Key Highlights

  • Ibotta shares are indicated up 14.20% in pre-market trading at $28.07, after surging in after-hours trading following a strong Q2 report.
  • Second-quarter revenue of $88.9 million topped the $84.95 million consensus, with non-GAAP EPS of $0.46 beating the $0.40 estimate.
  • Redemption revenue grew 10% year over year, its fastest pace since the third quarter of 2024, with third-party redemption revenue up 27%.
  • Total redeemers grew 21% to 20.9 million, and adjusted EBITDA was $16.5 million, an 18.6% margin, also beating guidance.
  • The company announced a new publisher partnership with 7-Eleven, its third major publisher addition this year, expanding its offer distribution network.

What's Driving the Pre-Market Move

Ibotta (NYSE:IBTA) shares are indicated up 14.20% in pre-market trading at $28.07, after closing regular trading up 2.42% at $24.58 on Monday and surging further in after-hours trading following a stronger-than-expected second-quarter report. The results prompted investors to reassess the stock after a prolonged multi-month decline that had left shares down roughly 27% from prior levels.

Ibotta is a Denver, Colorado-based technology company and a leading provider of digital promotions for consumer packaged goods brands, operating through its proprietary Ibotta Performance Network. The network enables CPG brands to distribute targeted digital promotions and cash back offers to over 200 million consumers through a vast network of publishers, retailers, and advertisers, using an AI-powered, pay-per-sale performance marketing model. Since its April 2024 IPO, the company has credited American consumers with over $2 billion in cash rewards, partnering with major retailers such as Walmart and Dollar General.

Ibotta reported second-quarter revenue of $88.9 million, up 3% year over year and exceeding the high end of guidance, with redemption revenue growing 10% year over year, its fastest pace since the third quarter of 2024, and third-party redemption revenue up 27%. Total redeemers grew 21% to 20.9 million, and adjusted EBITDA was $16.5 million, an 18.6% margin, also topping guidance. Non-GAAP EPS of $0.46 beat the $0.40 estimate by 15%.

Growth was driven by improved offer supply from a verticalized go-to-market sales structure and expansion of the company's Live Lift campaigns, which grew year over year and sequentially, along with seasonal event marketing playbooks such as Walmart deal days, which added 2 to 3 points of growth. Enterprise clients that had declined in 2025 largely returned to growth in the second quarter.

Publisher Network Expansion

The report also coincided with a newly announced partnership with 7-Eleven, including its 7 Now and Speedway apps across more than 11,500 stores, marking Ibotta's third major publisher addition this year. This follows Uber's native offer launch and Giant Eagle integration going live in July, reinforcing the company's publisher expansion strategy and supply-side network effects.

Direct-to-consumer redemption revenue declined 24%, and ad and other revenue fell 32% year over year due to lower DTC redeemer counts, partially offset by data revenue growth. Non-GAAP gross margin was 79.3%, down 60 basis points year over year but up 170 basis points sequentially, and the company ended the quarter with $148.2 million in cash, repurchasing $23 million in stock.

Guidance

For the third quarter, Ibotta guided revenue of $86 million to $90 million, representing roughly 6% year-over-year growth at the midpoint, and adjusted EBITDA of $12 million to $14 million, a roughly 15% margin at the midpoint. The company expects a slight sequential revenue decline due to event timing shifts into the second quarter, but anticipates modest sequential growth into the fourth quarter and exiting 2026 with mid-single-digit year-over-year growth.

Ibotta's market capitalization stood at $656.50 million at Monday's close. The stock's 52-week range spans $19.10 to $40.49, reflecting the scale of the decline the stock has seen since its April 2024 IPO even after today's pre-market gain.

Conclusion

Ibotta's strong second-quarter beat and expanding publisher network, highlighted by the new 7-Eleven partnership, appear to be prompting investors to reassess the stock after a prolonged decline. With third-quarter guidance calling for a modest sequential pullback before growth resumes later in the year, sustaining today's gains will likely depend on the company demonstrating that its publisher expansion strategy can drive consistent redemption growth.

This article is for informational purposes only and does not constitute investment advice. Readers should conduct their own research before making financial decisions.