Slide 1: Q3 2025 Highlights & Supplemental Information
Q3 2025 Highlights & Supplemental Information November 5, 2025
Slide 2: Forward-Looking Statements - Disclaimer
Forward-Looking Statements - Disclaimer Certain statements in this presentation are forward-looking statements, including our Q4 2025 and full-year 2025 guidance and our expectations for Realize, our new performance advertising platform. Forward-looking statements generally relate to future events i
Slide 3: Today's Presenters
Today’s Presenters Adam Singolda Stephen Walker Founder & CEO CFO ● Founded Taboola in 2007; Has led the ● Joined Taboola in 2014 when the Company Company as its CEO ever since acquired Perfect Market, which Steve founded ● Previously: Israeli National Security Agency ● Previously: ● Graduated first
Slide 4: Business & Financial Highlights
Business & Financial Highlights
Slide 5: Actuals Vs Guidance
Actuals Vs Guidance Results Exceed High End of Guidance Range Across All Key Metrics Q3 2025 Actuals Q3 2025 Guidance Revenues $496.8M $461 to $469M (+15% YoY) Gross profit $139.0M $127 to $133M (+5% YoY) ex-TAC Gross Profit1 $176.8M $166 to $172M (+6% YoY) Adj. EBITDA1 $48.2M $43 to $48M (+1% YoY)
Slide 6: Revenue Growth Driven by Scaled Advertisers & Spend
Revenue Growth Driven by Scaled Advertisers & Spend #of Scaled Adv Q3 2025 Highlights ● Revenue from Scaled Advertisers accounted for 86% of Total Revenue 1 ● # of Scaled Advertisers grew 10.9% YoY to 2,064 ● Average Revenue Per Scaled Advertiser grew 4.4% to ~$208K Revenue Per Scaled Advertiser ● G
Slide 7: Guidance Summary
Guidance Summary Q4 2025 Guidance (3) FY 2025 Guidance (3) $532 to $542M $1,914 to $1,932 M Revenues (+9% YoY) (+9% YoY) Gross profit $166 to $171M $550 to $564M (-5% YoY) (+4% YoY) $204 to $210M $700 to $710M ex-TAC Gross Profit1 (-3% YoY) (+6% YoY) $83 to $85M $209 to $214M Adj. EBITDA1 (-9% YoY)
Slide 8: Additional Modeling Assumptions
Additional Modeling Assumptions • Interest payments: ~$7M in 2025 (vs $14.3M • CapEx (includes investments in property and in 2024 associated with $122.7M term loan equipment, leasehold improvements and related to the Connexity acquisition). ~$1.3M capitalized software): $48M in 2025 (vs per quarter
Slide 9: 2025 Guidance: Supplemental Information
2025 Guidance: Supplemental Information Quarterly Split Guidance ($ in millions) Q1 2025A Q2 2025A Q3 2025A Q4 2025E FY 2025 Revenues 23% 25% 26% ~26% $1,914 to $1,932 ex-TAC Gross Profit 22% 25% 25% ~28% $700 to $710 Adjusted EBITDA 17% 21% 23% ~39% $209 to $214 Q3 and Q4 percentages are estimated
Slide 10: Appendix
Appendix
Slide 11: Revenue Model Drives High Incremental Margins
Revenue Model Drives High Incremental Margins Engagement Number of Frequency of Depth of (Page views / ad impressions) unique users engagement engagement x Yield Depth / breadth AI technology Quality of data (RPM / CPM) of advertisers (ability to target) = ● Revenue paid by Advertisers, before traff
Slide 12: Our Model In A Nutshell
Our Model In Model components: Sample inputs / financials: Illustrative Taboola economics: Revenues(1) $909 $1.00 (100%) A Nutshell Traffic Acq Cost (Value to publishers) - ($627) ($0.69) = ex-TAC Gross Profit(2) $282 $0.31 - Cost of Revenues ($48) ($0.05) = Gross profit $234 $0.26 - R&D ($73) ($0.0
Slide 13: Growth Driven by User Engagement & Yield
Growth Driven by User Engagement & Yield New Publisher ex-TAC Gross Profit¹ User Engagement Growth Driven ex-TAC Gross Profit Growth % 1 Primarily By New Publisher Supply ● Historically ~10% new supply growth 1 ● Projecting similar range going forward over the long term Yield Is Primary Driver Of Gr
Slide 14: Historical Revenues & ex-TAC Gross Profit (Reported Basis)
Historical Revenues & ex-TAC Gross Profit1 (Reported Basis) Revenues ex-TAC Gross Profit YoY Growth 8.7% 15.9% 1.6% 2.8% 22.7% 8.9% YoY Growth 29.2% 35.7% 9.8% -5.9% 24.6% 5.6% 4 1. Non-GAAP measure, see appendix for reconciliation to GAAP
Slide 15: Selected GAAP And Non-GAAP Metrics
Selected GAAP And Non-GAAP Metrics ($ in millions, FYE) 2018A 2019A 2020A 2021A 2022A 2023A 2024A 2025E Revenues 909 1,094 1,189 1,378 1,401 1,440 1,766 1,923 % YoY Growth 20.0% 20.3% 8.7% 15.9% 1.7% 2.8% 22.7% 8.9% Gross Profit 234 232 319 441 464 426 534 557 % YoY Growth 31.1% -0.9% 37.5% 38.2% 5.
Slide 16: Historical FY Actuals & FY 2025 Guidance
Historical FY Actuals & FY 2025 Guidance Actual Actual Actual Actual Guidance ($ in millions) FY 2021 FY 2022 FY 2023 FY 2024 FY 2025 YoY% Revenues 1,378 1,401 1,440 1,766 $1,914 to $1,932 8% to 9% Gross Profit 441 464 426 534 $550 to $564 3% to 6% ex-TAC Gross Profit¹ 519 570 536 667 $700 to $710 5
Slide 17: Adjusted EBITDA Reconciliation
Adjusted EBITDA Reconciliation ($ in millions) 2019A 2020A 2021A 2022A 2023A 2024A Net income (loss) (28.0) 8.5 (24.9) (12.0) (82.0) (3.8) Adjustments: Financial expenses (income), net 3.4 2.7 (11.3) (9.2) 12.8 12.0 Tax expenses 5.0 14.9 23.0 7.5 5.5 17.7 Depreciation and amortization¹ 39.4 34.0 53.
Slide 18: Quarterly Results: Adjusted EBITDA Reconciliation
Quarterly Results: Adjusted EBITDA Reconciliation ($ in millions) FY 2023 Q1-24A Q2-24A Q3-24A Q4-24A FY 2024 Q1-25A Q2-25A Q3-25A Net income (loss) (82.0) (26.2) (4.3) (6.4) 33.1 (3.8) (8.7) (4.3) 5.2 Adjustments: Financials expenses 12.8 3.6 (1.0) 1.1 8.2 11.9 4.5 2.5 (0.5) (income),net Tax expens
Slide 19: Ratio Of Adjusted EBITDA To ex-TAC Gross Profit Reconciliation
Ratio Of Adjusted EBITDA To ex-TAC Gross Profit Reconciliation ($ in millions) 2019A 2020A 2021A 2022A 2023A 2024A Gross Profit 232 319 441 464 426 534 Net Income (loss) (28) 8 (25) (12) (82) (4) Ratio of Net income (loss) to Gross profit -12% 3% -6% -3% -19% -1% ex-TAC Gross Profit 296 382 519 570
Slide 20: ex-TAC Gross Profit Margin Reconciliation
ex-TAC Gross Profit Margin Reconciliation ($ in millions) 2016A 2017A 2018A 2019A 2020A 2021A 2022A 2023A 2024A 2025E Revenues 552 758 909 1,094 1,189 1,378 1,401 1,440 1,766 1,923 Gross Profit 101 179 234 232 319 441 464 426 534 557 Gross Profit Margin 18% 24% 26% 121% 27% 32% 33% 30% 30% 29% Reven
Slide 21: Historical Adj. Gross Profit Margin Reconciliation
Historical Adj. Gross Profit Margin Reconciliation ($ in millions) 2019A 2020A 2021A 2022A 2023A 2024A 2025E Revenues 1,094 1,189 1,378 1,401 1,440 1,766 1,923 Traffic Acquisition Cost (TAC) (798) (807) (859) (832) 904 (1,102) 1,234 Amortization of non-cash based 0 0 0 0 0 3 16 Commercial agreement
Slide 22: Historical Free Cash Flow Reconciliation
Historical Free Cash Flow Reconciliation ($ in millions) 2020A 2021A 2022A 2023A 2024A Q1-25A Q2-25A Q3-25A Net cash from operating activities¹ $139 $64 $53 $84 $184 $48 $47 53 Net cash used in the following investing -$18 -$39 -$35 -$32 -$35 -$12 -$13 (7) activities Intangible assets -$9 -$14 -$13
Slide 23: Supplemental Cash Flow Information
Supplemental Cash Flow Information 2020A 2021A 2022A 2023A 2024A Q1-25A Q2-25A Q3-25A Free Cash Flow 121.3 24.5 18.6 52.2 149.2 36.1 34.2 46.3 Add back: Cash investment in publisher (4.5) 7.3 15.3 (19.6) (22.5) (5.3) (1.8) (6.3) prepayments (net)¹ Cash interest expense for money 0.0 1.1 20.7 18.5 14
Slide 24: Non-GAAP Net Income Reconciliation
Non-GAAP Net Income Reconciliation ($ in millions) 2021A 2022A 2023A 2024A Q1-25A Q2-25A Q3-25A Net income (loss) (24.9) (12.0) (82.0) (3.8) (8.8) (4.3) 5.2 Adjustments: Amortization of acquired 23.0 63.6 63.9 65.1 17.8 17.8 17.0 intangibles Share-based compensation 124.2 63.8 53.7 60.0 15.5 16.6 15
Slide 25: Example Of Publisher Prepayments
Example Of Publisher Prepayments $3,000 50% 5 $6,000 Assumptions: Prepayment ($M) Revenue Share Year Term Annual Revenue ($M) Accrual Accounting Year 1 Year 2 Year 3 Year 4 Year 5 Year 6 Revenue $6,000 $6,000 $6,000 $6,000 $6,000 $6,000 Traffic Acquisition cost (TAC): Rev Share $3,000 $3,000 $3,000
Slide 26: Consolidated Balance Sheet
Consolidated Balance Sheet As of Dec As of Dec As of Dec As of Dec As of Dec ($ in millions) 31, 2020 31, 2021 31, 2022 31, 2023 31, 2024 Cash, cash equivalents, short-term deposits and 243 319 263 183 231 investments Total Assets 580 1,598 1,530 1,708 1,719 Total Liabilities & Convertible Shares 53
Slide 27: Q4 2025 and 2025 Full Year Guidance: ex-TAC Gross Profit Reconciliation
Q2 2025 and 2025 Full Year Guidance: ex-TAC Gross Profit Reconciliation Guidance Guidance ($ in millions) Q4-25 FY 2025 Revenues $532 to $542 $1,914 to $1,932 Traffic Acquisition Cost (TAC) ($328 - $332) ($1,214 - $1,222) Other Cost of Revenues ($38 - $39) ($150 - $146) Gross Profit $166 to $171 $55
Slide 28: Non-GAAP Financial Measures
Non-GAAP Financial Measures This Presentation includes ex-TAC Gross Profit, Adjusted EBITDA, Ratio of Adjusted EBITDA to ex-TAC Gross Profit, Free Cash Flow and Non-GAAP Net Income (Loss), which are non-GAAP financial measures. These non-GAAP financial measures are not measures of financial performa
Slide 29: Thank You
TabOela Thank You