025 outlook summary: • Revenue of $79.0 - $84.0 million, a year-over-year decrease of 17% at the midpoint. • Adjusted EBITDA of $9.5 - $13.5 million, representing a margin of 14% at the midpoint. Guidance for Adjusted EBITDA is earnings before interest income, net, provision for income taxes, and depreciation and amortization, and excludes stock-based compensation, restructuring charges, and other expense, net. We have not reconciled Adjusted EBITDA to GAAP net income for our guidance because we do not provide guidance on GAAP net income and would not be able to present the various reconciling cash and non- cash items between the GAAP and non-GAAP financial measures since certain items that impact these measures are uncertain or out of our control, or cannot be reasonably predicted, including share-based compensation expense, without unreasonable effort. The actual amounts of such reconciling items could have a significant impact on the Company's GAAP net income. Use of Non-GAAP Financial Information Included within this press release are the non-GAAP financial measures of adjusted EBITDA, adjusted EBITDA margin, adjusted net income, adjusted net income as a percent of revenue, adjusted diluted net income per share and free cash flow that supplement the condensed financial statements of the Company prepared under generally accepted accounting principles (GAAP). The non-GAAP financial information is presented for supplemental informational purposes only and is not intended to be considered in isolation or as a substitute for, or superior to, financial information prepared and presented in accordance with GAAP. Please see the accompanying tables for reconciliations of these non-GAAP financial measures to their nearest GAAP equivalents. Adjusted EBITDA is earnings before interest income, net, provision for income taxes, and depreciation and amortization, and excludes stock-based compensation, change in fair value of derivative, loss on debt extinguishment, restructuring charges, and other expense, net. Adjusted EBITDA margin is calculated as Adjusted EBITDA as a percent of revenue. Adjusted net income excludes stock-based compensation, loss on debt extinguishment, change in fair value of derivative, restructuring charges, and the related income tax effects. The income tax effect of non-GAAP adjustments is the difference between GAAP and non-GAAP income tax expense. Non-GAAP income tax expense is computed on non-GAAP pre-tax income (GAAP pre-tax income adjusted for non-GAAP adjustments). Adjusted diluted net income per share is calculated as adjusted net income divided by diluted weighted average common shares outstanding. Free cash flow is defined as cash provided by operating activities, less additions to property and equipment and capitalization of software development costs. The Company's management believes that these non-GAAP measures can assist investors in evaluating the Company's operational trends, financial performance, and cash-generating capacity. Management believes these non-GAAP measures allow investors to evaluate the Company’s financial performance using some of the same measures as management. Investors are cautioned that there are material limitations associated with the use of non-GAAP financial measures versus their nearest GAAP equivalents. The Company’s definitions may differ from the definitions used by other companies and therefore comparability may be limited. In addition,
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other companies may not publish these or similar metrics. These non-GAAP measures are not meant to be considered in isolation or as a substitute for the comparable GAAP measures, but are included solely for informational and comparative purposes. Non-GAAP financial measures are subject to limitations and should be read only in conjunction with our consolidated financial statements prepared in accordance with GAAP. In light of these limitations, management also reviews the specific items that are excluded from our non-GAAP measures, as well as trends in these items.
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Second Quarter 2025 Financial Results Webcast and Conference Call Details When: Wednesday, August 13, 2025 at 2:30 p.m. MT/ 4:30 p.m. ET Webcast: ir.ibotta.com Key Business Terms and Notes Ibotta Performance Network (IPN): An AI-enabled technology platform that allows CPG brands to deliver digital promotions to consumers via a network of publishers, in a coordinated fashion and on a fee-per-sale basis. Redeemers: A consumer who has redeemed at least one digital offer within the time period specified. If a consumer were to redeem on more than one publisher during that period, they would be counted as multiple redeemers. Year-to-date redeemers are calculated as the average of current year quarter-to-date redeemers. Redemptions: A verified purchase of an item qualifying for an offer by a client on the IPN. Redemption Revenue: The Company’s customers promote their products and services to consumers through cash back offers on the IPN. The Company earns a fee per redemption which is recognized in the period in which the redemption occurred. The Company may also charge fees to set up a redemption campaign which are deferred and recognized over the average duration of historical redemption campaigns. About Ibotta ("I bought a...") Ibotta (NYSE: IBTA) is a leading provider of digital promotions for CPG brands, reaching over 200 million consumers through a network of publishers called the Ibotta Performance Network (IPN). The IPN allows marketers to influence what people buy, and where and how often they shop – all while paying only when their campaigns directly result in a sale. American shoppers have earned over $2.5 billion through the IPN since 2012. The largest tech IPO in history to come out of Colorado, Ibotta is headquartered in Denver, and is continually listed as a top place to work by The Denver Post and Inc. Magazine.
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Forward-Looking Statements This press release contains “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Any statements relating to expectations concerning matters that are not historical facts may constitute forward-looking statements. Forward-looking statements may include, without limitation, statements by our CEO and founder about our ability to transition our product and go-to-market, and the Company’s financial guidance, such as revenue and Adjusted EBITDA. When words such as “believe,” “expect,” “anticipate,” “will”, “outlook” or similar expressions are used, the Company is making forward-looking statements. Although the Company believes that the expectations reflected in such forward-looking statements are reasonable, it cannot give readers any assurance that such expectations will prove correct. These forward-looking statements involve risks, uncertainties and assumptions, including those related to the Company’s relatively limited operating history, which makes it difficult to evaluate the Company’s business and prospects, the demands and expectations of clients and the ability to attract and retain clients. The actual results may differ materially from those anticipated in the forward-looking statements as a result of numerous factors, many of which are beyond the control of the Company. These and other factors are disclosed in the Company’s reports filed from time to time with the Securities and Exchange Commission, available at www.sec.gov. Readers are urged not to place undue reliance on these forward-looking statements, which speak only as of the date of this press release. The Company does not intend to update any forward-looking statement contained in this press release to reflect events or circumstances arising after the date hereof, except as required by law.
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Ibotta, Inc. CONDENSED STATEMENTS OF OPERATIONS (In thousands, except share and per share amounts) (unaudited) Three months ended June 30, Six months ended June 30, 2025 2024 2025 2024 Revenue $ 86,029 $ 87,926 $ 170,603 $ 170,253 Cost of revenue 17,925 12,283 35,017 22,798 Gross profit 68,104 75,643 135,586 147,455 Operating expenses: Sales and marketing 28,809 50,018 58,667 78,147 Research and development 14,745 17,526 32,814 31,167 General and administrative 22,264 28,708 43,650 41,862 Depreciation and amortization 1,048 1,048 2,020 2,031 Total operating expenses 66,866 97,300 137,151 153,207 Income (loss) from operations 1,238 (21,657) (1,565) (5,752) Interest income, net 2,636 2,672 6,321 867 Loss on debt extinguishment — (9,630) — (9,630) Other expense, net (6) (1,414) (405) (3,116) Income (loss) before provision for income taxes 3,868 (30,029) 4,351 (17,631) Provision for income taxes (1,378) (3,937) (1,306) (7,038) Net income (loss) $ 2,490 $ (33,966)$ 3,045 $ (24,669) Net income (loss) per share: Basic $ 0.09 $ (1.32)$ 0.10 $ (1.41) Diluted $ 0.08 $ (1.32)$ 0.10 $ (1.41) Weighted average common shares outstanding: Basic 28,479,977 25,659,465 29,623,352 17,484,092 Diluted 30,433,519 25,659,465 31,819,817 17,484,092 (1) Amounts include stock-based compensation expense as follows (in thousands): Three months ended June 30, Six months ended June 30, 2025 2024 2025 2024 Cost of revenue $ 625 $ 365 $ 1,282 $ 523 Sales and marketing 4,873 26,808 10,002 30,430 Research and development 2,500 4,036 5,647 4,589 General and administrative 5,644 13,608 10,463 14,120 Total stock-based compensation expense$ 13,642 $ 44,817 $ 27,394 $ 49,662 (2) Stock-based compensation expense included in sales and marketing includes common stock warrant expense of $2.1 million and $21.9 million recognized during the three months ended June 30, 2025 and 2024, respectively, and $4.3 million and $24.9 million recognized during the six months ended June 30, 2025 and 2024, respectively. (1) (1) (2) (2)
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Ibotta, Inc. CONDENSED BALANCE SHEETS (In thousands) June 30, December 31, 2025 2024 (unaudited) Assets Current assets: Cash and cash equivalents $ 250,549 $ 349,282 Restricted cash 58 408 Accounts receivable, net 208,976 220,883 Prepaid expenses and other current assets 23,064 11,168 Total current assets 482,647 581,741 Property and equipment, net 9,044 1,951 Capitalized software development costs, net 19,054 16,201 Equity investment 4,531 4,531 Deferred tax assets, net 74,407 73,211 Operating lease assets 10,357 — Other long-term assets 738 794 Total assets $ 600,778 $ 678,429 Liabilities and Stockholders’ Equity Current liabilities: Accounts payable $ 10,596 $ 7,160 Due to third-party publishers 94,713 93,982 Deferred revenue 5,148 4,964 User redemption liability 70,922 74,006 Accrued expenses 17,831 17,965 Other current liabilities 4,823 6,088 Total current liabilities 204,033 204,165 Long-term liabilities: Operating lease liabilities, long-term 24,923 — Unrecognized tax benefits, long-term 17,694 16,981 Total liabilities 246,650 221,146 Stockholders’ equity: Preferred stock — — Class A common stock — — Class B common stock — — Additional paid-in capital 664,427 629,050 Treasury stock (172,898) (31,321) Accumulated deficit (137,401) (140,446) Total stockholders' equity 354,128 457,283 Total liabilities and stockholders' equity $ 600,778 $ 678,429
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Ibotta, Inc. CONDENSED STATEMENTS OF CASH FLOWS (In thousands) (unaudited) Six months ended June 30, 2025 2024 Operating activities Net income (loss) $ 3,045 $ (24,669) Adjustments to reconcile net income (loss) to net cash provided by operating activities: Depreciation and amortization 4,610 4,023 Impairment of capitalized software development costs 241 366 Stock-based compensation expense 23,049 24,802 Common stock warrant expense 4,345 24,860 Credit loss expense 1,454 681 Loss on extinguishment of debt — 9,630 Amortization of debt discount and issuance costs 75 1,029 Change in fair value of convertible notes derivative liability — 3,085 Other 10 23 Changes in assets and liabilities: Accounts receivable 10,463 16,741 Other current and long-term assets (23,467) (1,603) Accounts payable 1,126 (2,917) Due to third-party publishers 731 7,387 Accrued expenses (1,535) (7,787) Deferred revenue 184 203 User redemption liability (3,084) (3,487) Other current and long-term liabilities 24,468 2,019 Net cash provided by operating activities 45,715 54,386 Investing activities Additions to property and equipment (5,520) (353) Additions to capitalized software development costs (6,448) (4,436) Net cash used in investing activities (11,968) (4,789) Financing activities Proceeds from exercise of stock options 7,357 4,706 Debt issuance costs (2) — Proceeds from initial public offering, net — 206,692 Deferred offering costs — (5,637) Purchase of treasury stock (140,176) — Taxes paid related to net share settlement of equity awards (2,045) — Proceeds from employee stock purchase plan 2,036 — Other financing activities — (91) Net cash (used in) provided by financing activities (132,830) 205,670 Net change in cash, cash equivalents, and restricted cash (99,083) 255,267 Cash, cash equivalents, and restricted cash, beginning of period 349,690 62,591 Cash, cash equivalents, and restricted cash, end of period $ 250,607 $ 317,858
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The following table disaggregates the Company’s direct-to-consumer and third-party publishers revenue by redemption and ad & other revenue: Supplemental Revenue Detail Three months ended June 30, % Change Six months ended June 30, % Change2025 2024 2025 2024 (in thousands, except percentages) Direct-to-consumer revenue Redemption revenue $ 24,620 $ 32,300 (24)% $ 49,824 $ 65,282 (24)% Ad & other revenue 12,821 13,975 (8)% 23,996 28,313 (15)% Total direct-to-consumerrevenue 37,441 46,275 (19)% 73,820 93,595 (21)% Third-party publishers revenue Redemption revenue 48,588 41,651 17 % 96,783 76,658 26 % Ad & other revenue — — — % — — — % Total third-partypublishers revenue 48,588 41,651 17 % 96,783 76,658 26 % Total Redemption revenue 73,208 73,951 (1)% 146,607 141,940 3 % Ad & other revenue 12,821 13,975 (8)% 23,996 28,313 (15)% Total revenue $ 86,029 $ 87,926 (2)% $ 170,603 $ 170,253 — %
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Non-GAAP Financial Metrics (In thousands, except shares, per share amounts, and percentages) The following tables show the Company’s non-GAAP financial metrics reconciled to the comparable GAAP financial metrics included in this release: Reconciliation of Adjusted EBITDA Three months ended June 30, Six months ended June 30, 2025 2024 2025 2024 Net income (loss) $ 2,490 $ (33,966) $ 3,045 $ (24,669) Add (deduct): Interest income, net (2,636) (2,672) (6,321) (867) Depreciation and amortization 2,445 2,114 4,610 4,023 Stock-based compensation 13,642 44,817 27,394 49,662 Change in fair value of derivative — 1,385 — 3,085 Loss on debt extinguishment — 9,630 — 9,630 Restructuring charges 557 — 2,116 — Provision for income taxes 1,378 3,937 1,306 7,038 Other expense, net 6 29 405 31 Adjusted EBITDA $ 17,882 $ 25,274 $ 32,555 $ 47,933 Revenue $ 86,029 $ 87,926 $ 170,603 $ 170,253 Net income as a percent of revenue 3 % (39)% 2 % (14)% Adjusted EBITDA margin 21 % 29 % 19 % 28 % Reconciliation of Adjusted Net Income Three months ended June 30, Six months ended June 30, 2025 2024 2025 2024 Net income (loss) $ 2,490 $ (33,966) $ 3,045 $ (24,669) Stock-based compensation 13,642 44,817 27,394 49,662 Change in fair value of derivative — 1,385 — 3,085 Loss on debt extinguishment — 9,630 — 9,630 Restructuring charges 557 — 2,116 — Adjustment for income taxes (1,797) (2,007) (5,554) (2,451) Adjusted net income $ 14,892 $ 19,859 $ 27,001 $ 35,257 Revenue $ 86,029 $ 87,926 $ 170,603 $ 170,253 Adjusted net income as a percent of revenue 17 % 23 % 16 % 21 % Weighted average common shares outstanding,diluted 30,433,519 25,659,465 31,819,817 17,484,092 Net income (loss) per share, diluted $ 0.08 $ (1.32) $ 0.10 $ (1.41) Adjusted weighted average common sharesoutstanding, diluted 30,433,519 29,022,347 31,819,817 20,065,490 Adjusted net income per share, diluted $ 0.49 $ 0.68 $ 0.85 $ 1.76
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Non-GAAP Financial Metrics (In thousands, except shares, per share amounts, and percentages) Reconciliation of Free Cash Flow Three months ended June 30, Six months ended June 30, 2025 2024 2025 2024 Net cash provided by operating activities $ 25,855 $ 35,020 $ 45,715 $ 54,386 Additions to property and equipment (3,626) (201) (5,520) (353) Additions to capitalized software development costs(3,374) (2,121) (6,448) (4,436) Free cash flow $ 18,855 $ 32,698 $ 33,747 $ 49,597
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Contact Corporate Communications Hilary O’Byrne, hilary.obyrne@ibotta.com Investor Relations Shalin Patel, shalin.patel@ibotta.com