Q3 25 EPS
$2.45
BEAT +2.57%
Est. $2.39
Q3 25 Revenue
$1.41B
BEAT +4.69%
Est. $1.34B
vs S&P Since Q3 25
-37.4%
TRAILING MARKET
APP -29.9% vs S&P +7.5%
Market Reaction
Did APP Beat Earnings? Q3 2025 Results
AppLovin delivered a standout third quarter for fiscal 2025, posting earnings per share of $2.45 against a consensus estimate of $2.39, a beat of 2.57%, while revenue climbed 68.2% year-over-year to $1.41 billion, ahead of the $1.34 billion Wall Stre… Read more AppLovin delivered a standout third quarter for fiscal 2025, posting earnings per share of $2.45 against a consensus estimate of $2.39, a beat of 2.57%, while revenue climbed 68.2% year-over-year to $1.41 billion, ahead of the $1.34 billion Wall Street had expected. The single most compelling driver behind those numbers was the extraordinary operating leverage embedded in AppLovin's AI-powered advertising platform, with adjusted EBITDA surging 79% to $1.16 billion and margins expanding to 82%, even as sales and marketing and R&D costs each declined year-over-year in absolute dollar terms. Free cash flow nearly doubled to $1.05 billion for the quarter, and the company backed its confidence with a $3.20 billion increase to its share repurchase authorization. Looking ahead, management guided Q4 revenue to a range of $1.57 billion to $1.60 billion, with adjusted EBITDA margins of 82% to 83%, signaling that the platform's efficiency gains show no signs of slowing.
Key Takeaways
- • 68% year-over-year revenue growth driven by AI-powered advertising platform
- • Adjusted EBITDA margin expansion to 82% from 77% year-over-year
- • Net income margin improved to 59% from 52% year-over-year
- • Significant operating leverage with declining sales & marketing and R&D expenses despite revenue growth
- • Free cash flow nearly doubled year-over-year to $1.05 billion
APP YoY Financials
Q3 2025 vs Q3 2024, 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% |