Why Did Cardlytics Plunge 18.18% on Earnings Miss?

On August 7, 2025, Cardlytics experienced a significant drop of 18.18% in pre-market trading, reflecting a notable decline in investor sentiment.

Cardlytics reported a net loss of $9.3 million, or $0.18 per diluted share, for the second quarter of 2025. This financial performance was accompanied by a revenue decline of 9% year-over-year, which narrowly missed analyst expectations. The company's earnings per share (EPS) of -$0.13 exceeded analyst expectations of -$0.39, indicating a better-than-expected performance in terms of earnings.

Despite the revenue decline, Cardlytics' EPS performance suggests that the company is managing its costs effectively. The outlook for the third quarter of 2025 is projected to have revenue ranging from $52.2 million to $58.2 million, providing a glimpse into the company's future financial trajectory. This outlook is crucial for investors as it sets expectations for the upcoming quarter and reflects the company's confidence in its ability to navigate current market challenges.