Company: IBTA
Filing Date: 2025-08-13
Form Type: 10-Q
Source: 0001538379-25-000010
Chunk: 353

Company: Ibotta, Inc.
Filing Date: 2025-08-13
Form: 10-Q
Item: Item 2
Chunk 353
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4, driven primarily by reduced client spend on D2C ad products.

40

Cost of Revenue

Six months ended June 30,Change20252024$%(in thousands, except percentages)Cost of revenue$35,017 $22,798 $12,219 54 %

Cost of revenue increased $12.2 million, or 54%, during the six months ended June 30, 2025 compared to the six months ended June 30, 2024, due primarily to the addition of new publishers.

Sales and marketing

Six months ended June 30,Change20252024$%(in thousands, except percentages)Sales and marketing$58,667 $78,147 $(19,480)(25)%

Sales and marketing decreased $19.5 million, or 25%, during the six months ended June 30, 2025 compared to the six months ended June 30, 2024, due to decreases of $20.4 million in stock-based compensation expense related primarily to the Walmart Warrant for additional shares granted upon the closing of the IPO under the warrant’s anti-dilution provision, $1.2 million in media spend, and $0.3 million in B2B marketing, partially offset by an increase of $2.8 million in other personnel-related costs. The decreases in media spend and B2B marketing resulted from a shift in marketing strategy. The increase in other personnel-related costs was driven by $1.2 million of restructuring charges and the remainder due to increases in sales bonus expense, benefits expense, and salary and wages.

Research and development

Six months ended June 30,Change20252024$%(in thousands, except percentages)Research and development$32,814 $31,167 $1,647 5 %

Research and development increased $1.6 million, or 5%, during the six months ended June 30, 2025 compared to the six months ended June 30, 2024, due to increases of $1.1 million in stock-based compensation expense and $0.7 million in other personnel costs driven by restructuring charges. The increase in stock-based compensation expense was driven by a $3.4 million increase in recurring equity compensation, partially offset by decreases of $1.5 million related to equity awards with a liquidity event-based vesting condition that was satisfied in connection with the IPO and $0.8 million related to a higher allocation of personnel costs to cost