Perion Network Clocks 34% Top-Line Growth In Q2; Reiterates FY22 Revenue Outlook

Perion Network Ltd PERI reported second-quarter FY22 revenue growth of 34% year-on-year to $146.7 million, beating the consensus of $146.3 million.
Display Advertising revenues rose 41% Y/Y to $81.6 million, primarily from video and CTV revenue growth.
Search Advertising revenue increased 26% Y/Y to $65.1 million, primarily due to a 42% increase in average RPM and a 33% increase in the number of publishers.
Non-GAAP EPS of $0.51 beat the consensus of $0.32.
Adjusted EBITDA margin expanded to 47% of revenue excluding traffic acquisitions costs compared to 33% last year. The margin expanded due to the continuous improvement of iHub.
Perion Network generated $25.7 million in operating cash flow and held $353 million in cash and equivalents.
Outlook: Perion reiterated the FY22 revenue outlook of $620 million - $640 million versus the consensus of $627 million.
Price Action: PERI shares traded higher by 5.29% at $20.50 in the premarket session on the last check Wednesday.