Digital Turbine has recently released its 10-K report. The company says it operates a mobile growth platform through two segments, On Device Solutions and App Growth Platform, serving advertisers, publishers, carriers, and OEMs. Its offerings include app distribution and content media services, direct campaign tools such as DT DSP and DT Offer Wall, and ad monetization products for mobile publishers and developers. It is headquartered in Austin, Texas, and operates across North America, Europe, the Middle East, Africa, Asia Pacific, China, Mexico, Central America, and South America.
For the year ended March 31, 2026, Digital Turbine reported net revenue of $565.3 million, up 15.2% from $490.5 million a year earlier. On Device Solutions contributed $382.4 million, up 11.9%, while App Growth Platform generated $185.7 million, up 21.2%; intersegment eliminations were $2.9 million. The company said the revenue increase was driven by improved performance in On Device Solutions.
Total costs of revenue and operating expenses fell 2.5% to $531.2 million from $544.6 million. Revenue share rose 3.5% to $243.6 million, other direct costs of revenue increased 36.0% to $47.0 million, product development rose 2.6% to $40.5 million, sales and marketing declined 5.9% to $58.0 million, and general and administrative expense fell 18.2% to $142.1 million. That produced income from operations of $34.0 million, compared with an operating loss of $54.1 million in the prior year.
Interest and other expense, net widened to $65.4 million from $33.8 million. Interest expense, net increased 68.4% to $58.6 million, while the company recorded a $9.8 million loss on extinguishment of debt, a $1.5 million unrealized gain on derivatives, and $3.5 million of foreign exchange transaction gain. Loss before income taxes narrowed to $31.3 million from $87.9 million, and net loss improved to $37.7 million from $92.1 million.
The company refinanced its senior credit facility on August 29, 2025 with a four-year financing agreement providing $430.0 million of term loans, all borrowed at closing. It said the loans were secured by substantially all assets of the company and guarantors, and during fiscal 2026 it repaid one of the three term-loan tranches. In connection with the refinancing, it issued warrants to purchase 824,421 shares at $4.84 per share, then issued another warrant for 397,997 shares on September 15, 2025; both sets of warrants expire on March 1, 2030.
Digital Turbine also sold 9,945,136 shares under an at-the-market offering at an average price of $5.89 per share, raising $58.6 million in gross proceeds and paying $1.8 million in commissions. It used the net proceeds to prepay principal on the loans, and terminated the ATM on February 2, 2026.
The company said it began a transformation program in October 2024 aimed at reducing operating expenses, cash flow usage, and personnel costs. Transformation costs totaled $626,000 in fiscal 2026, down from $5.8 million in fiscal 2025, including $595,000 of severance and $31,000 of business transformation costs. Headcount was 620 at March 31, 2026, down from 647 a year earlier. Following these announcements, the company's shares moved -1.98%, and are now trading at a price of $4.46. Check out the company's full 10-K submission here.
