Zeta Global (ZETA) Extends Beat-and-Raise Streak: Eyeing $2.3B Revenue by 2028

Zeta Global (ZETA), a prominent player in the AI-powered marketing cloud space, has once again demonstrated its robust financial health and strategic execution, extending its remarkable "beat-and-raise" streak to an impressive eighteen consecutive quarters. This consistent outperformance underscores the company's strong operational momentum and its ability to not only meet but exceed market expectations. With an eye firmly on the future, Zeta Global has now set an ambitious target of reaching $2.3 billion in revenue by 2028, solidifying its position as a growth leader in the competitive digital marketing landscape. The latest Zeta Global earnings reports paint a picture of accelerated growth, enhanced profitability, and strategic expansion. Investors and industry observers are keenly watching as ZETA transitions into a new phase of sustained profitability while continuing to innovate and capture market share. This article delves into the key highlights from their recent financial disclosures, explores the underlying drivers of their success, and examines the ambitious targets that define their forward-looking strategy.

A Deep Dive into Zeta Global's Stellar 2025 Performance

Zeta Global’s financial results for 2025 underscore a period of significant achievement and operational excellence. The company reported full-year 2025 revenue of $1,305 million, marking a substantial 30% year-over-year increase. This top-line growth was complemented by impressive improvements in profitability and cash flow. Adjusted EBITDA for the full year reached $279 million, surging 44% year-over-year with an expanded margin of 21.4%. Crucially, Zeta Global also demonstrated robust cash generation, with free cash flow for 2025 hitting $199 million, a remarkable 49% increase year-over-year, boasting a 12.6% margin and a 59% conversion rate of adjusted EBITDA. This strong cash performance provides the financial flexibility for continued investment in growth initiatives and shareholder returns. Beyond the headline financial figures, several operational metrics highlight Zeta’s increasing market penetration and customer loyalty:

Net Revenue Retention (NRR): A record 120% in 2025, up from 114% in 2024. This metric is particularly significant for software and data companies, indicating that existing customers are not only staying with Zeta but are also increasing their spending. An NRR above 100% signifies strong customer satisfaction and successful upselling/cross-selling efforts.
Scaled Customer Count: Grew 14% year-over-year to 602. These are customers contributing significantly to Zeta's revenue.
Super-Scaled Customers: Increased by an impressive 24% to 184, now representing nearly 90% of Zeta's total revenue. This indicates a growing concentration of high-value, deeply integrated client relationships, a testament to the efficacy and value of Zeta's AI platform.
RFP Volume: More than doubled year-over-year, showcasing surging market demand for Zeta's AI-powered marketing solutions.

These metrics collectively paint a picture of a company executing flawlessly on its growth strategy, deepening customer relationships, and capitalizing on the escalating demand for intelligent, data-driven marketing.

The Shifting Financial Landscape: From Negative Pretax Income to Positive GAAP Net Income

A noteworthy aspect of Zeta Global's recent trajectory is its significant shift towards sustained profitability. While historical financial reports, specifically focusing on *Pretax Income*, showed negative figures for several years leading up to and including 2025 TTM (Trailing Twelve Months), the company has reached a critical inflection point. For instance, Pretax Income in 2023 was -€0.15 billion, improving to -€51.24 million in 2024, and -€6.24 million in 2025 TTM. These figures, while showing a consistent trend of improvement, are often influenced by specific accounting treatments for non-cash items, especially in high-growth, acquisitive companies. The more recent and impactful revelation is the achievement of positive GAAP net income in Q4 2025. This marks a pivotal moment, signaling that Zeta Global is moving beyond operational profitability (as indicated by Adjusted EBITDA) to generate actual bottom-line profits according to generally accepted accounting principles. This positive momentum is projected to continue, with the company expecting to achieve positive GAAP net income for the full-year 2026. This transition is a key indicator of financial maturity and sustainability, reassuring investors about the long-term viability and intrinsic value of the business. For a deeper dive into this significant shift, you can explore our detailed analysis here: Zeta Global (ZETA) Shifts to Profit: Positive GAAP Net Income & 2026 Outlook.

Strategic Growth Drivers: Marigold Integration and Shareholder Value

Zeta Global's impressive financial and operational performance is not solely organic; strategic initiatives also play a crucial role. The integration of Marigold, a significant acquisition, is progressing smoothly and is expected to be a substantial growth driver. The company anticipates Marigold to be accretive to both free cash flow and adjusted EBITDA within its first year, demonstrating a well-executed M&A strategy that enhances Zeta's capabilities and market reach. Furthermore, Zeta Global has actively engaged in returning value to its shareholders through share repurchases. In 2025, the company repurchased 7.9 million shares for $120 million, with an additional 1.5 million shares repurchased in early 2026. This aggressive repurchase program underscores management's confidence in the company's intrinsic value and its commitment to enhancing shareholder returns. Share buybacks, when executed strategically, can boost earnings per share and signal a healthy balance sheet. For investors looking at high-growth tech companies like Zeta Global, it's vital to examine not only revenue and EBITDA but also the effectiveness of M&A integrations and how capital is being deployed to benefit shareholders.

Ambitious Projections: Zeta Global's Path to $2.3 Billion by 2028

Looking ahead, Zeta Global has not only maintained its "beat-and-raise" tradition but has also significantly raised its forward-looking targets, showcasing strong confidence in its future trajectory. For 2026, the company has raised its revenue guidance to a midpoint of $1,755 million, representing an impressive 35% growth year-over-year. Even when excluding the contributions from Marigold and political revenue, the projected organic growth remains robust at 21%, highlighting the underlying strength of Zeta's core business. Adjusted EBITDA guidance for 2026 has also been raised to $391 million, signifying a 40% year-over-year growth at a healthy 22.3% margin. Free cash flow guidance for 2026 is increased to $231 million, representing 40% growth with a 59% conversion of adjusted EBITDA. These near-term projections set the stage for even more ambitious long-term goals. Zeta Global has raised its targets for 2028:

Revenue: Expected to reach $2.3 billion.
Adjusted EBITDA: Projected at $573 million, maintaining a strong 25% margin.
Free Cash Flow: Aiming for $371 million.

These targets reflect Zeta's belief in its scalable platform, its ability to attract and retain high-value customers, and its strategic investments paying off. The consistent growth, record revenue, EBITDA, and FCF performance witnessed in 2025 serve as a solid foundation for these future targets. You can learn more about their foundational performance here: ZETA Global's Strong 2025: Record Revenue, EBITDA, and FCF Growth. Practical Insight for Investors: When evaluating a company like Zeta Global, consistent "beat-and-raise" streaks are a powerful signal. They indicate effective management, conservative guidance, and often, an underestimated market opportunity. The combination of strong revenue growth, expanding EBITDA margins, and robust free cash flow generation paints a compelling picture for long-term investors. Furthermore, the shift to positive GAAP net income marks a significant milestone that can attract a broader base of investors focused on traditional profitability metrics.

Conclusion

Zeta Global's latest Zeta Global earnings report solidifies its position as a dynamic and high-performing company within the marketing technology sector. With an unbroken streak of eighteen beat-and-raise quarters, strong operational metrics like 120% Net Revenue Retention, and strategic acquisitions like Marigold, Zeta has demonstrated its ability to consistently exceed expectations. The pivotal shift to positive GAAP net income in Q4 2025 and the expectation of full-year GAAP profitability in 2026 underscore a maturing financial profile. As Zeta Global confidently marches towards its ambitious 2028 revenue target of $2.3 billion, its consistent execution and strategic foresight position it as a compelling entity for investors and a formidable force in the AI-powered marketing landscape.