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QT Imaging Delivers Strong Second Quarter Growth While Building the Foundation for Commercial Scale

Second-quarter revenue reached $7.4 million; first-half revenue increased 116% to $14.0 million, with 28 scanners shipped

Strengthened capital position through a $10.0 million public offering and expanded direct U.S. commercial capabilities to accelerate adoption

Reaffirms full-year 2026 revenue guidance of approximately $39 million

Conference Call begins at 4:30 p.m. Eastern Time today

NOVATO, Calif.–(BUSINESS WIRE)–
QT Imaging Holding, Inc. (Nasdaq: QTI) (“QT Imaging” or the “Company”), a medical device company dedicated to transforming breast health management through innovative, radiation-free imaging technology, today reported financial results for the three and six months ended June 30, 2026, and provided a business update.

“Our second quarter results demonstrate continued execution and the growing commercial momentum of QT Imaging. Revenue more than doubled year-over-year to $7.4 million, and we shipped fifteen Breast Acoustic CT scanners during the quarter, compared with eight in the prior-year period,” said Dr. Raluca Dinu, Chief Executive Officer of QT Imaging. “We also took important steps to support continued growth, completing a $10 million public offering, expanding our direct U.S. sales organization, and securing regulatory authorization in Israel and Saudi Arabia. At the same time, we generated new evidence demonstrating less than 1% variability in Speed of Sound measurements across our scanners, successfully completed our first routine FDA inspection with zero Form 483 observations, and expanded manufacturing capacity through our new 22,000-square-foot facility. These are tangible steps toward scaling Breast Acoustic CT commercially while building the clinical, regulatory and operational foundation for broader adoption.”

“With more than 12,000 women already imaged using our technology, we are building more than an innovative medical imaging system; we are building a quantitative breast imaging platform that integrates advanced hardware, software, cloud infrastructure and, over time, AI-enabled clinical applications,” added Dr. Dinu. “At the same time, we continue to evolve our commercial strategy by complementing our established distribution partnerships with expanded direct commercial, and business development capabilities to accelerate customer engagement and broaden adoption. While geopolitical developments have impacted commercial activities in parts of the Gulf region, we are beginning to see encouraging signs of renewed customer engagement.”

Second Quarter and Recent Business Highlights

• Continued commercial execution: QT Imaging shipped 15 Breast Acoustic CT scanners during the second quarter of 2026 and 28 scanners during the first six months of the year. The revenue for the second quarter of 2026 was $7.4 million. The Company continues to pursue commercial opportunities through a combination of established distribution partners and its expanding internal commercial and business development capabilities.
• Strengthened capital position: During the second quarter, QT Imaging completed an underwritten public offering that generated approximately $10.0 million in gross proceeds. The Company also extended the maturity of its senior secured term loan by two years, from March 31, 2027, to March 31, 2029.
• Built a scalable U.S. commercial organization: Under the leadership of our Chief Commercial Officer Satrajit Misra, a seasoned medical imaging executive with three decades of industry experience, QT Imaging expanded its direct commercial organization with the appointments of Jason Dyer as Vice President, Regional Sales East, and Dave Reinhart as Vice President, Regional Sales West. Together, this team strengthens the Company’s ability to directly engage breast imaging centers, clinicians and enterprise health systems, deepen strategic customer relationships and complement its established distribution partnerships, creating a scalable commercial model designed to accelerate adoption, grow the installed base and support long-term revenue growth and margin expansion.
• Expanded global regulatory foundation for Breast Acoustic CT scanners: During the quarter, the Company received AMAR authorization from Israel’s Ministry of Health and Food and Drug Administration (“FDA”) regulatory clearance in Saudi Arabia. QT Imaging continues to pursue additional regulatory authorizations in the Gulf region and Europe.
• Successfully completed the Company’s first routine FDA inspection: The inspection concluded with zero Form 483 observations, reflecting the strength of the Company’s Quality Management System and its focus on quality, compliance and manufacturing readiness.
• Generated additional scientific evidence: A multi-site repeatability and reproducibility study demonstrated less than 1% variability in Speed of Sound measurements across Breast Acoustic CT scanners. The results support the potential use of objective and reproducible quantitative imaging biomarkers in longitudinal breast health assessment and treatment monitoring. These results reflect testing performed under the study conditions and do not represent a new FDA-cleared indication.
• Continued advancing the QTI technology platform: Development activities included enhancements to image reconstruction, quantitative imaging algorithms, clinical workflow, and the QTI Precision Pathway™ cloud platform. The Company also continued its collaboration with Olea Medical to productize its multimodality image viewer, physician workflow and quantitative image analysis.
• Strengthened clinical and scientific leadership: Appointed Dr. Julia Albright as Chief Science Officer, effective July 27, 2026, and welcomed nationally recognized breast surgical oncologist Dr. Barry Roseman as Senior Medical Advisor. Dr. Albright brings more than three decades of leadership in medical imaging innovation, quantitative imaging and artificial intelligence, with a proven track record of translating advanced technologies into clinically impactful products. Dr. Roseman brings more than 30 years of experience in breast cancer diagnosis, treatment and multidisciplinary patient care, providing deep clinical expertise to support physician engagement, clinical implementation, and broader adoption of our technology.
• Advanced clinical expansion in Israel: Following our recent AMAR authorization from Israel’s Ministry of Health, the first Breast Acoustic CT scanner in Israel is planned for placement at Rambam Health Care Campus, one of the country’s leading academic medical centers. The scanner will support a planned clinical study evaluating Breast Acoustic CT imaging modality in women with hereditary risk for breast cancer, expanding the Company’s clinical evidence-generation efforts in an important high-risk population.
• Expanded manufacturing capacity while improving operating efficiency: Continued investing in manufacturing excellence and supply chain readiness while relocating to a new 22,000-square-foot headquarters and manufacturing facility, located in Petaluma, CA. The expanded facility provides more than 2.5x the operational space of the current location while reducing lease cost per square foot by approximately 55%, enhancing the Company’s ability to scale production efficiently.
• Increased visibility within the investment community: QT Imaging was added to the Russell Microcap® Index as part of the 2026 semi-annual Russell index reconstitution and following its return to the Nasdaq Capital Market in January.
• Pursued grassroots initiatives focused on breast health: Dr. Dinu participated in two prestigious events hosted by The Shift, including its inaugural Shiftmakers Gala celebrating women driving change held at Harvard University and featuring actress and breast cancer survivor Olivia Munn, and presenting the Shiftmaker Award to tennis legend and two-time cancer survivor Martina Navratilova at the Sports Shiftmaker Awards ceremony during Wimbledon week in London.

Second Quarter 2026 Financial Results

Revenue for the second quarter of 2026 was $7.4 million, an increase of 103% compared with $3.7 million for the second quarter of 2025. The increase was primarily attributable to the shipment of fifteen Breast Acoustic CT scanners in the 2026 quarter, compared with eight in the prior-year quarter.

Gross margin was 41% for the second quarter of 2026, compared with 50% for the second quarter of 2025. The gross margin for the second quarter of 2026 was in line with our projections for sales in the USA. The higher prior-year gross margin reflected a lower weighted average cost of inventory sold.

Total operating expenses were $4.9 million for the second quarter of 2026, compared with $2.9 million for the second quarter of 2025. The increase was primarily attributable to employee compensation and benefits, professional service costs, and marketing expenses.

Operating loss for the second quarter of 2026 was $1.9 million, compared with an operating loss of $1.0 million, for the second quarter of 2025 and $2.3 million for the first quarter of 2026.

Total interest and other expense, net, was $9.2 million during the second quarter of 2026, compared with $3.0 million in the prior-year quarter. The increase was due primarily to an $8.3 million non-cash loss on debt extinguishment related to the Lynrock Lake term loan modification.

Net loss for the second quarter of 2026 was $11.1 million, or $0.75 per share, compared with a net loss of $4.0 million, or $0.42 per share, for the second quarter of 2025. Prior-period share and per-share amounts have been adjusted to reflect the Company’s 3:1 reverse stock split completed in October 2025.

Non-GAAP adjusted EBITDA, which excludes interest, taxes, depreciation and amortization, other income or expense, changes in the fair value of financial liabilities, and stock-based compensation, was negative $1.2 million, or $0.08 per share, for the second quarter of 2026, compared with negative $0.8 million, or $0.08 per share, for the second quarter of 2025.

Net cash used in operating activities during the second quarter of 2026 was $4.8 million, compared with $1.4 million during the second quarter of 2025.

As of June 30, 2026, the Company had cash and restricted cash of $11.0 million, compared with $10.5 million as of December 31, 2025. As of August 7, 2026, the Company had cash and restricted cash of $14.2 million.

2026 Revenue Outlook

The Company affirms its 2026 revenue guidance of approximately $39 million. This outlook reflects minimum order quantities under its distribution agreements, as well as expected contributions from the Company’s direct sales efforts.

Conference Call and Webcast

QT Imaging management will host a conference call today at 4:30 p.m. Eastern Time to discuss these results and provide a business update. Participants are encouraged to pre-register here. Callers who are unable to pre-register can access the call by dialing 866-777-2509 (U.S.) or 412-317-5413 (international). A live and archived webcast of the call will be available at this link and on the IR Calendar section of the QT Imaging website.

Non-GAAP Financial Measures

Some of the financial information and data contained in this press release, such as EBITDA and Adjusted EBITDA, have not been prepared in accordance with GAAP. To supplement our unaudited condensed consolidated financial statements, which are prepared and presented in accordance with GAAP in our press release, we also report certain non-GAAP financial measures. A “non-GAAP financial measure” refers to a numerical measure of a company’s historical or future financial performance, financial position or cash flows that excludes (or includes) amounts that are included in (or excluded from) the most directly comparable measure calculated and presented in accordance with GAAP in such company’s financial statements. Non-GAAP financial measures should not be considered in isolation or as a substitute for the relevant GAAP measures and should be read in conjunction with information presented on a GAAP basis. Because not all companies use identical calculations, our presentation of non-GAAP measures may not be comparable to other similarly titled measures of other companies.

The presentation of these financial measures 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 and should not be considered measures of QT Imaging’s liquidity. Investors are cautioned that there are material limitations associated with the use of non-GAAP financial measures as an analytical tool. In particular, many of the adjustments to our GAAP financial measures reflect the exclusion of certain items, as defined in our non-GAAP definitions below, which are recurring and will be reflected in our financial results for the foreseeable future. In addition, these measures may be different from non-GAAP financial measures used by other companies, even where similarly titled, limiting their usefulness for comparison purposes and therefore should not be used to compare QT Imaging’s performance to that of other companies. We endeavor to compensate for the limitation of the non-GAAP financial measures presented by also providing the most directly comparable GAAP measures and descriptions of the reconciling items and adjustments to derive the non-GAAP financial measures.

We believe these non-GAAP financial measures provide investors and analysts with useful supplemental information about the financial performance of our business, enable comparison of financial results between periods where certain items may vary independent of business performance, and allow for greater transparency with respect to key measures used by management to operate and analyze our business over different periods of time.

EBITDA is defined as loss before interest expense, income tax expense, depreciation and amortization. Adjusted EBITDA is defined as EBITDA further adjusted for other expense (income), change in fair value of the warrant, derivative, and earnout liabilities, loss on issuance of debt, loss on debt extinguishment and modification, and stock-based compensation. Similar excluded expenses may be incurred in future periods when calculating these measures. QT Imaging believes these non-GAAP measures of financial results provide useful information to management and investors regarding certain financial and business trends relating to the Company’s financial condition and results of operations. QT Imaging believes that the use of these non-GAAP financial measures provides an additional tool for investors to use in evaluating projected operating results and trends and in comparing QT Imaging’s financial measures with other similar companies, many of which present similar non-GAAP financial measures to investors.

Management does not consider these non-GAAP measures in isolation or as an alternative to financial measures determined in accordance with GAAP. The principal limitation of these non-GAAP financial measures is that they exclude significant expenses and income that are required by GAAP to be recorded in the Company’s consolidated financial statements. In addition, they are subject to inherent limitations as they reflect the exercise of judgment by management about which expense and income items are excluded or included in determining these non-GAAP financial measures.

Management uses EBITDA and Adjusted EBITDA as a non-GAAP performance measure that is defined in the accompanying tables and is reconciled to net loss, the most directly comparable GAAP measure, in the tables below.

We present reconciliations of these non-GAAP financial measures to the most directly comparable GAAP measures in the tables below.

About QT Imaging

QT Imaging Holdings, Inc. (Nasdaq: QTI) is a medical device company engaged in the research, development, and commercialization of innovative imaging systems that use low-frequency sound waves. QT Imaging Holdings, Inc. strives to improve global health outcomes. Its strategy is predicated upon the fact that medical imaging is critical to the detection, diagnosis, and treatment of disease and that it should be safe, affordable, accessible, and centered on the patient’s experience. For more information on QT Imaging Holdings, Inc., please visit the Company’s website at www.qtimaging.com and follow us on LinkedIn.

Breast Acoustic CT™ is a trademark of an affiliate of QT Imaging Holdings, Inc.

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 Exchange Act of 1934, as amended. Forward-looking statements generally are accompanied by words such as “believe,” “may,” “will,” “estimate,” “continue,” “anticipate,” “intend,” “expect,” “should,” “would,” “plan,” “predict,” “potential,” “seem,” “seek,” “future,” “outlook,” and similar expressions that predict or indicate future events or trends or that are not statements of historical matters. These forward-looking statements include, but are not limited to, statements regarding QT Imaging’s quality and regulatory compliance and its ability to scale manufacturing, expand commercialization globally, and support a growing customer base, plans for QT Imaging, new product development and introduction, product sales growth and projected revenues, QT Imaging’s industry, future events, and other statements that are not historical facts. Forward-looking statements involve certain risks and uncertainties, and actual results may differ materially from those discussed in any such statement. These statements are based on various assumptions, whether or not identified herein, and on the current expectations of QT Imaging’s management and are not predictions of actual performance. These forward-looking statements are provided for illustrative purposes only and are not intended to serve as, and must not be relied on by you or any other investor as, a guarantee, an assurance, a prediction or a definitive statement of fact or probability. Actual events and circumstances are difficult or impossible to predict and will differ from assumptions. Many actual events and circumstances are beyond our control. These forward-looking statements are subject to a number of risks and uncertainties, including those relating to: the ability of the Company to sell and deploy the QT Imaging Breast Acoustic CT™ Scanner; the ability to extend product offerings into new areas or products; the ability to commercialize technology; unexpected occurrences that deter the full documentation and “bring to market” plan for products; trends and fluctuations in the industry; changes in demand and purchasing volume of customers; unpredictability of suppliers; the ability to attract and retain qualified personnel and the ability to move product sales to production levels; changes in domestic and foreign business, market, financial, political, and legal conditions; the uncertainty of projected financial information; delays caused by factors outside of our control; changes in our ability to successfully receive purchase orders and generate revenue under our existing contracts with partners and distributors; our ability to realize the benefits of the strategic partnerships; the identified material weakness in our internal controls over financial reporting (including the timeline to remediate the material weakness); the rollout of the business and the timing of expected business milestones; the effects of competition on our future business; our ability to obtain and access financing in the future; our ability to pay our debt obligations as they come due; and those factors discussed in the Company’s reports and other documents filed with the SEC, including under the heading “Risk Factors.” If any of these risks materialize or our assumptions prove incorrect, actual results could differ materially from the results implied by these forward-looking statements. There may be additional risks that QT Imaging presently does not know or that QT Imaging currently believes are immaterial which could also cause actual results to differ from those contained in the forward-looking statements. In addition, forward-looking statements reflect QT Imaging’s expectations, plans or forecasts of future events and views as of the date of this release. QT Imaging anticipates that subsequent events and developments will cause QT Imaging’s assessments to change. However, while QT Imaging may elect to update these forward-looking statements at some point in the future, QT Imaging specifically disclaims any obligation to do so. Accordingly, undue reliance should not be placed upon the forward-looking statements.

[Financial tables below]

Summary of Results For the Three and Six Months Ended June 30, 2026 and 2025 (Unaudited)
	Three Months Ended June 30,								Six Months Ended June 30,
$ thousands (except per share amounts)		2026				2025				2026				2025
Revenue	$	7,435			$	3,659			$	13,965			$	6,458
Cost of revenue		4,375				1,832				8,233				2,819
Gross profit		3,060				1,827				5,732				3,639
Operating expenses:
Research and development		1,624				901				3,348				1,753
Selling, general and administrative		3,300				1,969				6,597				3,971
Total operating expenses		4,924				2,870				9,945				5,724
Loss from operations		(1,864	)			(1,043	)			(4,213	)			(2,085	)
Interest and other expense, net:
Interest expense, net		(745	)			(379	)			(1,675	)			(1,070	)
Other (expense) income, net		(4	)			9				(8	)			24
Change in fair value of warrant liability		89				(2,796	)			(84	)			(3,501	)
Change in fair value of derivative liability		—				—				—				101
Change in fair value of earnout liability		(250	)			210				(200	)			160
Loss on issuance of debt		—				—				—				(6,640	)
Loss on debt extinguishment and modification		(8,294	)			—				(8,294	)			(2,124	)
Total interest and other expenses, net		(9,204	)			(2,956	)			(10,261	)			(13,050	)
Loss before income tax expense		(11,068	)			(3,999	)			(14,474	)			(15,135	)
Income tax expense		2				3				2				3
Net loss	$	(11,070	)		$	(4,002	)		$	(14,476	)		$	(15,138	)
Net loss attributable to common stockholders	$	(11,070	)		$	(4,002	)		$	(14,476	)		$	(15,138	)
Net loss per share – basic and diluted (1)	$	(0.75	)		$	(0.42	)		$	(1.01	)		$	(1.63	)
Weighted-average shares outstanding (1)		14,831				9,451				14,317				9,312

(1) Share and per share amounts for the three and six months ended June 30, 2025 differ from those published in prior unaudited condensed consolidated financial statements as they were retrospectively adjusted as a result of the Reverse Stock Split. Specifically, the number of shares of common stock outstanding during periods before the Reverse Stock Split are divided by the exchange ratio of 3:1, such that each three shares of common stock were combined and reconstituted into one share of common stock effective October 23, 2025.

EBITDA and Adjusted EBITDA For the Three and Six Months Ended June 30, 2026 and 2025 (Unaudited)
	Three Months Ended June 30,								Six Months Ended June 30,
$ thousands		2026				2025				2026				2025
Net loss	$	(11,070	)		$	(4,002	)		$	(14,476	)		$	(15,138	)
Income tax expense		2				3				2				3
Interest expense, net		745				379				1,675				1,070
Depreciation and amortization		21				38				41				76
EBITDA		(10,302	)			(3,582	)			(12,758	)			(13,989	)
Other expense (income), net		4				(9	)			8				(24	)
Change in fair value of warrant liability (1)		(89	)			2,796				84				3,501
Change in fair value of derivative liability (2)		—				—				—				(101	)
Change in fair value of earnout liability (3)		250				(210	)			200				(160	)
Loss on issuance of debt (4)		—				—				—				6,640
Loss on debt extinguishment and modification (5)		8,294				—				8,294				2,124
Stock-based compensation		668				219				1,049				320
Adjusted EBITDA	$	(1,175	)		$	(786	)		$	(3,123	)		$	(1,689	)

(1) The change in fair value of warrant liability during the three and six months ended June 30, 2026 relates to the change in the market value of the private warrants outstanding as of June 30, 2026. The change in fair value of warrant liability during the three and six months ended June 30, 2025 relates to the change in the market value of the private placement warrants outstanding as of June 30, 2025, as well as the change in market value of the Lynrock Lake Warrant and Yorkville Warrant, which were revalued and reclassified to equity on June 11, 2025. (2) The change in fair value of derivative liability during the six months ended June 30, 2025 relates to the Yorkville Pre-paid Advance, which contained features that were bifurcated as freestanding financial instruments and initially valued on March 4, 2024 upon consummation of the Merger. The derivative liability was subsequently revalued as of February 26, 2025, prior to the extinguishment of the Yorkville Note. (3) The earnout liability relates to the contingent consideration for the Merger Earnout Consideration Shares pursuant to the Business Combination Agreement dated December 8, 2022, as amended in September 2023. The earnout liability was initially valued using the Monte Carlo Simulation method on March 4, 2024 and subsequently revalued using the same method as of June 30, 2026 and 2025. (4) Upon the issuance of the Lynrock Lake Term Loan, which closed on February 26, 2025, the Company recorded a loss of $6.6 million, including debt issuance costs of $0.2 million, during the six months ended June 30, 2025. (5) The Company recorded a loss on debt extinguishment of $8.3 million during the three and six months ended June 30, 2026 as a result of the modification of the Lynrock Lake Term Loan on May 12, 2026, which extended the maturity date from March 2027 to March 2029 and increased the interest rate from 10% to 12%. The Company recorded debt modification expense of $0.1 million during the six months ended June 30, 2025 due to the modification of the Cable Car Note on January 9, 2025, and debt extinguishment expense of $2.0 million due to the extinguishment of the Yorkville Note and Cable Car Note on February 26, 2025.

Consolidated Balance Sheets As of June 30, 2026 and December 31, 2025 (Unaudited)
$ in thousands	June 30, 2026				December 31, 2025
Assets
Current assets:
Cash and cash equivalents	$	10,924			$	10,412
Restricted cash and cash equivalents		50				50
Accounts receivable, net		7,404				5,781
Inventory		9,870				5,027
Prepaid expenses and other current assets		1,171				821
Total current assets		29,419				22,091
Property and equipment, net		793				318
Operating lease right-of-use assets, net		379				573
Other assets		39				39
Total assets	$	30,630			$	23,021
Liabilities and Stockholders’ Equity
Current liabilities:
Accounts payable	$	3,011			$	3,580
Accrued expenses and other current liabilities		6,051				3,825
Current maturities of long-term debt		—				9
Operating lease liabilities, current		437				454
Total current liabilities		9,499				7,868
Long-term debt		11,397				683
Related party notes payable		3,895				3,895
Operating lease liabilities		—				203
Warrant liability		187				103
Earnout liability		2,410				2,210
Other liabilities		996				1,614
Total liabilities		28,384				16,576
Stockholders’ equity:
Common stock		1				1
Additional paid-in capital		69,745				59,468
Accumulated deficit		(67,500	)			(53,024	)
Total stockholders’ equity		2,246				6,445
Total liabilities and stockholders’ equity	$	30,630			$	23,021

Consolidated Statements of Cash Flows For the Six Months Ended June 30, 2026 and 2025 (Unaudited)
	Six Months Ended June 30,
$ in thousands		2026				2025
Cash flows from operating activities:
Net loss	$	(14,476	)		$	(15,138	)
Adjustments to reconcile net loss to net cash used in operating activities:
Depreciation and amortization		41				76
Stock-based compensation		1,049				320
Loss on issuance of debt		—				6,640
Loss on debt extinguishment and modification		8,294				2,124
Non-cash interest		1,123				548
Non-cash operating lease		(26	)			(19	)
Change in fair value of warrant liability		84				3,501
Change in fair value of derivative liability		—				(101	)
Change in fair value of earnout liability		200				(160	)
Changes in operating assets and liabilities:
Accounts receivable		(1,623	)			(3,584	)
Inventory		(4,072	)			(90	)
Prepaid expenses and other current assets		(350	)			(1,227	)
Accounts payable		(396	)			772
Accrued expenses and other current liabilities		982				924
Other liabilities		679				435
Net cash used in operating activities		(8,491	)			(4,979	)
Cash flows from investing activities:
Purchases of property and equipment		(191	)			(47	)
Net cash used in investing activities		(191	)			(47	)
Cash flows from financing activities:
Proceeds from sale of common stock and warrants		9,305				700
Proceeds from long-term debt, net of issuance costs		—				10,000
Proceeds from stock option exercises		246				—
Repayment of long-term debt		(9	)			(4,674	)
Payments for taxes related to net settlement of equity awards		(63	)			—
Payment of stock issuance costs		(285	)			—
Payment of debt issuance costs		—				(150	)
Net cash provided by financing activities		9,194				5,876
Net increase in cash and cash equivalents and restricted cash and cash equivalents		512				850
Cash and cash equivalents and restricted cash and cash equivalents, beginning balance		10,462				1,192
Cash and cash equivalents and restricted cash and cash equivalents, ending balance	$	10,974			$	2,042

 

View source version on businesswire.com: https://www.businesswire.com/news/home/20260812051029/en/

Investors

CORE IR

Tirth Patel

[email protected]

386-295-2215

Media

CORE IR

Matthew Cossel

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KEYWORDS: California United States North America

INDUSTRY KEYWORDS: Technology Biotechnology Health Other Health Radiology Artificial Intelligence Oncology Other Science Other Technology Research Medical Devices Software Hardware Science

MEDIA:

Posted on August 12, 2026 5:15 pm

Liftoff Mobile Announces Second Quarter 2026 Financial Results

REDWOOD CITY, Calif., Aug. 12, 2026 (GLOBE NEWSWIRE) — Liftoff Mobile, Inc. (“Liftoff”) (NASDAQ: LFTO), a global leader in performance marketing and monetization solutions for the app economy, today announced financial results for the quarter ended June 30, 2026.

Second
Quarter
2026
Financial Highlights:

(In millions, except percentages)	Q2 FY26				Q1 FY26				Q2 FY25				Q/Q Change			Y/Y Change
Revenue	$	220			$	206			$	162			7	%		35	%
Net income (loss)	$	(4	)		$	49			$	(24	)		NM			(82	)%
Adjusted EBITDA1	$	132			$	120			$	85			10	%		55	%
Net income (loss) Margin	(2		)%			24	%		(15		)%		NM			13	pts
Adjusted EBITDA Margin1		60	%			58	%			53	%		2	pts		8	pts

_________
Note: Variances that are not meaningful (“NM”) are not presented in the table above. Percentages have been calculated using actual, non-rounded figures and, therefore, may not recalculate precisely.

“Q2 marked our eleventh consecutive quarter of revenue growth and reinforced a pattern we have seen over time: better advertising performance gives customers reason to increase their spend with us. Cortex’s continued self-learning and discrete model improvements both contributed to that performance this quarter,” said Jeremy Bondy, Liftoff’s Chief Executive Officer. “Our integrated advertising platform, powered by Cortex machine learning, is designed to serve all verticals in the app economy, and we believe we’re still in the early innings of our growth story in a large, expanding, and structurally under-monetized market.”

“Our strong financial results reflect the durability of our financial model,” added Tarek Kutrieh, Liftoff’s President and Chief Financial Officer. “Adjusted EBITDA margin expanded meaningfully, as our revenue scaled faster than our cost base. That operating leverage, combined with our capital light architecture, converted growth into significant free cash flow. We see a clear opportunity for continued sustainable, profitable growth.”

Business
Highlights
:

• Core Advertising Revenue² was $219 million in the second quarter, an increase of 36% year-over-year and 7% quarter-over-quarter.
• Core Advertising Daily Average Revenue (DAR)² increased by 6% quarter-over-quarter.
• Net Loss of $(4) million in the second quarter is inclusive of $45 million of non-cash expenses related to our IPO and other capital markets activities.
• Trailing 12-month Net Cash from Operating Activities was $237 million, an increase of 90% from the corresponding period of the prior year.
• Trailing 12-month Free Cash Flow¹ was $184 million, an increase of 142% from the corresponding period of the prior year.

Third
Quarter
2026
Financial Guidance Summary
³

(In millions, except percentages)	Low				High
Revenue	$	217			$	222
Adjusted EBITDA	$	124			$	128
Adjusted EBITDA Margin		57	%			58	%

Fiscal Year
2026
Financial Guidance Summary
³

(In millions, except percentages)	Low				High
Revenue	$	870			$	880
Adjusted EBITDA	$	510			$	518
Adjusted EBITDA Margin		59	%			59	%

_________
¹ For a discussion on how we define, use, and calculate these non-GAAP financial measures and a reconciliation thereof to the most directly comparable GAAP financial measures, see “Key Operating and Financial Metrics” and the tables at the end of this press release.
² See “Key Operating and Financial Metrics” for additional information on how we define Core Advertising Revenue and Core Advertising DAR.
³ We have not provided the most comparable GAAP metric or a GAAP reconciliation for certain forward-looking non-GAAP metrics—specifically Adjusted EBITDA and Adjusted EBITDA margin—as a result of the uncertainty regarding, and the potential variability of, reconciling items such as stock-based compensation expense. Accordingly, a reconciliation of these non-GAAP guidance metrics to their corresponding GAAP equivalents is not available without unreasonable effort. However, it is important to note that material changes to reconciling items could have a significant effect on future GAAP results.

Conference Call Information

The Company will host a conference call today at 2:00 PM PT / 5:00 PM ET during which management will discuss the Company’s quarterly results and provide commentary on business performance. The call will be hosted by Jeremy Bondy, Chief Executive Officer, and Tarek Kutrieh, President and Chief Financial Officer.

The conference call may be accessed on the Company’s website at: https://investors.liftoff.ai. A replay will also be available under the ‘News & Events’ section of the Company’s Investor Relations website.

About Liftoff

Liftoff (NASDAQ: LFTO) is a leading growth and monetization engine built for the mobile app economy. Its AI-powered platform, Cortex™, unifies marketing, creative, and monetization to deliver measurable performance at scale across the app lifecycle. Liftoff enables advertisers to unlock profitable user growth while helping app publishers maximize revenue with advanced ad monetization technology. Founded in 2012 and headquartered in Redwood City, California, Liftoff supports a diverse, global customer base across gaming, consumer, and emerging app categories.

Contacts

Investor Relations Jenn Kettnich [email protected]	Media Relations Laura Wilkinson [email protected]

CAUTIONARY NOTE ABOUT FORWARD-LOOKING STATEMENTS

This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. We intend such forward-looking statements to be covered by the safe harbor provisions for forward-looking statements contained in Section 27A of the Securities Act of 1933, as amended (the “Securities Act”) and Section 21E of the Securities Exchange Act of 1934, as amended. Forward-looking statements include all statements that are not historical facts. Forward-looking statements include, but are not limited to, statements about: (1) projections of revenues, expenses, income or loss, earnings or loss per share, cash flow, margins, profitability, capital expenditures, liquidity, capital resources or other financial or operating items; (2) our plans, strategies and objectives, including those relating to our business model, growth strategy, market opportunity, customer retention and expansion, acquisition of new customers, technology innovation, Cortex and AI-related initiatives; (3) future financial or operating performance; (4) our expectations regarding macroeconomic conditions, market trends, competition, regulatory developments, taxes, public company costs, indebtedness, interest rates and other risks affecting our business; (5) our expectations regarding acquisitions, investments, dispositions, financings or other strategic transactions we may pursue; and (6) assumptions underlying any of the foregoing. We may, in some cases, use words such as “anticipate,” “assume,” “believe,” “contemplate,” “continue,” “could,” “estimate,” “expect,” “foreseeable,” “intend,” “may,” “plan,” “potentially,” “predict,” “project,” “seek,” “should,” “will,” or “would,” or similar words or phrases that convey uncertainty of future events or outcomes, to identify forward-looking statements in this press release. Factors that may cause actual results to differ from expected results include those described in our filings with the Securities and Exchange Commission (the “SEC”), including those set forth in the “Risk Factors” section in our final prospectus (the “IPO Prospectus”) filed with the SEC on June 4, 2026 pursuant to Rule 424(b)(4) under the Securities Act relating to our registration statement on Form S-1 (File No. 333-295144).

The forward-looking statements contained in this press release are based on management’s current expectations and are subject to uncertainty and changes in circumstances. Although we believe that the assumptions underlying the forward-looking statements are reasonable, we cannot guarantee future results, level of activity, performance, or achievements. There are a number of factors, many of which are beyond our control, that could cause actual results to differ materially from the results anticipated by these forward-looking statements, including, among others, risks related to: our ability to retain existing customers, expand customer usage and attract new customers; the fact that we generally do not have long-term commitments from customers; advertiser demand, marketing budgets, customer churn or consolidation, and broader macroeconomic, market, public health and geopolitical conditions, including inflation, interest rates, tariffs and U.S.-China tensions; our dependence on mobile operating systems, app stores, large internet and technology companies, third-party platforms, cloud infrastructure providers, supply partners and other participants in the mobile advertising ecosystem; competition and rapid changes in technology, industry standards and customer needs; our ability to collect, use, disclose and otherwise process data, and evolving privacy, data protection, information security, consumer protection, advertising, tracking, targeting, protection of minors, AI and other legal and regulatory requirements; fraud, malware, cybersecurity incidents, system failures, service interruptions and other technical or operational disruptions; our ability to maintain and scale our technology, including Cortex and other AI capabilities, and develop and introduce new products and services; changes in app store policies, user opt-in or opt-out choices, ad-blocking technologies and other limitations on mobile advertising; our reliance on the continued growth and health of the mobile app ecosystem, including mobile gaming and the broader app economy; fluctuations in our operating results, revenue concentration, market opportunity estimates and key metrics; international operations, including risks associated with China, trade controls, tariffs, sanctions, anti-corruption laws and foreign currency exchange; our ability to attract, retain and motivate key personnel and sales teams and manage public company costs; acquisitions, investments, partnerships, financings and other strategic transactions; tax matters, accounting standards, estimates, goodwill or other impairment, stock-based compensation and internal controls, including the material weakness identified in our internal control over financial reporting; legal proceedings and intellectual property and open source software matters; ownership concentration and risks related to our common stock, including stock price volatility, future sales and dilution; and our substantial indebtedness, restrictive debt covenants, interest rate exposure, debt service obligations, liquidity and ability to raise additional capital. This list is not exhaustive. For a more detailed discussion of these and other factors, see the “Risk Factors” section in the IPO Prospectus. These factors should not be construed as exhaustive. Should one or more of these risks or uncertainties materialize, or should any of our assumptions prove incorrect, our actual results may vary in material respects from those expressed or implied in these forward-looking statements.

The forward-looking statements included in this press release speak only as of the date of this press release or as of the date they are made, as applicable. Factors or events that could cause our actual results to differ may emerge from time to time, and it is not possible for us to predict all of them. We may not actually achieve the plans, intentions, or expectations disclosed in our forward-looking statements, and you should not place undue reliance on our forward-looking statements. Our forward-looking statements do not reflect the potential impact of any future acquisitions, mergers, dispositions, joint ventures, investments, or other strategic transactions we may make. Except as otherwise required by law, we disclaim any intent or obligation to update any “forward-looking statement” made in this press release to reflect changed assumptions, the occurrence of unanticipated events, or changes to future operating results over time.

Key Operating and Financial Metrics

We monitor the following key metrics to help us evaluate the health of our business, identify trends affecting our growth, formulate goals and objectives and make strategic decisions. We believe these non-GAAP and operational measures are useful in evaluating our performance, in addition to our financial results prepared in accordance with GAAP.

Our definitions may differ from the definitions used by other companies and therefore comparability may be limited. In addition, other companies, including peer companies, may not publish these or similar metrics. Thus, our non-GAAP financial measures should be considered in addition to, not as substitutes for, or in isolation from, measures prepared in accordance with GAAP. We also strongly urge you to review the reconciliation to the corresponding GAAP financial measures set forth at the end of this press release. To properly and prudently evaluate our business, we encourage you to review Liftoff’s financial information in its entirety and not to rely on a single financial measure to evaluate our business.

Adjusted EBITDA and Adjusted EBITDA Margin

We report our financial results in accordance with GAAP, however, management believes that Adjusted EBITDA and Adjusted EBITDA Margin, which are non-GAAP measures, provide users of our financial information with useful supplemental information enabling a comparison of our performance across periods. We believe Adjusted EBITDA and Adjusted EBITDA Margin provide visibility to the underlying continuing operating performance of our business. Management uses Adjusted EBITDA and Adjusted EBITDA Margin to evaluate and manage the performance of our business, make resource allocation decisions, and compensate key personnel as they provide further understanding with respect to the results of our operations.

We define Adjusted EBITDA as net income adjusted for interest expense, net, income tax expense, depreciation and amortization expense, stock-based compensation, other expenses, net, and further adjusted for certain items that impact comparison of the performance of our businesses either period-over period or with other businesses as more fully described below. We also disclose Adjusted EBITDA Margin, which is calculated as Adjusted EBITDA divided by revenue.

Adjusted EBITDA and Adjusted EBITDA Margin are non-GAAP financial measures and are presented for supplemental informational purposes only and should not be considered as alternatives or substitutes to financial information presented in accordance with GAAP. These measures have certain limitations in that they do not include the impact of certain expenses that are reflected in our condensed consolidated statements of operations that are necessary to run our business. Our 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. Thus, our Adjusted EBITDA and Adjusted EBITDA Margin should be considered in addition to, not as substitutes for, or in isolation from, measures prepared in accordance with GAAP. Some of the limitations and other factors to consider include:

• Adjusted EBITDA and Adjusted EBITDA Margin exclude the recurring, non-cash expenses of depreciation and amortization of property and equipment, capitalized internal-use software, and definite-lived intangible assets, and although these are non-cash expenses, the assets being depreciated and amortized may have to be replaced in the future;

• Adjusted EBITDA and Adjusted EBITDA Margin do not reflect changes in or cash requirements for our working capital needs;

• Adjusted EBITDA and Adjusted EBITDA Margin exclude stock-based compensation expense, which has been, and will continue to be for the foreseeable future, an important part of how we attract and retain our employees and a significant recurring expense in our business;

• Adjusted EBITDA and Adjusted EBITDA Margin do not reflect the interest expense, net or the cash requirements to service interest or principal payments on our indebtedness;

• Adjusted EBITDA and Adjusted EBITDA Margin exclude the non-cash charges related to debt extinguishments, impairments of primarily capitalized internal-use software, and revaluation of contingent consideration, as these impact the comparability of our business across periods and do not relate to the continuing operating performance of our business;

• Adjusted EBITDA and Adjusted EBITDA Margin exclude costs related to IPO, integration, non-recurring transactions and expenses, and reorganization severance costs, as these impact the comparability of our business across periods and do not relate to the continuing operating performance of our business;

• Adjusted EBITDA and Adjusted EBITDA Margin do not reflect our income tax expense provision; and

• Adjusted EBITDA and Adjusted EBITDA Margin exclude other expenses, net, which primarily relate to non-operating foreign exchange gains and losses.

Adjusted EBITDA is not a liquidity measure and should not be considered as discretionary cash available to us to reinvest in the growth of our business or to distribute to stockholders or as a measure of cash that will be available to us to meet our obligations.

Free Cash Flow

We define Free Cash Flow as net cash provided by operating activities less purchase and capitalization of property, equipment and software. We subtract purchase and capitalization of property, equipment and software in our calculation of Free Cash Flow as we believe these expenditures represent ongoing investments required to support and grow our business. Our definition may differ from the definitions used by other companies and therefore comparability may be limited. In addition, other companies may not publish Free Cash Flow or similar metrics. Thus, our Free Cash Flow, which is a non-GAAP measure, should be considered in addition to, not as a substitute for, or in isolation from, measures prepared in accordance with GAAP.

Free Cash Flow is a measure of liquidity that provides useful information to our management, investors and others in understanding and evaluating the strength of our liquidity and future ability to generate cash that can be used for strategic opportunities, including investing in our business. Free Cash Flow has certain limitations in that it does not represent our residual cash flow for discretionary expenditures and our non-discretionary commitments. Free Cash Flow is not necessarily a measure of our ability to fund our cash needs.

Core Advertising Revenue

Core Advertising Revenue represents revenue generated from our current advertising platforms, which are predominantly powered by Cortex-backed demand solutions. Core Advertising represents the foundation of our business moving forward, reflecting our strategic focus on Cortex-enabled solutions and anticipated long-term growth within performance advertising. We believe Core Advertising revenue, and its historical growth, is an important metric as it aligns with the rollout of Cortex in 2023 and is more representative of our growth potential versus total revenue in historical periods.

Core Advertising Daily Average Revenue

Core Advertising Daily Average Revenue (“DAR”) is calculated by dividing Core Advertising Revenue by the number of calendar days during the reporting period. We believe DAR provides investors with useful information about the performance of our core advertising business and a normalized measure of revenue that facilitates comparisons across reporting periods with differing numbers of calendar days.

Liftoff Mobile, Inc. Condensed Consolidated Balance Sheets As of June 30, 2026 and December 31, 2025 (In thousands, except share and per share data) (Unaudited)
	As of
	June 30, 2026				December 31, 2025
ASSETS
Current assets:
Cash and cash equivalents	$	305,398			$	133,306
Accounts receivable, net		366,112				355,277
Income tax receivable		995				1,651
Prepaid expenses and other current assets		20,498				26,891
Total current assets		693,003				517,125
Restricted cash		789				789
Property, equipment, and software, net		128,984				115,968
Intangible assets, net		153,313				178,677
Goodwill		1,056,302				1,057,180
Other assets		33,571				31,590
Total assets	$	2,065,962			$	1,901,329
LIABILITIES, REDEEMABLE CONVERTIBLE PREFERRED STOCK, AND STOCKHOLDERS’ EQUITY (DEFICIT)
Current liabilities:
Accounts payable	$	355,096			$	356,519
Accrued liabilities		99,294				77,216
Current portion of long-term debt		18,550				18,550
Other current liabilities		30,274				29,169
Total current liabilities		503,214				481,454
Deferred tax liability		40,813				29,009
Long-term debt, net		1,392,149				1,801,150
Other liabilities		135,320				126,597
Total liabilities		2,071,496				2,438,210
Redeemable convertible preferred stock:
Series A redeemable convertible preferred stock ($0.0001 par value – Nil and 1,000,000 shares authorized as of June 30, 2026 and December 31, 2025, respectively; Nil and 425,000 shares issued and outstanding as of June 30, 2026 and December 31, 2025, respectively) Liquidation preference of nil and $425,000 as of June 30, 2026 and December 31, 2025, respectively.		—				414,607
Stockholders’ equity (deficit):
Preferred stock ($0.0001 par value – 700,000,000 and nil shares authorized as of June 30, 2026 and December 31, 2025, respectively, no shares issued and outstanding as of June 30, 2026 and December 31, 2025, respectively)		—				—
Common Stock ($0.0001 par value – 7,000,000,000 and 234,000,000 shares authorized as of June 30, 2026 and December 31, 2025, respectively; 169,330,527 and 123,002,518 shares issued and outstanding as of June 30, 2026 and December 31, 2025, respectively)		17				12
Additional paid-in capital		906,720				5,867
Accumulated other comprehensive loss		(1,400	)			(1,396	)
Accumulated deficit		(910,871	)			(955,971	)
Total stockholders’ equity (deficit)		(5,534	)			(951,488	)
Total liabilities, redeemable convertible preferred stock, and stockholders’ equity (deficit)	$	2,065,962			$	1,901,329

Liftoff Mobile, Inc. Condensed Consolidated Statements of Operations For the three and six months ended June 30, 2026 and 2025 (In thousands, except share and per share data) (Unaudited)
	Three Months Ended June 30,								Six Months Ended June 30,
		2026				2025				2026				2025
Revenue	$	219,505			$	162,084			$	425,147			$	312,053
Costs and operating expenses:
Cost of revenue, excluding depreciation and amortization		29,033				25,455				57,018				48,963
General and administrative		34,991				58,391				59,834				79,113
Research and development		34,513				36,925				61,887				57,849
Sales and marketing		20,594				16,149				38,329				30,411
Depreciation and amortization		22,963				25,120				44,731				50,672
Total costs and operating expenses		142,094				162,040				261,799				267,008
Income from operations		77,411				44				163,348				45,045
Other income (expense):
Interest expense, net		(33,339	)			(30,038	)			(68,314	)			(59,642	)
Loss on debt extinguishment		(7,366	)			—				(7,366	)			—
Post-conversion earnout share liability revaluation		139				—				2,675				—
Contingent consideration revaluation		(17,529	)			3,300				(12,629	)			(5,100	)
Other (expense) income, net		(86	)			(1,137	)			(198	)			(992	)
Income (loss) before income taxes		19,230				(27,831	)			77,516				(20,689	)
Income tax (expense) benefit		(23,461	)			4,048				(32,416	)			774
Net income (loss)	$	(4,231	)		$	(23,783	)		$	45,100			$	(19,915	)
Net income (loss) per share:
Basic	$	(0.03	)		$	(0.16	)		$	0.30			$	(0.14	)
Diluted	$	(0.03	)		$	(0.16	)		$	0.27			$	(0.14	)
Weighted average common shares used to compute net income (loss) per share attributable to common stockholders:
Basic		137,076,788				145,269,540				130,121,241				145,309,595
Diluted		137,076,788				145,269,540				143,533,326				145,309,595

Liftoff Mobile, Inc. Condensed Consolidated Statements of Cash Flows For the six months ended June 30, 2026 and 2025 (In thousands) (Unaudited)
	Six Months Ended June 30,
		2026				2025
Cash flows from operating activities:
Net income (loss)	$	45,100			$	(19,915	)
Adjustments to reconcile net income (loss) to net cash provided by operating activities:
Depreciation and amortization		44,731				50,672
Amortization of debt issuance costs		2,198				3,219
Provision for credit losses		1,995				1,542
Stock-based compensation expense		26,634				4,022
Non-cash lease expense		2,489				2,459
Deferred income tax		13,022				(6,007	)
Loss on debt extinguishment		7,366				—
Contingent consideration revaluation		12,629				5,100
Post-conversion earnout share liability revaluation		(2,675	)			—
Change in operating assets and liabilities:
Accounts receivable		(12,780	)			(63,806	)
Income tax receivable		618				132
Prepaid expenses and other current assets		3,522				(11,205	)
Other assets		(2,889	)			(1,501	)
Accounts payable		(8,006	)			79,681
Accrued liabilities		20,488				28,401
Other current liabilities		1,430				1,173
Other long-term liabilities		(4,395	)			3,930
Net cash provided by operating activities		151,477				77,897
Cash flows from investing activities:
Purchase and capitalization of property, equipment and software		(27,247	)			(24,901	)
Net cash used in investing activities		(27,247	)			(24,901	)
Cash flows from financing activities:
Proceeds from the exercise of stock options		2,255				1,237
Proceeds from issuance of preferred stock		—				409,545
Proceeds from post-conversion earnout share liability		—				5,393
Proceeds from initial public offering, net of underwriting discounts and commissions		472,397				—
Repurchase of common stock		—				(383,389	)
Payment of debt principal		(418,438	)			(7,563	)
Payment of deferred offering costs		(8,359	)			—
Net cash provided by financing activities		47,855				25,223
Effect of exchange rate on cash, cash equivalents, and restricted cash		7				663
Net increase in cash, cash equivalents, and restricted cash		172,092				78,882
Cash, cash equivalents, and restricted cash, beginning of period		134,095				99,088
Cash, cash equivalents, and restricted cash, end of period	$	306,187			$	177,970

Liftoff Mobile, Inc.

Reconciliation of Net Income (Loss) to Adjusted EBITDA

For the three and six months ended June 30, 2026 and 2025

The following table reconciles net income (loss) and net income (loss) margin, the most comparable GAAP financial measures to Adjusted EBITDA and Adjusted EBITDA Margin, respectively, for the periods presented:

		Three Months Ended June 30,								Six Months Ended June 30,
(in thousands, except percentages)			2026				2025				2026				2025
Net income (loss)		$	(4,231	)		$	(23,783	)		$	45,100			$	(19,915	)
Interest expense, net			33,339				30,038				68,314				59,642
Income tax (expense) benefit			23,461				(4,048	)			32,416				(774	)
Depreciation and amortization			22,963				25,120				44,731				50,672
Stock-based compensation expense (a)			28,223				21,854				34,834				25,685
Contingent consideration revaluation			17,529				(3,300	)			12,629				5,100
Other (expense) income, net			86				1,137				198				992
Reorganization severance costs (b)			—				548				—				592
Transaction costs(c)			(468	)			35,860				(468	)			36,911
Other non-recurring expenses (d)			4,183				1,746				9,952				4,134
Loss on debt extinguishment (e)			7,366				—				7,366				—
Post-conversion earnout share liability revaluation			(139	)			—				(2,675	)			—
Adjusted EBITDA		$	132,312			$	85,172			$	252,397			$	163,039
Net income (loss) Margin		(2		)%		(15		)%			11	%		(6		)%
Adjusted EBITDA Margin			60	%			53	%			59	%			52	%

_________
(a) Stock-based compensation includes $3.9 million and $2.9 million related to the vesting and payment of the 2021, 2024, and 2025 Distributions to employee equity holders for the three months ended June 30, 2026 and 2025, respectively, as well as $8.2 million and $6.1 million for the six months ended June 30, 2026 and 2025, respectively. Distributions of this nature are not expected to reoccur as a public company.
(b) Represents reorganization costs associated with the integration of legacy Liftoff and Vungle operations following the 2021 merger. As a result of the Company’s integration activities, the Company undertook multiple defined reduction-in-force programs to eliminate duplicative roles and streamline the Company’s workforce across all functions. The costs came primarily in the form of severance and professional service costs associated with such operating model redesign, including severance related expenses and professional fees. Reorganization costs relating to these integration activities are expected to be minimal following the 2025 fiscal year. 
(c) Represents costs for transaction-related services, such as investment banking, legal, accounting, and diligence, primarily incurred in connection with capital markets activities, including debt refinancing efforts and General Atlantic’s investment. 
(d) Represents non-recurring third-party professional fees in preparation of becoming a public company that were not capitalizable. 
(e) Consisted of a write-off of $7.4 million of unamortized issuance costs.

Liftoff Mobile, Inc.

Reconciliation of Net Cash Provided By Operating Activities to Free Cash Flow

For the twelve months ended June 30, 2026 and 2025

The following table reconciles net cash provided by operating activities, the most comparable GAAP financial measure to Free Cash Flow for the periods presented:

	Twelve Months Ended June 30,
(in thousands)		2026				2025
Net cash provided by operating activities	$	236,934			$	124,688
Less:
Purchase and capitalization of property, equipment and software		(52,481	)			(48,323	)
Free Cash Flow	$	184,453			$	76,365
Net cash used in investing activities	$	(52,481	)		$	(48,323	)
Net cash used in financing activities	$	(55,941	)		$	(105,501	)