Decline in Digital Turbine's shares despite surpassing expectations in Q1 revenue and a less-than-impressive outlook
Digital Turbine Reports Strong Q1 Earnings, Raises Fiscal 2026 Outlook
In a significant development, Digital Turbine (NASDAQ: APPS) has reported its fiscal Q1 2026 earnings, revealing a robust performance and higher revenue compared to the same quarter last year.
The company's revenue for the quarter ended June 30, 2025, was $130.9 million, marking an 11% year-over-year increase. This growth was welcomed by analysts who have been closely following Digital Turbine's progress.
However, the earnings report did not mention any changes in the company's non-GAAP EPS during market hours. The report did state that Digital Turbine's non-GAAP adjusted EPS was $0.05 for the quarter.
In a positive move, Digital Turbine also raised its revenue guidance for the full fiscal year 2026. The company now expects its revenue to range between $525 million and $535 million, and its non-GAAP adjusted EBITDA to be between $90 million and $95 million.
The report's release triggered a brief soar in Digital Turbine (NASDAQ: APPS) shares. However, in an unexpected turn of events, the shares subsequently slid 8% in post-market trading on Tuesday.
It's important to note that the exact date of the earnings report's release was not specified. The slide in Digital Turbine (NASDAQ: APPS) shares occurred after the company released its fiscal Q1 earnings report.
In summary, Digital Turbine's fiscal Q1 2026 performance shows improving revenue and profitability trends. The company's financial outlook for the full fiscal year 2026 has been raised based on strong momentum.
| Metric | Fiscal Q1 2026 (Ended June 30, 2025) | Fiscal Year 2026 Outlook | |--------------------------|------------------------------------|----------------------------------| | Revenue | $130.9 million (11% YoY growth) | $525 million to $535 million | | Non-GAAP Adjusted EPS | $0.05 per share | Not specified | | GAAP Net Loss | $14.1 million | Not specified | | GAAP EPS | ($0.13) per share | Not specified | | Non-GAAP Adjusted EBITDA | $25.1 million (73% YoY growth) | $90 million to $95 million |
[1] Digital Turbine (NASDAQ: APPS) Reports Fiscal Q1 2026 Earnings and Raises Fiscal 2026 Outlook, BusinessWire, [Link to the press release]
[2] Digital Turbine Announces Fourth Quarter and Fiscal Year 2025 Financial Results, GlobeNewswire, [Link to the press release]
[3] Digital Turbine Announces Fourth Quarter and Fiscal Year 2025 Financial Results, Yahoo Finance, [Link to the press release]
[4] Digital Turbine Announces Fourth Quarter and Fiscal Year 2025 Financial Results, MarketWatch, [Link to the press release]
In light of Digital Turbine's (NASDAQ: APPS) strong Q1 2026 earnings, the company's future financial plans are focused on investing in business ventures to maintain the revenue growth momentum. The adjusted revenue outlook for the full fiscal year 2026 has been raised to a range of $525 million to $535 million, potentially making it an attractive investment opportunity for interested parties.
