Outbrain, Inc. ( (OB) ) has released its Q4 earnings. Here is a breakdown of the information Outbrain, Inc. presented to its investors.
Outbrain Inc., now operating under the Teads brand, is a leading omnichannel outcomes platform for the open internet, focusing on driving full-funnel results for marketers across premium media. The company recently announced its fourth-quarter and full-year 2024 financial results, highlighting accelerated growth and profitability, alongside the completion of its acquisition of Teads in February 2025.
In the fourth quarter of 2024, Outbrain reported a revenue of $234.6 million, a 5% decrease from the previous year, but achieved a gross profit increase of 5% to $56.1 million. The company also saw a significant rise in adjusted EBITDA by 21% to $17.0 million and generated a robust free cash flow of $37.6 million, marking a 79% increase from the prior year. The full-year results mirrored this trend with a revenue of $889.9 million, a 5% decline, yet gross profit rose by 4% to $192.1 million, and adjusted EBITDA surged by 31% to $37.3 million.
Key strategic developments include the acquisition of Teads for approximately $900 million, which is expected to generate annual synergies of $65 million to $75 million by 2026. The merger aims to enhance the company’s capabilities in serving enterprise brands and agencies across various media environments. Additionally, Outbrain’s Moments offering and the growth in advertiser spend on its DSP platform have contributed to its positive financial performance.
Looking ahead, Outbrain, under the Teads brand, anticipates continued growth and profitability. The company expects to achieve an adjusted EBITDA of at least $180 million for the full year 2025, reflecting its strategic focus on integrating Teads and capitalizing on the combined strengths of both entities to drive value for advertisers and media partners globally.