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PubMatic Q2 2026 Earnings Presentation August 6 , 2026
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2 This presentation contains forward-looking statements regarding our future business expectations, including but not limited to our guidance relating to our revenue, adjusted EBITDA, and adjusted EBITDA margin for the third quarter of 2026 and capex for the full year 2026, our expectations regarding our free cash flow, net income, future hiring, total addressable market, future adoption of our products. future market growth and behavior, our long-term revenue growth, and our ability to gain market share. These forward-looking statements are based on our current expectations and assumptions regarding our business, the economy, and other future conditions and may differ materially from actual results due to a variety of factors including: our dependency on the overall demand for advertising and the channels we rely on; our existing customers not expanding their usage of our platform, or our failure to attract new publishers and buyers; our ability to maintain and expand access to spend from buyers and valuable ad impressions from publishers; the rejection of the use of digital advertising by consumers through opt-in, opt-out or ad-blocking technologies or other means; our failure to innovate and develop new solutions that are adopted by publishers, especially as artificial intelligence impacts existing digital advertising technology; competition from new and existing competitors, our ongoing litigation against Google LLC; geopolitical conflicts, resulting disruptions to international trade and commerce, and related measures taken in response by the global community; the impacts of inflation, tariffs and recessionary fears as well as fiscal tightening, changes in the interest rate and currency exchange environments and continuing volatility in global capital markets; global macroeconomic uncertainty; limitations imposed on our collection, use or disclosure of data about advertisements; the lack of similar or better alternatives to the use of third-party cookies, mobile device IDs or other tracking technologies if such uses are restricted; any failure to scale our platform infrastructure to support anticipated growth and transaction volume; liabilities or fines due to publishers, buyers, and data providers not obtaining consents from consumers for us to process their personal data; any failure to comply with laws and regulations related to data privacy, data protection, information security, and consumer protection; and our ability to manage our growth. Forward-looking statements should not be read as a guarantee of future performance or results and will not necessarily be accurate indications of the times at, or by, which such performance or results will be achieved, if at all. We operate in a competitive and rapidly changing market, and new risks may emerge from time to time. Additional information about risks and uncertainties associated with our business are disclosed in our reports filed from time to time with the Securities and Exchange Commission, including our most recent Form 10-K and any subsequent filings on Forms 10-Q or 8-K, available on our investor relations website at https://investors.pubmatic.com and on the Securities and Exchange Commission website at www.sec.gov. All information in this presentation is as of August 6, 2026. We undertake no obligation to publicly update any forward-looking statement, whether as a result of new information, future developments or otherwise, except as may be required by law. In addition to financial information presented in accordance with U.S. generally accepted accounting principles ("GAAP"), this presentation includes certain non-GAAP financial measures, including adjusted EBITDA, adjusted EBITDA margin, Free Cash Flow, Free Cash Flow Margin, non-GAAP net income, non-GAAP net income margin, non-GAAP diluted EPS, growth of our underlying business excluding the impacted DSPs referenced previously, and litigation related expenses. We believe that this information can assist investors in evaluating our operational trends, financial performance, and cash generating capacity. These non-GAAP measures are presented for supplemental informational purposes only and should not be considered a substitute for financial information presented in accordance with GAAP. These non-GAAP measures have limitations as analytical tools. For example, other companies may calculate non-GAAP metrics differently or may use other metrics to evaluate their performance, all of which could reduce the usefulness of our non-GAAP financial metrics as tools for comparison. They should not be considered in isolation or as a substitute for analysis of other GAAP financial measures. A reconciliation of these measures to the most directly comparable GAAP measures is included at the end of this presentation. This presentation contains statistical data, estimates and forecasts that are based on independent industry publications or other publicly available information, as well as other information based on our internal sources. This information involves many assumptions and limitations, and you are cautioned not to give undue weight to these estimates. We have not independently verified the accuracy or completeness of the data contained in these industry publications and other publicly available information. Accordingly, we make no representations as to the accuracy or completeness of that data nor do we undertake to update such data after the date of this presentation. The trademarks included herein are the property of the owners thereof and are used for reference purposes only. S A F E H A R B O R
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3 ▪ PubMatic is the leading AI -powered ad tech company delivering digital advertising performance W H AT W E D O Q 2 2 0 2 6 F I N A N C I A L H I G H L I G H T S YOY REVENUE GROWTH NET LOSS MARGIN DIVERSIFIED BUSINESS C T V, m o b i l e a p p , a n d e m e r g i n g r e v e n u e ADJUSTED EBITDA MARGIN ~60% 1 CTV and Display revenues exclude legacy DSP 1 CTV and Display revenues exclude legacy DSP 25% (1)%11%
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4 L E A D I N G T H E A I T R A N S F O R M A T I O N O F O P E N I N T E R N E T A D V E R T I S I N G 80+ A G E N T I C O S C A M PA I G N S S I N C E J A N U A R Y, I N C L U D I N G A L L 5 G L O B A L H O L D I N G C O M PA N I E S 4,000+ AI - P O W E R E D D E A L S T R A N S A C T E D Monetizing more of the value chain and attracting new customer types to PubMatic AgenticOS eliminates the need for traditional softw are interfaces Integrated AI platform delivers performance w ith measurable results
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5 A G E N T I C O S O U T P E R F O R M E D I N C U M B E N T D S P I N H E A D- TO - H E A D T E S T M O V E B E Y O N D T R A D I T I O N A L P R O G R A M M AT I C W I T H A G E N T I C M E D I A B U Y I N G To deliver retargeting at scale Higher video completion rate More efficient CPM vs incumbent DSP Impressions per dollar of ad spend2X+ 53% 54% DAYS NOT MONTHS
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6 AI - N A T I V E B U Y I N G D E L I V E R S C O N S I S T E N T , M E A S U R A B L E R E S U L T S O N P U B M A T I C +25% V I E W A B L E C O M P L E T I O N R AT E VS INDUSTRY AVERAGE 80% REDUCTION IN C A M P A I G N S E T U P T I M E + 18% D E C R E A S E I N C P M s V S T A R G E T +23% I M P R E S S I O N S V S T A R G E T +
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7 ▪ INTELLIGENCE Proprietary bidstream data + over 300 data and commerce media partners + consumer signals ACTIVATE Directly connects demand and supply in a single environment AGENTICOS 20+ AI agents for media buyers and sellers Competitive advantages fuel ad performance AI -NATIVE INFRASTRUCTURE Drives speed, intelligence and superior outcomes SSP SCALE 2,000+ premium streamers, apps, and publishers
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8 8 D E C I S I O N FA B R I C : D E C I S I O N I N G C L O S E S T T O S U P P LY U N L O C K S B E T T E R O U T C O M E S I N C R E A S E D A D V E R T I S E R P E R F O R M A N C E Auctions run with more inventory, more data, and less latency B U Y E R M O D E L S C O N TA I N E R I Z E D D I R E C T LY O N P U B M AT I C Partners deploy their proprietary models inside PubMatic's infrastructure P U B M AT I C I N T E L L I G E N C E PubMatic and third party data drive compounding results L A U N C H P A R T N E R S
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9 P E R F O R M A N C E S O L U T I O N S D R I V E N E W C A T E G O R I E S O F A D V E R T I S E R S A N D B U D G E T S New offerings , expanded marketplaces and emerging ad channels drive incremental opportunities Launched Creator Marketplace Delivered 5X return on ad spend for DTC brand Rouge Care Therapy ▪ C R E AT O R- L E D V I D E O I S 2 6 % O F V I E W I N G
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10 G R O W T H I N L I V E S P O R T S M A R K E T P L A C E Real-time content intelligence at point of auction Q2 activity in Live Sports more than doubled YOY
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11 AI is changing how media is bought and sold in the open internet. PubMatic is leading this transformation ▪ More buyers, publishers and data create a compounding intelligence advantage Prior investments fueling accelerated, profitable grow th Delivering better customer outcomes Expanding into new advertising formats, markets and sources of demand
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▪ Financial Highlights
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13 ▪ 1 Adjusted EBITDA and Adjusted EBITDA Margin are non-GAAP financial measures. See reconciliation in Appendix. 2 Cash flow from operations is net cash provided by operating activities. Returned to double -digit growth ahead of schedule Q 2 2 0 2 6 F I N A N C I A L H I G H L I G H T S REVENUE GAAP NET LOSS ADJUSTED EBITDA 1 CASH FLOW FROM OPERATIONS 2 $78.6M 11% YOY GROWTH $(1.2)M (1)% MARGIN $19.6M 25% MARGIN $20.2M 36% YOY GROWTH T O TA L R E V E N U E
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14 40%+ MOBILE APP YOY GROWTH ~100% EMERGING REVENUES YOY GROWTH S T R O N G R E V E N U E G R O W T H A C R O S S O M N I C H A N N E L P L AT F O R M 25% CTV AMERICAS YOY GROWTH 12% DISPLAY YOY GROWTH
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15 O W N E D A N D O P E R AT E D I N F R A S T R U C T U R E I S A C O M P E T I T I V E A N D F I N A N C I A L A D VA N TA G E 4% M O N E T I Z E D I M P R E S S I O N S -2% R E D U C T I O N I N G R O S S I M P R E S S I O N S Q2 QoQ GROWTH Platform innovation enabling new high value offerings AI infrastructure supports both revenue growth and cost efficiencies
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16 16 Subtotals for each bar may not add up to total due to rounding. G A A P O P E R AT I N G E X P E N S E S : A I E F F I C I E N C I E S U N L O C K I N V E S T M E N T F O R G R O W T H D I S C I P L I N E D O P E R AT I N GS T R AT E G Y ▪ AI automation unlocking productivity and efficiencies across business functions ▪ Drives re -allocation of resources and increased investment in Sales ▪ Sales team increased 12% while total headcount down YOY
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17 17 1 Free Cash Flow is a non-GAAP measure. A reconciliation of free cash flow to net cash flow provided by (used in) operating activities is provided in the Appendix. Note: Numbers rounded for presentation purposes L O N G T E R M F O C U S O N C A S H G E N E R AT I O N U S E S O F C A S H ▪ Investments for secular growth ▪ Share repurchases ▪ Potential M&A N E T C A S H F R O M O P E R AT I N G A C T I V I T I E S Q 1 2 0 2 1 – Q2 2026 $449M F R E E C A S H F L O W1 Q 1 2 0 2 1 – Q2 2026 $246M
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18 18 C A P I TA L A L L O C AT I O N C A S H U S E D F O R R E P U R C H A S E S1 $211M C L A S S A C O M M O N S H A R E S R E P U R C H A S E D1 15.5M $138M C A S H & M A R K E TA B L E S E C U R I T I E S Q2 2026 F E B 2 0 2 3 TO J U N 2026 F E B 2 0 2 3 TO J U N 2026 N O D E B T 1 As of June 30, 2026, fully diluted weighted average shares outstanding of 49,809,156.
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19 19 Although we provide guidance for Adjusted EBITDA, a non-GAAP metric, we are not able to provide guidance for net income (loss), the most directly comparable GAAP measure. Certain elements of the composition of GAAP net income (loss), including stock-based compensation expenses, are not predictable, making it impractical for us to provide guidance on net income or to reconcile our Adjusted EBITDA guidance to net income (loss) without unreasonable efforts. For the same reason, we are unable to address the probable significance of the unavailable information. Adjusted EBITDA margin is a non-GAAP financial measure. See reconciliation in Appendix. Q 3 2 0 2 6 G U I D A N C E Q3 2026 Low High Revenue $75 $77 Year over Year Grow th % 10% 13% Adjusted EBITDA $17 $19 Adjusted EBITDA Margin 23% 25% Note: Numbers rounded for presentation purposes Full year 2026 capex outlook: $20 million - $25 million
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20 DSP diversification on track MU LT I-FA C E T E D S T R AT E G Y T R A N S F O R M S B U S I N E S S 20 Agentic advertising provides incremental tailwind for growth 2 Generating AI efficiencies that fuel disciplined investments 3 Margin and cash flow expansion as revenue growth reaccelerates 4 High value formats & channels to accelerate revenue growth in 2H1 5
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21 Appendix
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22 22 Note: Numbers rounded for presentation purposes N O N- G A A P R E C O N C I L I AT I O N – A D J U S T E D E B I T D A & N O N- G A A P N E T I N C O M E ( L O S S ) ($ in Thousands) Q2 '26 Q1 '26 Q4 '25 Q3 '25 Q2 '25 Q1 '25 Q4 '24 Q3 '24 Net income (loss) $(1,202) $(12,510) $ 6,684 $(6,452) $(5,208) $(9,486) $13,899 $ (912) Add back (deduct): Stock-based compensation 8,347 8,488 9,368 9,511 9,801 9,698 9,409 9,457 Depreciation and amortization 10,007 9,988 9,773 10,459 11,861 11,676 11,421 11,384 Litigation related expenses 594 438 364 538 — — — — Interest income (1,213) (1,215) (1,285) (1,198) (1,379) (1,593) (1,604) (1,969) Provision for (benefit from) income taxes 3,083 (2,601) 2,914 (1,706) (862) (1,838) 4,521 586 Adjusted EBITDA $19,616 $ 2,588 $27,818 $11,152 $14,213 $ 8,457 $37,646 $18,546 Revenue $78,593 $62,567 $80,046 $67,960 $71,095 $63,825 $85,502 $71,786 Adjusted EBITDA Margin 25% 4% 35% 16% 20% 13% 44% 26%
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23 23 N O N- G A A P R E C O N C I L I AT I O N – A D J U S T E D E B I T D A & N O N- G A A P N E T I N C O M E ( L O S S ) (in thousands except per share data) Q2 '26 Q1 '26 Q4 '25 Q3 '25 Q2 '25 Q1 '25 Q4 '24 Q3 '24 Net income (loss) $(1,202) $(12,510) $ 6,684 $(6,452) $(5,208) $(9,486) $13,899 $ (912) Stock based compensation 8,347 8,488 9,368 9,511 9,801 9,698 9,409 9,457 Litigation related expenses 594 438 364 538 — — — — Adjustment for income taxes (1,883) (1,831) (1,976) (2,018) (2,068) (2,055) (1,865) (1,978) Non-GAAP net income (loss) $ 5,856 $(5,415) $14,440 $ 1,579 $ 2,525 $(1,843) $21,443 $ 6,567 Revenue $78,593 $62,567 $80,046 $67,960 $71,095 $63,825 $85,502 $71,786 Non-GAAP net income margin 7% (9%) 18% 2% 4% (3%) 25% 9% Non-GAAP weighted average shares outstanding – diluted 46,106 47,120 49,316 49,180 50,539 48,346 52,623 53,986 Non-GAAP diluted EPS $0.13 -$0.11 $0.29 $0.03 $0.05 -$0.04 $0.41 $0.12 Note: Numbers rounded for presentation purposes
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24 24 Note: Numbers rounded for presentation purposes F R E E C A S H F L O W R E C O N C I L I AT I O N ($ in Millions) Three Months Ended June 30, Six Months Ended June 30, 2026 2025 2026 2025 Net Cash provided by Operating Activities $20.2 $14.9 $37.5 $30.5 Deduct: Purchases of Property and Equipment (3.0) (1.3) (3.0) (2.8) Capitalized Software Development Costs (3.6) (4.3) (10.2) (11.2) Free Cash Flow $13.7 $9.3 $24.4 $16.6 Revenue $78.6 $71.1 $141.2 $134.9 Free Cash Flow Margin 17% 13% 17% 12%