US mobile advertising technology company Digital Turbine reported 10.3 million dollars of net income for its fiscal second quarter, reversing a year-earlier loss. Revenue increased 27 per cent to 178.7 million dollars. Both main operating segments expanded. The company also revised the preceding quarter after identifying an understated revenue-sharing expense.
US mobile advertising technology company Digital Turbine returned to profit in its fiscal second quarter as revenue increased and both main business segments grew.[1], [2]
The quarter ended on 30 September. Net income reached 10.3 million dollars, compared with a 21.4 million dollar loss a year earlier. Revenue rose 27 per cent to 178.7 million dollars from 140.4 million dollars.[1]
Operating profit rose from 6.5 million dollars to 20.3 million dollars. Before eliminating internal transactions, revenue in the On Device Solutions business increased 20 per cent to 115.6 million dollars. App Growth Platform revenue increased 42 per cent to 63.5 million dollars. The company’s adjusted net income rose from 16.5 million dollars to 23.4 million dollars.[1]
Digital Turbine revised the preceding quarter ended 30 June after finding that revenue-sharing expense and the associated liability had been understated by 3.5 million dollars. It classified the error as immaterial and said previously reported operating cash flow and debt-covenant compliance were unaffected. Cash and restricted cash stood at 51.6 million dollars at September-end, compared with 38.0 million dollars in March.[1]
