Key takeaways

  • AppLovin's Q3 2026 revenue was $2.185 billion, up 55% from $1.405 billion a year earlier.
  • Net income was $1.439 billion and adjusted EBITDA $1.842 billion, an 84% margin.
  • Q4 revenue guidance is $2.365 billion to $2.395 billion, and the buyback authorization is now $3.6 billion.

AppLovin reported third-quarter 2026 earnings on November 4, with revenue of $2.185 billion, up 55% from a year earlier, and guided fourth-quarter revenue to $2.365 billion to $2.395 billion. MarketWatch reported the stock jumped more than 20% in after-hours trading.

The ad-tech company turned $2.185 billion of sales into $1.439 billion of net income, a 66% margin. That profile, close to two-thirds of revenue kept as profit, is what the market was watching after a rough year for the stock.

The numbers

All figures are for the quarter ended September 30, 2026, from AppLovin's earnings release.

Metric Q3 2026 Q3 2025
Revenue $2,185M $1,405M
Net income $1,439M $836M
Adjusted EBITDA $1,842M $1,158M
Adjusted EBITDA margin 84% 82%
Free cash flow $1,418M $1,049M

Diluted earnings per share were $4.30. Net income grew 72% and adjusted EBITDA 59%. Adjusted EBITDA is profit before interest, taxes, depreciation and some other items, so it is a company-defined measure.

Fourth-quarter outlook

AppLovin expects Q4 revenue of $2,365 million to $2,395 million and adjusted EBITDA of $1,995 million to $2,025 million, a margin of 84% to 85%. The release does not break out segment revenue or comment on specific products.

Buybacks

In the quarter the company repurchased and withheld 4.1 million Class A shares for about $1.4 billion. The board raised its repurchase authorization by $3.2 billion, to $3.6 billion as of the end of October. Shares outstanding were 331 million at quarter end.

How the stock moved

Yahoo Finance data showed AppLovin at $271.75 around 21:04 UTC on November 4, up 10.7% for the regular session and up 6.6% over five sessions. The results came after the close. MarketWatch described the shares as popping after "clearly positive" results, and calls the stock this year's worst performer in the S&P 500. We have not seen an after-hours closing price.

What to watch

The company's next report and its Q4 guidance give the first test of whether margins hold at 84%. The earnings webinar and the 10-Q filed with the SEC carry detail the press release leaves out.

Sources

  1. AppLovin third quarter 2026 earnings release (8-K exhibit 99.1)SEC EDGAR
  2. APP quoteYahoo Finance
  3. This year's worst-performing S&P 500 stock is finally seeing some major reliefMarketWatch