Taboola Reports Q3 2026 Results with Revenue Decline Amidst Product Transition
Taboola (TBLA) reported third-quarter revenue of $462.3 million, a 7% year-over-year decline attributed to reduced impression volumes and the deprecation of its 'Explore More' product. Despite the top-line contraction, the company demonstrated improved profitability, with gross profit rising 10% to $152.3 million and adjusted EBITDA growing 16% to $56 million due to disciplined expense management. The company is currently navigating a transition period as it rolls out 'Next Engage' to replace older offerings and integrates AI-driven conversational tools via its DeeperDive engagement engine. While scaled advertisers saw a 4% decline, Taboola remains focused on capital return, having repurchased $30.3 million in shares this quarter and securing an additional $200 million authorization for future buybacks.
Tickers: $TBLA
Topics: adjusted EBITDA cash flow gross profit growth revenue decline share repurchases