Outbrain (OB) has revised its expected annual revenue and cost synergies after completing its acquisition of Teads. The company now anticipates achieving $65M – 75M in annual synergies by the end of FY26, with $60M attributed to cost savings. This represents an increase from previously announced expectations of $50M – 60M.
The company’s revised estimates are a result of a robust integration planning process, enabling more efficient synergy capture. Approximately 70% of compensation-related expense savings will be realized within the first month after closing. These upgraded synergies are expected to enhance the company’s growth prospects in the coming years.
Notably, the majority of the increased synergies ($45M) relate to compensation expenses, with the remainder attributed to other cost-saving measures. This revised outlook demonstrates Outbrain’s confidence in its ability to realize significant financial benefits from the acquisition.
Source: https://www.tipranks.com/news/the-fly/outbrain-sees-65m-75m-annual-synergies-from-teads-acquisition-in-fy26