Q1 23 EPS
$N/A
Est. $0.07
Q1 23 Revenue
$715.4M
BEAT +3.16%
Est. $693.5M
vs S&P Since Q1 23
+2,069.0%
BEATING MARKET
APP +2,143.9% vs S&P +74.9%
Market Reaction
Did APP Beat Earnings? Q1 2023 Results
AppLovin posted a stronger-than-expected first quarter, with revenue of $715.40 million beating consensus estimates by 3.16% and rising 14.4% year over year, as the company's ongoing pivot toward its higher-margin Software Platform business paid divi… Read more AppLovin posted a stronger-than-expected first quarter, with revenue of $715.40 million beating consensus estimates by 3.16% and rising 14.4% year over year, as the company's ongoing pivot toward its higher-margin Software Platform business paid dividends. The Software Platform segment was the clearest driver of the beat, generating record quarterly revenue of $354.76 million and now accounting for 50% of total revenue, up from 19% a year ago, with Adjusted EBITDA margins holding above 60% for the fourth consecutive quarter. Meanwhile, the Apps segment continued to shrink, with revenue falling 29% year over year to $360.65 million, though cost reductions and asset sales helped Apps Adjusted EBITDA improve 35% to $55.00 million. Net loss narrowed sharply to $4.52 million from $115.30 million a year ago, while free cash flow reached $283.14 million. Looking ahead, management guided Q2 revenue of $710.00 million to $730.00 million and Adjusted EBITDA of $280.00 million to $300.00 million, reflecting continued confidence in its AXON machine learning upgrades and Connected-TV expansion efforts.
Key Takeaways
- • Record quarterly Software Platform revenue of $355 million, up 16% sequentially
- • Partial stabilization in the mobile app ad market
- • Continued improvements in core advertising technology resulting in higher revenue per install
- • Modest contribution from Wurl acquisition
- • Reduction in user acquisition spend and operating costs in Apps segment
- • Sale of underperforming non-strategic assets in Apps segment
- • Large customer payments from prior periods benefiting cash flow
APP YoY Financials
Q1 2023 vs Q1 2022, source: SEC Filings
APP Revenue by Segment
With YoY comparisons, source: SEC Filings
APP Earnings Trends
APP vs Market 30 Day Price Reactions
30-day stock return vs benchmark after each earnings
APP EPS Trend
Earnings per share: estimate vs actual
APP Revenue Trend
Quarterly revenue: estimate vs actual
APP Quarterly Results
5 quarters of earnings data
| Quarter | EPS Est. | EPS Act. | Surprise | Revenue | Rev. Surprise |
|---|---|---|---|---|---|
| Q4 25 BEAT FY | $3.11 | $3.24 | +4.18% | $1.66B | +3.35% |
| FY Full Year | $9.36 | $9.75 | +4.22% | $5.48B | -4.72% |
| Q3 25 BEAT | $2.39 | $2.45 | +2.57% | $1.41B | +4.69% |
| Q2 25 BEAT | $2.32 | $2.39 | +3.24% | $1.26B | +3.15% |
| Q1 25 MISS | $1.96 | $1.67 | -14.58% | $1.48B | +7.65% |
| Q1 23 | $0.07 | — | — | $715.4M | +3.16% |