Company: IBTA
Filing Date: 2025-05-15
Form Type: 10-Q
Source: 0001628280-25-025593
Chunk: 107

Company: Ibotta, Inc.
Filing Date: 2025-05-15
Form: 10-Q
Item: Item 1
Chunk 107
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 as additional measures of our performance for purposes of business decision-making, including managing expenditures and developing budgets. Period-over-period comparisons of Adjusted EBITDA and Adjusted EBITDA margin help our management team identify additional trends in our financial results that may not be shown solely by comparisons of net income and net income as a percentage of revenue, respectively. In addition, we may use Adjusted EBITDA and Adjusted EBITDA margin in the incentive compensation programs applicable to some of our employees in order to evaluate our performance. 

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The following table provides a reconciliation of net income to Adjusted EBITDA and net income as a percentage of revenue to Adjusted EBITDA margin for each of the periods presented (in thousands, except percentages):

Three months ended March 31,20252024Net income$555 $9,297 Add (deduct):Interest (income) expense, net(3,685)1,805 Depreciation and amortization (1)2,165 1,909 Stock-based compensation (2)13,752 4,845 Change in fair value of derivative— 1,700 Restructuring charges1,559 — (Benefit from) provision for income taxes(72)3,101 Other expense, net (3)399 2 Adjusted EBITDA$14,673 $22,659 Revenue$84,574 $82,327 Net income as a percent of revenue1 %11 %Adjusted EBITDA margin 17 %28 %

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(1)Amortization of capitalized software development costs included in cost of revenue for the three months ended March 31, 2025 and 2024 was $1.2 million and $0.9 million, respectively.

(2)Amounts include stock-based compensation expense as follows (in thousands):

Three months ended March 31,20252024Cost of revenue$657 $158 Sales and marketing5,129 3,622 Research and development3,147 553 General and administrative4,819 512 Total stock-based compensation$13,752 $4,845 

(3)Other expense, net is comprised of loss (gain) on disposal of assets and penalties.

Components of Results of Operations

Revenue

We provide a platform to CPG brands to deliver digital promotions to consumers. The majority of our revenues are derived from the fees we charge to clients when consumers redeem offers