Nexxen International (NASDAQ:NEXN) Issues Quarterly Earnings Results

Key Points

• Nexxen exceeded quarterly expectations, reporting adjusted earnings of $0.23 per share versus the $0.20 consensus and revenue of $100.52 million versus $93.09 million. Contribution ex-TAC rose 11% year over year to $97.8 million, while operating cash flow improved to $61.3 million.
• Growth was led by connected TV and mobile advertising: CTV revenue reached a record $37.8 million, up 33%, and mobile revenue increased 23%. Management said momentum continued into the third quarter, supported by enterprise adoption, data products, premium media and AI-powered campaign execution.
• The company raised its 2026 revenue outlook for contribution ex-TAC to $388–$402 million and programmatic revenue to $380–$393 million, while reaffirming full-year EBITDA guidance. Analysts remain broadly positive, with nine Buy ratings and one Hold and an average price target of $11.61.

Nexxen International (NASDAQ:NEXN - Get Free Report) announced its quarterly earnings results on Wednesday. The company reported $0.23 earnings per share for the quarter, topping the consensus estimate of $0.20 by $0.03, FiscalAI reports. The company had revenue of $100.52 million for the quarter, compared to the consensus estimate of $93.09 million. Nexxen International had a return on equity of 7.78% and a net margin of 4.85%.

Here are the key takeaways from Nexxen International's conference call:

• Q2 results exceeded consensus, with contribution ex-TAC rising 11% year over year to $97.8 million and programmatic revenue increasing 12% to $95.2 million. Operating cash flow improved substantially to $61.3 million, while the company maintained a debt-free balance sheet.
• CTV revenue reached a record $37.8 million, up 33% year over year, and mobile revenue increased 23%. Management said momentum has continued into Q3, supported by enterprise adoption, data products, premium media, and mobile in-app execution.
• Nexxen raised its 2026 contribution ex-TAC guidance to $388–$402 million and programmatic revenue guidance to $380–$393 million. The company expects additional upside from U.S. midterm election advertising and expects Nexxen TV Home Screen to contribute meaningfully beginning in Q4 and ramp through 2027.
• Enterprise spend grew more than 25% year over year, while advertisers activated through enterprise customers increased to more than 750 from fewer than 400 a year earlier. Management emphasized that nexAI, integrated with proprietary data and the end-to-end platform, is improving campaign outcomes and encouraging customers to shift more budget to Nexxen.
• Adjusted EBITDA was $27.6 million, or a 28% margin, and full-year EBITDA guidance was reaffirmed rather than raised despite the higher revenue outlook. Management cited increased spending on AI, data, infrastructure, platform capabilities, and go-to-market execution, along with approximately $2.5 million of first-half foreign-exchange pressure, while desktop and non-programmatic businesses declined.

Nexxen International Stock Up 1.1%

Nexxen International stock traded up $0.12 during mid-day trading on Wednesday, reaching $10.60. 344,968 shares of the company's stock were exchanged, compared to its average volume of 362,975. The company has a quick ratio of 1.25, a current ratio of 1.25 and a debt-to-equity ratio of 0.04. Nexxen International has a twelve month low of $5.60 and a twelve month high of $11.13. The company has a market cap of $596.57 million, a P/E ratio of 35.33 and a beta of 1.60. The company has a fifty day moving average of $9.48 and a 200-day moving average of $7.86.

Insider Activity at Nexxen International

In other news, CFO Sagi Niri sold 68,886 shares of the company's stock in a transaction on Monday, June 29th. The stock was sold at an average price of $9.08, for a total transaction of $625,484.88. Following the sale, the chief financial officer owned 381,856 shares of the company's stock, valued at approximately $3,467,252.48. This represents a 15.28% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders have sold a total of 258,468 shares of company stock valued at $2,350,050 in the last three months.

Institutional Inflows and Outflows

Institutional investors and hedge funds have recently bought and sold shares of the stock. California State Teachers Retirement System purchased a new stake in Nexxen International during the 2nd quarter worth about $25,000. Quantbot Technologies LP acquired a new position in shares of Nexxen International during the third quarter worth about $43,000. New York State Common Retirement Fund purchased a new stake in shares of Nexxen International during the second quarter worth approximately $124,000. Jump Financial LLC purchased a new stake in shares of Nexxen International during the fourth quarter worth approximately $95,000. Finally, FourThought Financial Partners LLC acquired a new stake in Nexxen International in the third quarter valued at approximately $168,000. 54.24% of the stock is owned by institutional investors and hedge funds.

Analyst Upgrades and Downgrades

NEXN has been the topic of a number of analyst reports. Raymond James Financial raised their price objective on shares of Nexxen International from $9.00 to $11.00 and gave the stock an "outperform" rating in a research note on Wednesday, June 17th. Rosenblatt Securities reiterated a "buy" rating and issued a $16.00 price objective on shares of Nexxen International in a research report on Wednesday, June 17th. Royal Bank Of Canada increased their target price on shares of Nexxen International from $10.00 to $11.00 and gave the stock an "outperform" rating in a research note on Thursday, May 14th. Scotiabank lifted their price target on Nexxen International from $10.00 to $11.00 and gave the company a "sector outperform" rating in a research note on Wednesday, June 17th. Finally, Needham & Company LLC increased their price target on Nexxen International from $8.50 to $10.50 and gave the stock a "buy" rating in a research report on Wednesday, June 17th. Nine investment analysts have rated the stock with a Buy rating and one has issued a Hold rating to the company. According to data from MarketBeat.com, Nexxen International presently has an average rating of "Moderate Buy" and an average price target of $11.61.

About Nexxen International

Tremor International Ltd provides end-to-end software platform that enables advertisers to reach relevant audiences and publishers. The company's demand side platform (DSP) offers full-service and self-managed marketplace access to advertisers and agencies to execute their digital marketing campaigns in real time across various ad formats. Its sell supply side platform (SSP) provides access to data and a comprehensive product suite to drive inventory management and revenue optimization. The company also offers data management platform solution, which integrates DSP and SSP solutions enabling advertisers and publishers to use data from various sources in order to optimize results of their advertising campaigns.

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