Taboola posts nearly 7% revenue decline in third quarter
Key points
- Taboola reported third-quarter 2026 revenue of $462.3 million, down 6.9% year over year, while net income increased to $18.4 million.
- Adjusted EBITDA rose 16.1% to $56 million, although operating cash flow declined to $35.6 million and free cash flow fell to $20.4 million.
- Taboola forecast full-year revenue of $1.8825 billion–$1.8985 billion and expects to complete its acquisition of Dianomi before the end of 2026.
Taboola (NASDAQ:TBLA) reported third-quarter 2026 revenue of $462.3 million, down 6.9%, while net income increased to $18.4 million.
Revenue declined from approximately $496.6 million a year earlier, although net income rose from $5.2 million and gross profit increased 9.6%.
Adjusted EBITDA rose 16.1% to $56 million, while its margin on ex-TAC gross profit increased to 29.7% from 27.3%.
Operating cash flow fell to $35.6 million from $53.2 million, while free cash flow declined to $20.4 million from $46.3 million.
Taboola forecast 2026 revenue of $1.8825 billion–$1.8985 billion and adjusted EBITDA of $212 million–$221 million, while targeting Dianomi's acquisition before year-end.
The company's Full Page Monetization technology is operating across NBCUniversal, while Fox News has completed its rollout of Taboola's services.
Taboola announced its proposed Dianomi acquisition in September to expand its financial advertising network, with completion subject to regulatory and shareholder approvals.
