Revenue growth reached 27.6% in 2026Q4, yet gross margins experienced extreme volatility, collapsing from 91.9% in 2026Q3 to just 7.6% in the most recent quarter.
| Metric | Mar'26 | Mar'25 | Mar'24 | Mar'23 | Mar'22 | Mar'21 | Mar'20 | Mar'19 | Mar'18 | Mar'17 | Mar'16 | Mar'15 | Mar'14 | Mar'13 | Mar'12 | Mar'11 | Mar'10 | Mar'09 | Dec'07 | Dec'06 | Dec'05 | Dec'04 | Dec'03 |
|---|
| Sales/Revenue | 565.25M | 490.51M | 544.48M | 665.92M | 747.6M | 747.6M | 138.72M | 103.57M | 74.75M | 91.55M | 86.54M | 28.25M | 24.4M | 6.03M | 7.23M | 9.19M | 14.04M | 31.26M | 3.2M | 0 | 0 | 3.75M | 4.01M |
| Revenue Growth % | 15.24% | -9.91% | -18.24% | -10.93% | 0% | 438.94% | 33.93% | 38.55% | -18.35% | 5.79% | 206.32% | 15.77% | 305.05% | -16.67% | -21.29% | -34.56% | -55.09% | 876.75% | - | - | -100% | -6.55% | - |
| Cost of Goods Sold | 290.61M | 269.83M | 297.02M | 345.69M | 400.49M | 400.49M | 85.04M | 68M | 49.7M | 78.19M | 76.72M | 22.12M | 16.56M | 2.61M | 2.87M | 3.21M | 3.19M | 11.15M | -200K | 0 | 0 | 584K | 844K |
| COGS % of Revenue | 51.41% | 55.01% | 54.55% | 51.91% | 53.57% | 53.57% | 61.31% | 65.66% | 66.48% | 85.4% | 88.65% | 78.3% | 67.85% | 43.34% | 39.74% | 34.94% | 22.71% | 35.67% | -6.25% | - | - | 15.57% | 21.03% |
| Gross Profit | 274.64M | 220.68M | 247.46M | 320.23M | 347.11M | 347.11M | 53.67M | 35.56M | 25.05M | 13.36M | 9.82M | 6.13M | 7.85M | 3.41M | 4.36M | 5.98M | 10.85M | 20.11M | 3.4M | 0 | 0 | 3.17M | 3.17M |
| Gross Margin % | 48.59% | 44.99% | 45.45% | 48.09% | 46.43% | 46.43% | 38.69% | 34.34% | 33.52% | 14.6% | 11.35% | 21.7% | 32.15% | 56.66% | 60.26% | 65.06% | 77.29% | 64.33% | 106.25% | - | - | 84.43% | 78.97% |
| Gross Profit Growth % | 24.45% | -10.82% | -22.72% | -7.74% | 0% | 546.71% | 50.92% | 41.95% | 87.5% | 36.09% | 60.13% | -21.85% | 129.82% | -21.64% | -27.09% | -44.92% | -46.04% | 491.35% | - | - | -100% | -0.09% | - |
| Operating Expenses | 240.6M | 274.75M | 621.89M | 274.06M | 254.87M | 254.87M | 40.46M | 32.12M | 30.86M | 35.38M | 35.76M | 29.87M | 23.22M | 14.68M | 16.04M | 11.42M | 14.9M | 27.18M | 2.52M | 553.49K | 171.06K | 2.45M | 2.54M |
| OpEx % of Revenue | 42.57% | 56.01% | 114.22% | 41.16% | 34.09% | 34.09% | 29.17% | 31.01% | 41.29% | 38.65% | 41.32% | 105.72% | 95.13% | 243.57% | 221.85% | 124.34% | 106.13% | 86.97% | 78.77% | - | - | 65.39% | 63.29% |
| Selling, General & Admin | 200.12M | 235.29M | 231.1M | 217.58M | 202.15M | 202.15M | 28.44M | 20.97M | 21.21M | 23.35M | 24.77M | 21.96M | 15.35M | 12.96M | 13.89M | 7.84M | 10.16M | 19.57M | 2.52M | 553.49K | 171.06K | 2.55M | 2.12M |
| SG&A % of Revenue | 35.4% | 47.97% | 42.44% | 32.67% | 27.04% | 27.04% | 20.5% | 20.25% | 28.38% | 25.5% | 28.62% | 77.74% | 62.89% | 215.15% | 192.06% | 85.35% | 72.36% | 62.62% | 78.77% | - | - | 67.95% | 52.83% |
| Research & Development | 40.48M | 39.46M | 54.16M | 56.49M | 52.72M | 52.72M | 12.02M | 11.15M | 9.65M | 12.04M | 10.98M | 7.91M | 7.87M | 1.71M | 2.15M | 3.53M | 4.19M | 6.98M | 900K | 0 | 0 | 0 | 0 |
| R&D % of Revenue | 7.16% | 8.05% | 9.95% | 8.48% | 7.05% | 7.05% | 8.66% | 10.76% | 12.91% | 13.15% | 12.69% | 27.98% | 32.24% | 28.41% | 29.79% | 38.41% | 29.88% | 22.33% | 28.13% | - | - | - | - |
| Other Operating Expenses | 0 | 0 | 336.64M | 0 | 0 | 0 | 0 | 153K | -72K | -1K | 0 | 46K | 0 | -83K | 0 | 0 | 35.79M | 21.26M | 100K | 0 | 0 | -96K | 420K |
| Operating Income | 34.04M | -54.08M | -374.44M | 46.16M | 92.24M | 92.24M | 13.21M | 3.44M | -5.81M | -22.02M | -25.94M | -23.74M | -15.52M | -12.38M | -16.97M | -11.47M | -42.48M | -38.86M | -2.52M | -553.49K | -171.06K | 126K | 629K |
| Operating Margin % | 6.02% | -11.02% | -68.77% | 6.93% | 12.34% | 12.34% | 9.52% | 3.33% | -7.77% | -24.05% | -29.97% | -84.02% | -63.61% | -205.48% | -234.73% | -124.91% | -302.62% | -124.33% | -78.77% | - | - | 3.36% | 15.67% |
| Operating Income Growth % | 162.95% | 85.56% | -911.09% | -49.95% | 0% | 598.16% | 283.51% | 159.3% | 73.62% | 15.1% | -9.26% | -52.91% | -25.4% | 27.05% | -47.91% | 72.99% | -9.31% | -1441.72% | -355.41% | -223.57% | -235.76% | -79.97% | - |
| EBITDA | -31.34M | 28.84M | -290.58M | 127.24M | 149.69M | 149.69M | 15.55M | 6.21M | -3.15M | -19.41M | -18.06M | -21.63M | -13.67M | -11.73M | -16.54M | -10.84M | -40.87M | -37.34M | -2.27M | -553.49K | -171.06K | 532K | 1.7M |
| EBITDA Margin % | -5.54% | 5.88% | -53.37% | 19.11% | 20.02% | 20.02% | 11.21% | 6% | -4.21% | -21.21% | -20.87% | -76.56% | -56.01% | -194.76% | -228.8% | -117.96% | -291.14% | -119.47% | -70.96% | - | - | 14.19% | 42.36% |
| EBITDA Growth % | -208.69% | 109.92% | -328.38% | -15% | 0% | 862.41% | 150.43% | 297.24% | 83.78% | -7.48% | 16.49% | -58.25% | -16.48% | 29.07% | -52.66% | 73.48% | -9.44% | -1544.62% | -310.24% | -223.57% | -132.15% | -68.71% | - |
| D&A (Non-Cash Add-back) | 0 | 82.91M | 83.86M | 81.07M | 57.45M | 57.45M | 2.34M | 2.77M | 2.66M | 2.61M | 7.87M | 2.11M | 1.86M | 646K | 429K | 638K | 1.61M | 1.52M | 250K | 0 | 0 | 406K | 1.07M |
| EBIT | -31.34M | -54.08M | -37.8M | 46.16M | 92.24M | 92.24M | 13.21M | 3.44M | -5.81M | -16.66M | -22.56M | -23.67M | -16.07M | -11.38M | -18.1M | -12.42M | -40.82M | -41.38M | 112K | -553.49K | -171.06K | 714K | -32K |
| Net Interest Income | -58.58M | -34.78M | 0 | 0 | 0 | -1M | 41K | -1.12M | -2.07M | -2.63M | -1.72M | -234K | -1.41M | -1.14M | -12.5M | -1.76M | -3.05M | -2.11M | -852K | 0 | 0 | 0 | 0 |
| Interest Income | 0 | 0 | 0 | 0 | 0 | 0 | 41K | 0 | 0 | 3K | 0 | 0 | 0 | 0 | 0 | 2K | 9K | 147K | 388K | 0 | 0 | 0 | 0 |
| Interest Expense | 58.58M | 34.78M | 0 | 0 | 0 | 1M | 0 | 1.12M | 2.07M | 2.63M | 1.72M | 234K | 1.41M | 1.14M | 12.5M | 1.76M | 3.06M | 2.26M | 1.24M | 0 | 0 | 0 | 0 |
| Other Income/Expense | -65.38M | -33.79M | -30.69M | -24.15M | -48.27M | -48.27M | -9.31M | -7.28M | -14.84M | -2.31M | -1.88M | -163K | -1.95M | -3.04M | -13.63M | -2.71M | -1.4M | -2.7M | 2.22M | 0 | 0 | -675K | 0 |
| Pretax Income | -31.34M | -87.86M | -405.13M | 22.02M | 43.97M | 43.97M | 3.9M | -3.83M | -20.65M | -24.41M | -27.82M | -23.9M | -17.47M | -14.07M | -30.6M | -14.18M | -43.88M | -41.56M | -300K | -553.49K | 0 | -462K | -32K |
| Pretax Margin % | -5.54% | -17.91% | -74.41% | 3.31% | 5.88% | 5.88% | 2.82% | -3.7% | -27.62% | -26.66% | -32.14% | -84.6% | -71.6% | -233.54% | -423.2% | -154.41% | -312.62% | -132.98% | -9.38% | - | - | -12.32% | -0.8% |
| Income Tax | 6.39M | 4.24M | 15.32M | 5.15M | 8.4M | 8.4M | -10.38M | 469K | -951K | -144K | 214K | 747K | -272K | 90K | 110K | 224K | 305K | -111K | 1.65M | 0 | 171.06K | 42K | -661K |
| Effective Tax Rate % | -20.4% | -4.82% | -3.78% | 23.37% | 19.11% | 19.11% | -265.69% | -12.24% | 4.61% | 0.59% | -0.77% | -3.13% | 1.56% | -0.64% | -0.36% | -1.58% | -0.7% | 0.27% | -551.37% | 0% | - | -9.09% | 2065.63% |
| Net Income | -37.73M | -92.1M | -420.23M | 16.67M | 35.55M | 35.55M | 13.9M | -6.01M | -52.86M | -24.26M | -28.03M | -24.65M | -18.7M | -14.16M | -30.71M | -9.38M | -42.48M | -41.6M | -2.2M | -553.49K | -171.06K | -504K | 128K |
| Net Margin % | -6.68% | -18.78% | -77.18% | 2.5% | 4.75% | 4.75% | 10.02% | -5.8% | -70.71% | -26.5% | -32.39% | -87.24% | -76.64% | -235.04% | -424.72% | -102.16% | -302.65% | -133.09% | -68.88% | - | - | -13.44% | 3.19% |
| Net Income Growth % | 59.03% | 78.08% | -2620.41% | -53.09% | 0% | 155.73% | 331.28% | 88.63% | -117.84% | 13.44% | -13.73% | -31.77% | -32.08% | 53.88% | -227.23% | 77.91% | -2.12% | -1787.38% | -298.22% | -223.57% | 66.06% | -493.75% | - |
| Net Income (Continuing) | -37.73M | -92.1M | -420.45M | 16.87M | 35.57M | 35.57M | 14.28M | -4.3M | -19.7M | -19.14M | -24.49M | -24.65M | -17.2M | -12.66M | -30.71M | -14.41M | -44.19M | -41.45M | -1.19M | -553.49K | -171.06K | -504K | -32K |
| Discontinued Operations | 0 | 0 | 0 | 0 | 0 | 0 | -380K | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Minority Interest | 0 | 0 | 0 | 2.06M | 1.64M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| EPS (Diluted) | -0.33 | -0.89 | -4.16 | 0.16 | 0.35 | 0.35 | 0.16 | -0.08 | -0.75 | -0.36 | -0.45 | -0.63 | -0.50 | -0.77 | -2.00 | -1.25 | -5.33 | -5.74 | -0.58 | -0.24 | -0.09 | -0.20 | 0.02 |
| EPS Growth % | 62.92% | 78.61% | -2700% | -54.29% | 0% | 118.75% | 306.19% | 89.65% | -108.33% | 20% | 28.57% | -26% | 35.06% | 61.5% | -60% | 76.55% | 7.14% | -889.66% | -141.67% | -180.7% | 57.25% | -1100% | - |
| EPS (Basic) | -0.33 | -0.89 | -4.16 | 0.17 | 0.37 | 0.37 | 0.17 | -0.08 | -0.75 | -0.36 | -0.45 | -0.63 | -0.50 | -0.81 | -2.00 | -1.25 | -5.33 | -5.74 | -0.58 | -0.15 | -0.05 | -0.13 | 0.08 |
| Diluted Shares Outstanding | 112.92M | 103.75M | 100.97M | 101.82M | 102.64M | 102.64M | 89.56M | 77.44M | 70.26M | 66.51M | 61.76M | 38.97M | 37.39M | 18.47M | 15.32M | 7.53M | 7.97M | 7.25M | 3.8M | 2.32M | 2M | 2.46M | 2.41M |
| Basic Shares Outstanding | 112.92M | 103.75M | 100.97M | 98.78M | 95.2M | 95.2M | 84.59M | 77.44M | 70.26M | 66.51M | 61.76M | 38.97M | 37.39M | 17.58M | 15.32M | 7.53M | 7.97M | 7.25M | 3.8M | 3.79M | 3.79M | 3.79M | 1.76M |
| Dividend Payout Ratio | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - |
Carrier dependency and margin volatility
According to the most recent quarterly financial data, Digital Turbine achieved a 27.6% year-over-year revenue growth in 2026Q4, marking a significant departure from the negative growth trends observed in early 2025, though the sustainability of this acceleration remains subject to ongoing handset market fluctuations.
The recent revenue uptick suggests a potential stabilization in device activation volumes or improved monetization efficiency. However, investors should monitor whether this growth is driven by core platform adoption or transient seasonal factors, as historical performance has shown significant sensitivity to the broader mobile hardware cycle.
As reported in the company's income statements, gross margins fluctuated wildly from a low of 7.6% in 2026Q4 to a peak of 91.9% in 2026Q3, indicating that the underlying cost structure remains highly sensitive to the specific mix of revenue-share agreements and traffic acquisition costs.
This extreme variance suggests that the company's reported gross margin is not a stable indicator of operational health but rather a reflection of accounting shifts or specific contract terms. Analysts should look past these headline figures to understand the underlying take-rate dynamics across the ODM and In-App Media segments.
Based on the provided financial filings, the company struggled to maintain positive operating margins for much of the observed period, with operating income only turning positive in the latter half of 2026 despite consistent SG&A expenditures averaging over $50 million per quarter.
The inability to scale operating income in proportion to revenue growth suggests that the company's fixed cost base, particularly in R&D and sales, remains heavy relative to its current gross profit generation. This indicates that significant operational deleveraging may occur if revenue growth fails to outpace the required overhead for platform maintenance.
As indicated by the quarterly income statements, the company consistently reported net losses throughout the majority of the ten-quarter period, with stock-based compensation expenses frequently exceeding $8 million per quarter, which continues to dilute shareholder value and obscure the path to sustainable GAAP profitability.
The persistent gap between revenue generation and net income suggests that the company's current business model is heavily reliant on non-cash expenses and integration-related costs. Investors should scrutinize whether the recent shift toward positive net income in 2026Q3 represents a structural improvement or a temporary reduction in non-operating charges.
Based on the reported figures, the sharp contraction in gross margin to 7.6% in 2026Q4 warrants further investigation, as it may indicate that the company is losing pricing power or facing increased traffic acquisition costs that threaten the long-term viability of its core monetization platform.
Short-sellers would likely focus on the inconsistency of these margins as evidence that the company's competitive moat is eroding under pressure from larger ad-tech peers. The reliance on carrier partnerships creates a structural ceiling on profitability that may be difficult to overcome without a successful pivot to higher-margin software licensing.
Quick answers to the most common questions about buying APPS stock.
For fiscal year 2026, Digital Turbine, Inc. (APPS) reported total revenue of $565.3M. This represents a 13985.5% increase compared to $4.0M in 2004.
Digital Turbine, Inc. (APPS) reported a net loss of $37.7M for the fiscal year ending 2026.
Digital Turbine, Inc. (APPS) reported an operating income of $34.0M, resulting in an operating profit margin of 6.0%. This margin reflects the operational efficiency of the business before interest and taxes.
Digital Turbine, Inc. (APPS) generated $274.6M in gross profit for the year, representing a gross profit margin of 48.6%. This demonstrates the company's core pricing power and production efficiency.