Key Highlights
- Opera stock climbs 23% to reach $15.41 following Q4 earnings beat and announcement of $300M share repurchase initiative
- Fourth-quarter revenue reaches $177.2M with Opera maintaining robust margins and raising forward guidance
- Advertising and query revenue expansion drive Opera’s momentum, reaching 284M MAUs with improving ARPU metrics
- Full-year performance shows 28% revenue growth, enhanced cash generation, and expanded shareholder returns
- 2026 projections anticipate revenue growth reaching 20% as AI integration and MiniPay ecosystem expand
Shares of Opera Limited (OPRA) experienced a significant surge following the release of impressive fourth-quarter earnings that surpassed analyst expectations and announced a substantial new share buyback initiative. The stock climbed 23.38% to close at $15.41, representing its strongest single-session performance of the current year. The upward momentum accelerated as investors responded to solid financial expansion and an enhanced capital allocation framework.
Q4 Revenue Performance Drives Positive Investor Sentiment
For the fourth quarter, Opera reported revenue of $177.2 million, surpassing its previously issued guidance while achieving 22% year-over-year expansion. The company simultaneously increased adjusted EBITDA to $41.9 million, representing a 24% margin that exceeded internal targets. These metrics demonstrated the organization’s continued capacity to expand top-line revenue while maintaining operational efficiency.
Advertising-related revenue climbed 25% to reach $114.4 million, constituting the primary driver of quarterly results. Query-based revenue similarly expanded 16% to $62.3 million as diversification beyond traditional search gained traction. The dual-engine growth model showcased balanced momentum across Opera’s core revenue streams.
The platform reported average monthly active users of 284 million, contributing to annualized ARPU of $2.49. Opera expanded its Western market presence by adding 2 million users, while Opera GX reached 34 million monthly users. Furthermore, artificial intelligence capabilities integrated through Gemini models enhanced functionality for over 80 million desktop users.
Annual Performance Demonstrates Consistent Expansion and Profitability Improvement
For the full fiscal year, Opera achieved revenue of $614.8 million, reflecting 28% year-over-year growth. Adjusted EBITDA totaled $142.5 million with a 23% margin, confirming operational scalability. Annual net income expanded 34% to reach $108.3 million.
Throughout the year, advertising and query revenue streams sustained robust growth momentum driven by expanded e-commerce partnerships and enhanced intent-based monetization strategies. The company broadened its browser portfolio with targeted releases designed for specific demographic segments. The MiniPay digital wallet exceeded 13 million user activations and facilitated 360 million transactions.
Opera concluded the fiscal year holding $155.5 million in cash while generating operating cash flow of $117.7 million. Free cash flow from operations increased 39% to $97.7 million as operational efficiency improved. These results positioned Opera with enhanced financial flexibility entering the new fiscal period.
Major Share Buyback Initiative and Forward Guidance Signal Management Optimism
The company announced a comprehensive two-year share repurchase program authorized for up to $300 million. This initiative encompasses both open-market ADS purchases and proportional acquisitions from the controlling shareholder. The buyback program complements Opera’s existing semi-annual dividend distribution policy.
For 2026, management established revenue guidance ranging from $720 million to $735 million, indicating anticipated growth of up to 20%. Adjusted EBITDA is projected between $167 million and $172 million while maintaining margin stability. First-quarter guidance calls for revenue reaching $172 million with EBITDA approaching $40 million.
Opera remains focused on expanding artificial intelligence capabilities within its browser ecosystem while extending financial inclusion through the MiniPay platform. The organization seeks to deepen user engagement through new product development initiatives. These strategic priorities position Opera for continued momentum throughout 2026 with expanded global market penetration.
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