• Rakuten for groceries and in-store shopping.
• Honey, but for cash back on everyday groceries and store purchases.

• Ibotta Mobile App: A consumer-facing application offering cash back and rewards for purchases made in-store, online, and for grocery pickup.
• Ibotta Publisher Platform: A business-to-business service enabling other applications and websites to integrate and offer Ibotta's cash-back promotions to their own users.

• Walmart (WMT)
• Target Corporation (TGT)
• The Kroger Co. (KR)
• Procter & Gamble (PG)
• PepsiCo, Inc. (PEP)
• Unilever (UL)
• The Coca-Cola Company (KO)

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1. Legal and Regulatory Fallout / Client Concentration Risk: Ibotta is currently facing a class-action lawsuit alleging that its IPO documents failed to disclose the "at-will" nature of its contract with a major client, The Kroger Co., which was subsequently terminated. This legal exposure has already led to a substantial drop in Ibotta's stock price and could result in significant financial liabilities from settlements. This risk is compounded by Ibotta's reliance on a few major clients for a substantial portion of its revenue, making it vulnerable to the loss of key contracts.
2. Operational Challenges and Revenue Decline: The company is experiencing operational uncertainties, including challenges in aligning consumer packaged goods (CPG) supply with its expanding user base and execution issues. There are also concerns about eroding margins, particularly due to a shift from a direct-to-consumer (D2C) model to a third-party publisher (3P) model, which can lead to lower gross margins and reduced revenue. Analysts have forecasted a potential decline in Ibotta's revenue, indicating demand challenges for its products and services.
3. Inability to Achieve and Sustain Profitability: Ibotta has a history of net losses and anticipates that its operating expenses will continue to increase as it invests in business growth and incurs costs associated with being a public company. This ongoing increase in expenses, coupled with pressure on its revenue and margins, presents a significant risk to the company's ability to achieve and maintain long-term profitability.

• The **Ibotta Performance Network (IPN)**: This platform allows CPG brands and network publishers to deliver digital offers and promotions to over 200 million consumers. The IPN enables marketers to influence consumer purchases and only pay when campaigns directly result in a sale.
• Its direct-to-consumer **mobile application**: This app provides cash back rewards on various purchases, serving as a core mechanism for consumer engagement.
• **LiveLift™**: A tool launched under the IPN designed to help CPG brands maximize the profitability of their promotions through in-flight campaign measurement and optimization.

1. Expansion of the Ibotta Performance Network (IPN) through New and Existing Publisher Partnerships: Ibotta has seen significant growth in redeemers due to expanding its network with major retailers and platforms. The expansion of the Walmart program to all Walmart customers with a Walmart.com account, the multi-year partnership with Instacart, and the partial launch with DoorDash are key examples of this growth. The company continues to be optimistic about bringing on new publishers and further expanding programs with existing partners like Walmart, which are expected to materially contribute to the business in the coming years.
2. Transformation to a Performance Marketing Platform for CPG Brands: Ibotta is undergoing a company-wide transformation to shift from a promotions vendor to a performance marketing platform that can capture larger Consumer Packaged Goods (CPG) media budgets. This involves reinventing how promotions are measured and purchased, aiming for campaigns that can be turned on and left on as long as they deliver positive incremental returns on investment, thereby capturing a greater portion of the total addressable market for CPG marketing spend.
3. Introduction of New Innovations in Measurement and Targeting (LiveLearn): A significant driver is the launch of LiveLearn, described as the first performance marketing platform for CPG that enables real-time ROI measurement of digital rewards and promotions. This platform allows for campaign optimization during execution, rather than just post-campaign analysis, and integrates with third-party data providers for independent validation of incremental sales lift. The use of AI and machine learning to test and optimize promotional hypotheses in real time is also a key aspect of this innovation.
4. Growth in Redeemer Activity and Engagement: The growth in the number of redeemers on the Ibotta Performance Network (IPN) is a consistent driver of revenue. For instance, the IPN experienced a 63% year-over-year increase in redeemers in Q3 2024, reaching 15.3 million. This growth is fueled by expanded partnerships and the ongoing demand from consumers to save money.
5. Expansion into New Product Categories and Enhanced Offer Supply: Ibotta is exploring expanding into new categories such as travel and financial services to diversify revenue streams. Additionally, the company is focused on increasing the supply of offers, including the anticipated launch of beer, wine, and spirits offers, to meet the "ravenous demand" from consumers within its existing network and through new publishers.

Share Repurchases

• Ibotta's Board of Directors approved an increase to its share repurchase program in June 2025, authorizing the purchase of up to an additional $100 million of Class A common stock.
• In 2024, Ibotta utilized $31.3 million from its share repurchase authorization.
• As of the end of Q1 2025 (March 2025), $96.1 million remained under the company's then-current share repurchase authorization.

Share Issuance

• Ibotta completed its Initial Public Offering (IPO) on April 18, 2024, selling 2.5 million shares of Class A common stock at $88.00 per share, which generated net proceeds of $198.0 million for the company.
• The total IPO offering included 6.56 million shares, with existing shareholders selling an additional 4.06 million shares, from which Ibotta did not receive proceeds.
• The overall offer amount for the IPO, including shares sold by existing shareholders, totaled approximately $577.3 million.

Inbound Investments

• Ibotta raised $198.0 million in net proceeds from its Initial Public Offering (IPO) in April 2024.
• Walmart is a significant shareholder, holding 5% or more of the company's stock, and has the right to purchase over 3.5 million shares.

Capital Expenditures

• Capital expenditures for fiscal year 2024 amounted to $9.3 million, representing a 21.48% increase from the prior year.
• In the second quarter of 2025, capital expenditures were $3.4 million, an increase of 59.08% compared to the same period in 2024.
• Expected capital expenditures are projected to be $6 million for 2025 and $7 million for each year from 2026 to 2029, with a focus on enhancing the Ibotta Performance Network (IPN) through technology investments like campaign manager product development and AI-powered tools.