Third quarter 2026
Filed Nov 2, 2026Ibotta Reports Third Quarter 2026 Financial Results
Revenue grew 17% year-over-year, adjusted EBITDA grew 43%, and both revenue and adjusted EBITDA exceeded the upper end of the guidance range, while third-party publisher growth offset declines in direct-to-consumer revenue and GAAP net income moved to a loss.
Key metrics
shortened, hover for the filing’s print| Metric | Value | q/q | y/y |
|---|---|---|---|
| Revenue, three months ended September 30, 2026GAAP | $97.83M | – | 17% |
| Redemption revenue, three months ended September 30, 2026GAAP | $88.54M | – | 23% |
| Ad & other revenue, three months ended September 30, 2026GAAP | $9.28M | – | (17)% |
| Cost of revenue, three months ended September 30, 2026GAAP | $19.71M | – | – |
| Gross profit, three months ended September 30, 2026GAAP | $78.12M | – | – |
| Sales and marketing expense, three months ended September 30, 2026GAAP | $32.37M | – | – |
| Research and development expense, three months ended September 30, 2026GAAP | $16.21M | – | – |
| General and administrative expense, three months ended September 30, 2026GAAP | $22.72M | – | – |
| Depreciation and amortization expense, three months ended September 30, 2026GAAP | $2.10M | – | – |
| Total operating expenses, three months ended September 30, 2026GAAP | $73.39M | – | – |
| Income from operations, three months ended September 30, 2026GAAP | $4.72M | – | – |
| Interest income, net, three months ended September 30, 2026GAAP | $1.35M | – | – |
| Provision for income taxes, three months ended September 30, 2026GAAP | $9.59M | – | – |
| Net loss, three months ended September 30, 2026GAAP | −$3.50M | – | NM |
| Net loss as a percent of revenue, three months ended September 30, 2026GAAP | (3.6)% | – | – |
| Net loss per share, diluted, three months ended September 30, 2026GAAP | $(0.15) | – | NM |
| Adjusted EBITDA, three months ended September 30, 2026non-GAAP | $23.8M | – | 43% |
| Adjusted EBITDA margin, three months ended September 30, 2026non-GAAP | 24.3% | – | – |
| Non-GAAP net income, three months ended September 30, 2026non-GAAP | $16.01M | – | (2)% |
| Non-GAAP net income as a percent of revenue, three months ended September 30, 2026non-GAAP | 16.4% | – | – |
| Non-GAAP net income per share, diluted, three months ended September 30, 2026non-GAAP | $0.62 | – | 11% |
| Net cash provided by operating activities, three months ended September 30, 2026GAAP | $21.95M | – | – |
| Free cash flow, three months ended September 30, 2026non-GAAP | $16.78M | – | – |
| Revenue, nine months ended September 30, 2026GAAP | $269.2M | – | 6% |
| Redemption revenue, nine months ended September 30, 2026GAAP | $241.8M | – | 11% |
| Net loss, nine months ended September 30, 2026GAAP | −$15.05M | – | NM |
| Adjusted EBITDA, nine months ended September 30, 2026non-GAAP | $49.06M | – | —% |
| Free cash flow, nine months ended September 30, 2026non-GAAP | $48.12M | – | – |
| Third-party publisher redemptions, three months ended September 30, 2026other | 97.58M | – | 57% |
| Direct-to-consumer redemptions, three months ended September 30, 2026other | 18.79M | – | (10)% |
| Total redemptions, three months ended September 30, 2026other | 116.4M | – | 40% |
| Third-party publisher redeemers, three months ended September 30, 2026other | 22.16M | – | 34% |
| Direct-to-consumer redeemers, three months ended September 30, 2026other | 1.42M | – | (13)% |
| Total redeemers, three months ended September 30, 2026other | 23.58M | – | 30% |
| Total redemptions per redeemer, three months ended September 30, 2026other | 4.9 | – | 8% |
| Total redemption revenue per redemption, three months ended September 30, 2026other | $0.76 | – | (13)% |
Segments
| Segment | Revenue | q/q | y/y |
|---|---|---|---|
| Third-party publishers revenue, three months ended September 30, 2026Third-party publisher redemption revenue was $70,672 (in thousands); ad & other revenue was —. | $70.67M | – | 43% |
| Direct-to-consumer revenue, three months ended September 30, 2026Direct-to-consumer redemption revenue was $17,872 (in thousands), down (22)%, and ad & other revenue was $9,281 (in thousands), down (17)%. | $27.15M | – | (20)% |
| Third-party publishers revenue, nine months ended September 30, 2026Third-party publisher redemption revenue was $186,143 (in thousands); ad & other revenue was —. | $186.1M | – | 27% |
| Direct-to-consumer revenue, nine months ended September 30, 2026Direct-to-consumer redemption revenue was $55,615 (in thousands), down (23)%, and ad & other revenue was $27,455 (in thousands), down (22)%. | $83.07M | – | (23)% |
Amounts quoted below without a unit are in thousands, as in the filing’s tables. Per-share figures are as printed.
Fourth quarter 2026 outlook
- Revenue$94 - $98 million, a year-over-year increase of 8% at the midpoint.
- NoteAdjusted EBITDA of $15 - $17 million, representing a margin of 16.7% at the midpoint.
Capital returns
- Repurchased 0.4 million shares for a total of $14.4 million at an average price per share of $36.39, exclusive of broker commissions and excise tax.
- Purchase of treasury stock was $(84,676) (in thousands) for the nine months ended September 30, 2026.
What drove it
- Total redemption revenue increased 23% year-over-year, driven by increased offer supply.
- Third-party publisher redemptions increased 57% year-over-year to 97.6 million.
- The IPN had 23.6 million redeemers, up 30% year-over-year, primarily driven by growth with existing publishers.
- Ibotta launched Ibotta-powered digital promotions across Giant Eagle’s supermarkets and digital platforms.
- Subsequent to quarter-end, Ibotta-powered digital promotions went live across the 7-Eleven and Speedway apps, with 7NOW expected to follow.
- Subsequent to quarter-end, Ibotta-powered digital promotions went live at Festival Foods.
Concerns
- GAAP net loss was $(3,503) (in thousands), compared with net income of $1,533 (in thousands) in the prior-year quarter.
- Direct-to-consumer revenue declined (20)% year-over-year, including a (22)% decline in redemption revenue and a (17)% decline in ad & other revenue.
- Total redemption revenue per redemption declined (13)% year-over-year to $0.76.
- Adjusted EBITDA margin guidance of 16.7% at the fourth-quarter midpoint is below the 24.3% third-quarter adjusted EBITDA margin.
- Interest income, net declined to $1,349 (in thousands) from $2,510 (in thousands).
What to watch
- Revenue performance against fourth-quarter 2026 guidance of $94 - $98 million.
- Adjusted EBITDA performance against fourth-quarter 2026 guidance of $15 - $17 million.
- The pace at which redemption activity ramps across 7-Eleven, Speedway, 7NOW and Festival Foods.
- Whether third-party publisher growth continues to offset direct-to-consumer revenue declines.
- Offer supply, client demand and redemption revenue per redemption.
Balance sheet and cash flow
- Cash and cash equivalents were $149,889 (in thousands) as of September 30, 2026, compared to $186,612 (in thousands) as of December 31, 2025.
- Accounts receivable, net were $221,517 (in thousands) as of September 30, 2026, compared to $208,709 (in thousands) as of December 31, 2025.
- Due to third-party publishers were $130,091 (in thousands) as of September 30, 2026, compared to $107,601 (in thousands) as of December 31, 2025.
- Net cash provided by operating activities was $65,584 (in thousands) for the nine months ended September 30, 2026, compared to $67,469 (in thousands) in 2025.
- Additions to property and equipment were $(4,400) (in thousands) and additions to capitalized software development costs were $(13,064) (in thousands) for the nine months ended September 30, 2026.
- Net cash used in financing activities was $(84,870) (in thousands) for the nine months ended September 30, 2026.
Analysis
Ibotta reported third-quarter revenue of $97,825 (in thousands), up 17% year-over-year, with redemption revenue of $88,544 (in thousands), up 23%. The company said both revenue and adjusted EBITDA exceeded the upper end of its guidance range. Third-party publishers supplied the growth engine: revenue in that channel rose 43% to $70,672 (in thousands), while direct-to-consumer revenue declined 20% to $27,153 (in thousands).
Network activity expanded substantially. Third-party publisher redemptions rose 57% to 97,578 (in thousands), total redemptions rose 40% to 116,363 (in thousands), and total redeemers increased 30% to 23,582 (in thousands). However, monetization per redemption declined. Total redemption revenue per redemption fell 13% to $0.76, while direct-to-consumer redemption revenue per redemption declined 13% to $0.95.
Profitability improved on the adjusted measure but deteriorated under GAAP. Adjusted EBITDA increased 43% to $23,800 (in thousands), and adjusted EBITDA margin increased to 24.3% from 20.0%. GAAP net income moved to a loss of $(3,503) (in thousands) from income of $1,533 (in thousands), as the provision for income taxes rose to $9,586 (in thousands) from $3,719 (in thousands). Non-GAAP net income was $16,007 (in thousands), down (2)% year-over-year, and its margin was 16.4%, compared with 19.6%.
Cash generation remained positive. Third-quarter net cash provided by operating activities was $21,952 (in thousands), compared with $21,754 (in thousands), and free cash flow was $16,780 (in thousands), compared with $10,594 (in thousands). Cash and cash equivalents were $149,889 (in thousands) at September 30, 2026. The company repurchased 0.4 million shares for $14.4 million at an average price per share of $36.39, exclusive of broker commissions and excise tax.
For the fourth quarter, Ibotta guided to revenue of $94 - $98 million and adjusted EBITDA of $15 - $17 million. The company characterized the revenue midpoint as an 8% year-over-year increase and the adjusted EBITDA midpoint as a 16.7% margin. The outlook follows launches at Giant Eagle and subsequent quarter-end launches across 7-Eleven, Speedway and Festival Foods, while the company expects redemption activity on the new publisher properties to ramp steadily in coming quarters.
Management, verbatim
We delivered accelerating revenue growth in the third quarter, with revenue up 17% and Adjusted EBITDA up 43% year-over-year, both exceeding our expectations.
Bryan Leach, CEO and Founder
Redemption revenue grew 23% and our redeemer base grew 30% to 23.6 million, a direct outcome of improving advertiser offer supply, consistently strong execution by our team, and significant consumer demand for value.
Bryan Leach, CEO and Founder
Not in the filing
stated, not guessed- Prior-quarter comparisons for reported third-quarter metrics were not provided.
- Gross margin was not reported.
- Fourth-quarter 2026 gross-margin guidance, operating-expense guidance, tax-rate guidance and GAAP net-income guidance were not provided.
- Debt balance was not reported.
- Previous-release outlook was not provided, so comparison of actual results with prior guidance is unavailable.
- Year-over-year percentage changes were not printed for several GAAP statement-of-operations line items, operating cash flow, free cash flow and balance-sheet line items.
- Detailed nine-month performance metrics beyond the financial metric and segment rows presented were not included in key_metrics.
Written by an AI language model from the company’s SEC earnings filing (Form 8-K Item 2.02, or Form 6-K for a foreign private issuer). Every figure was checked against the filing text, and a metric whose value, prior period and change do not add up is dropped from the metrics. The model can still misread a table, in the metrics or in the text, so check a number in the filing before you rely on it. Consensus estimates, price targets and share-price reactions are not shown because they are not in the filing. AI-generated research, not investment advice.