LiveRamp Q3 Earnings Soar 1483% on Strong Revenue Growth

TL;DR

**RAMP's massive profit jump and revenue growth make it a strong buy, signaling robust demand for its data solutions.**

AI Summary

LiveRamp Holdings, Inc. (RAMP) reported a significant increase in net earnings for the three and six months ended September 30, 2025. For the three months, net earnings surged to $27.42 million, up from $1.73 million in the prior year, representing a 1483% increase. Revenues also grew to $199.83 million, an 8% increase from $185.48 million in the same period last year. For the six months, net earnings were $35.17 million, a substantial turnaround from a net loss of $5.76 million in the previous year. Six-month revenues increased by 9.2% to $394.65 million from $361.44 million. The company's income from operations for the six months dramatically improved to $28.65 million from $2.24 million. Operating expenses saw a slight decrease, with research and development down to $76.56 million from $88.01 million, and sales and marketing down to $100.59 million from $105.28 million for the six-month period. Cash and cash equivalents decreased to $369.45 million from $413.33 million at March 31, 2025, primarily due to $85.15 million in net cash used in financing activities, including $79.76 million for treasury stock acquisition.

Why It Matters

LiveRamp's impressive net earnings growth and revenue increase signal strong operational efficiency and market demand for its data connectivity platform, which is crucial for investors looking for profitable growth in the ad-tech and data enablement sectors. This performance could attract more institutional investors and potentially drive up RAMP's stock price, especially given the competitive landscape where data privacy and effective data utilization are paramount. For employees, this financial health suggests stability and potential for growth, while customers benefit from a robust and expanding platform. The broader market sees a strong player in the data collaboration space, potentially influencing industry trends and competitive dynamics.

Risk Assessment

Risk Level: medium — While LiveRamp shows strong financial performance, the company's cash and cash equivalents decreased by $43.88 million from March 31, 2025, to September 30, 2025, primarily due to $79.76 million spent on treasury stock acquisition. This aggressive share repurchase program, while potentially boosting EPS, reduces liquidity and could limit future strategic investments or buffer against unforeseen economic downturns. Additionally, the company faces ongoing risks related to evolving data privacy regulations and reliance on data suppliers, as highlighted in its forward-looking statements.

Analyst Insight

Investors should consider increasing their position in RAMP, given the significant net earnings growth and revenue expansion. However, they should also monitor the company's cash management and share repurchase strategy, ensuring it doesn't overly deplete liquidity. Pay close attention to future regulatory developments in data privacy, as these could impact LiveRamp's core business model.

Financial Highlights

revenue

$394.65M

operating Margin

7.25%

total Assets

$1,240.42M

net Income

$35.17M

eps

$0.53

gross Margin

70.12%

cash Position

$369.45M

revenue Growth

+9.2%

Key Numbers

• $27.42M — Net Earnings (3 months) (Increased from $1.73M in Q3 2024, a 1483% surge.)
• $199.83M — Revenue (3 months) (Increased 8% from $185.48M in Q3 2024.)
• $35.17M — Net Earnings (6 months) (Turnaround from a $5.76M net loss in H1 2024.)
• $394.65M — Revenue (6 months) (Increased 9.2% from $361.44M in H1 2024.)
• $28.65M — Income from Operations (6 months) (Significantly up from $2.24M in H1 2024.)
• $369.45M — Cash and Cash Equivalents (Decreased from $413.33M at March 31, 2025.)
• $79.76M — Treasury Stock Acquisition (Net cash used in financing activities for six months ended September 30, 2025.)
• $0.42 — Diluted EPS (3 months) (Increased from $0.03 in Q3 2024.)
• $0.53 — Diluted EPS (6 months) (Turnaround from $(0.09) in H1 2024.)
• $76.56M — Research and Development (6 months) (Decreased from $88.01M in H1 2024, indicating cost control.)

Key Players & Entities

• LiveRamp Holdings, Inc. (company) — Registrant
• SEC (regulator) — Securities and Exchange Commission
• $27,420,000 (dollar_amount) — Net earnings for three months ended September 30, 2025
• $1,732,000 (dollar_amount) — Net earnings for three months ended September 30, 2024
• $199,829,000 (dollar_amount) — Revenues for three months ended September 30, 2025
• $185,483,000 (dollar_amount) — Revenues for three months ended September 30, 2024
• $35,167,000 (dollar_amount) — Net earnings for six months ended September 30, 2025
• $5,757,000 (dollar_amount) — Net loss for six months ended September 30, 2024
• $394,651,000 (dollar_amount) — Revenues for six months ended September 30, 2025
• $369,446,000 (dollar_amount) — Cash and cash equivalents as of September 30, 2025

FAQ

Risk Factors

• Dependence on Key Customers [high — operational]: The company's revenue is significantly dependent on a limited number of large customers. A substantial portion of revenue in prior periods was derived from a few customers, and the loss of any of these customers or a significant reduction in their business could materially and adversely affect revenue and profitability. For example, the company has historically relied on a few key customers for a significant percentage of its revenue.
• Intense Competition [high — market]: The market for identity resolution and data connectivity is highly competitive and rapidly evolving. The company faces competition from a wide range of companies, including other identity resolution providers, data management platforms, advertising technology companies, and large technology companies with their own data solutions. Increased competition could lead to pricing pressures and reduced market share.
• Data Privacy Regulations [high — regulatory]: The company operates in an environment with increasing data privacy regulations globally, such as GDPR and CCPA. Changes in these regulations or the interpretation thereof could restrict the company's ability to collect, use, and share data, which is fundamental to its business model. Compliance with these evolving regulations requires significant resources and may impact service offerings.
• Technological Changes and Platform Adaptability [medium — operational]: The company's success depends on its ability to adapt to rapid technological changes and evolving customer needs in the digital advertising and marketing ecosystem. Failure to innovate or keep pace with industry shifts, such as changes in browser technology or the deprecation of third-party cookies, could negatively impact its competitive position and growth prospects.
• Foreign Currency Exchange Rate Fluctuations [low — financial]: As the company conducts business internationally, it is exposed to fluctuations in foreign currency exchange rates. These fluctuations can impact the reported value of its foreign currency-denominated assets and liabilities, as well as its revenues and expenses when translated into U.S. dollars. While the company has not experienced material impacts to date, significant adverse movements could affect financial results.

Industry Context

LiveRamp operates in the rapidly evolving data connectivity and identity resolution space, a critical component of the digital advertising and marketing ecosystem. The industry is characterized by intense competition from established players and emerging technologies, alongside increasing scrutiny over data privacy. Trends include the deprecation of third-party cookies, driving demand for privacy-preserving identity solutions.

Regulatory Implications

The company faces significant regulatory headwinds due to global data privacy laws like GDPR and CCPA. Compliance is paramount and requires continuous adaptation of data handling practices. Evolving regulations could restrict data usage, impacting LiveRamp's core business model and necessitating investment in privacy-centric technologies.

What Investors Should Do

1. Monitor customer concentration risk
2. Assess competitive positioning
3. Analyze impact of privacy regulations
4. Evaluate operating expense management

Key Dates

• 2025-09-30: End of Second Fiscal Quarter — Reported significant increase in net earnings and revenue for the three and six months ended this date.
• 2025-03-31: End of Fiscal Year — Reported cash and cash equivalents of $413.33 million prior to the decrease observed in the current period.

Glossary

Treasury Stock

Shares of a company's own stock that have been repurchased from the open market. These shares are held by the company and can be reissued later. (A significant outflow of $79.76 million for treasury stock acquisition was noted in the financing activities for the six months ended September 30, 2025, impacting the cash position.)

Retained Earnings

The cumulative amount of net income that a company has retained over its life, after paying out dividends. (Retained earnings increased to $1,348.525 million as of September 30, 2025, reflecting the positive net earnings reported for the period.)

Goodwill

An intangible asset that arises when one company acquires another for a price greater than the fair market value of its identifiable net assets. (Goodwill represents a significant portion of the company's assets at $502.184 million as of September 30, 2025, indicating past acquisitions.)

Deferred Revenue

Revenue that has been received by a company for goods or services that have not yet been delivered or rendered. (Deferred revenue increased to $49.756 million as of September 30, 2025, suggesting future revenue from services already paid for.)

Diluted Earnings Per Share (EPS)

A measure of profitability that accounts for all potential sources of dilution, such as stock options and convertible securities. (Diluted EPS showed a strong turnaround, increasing to $0.53 for the six months ended September 30, 2025, from a loss of $(0.09) in the prior year.)

Year-Over-Year Comparison

LiveRamp Holdings, Inc. demonstrated a strong financial turnaround in the six months ended September 30, 2025, compared to the same period in 2024. Revenue grew by 9.2% to $394.65 million, and net earnings shifted from a loss of $5.76 million to a profit of $35.17 million. Income from operations also saw a dramatic improvement, rising to $28.65 million from $2.24 million. Notably, operating expenses, particularly in Research and Development and Sales and Marketing, saw reductions, contributing to improved profitability. However, cash and cash equivalents decreased due to significant financing activities, including substantial treasury stock acquisitions.

Filing Documents

• ramp-20250930.htm (10-Q) — 1388KB
• a2026q2ex311ceosection302c.htm (EX-31.1) — 11KB
• a2026q2ex312cfosection302c.htm (EX-31.2) — 11KB
• a2026q2ex321ceosection1350.htm (EX-32.1) — 5KB
• a2026q2ex322cfosection1350.htm (EX-32.2) — 5KB
• ramp-20250930_g1.jpg (GRAPHIC) — 180KB
• 0000733269-25-000057.txt ( ) — 8957KB
• ramp-20250930.xsd (EX-101.SCH) — 65KB
• ramp-20250930_cal.xml (EX-101.CAL) — 100KB
• ramp-20250930_def.xml (EX-101.DEF) — 264KB
• ramp-20250930_lab.xml (EX-101.LAB) — 730KB
• ramp-20250930_pre.xml (EX-101.PRE) — 534KB
• ramp-20250930_htm.xml (XML) — 1341KB

Forward-looking Statements

Forward-looking Statements 3

Financial Information

Part I. Financial Information Item 1.

Financial Statements

Financial Statements 6 Condensed Consolidated Balance Sheets as of September 30, 2025 (Unaudited) and March 31, 2025 6 Condensed Consolidated Statements of Operations for the three and six months ended September 30, 2025 and 2024 (Unaudited) 7 Condensed Consolidated Statements of Comprehensive Income (Loss) for the three and six months ended September 30, 2025 and 2024 (Unaudited) 8 Condensed Consolidated Statements of Equity for the three and six months ended September 30, 2025 (Unaudited) 9 Condensed Consolidated Statements of Equity for the three and six months ended September 30, 2024 (Unaudited) 10 Condensed Consolidated Statements of Cash Flows for the six months ended September 30, 2025 and 2024 (Unaudited) 11 Notes to Condensed Consolidated Financial Statements 13 Item 2.

Management's Discussion and Analysis of Financial Condition and Results of Operations

Management's Discussion and Analysis of Financial Condition and Results of Operations 33 Item 3.

Quantitative and Qualitative Disclosures About Market Risk

Quantitative and Qualitative Disclosures About Market Risk 48 Item 4.

Controls and Procedures

Controls and Procedures 48

Other Information

Part II. Other Information Item 1.

Legal Proceedings

Legal Proceedings 49 Item 1A.

Risk Factors

Risk Factors 49 Item 2. Unregistered Sales of Equity Securities and Use of Proceeds 49 Item 3. Defaults Upon Senior Securities 50 Item 4. Mine Safety Disclosures 50 Item 5. Other Information 50 Item 6. Exhibits 51 Signature 52 2

Forward-looking Statements

Forward-looking Statements This Quarterly Report on Form 10-Q, including, without limitation, the items set forth beginning in the Management's Discussion and Analysis of Financial Condition and Results of Operations, contains and may incorporate by reference certain statements that may be deemed to be "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, as amended (the "PSLRA"), and that are intended to enjoy the protection of the safe harbor for forward-looking statements provided by the PSLRA. These statements, which are not statements of historical fact, may contain estimates, assumptions, projections and/or expectations regarding the Company's financial position, results of operations, market position, product development, growth opportunities, economic conditions, and other similar forecasts and statements of expectation. Forward-looking statements are often identified by words or phrases such as "anticipate," "estimate," "plan," "expect," "believe," "intend," "foresee," or the negative of these terms or other similar variations thereof. These forward-looking statements are not guarantees of future performance and are subject to a number of factors and uncertainties that could cause the Company's actual results and experiences to differ materially from the anticipated results and expectations expressed in the forward-looking statements.

Forward-looking statements may include but are not limited to the following

Forward-looking statements may include but are not limited to the following: management's expectations about the macro economy and trends within the consumer or business information industries, including the use of data and consumer expectations related thereto; our expectations regarding laws, regulations and industry practices governing the collection and use of personal data; our expectations regarding the impact of tax-related legislation on our tax position; our estimates, assumptions, projections and/or expectations regarding the Company's annualized future cost savings and expenses associated with our global workforce strategy, recent workforce restructuring, and real estate footprint reduction; Among the factors that may cause actual results and expectations to differ from anticipated results and expectations expressed in such forward-looking statements are the following: the risk factors described in Part I, "Item 1A. Risk Factors" included in the Company's Annual Report on Form 10-K for the fiscal year ended March 31, 2025 filed with the Securities and Exchange C

FINANCIAL INFORMATION

PART I. FINANCIAL INFORMATION

Financial Statements

Item 1. Financial Statements LIVERAMP HOLDINGS, INC. AND SUBSIDIARIES CONDENSED CONSOLIDATED BALANCE SHEETS (Dollars in thousands) September 30, March 31, 2025 2025 ASSETS (unaudited) Current assets: Cash and cash equivalents $ 369,446 $ 413,331 Restricted cash — 595 Short-term investments 7,500 7,500 Trade accounts receivable, net 216,791 186,169 Refundable income taxes, net 11,806 9,708 Other current assets 41,147 38,886 Total current assets 646,690 656,189 Property and equipment, net of accumulated depreciation and amortization 5,842 6,184 Intangible assets, net 14,667 20,167 Goodwill 502,184 501,756 Deferred commissions, net 41,803 44,452 Other assets, net 29,232 30,623 $ 1,240,418 $ 1,259,371 LIABILITIES AND STOCKHOLDERS' EQUITY Current liabilities: Trade accounts payable $ 115,885 $ 112,271 Accrued payroll and related expenses 29,426 50,776 Other accrued expenses 41,962 38,586 Deferred revenue 49,756 45,885 Total current liabilities 237,029 247,518 Other liabilities 59,582 62,994 Commitments and contingencies (Note 14) Stockholders' equity: Preferred stock — — Common stock 16,117 15,918 Additional paid-in capital 2,094,828 2,045,316 Retained earnings 1,348,525 1,313,358 Accumulated other comprehensive income 5,928 4,295 Treasury stock, at cost ( 2,521,591 ) ( 2,430,028 ) Total stockholders' equity 943,807 948,859 $ 1,240,418 $ 1,259,371 See accompanying notes to condensed consolidated financial statements. 6 LIVERAMP HOLDINGS, INC. AND SUBSIDIARIES CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (Unaudited) (Dollars in thousands, except per share amounts) For the three months ended For the six months ended September 30, September 30, 2025 2024 2025 2024 Revenues $ 199,829 $ 185,483 $ 394,651 $ 361,444 Cost of revenue 59,594 51,234 117,913 102,983 Gross profit 140,235 134,249 276,738 258,461 Operating expenses Research and development 36,952 43,889 76,560 88,007 Sales and marketing 48,685 51,107 100

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