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Ibotta Reports Second Quarter 2025 Financial Results

Revenue declined by 2% year-over-year to $86.0 million

Redemption revenue declined by 1% year-over-year to $73.2 million

Generated net income of $2.5 million, representing net income as a percent of revenue of 3%, and Adjusted EBITDA of $17.9 million, representing a 21% Adjusted EBITDA margin

Generated cash from operating activities of $25.9 million and free cash flow of $18.9 million

DENVER, August 13, 2025 (Business Wire) -- Ibotta, Inc. (NYSE: IBTA), which operates the largest item-level digital promotions network in North America, today announced financial results for the second quarter ended June 30, 2025.

“Ibotta is working hard to bring the power of performance marketing to the CPG industry, allowing our clients to drive profitable revenue growth at scale,” said Ibotta CEO and founder, Bryan Leach. “We are working to fundamentally shift the ways promotions are perceived which requires us to reinvent how they are measured and change how they are purchased to more closely resemble other forms of digital media, where advertisers turn on campaigns and leave them on as long as they are delivering positive incremental returns on investment. We believe this transformation will allow us to capture a greater portion of our total addressable market for CPG marketing spend, unlock advertiser supply, and take advantage of our fast-growing network, both now and into the future. I also want to welcome Matt Puckett to Ibotta as our new CFO. We are thrilled to have his leadership as we move into our next phase of growth.”

Second Quarter 2025 Financial Highlights:

•Total revenue of $86.0 million, representing a year-over-year decline of 2%.
•Total redemption revenue of $73.2 million, a decrease of 1% year-over-year.
•During the quarter, the IPN had 17.3 million redeemers, compared to 13.7 million redeemers in the second quarter of 2024, an increase of 27% year-over-year. The primary driver of year-over-year growth was the launch of Instacart during the fourth quarter of 2024, like-for-like growth at our existing publishers, and the partial launch of DoorDash.
•Increased third-party publisher redemptions to 58.6 million, compared to 52.1 million in the second quarter of 2024, an increase of 12% year-over-year.
•Generated net income of $2.5 million, representing net income as a percent of revenue of 3%, and adjusted net income of $14.9 million, representing adjusted net income as a percent of revenue of 17%.
•Delivered Adjusted EBITDA of $17.9 million, representing an Adjusted EBITDA margin of 21%.


•Generated cash from operating activities of $25.9 million and free cash flow of $18.9 million.
•Repurchased 1.4 million shares for a total of $67.5 million at an average price per share of $46.59, exclusive of broker commissions and excise tax.

The following table summarizes the Company’s financial results for the three and six months ended June 30, 2025 and 2024:

Three months ended June 30,% ChangeSix months ended June 30,% Change
2025202420252024
(in thousands, except per share figures and percentages)
GAAP Results
Redemption revenue$73,208 $73,951 (1)%$146,607 $141,940 3 %
Revenue$86,029 $87,926 (2)%$170,603 $170,253 — %
Net income $2,490 $(33,966)107 %$3,045 $(24,669)112 %
Net income per share, diluted$0.08 $(1.32)106 %$0.10 $(1.41)107 %
Net income as a percent of revenue3 %(39)%2 %(14)%
Non-GAAP Results
Adjusted EBITDA$17,882 $25,274 (29)%$32,555 $47,933 (32)%
Adjusted EBITDA margin21 %29 %19 %28 %
Adjusted net income$14,892 $19,859 (25)%$27,001 $35,257 (23)%
Adjusted net income per share, diluted0.49 0.68 (28)%0.85 1.76 (52)%



The following table summarizes the Company’s performance metrics for the three and six months ended June 30, 2025 and 2024:

Three months ended June 30,Six months ended June 30,
20252024% Change20252024% Change
(in thousands, except per share figures and percentages)
Performance Metrics
Redemptions:
Direct-to-consumer redemptions21,933 28,573 (23)%43,561 56,248 (23)%
Third-party publisher redemptions58,551 52,142 12 %119,763 95,934 25 %
Total redemptions80,484 80,715 — %163,324 152,181 7 %
Redeemers:
Direct-to-consumer redeemers1,594 1,800 (11)%1,625 1,864 (13)%
Third-party publisher redeemers15,742 11,902 32 %15,588 11,230 39 %
Total redeemers17,336 13,702 27 %17,213 13,095 31 %
Redemptions per redeemer:
Direct-to-consumer redemptions per redeemer13.815.9(13)%26.830.2(11)%
Third-party publisher redemptions per redeemer3.74.4(15)%7.78.5(9)%
Total redemptions per redeemer4.65.9(21)%9.511.6(18)%
Redemption revenue per redemption:
Direct-to-consumer redemption revenue per redemption$1.12 $1.13 — %$1.14 $1.16 (2)%
Third-party publisher redemption revenue per redemption$0.83 $0.80 4 %$0.81 $0.80 1 %
Total redemption revenue per redemption$0.91 $0.92 (1)%$0.90 $0.93 (3)%

Note that certain figures shown above may not recalculate due to rounding.

Second Quarter 2025 Business Highlights:

•27% year-over-year growth in quarterly redeemers on the Ibotta Performance Network.
•Ibotta digital offers became available to the majority of DoorDash customers.
•Added to our Revenue leadership team with new hires in the roles of SVP of Enterprise Sales and SVP of Business Marketing and subsequent to quarter-end, SVP of Revenue Operations.
•Subsequent to quarter-end, announced the hiring of Matt Puckett as CFO.
•Subsequent to quarter-end, implemented a sales re-organization and held our Summer Sales Kick Off, where we introduced a simplified sales motion and paved the way for our transition to performance marketing.



Financial Guidance:

Third quarter 2025 outlook summary:

•Revenue of $79.0 - $84.0 million, a year-over-year decrease of 17% at the midpoint.
•Adjusted EBITDA of $9.5 - $13.5 million, representing a margin of 14% at the midpoint.

Guidance for Adjusted EBITDA is earnings before interest income, net, provision for income taxes, and depreciation and amortization, and excludes stock-based compensation, restructuring charges, and other expense, net. We have not reconciled Adjusted EBITDA to GAAP net income for our guidance because we do not provide guidance on GAAP net income and would not be able to present the various reconciling cash and non-cash items between the GAAP and non-GAAP financial measures since certain items that impact these measures are uncertain or out of our control, or cannot be reasonably predicted, including share-based compensation expense, without unreasonable effort. The actual amounts of such reconciling items could have a significant impact on the Company's GAAP net income.

Use of Non-GAAP Financial Information

Included within this press release are the non-GAAP financial measures of adjusted EBITDA, adjusted EBITDA margin, adjusted net income, adjusted net income as a percent of revenue, adjusted diluted net income per share and free cash flow that supplement the condensed financial statements of the Company prepared under generally accepted accounting principles (GAAP). The non-GAAP financial information is presented for supplemental informational purposes only and is not intended to be considered in isolation or as a substitute for, or superior to, financial information prepared and presented in accordance with GAAP. Please see the accompanying tables for reconciliations of these non-GAAP financial measures to their nearest GAAP equivalents.

Adjusted EBITDA is earnings before interest income, net, provision for income taxes, and depreciation and amortization, and excludes stock-based compensation, change in fair value of derivative, loss on debt extinguishment, restructuring charges, and other expense, net. Adjusted EBITDA margin is calculated as Adjusted EBITDA as a percent of revenue. Adjusted net income excludes stock-based compensation, loss on debt extinguishment, change in fair value of derivative, restructuring charges, and the related income tax effects. The income tax effect of non-GAAP adjustments is the difference between GAAP and non-GAAP income tax expense. Non-GAAP income tax expense is computed on non-GAAP pre-tax income (GAAP pre-tax income adjusted for non-GAAP adjustments). Adjusted diluted net income per share is calculated as adjusted net income divided by diluted weighted average common shares outstanding. Free cash flow is defined as cash provided by operating activities, less additions to property and equipment and capitalization of software development costs.

The Company's management believes that these non-GAAP measures can assist investors in evaluating the Company's operational trends, financial performance, and cash-generating capacity. Management believes these non-GAAP measures allow investors to evaluate the Company’s financial performance using some of the same measures as management. Investors are cautioned that there are material limitations associated with the use of non-GAAP financial measures versus their nearest GAAP equivalents. The Company’s definitions may differ from the definitions used by other companies and therefore comparability may be limited. In addition,


other companies may not publish these or similar metrics. These non-GAAP measures are not meant to be considered in isolation or as a substitute for the comparable GAAP measures, but are included solely for informational and comparative purposes. Non-GAAP financial measures are subject to limitations and should be read only in conjunction with our consolidated financial statements prepared in accordance with GAAP. In light of these limitations, management also reviews the specific items that are excluded from our non-GAAP measures, as well as trends in these items.


Second Quarter 2025 Financial Results Webcast and Conference Call Details

When:
Wednesday, August 13, 2025 at 2:30 p.m. MT/ 4:30 p.m. ET
Webcast:ir.ibotta.com

Key Business Terms and Notes

Ibotta Performance Network (IPN): An AI-enabled technology platform that allows CPG brands to deliver digital promotions to consumers via a network of publishers, in a coordinated fashion and on a fee-per-sale basis.

Redeemers: A consumer who has redeemed at least one digital offer within the time period specified. If a consumer were to redeem on more than one publisher during that period, they would be counted as multiple redeemers. Year-to-date redeemers are calculated as the average of current year quarter-to-date redeemers.

Redemptions: A verified purchase of an item qualifying for an offer by a client on the IPN.

Redemption Revenue: The Company’s customers promote their products and services to consumers through cash back offers on the IPN. The Company earns a fee per redemption which is recognized in the period in which the redemption occurred. The Company may also charge fees to set up a redemption campaign which are deferred and recognized over the average duration of historical redemption campaigns.

About Ibotta ("I bought a...")

Ibotta (NYSE: IBTA) is a leading provider of digital promotions for CPG brands, reaching over 200 million consumers through a network of publishers called the Ibotta Performance Network (IPN). The IPN allows marketers to influence what people buy, and where and how often they shop – all while paying only when their campaigns directly result in a sale. American shoppers have earned over $2.5 billion through the IPN since 2012. The largest tech IPO in history to come out of Colorado, Ibotta is headquartered in Denver, and is continually listed as a top place to work by The Denver Post and Inc. Magazine.


Forward-Looking Statements

This press release contains “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Any statements relating to expectations concerning matters that are not historical facts may constitute forward-looking statements. Forward-looking statements may include, without limitation, statements by our CEO and founder about our ability to transition our product and go-to-market, and the Company’s financial guidance, such as revenue and Adjusted EBITDA. When words such as “believe,” “expect,” “anticipate,” “will”, “outlook” or similar expressions are used, the Company is making forward-looking statements. Although the Company believes that the expectations reflected in such forward-looking statements are reasonable, it cannot give readers any assurance that such expectations will prove correct. These forward-looking statements involve risks, uncertainties and assumptions, including those related to the Company’s relatively limited operating history, which makes it difficult to evaluate the Company’s business and prospects, the demands and expectations of clients and the ability to attract and retain clients. The actual results may differ materially from those anticipated in the forward-looking statements as a result of numerous factors, many of which are beyond the control of the Company. These and other factors are disclosed in the Company’s reports filed from time to time with the Securities and Exchange Commission, available at www.sec.gov. Readers are urged not to place undue reliance on these forward-looking statements, which speak only as of the date of this press release. The Company does not intend to update any forward-looking statement contained in this press release to reflect events or circumstances arising after the date hereof, except as required by law.



Ibotta, Inc.
CONDENSED STATEMENTS OF OPERATIONS
(In thousands, except share and per share amounts)
(unaudited)

Three months ended June 30,Six months ended June 30,
2025202420252024
Revenue$86,029 $87,926 $170,603 $170,253 
Cost of revenue(1)
17,925 12,283 35,017 22,798 
Gross profit68,104 75,643 135,586 147,455 
Operating expenses(1):
Sales and marketing(2)
28,809 50,018 58,667 78,147 
Research and development14,745 17,526 32,814 31,167 
General and administrative22,264 28,708 43,650 41,862 
Depreciation and amortization1,048 1,048 2,020 2,031 
Total operating expenses66,866 97,300 137,151 153,207 
Income (loss) from operations1,238 (21,657)(1,565)(5,752)
Interest income, net2,636 2,672 6,321 867 
Loss on debt extinguishment— (9,630)— (9,630)
Other expense, net(6)(1,414)(405)(3,116)
Income (loss) before provision for income taxes3,868 (30,029)4,351 (17,631)
Provision for income taxes(1,378)(3,937)(1,306)(7,038)
Net income (loss)$2,490 $(33,966)$3,045 $(24,669)
Net income (loss) per share:
Basic$0.09 $(1.32)$0.10 $(1.41)
Diluted$0.08 $(1.32)$0.10 $(1.41)
Weighted average common shares outstanding:
Basic28,479,97725,659,46529,623,35217,484,092
Diluted30,433,51925,659,46531,819,81717,484,092

(1)Amounts include stock-based compensation expense as follows (in thousands):

Three months ended June 30,Six months ended June 30,
2025202420252024
Cost of revenue$625 $365 $1,282 $523 
Sales and marketing(2)
4,873 26,808 10,002 30,430 
Research and development2,500 4,036 5,647 4,589 
General and administrative5,644 13,608 10,463 14,120 
Total stock-based compensation expense$13,642 $44,817 $27,394 $49,662 

(2)Stock-based compensation expense included in sales and marketing includes common stock warrant expense of $2.1 million and $21.9 million recognized during the three months ended June 30, 2025 and 2024, respectively, and $4.3 million and $24.9 million recognized during the six months ended June 30, 2025 and 2024, respectively.

Ibotta, Inc.
CONDENSED BALANCE SHEETS
(In thousands)
June 30,December 31,
20252024
(unaudited)
Assets
Current assets:
Cash and cash equivalents$250,549 $349,282 
Restricted cash58 408 
Accounts receivable, net208,976 220,883 
Prepaid expenses and other current assets23,064 11,168 
Total current assets482,647 581,741 
Property and equipment, net9,044 1,951 
Capitalized software development costs, net19,054 16,201 
Equity investment4,531 4,531 
Deferred tax assets, net74,407 73,211 
Operating lease assets10,357 — 
Other long-term assets738 794 
Total assets$600,778 $678,429 
Liabilities and Stockholders’ Equity
Current liabilities:
Accounts payable$10,596 $7,160 
Due to third-party publishers94,713 93,982 
Deferred revenue5,148 4,964 
User redemption liability70,922 74,006 
Accrued expenses17,831 17,965 
Other current liabilities4,823 6,088 
Total current liabilities204,033 204,165 
Long-term liabilities:
Operating lease liabilities, long-term24,923 — 
Unrecognized tax benefits, long-term17,694 16,981 
Total liabilities246,650 221,146 
Stockholders’ equity:
Preferred stock— — 
Class A common stock— — 
Class B common stock— — 
Additional paid-in capital664,427 629,050 
Treasury stock(172,898)(31,321)
Accumulated deficit(137,401)(140,446)
Total stockholders' equity 354,128 457,283 
Total liabilities and stockholders' equity$600,778 $678,429 

Ibotta, Inc.
CONDENSED STATEMENTS OF CASH FLOWS
(In thousands)
(unaudited)
Six months ended June 30,
20252024
Operating activities
Net income (loss)$3,045 $(24,669)
Adjustments to reconcile net income (loss) to net cash provided by operating activities:
Depreciation and amortization4,610 4,023 
Impairment of capitalized software development costs241 366 
Stock-based compensation expense23,049 24,802 
Common stock warrant expense4,345 24,860 
Credit loss expense1,454 681 
Loss on extinguishment of debt— 9,630 
Amortization of debt discount and issuance costs75 1,029 
Change in fair value of convertible notes derivative liability— 3,085 
Other10 23 
Changes in assets and liabilities:
Accounts receivable10,463 16,741 
Other current and long-term assets(23,467)(1,603)
Accounts payable1,126 (2,917)
Due to third-party publishers731 7,387 
Accrued expenses(1,535)(7,787)
Deferred revenue184 203 
User redemption liability(3,084)(3,487)
Other current and long-term liabilities24,468 2,019 
Net cash provided by operating activities45,715 54,386 
Investing activities
Additions to property and equipment(5,520)(353)
Additions to capitalized software development costs(6,448)(4,436)
Net cash used in investing activities(11,968)(4,789)
Financing activities
Proceeds from exercise of stock options7,357 4,706 
Debt issuance costs(2)— 
Proceeds from initial public offering, net— 206,692 
Deferred offering costs— (5,637)
Purchase of treasury stock(140,176)— 
Taxes paid related to net share settlement of equity awards(2,045)— 
Proceeds from employee stock purchase plan2,036 — 
Other financing activities— (91)
Net cash (used in) provided by financing activities(132,830)205,670 
Net change in cash, cash equivalents, and restricted cash(99,083)255,267 
Cash, cash equivalents, and restricted cash, beginning of period349,690 62,591 
Cash, cash equivalents, and restricted cash, end of period$250,607 $317,858 


The following table disaggregates the Company’s direct-to-consumer and third-party publishers revenue by redemption and ad & other revenue:

Supplemental Revenue Detail

Three months ended June 30,% ChangeSix months ended June 30,% Change
2025202420252024
(in thousands, except percentages)
Direct-to-consumer revenue
Redemption revenue$24,620 $32,300 (24)%$49,824 $65,282 (24)%
Ad & other revenue12,821 13,975 (8)%23,996 28,313 (15)%
Total direct-to-consumer revenue37,441 46,275 (19)%73,820 93,595 (21)%
Third-party publishers revenue
Redemption revenue48,588 41,651 17 %96,783 76,658 26 %
Ad & other revenue— — — %— — — %
Total third-party publishers revenue48,588 41,651 17 %96,783 76,658 26 %
Total
Redemption revenue73,208 73,951 (1)%146,607 141,940 3 %
Ad & other revenue12,821 13,975 (8)%23,996 28,313 (15)%
Total revenue$86,029 $87,926 (2)%$170,603 $170,253 — %


Non-GAAP Financial Metrics
(In thousands, except shares, per share amounts, and percentages)
The following tables show the Company’s non-GAAP financial metrics reconciled to the comparable GAAP financial metrics included in this release:

Reconciliation of Adjusted EBITDA

Three months ended June 30,Six months ended June 30,
2025202420252024
Net income (loss)$2,490 $(33,966)$3,045 $(24,669)
Add (deduct):
Interest income, net(2,636)(2,672)(6,321)(867)
Depreciation and amortization 2,445 2,114 4,610 4,023 
Stock-based compensation13,642 44,817 27,394 49,662 
Change in fair value of derivative— 1,385 — 3,085 
Loss on debt extinguishment— 9,630 — 9,630 
Restructuring charges557 — 2,116 — 
Provision for income taxes1,378 3,937 1,306 7,038 
Other expense, net 6 29 405 31 
Adjusted EBITDA$17,882 $25,274 $32,555 $47,933 
Revenue$86,029 $87,926 $170,603 $170,253 
Net income as a percent of revenue3 %(39)%2 %(14)%
Adjusted EBITDA margin21 %29 %19 %28 %

Reconciliation of Adjusted Net Income
Three months ended June 30,Six months ended June 30,
2025202420252024
Net income (loss)$2,490 $(33,966)$3,045 $(24,669)
Stock-based compensation13,642 44,817 27,394 49,662 
Change in fair value of derivative
— 1,385 — 3,085 
Loss on debt extinguishment— 9,630 — 9,630 
Restructuring charges557 — 2,116 — 
Adjustment for income taxes(1,797)(2,007)(5,554)(2,451)
Adjusted net income$14,892 $19,859 $27,001 $35,257 
Revenue$86,029 $87,926 $170,603 $170,253 
Adjusted net income as a percent of revenue17 %23 %16 %21 %
Weighted average common shares outstanding, diluted30,433,51925,659,46531,819,81717,484,092
Net income (loss) per share, diluted$0.08 $(1.32)$0.10 $(1.41)
Adjusted weighted average common shares outstanding, diluted30,433,51929,022,34731,819,81720,065,490
Adjusted net income per share, diluted$0.49 $0.68 $0.85 $1.76 


Non-GAAP Financial Metrics
(In thousands, except shares, per share amounts, and percentages)
Reconciliation of Free Cash Flow
Three months ended June 30,Six months ended June 30,
2025202420252024
Net cash provided by operating activities$25,855 $35,020 $45,715 $54,386 
Additions to property and equipment(3,626)(201)(5,520)(353)
Additions to capitalized software development costs(3,374)(2,121)(6,448)(4,436)
Free cash flow$18,855 $32,698 $33,747 $49,597 



Contact

Corporate Communications
Hilary O’Byrne, hilary.obyrne@ibotta.com

Investor Relations
Shalin Patel, shalin.patel@ibotta.com