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Will Top-Line Improvement Benefit AppLovin's Q2 Earnings?

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Key Takeaways

  • {\"0\":\"APP\'s Q2 revenues are expected to rise 12.3% year over year to $1.21 billion.\",\"1\":\"Advertising revenues may surge 72%, driven by performance gains from Axon 2 technology.\",\"2\":\"EPS is projected at $1.99, marking a 123.6% increase from the prior-year quarter.\"}

AppLovin Corporation (APP - Free Report) is set to announce its second-quarter 2025 results on Aug 6, after the bell. The company is expected to report strong year-over-year revenue growth, primarily driven by the strength of its Advertising segment.

The consensus estimate for the Advertising revenues is pegged at $1.23 billion, indicating 72% year-over-year growth. This surge is likely to have been fueled by the company’s advanced Axon 2 technology, which enhances ad targeting and optimization. Since its debut, Axon 2 has radically enhanced AppLovin’s ad performance, helping to quadruple advertising spend on its platform. The Zacks Consensus Estimate for AppLovin’s total revenues is expected to reach $1.21 billion, indicating a robust 12.3% increase from the year-ago quarter.

AppLovin Corporation Price and EPS Surprise

AppLovin Corporation Price and EPS Surprise

AppLovin Corporation price-eps-surprise | AppLovin Corporation Quote

Profitability is also anticipated to have improved significantly. The consensus estimate for Advertising’s adjusted EBITDA is pegged at $1000 million, implying 92.3% year-over-year growth. Earnings per share are expected to show a massive 123.6% increase, with the Zacks Consensus Estimate at $1.99. These projections highlight AppLovin’s ability to capitalize on its technology-driven business model, reinforcing its position as a leading player in the digital advertising and gaming industries.

APP currently carries a Zacks Rank #3 (Hold). 

You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

Earnings Snapshot

Fiserv, Inc. (FI - Free Report) reported mixed second-quarter 2025 results, wherein earnings beat the Zacks Consensus Estimate, but revenues missed the same.

FI’s adjusted EPS of $2.47 topped the consensus mark by 2.5% and rose 16% year over year. Adjusted revenues of $5.2 billion missed the consensus estimate by a slight margin but gained 1.7% on a year-over-year basis.

The Interpublic Group of Companies, Inc. (IPG - Free Report) reported impressive second-quarter 2025 results. Both earnings and revenues beat the Zacks Consensus Estimate.

IPG’s adjusted earnings of 75 cents per share surpassed the Zacks Consensus Estimate by 36.4% and jumped 23% from the year-ago quarter. Revenues before billable expenses (net revenues) of $2.2 billion beat the consensus estimate by a slight margin but declined 19.8% year over year. Total revenues of $2.5 billion decreased 7.2% year over year but outpaced the Zacks Consensus Estimate of $2.2 billion.


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