Truecaller Reports Preliminary Financial Results for Q4 2025
Truecaller, the leading platform for verifying contacts and blocking unwanted communication, has shared its preliminary and unaudited financial results for the fourth quarter of 2025. This update follows an earlier estimate released in December regarding ad revenue trends, emphasizing the company's commitment to transparency with its stakeholders.
Understanding Ad Revenue Trends
The expected ad revenues for the fourth quarter stand at SEK 255.2 million, reflecting a notable decrease of 22% when adjusted for constant currencies. In contrast, recurring revenues are projected at SEK 193.7 million, signifying a robust 51% increase year-over-year. Premium revenues are anticipated to reach SEK 106.0 million, an impressive growth of 53% in constant currencies compared to the same period the previous year.
The Growth of Truecaller for Business
Truecaller for Business is also witnessing substantial growth, with revenues expected to reach SEK 87.7 million, representing an increase of 48% in constant currencies from last year. Overall, total net sales for Q4 2025 are projected to be approximately SEK 451 million, marking a slight decrease of 1% compared to the same period last year.
Financial Performance and User Growth
In terms of earnings, EBITDA is expected to amount to SEK 103 million, indicating a decline of around 34% in constant currencies. The preliminary EBITDA margin stands at 22.8%, contrasting with last year's 38.5%. Notably, the average non-iOS Monthly Active Users (MAU) saw an increase to 454.2 million, which is an addition of 54.5 million users from the prior year and a growth of 12.5 million users just during Q4.
Adjustments and Comparability Items
The preliminary figures consider various items affecting comparability and adjustments that reflect one-off nature. When these are factored in, net sales exhibit an 8% decrease, whereas EBITDA falls by 22%, and ad revenues see a decline of 30%. Conversely, recurring revenues showcase a healthy growth of 46% in constant currencies.
A Message from the CEO
CEO Rishit Jhunjhunwala provided insight into the company's current status, stating, "This preliminary update aligns with our previous disclosures. Despite challenges with our major demand partner, we are focused on improving our ad operations while also enhancing our product value to users and businesses." He highlighted ongoing initiatives to optimize costs, aimed at maintaining profitability during this transition period.
Focus on Subscription Services
Truecaller has also seen promising developments in its premium subscription services, reporting a 39% growth in subscribers and an increase in conversion rates to 0.75%, up from 0.62%. This growth momentum is particularly notable on both iOS and Android platforms.
Business Strategy and Future Outlook
Truecaller continues to transition from an ad-centric revenue model toward a diversified approach incorporating both consumer and enterprise products, notably within fraud prevention and safe mobile communication. The aim is to build trust in digital interactions.
Strong Financial Position
With a stable cash flow and cash position of approximately SEK 1 billion at year-end, Truecaller is well-equipped to manage its capital allocations moving forward, enabling flexibility and strategic investments in future growth opportunities.
Frequently Asked Questions
What are the main financial highlights for Truecaller in Q4 2025?
Truecaller reported an expected ad revenue of SEK 255.2 million, a significant drop, while recurring revenues increased by 51% to SEK 193.7 million.
How did the user base of Truecaller change in Q4 2025?
The average non-iOS MAU rose to 454.2 million, indicating a growth of 12.5 million users during the quarter and a year-on-year increase of 54.5 million.
What adjustments were made to the financial results?
The financial results were adjusted for various items affecting comparability, resulting in an 8% decrease in net sales and a 22% decrease in EBITDA.
What is Truecaller's strategy moving forward?
Truecaller is transitioning from a primarily ad-driven revenue model to a more balanced approach that includes both consumer-focused and enterprise products.
What does the cash position of Truecaller look like?
Truecaller maintained a strong cash position with approximately SEK 1 billion, allowing for flexible capital allocation and strategic growth initiatives.
