LiveRamp Holdings, Inc. ( (RAMP) ) has released its Q2 earnings. Here is a breakdown of the information LiveRamp Holdings, Inc. presented to its investors.
Don't Miss our Black Friday Offers:
- Unlock your investing potential with TipRanks Premium - Now At 40% OFF!
- Make smarter investments with weekly expert stock picks from the Smart Investor Newsletter
LiveRamp Holdings, Inc., a prominent player in the data collaboration space, offers a platform that enhances customer data activation while maintaining privacy and compliance. The company, headquartered in San Francisco, serves a diverse range of industries globally, including retail, technology, and healthcare.
In its second-quarter earnings report for fiscal year 2025, LiveRamp reported a 16% year-over-year increase in total revenue, marking its third consecutive quarter of double-digit revenue growth. The company also achieved a record high of 125 customers with annualized subscription revenue exceeding $1 million. Notably, LiveRamp has been actively engaged in share repurchases, totaling $50 million in the second quarter and $66 million year-to-date.
Key financial highlights include a total revenue of $185 million, with subscription revenue rising by 14% to $143 million and marketplace and other revenue increasing by 23% to $42 million. The company noted a GAAP gross margin of 72% and a non-GAAP gross margin holding steady at 75%. Operating income on a GAAP basis saw a slight decline to $7 million, while non-GAAP operating income rose to $41 million, reflecting a margin expansion to 22%. Additionally, LiveRamp’s net cash provided by operating activities significantly increased to $56 million, up from $36 million in the previous year.
LiveRamp continues to push forward with strategic initiatives, including the enhancement of its Data Collaboration Platform and expansion of its clean room network, which aims to facilitate seamless data collaboration with major publishers and retail media networks. These efforts are complemented by the introduction of AI destinations on its platform, allowing marketers to leverage AI for personalized marketing across social media channels.
Looking ahead, LiveRamp anticipates continued revenue growth, projecting a 10% increase in the third quarter and a 12% rise for the full fiscal year 2025. The company’s management remains optimistic about maintaining its growth trajectory through ongoing platform developments and strategic partnerships, catering to a growing demand for data-driven marketing solutions.
