10-Q · May 6, 2026
Ibotta, Inc. reported a Q1 2026 revenue of $82.5 million, a decrease of 2% from the prior year and higher than the consensus estimate of $80.6 million. Earnings per share of $0.24 exceeded estimates by $0.08, indicating…
Earnings analysis · 10-Q
IBTA earnings analysis
Filed August 4, 2026 · Our reading of the company's report
The latest report
Ibotta delivered $88.905 million of Q2 revenue, up 3% year over year, as 27% third-party publisher growth and 10% redemption-revenue growth more than offset a 27% decline in D2C revenue. Gross margin was broadly stable…
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Ibotta delivered $88.905 million of Q2 revenue, up 3% year over year, as 27% third-party publisher growth and 10% redemption-revenue growth more than offset a 27% decline in D2C revenue. Gross margin was broadly stable at 78%, but higher sales and marketing expense and lower interest income drove a $1.229 million GAAP net loss versus $2.490 million of prior-year income; adjusted EBITDA also declined to $16.541 million. Cash generation and liquidity remain strengths, with $43.632 million of first-half operating cash flow and $148.2 million of cash, although fixed commitments total $157.6 million and the D2C weakness remains the central operating concern.
Gross and operating margin
How much of each revenue dollar the business keeps.
One point per quarterly or annual filing. Both margins are shares of that report's revenue.
From revenue to operating profit
Where each $100 of revenue went in this report.
Cost of sales, operating expenses, and what remained. Figures are rounded to whole dollars.
Where revenue came from
The business segments reported by the company.
Shares of the segments disclosed in this filing, largest first.
How we read each report
Our analysis across the last few reports.
Our model's reading of each filing, not the share price or the market's reaction. Annual and quarterly reports each occupy one position.
Reported figures
- Earnings per share
- $0.46
What stood out
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Revenue growth supported by network scale
Q2 revenue increased 3% year over year to $88.905 million, while redemption revenue rose 10% to $80.198 million. Total redemptions grew to 91.417 million from 80.484 million and total redeemers increased to 20.944 million from 17.336 million.
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Publisher channel drove growth
Third-party publisher revenue increased $12.887 million, or 27%, to $61.475 million, driven by greater offer supply, 74.362 million redemptions, and 19.544 million redeemers. Management also cites the DoorDash launch as a contributor.
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Gross margin remained resilient
Gross profit rose to $69.719 million from $68.104 million, with gross margin only modestly lower at 78% versus 79%. Cost of revenue rose 7%, below the 10% growth in redemption revenue.
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Operations remained cash generative
Operating cash flow was $43.632 million in the first six months of 2026. After $12.265 million of investing cash outflows, implied six-month free cash flow was approximately $31.367 million.
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Solid liquidity and no funded debt
Liquidity remained substantial at $148.2 million of cash and cash equivalents plus $99.0 million of undrawn revolver capacity; there were no borrowings outstanding at June 30, 2026.
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Meaningful ongoing share repurchases
The company repurchased 2.660 million Class A shares for $68.4 million during the first six months, leaving $67.3 million under the $400.0 million authorization.
What to watch
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Profitability reversed despite revenue growth
GAAP net income reversed to a $1.229 million loss from $2.490 million of income a year earlier, and operating income reversed to a $1.877 million loss from $1.238 million of income. The operating margin was approximately negative 2.1%, versus positive 1.4% in the comparable period.
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D2C contraction offsets publisher growth
D2C revenue declined $10.011 million, or 27%, to $27.430 million. D2C redemptions fell to 17.055 million from 21.933 million and D2C redeemers declined to 1.401 million from 1.594 million, which management attributes to lower quantity and quality of offers.
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Adjusted profitability and expense leverage weakened
Adjusted EBITDA declined to $16.541 million from $17.882 million, and adjusted EBITDA margin fell to 19% from 21%. Sales and marketing expense increased 14% to $32.880 million, exceeding total revenue growth of 3%.
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Receivables and publisher-payment timing risk
Management cites working-capital timing risk because publishers must be paid before client collection. In the first half, accounts receivable used $6.3 million of cash, although cash inflows from amounts due to third-party publishers were $12.9 million.
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Large fixed purchase commitments
Fixed noncancelable purchase obligations were $157.6 million at June 30, 2026, including $49.3 million due within 12 months, exceeding the $148.2 million cash balance. These commitments relate principally to publisher minimum commitments and software providers.
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Securities litigation remains reopenable
The securities class action was dismissed without prejudice on August 3, 2026, but the plaintiff may seek leave to amend by August 31, 2026; the company cannot estimate a potential loss. This is an update from the prior pending litigation status, not a final resolution.
Management's outlook
The 10-Q provides no quantitative revenue, EPS, or EBITDA outlook. Management states that $148.2 million of cash and cash equivalents, $99.0 million of revolver availability, and operating cash flow are expected to fund projected operating and capital requirements for at least the next 12 months.
Earlier filings 4
10-K · February 26, 2026
Ibotta, Inc. faced a challenging year in 2025 with a revenue decline of approximately 7% to $342.4 million, impacted by fewer offers in its direct-to-consumer segment. Despite introducing new features like LiveLift and…
10-Q · November 13, 2025
Ibotta reported a decline in revenues and profits in Q3 2025 compared to both the prior quarter and prior year, with total revenue at $83.26 million, a drop of 16% year-over-year. Despite strong EPS performance of…
10-Q · August 13, 2025
Ibotta, Inc. reported Q2 2025 earnings with revenues of $86 million, a decrease from $088 million in Q2 2024. However, EPS rose to $0.49, exceeding expectations. Despite challenges in the direct-to-consumer segment,…
This is our reading of a public filing, not the filing itself. Analysis can contain errors; check the source document for full context.