AppLovin delivered a strong fourth quarter and full year 2025, demonstrating significant revenue and profitability growth driven by robust demand. The company's performance reflects successful execution and expanding margins, positioning it well for continued growth.
Revenue grew 66% year-over-year to $1.66 billion in Q4 and 70% for the full year to $5.48 billion.
positiveNet income increased 84% year-over-year to $1.10 billion in Q4 and 111% for the full year to $3.33 billion.
positiveAdjusted EBITDA grew 82% year-over-year to $1.40 billion in Q4 and 87% for the full year to $4.51 billion.
positiveAdjusted EBITDA margin expanded to 84% in Q4 and 82% for the full year, up from 77% and 75% respectively.
positiveOperating cash flow was $1.31 billion in Q4 and $3.97 billion for the full year.
positiveFree Cash Flow was $1.31 billion in Q4 and $3.95 billion for the full year.
positiveWhile revenue and profitability grew significantly, the company's cost of revenue increased by 20% YoY in Q4, outpacing the growth in operating income for the same period.
attentionStock-based compensation expense decreased by 17% YoY in Q4, which could indicate a shift in employee compensation strategy or a one-time adjustment.
attentionThe company repurchased and withheld 0.8 million shares for $481.7 million in Q4 and 6.4 million shares for $2.58 billion in the full year, indicating a significant outflow of cash for share repurchases.
attentionMargin expansion indicates improving profitability and operational efficiency. Measured in basis points (bps): 100 bps = 1.0%.
Forward-looking guidance is subject to change and does not constitute a guarantee. Actual results may differ materially from these estimates.
AppLovin announced strong fourth quarter and full year 2025 financial results.
The company delivered significant revenue and profitability growth driven by robust demand.
AppLovin's performance reflects successful execution and expanding margins.
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