Ad-tech firm Perion's Q2 adjusted EPS beats estimates

Overview

• Perion Q2 2025 rev drops 5% yr/yr to $103 mln

• Adjusted EPS and EBITDA beat analyst expectations, per LSEG data

• Co repurchased 3.6 mln shares for $33.4 mln in Q2

Outlook

• Perion reiterates FY 2025 revenue guidance of $430 mln to $450 mln

• Company expects FY 2025 adjusted EBITDA between $44 mln and $46 mln

• Perion expanding into Korea and Europe for growth

• Company launches Performance CTV solution to capture streaming ad market

Result Drivers

• ADVERTISING SOLUTIONS - Revenue grew 8% YoY, driven by a 35% increase in DOOH and 5% in Web channel

• SEARCH ADVERTISING - Revenue fell 35% YoY due to changes by Microsoft Bing

• GREENBIDS INTEGRATION - Integration on track, unlocking over $1 mln in business with custom algorithm deals

Key Details

Analyst Coverage

• The current average analyst rating on the shares is "hold" and the breakdown of recommendations is 2 "strong buy" or "buy", 3 "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 Perion Network Ltd is $14.00, about 27.1% above its August 8 closing price of $10.21

• The stock recently traded at 127 times the next 12-month earnings vs. a P/E of 72 three months ago

Press Release: ID:nBw9H0PBQa