Ibotta (IBTA) Q4 2024 earnings summary

Executive summary

• Q4 2024 revenue was $98.4 million, down 0.5% year-over-year on a non-GAAP basis and below guidance, with a softer Q1 2025 outlook due to insufficient offer supply from CPG brands relative to redeemer growth.

• Full year 2024 revenue grew 20% year-over-year on a non-GAAP basis to $367.3 million; net income was $68.7 million (19% margin); Adjusted EBITDA reached $112.2 million (31% margin).

• Key initiatives include hiring a new Chief Revenue Officer, an 8% workforce reduction, and a strategic focus on rigorous measurement (CPID framework) and programmatic, always-on performance marketing.

• Major new partners added in 2024 include Instacart, Family Dollar, AppCard, Schnucks, and post-year-end DoorDash.

• IPO completed on NYSE, marking the largest tech IPO in Colorado history.

Financial highlights

• Q4 2024 non-GAAP revenue declined 0.5% year-over-year to $98.4 million; full year non-GAAP revenue up 20% to $367.3 million.

• Q4 Adjusted EBITDA was $27.8 million (28% margin), down 14% year-over-year; full year Adjusted EBITDA was $112.2 million (31% margin, excluding one-time benefit).

• Q4 net income was $76.2 million, driven by a one-time GAAP tax benefit; adjusted net income was $22.4 million.

• Free cash flow for 2024 was $105.7 million; ended Q4 with $349.3 million in cash and cash equivalents.

• Repurchased $31.2 million in shares during 2024, including $15.6 million in Q4.

Outlook and guidance

• Q1 2025 revenue expected at $80–$84 million, flat year-over-year at midpoint; Adjusted EBITDA guidance is $10–$14 million (15% margin at midpoint).

• Gradual improvement in revenue growth rates anticipated through 2025, driven by better execution, offer supply recovery, and ramp of Instacart and DoorDash.

• Free cash flow as a percent of Adjusted EBITDA expected in the 60–65% range for 2025; stock-based compensation for 2025 expected between $50–$60 million.