Taboola.com Ltd. (TBLA) · Nov 4, 2026 · Earnings
Miss — Revenue $462.3M vs ~$466.3M consensus; FY EBITDA guide cut to $212–221M
Taboola’s Q3 earnings show stronger margins and profit, but revenue missed consensus and lower Q4 assumptions forced a 2026 guidance cut.
Taboola is trying to turn Realize into a broader open-web performance advertising platform while adding premium publishers and adjacent products such as Taboola News and social commerce. Its prior quarter had already emphasized Realize momentum and raised full-year profitability guidance, so this filing tests whether that expansion is translating into durable growth.
The quarter was operationally better than the headline revenue suggests. Revenue fell 6.9% year over year and came in slightly below the published consensus of roughly $466.3 million, but ex-TAC gross profit rose 6.8% and adjusted EBITDA increased 16.1%. That means Taboola extracted more contribution from each dollar of revenue, with adjusted EBITDA margin rising to about 29.7% from 27.3% a year ago. The company said, “In the third quarter, we delivered $189million in ex-TAC and $56million in Adjusted EBITDA,”
| Metric | Q3 2026 | Q3 2025 | Consensus / prior guide |
|---|---|---|---|
| Revenue (Income Statement) | $462.3M (-6.9%) | $496.8M | ~$466.3M consensus |
| Gross profit (Income Statement) | $152.3M (+9.6%) | $139.0M | $148–152M Q3 guide |
| ex-TAC gross profit (Non-GAAP reconciliation) | $188.8M (+6.8%) | $176.8M | $184–190M Q3 guide |
| Adjusted EBITDA (Non-GAAP reconciliation) | $56.0M (+16.1%) | $48.2M | $51.5–56.5M Q3 guide |
| Free cash flow (Cash Flow statement) | $20.4M (-55.9%) | $46.3M | — |
| FY revenue guidance (Guidance table) | $1,882.5–1,898.5M | — | $1,930–1,956M prior guide |
| FY adjusted EBITDA guidance (Guidance table) | $212–221M | — | $228–240M prior guide |
The more important signal is the reset beyond Q3. The quarter landed near the top of the company’s own ex-TAC and EBITDA ranges, but the new Q4 assumptions imply a meaningful step down from the outlook given after Q2. Full-year revenue guidance is now roughly 2%–4% below the previous range, while adjusted EBITDA guidance is about 7%–12% lower. That suggests the issue is not Q3 execution alone; Taboola now expects a weaker fourth quarter or less operating leverage than it previously assumed.
The business is becoming more efficient, but growth has not yet caught up. Gross profit expanded despite lower revenue because traffic acquisition costs declined faster than sales, supporting the Realize-led margin story. However, free cash flow fell sharply as purchases of property and capitalized software more than doubled year over year, so the improved earnings profile did not translate into equivalent cash generation. The company continues to describe its strategy as adding premium publishers, increasing spend from existing partners, and investing in complementary growth areas.
Bottom line: Taboola is executing better on margins and adjusted profit, but the lowered Q4 and full-year outlook outweighs that progress. The filing says the efficiency story is working before the growth story is fully proven.
Q4 results and FY 2027 outlook, early 2027
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