Ziff Davis Reports 9.8% Revenue Growth to $352.2 Million in Q2 2025

Ziff Davis, Inc. reported a revenue increase of 9.8% for the second quarter of 2025, reaching $352.2 million compared to $320.8 million in the same period of 2024. For the first half of 2025, total revenues rose 7.2% to $680.8 million from $635.3 million year-over-year. The growth was primarily driven by a $26.5 million increase in advertising and performance marketing revenues, particularly in the Health & Wellness and Technology & Shopping segments. Subscription and licensing revenues also saw a boost, increasing by $7.2 million, largely due to growth in the Connectivity segment.

In terms of profitability, Ziff Davis reported a net income of $26.3 million for the second quarter of 2025, down from $36.9 million in the prior year, resulting in a diluted earnings per share of $0.62 compared to $0.77. For the first half of 2025, net income was $50.6 million, slightly up from $47.5 million in the same period of 2024. The decline in quarterly net income was attributed to increased interest expenses and fluctuations in non-operating income, including a significant loss on foreign currency transactions.

The company has been active in acquisitions, completing five immaterial acquisitions in the first half of 2025 for a total consideration of $64 million. These acquisitions are expected to enhance Ziff Davis's market presence and service offerings. The company also reported a decrease in cash and cash equivalents to $457.3 million as of June 30, 2025, down from $505.9 million at the end of 2024, reflecting cash used for acquisitions and share repurchases.

Operationally, Ziff Davis reported a decrease in customer counts in some segments, with the Technology & Shopping segment serving 619,576 customers, while the Health & Wellness segment grew to 866,839 customers. The company’s total operating costs increased to $318.7 million in the second quarter, up from $292.2 million in the prior year, driven by higher sales and marketing expenses and increased costs associated with acquisitions. The company’s employee headcount has also seen fluctuations due to these acquisitions.

Looking ahead, Ziff Davis remains focused on expanding its market share and enhancing its service offerings through strategic acquisitions. The company anticipates that its existing cash reserves, along with cash generated from operations, will be sufficient to meet its working capital needs and support future growth initiatives. However, management has acknowledged potential risks related to macroeconomic conditions, including inflation and interest rate fluctuations, which could impact future performance.