Digital Turbine Posts Excellent Third Quarter Results

This week, Digital Turbine Inc announced fiscal third quarter financial results (ending December 31, 2019).  The report indicates Q3 revenue of $36 million, an all-time high for the company that represents growth of 18 percent (compared with the same fiscal quarter, last year).  

“The December quarter was another highly productive quarter for Digital Turbine across a number of fronts. In terms of our financial results for the quarter, I was pleased with our improved execution and the resilient profitability demonstrated by our business model,” notes CEO Bill Stone.

On top of this, GAAP net income (also for fiscal Q3) came in at $3.3 million, or the equivalent of $0.04 per share.  This is certainly better than the GAAP net loss of $1.1 million (about $0.01) per share (loss) during the same fiscal quarter last year.  Accordingly, non-GAAP adjusted net income was $5.0 million (about $0.05 per share) which is basically up 1 percent over the same time last year. 

In addition, non-GAAP adjusted EBITDA registered at $5.6 million, up from $3.8 million the year prior.  Also, GAAP cash for operating activities reached a total of $8.4 million for fiscal third quarter (2019) with non-GAAP free cash flow totaling $7.0 million.  And finally, GAAp gross margin reached 39 percent in fiscal third quarter 2020, up from 35 percent GAAP gross margin from fiscal Q3 2019.  Non-GAAP adjusted gross margin grew to 40 percent in Q3 2020 from 37 percent the year before. 0

Stone goes on to say, “Despite substantially weaker-than-expected Android device sales in November in our core US market, we managed to generate $5.6 million in EBITDA and more than $7 million in free cash flow during the quarter.”