Segments

3 Months Ended

Mar. 31, 2025

Segment Reporting [Abstract]

Segments

Segments

The Company determines its operating segments based on how its chief operating decision maker ("CODM") manages the business, allocates resources, makes operating decisions and evaluates operating performance. The Company’s CODM is the Chief Executive Officer. The Company's two operating and reportable segments are as follows:

•Advertising: Revenue is generated primarily from fees paid by advertisers for the placement of ads on mobile applications owned by Publishers.

•Apps: Revenue is generated when a user of one of the Apps makes an in-app purchase ("IAP Revenue") and when clients purchase the digital advertising inventory of the Company's portfolio of Apps ("IAA Revenue").

The CODM evaluates the performance of each operating segment using revenue and segment Adjusted EBITDA. The Company defines segment Adjusted EBITDA as revenue less expenses, excluding depreciation and amortization and certain items that the Company does not believe are reflective of the operating segments’ core operations. Expenses include indirect costs that are allocated to operating segments based on a reasonable allocation methodology, which are generally related to sales and marketing activities and general and administrative overhead. Revenue and expenses exclude transactions between the Company's operating segments.

The CODM uses segment Adjusted EBITDA to allocate resources during the annual budgeting and forecasting process. The CODM considers segment Adjusted EBITDA when making decisions on operating and capital resource allocation. Additionally, the CODM uses segment Adjusted EBITDA to evaluate operating strategy and assess segment performance by comparing the results of each segment.

The CODM does not evaluate operating segments using asset information, and, accordingly, the Company does not report asset information by segment.

The following table provides information about the Company's reportable segments and a reconciliation of the total segment Adjusted EBITDA to income before income taxes (in thousands):

	Three Months Ended March 31,
	2025		2024
Advertising:
Revenue	$	1,158,974	$	678,370
Less:
Data center costs	(122,358)		(94,133)
Personnel related expenses	(52,282)		(56,808)
Other expenses1	(41,106)		(35,409)
Advertising Adjusted EBITDA	943,228		492,020
Apps:
Revenue	$	325,047	$	379,745
Less:
User acquisition costs	(111,447)		(150,636)
Payment processing fees	(62,427)		(75,611)
Professional services costs	(61,420)		(58,831)
Other expenses2	(27,954)		(37,916)
Apps Adjusted EBITDA	61,799		56,751
Total Segment Adjusted EBITDA	$	1,005,027	$	548,771
Interest expense	$	(52,888)	$	(74,182)
Other income, net	9,042		3,397
Amortization, depreciation and write-offs	(79,887)		(112,667)
Goodwill impairment	(188,943)		—
Loss on disposal of long-lived assets	—		(1,646)
Non-operating foreign exchange gain (loss)	40		(106)
Stock-based compensation	(61,383)		(95,253)
Transaction-related expense	(6,005)		(369)
Restructuring costs	(6,609)		—
Income before income taxes	$	618,394	$	267,945

1 Other segment items for the Advertising reportable segment include professional services costs, facilities costs, advertising costs, software costs, and other individually insignificant costs.

2 Other segment items for the Apps reportable segment include personnel related expenses, data center costs, facilities costs, software costs, and other individually insignificant costs.