Sep 24 2026 12:08 AM EST
Opera Limited Raises 2026 Outlook on Strong AI‑Driven Revenue Growth
Opera Limited (NASDAQ: OPRA) reported a 25% year‑over‑year revenue increase for the quarter ended June 30, 2026 and lifted its full‑year outlook, but the stock slipped 2.7% over the past five days after the earnings release missed consensus EPS expectations.
Revenue rose to $178.1 million, up 25% YoY and above the company’s guidance range. Adjusted EBITDA climbed to $42.4 million, a 24% margin and 32% YoY increase. Net income surged 76% to $27.6 million, delivering a 15% margin. Adjusted diluted EPS of $0.26 fell short of the consensus estimate of $0.27, a shortfall of $0.01 per share.
AI‑first product strategy fuels ARPU and MAU growth
The company credited its “AI‑first” roadmap for the 25% YoY rise in annualized ARPU to $2.46. New AI‑enabled features—including Browser Connector for Claude and ChatGPT, Gemini integration, and the Aria AI suite—have boosted user engagement, pushing average monthly active users (MAUs) to over 380 million in August 2026, a 30 million increase year‑to‑date.
Opera GX, the gaming‑focused browser, contributed to higher ARPU with MAU growth of 10% YoY, while the MiniPay blockchain wallet recorded more than 10 million activations and processed $400 billion in transaction volume in 2025.
Guidance lift and shareholder returns
Management raised its FY 2026 revenue outlook to a range of $734 million‑$742 million, and adjusted EBITDA guidance to $172 million‑$175 million, both reflecting a 24% EBITDA margin target.
The company also declared a semi‑annual dividend of $0.40 per share, payable July 14 2026, and reaffirmed a $300 million share‑repurchase program launched in Q4 2025.
Macro backdrop and competitive landscape
Opera’s revenue is weighted heavily toward advertising (≈65% of total), making it sensitive to macro‑economic cycles, inflation, and interest‑rate movements. The global digital‑ad market is projected to grow from roughly $600 billion in 2024 to over $1 trillion by 2028 (CAGR ≈13%).
Geopolitical exposure remains a consideration: Chinese shareholder Kunlun Tech holds about 70% of voting control, exposing the firm to heightened scrutiny amid China‑West tensions. Additionally, reliance on the Google search partnership introduces renewal risk that could affect the advertising pillar.
Risks and unanswered questions
Key risks include: (1) advertising spend volatility that could curb revenue growth; (2) potential changes to the Google search revenue‑share agreement, which currently underpins a sizable portion of earnings; (3) intensifying competition from Chrome, Safari and Edge, especially as rivals invest in AI‑driven browsing experiences; (4) regulatory scrutiny of AI features and data‑privacy practices; and (5) foreign‑currency fluctuations, particularly a stronger Norwegian krone that could affect reported results.
Investors will be watching the rollout of AI‑centric products, the sustainability of ARPU gains, and the company’s ability to navigate macro‑economic headwinds while delivering on its raised guidance.