Magnite Raises Full-Year Contribution Growth Outlook

The Tip Desk · August 5, 2026 · 3 min read

Second-quarter Contribution ex-TAC reached $189.6 million, 17% above a year earlier, and the company lifted full-year growth to 13%–14% from at least 11%.

Magnite (MGNI), the largest independent sell-side advertising company, reported second-quarter Contribution ex-TAC of $189.6 million, up 17% from a year earlier, a pace that accelerated from 10% growth in the first quarter and exceeded the high end of its $177 million to $181 million outlook.

Revenue was $192.8 million, up 11% year-over-year, after 6% growth in the prior quarter. Gross profit was $130.8 million, up 21% from a year earlier.

The inflection sat in both of the company’s reportable contribution lines. Contribution ex-TAC attributable to CTV was $97.1 million, up 36% year-over-year, faster than the 30% increase in the first quarter and above the high end of the $90 million to $92 million range the company had set. Contribution ex-TAC attributable to DV+ was $92.5 million, up 2% year-over-year, a return to growth after a 5% year-over-year decline in the first quarter and above the high end of the $87 million to $89 million range.

Chief Executive Michael G. Barrett said the company “significantly beat consensus expectations on both the top and bottom line in the second quarter, driven by outperformance in CTV—which grew 36% year-over-year—and a return to growth in DV+.” He said CTV momentum “continues to be broad-based across leading publisher partners and anchored by the strategic differentiation of SpringServe,” and that the company is “pleased with our agentic product launches and partner support.”

Profitability moved with the mix. Adjusted EBITDA was $70.6 million, up 30% year-over-year, after 16% growth in the first quarter. The Adjusted EBITDA margin was 37%, compared with 27% in the first quarter. Net income was $19.4 million, or $0.13 a share, compared with $4.4 million, or $0.03 a share, in the first quarter. Non-GAAP earnings were $0.26 a share. Operating cash flow was $57.4 million.

The company raised its full-year 2026 outlook on every line it had previously set. It now expects total Contribution ex-TAC growth of 13% to 14%, up from at least 11%. Adjusted EBITDA percentage growth is now expected to be greater than 20%, from the mid-teens. The Adjusted EBITDA margin is now expected to be at least 37%, from at least 35.5%. Free cash flow growth is now expected in the high 40% range, from the mid-30% range.

For the third quarter, Magnite expects total Contribution ex-TAC of $188 million to $192 million, CTV Contribution ex-TAC of $98 million to $100 million, and DV+ Contribution ex-TAC of $90 million to $92 million. Adjusted EBITDA operating expenses are guided at $119 million to $121 million.

Barrett said that, given “strong execution and ongoing shift toward programmatic streaming,” the company is raising both its full-year top-line and margin expectations. He said Magnite is “uniquely positioned between supply and demand,” and that with its agentic offerings the company “will benefit from serving as vital infrastructure for the future of digital advertising.”

Cash and cash equivalents were $332.6 million at June 30, 2026. The company is the world’s largest independent sell-side advertising company, with publishers using its technology to monetize content across CTV, online video, display, and audio.