Perion Network Ltd (NASDAQ:PERI) Q3 2025 Earnings: EPS Beats Estimates, Revenue Slightly Tops Forecasts

Perion Network Ltd (NASDAQ:PERI) has reported financial results for the third quarter of 2025, delivering a performance that notably exceeded analyst expectations on profitability, which appears to be driving a positive market response.

Earnings and Revenue vs. Estimates

The company's third-quarter results presented a mixed but ultimately positive picture when measured against Wall Street forecasts. The standout figure was the non-GAAP earnings per share (EPS), which significantly surpassed estimates.

• Non-GAAP EPS: Reported $0.28 per share, dramatically beating the analyst estimate of -$0.0136.
• Revenue: Reported $110.5 million, slightly above the analyst consensus estimate of approximately $109.9 million.

This earnings beat indicates stronger-than-anticipated profitability during the quarter. The market reaction has been decisively positive, with the stock trading up over 7% in pre-market activity following the announcement.

Quarterly Performance Summary

The third quarter of 2025 marks what CEO Tal Jacobson described as an "important inflection point" for Perion. The company demonstrated growth across its key financial metrics compared to the same period last year.

• Total Revenue: Increased 8% year-over-year to $110.5 million.
• Contribution ex-TAC (Revenue ex-TAC): Grew 7% to $51.0 million.
• Adjusted EBITDA: Surged 63% to $12.1 million.

A significant portion of this growth was fueled by the company's expanding advertising channels. Connected TV (CTV) revenue saw a substantial 75% year-over-year increase to $16.6 million, while Digital Out-of-Home (DOOH) revenue grew 26% to $24.1 million.

Strategic Developments and Outlook

Beyond the quarterly numbers, Perion highlighted several strategic initiatives aimed at future growth. The company launched new AI-driven solutions, including "SODA" for supply path optimization and the "DOOH Player," intended to create more predictable revenue streams. It also announced a strategic retail media partnership with Albertsons Media Collective and several global expansions.

Looking ahead, the company reiterated its full-year 2025 guidance, projecting:

• Revenue between $430 million and $450 million.
• Adjusted EBITDA between $44 million and $46 million.

This revenue outlook aligns closely with the analyst consensus estimate of $448.37 million for the full year, suggesting management's confidence in its current trajectory. For the upcoming fourth quarter, analysts are estimating revenue of $142.27 million.

Capital Allocation

Reflecting confidence in its financial health and future prospects, Perion's Board of Directors has principally approved an expansion of its share repurchase program. The authorization is set to increase by $75 million, bringing the total program to $200 million, pending regulatory approval. During the third quarter, the company repurchased 0.8 million shares for $7.5 million.

For a detailed look at historical earnings, future estimates, and additional analyst projections for Perion Network, you can review the data here.

Disclaimer: This article is for informational purposes only and is not intended as investment advice. The information presented should not be construed as a recommendation to buy or sell any security. Readers should conduct their own research and consult with a qualified financial advisor before making any investment decisions.