Tel Aviv and New York-based Perion Network (NASDAQ:PERI) reported fourth-quarter financial results that showcased a significant recovery in profitability.
The digital media company posted fourth-quarter revenue of $137.1 million, a 6 percent increase year-over-year, narrowly exceeding the $136.7 million consensus estimate.
While GAAP net income for the quarter was $8 million, or 19 cents per share, adjusted earnings—which exclude stock-based compensation and acquisition costs—reached 49 cents per share.
This matched analyst expectations and represented a sharp improvement in operating leverage.
The standout metric for the quarter was a 53 percent surge in adjusted EBITDA, which climbed to $24.3 million.
This jump was fueled by high-margin growth engines: Connected TV (CTV) revenue skyrocketed 59 percent, and Digital Out-of-Home (DOOH) revenue rose 28 percent.
These gains were essential in stabilizing the company after a turbulent 2025, during which a shift in Microsoft Bing’s pricing model caused a 44 percent drop in Perion's annual search revenue, leading to a full-year GAAP net loss of $7.9 million.