Ibotta, Inc.

QuinStreet reported second-quarter revenue of $373.9 million, up 42.7% year on year and 4% above analysts' expectations, with next-quarter revenue guidance also exceeding consensus. The digital performance marketing company, which connects financial and home services clients with high-intent consumers, posted the highest guidance raise among the seven advertising and marketing services stocks tracked, and its shares are up 18.5% since reporting, trading at $18.04. Across the group, revenues beat consensus by 1.7% and next-quarter guidance came in line, with share prices up 5.8% on average since the latest results. Ibotta posted the biggest analyst estimate beat of the group, with revenue of $88.91 million, up 3.3% year on year and 4.7% above expectations, sending its stock up 62.6% to $39.97. Taboola delivered the weakest performance, with revenue of $476.8 million, up 2.4% year on year but 4.5% below expectations and guidance missing significantly, leaving its shares down 29.1% at $3.75. Clear Channel Outdoor reported revenue of $438 million, up 8.7% and 3.4% above estimates, while MediaAlpha posted revenue of $316.9 million, up 25.9% and 4.2% above expectations despite a significant EPS miss.

Ibotta shares rallied just over 48% on Tuesday after the digital promotions company reported second-quarter earnings that beat estimates and announced a partnership with 7-Eleven. Non-GAAP earnings per share came in at $0.46, exceeding consensus by $0.09, while revenue of $88.9 million topped expectations by $3.93 million and rose 3.4% year-over-year. CEO Bryan Leach said the quarter exceeded the high end of guidance and that the company returned to year-over-year revenue growth a quarter ahead of schedule, driven by improved advertiser offer supply. The 7-Eleven deal will bring performance-based digital promotions to more than 11,500 convenience store locations through the 7-Eleven, 7NOW, and Speedway apps. The stock traded at $36.40 in early action, up $10.73 from the previous close.

Ibotta has partnered with 7-Eleven to become the sole third-party provider of consumer-packaged goods offers across the retailer's app ecosystem, excluding age-restricted products. The deal covers the 7-Eleven, 7NOW and Speedway applications, giving Ibotta access to more than 11,500 US store locations and over 100 million loyalty members through its Performance Network platform. CPG brands will be able to run pay-for-performance promotions with payment triggered only upon a verified sale, while shoppers can clip Ibotta-enabled offers within the apps before completing purchases in store, at fuel pumps, or through delivery orders. The agreement marks Ibotta's further push into convenience retail and introduces closed-loop measurement for CPG promotions to the channel at this scale for the first time.

Ibotta issued third-quarter revenue guidance of $86 million to $90 million and said it expects to exit 2026 with mid-single-digit year-over-year growth. The outlook accompanied second-quarter results that exceeded the high end of the company's guidance range, with total revenue returning to year-over-year growth a full quarter ahead of management's prior expectations. Redemption revenue grew 10% year-over-year to $80.2 million, driven by a 27% increase in third-party publisher redemption revenue to $61.5 million, while total redeemers reached 20.9 million. Chief Financial Officer Matthew Puckett noted that the third-quarter midpoint implies a slight sequential revenue decline because seasonal promotional events shifted into the second quarter, but he expects a modest sequential increase into the fourth quarter. Founder and CEO Bryan Leach highlighted the addition of 7-Eleven to the Ibotta Performance Network as an exclusive third-party provider of CPG digital promotions across more than 11,500 U.S. store locations, with rollout planned for the second half of the year.