Integral Ad Science Holding Corp.

Total revenue increased 16% year over year to $149 million, ahead of outlook. Adjusted EBITDA increased 12% to $52 million, with a 35% margin. Gross margin was 77%. Net income was $16 million, or $0.10 per share, versus $8 million, or $0.05 per share, in Q2 2024. Optimization revenue grew 16% to $68 million; measurement revenue increased 8% to $57 million; publisher revenue increased 36% to $24 million; and international revenue grew 8% to $43 million. For Q3 2025, IAS expects revenue of $148 million to $150 million and adjusted EBITDA of $51 million to $53 million. For full-year 2025, IAS raised revenue guidance to $597 million to $605 million and adjusted EBITDA guidance to $208 million to $214 million; gross margin is expected to be 77% to 79% for the year.

Lisa Utzschneider said IAS continued to deliver profitable growth and exceeded expectations in Q2, driven by customer expansion, new logos, and global reach. She emphasized that IAS is investing in AI infrastructure, product innovation, and platform partnerships to support demand across performance, reach, and innovation. Her tone was confident and upbeat, with repeated references to strong momentum, broad product adoption, and significant runway for growth.

Alpana Wegner said Q2 revenue of $149 million was lifted by higher-than-expected spend on social measurement and optimization, plus contributions from new customers including Oracle wins. She noted gross margin was 77% due to infrastructure investment and higher optimization costs, while operating cash flow was $55 million and cash and equivalents were $91 million; the company also paid off its remaining long-term debt and extended its $300 million credit facility with accordion capacity to at least $550 million. She guided Q3 revenue to $148 million-$150 million, Q3 adjusted EBITDA to $51 million-$53 million, full-year revenue to $597 million-$605 million, and full-year adjusted EBITDA to $208 million-$214 million, while expecting full-year gross margin of 77% to 79%.

Analysts focused on Oracle/Moat customer ramp, the drivers of publisher growth, and whether Social Optimization has reached a tipping point for customer adoption. Management said Oracle customers are increasingly cross-selling and upselling into optimization, while publisher growth is being supported by OEM partnerships, Vault, Publica, and new customers in EMEA and APAC. On social, Lisa said adoption of Prebid Social Optimization has more than doubled from Q1 to Q2, with strong traction internationally, especially in EMEA, and also highlighted a new Meta/Threads test for third-party brand safety and suitability measurement.