Perion Network to Announce Q1 Earnings on May 20
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 1 day ago
0mins
Source: seekingalpha
- Earnings Announcement: Perion Network is set to release its Q1 2023 earnings report on May 20 before market open, with consensus EPS estimate at $0.24, reflecting a 27.3% year-over-year decline, and revenue estimate at $91.74 million, down 29.2% year-over-year, indicating significant challenges ahead.
- Historical Performance: Over the past two years, Perion has beaten EPS and revenue estimates 88% of the time, although the lack of upward revisions in recent EPS estimates and four downward adjustments suggest a weakening market confidence in its future performance.
- Estimate Revisions: In the last three months, EPS estimates have seen no upward revisions and four downward adjustments, while revenue estimates experienced one upward revision and three downward adjustments, reflecting analysts' cautious outlook that may impact investor sentiment.
- Long-term Goals: Perion aims for a 25% compound annual growth rate (CAGR) in Perion One spending through 2028, indicating a commitment to long-term growth through the scaling of AI infrastructure, despite facing short-term challenges.
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Analyst Views on PERI
Wall Street analysts forecast PERI stock price to rise
4 Analyst Rating
3 Buy
1 Hold
0 Sell
Strong Buy
Current: 9.010
Low
14.50
Averages
14.75
High
15.00
Current: 9.010
Low
14.50
Averages
14.75
High
15.00
About PERI
Perion Network Ltd is an Israel-based technology company that provides digital advertising solutions. The Company offers an infrastructure powered by artificial intelligence (AI) for planning, buying, and optimizing advertising campaigns across multiple channels, including connected television (CTV), digital out‑of‑home, retail and commerce media, social media, and other digital environments. The Company's offerings are supported by its platform known as Outmax, which uses artificial intelligence to enable real‑time media execution and performance optimization. The Company serves brands, advertising agencies, and retailers, with a focus on improving media efficiency and measurable advertising outcomes.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
Perion Network Reports Strong Growth in Key Metrics Amid Challenges
- Platform Adoption Growth: Perion Network Ltd (NASDAQ:PERI) reported a 6% year-over-year increase in PerionOne spend, indicating strong platform adoption, which suggests a steady enhancement of the company's market position in the digital advertising sector.
- Outmax Technology Surge: The Outmax AI agent technology experienced a 300% year-over-year increase in spend, reflecting its unique capabilities across CTV, web, and social platforms, thereby enhancing the product's appeal in a competitive market.
- Expansion into Africa: The company entered into an exclusive partnership with McSurly Media and MediaMark to expand its footprint in Africa, unlocking a programmatic market projected to reach $6.5 billion by 2029, showcasing Perion's strategic positioning and growth potential in emerging markets.
- Strong Liquidity Position: Perion maintains a robust liquidity position with $293 million in cash equivalents, providing financial flexibility for future investments and shareholder returns, despite facing macroeconomic challenges.
See More
Perion Network Reports Q1 Revenue and EPS Analysis
- Revenue Growth Analysis: Perion Network reported $90.37 million in revenue for Q1 2026, reflecting a 1.2% year-over-year increase, although it fell short of the Zacks consensus estimate of $94.43 million, indicating increasing market competition pressures.
- Earnings Per Share Performance: The company posted an EPS of $0.11, consistent with last year, but exceeded analyst expectations of $0.06, suggesting effective cost management that may bolster investor confidence.
- Market Expectations vs. Actuals: Despite the revenue miss, Perion's EPS beat by 83.33% could alleviate some investor concerns regarding sluggish revenue growth, potentially influencing stock price movements positively.
- Future Outlook: With the rapid advancement of quantum computing technology, Perion Network may need to increase investments in emerging tech sectors to maintain competitiveness and seize future market opportunities.
See More
Perion Network Q1 Earnings Analysis and Future Outlook
- Financial Performance Overview: Perion reported Q1 revenues of $90.4 million, falling short of analysts' expectations of $91.74 million, although adjusted earnings of $0.11 per share exceeded the anticipated loss of $0.24, indicating some profitability.
- Annual Target Adjustment: The company targets an adjusted EBITDA of $50 million to $54 million for the full year, with Q1 adjusted EBITDA at $0.5 million; excluding a $1.4 million foreign exchange headwind, adjusted EBITDA would have been $1.9 million, highlighting challenges in cost management.
- Strategic Agreement Outlook: CFO Elad Tzubery noted that a few strategic agreements are expected to onboard in Q2, and despite ongoing macroeconomic challenges, the company is seeing strong growth potential in customer adoption of its Outmax solution.
- Market Sentiment Shift: According to Stocktwits, retail sentiment for PERI has improved from 'bullish' to 'extremely bullish', with message volumes rising from 'normal' to 'high', reflecting optimism about the company's future growth prospects.
See More
Perion Network Shares Plunge 15.6% After Q1 Earnings Miss Estimates
- Earnings Miss: Perion Network reported a 1% year-over-year revenue increase to $90.4 million in Q1, falling short of the $91.7 million consensus, indicating ongoing challenges that may dampen investor confidence.
- Stable Profitability: Adjusted earnings per share remained flat at $0.11, exceeding the $0.06 consensus, yet the overall performance could not offset the negative impact of insufficient revenue.
- Strong Growth Engines: Despite a 4% decline in traditional ad revenue to $66.7 million, the company saw significant increases in spending on AI agents (316%), Connected TV (68%), and digital out-of-home advertising (29%), highlighting future potential.
- Cautious Outlook: Perion reiterated its full-year guidance, projecting contribution revenue excluding traffic acquisition costs between $215 million and $235 million, and adjusted EBITDA of $50 million to $54 million, suggesting challenges ahead after losing Microsoft as a search client.
See More
Perion (PERI) Q1 2026 Earnings Transcript
See More
Perion Network Q1 Earnings Beat Expectations
- Earnings Beat: Perion Network reported a Q1 non-GAAP EPS of $0.11, exceeding expectations by $0.05, indicating robust profitability despite slight revenue decline.
- Revenue Growth: The company achieved Q1 revenue of $90.4 million, reflecting a 1.2% year-over-year increase, although it fell short of expectations by $1.34 million, demonstrating stable market performance.
- Strong Cash Flow: With operational cash flow at $6.7 million and adjusted free cash flow at $7.0 million, Perion showcases effective cash management, supporting future investments and shareholder returns.
- Share Repurchase Program: In Q1 2026, the company repurchased 2.5 million shares for $24.1 million, totaling 15.3 million shares repurchased under a $200 million plan, reflecting confidence in its value and commitment to shareholders.
See More
Perion Network Reports Strong Growth in Key Metrics Amid Challenges
- Platform Adoption Growth: Perion Network Ltd (NASDAQ:PERI) reported a 6% year-over-year increase in PerionOne spend, indicating strong platform adoption, which suggests a steady enhancement of the company's market position in the digital advertising sector.
- Outmax Technology Surge: The Outmax AI agent technology experienced a 300% year-over-year increase in spend, reflecting its unique capabilities across CTV, web, and social platforms, thereby enhancing the product's appeal in a competitive market.
- Expansion into Africa: The company entered into an exclusive partnership with McSurly Media and MediaMark to expand its footprint in Africa, unlocking a programmatic market projected to reach $6.5 billion by 2029, showcasing Perion's strategic positioning and growth potential in emerging markets.
- Strong Liquidity Position: Perion maintains a robust liquidity position with $293 million in cash equivalents, providing financial flexibility for future investments and shareholder returns, despite facing macroeconomic challenges.
See More
Perion Network Reports Q1 Revenue and EPS Analysis
- Revenue Growth Analysis: Perion Network reported $90.37 million in revenue for Q1 2026, reflecting a 1.2% year-over-year increase, although it fell short of the Zacks consensus estimate of $94.43 million, indicating increasing market competition pressures.
- Earnings Per Share Performance: The company posted an EPS of $0.11, consistent with last year, but exceeded analyst expectations of $0.06, suggesting effective cost management that may bolster investor confidence.
- Market Expectations vs. Actuals: Despite the revenue miss, Perion's EPS beat by 83.33% could alleviate some investor concerns regarding sluggish revenue growth, potentially influencing stock price movements positively.
- Future Outlook: With the rapid advancement of quantum computing technology, Perion Network may need to increase investments in emerging tech sectors to maintain competitiveness and seize future market opportunities.
See More
Perion Network Q1 Earnings Analysis and Future Outlook
- Financial Performance Overview: Perion reported Q1 revenues of $90.4 million, falling short of analysts' expectations of $91.74 million, although adjusted earnings of $0.11 per share exceeded the anticipated loss of $0.24, indicating some profitability.
- Annual Target Adjustment: The company targets an adjusted EBITDA of $50 million to $54 million for the full year, with Q1 adjusted EBITDA at $0.5 million; excluding a $1.4 million foreign exchange headwind, adjusted EBITDA would have been $1.9 million, highlighting challenges in cost management.
- Strategic Agreement Outlook: CFO Elad Tzubery noted that a few strategic agreements are expected to onboard in Q2, and despite ongoing macroeconomic challenges, the company is seeing strong growth potential in customer adoption of its Outmax solution.
- Market Sentiment Shift: According to Stocktwits, retail sentiment for PERI has improved from 'bullish' to 'extremely bullish', with message volumes rising from 'normal' to 'high', reflecting optimism about the company's future growth prospects.
See More
Perion Network Shares Plunge 15.6% After Q1 Earnings Miss Estimates
- Earnings Miss: Perion Network reported a 1% year-over-year revenue increase to $90.4 million in Q1, falling short of the $91.7 million consensus, indicating ongoing challenges that may dampen investor confidence.
- Stable Profitability: Adjusted earnings per share remained flat at $0.11, exceeding the $0.06 consensus, yet the overall performance could not offset the negative impact of insufficient revenue.
- Strong Growth Engines: Despite a 4% decline in traditional ad revenue to $66.7 million, the company saw significant increases in spending on AI agents (316%), Connected TV (68%), and digital out-of-home advertising (29%), highlighting future potential.
- Cautious Outlook: Perion reiterated its full-year guidance, projecting contribution revenue excluding traffic acquisition costs between $215 million and $235 million, and adjusted EBITDA of $50 million to $54 million, suggesting challenges ahead after losing Microsoft as a search client.
See More
Perion (PERI) Q1 2026 Earnings Transcript
See More
Perion Network Q1 Earnings Beat Expectations
- Earnings Beat: Perion Network reported a Q1 non-GAAP EPS of $0.11, exceeding expectations by $0.05, indicating robust profitability despite slight revenue decline.
- Revenue Growth: The company achieved Q1 revenue of $90.4 million, reflecting a 1.2% year-over-year increase, although it fell short of expectations by $1.34 million, demonstrating stable market performance.
- Strong Cash Flow: With operational cash flow at $6.7 million and adjusted free cash flow at $7.0 million, Perion showcases effective cash management, supporting future investments and shareholder returns.
- Share Repurchase Program: In Q1 2026, the company repurchased 2.5 million shares for $24.1 million, totaling 15.3 million shares repurchased under a $200 million plan, reflecting confidence in its value and commitment to shareholders.
See More
