AppLovin Corporation (APP)

Business

From the Annual Report on Form 10-K for the fiscal year ended December 31, 2025, accession 0001751008-26-000010.

AppLovin sells AI-powered advertising software. Advertisers pay it to acquire and re-engage users; publishers use it to sell their advertising inventory. Revenue comes from fees charged to advertisers, priced dynamically against the advertisers' own campaign goals rather than at a fixed price per impression, click or install, the company states it earns when advertisers hit their return-on-ad-spend targets. Substantially all revenue comes from one product: the self-serve user-acquisition platform, which the 10-K calls Axon Ads Manager and which the June 2026 quarterly report calls AppLovin Ads. Following the June 2025 sale of its Apps business, AppLovin operates as a single operating and reportable segment. In fiscal 2025 the company generated $5.48 billion of revenue and $3.33 billion of net income.

The product set is four pieces:

• Axon Ads Manager / AppLovin Ads, the user-acquisition engine, powered by the Axon AI recommendation engine, matching advertiser demand with publisher supply through auctions run at microsecond speeds. Advertisers set reach, geography, retention and target-return parameters; the platform bids to hit them. This product "comprises the vast majority of revenue." Revenue is recorded net of consideration paid or payable to publishers, because AppLovin acts as an agent, it does not control the advertising inventory and is not primarily responsible for fulfillment.
• MAX, the in-app bidding and monetization tool. Publishers use it to run a single real-time auction across bidding platforms for each impression. Revenue is a percentage of winning auction spend.
• Adjust, a SaaS measurement, attribution and fraud-prevention platform, billed as an annual subscription. It is operated by a wholly-owned subsidiary, and the 10-K states that data generated by Adjust's services is not shared with AppLovin or used to optimize its recommendation engine unless a customer directs it.
• Wurl, a connected-TV platform distributing streaming video for content companies and selling CTV advertising (AdPool for monetization, Global FAST Pass for channel distribution). Revenue is usage-based and/or CPM.

The business model is explicitly a data flywheel: more advertiser spend produces more data on users and engagement, which improves Axon AI, which improves campaign performance, which attracts more spend. Clients span indie developer studios to the largest global internet platforms, including Meta and Google, which are simultaneously partners, clients and competitors. Named competitors are Meta, Google, Amazon and Unity Software, plus various private companies.

The stated growth strategy has three legs: optimize within the existing mobile-app market; keep compounding Axon AI; and expand into new verticals the company has not historically served, web-based e-commerce and social, plus CTV through Wurl. The company began onboarding web-based e-commerce advertisers in 2024 and describes itself as early in that expansion. It also flags that seasonality (holidays, promotional events, school cycles, game launches) may become more pronounced as large e-commerce advertisers make up a larger share of the platform.

Founded in 2011 by mobile app developers, incorporated in Delaware, headquartered in Palo Alto, California, listed on Nasdaq. The company has three classes of common stock (Class A one vote, Class B twenty votes, Class C none) and is a "controlled company" under Nasdaq rules, though it does not currently take the governance exemptions that status allows.

Risk factors

From the FY2025 10-K, accession 0001751008-26-000010; substantively repeated in the Q2 2026 Form 10-Q, accession 0001751008-26-000059.

Concentration. Revenue is concentrated in a single product (Axon Ads Manager / AppLovin Ads) and in a single ecosystem, mobile apps, and specifically mobile gaming. A significant amount of total revenue runs through apps distributed by a small number of third-party platforms: the Apple App Store, the Google Play Store and Meta. Because Meta and Google are also significant partners of both AppLovin and Adjust, a deterioration in either relationship would hit harder than a normal customer loss. Clients have no long-term commitments and can stop spending at any time; substantially all customer contracts are cancelable.

Dependence on third-party platform policy. Platform owners set the rules on tracking, identifiers and data transparency, and can change them unilaterally. The 10-K names specific episodes: Apple's app tracking transparency framework (since 2021) and its reliance on IDFA data; Apple's iOS 17 SDK privacy controls; Google's Chrome Tracking Protection and EEA/UK consent management platform requirements from January 2024; and Google's October 2025 retirement of the Privacy Sandbox initiative for Android, with plans to discontinue most associated technologies across Chrome and Android. Management says the aggregate impact of these changes on results to date has been "relatively muted," but treats further changes as a live risk to the effectiveness of its advertising solutions.

Growth durability and the AI dependency. The company states plainly that prior growth should not be relied on as an indication of future performance and that the growth rate may decline as comparisons get harder and the market saturates. Its ability to keep improving Axon AI is described as critical to continued success. Expanding AI use also brings regulatory exposure (the EU AI Act, proposed and enacted U.S. state laws), unsettled intellectual-property law around AI-generated output, and heightened cybersecurity risk.

Key-person and lean-organization risk. Future success depends significantly on co-founder and CEO Adam Foroughi. There are no employment agreements beyond offer letters with Foroughi or other senior management, and no key-man insurance. The company deliberately runs a lean structure in which key employees hold multiple responsibilities, which it acknowledges makes it more vulnerable to turnover and harder to scale quickly.

Privacy and data regulation. GDPR, UK GDPR, CCPA/CPRA and a widening set of U.S. state laws, children's-privacy regimes (COPPA, the UK Age Appropriate Design Code), Brazil's LGPD and China's PIPL all bear on the business. Cross-border transfer mechanisms (the EU-U.S. Data Privacy Framework, standard contractual clauses) remain subject to challenge. The DOJ rule implementing Executive Order 14117, effective April 8, 2025, restricts bulk transfers of sensitive personal data to countries of concern including China, where AppLovin has operations.

Litigation. Securities class actions filed from March 2025 and consolidated shareholder derivative suits allege materially false and misleading statements about the advertising solutions and financial growth. Details are in the Current quarter section below. The company also retained responsibility for certain legal proceedings tied to its former studios after the Apps sale.

Leverage. $3.6 billion of senior unsecured notes outstanding at December 31, 2025, plus a $1.0 billion unsecured revolving commitment. The indentures and the credit agreement carry covenants, and the credit agreement requires compliance with a financial covenant whether or not anything is drawn. A change-of-control repurchase event would require the company to offer to repurchase the notes, and it may not have sufficient funds to do so. Pricing on the revolver varies with the company's public debt ratings, so a downgrade would raise borrowing costs.

Strategic-transaction risk. The company intends to keep pursuing acquisitions and states that transaction size has increased and may keep increasing, potentially requiring significant cash, additional debt, or dilutive equity issuance. It discloses that in April 2025 it confirmed an indication of interest to the President of the United States to explore a purchase of TikTok in all markets outside China, and did not enter into a transaction. It also flags divestiture risk directly: after selling the Apps business it no longer generates Apps revenue and may not achieve the intended strategic and financial benefits.

Goodwill. Goodwill must be tested at least annually; a decline in the share price and market capitalization, slower industry growth or asset underperformance could force a significant charge.

Control and governance. As of June 30, 2026, Adam Foroughi and director Herald Chen (with certain affiliates, the "Voting Agreement Parties") held approximately 67% of total voting power and vote their Class B shares as a bloc under a voting agreement. They can therefore determine or significantly influence any matter requiring stockholder approval, including a change of control. Combined with the multi-class structure, exclusive-forum bylaws, board-only vacancy filling and undesignated preferred stock, this may deter a takeover or deprive holders of a control premium. The company also warns that share repurchases may not deliver the anticipated long-term value and consume cash otherwise available for the business.

Management's discussion and analysis, fiscal year 2025

From the FY2025 10-K, accession 0001751008-26-000010.

Revenue. $5,480.7 million, up $2.3 billion or 70% on 2024's $3,224.1 million (itself up 75% on 2023's $1,841.8 million). The composition of the 2025 increase is the striking part: the volume of installations rose only 3%, while net revenue per installation rose 72%. The prior year was the reverse mix, 2024's 75% growth came from installation volume up 50% and revenue per installation up 22%. Growth in 2025 was therefore almost entirely price/monetization, not volume.

Costs. Total costs and expenses were $1,328.8 million, essentially flat against 2024's $1,313.1 million despite the 70% revenue increase, 24% of revenue versus 41%. Within that:

• Cost of revenue $665.1 million, up $144.5 million or 28%, driven by a $150.2 million increase in network infrastructure expense. At 12% of revenue, down from 16%.
• Sales and marketing $203.7 million, down $49.2 million or 19%, primarily a $57.1 million drop in personnel expense from lower stock-based-compensation-related payroll and reduced headcount.
• Research and development $226.5 million, down $148.2 million or 40%, primarily a $151.1 million drop in personnel expense from lower stock-based-compensation-related payroll.
• General and administrative $233.5 million, up $68.6 million or 42%, from $31.6 million more in professional services tied to transaction support and $24.5 million more bad debt expense primarily related to new initiatives.

Total stock-based compensation fell to $208.0 million from $357.4 million.

Profit. Income from operations $4,151.9 million, 76% of revenue (2024: 59%). Interest expense and loss on settlement of debt fell 35% to $207.0 million, $78.7 million from lower rates on the senior notes versus the prior credit agreement, and the absence of a $28.4 million 2024 loss on debt extinguishment. Provision for income taxes rose $497.3 million to $519.7 million on higher pre-tax income, global minimum tax, lower stock-compensation benefits and lower R&D credits, partly offset by larger foreign-derived intangible income deductions. Net income from continuing operations $3,433.2 million; net income $3,333.8 million after a $99.4 million loss from discontinued operations. Adjusted EBITDA $4,512.5 million at an 82.3% margin (2024: $2,411.8 million, 74.8%).

The Apps divestiture. On May 7, 2025 AppLovin and subsidiaries Morocco, Inc. and AppLovin GmbH signed a purchase agreement with Tripledot and its subsidiaries Eton Games Inc. and Tripledot Group Holdings Limited to sell the Apps business; a June 30, 2025 amendment let Tripledot pay in cash rather than issue a secured promissory note. The sale closed June 30, 2025 for total consideration of $715.6 million, $430.6 million in cash ($400.0 million contractual plus $30.6 million of purchase price adjustments) and 596.9 million Tripledot ordinary shares valued at $285.0 million, representing roughly 22% of Tripledot's outstanding ordinary shares and 20% of its fully diluted equity at closing, accounted for as an equity method investment. AppLovin derecognized $591.2 million of net assets and booked a $106.2 million pre-tax gain after $18.3 million of transaction costs. For tax purposes the transfer of certain subsidiaries was an asset sale, producing a $125.6 million write-off of deferred tax assets and a $204.3 million capital loss fully offset by a valuation allowance. Earlier, at March 31, 2025, the February 12, 2025 non-binding term sheet plus negotiations had triggered an interim goodwill impairment test on the Apps reporting unit and a non-cash $188.9 million goodwill impairment. All Apps results are presented as discontinued operations.

Cash and capital. Operating cash flow $3,971.1 million (2024: $2,099.0 million); Free Cash Flow $3,952.0 million. Investing activities provided $358.4 million, driven by $407.3 million of Apps divestiture proceeds net of cash divested. Financing used $2,593.1 million, mainly $2.2 billion of buybacks and $392.4 million of withholding taxes on net share settlement. Cash and equivalents ended 2025 at $2.5 billion.

Debt at December 31, 2025 was $3.6 billion of senior unsecured notes in several series maturing 2029 to 2054 at fixed rates of 5.125% to 5.950%, interest payable semi-annually on June 1 and December 1. The 2024 Credit Agreement provides a $1.0 billion unsecured revolver maturing December 5, 2029 with two one-year extension options; $200.0 million was drawn in March 2025 to fund repurchases and fully repaid by May 2025, leaving the full $1.0 billion available at year end.

In 2025 the company repurchased and retired 5.5 million Class A shares for $2.2 billion and the board authorized an incremental $3.2 billion, leaving $3.3 billion available at year end. Non-cancelable purchase obligations were $702.8 million, mostly a third-party cloud computing agreement, $398.5 million of it payable within twelve months; non-cancelable lease obligations were $173.9 million ($140.3 million server and network equipment, $33.7 million offices).

Tax. The One Big Beautiful Bill Act, enacted July 4, 2025, was evaluated and its 2025-effective provisions were immaterial to the financial statements. Long-term income tax liabilities include $64.2 million for uncertain tax positions.

Current quarter, three and six months ended June 30, 2026

From the Quarterly Report on Form 10-Q for the quarter ended June 30, 2026, accession 0001751008-26-000059, and the earnings release furnished August 5, 2026, accession 0001751008-26-000057.

Revenue was $1,923.7 million for the quarter, up $664.9 million or 53% year over year, and $3,766.1 million for the six months, up 56%. The mix continues the 2025 pattern in sharper form: quarterly net revenue per installation rose 58% while installation volume fell 2%; for the six months, revenue per installation rose 75% while volume fell 10%. Growth is now coming entirely from monetization per install, with unit volume declining.

By geography in the quarter, the United States contributed $989.6 million and the rest of the world $934.1 million.

Costs. Cost of revenue $225.8 million, up 46%, on $52.1 million more network infrastructure spend; 12% of revenue, unchanged year over year. Sales and marketing $63.4 million, up 35%, from $17.2 million more advertising and marketing program cost partly offset by $3.5 million lower personnel expense. Research and development $99.9 million, up 127%, almost entirely a $54.8 million increase in personnel expense from higher stock-based-compensation-related payroll, R&D stock compensation went from $17.2 million to $68.9 million in the quarter. General and administrative $40.3 million, down 27%, on $9.5 million less bad debt expense and $5.2 million less transaction- related professional services.

Profit. Income from operations $1,494.3 million, 78% of revenue. Interest expense $51.2 million, flat. Other income, net swung to $62.4 million from a $22.3 million expense, driven by a $31.3 million net fair value remeasurement gain related to certain non-marketable equity securities (versus a $20.4 million net remeasurement loss a year earlier), $21.3 million more interest income on a larger cash balance, and $12.0 million more net foreign currency gains. Tax provision $239.0 million, up 113%. Net income $1,266.5 million, a 65.8% net margin; diluted EPS $3.76. Adjusted EBITDA $1,613.8 million at an 83.9% margin, up from 80.9%.

A material part of the year-over-year swing in other income is mark-to-market, not operating performance: the $31.3 million quarterly remeasurement gain is the writeup of equity interests in private equity funds carried at net asset value, which rose to $173.0 million from $118.7 million. Unrealized gains on those interests were $31.3 million in the quarter and $50.6 million in the half, against a $52.0 million six-month remeasurement gain across all non-marketable equity securities.

Balance sheet and cash. Cash and equivalents $3,053.3 million at June 30, 2026, up from $2,487.1 million at December 31, 2025. Accounts receivable $2,171.0 million. Goodwill $1,518.6 million (down only on currency translation). Equity method investments, the Tripledot stake, $290.0 million. Total assets $8,269.1 million; long-term debt $3,515.1 million; total stockholders' equity $3,163.0 million.

Operating cash flow was $869.0 million in the quarter and $2,160.4 million for the half; Free Cash Flow $863.3 million and $2,150.1 million. Half-year operating cash flow was held back by a $504.8 million net decrease in operating assets and liabilities, including a $352.6 million build in accounts receivable and $639.8 million of cash income taxes paid (versus $100.6 million a year earlier). Investing used only $7.7 million. Financing used $1,582.7 million, almost all buybacks.

Capital returns. During the six months the company repurchased and retired 3,275,252 Class A shares for $1.5 billion including commissions, taxes and fees, leaving $1.8 billion available under the program at June 30, 2026 (down from $3.3 billion at December 31, 2025). Quarterly repurchases under the program totaled 1,105 thousand shares: 356 thousand in April, 260 thousand in May and 489 thousand in June. Shares outstanding at June 30, 2026 were 335,291 thousand (305,084 thousand Class A, 30,208 thousand Class B), down from 338,313 thousand at year end.

Commitments. Under an August 2024 amendment to its cloud computing agreement, the company committed to a minimum of $1.3 billion over three years; $953.5 million had been paid by June 30, 2026. No other material changes to contractual obligations since December 31, 2025.

Related party. AppLovin recognized $18.0 million of revenue in the quarter and $42.9 million in the half from Tripledot and its subsidiaries' use of AppLovin Ads, net of amounts paid or payable to them as publishers. No other material related party transactions.

Litigation status. The securities class action (the Brownback Action, N.D. Cal.) alleges Exchange Act violations over statements about the advertising solutions and financial growth, with a putative class period of November 7, 2024 through March 27, 2025; an amended complaint filed September 12, 2025 added Basil Shikin as a defendant alongside the Company, Adam Foroughi, Matthew Stumpf and Herald Chen. The defendants' motion to dismiss was fully briefed as of February 2026. Consolidated shareholder derivative complaints are stayed pending that ruling. The company says the allegations lack merit and will be contested, and that it cannot estimate maximum exposure or a range of possible loss. As of June 30, 2026 it had no material loss contingencies requiring accrual or disclosure.

Guidance. For the third quarter of 2026 the company guided to revenue of $2,055 million to $2,085 million and Adjusted EBITDA of $1,710 million to $1,740 million, an 83% Adjusted EBITDA margin at both ends. No forward GAAP equivalent was provided.

Subsequent events

Neither the Form 10-Q for the quarter ended June 30, 2026 (accession 0001751008-26-000059) nor the FY2025 Form 10-K (accession 0001751008-26-000010) contains a subsequent-events note; no acquisition, divestiture, financing or litigation outcome was disclosed as occurring after the respective period ends. The material post-June-30, 2026 items disclosed elsewhere in the company's filings are:

• Executive transitions taking effect after quarter end, announced April 7, 2026 (accession 0001751008-26-000014). Chief Technology Officer Basil Shikin stepped down from that role effective July 1, 2026, continuing as a Distinguished Engineer in a non-executive-officer capacity; Giovanni Ge, previously Chief Product and Engineering Officer, was appointed Chief Technology Officer on that transition. Chief Administrative & Legal Officer Victoria Valenzuela retired effective August 1, 2026, and serves as a consultant through May 31, 2027 for $150,000 in cash compensation; Corina Cacovean, previously Deputy General Counsel, Privacy, Litigation & Regulatory, was appointed Chief Legal Officer on that retirement. Ms. Valenzuela was elected to the board at the June 3, 2026 annual meeting and receives no non-employee director compensation while she is a consultant. Separately, and taking effect during the quarter rather than after it, Craig Billings became independent Chairperson of the board effective April 2, 2026, succeeding Adam Foroughi, who remains CEO and a director.

Filings that contain financial statements

The audited FY2025 Form 10-K (accession 0001751008-26-000010) and the reviewed Q2 2026 Form 10-Q (accession 0001751008-26-000059) are the primary sources for full-year 2025 and Q2 2026 GAAP financial statements, respectively. For the interim periods with no 10-Q on hand, the furnished earnings 8-K exhibits (Exhibit 99.1 press releases, each with a consolidated balance sheet, statement of operations, statement of cash flows, and non-GAAP reconciliations) are the source:

• Q2 2026 (quarter ended June 30, 2026): audited/reviewed source is the Q2 2026 Form 10-Q, accession 0001751008-26-000059; also furnished in the 8-K filed August 5, 2026, accession 0001751008-26-000057.
• Q1 2026 (quarter ended March 31, 2026): 8-K filed May 6, 2026, accession 0001751008-26-000042.
• Q4/FY2025 (quarter and year ended December 31, 2025): audited source is the FY2025 Form 10-K, accession 0001751008-26-000010; also furnished in the 8-K filed February 11, 2026, accession 0001751008-26-000005.
• Q3 2025 (quarter ended September 30, 2025): 8-K filed November 5, 2025, accession 0001751008-25-000079.
• Q2 2025 (quarter ended June 30, 2025): 8-K filed August 6, 2025, accession 0001751008-25-000069.
• Q1 2025 (quarter ended March 31, 2025): 8-K filed May 7, 2025, accession 0001751008-25-000051.
• Q4/FY2024 (quarter and year ended December 31, 2024): 8-K filed February 12, 2025, accession 0001751008-25-000006.

Earnings and guidance

AppLovin's revenue has grown every quarter in absolute terms, from $1.26 billion in Q2 2025 to $1.92 billion in Q2 2026, at Adjusted EBITDA margins above 80%, driven by its advertising business following the mobile-gaming divestiture (see M&A section below), though the year-over-year growth rate has decelerated steadily from 77% to 53% as comparisons harden.

• Q2 2026 (August 5, 2026, accession 0001751008-26-000057): revenue of $1,924 million, up 53% year over year; net income of $1,267 million; Adjusted EBITDA of $1,614 million (84% margin). Guided Q3 2026 revenue of $2,055–$2,085 million and Adjusted EBITDA of $1,710–$1,740 million (83% margin).
• Q1 2026 (May 6, 2026, accession 0001751008-26-000042): revenue of $1,842 million, up 59% year over year; net income of $1,206 million; Adjusted EBITDA of $1,557 million (85% margin). Guided Q2 2026 revenue of $1,915–$1,945 million and Adjusted EBITDA of $1,615–$1,645 million (84–85% margin).
• Q4/FY2025 (February 11, 2026, accession 0001751008-26-000005): Q4 revenue of $1,658 million (up 66%) and full-year 2025 revenue of $5,481 million (up 70%); full-year net income of $3,334 million; full-year Adjusted EBITDA of $4,512 million (82% margin). Guided Q1 2026 revenue of $1,745–$1,775 million and Adjusted EBITDA of $1,465–$1,495 million (84% margin).
• Q3 2025 (November 5, 2025, accession 0001751008-25-000079): revenue of $1,405 million, up 68%; net income of $836 million; Adjusted EBITDA of $1,158 million (82% margin). The board increased the share repurchase authorization by an incremental $3.2 billion, bringing the total remaining authorization to $3.3 billion as of the end of October 2025 (see Capital actions). Guided Q4 2025 revenue of $1,570–$1,600 million and Adjusted EBITDA of $1,290–$1,320 million.
• Q2 2025 (August 6, 2025, accession 0001751008-25-000069): revenue of $1,259 million, up 77%; net income of $820 million; Adjusted EBITDA of $1,018 million (81% margin). Confirmed the June 30, 2025 completion of the sale of the Apps (mobile gaming) business to Tripledot Studios.
• Q1 2025 (May 7, 2025, accession 0001751008-25-000051): total revenue of $1,484 million (as reported, including the Apps mobile-gaming business), up 40%, with Advertising revenue (continuing operations) of $1,159 million (up 71%) offsetting a declining Apps segment; net income of $576 million, which included a $189 million goodwill impairment. Disclosed the same-day signing of the definitive agreement to sell the mobile gaming business (see M&A section).
• Q4/FY2024 (February 12, 2025, accession 0001751008-25-000006): Q4 revenue of $1,373 million (up 44%) and full-year 2024 revenue of $4,709 million (up 43%), as reported including the Apps mobile-gaming business; full-year net income of $1,580 million. On a continuing-operations basis (Advertising segment only, as later recast for comparability with post-divestiture results), Q4 2024 revenue was $999 million and full-year 2024 revenue was $3,224 million.

Divestiture of the mobile gaming (Apps) business, Tripledot Studios

AppLovin exited its mobile gaming business over 2025 in a multi-step transaction with Tripledot Studios:

• February 12, 2025 (8-K accession 0001751008-25-000008, earliest event date February 10, 2025): disclosed a non-binding term sheet to sell the mobile gaming business to a then-unnamed privately held acquirer for $900 million ($400 million in the acquirer's equity and $500 million in cash). The same 8-K reported, under Item 5.02, the resignation of Chief Marketing Officer Katie Jansen effective March 14, 2025 (resignation dated February 10, 2025).
• May 7, 2025 (8-K accession 0001751008-25-000051): entered into a definitive Purchase Agreement with Tripledot (and its subsidiaries Eton Games, Inc. and Tripledot Group Holdings Limited) to sell the gaming business for cash consideration of $400.0 million, $150.0 million payable at closing and $250.0 million in the form of a secured promissory note bearing 11% interest and maturing 18 months from closing, plus equity consideration of approximately 20% of Tripledot's fully diluted equity capitalization. The agreement was terminable if closing had not occurred by November 3, 2025 (Pacific time).
• June 30, 2025 (8-K accession 0001751008-25-000061): amended the Purchase Agreement so that Tripledot could elect to pay the $250 million portion in cash rather than issuing the promissory note, and the same day AppLovin and the sellers completed the closing. Final consideration was $400.0 million in cash (no promissory note issued) plus the approximately 20% equity stake in Tripledot, subject to closing adjustments. The Q2 2025 earnings release (accession 0001751008-25-000069) confirms the transaction closed on June 30, 2025, with the divested business reported as discontinued operations going forward.

TikTok interest (not consummated)

On April 3, 2025 (8-K accession 0001751008-25-000028), AppLovin confirmed it had submitted a preliminary, non-binding indication of interest to the President of the United States to explore purchasing TikTok's operations outside China. The filing stated there was no assurance any transaction would proceed. No subsequent AppLovin SEC filing describes a transaction involving TikTok; it does not appear this indication of interest advanced to a signed agreement.

Capital actions

• February 28, 2025 (8-K accession 0001751008-25-000025): the board modified the existing share repurchase program (which had approximately $1.772 billion remaining under its aggregate authorization as of February 27, 2025) to make $500 million immediately available for Class A share repurchases regardless of the prior quarter's Free Cash Flow limitation, with the available amount to be replenished each quarter by trailing Free Cash Flow. The aggregate authorization ceiling was unchanged.
• Q3 2025 earnings release (November 5, 2025, accession 0001751008-25-000079): the board increased the share repurchase authorization by an incremental $3.2 billion, bringing the total remaining authorization to approximately $3.3 billion as of the end of October 2025.
• Actual share repurchases (cash flow statement, distinct from the "repurchased and withheld" totals that also include tax withholding on net share settlement, which were $1.0 billion in Q1 2026, $551.3 million in Q2 2026, and $2.58 billion for full-year 2025) were $2,191.9 million for full-year 2025 (per the Q4/FY2025 earnings 8-K, accession 0001751008-26-000005; 5.5 million Class A shares, per the FY2025 10-K, accession 0001751008-26-000010) and $1,532.95 million for the six months ended June 30, 2026 (per the Q2 2026 earnings 8-K, accession 0001751008-26-000057; 3,275,252 Class A shares, per the 10-Q, accession 0001751008-26-000059).

Leadership and board changes

• February 10, 2025 (8-K accession 0001751008-25-000008, filed February 12, 2025): Chief Marketing Officer Katie Jansen resigned, effective March 14, 2025.
• April 9, 2025 (8-K accession 0001751008-25-000032): Maynard Webb was appointed to the board and its Audit and Nominating and Corporate Governance Committees.
• April 8, 2025 (8-K accession 0001751008-25-000032): director Edward Oberwager notified the Company that he would not stand for re-election at the 2025 annual meeting.
• April 2, 2026 (8-K accession 0001751008-26-000014, filed April 7, 2026): announced a management and board succession plan. Chief Technology Officer Basil Shikin will transition to a non-executive Distinguished Engineer role effective July 1, 2026, succeeded as CTO by Giovanni Ge (currently Chief Product and Engineering Officer). Chief Administrative & Legal Officer Victoria Valenzuela will retire effective August 1, 2026 (continuing as a paid consultant through May 2027 and standing for election as a director), succeeded as Chief Legal Officer by Corina Cacovean. Separately, the board appointed Craig Billings as independent Chairperson, succeeding Adam Foroughi, who continues as CEO and a board member; director Alyssa Harvey Dawson announced she will not stand for re-election at the 2026 annual meeting.

Annual meetings

• June 4, 2025 annual meeting (8-K accession 0001751008-25-000057): stockholders elected all nine director nominees and ratified Deloitte & Touche LLP as independent auditor for fiscal year 2025.
• June 3, 2026 annual meeting (8-K accession 0001751008-26-000050): stockholders elected all nine director nominees, ratified Deloitte & Touche LLP as independent auditor for fiscal year 2026, approved (on an advisory basis) executive compensation, and approved an amendment to the certificate of incorporation providing for officer exculpation as permitted under Delaware law. A stockholder proposal requesting disclosure of voting results by class of shares was not approved.

About this file

APP annual income statement, balance sheet and cash flow

Taken from the SEC filings and normalized to actual dollars.

APP quarterly income statement, balance sheet and cash flow

Taken from the SEC filings and normalized to actual dollars.

APP year-to-date income statement and cash flow

Taken from the SEC filings and normalized to actual dollars.

APP trailing twelve month income statement and cash flow

Derived by AI from the figures the filings report. No filing prints these, so none of them is linked.

Adjustments

Notes

• Periods reported here are exactly the ones these two filings print on the face of their statements: the FY2025 10-K (accession 0001751008-26-000010) shows three years of statements of operations and cash flows (2025, 2024, 2023) but only two balance sheets (December 31, 2025 and December 31, 2024), and the Q2 2026 10-Q (accession 0001751008-26-000059) shows the three months and six months ended June 30, 2026 and 2025 plus a June 30, 2026 balance sheet.
• FY2023 therefore carries an income statement and a cash flow statement but no balance sheet: the 10-K does not present a December 31, 2023 balance sheet.
• Discontinued operations: on June 30, 2025 AppLovin completed the sale of the subsidiaries operating its Apps business, receiving $715.6 million in total consideration ($430.6 million in cash and 596.9 million Tripledot ordinary shares valued at $285.0 million, about 22% of Tripledot's outstanding ordinary shares, accounted for as an equity method investment). The Apps business is presented as discontinued operations for every period shown, so revenue, cost of revenue, operating expenses and operating income in this record are continuing-operations (advertising) figures for all years, including 2023 and 2024. Net income is after the discontinued-operations result, which is reported separately as 'discontinued_operations_net_of_tax'.
• Following that divestiture the company operates as a single operating and reportable segment providing end-to-end advertising solutions, so there is no segment breakdown to report.
• Gross profit is not presented on the face of the statements of operations; it is stated here as revenue less cost of revenue.
• 'capex' is the sum of purchases of property and equipment and principal payments of finance leases, which is how AppLovin itself defines the deduction in its Free Cash Flow reconciliation ('net cash provided by operating activities less purchases of property and equipment and principal payment of finance leases'). Free cash flow shown here matches the company's own reconciliation exactly for every period ($3,951,952 thousand in FY2025, $2,073,360 thousand in FY2024, $1,037,094 thousand in FY2023, $2,150,065 thousand for the six months ended June 30, 2026). Note the company's purchases of property and equipment are not a separate line within investing activities on the face of the cash flow statement; they are disclosed in that reconciliation and are very small ($0.5 million in FY2025).
• The quarterly entries carry an income statement and a cash flow summary. The Q2 2026 10-Q (accession 0001751008-26-000059) presents cash flows on a six-month basis only, so the three-month cash flow figures shown here are taken from AppLovin's second quarter 2026 earnings release (accession 0001751008-26-000057, Exhibit 99.1), which prints net cash provided by operating activities, purchases of property and equipment, principal payments of finance leases, Free Cash Flow, and net cash from investing and financing activities for the quarters ended June 30, 2026 and June 30, 2025. Repurchases of common stock are not broken out on a quarterly basis in that release, so they are omitted from the quarterly cash flow blocks.
• 'total_debt' is the long-term debt line on the balance sheet, which is the company's senior unsecured notes carried net of unamortized issuance costs. At June 30, 2026 the aggregate principal amount outstanding was $3.6 billion; no current portion is presented and there were no borrowings outstanding under the $1.0 billion revolving credit facility.
• The trailing-twelve-month block is derived as FY2025 plus the six months ended June 30, 2026 less the six months ended June 30, 2025. Per-share amounts and weighted-average share counts are deliberately omitted from it, because weighted-average share counts are not additive across periods.
• Balance-sheet presentation changed between the two filings without changing any total: the 10-Q's December 31, 2025 comparative column folds operating lease right-of-use assets into other non-current assets ($25,457 + $456,550 = $482,007 thousand) and operating lease liabilities into accrued and other current liabilities and other non-current liabilities. Total assets, total liabilities and total stockholders' equity at December 31, 2025 are identical in both filings, so nothing was restated.
• Adjusted EBITDA is the company's own non-GAAP measure and is taken from its published reconciliation of net income to Adjusted EBITDA in each filing; it is shown alongside, not in place of, the GAAP figures.
• No stock splits, ADR conversion or currency translation applies: AppLovin reports in U.S. dollars, is a domestic filer, and has no split history over the period covered.
• The December 31, 2024 balance sheet in the FY2025 10-K (accession 0001751008-26-000010) reports the Apps business within assets and liabilities of discontinued operations: $191,355 thousand of current assets and $937,249 thousand of non-current assets, and $137,113 thousand of current liabilities and $1,414 thousand of non-current liabilities. FY2024 total assets of $5,869,259 thousand therefore are not comparable with FY2025 total assets of $7,259,610 thousand without removing those amounts; the December 31, 2025 balance sheet has no discontinued-operations assets or liabilities, the Apps business having been sold on June 30, 2025.
• The annual 'interest_expense' figures come from the FY2025 10-K line captioned 'Interest expense and loss on settlement of debt' (accession 0001751008-26-000010), which reports $207,016, $317,209 and $273,508 thousand for 2025, 2024 and 2023. That caption includes the loss on settlement of debt disclosed separately in the cash flow statement and debt note of $28,375 thousand in 2024 and $4,337 thousand in 2023 (none in 2025). The quarterly and six-month 'interest_expense' figures come from the Q2 2026 10-Q's plain 'Interest expense' line (accession 0001751008-26-000059).

Uncertainties

• Purchases of property and equipment and principal payments of finance leases for the six months ended June 30, 2026 and 2025 are taken from the Free Cash Flow reconciliation in the 10-Q's management discussion rather than from the face of the condensed cash flow statement, which aggregates them into 'Other investing activities' and 'Other financing activities'. The resulting free cash flow ties to the company's published figure, but the two components are not separately shown on the statement itself.
• Total debt excludes finance lease obligations, which the balance sheet does not present as a separate line in either filing.
• Discontinued operations for the three and six months ended June 30, 2026 are printed as a dash and are recorded here as zero.

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