Digital Turbine (NASDAQ: APPS) saw its shares plummet 19.30% in after-hours trading on Tuesday following the release of its fiscal 2026 first-quarter financial results. The mobile advertising technology company reported mixed results, with revenue growth overshadowed by an earnings miss and the announcement of a potential stock offering.

For the quarter, Digital Turbine posted revenue of $130.9 million, marking an 11% increase year-over-year and beating analyst estimates of $121.945 million. However, the company's adjusted earnings per share (EPS) of $0.05 fell short of the expected $0.08, representing a 37.5% miss and a 28.57% decrease from the same period last year. The company reported a GAAP net loss of $14.1 million for the quarter.

Despite the negative market reaction, Digital Turbine reported some positive metrics, including a 73% year-over-year increase in non-GAAP adjusted EBITDA to $25.1 million. The company also raised its fiscal year 2026 guidance, projecting revenue between $525 million and $535 million. CEO Bill Stone attributed the company's performance to increased demand for its Ignite platform and improved device sales. However, investors seem to be focusing on the bottom-line miss and the company's announcement of a mixed shelf offering of up to $150 million in common stock, which may have contributed to the significant after-hours sell-off.