Sabio’s gross margin rose to 61% in the second quarter of 2026, up from 53% in the first. The Los Angeles-based ad-tech company, listed on the TSX Venture Exchange, released results for the three and six months ended June 30 on August 19.
CEO Aziz Rahimtoola said the quarter “provides early indications” that the company’s investments in U.S. programmatic advertising, EMEA and the creator economy are starting to pay off. Adjusted EBITDA margin improved by about 14 percentage points from the first quarter.
Where the growth came from
U.S. Programmatic brought in roughly $2.9 million in the quarter, and EMEA about $1.9 million. Sabio’s U.S. Programmatic customer base grew 116% from a year earlier, and about 90% of those customers renewed from the first quarter into the second.
The company added 46 new customer logos across the U.S. and EMEA, up 77% from the prior year. Together, U.S. Programmatic and EMEA made up 49% of gross sales. A year earlier they accounted for 10%.
A second-half business
Sabio expects to be profitable on an Adjusted EBITDA basis in the second half of 2026. Management points to more than $5 million in political and advocacy commitments already secured for that period, along with cost cuts made in the first half.
The timing matters because the newer businesses lean late in the year. In fiscal 2025, about 88% of EMEA revenue and 82% of U.S. Programmatic revenue came in the second half. In 2024, the last U.S. election year, roughly 69% of consolidated revenue arrived in the second half.
“As we enter the second half of the year, we have more than $5 million in political and advocacy commitments secured,” Rahimtoola said. The company also expects better supply agreements and technology efficiencies to help margins as volumes grow. A conference call and webcast on the results was scheduled.
