Integral Ad Science (IAS) is a global media measurement and optimization platform specializing in improving advertisers’ digital investments through advanced technology solutions. The company serves a wide range of clients, including marketers, publishers, and media platforms.

IAS has shown a significant rise in performance, reporting a 17% increase in total revenue for the first quarter of 2025 to $134.1 million, compared to $114.5 million in the same quarter last year. Adjusted EBITDA was reported at $41.5 million with a 31% margin, an increase of 26% from $33.1 million in the prior-year period. Net income for the quarter stood at $8 million, or $0.05 per share, compared to a net loss of $1.3 million, or $0.01 per share, in Q1 2024.

The revenue increase in Q1 was primarily driven by a 24% rise in optimization revenue, which reached $64.8 million, alongside a 33% increase in publisher revenue to $20.9 million. Measurement revenue grew by 4%, totaling $48.4 million, supported by a 15% growth in social media revenue. International revenue, outside of the Americas, increased by 18% to $42.7 million, representing 32% of total revenue.

Gross profit for the quarter amounted to $103.9 million at a margin of 78%, up from 77% in the previous year. The company’s operating expenses grew by 13% year-over-year to $62.5 million, while stock-based compensation for this period totaled $15.5 million.

Looking ahead, IAS has revised its guidance for the second quarter of 2025, expecting total revenue to be between $142 million and $144 million, equating to an 11% increase year-over-year at the midpoint. Adjusted EBITDA for the second quarter is anticipated to range from $45 million to $47 million, which would correspond to a 32% margin at the midpoint. For the full year of 2025, IAS now expects total revenue of $590 million to $600 million, indicating a 12% increase from the prior year’s estimates, with adjusted EBITDA projected in the range of $204 million to $210 million at a 35% margin.

IAS’s performance metrics reveal a net revenue retention rate of 109% for the quarter, with a rise in the number of large advertising customers from 227 in Q1 2024 to 239 as of March 31, 2025. Cash and cash equivalents at the end of the quarter amounted to $59.1 million, alongside a reduced total debt of $15 million.

The quarterly results underscore IAS’s strategic focus on enhancing performance, innovation, and global reach as integral components of its growth strategy.