What is the revenue and EPS growth rate for Zedge year over year?

What is Zedge's gross profit margin?

What were the key takeaways from Zedge’s earnings call?

What is the market's earnings forecast for Zedge next quarter?

What does Zedge do and what are its main business segments?

What is Zedge's latest dividend and current dividend yield?

Did Zedge beat or miss consensus estimates last quarter?

What factors drove the changes in Zedge's revenue and profit?

- **Subscription Growth**: Zedge Plus subscriptions up 21% YoY, active subscribers near 1 million (+47% YoY). Deferred revenue $5.4 million (+73% YoY).
- **New Products**: DataSeeds.AI secured AI contracts; Tapedeck launched with 500,000 tracks; Syncat part of 6+ new product pipeline.
- **Restructuring Benefits**: $4 million annual expense savings; FY25 share buybacks and dividend initiation.
- **Risks**: Emojipedia traffic decline due to Google search changes; GuruShots stabilization but still down 39% YoY.
- **Cash Position**: $18.6 million in cash; free cash flow $0.5 million Q4.


**【CEO Summary Section】**
- **Restructuring Update**: Completed restructuring in Norway and GuruShots, reducing annual expenses by $4 million. Q4 saw $1.5 million in cash restructuring costs and $1 million in non-cash charges.
- **Revenue Performance**: Zedge Marketplace (subscriptions + ads) grew, but GuruShots declined 39% YoY. Subscription revenue increased 21% YoY, reaching nearly 1 million active subscribers (+47% YoY). Zedge Premium GTV grew 7% YoY.
- **New Initiatives**: DataSeeds.AI secured contracts with leading AI companies, leveraging 30 million rights-cleared assets. Tapedeck, a music platform for indie artists, launched in the U.S. with 500,000 tracks and plans for global expansion. Syncat, a viral video app, is part of a pipeline of 6+ new products to be tested in FY26.
- **Capital Allocation**: Repurchased 1.3 million shares in FY25, ended with $18.6 million in cash. Introduced a quarterly dividend of $0.016 per share.

**【CFO Financial Commentary】**
- **Q4 Financials**: Total revenue $7.5 million (-1.5% YoY). Zedge Marketplace revenue up mid-single digits, offset by 11% decline at Emojipedia and 39% drop at GuruShots. Deferred revenue $5.4 million (+73% YoY), reflecting 100% gross margin on subscriptions.
- **Costs**: SG&A $6.9 million (+1% YoY), with $400,000 reinvested in DataSeeds and tapedeck. GAAP net loss $0.6 million, non-GAAP net income $0.1 million. Free cash flow $0.5 million, cash position $18.6 million.
- **Key Metrics**: Adjusted EBITDA $0.3 million. Zedge Premium ARP MAU +17% YoY. GuruShots YoY decline improved 600bps.

**【Q&A Key Highlights】**
- **Tapedeck & DataSeeds**: Tapedeck will expand to Android and international markets based on performance. DataSeeds secured contracts with global AI companies, focusing on bespoke datasets. Syncat is part of a rapid innovation pipeline with 6+ new products to be tested in FY26.
- **Emojipedia Impact**: Google's search changes diverted traffic, causing a 39% YoY decline. Zedge is testing strategies to mitigate losses.
- **Deferred Revenue**: Lifetime subscriptions are amortized over 30 months, providing steady future revenue. Deferred revenue growth reflects strong subscription retention.
- **SG&A Outlook**: Q4 SG&A up sequentially due to PUA and consulting fees for new initiatives. FY26 SG&A expected to decline as restructuring savings offset growth investments.


Zedge, Inc. (ZDGE) Q4 2025 Earnings Call Transcript

- **Revenue Recovery**: Q3 revenue growth (+1.3% YoY) driven by subscription (+13% YoY) and Zedge Premium doubling, despite TikTok market disruption.
- **Cost Efficiency**: $4M annualized cost savings from restructuring enabled GAAP profitability and $0.8M free cash flow (excluding one-time payments).
- **AI Growth Engine**: DataSeeds.AI signed first enterprise deal, and AI audio generator launch positions Zedge as early leader in consumer AI audio.
- **High-LTV Focus**: Shift to developed markets drove ARPU up 33% YoY to $0.10/MAU, with lifetime subscription gross margin at 100%.
- **Cash Strength**: $20.4M cash, no debt, with $530K share buybacks under $5M authorization.


**【CEO Summary Section】**
- **Revenue Growth**: Q3 revenue returned to growth (+1.3% YoY) driven by subscription and Zedge Premium sales, despite TikTok's U.S. market disruption until mid-February.
- **Cost Efficiency**: $4M annualized gross cost savings from global restructuring (e.g., Norway closure, GuruShots team streamlining) enabled GAAP profitability and $0.8M free cash flow (excluding $1M restructuring-related payments).
- **Subscription Momentum**: Zedge+ subscribers reached 900,000 (+37% YoY), with deferred subscription revenue up 83% YoY to $5M. Lifetime plan gross margin is 100% (recognized over 30 months).
- **AI Innovation**: Launched DataSeeds.AI B2B content marketplace for AI training data, signed first deal with a global AI company. Rolling out AI audio generator for ring tones/notification sounds.
- **Market Focus**: Shift to high-LTV users in well-developed markets (e.g., U.S., Europe) drove ARPU up 33% YoY to $0.10/monthly active user.

**【CFO Financial Commentary】**
- **Revenue Breakdown**: 
  - Subscription revenue: +13.4% YoY
  - Zedge Premium: +100% YoY net revenue
  - GuruShots: -45% YoY due to reduced user acquisition spend
- **Profitability**: 
  - GAAP net income: $0.2M (vs. -$0.1M YoY)
  - Non-GAAP net income: $0.9M (+80% YoY)
  - Adjusted EBITDA: $1.2M (+46% YoY)
- **Cash Flow**: 
  - Free cash flow: $0.8M (Q3) vs. -$0.3M YoY
  - Restructuring-related payments: $1M (Q3), expected $0.6M in Q4
- **Balance Sheet**: $20.4M cash, no debt, with $530K share buybacks under $5M authorization.

**【Q&A Highlights】**
- **Ad Market Impact**: TikTok's return to U.S. market mid-February boosted programmatic CPMs, but full-quarter impact limited. Focus on high-CPM markets (e.g., U.S., Europe) offset emerging market declines.
- **MAU Strategy**: Prioritize high-LTV users in developed markets, reducing global MAU by shifting away from low-LTV users. Well-developed market MAU stabilization is a key Q4 focus.
- **DataSeeds.AI Expansion**: Exploring video/audio data for enterprise AI clients. GuruShots 2.0 development aligns with DataSeeds.AI needs for diverse training data.
- **Audio AI Rollout**: Limited release by end-June, with potential subscription integration. Early entrant advantage in consumer AI audio tools.
- **GuruShots 2.0**: Restructured user acquisition to focus on high-ROAS customers. Delayed full launch to align with DataSeeds.AI content needs.


Zedge, Inc. (ZDGE) Q3 2025 Earnings Call Transcript

- **Subscription growth offsets ad decline**: Q2 subscription revenue +13% YoY, ARPU +9%, despite overall revenue down 10%.
- **$4M cost savings from restructuring**: 22% workforce reduction to start yielding $1M/Q savings in Q3+.
- **AI momentum**: Zedge Premium GTV +27% YoY, AI audio launch planned for Q3/Q4.
- **GuruShots turnaround**: Sequential revenue decline slows to 4%, with 2.0 reimagining in early stages.
- **Liquidity strong**: $20M cash, $5M share buyback program active.


**【CEO Business Overview】**
- **Revenue decline & macro challenges**: Q2 revenue fell 10% YoY to $7M due to TikTok's temporary exit from app stores, impacting ad spend and CPMs. However, subscription revenue grew 13% YoY, driven by upselling to higher-tier plans.
- **Restructuring for efficiency**: Announced $4M annualized cost savings through 22% workforce reduction (e.g., closing Norway office, cutting GuruShots team) and expiration of retention bonuses. Savings to materialize in Q3+.
- **AI strategy momentum**: Zedge Premium GTV +27% YoY, with rewarded video usage up 40%. Launching AI audio creator in Q3/Q4 to diversify monetization.
- **GuruShots turnaround**: Sequential revenue decline slowed to 4%, with focus on optimizing ROAS for existing users. GuruShots 2.0 in ideation phase for long-term growth.

**【CFO Financial Highlights】**
- **Topline performance**: Subscription revenue up 13% YoY, ARPU +9% to $0.078. Zedge Premium GTV reached $700K (vs. $550K last year).
- **Cost control**: COGS stable at 6.4%, SG&A up 9% due to marketing for Zedge Marketplace. Restructuring charges: $0.5M Q2, $1.1M expected in Q3/Q4.
- **Profitability trends**: GAAP net loss narrowed to $0.12M (vs. $9.2M last year). Non-GAAP net loss of $0.01M (vs. $0.04M last year). Adjusted EBITDA negative $0.1M (vs. +$1.5M last year).
- **Liquidity**: $20M cash on hand. Repurchased 245K shares under $5M buyback program.

**【Q&A Key Takeaways】**
- **Ad recovery outlook**: TikTok's return to app stores lifted CPMs, but Q3 is seasonally weaker. Management cautiously optimistic about ad recovery in Q4+.
- **Subscription sustainability**: Lifetime subscriptions front-load costs but yield 100% margin after 2.5 years. Diversified tiers (annual, monthly, free) mitigate concentration risk.
- **GuruShots 2.0 roadmap**: No active development yet; ideation phase focused on modernizing infrastructure and monetization models.
- **AI audio launch**: Expected in Q3/Q4 as part of Zedge Marketplace suite, targeting audio creators and personalized content.


Zedge (ZDGE)-12 Mar 25-2025 Q2 Earnings call transcript

Zedge, Inc. (ZDGE) Q1 2025 Earnings Call Transcript

Zedge (ZDGE)-29 Oct 24-2024 Q4 Earnings call transcript

Zedge Inc - Ordinary Shares (ZDGE)-10 Jun 24-2024 Q3 Earnings call transcript

Zedge Inc - Ordinary Shares (ZDGE)-15 Mar 24-2024 Q2 Earnings call transcript

- **Revenue Growth**: 3% YoY driven by Zedge Plus (+10% YoY) and Emojipedia (62% QoQ). ARPMAU up 17% YoY to $0.063.
- **AI Integration Success**: pAInt now global, Zedge Premium GTV +35% YoY. Gen AI app launch planned for 2024.
- **Challenges**: GuruShots revenue down 29% YoY due to Apple privacy rules, MAU decline 10.7% YoY.
- **Financial Health**: Adjusted EBITDA $1.5 million, $18.7M cash, no debt post-loan repayment.

**【CEO Summary Section】**
- **Revenue Growth**: Q1 revenue increased 3% YoY, driven by ad revenue recovery and Zedge Marketplace performance. Zedge Plus subscription revenue rose 10% YoY, with sequential growth for two quarters.
- **Product Highlights**: 
  - pAInt (AI wallpaper maker) now global, testing regional models, and integrated with print-on-demand for merchandise.
  - Zedge Plus iOS launched, contributing to subscription growth and ARPMAU increase.
  - Emojipedia achieved record revenue in November, with new features like emoji text translations and print-on-demand.
  - GuruShots faces challenges from Apple's ATT framework but introduced Battles (casual game) and AI Art Master (AI-driven game) to drive engagement.
- **Strategic Focus**: Scaling marketing investments, building full-stack marketing team, and integrating generative AI across products.

**【CFO Financial Commentary】**
- **Financial Results**: 
  - Total revenue: $7.1 million (3% YoY growth).
  - Subscription revenue: +10% YoY, driven by iOS and Zedge Plus.
  - Zedge Premium GTV: +35% YoY to $421,000.
  - ARPMAU: $0.063 (17% YoY growth).
  - GAAP net income: Nil (vs. -$0.1 million last year).
  - Adjusted EBITDA: $1.5 million (vs. $1 million YoY).
- **Cost Management**: 
  - Cost of revenue: -23% YoY (6.9% of revenue).
  - SG&A: -5.6% YoY to $5.5 million.
  - Cash: $18.7 million (post-Q1) with $2 million loan repaid in November.

**【Q&A Key Highlights】**
- **MAU Stabilization**: CEO emphasizes product innovation (pAInt, Emojipedia features) and marketing to reverse 10.7% YoY MAU decline.
- **Apple Privacy Rules**: GuruShots impacted by ATT framework, but testing SKAd 4.0 and AEM for user acquisition.
- **pAInt Adoption**: Free-to-play model with rewarded videos; stand-alone Gen AI app planned for early 2024.
- **AI Art Master Strategy**: Soft launch in 5 countries, focusing on organic growth via SEO and paid campaigns.
- **Emojipedia Expansion**: New features like emoji translator, emoticons, and print-on-demand; testing subscriptions.
- **Financial Priorities**: ARPMAU growth, cash management, and scaling profitable products like Zedge Plus and pAInt.

ZDGE

ZDGE fundamentals

Earnings Call

You can ask Aime