Filing Flows › Direct Digital Holdings (DRCT) › Q4 2025
Direct Digital Holdings (DRCT) Q4 2025 earnings results (fourth quarter 2025)
10-K filed Mar 31, 2026
Direct Digital Holdings (DRCT) reported revenue of $8.4M for the fourth quarter 2025 (Q4 2025), -7% from a year earlier and +5% from the quarter before. Operating margin was -53.5%, net loss $12.6M (149.7% of revenue).
Direct Digital Holdings, Q4 2025: revenue $8.4M (-7% year over year), operating margin -53.5%, net loss $12.6M, operating cash flow −$1.9M. The chart follows the revenue to costs, profit and cash.
| Q4 2025 | Amount | Q/Q | Y/Y |
|---|---|---|---|
| Revenue | $8.4M | +5% | -7% |
| Operating profit | −$4.5M | — | — |
| Net earnings | −$12.6M | — | — |
| Operating cash flow | −$1.9M | — | — |
What changed
Revenue was $8.4M in Q4 2025, down 7% year over year and up 5% from the previous quarter. Buy-side advertising was the largest line at 98% of revenue.
Gross margin was 26.8%, down 5.7 points from Q4 2024. Operating costs exceeded revenue by $4.5M, an operating margin of -53.5%. Operating expenses fell 12% while revenue fell 7%. The quarter ended with a net loss of $12.6M, wider than the previous quarter's $5.0M loss. Minority interests bore $925K of it: to shareholders the quarter was a loss of $11.7M. Net interest and other expense of $8.1M was the main reason.
Operating cash flow was −$1.9M. Non-cash charges added back $47K of depreciation and amortization and $391K of share-based compensation. Working capital and other items added $10.3M.
Questions
What was Direct Digital Holdings' revenue in the fourth quarter 2025?
Direct Digital Holdings (DRCT) reported revenue of $8.4M for the fourth quarter 2025 (Q4 2025), -7% from a year earlier and +5% from the quarter before.
Was Direct Digital Holdings profitable in the fourth quarter 2025?
Operating loss was $4.5M (-53.5% of revenue) and net loss $12.6M.