Technology

Digital Turbine Reports Fiscal 2024 Fourth Quarter and Fiscal Year 2024 Financial Results

Published

7 months ago

May 28, 2024

Fourth Quarter Revenue Totaled $112.2 Million and Fiscal 2024 Revenue Totaled $544.5 Million

Fourth Quarter GAAP Net Loss of $236.5 Million, or GAAP EPS of ($2.32), Inclusive of a Noncash Goodwill Impairment Charge of $189.5 Million; Fourth Quarter Non-GAAP Adjusted Net Income1 of $12.6 Million and Non-GAAP Adjusted EPS1 of $0.12

Fourth Quarter Non-GAAP Adjusted EBITDA2 Totaled $12.3 Million and Fiscal 2024 Non-GAAP Adjusted EBITDA2 Totaled $92.4 Million

AUSTIN, Texas, May 28, 2024 /PRNewswire/ — Digital Turbine, Inc. (Nasdaq: APPS) announced financial results for the fiscal fourth quarter and fiscal year ended March 31, 2024.

Recent Financial Highlights:

Fiscal fourth quarter of 2024 revenue totaled $112.2 million, representing a year-over-year decline of 20% as compared to the fiscal fourth quarter of 2023.

GAAP net loss for the fiscal fourth quarter of 2024 was $236.5 million, or ($2.32) per share, as compared to GAAP net loss for the fiscal fourth quarter of 2023 of $13.9 million, or ($0.14) per share. GAAP net loss for the fiscal fourth quarter included a noncash goodwill impairment charge of $189.5 million. Non-GAAP adjusted net income1 for the fiscal fourth quarter of 2024 was $12.6 million, or $0.12 per share, as compared to Non-GAAP adjusted net income1 of $13.6 million, or $0.14 per share, in the fiscal fourth quarter of 2023.

GAAP net loss for fiscal 2024 was $420.4 million, or ($4.16) per share, as compared to GAAP net income for fiscal 2023 of $16.9 million, or $0.16 per share. GAAP net loss for fiscal 2024 included a noncash goodwill impairment charge of $336.6 million. Non-GAAP adjusted net income1 for fiscal 2024 was $60.3 million, or $0.58 per share, as compared to Non-GAAP adjusted net income1 of $117.4 million, or $1.15 per share, in fiscal 2023.

Non-GAAP adjusted EBITDA2 for the fiscal fourth quarter of 2024 was $12.3 million, as compared to Non-GAAP adjusted EBITDA2 of $23.1 million in the fiscal fourth quarter of 2023. Non-GAAP adjusted EBITDA2 for fiscal 2024 was $92.4 million, as compared to Non-GAAP adjusted EBITDA2 of $163.2 million in fiscal 2023.

New partnerships are set to add more than 70 million new devices globally.

“We are seeing encouraging real-time momentum in the marketplace that we believe validates our strategy and positions the Company for a return to growth in the new fiscal year,” said Bill Stone, CEO. “We have recently secured additional global device supply that we believe will help to offset recent headwinds as a result of decade-low upgrade-rates and selective app distribution limitations in the U.S. In addition to adding new devices, we are adding complementary new features on many existing devices, with momentum in the area of alternative app distribution. Recent wins on the media and advertiser side are proof points that our newly re-engineered ad tech platform is now performing at a level at which it is well-positioned to gain market share. Operationally, we have successfully modernized key product functionality and added new leadership personnel that we believe will be integral to sustained growth in the future. Our financial results reported today fail to reflect much of the real-time progress that we are making. We are increasingly convinced that we are on the right track with our overarching corporate strategy, and consequently, we are seeing signs of greater market demand for our unique product offerings that we expect will promote top-line growth, enhanced operating leverage and improved free cash flow generation for the Company in future periods.”

Fiscal 2024 Fourth Quarter Financial Results

Total revenue for the fourth quarter of fiscal 2024 was $112.2 million. Total On Device Solutions revenue before intercompany eliminations was $78.5 million. Total App Growth Platform revenue before intercompany eliminations was $34.4 million.

GAAP net loss for the fourth quarter of fiscal 2024 was $236.5 million, or ($2.32) per share, as compared to GAAP net loss for the fourth quarter of fiscal 2023 of $13.9 million, or ($0.14) per share. GAAP net loss for the fourth quarter of fiscal 2024 included a noncash goodwill impairment charge of $189.5 million.

Non-GAAP adjusted net income1 for the fourth quarter of fiscal 2024 was $12.6 million, or $0.12 per share, as compared to Non-GAAP adjusted net income1 of $13.6 million, or $0.14 per share, in the fourth quarter of fiscal 2023.

Non-GAAP adjusted EBITDA2 for the fourth quarter of fiscal 2024 was $12.3 million, as compared to Non-GAAP adjusted EBITDA2 for the fourth quarter of fiscal 2023 of $23.1 million.

Full Year Fiscal 2024 Financial Results

Total revenue for fiscal 2024 was $544.5 million. Total On Device Solutions revenue before intercompany eliminations was $370.1 million. Total App Growth Platform revenue before intercompany eliminations was $178.8 million.

Non-GAAP adjusted net income1 for fiscal 2024 was $60.3 million, or $0.58 per share, as compared to Non-GAAP adjusted net income1 of $117.4 million, or $1.15 per share, in fiscal 2023.

Non-GAAP adjusted EBITDA2 for fiscal year 2024 was $92.4 million, as compared to Non-GAAP adjusted EBITDA2 for fiscal year 2023 of $163.2 million. The reconciliations between GAAP and Non-GAAP financial results for all referenced periods are provided in the tables immediately following the Unaudited Consolidated Statements of Cash Flows below.

Business Outlook

Based on information available as of May 28, 2024, and considering the ongoing uncertainties in the macro environment, the Company currently expects the following for fiscal year 2025:

Revenue of between $540 million and $560 millionNon-GAAP adjusted EBITDA2 of between $85 million and $95 million

It is not reasonably practicable to provide a business outlook for GAAP net income because the Company cannot reasonably estimate the changes in stock-based compensation expense, which is directly impacted by changes in the Company’s stock price, or other items that are difficult to predict with precision.

About Digital Turbine, Inc.

Digital Turbine empowers superior mobile consumer experiences and results for the world’s leading telcos, advertisers, and publishers. Its end-to-end platform uniquely simplifies its partners’ abilities to supercharge awareness, acquisition, and monetization – connecting them with more consumers, in more ways, across more devices. Digital Turbine is headquartered in North America, with offices around the world. For additional information visit www.digitalturbine.com.

Conference Call

Management will host a conference call and webcast today at 4:30p ET to discuss its fiscal 2024 fourth quarter financial results and provide operational updates on the business. The conference call will discuss forward guidance and other material information. The call can be accessed online via the webcast link: https://app.webinar.net/a58rLm9LDgx. The call can also be accessed by dialing 888-317-6003 in the United States (or 412-317-6061 from international locations) and entering access code 7883119.

A playback will be available through June 4, 2024. The replay can be accessed by dialing 877-344-7529 in the United States or 412-317-0088 from international locations, passcode 4435511. An online webcast will be archived for a period of one year, and is available via the Investor Relations section of Digital Turbine’s website.

Use of Non-GAAP Financial Measures

To supplement the Company’s consolidated financial statements presented in accordance with GAAP, Digital Turbine uses non-GAAP measures of certain components of financial performance. These non-GAAP measures include non-GAAP adjusted net income and earnings per share (“EPS”), non-GAAP adjusted EBITDA, non-GAAP free cash flow and non-GAAP gross profit. Reconciliations to the nearest GAAP measures of all non-GAAP measures included in this press release can be found in the tables below.

Non-GAAP measures are provided to enhance investors’ overall understanding of the Company’s current financial performance, prospects for the future and as a means to evaluate period-to-period comparisons. The Company believes that these non-GAAP measures provide meaningful supplemental information regarding financial performance by excluding certain expenses and benefits that may not be indicative of recurring core business operating results. The Company believes the non-GAAP measures that exclude such items when viewed in conjunction with GAAP results and the accompanying reconciliations enhance the comparability of results against prior periods and allow for greater transparency of financial results. The Company believes non-GAAP measures facilitate management’s internal comparison of its financial performance to that of prior periods as well as trend analysis for budgeting and planning purposes. The presentation of non-GAAP measures is not intended to be considered in isolation or as a substitute for, or superior to, the financial information prepared and presented in accordance with GAAP.

1Non-GAAP adjusted net income and EPS are defined as GAAP net income and EPS adjusted to exclude the effect of stock-based compensation expense, amortization of intangibles, business transformation costs, transaction-related expenses, severance costs, tax adjustments, impairment of goodwill, and adjustments acquisition-related liabilities and earn-out liabilities. Readers are cautioned that non-GAAP adjusted net income and EPS should not be construed as an alternative to comparable GAAP net income figures determined in accordance with U.S. GAAP as an indicator of profitability or performance, which is the most comparable measure under GAAP.

2Non-GAAP adjusted EBITDA is calculated as GAAP net income excluding the following cash and non-cash expenses: stock-based compensation expense, depreciation and amortization, net interest income (expense), net other income (expense), change in fair value of contingent consideration, business transformation costs, foreign exchange transaction gains (losses), income tax (benefit) provision, transaction-related expenses, severance costs, impairment of goodwill, and adjustments to acquisition-related liabilities. Non-GAAP adjusted EBITDA margin is calculated as non-GAAP adjusted EBITDA as a percentage of total revenue. Readers are cautioned that non-GAAP adjusted EBITDA should not be construed as an alternative to net income determined in accordance with U.S. GAAP as an indicator of performance, which is the most comparable measure under GAAP.

3Non-GAAP free cash flow, which is a non-GAAP financial measure, is defined as net cash provided by operating activities (as stated in our Consolidated Statements of Cash Flows), excluding transaction-related expenses, severance costs and business transformation costs, reduced by capital expenditures. Readers are cautioned that free cash flow should not be construed as an alternative to net cash provided by operating activities determined in accordance with U.S. GAAP as an indicator of profitability, performance or liquidity, which is the most comparable measure under GAAP.

4Non-GAAP gross profit is defined as GAAP income from operations adjusted to exclude the effect of product development costs, sales and marketing costs, general and administrative costs, depreciation of software, and impairment of goodwill. Readers are cautioned that non-GAAP gross profit should not be construed as an alternative to income from operations determined in accordance with U.S. GAAP as an indicator of profitability or performance, which is the most comparable measure under GAAP.

Non-GAAP adjusted EBITDA, non-GAAP adjusted net income and EPS, non-GAAP free cash flow and non-GAAP gross profit are used by management as internal measures of profitability and performance. They have been included because the Company believes that the measures are used by certain investors to assess the Company’s financial performance before non-cash charges and certain costs that the Company does not believe are reflective of its underlying business.

Forward-Looking Statements

This news release includes “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Statements in this news release that are not statements of historical fact and that concern future results from operations, financial position, economic conditions, product releases and any other statement that may be construed as a prediction of future performance or events, including financial projections and growth in various products are forward-looking statements that speak only as of the date made and which involve known and unknown risks, uncertainties and other factors which may, should one or more of these risks uncertainties or other factors materialize, cause actual results to differ materially from those expressed or implied by such statements. These factors and risks include:

Risks Specific to our Business

We have a history of net lossesWe have a limited operating history for our current portfolio of assets.Growth may place significant demands on our management and our infrastructure.Our operations are global in scope, and we face added business, political, regulatory, legal, operational, financial and economic risks as a result of our international operations.Our financial results could vary significantly from quarter-to-quarter and are difficult to predict.A significant portion of our revenue is derived from a limited number of wireless carriers and customers.The risk of impairment of our goodwill.The effects of the current and any future general downturns in the U.S. and the global economy, including financial market disruptions.Our products, services and systems rely on software that is highly technical, and if it contains errors or viruses, our business could be adversely affected.Our business may involve the use, transmission and storage of confidential information and personally identifiable information, and the failure to properly safeguard such information could result in significant reputational harm and monetary damages.Our business and reputation could be impacted by information technology system failures and network disruptionsSystem security risks and cyber-attacks could disrupt our internal operations or information technology services provided to customers.Our business and growth may suffer if we are unable to hire and retain key talent.If we are unable to maintain our corporate culture, our business could be harmed.If we make future acquisitions, this could require significant management attention and disrupt our business.Adverse effects of negative developments affecting the financial services industry, including events or concerns involving liquidity, defaults, or non-performance by financial institutions.Entry into new lines of business, and our offering of new products and services, resulting from our investments may result in exposure to new risks.Litigation may harm out business.

Risks Related to the Mobile Advertising Industry

The mobile advertising business is an intensely competitive industry, and we may not be able to compete successfully.The markets for our products and services are rapidly evolving and may decline or experience limited growth.Our business is dependent on the continued growth in usage of smartphones and other mobile connected devices.Wireless technologies are changing rapidly, and we may not be successful in working with these new technologies.The complexity of and incompatibilities among mobile devices may require us to use additional resources for the development of our products and services.If wireless subscribers do not continue to use their mobile devices to access mobile content and other applications, our business growth and future revenue may be adversely affected.A shift of technology platform by wireless carriers and mobile device manufacturers could lengthen the development period for our offerings, increase our costs, and cause our offerings to be published later than anticipated.Actual or perceived security vulnerabilities in devices or wireless networks could adversely affect our revenue.We may be subject to legal liability associated with providing mobile and online services.Risks of public health issues, such as a major epidemic or pandemic.Risk related to geopolitical conditions and the global economy, including conflicts, financial markets, and inflation.Risk related to the geopolitical relationship between the U.S. and China or changes in China’s economic and regulatory landscape.

Industry Regulatory Risks

We are subject to rapidly changing and increasingly stringent laws, regulations and contractual requirements related to privacy, data security, and protection of children.We are subject to anti-corruption, import/export, government sanction, and similar laws, especially related to our international operations.Government regulation of our marketing methods could restrict or prevent our ability to adequately advertise and promote our content, products and services available in certain jurisdictions.Regulatory requirements pertaining to the marketing, advertising, and promotion of our products and services.Governmental regulation of our marketing methods.Privacy-related litigation and fines.

Risks Related to Our Intellectual Property and Potential Liability

Third parties may obtain and improperly use our intellectual property; and if so, our competitive position may be adversely affected, particularly if we do not, or are unable to, adequately protect our intellectual property rightsThird parties may sue us for intellectual property infringement, which may prevent or limit our use of the intellectual property and disrupt our business and could require us to pay significant damage awards.Our platform contains open source software.Indemnity provisions in various agreements potentially expose us to substantial liability for intellectual property infringement, damages caused by malicious software, and other losses.

Risks Relating to Our Common Stock and Capital Structure

We have secured and unsecured indebtedness, which could limit our financial flexibility.To service our debt and fund our other obligations and capital requirements, we will require a significant amount of cash, and our ability to generate cash will depend on many factors beyond our control.The market price of our common stock is likely to be highly volatile and subject to wide fluctuations, and you may be unable to resell your shares at or above the current price or the price at which you purchased your shares.Risk of not being able to raise capital to grow our business.Risk to trading volume of lack of securities or industry analysts research coverage.A material weakness in our internal control over financial reporting and disclosure controls and procedures could, if not remediated, result in material misstatements in our financial statements.Maintaining and improvising financial controls and being a public company may strain resources.Anti-takeover provisions in our charter documents could make an acquisition of our company more difficult.Our bylaws designate Delaware as the exclusive forum for certain disputes.Other risks described in the risk factors in Item 1A of our latest Annual Report on Form 10-K under the heading “Risk Factors” and subsequent Quarterly Reports on Form 10-Q filed with the Securities and Exchange Commission.

You should not place undue reliance on these forward-looking statements. The Company does not undertake to update forward-looking statements, whether as a result of new information, future events or otherwise, except as required by law.

Investor Relations Contact:
Brian Bartholomew
Digital Turbine, Inc.
brian.bartholomew@digitalturbine.com

Digital Turbine, Inc. and Subsidiaries

Condensed Consolidated Statements of Operations and Comprehensive (Loss) Income

(Unaudited)

(in thousands, except share and per share amounts)

Three months ended March 31,

Year ended March 31,

2024

2023

2024

2023

Net revenue

$ 112,223

$ 140,118

$ 544,482

$ 665,920

Costs of revenue and operating expenses

Revenue share

53,551

71,629

262,226

309,247

Other direct costs of revenue

7,555

9,007

34,799

36,445

Product development

11,284

13,399

54,157

56,486

Sales and marketing

15,935

15,278

61,481

63,295

General and administrative

42,278

39,954

169,617

154,282

Impairment of goodwill

189,459

—

336,640

—

Total costs of revenue and operating expenses

320,062

149,267

918,920

619,755

(Loss) income from operations

(207,839)

(9,149)

(374,438)

46,165

Interest and other income (expense), net

Change in fair value of contingent consideration

—

372

—

Interest expense, net

(7,938)

(7,128)

(30,838)

(23,352)

Foreign exchange transaction gain (loss)

(54)

(431)

101

(1,026)

Other expense, net

(261)

(163)

(328)

229

Total interest and other expense, net

(8,253)

(7,722)

(30,693)

(24,149)

(Loss) income before income taxes

(216,092)

(16,871)

(405,131)

22,016

Income tax provision

20,414

(3,018)

15,317

5,146

Net (loss) income

(236,506)

(13,853)

(420,448)

16,870

Less: net (loss) income attributable to non-controlling interest

—

(220)

197

Net (loss) income to Digital Turbine, Inc.

(236,506)

(13,932)

(420,228)

16,673

Other comprehensive income (loss)

Foreign currency translation adjustment

(2,462)

2,258

(6,271)

(2,386)

Comprehensive (loss) income

(238,968)

(11,595)

(426,719)

14,484

Less: comprehensive income (loss) attributable to non-controlling interest

—

519

415

Comprehensive (loss) income attributable to Digital Turbine, Inc.

$ (238,968)

$ (11,676)

$ (427,238)

$ 14,069

Net (loss) income per common share

Basic

$ (2.32)

$ (0.14)

$ (4.16)

$ 0.17

Diluted

$ (2.32)

$ (0.14)

$ (4.16)

$ 0.16

Weighted-average common shares outstanding

Basic

101,974

99,273

100,975

98,783

Diluted

101,974

100,712

100,975

101,816

Digital Turbine, Inc. and Subsidiaries

Condensed Consolidated Balance Sheets

(in thousands, except par value and share amounts)

March 31, 2024

March 31, 2023

(Unaudited)

ASSETS

Current assets

Cash

$ 33,605

$ 75,558

Accounts receivable, net

191,015

178,189

Prepaid expenses

7,704

8,589

Other current assets

10,017

3,730

Total current assets

242,341

266,066

Property and equipment, net

45,782

39,327

Right-of-use assets

9,127

10,073

Intangible assets, net

313,505

379,632

Goodwill

220,072

561,576

Other non-current assets

34,713

9,882

TOTAL ASSETS

$ 865,540

$ 1,266,556

LIABILITIES AND STOCKHOLDERS’ EQUITY

Current liabilities

Accounts payable

$ 159,200

$ 119,338

Accrued revenue share

33,934

69,221

Accrued compensation

7,209

10,984

Other current liabilities

35,681

21,377

Total current liabilities

236,024

220,920

Long-term debt, net of debt issuance costs

383,490

410,522

Deferred tax liabilities, net

20,424

13,940

Other non-current liabilities

11,670

13,919

Total liabilities

651,608

659,301

Commitments and contingencies

Stockholders’ equity

Preferred stock

Series A convertible preferred stock at $0.0001 par value; 2,000,000 shares authorized, 100,000 issued and
outstanding (liquidation preference of $1)

100

Common stock

$0.0001 par value: 200,000,000 shares authorized; 102,877,057 issued and 102,118,932 outstanding at
March 31, 2024; 100,216,494 issued and 99,458,369 outstanding at March 31, 2023

Additional paid-in capital

858,191

822,217

Treasury stock (758,125 shares at March 31, 2024 and March 31, 2023)

(71)

Accumulated other comprehensive loss

(48,955)

(41,945)

Accumulated deficit

(595,343)

(175,115)

Total stockholders’ equity

213,932

605,196

Non-controlling interest

—

2,059

TOTAL LIABILITIES AND STOCKHOLDERS’ EQUITY

$ 865,540

$ 1,266,556

Digital Turbine, Inc. and Subsidiaries

Condensed Consolidated Statements of Cash Flows

(Unaudited)

(in thousands)

Three months ended March 31,

2024

2023

Cash flows from operating activities:

Net (loss) income

$ (236,506)

$ (13,853)

Adjustments to reconcile net (loss) income to net cash provided by operating activities:

Depreciation and amortization

20,924

20,926

Non-cash interest expense

(531)

217

Allowance for credit losses

627

319

Stock-based compensation expense

6,743

10,758

Right-of-use asset

361

793

Deferred income taxes

15,909

(3,545)

Foreign exchange transaction (gain) loss

(1,607)

Impairment of goodwill

189,459

—

(Increase) decrease in assets:

Accounts receivable, gross

25,176

51,077

Prepaid expenses

2,920

1,595

Other current assets

(220)

17,809

Other non-current assets

(190)

(736)

Increase (decrease) in liabilities:

Accounts payable

108

(34,718)

Accrued revenue share

(32,119)

(5,678)

Accrued compensation

(111)

(5,097)

Other current liabilities

(2,628)

(21,828)

Other non-current liabilities

(1,732)

(570)

Net cash provided by (used in) operating activities

(11,756)

15,862

Cash flows from investing activities

Equity investments

(9,956)

(4,499)

Capital expenditures

(6,895)

(5,260)

Net cash used in investing activities

(16,851)

(9,759)

Cash flows from financing activities

Proceeds from borrowings

25,000

7,500

Payment of debt issuance costs

—

(5)

Repayment of debt obligations

(15,000)

(19,500)

Payment of withholding taxes for net share settlement of equity awards

(110)

(507)

Options exercised

925

Net cash provided by (used in) financing activities

9,975

(11,587)

Effect of exchange rate changes on cash and cash equivalents and restricted cash

2,772

1,181

Net change in cash and cash equivalents and restricted cash

(15,860)

(4,303)

Cash and cash equivalents and restricted cash, beginning of period

49,465

79,861

Cash and cash equivalents and restricted cash, end of period

$ 33,605

$ 75,558

REVENUE BY SEGMENT

(in thousands)

(Unaudited)

Three months ended March 31,

Year ended March 31,

2024

2023

% Change

2024

2023

% Change

On Device Solutions

$ 78,504

$ 96,909

(19) %

$ 370,112

$ 420,328

(12) %

App Growth Platform

34,437

44,966

(23) %

178,760

252,995

(29) %

Elimination

(718)

(1,757)

(59) %

(4,390)

(7,403)

(41) %

Consolidated

$ 112,223

$ 140,118

(20) %

$ 544,482

$ 665,920

(18) %

GAAP (LOSS) INCOME FROM OPERATIONS TO NON-GAAP GROSS PROFIT

(in thousands)

(Unaudited)

Three months ended March 31,

Year ended March 31,

2024

2023

2024

2023

Net revenue

$ 112,223

$ 140,118

$ 544,482

$ 665,920

(Loss) income from operations

(207,839)

(9,149)

(374,438)

46,165

Add-back items:

Product development

11,284

13,399

54,157

56,486

Sales and marketing

15,935

15,278

61,481

63,295

General and administrative

42,278

39,954

169,617

154,282

Depreciation of software included in other direct costs of revenue

208

1,694

4,045

6,275

Impairment of goodwill

189,459

—

336,640

—

Non-GAAP gross profit

$ 51,325

$ 61,176

$ 251,502

$ 326,503

Non-GAAP gross profit percentage

46 %

44 %

46 %

49 %

GAAP NET (LOSS) INCOME TO NON-GAAP ADJUSTED NET INCOME

(in thousands)

(Unaudited)

Three months ended March 31,

Year ended March 31,

2024

2023

2024

2023

Net (loss) income

$ (236,506)

(13,853)

$ (420,448)

$ 16,870

Add-back items:

Stock-based compensation expense

6,743

10,758

33,763

30,401

Amortization of intangibles

16,039

16,126

64,321

64,608

Adjustment to estimated earn-out liability

—

(372)

—

Tax adjustment (1)

33,817

—

33,817

—

Business transformation costs

2,127

—

9,418

—

Transaction-related expenses

177

859

338

4,739

Severance costs

710

1,066

2,795

2,176

Impairment of goodwill

189,459

—

336,640

—

Adjustment to acquisition-related liabilities

—

(1,346)

—

(1,346)

Non-GAAP adjusted net income

$ 12,566

$ 13,610

$ 60,272

$ 117,448

Non-GAAP adjusted net income per common share

$ 0.12

$ 0.14

$ 0.58

$ 1.15

Weighted-average common shares outstanding, diluted

103,451

100,712

103,928

101,816

(1) Valuation allowance

GAAP NET (LOSS) INCOME TO NON-GAAP ADJUSTED EBITDA

(in thousands)

(Unaudited)

Three months ended March 31,

Year ended March 31,

2024

2023

2024

2023

Net (loss) income

$ (236,506)

$ (13,853)

$ (420,448)

$ 16,870

Add-back items:

Stock-based compensation expense

6,743

10,758

33,763

30,401

Depreciation and amortization

20,924

20,926

83,858

81,073

Interest expense, net

7,938

7,128

30,838

23,352

Other expense, net

261

163

328

(229)

Change in fair value of contingent consideration

—

(372)

—

Business transformation costs

2,127

—

9,418

—

Foreign exchange transaction (gain) loss

431

(101)

1,026

Income tax provision

20,414

(3,018)

15,317

5,146

Transaction-related expenses

177

859

338

4,739

Severance costs

710

1,066

2,795

2,176

Impairment of goodwill

189,459

—

336,640

—

Adjustment to acquisition-related liabilities

—

(1,346)

—

(1,346)

Non-GAAP adjusted EBITDA

$ 12,301

$ 23,114

$ 92,374

$ 163,208

GAAP CASH FLOW FROM OPERATING ACTIVITIES TO NON-GAAP FREE CASH FLOW

(in thousands)

(Unaudited)

Three months ended March 31,

2024

2023

Net cash provided by (used in) operating activities

$ (11,756)

$ 15,862

Capital expenditures

(6,895)

(5,260)

Transaction-related expenses

177

859

Severance costs

710

1,066

Business transformation costs

2,127

—

Non-GAAP free cash flow provided (used) by operations

$ (15,637)

$ 12,527

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SOURCE Digital Turbine, Inc.

Technology

Science and Technology Daily: Tech with Heart AI for Good AI with a Human Touch

Published

3 hours ago

December 29, 2024

BEIJING, Dec. 29, 2024 /PRNewswire/ — In 1949, pioneering computer scientist Edmund Callis Berkeley envisioned a future filled with thinking machines in his book Giant Brains, or Machines That Think. Decades later, his vision has become a reality with artificial intelligence (AI) reshaping industries, societies and daily lives.

The progress however, is far from straightforward. While AI excites people with its potential, it also raises questions about ethics, safety and its impact on human life.

Recently, Science and Technology Daily hosted a panel discussion, “Tech with Heart, AI for Good”, on how AI empowers life and bridges human limitations but also needs guard rails to ensure it remains under control.

Omnipresent AI

AI is reshaping the way we live, work and interact with the world. For Zeng Yi, a professor at the Institute of Automation, Chinese Academy of Sciences and an expert of the United Nations’ high-level advisory body on AI, the motivation to advance AI technology lies in its potential to liberate humans from repetitive and labor-intensive tasks.

“Combining AI with robotics allows us to redirect human energy toward more creative and meaningful pursuits,” Zeng said. He highlighted how AI-powered robots are stepping into hazardous fields such as firefighting, disaster relief and space exploration. Lunar rovers equipped with advanced AI capabilities are conducting complex analyses on the moon’s surface — tasks too risky for human scientists.

Besides industrial applications, AI is making a significant impact on environmental conservation such as tracking wildlife.

AI’s potential extends into our everyday lives as well. Gao Shaolin, an expert at Peking University Law and Artificial Intelligence Research Center, mentioned a recent road trip during which he drove 3,000 kilometers on highways without coming across a single traffic accident.

“This is extraordinary,” Gao said, attributing the improvement to advancements in AI-driven safety features in modern vehicles.

From fatigue-monitoring systems in trucks to self-driving technologies in electric cars, these innovations are drastically reducing the likelihood of accidents.

However, both Zeng and Gao agreed that AI should not aim to replace humans but rather enhance human expertise and efficiency. AI can amplify human capacity, leaving room for creativity and innovation.

Responsible AI

As AI continues to evolve, responsibility becomes a critical issue. Zeng quoted Berkeley, who wrote, “It is often easier for scientists to create a device than to guide it well afterward.” Berkeley urged innovators to think beyond breakthroughs and address potential risks.

The question of accountability becomes central. Who will be responsible for any problem caused by AI? “AI is not an independent legal entity,” Gao emphasized, pointing out that current AI systems are tools rather than autonomous entities. The responsibility for their actions lies squarely with their developers, service providers and users.

“AI should be as intelligent as necessary, but it must remain under human control,” Gao stressed. As Zeng put it, “The key is ensuring AI coexists harmoniously with humans, not as a competitor but as a collaborator.”

Wu Baojun, executive deputy secretary-general of the Association for Science and Technology of the University of Chinese Academy of Sciences, said the rapid advancement of AI must be accompanied by efforts to ensure its reliability and safety within ethical frameworks.

“Our research in AI,” Wu said, “aims to explore unknown territories, eliminate human fears and make AI more reliable.”

Reliable AI

China has consistently demonstrated a forward-thinking approach to AI development, balancing technological innovation with social and ethical considerations.

As Matt Sheehan from the Carnegie Endowment for International Peace wrote in an article, “China is in the midst of rolling out some of the world’s earliest and most detailed regulations governing artificial intelligence.”

In 2017, China released the Next Generation Artificial Intelligence Development Plan to encourage diverse AI methodologies, such as deep learning, knowledge-based reasoning and large-scale modeling. The plan also emphasized ethical governance, with over a dozen references to social and legal challenges.

In May 2019, it was followed by the Beijing AI Principles, which set out clear guidelines for AI research and development, advocating respect for privacy, human dignity and human rights.

These visions were strengthened in July 2024 when the 78th UN General Assembly unanimously adopted a resolution proposed by China and co-sponsored by over 140 countries. The resolution emphasized the human-centered development of AI, international cooperation, and promotion of AI to benefit humanity as a whole.

Zeng said China’s AI strategy reflects a responsible and inclusive approach: “China’s AI development strategy is not limited to promoting domestic economic growth. They aim to empower humanity and promote sustainable development goals.”

Shared AI principles

AI governance has become a global priority with nations striving to ensure that technology develops responsibly and inclusively.

“We analyzed global AI ethics guidelines and found that 95 percent of the topics are consistent across countries. Concepts like human-centered development, transparency, fairness, safety and privacy protection are widely endorsed,” Zeng said, adding that nations worldwide largely agree on the foundational principles for AI ethics and governance.

In 2023, the Bletchley Declaration on AI safety was signed by 28 countries and the European Union. This marked the first broad agreement on the importance of AI safety as a global issue. In 2024, the UNESCO Recommendation on the Ethics of Artificial Intelligence was adopted unanimously by all member states, which is another example of the global consensus.

China is playing an active role in promoting international cooperation on AI governance. “AI must empower all nations, not just the technologically advanced ones. We should guide AI for good with collective efforts and shared responsibilities,” Gao said.

Executive Producers: Wang Junming, He Yi

Producer: Fang Linlin

Reporters: Long Yun, Zhong Jianli, Gong Qian

Subtitle Proofreaders: Wang Jing, Cen Yingjie

Video Editing Instructor: Wang Xiaolong

AI Technology Advisor: Liu Yang

Cameramen: Liu Xiao, Li Huitao, Li Tianji

Video Editor: Zhang Shunping

Reviewer: Fang Linlin

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SOURCE Science and Technology Daily

Technology

ZT Mining Pioneers Innovative Solutions in the Cloud Mining Industry

Published

19 hours ago

December 28, 2024

ZT Mining launches user-friendly cloud mining services with free options, renewable energy integration, and educational resources, promoting sustainable cryptocurrency mining.

READING, England, Dec. 28, 2024 /PRNewswire-PRWeb/ — As the cryptocurrency industry grows, the demand for accessible and efficient mining solutions has never been higher. ZT Mining, a leading innovator in cloud mining, announces a new range of services designed to democratize access to cryptocurrency mining while addressing environmental concerns.

free cloud mining site, best cloud mining, crypto mining

Cloud Mining Made Simple

ZT Mining provides a platform for users to mine Bitcoin and other cryptocurrencies without the need for specialized hardware or technical expertise. By simplifying the process, the company caters to a broad audience, from crypto enthusiasts to first-time investors. Its streamlined registration and user-friendly interface allow participants to start mining in minutes.

Free Cloud Mining Option for Starters

The platform introduces free cloud mining opportunities, enabling users to begin their mining journey without upfront costs. This initiative lowers barriers to entry, making it easier for individuals to explore the cryptocurrency space.

Sustainability at the Core

Recognizing the environmental impact of traditional mining, ZT Mining incorporates renewable energy into its operations. By leveraging green energy sources, the company reduces its carbon footprint, aligning with global sustainability goals.

A Trusted Name in Cloud Mining

ZT Mining emphasizes transparency and reliability. Contracts come with clear terms, competitive rates, and no hidden fees. The platform also offers robust security measures, ensuring user data and funds remain protected.

Empowering Users Through Education

To support informed decision-making, ZT Mining provides educational resources on cryptocurrency and cloud mining. Users can access guides and insights to better understand mining profitability and industry trends.

Industry Recognition

ZT Mining’s innovative approach has positioned it as one of the best cloud mining platforms in the industry. With endorsements from leading crypto analysts and positive user feedback, the company is quickly becoming a trusted name for mining solutions.

Looking Ahead

ZT Mining continues to innovate, aiming to provide even more opportunities for users to benefit from cloud mining. With plans to expand its renewable energy partnerships and introduce advanced mining algorithms, the company is setting the standard for sustainable and user-friendly cryptocurrency mining.

For more information, visit ZT Mining’s official website.

Media Contact

Nancy Delia, ZT CLOUD SERVICES LIMITED, 44 7301463290, nancy.delia@ztmining.com, https://ztmining.com

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SOURCE ZT CLOUD SERVICES LIMITED

Technology

UBHOME Collaborates with Qualcomm to Release the Smart Lawn Mower, Co-Creating a New Era of Smart Life

Published

24 hours ago

December 28, 2024

The 2025 CES in the United States is about to unveil a brand-new chapter in the future intelligent home gardening

LAS VEGAS, Dec. 28, 2024 /PRNewswire/ — UBHOME, a sub-brand of UBTECH Robotics, announced an intelligent service robot in collaboration with Qualcomm Technologies, Inc. The Robotic Mower M10 is a revolutionary smart lawn mower announced at the 2025 International Consumer Electronics Show (CES) in the United States. This product is powered by the Qualcomm® RB1 Robotics Platform, showcases UBHOME’s rich experience in robot research and development, and focuses on solving the pain points of traditional lawn-mowing equipment, providing users with a worry-free and labor-saving smart gardening experience, and creates a new model of gardening intelligence.

User-Oriented: The All-New Convenience Brought by the Smart Lawn Mower to Life

The Robotic Mower M10 is not only a high performance tool but also an upgrade of the smart lifestyle. In response to the pain points of users when using traditional lawn-mowing equipment, this product offers a series of practical functions, bringing brand-new convenience to home gardening:

Wireless and Borderless Mowing: There is no need for cumbersome boundary wire installation anymore. The device relies on accurate environmental perception and navigation technology to independently plan the work area, allowing users to use it right out of the box, saving installation time and energy.

Automatic Mowing, Saving Time and Effort: The device can automatically complete the lawn mowing work according to the preset schedule or real-time instructions, enabling users to manage the lawn care through delegation to the mower.

Wide Coverage and Stable Signal: It supports a large-scale signal connection of up to 130,000 square meters. Even for extremely large courtyards, stable operation can be ensured, and there is no need to worry about signal loss.

Real-time Online, in-control Anytime: Through APP remote control and real-time monitoring, users can adjust the mowing plan or check the device status at any time, managing the courtyard work as they like.

The combination of these functions not only greatly simplifies the complexity of mowing work but also liberates users from repetitive physical labor, allowing them to focus on enjoying the wonderful moments of life.

UBHOME: In-depth Layout in Smart Home

UBHOME is a brand under UBTECH Robotics that focuses on providing smart solutions for families. As a world-leading robot enterprise, UBTECH, with its strong R&D strength and technological accumulation, has successfully launched Walker, China’s first commercial bipedal human-sized humanoid robot. The launch of the Robotic Mower M10 by UBHOME this time is an important step in its layout in the smart home field.

Relying on UBTECH’s technological accumulation in robots and its in-depth understanding of user needs, the Robotic Mower M10 achieves the best mowing effect through environmental recognition and dynamic adjustment. Whether it is complex terrain, steep slopes, or high requirements for fine mowing, it can perform perfectly, demonstrating its excellent technical capabilities and brand commitment.

As a global leader in wireless technology and edge intelligence, Qualcomm Technologies provides cutting-edge technical support for the Robotic Mower M10, including intelligent edge computing platforms, dynamic path planning, and environmental perception technologies. These technologies ensure that the device can operate efficiently in various environments, providing users with a precise and efficient smart experience. The Robotic Mower M10 utilizes the Qualcomm RB1 Robotics Platform to ensure the superior operation of the Robotic Mower M10 in large-scale courtyards, laying a solid foundation for realizing smart life.

Industry Significance and Trend: Promoting the Development of Gardening Intelligence

With the continuous increase in the demand for home intelligence, the market for smart gardening equipment is in a period of rapid development. As a typical representative of this trend, the smart lawn mower not only meets consumers’ pursuit of a convenient lifestyle but also provides a direction for the transformation of the gardening industry from tool manufacturing to smart services.

The product released by UBHOME not only fills the gap in the high-performance lawn-mowing equipment market but also sets a new industry benchmark. Through the multiple advantages of wireless, real-time connection, and fully automated operation, it endows home gardening with new value, making users no longer regard mowing as a burden but feel the convenience and fun brought by technology.

Innovation Hand in Hand, Co-creating Smart Life

The collaboration between UBHOME and Qualcomm Technologies showcases a strong collaboration of technology and innovation. Both parties are committed to bringing more convenient and efficient life experiences to consumers through technological innovation.

At the 2025 CES, UBHOME and Qualcomm Technologies will showcase the innovative functions and application scenarios of this Robotic Mower M10.

About UBHOME

UBHOME is a brand under UBTECH Robotics, focusing on providing smart solutions for families. UBTECH is a world-leading robot enterprise dedicated to the research and development and application of artificial intelligence and robot technology and has successfully served more than 900 enterprise-level customers in more than 50 countries around the world.

Media Contact Information
For more information, please contact:
UBHOME Brand Team: mbu-sales@ubtrobot.com

Qualcomm is a trademark or registered trademark of Qualcomm Incorporated. Qualcomm branded products are products of Qualcomm Technologies, Inc. and/or its subsidiaries. 

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SOURCE UBTECH ROBOTICS CORP LTD