\n\u2013 Gross Merchandise Sales increased to $2.2 billion, up 7% year over year <\/i>\u2013<\/p>
\n\u2013 Revenue increased to $446.0 million, up 12% year over year <\/i>\u2013<\/p>
\n\u2013 Adjusted EBITDA increased to $72.1 million; adjusted EBITDA margin up over 400 basis points year over year to 16% <\/i>\u2013<\/p>
\n\u2013 Continued progress on debt reduction with additional $100.0 million payment in May <\/i>\u2013<\/p>
\n\u2013 Reiterates full-year financial outlook on positive first quarter performance <\/i>\u2013<\/p>
NEW YORK--(BUSINESS WIRE)--StubHub Holdings, Inc. (NYSE: STUB), a leading global ticketing marketplace for live events, today reported financial results for the first quarter ended March 31, 2026.<\/p>
\n\u201cOur first quarter results reflect our disciplined execution in a healthy operating environment for both live events and our resale marketplace,\u201d said Eric Baker, Founder, Chairman and Chief Executive Officer of StubHub. \u201cWe delivered a positive start to 2026, and we believe we are on track to achieve our full year financial outlook as we grow globally and increase profitability through greater scale.\u201d<\/p>
\nMr. Baker continued, \u201cWe are progressing with new initiatives, including open distribution (previously called direct issuance) and advertising, that are expected to drive better outcomes for fans and content rights holders and unlock future revenue for StubHub. Our focus remains on building the global destination for consumers to access live events, making it easier for fans to discover and access tickets anywhere in the world.\u201d<\/p>
\nFinancial Highlights<\/b><\/p> \nFull Year 2026 Financial Outlook<\/b><\/p> \nStubHub is reiterating its full year 2026 GMS and adjusted EBITDA outlook:<\/p> \nThese guidance ranges constitute forward-looking statements and reflect information available to the company as of the date hereof. There can be no assurance that the company\u2019s actual results will not differ materially from the estimates set forth, including as a result of factors outside of the company\u2019s control. See cautionary note below regarding \u201cForward-Looking Statements.\u201d<\/p> \nConference Call and Webcast Information<\/b><\/p> \nStubHub will host a conference call and live webcast to discuss its first quarter 2026 results today at 5:00 p.m. ET.<\/p> \nSTUBHUB HOLDINGS, INC.<\/b><\/p><\/td><\/tr>\n \nCONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS<\/b><\/p><\/td><\/tr>\n \n(In thousands, except share and per share data)<\/b><\/p><\/td><\/tr>\n \n(Unaudited)<\/b><\/p><\/td><\/tr>\n \n\u00a0<\/p><\/td> \nThree Months Ended March 31,<\/b><\/p><\/td><\/tr>\n \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n2026<\/b><\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n2025<\/b><\/p><\/td> \n\u00a0<\/p><\/td><\/tr>\n \nRevenue<\/p><\/td> \n$<\/p><\/td> \n446,045<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n$<\/p><\/td> \n397,607<\/p><\/td> \n\u00a0<\/p><\/td><\/tr>\n \nCosts and expenses:<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td><\/tr>\n \nCost of revenue (exclusive of depreciation and amortization shown separately below)<\/p><\/td> \n\u00a0<\/p><\/td> \n65,815<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n62,456<\/p><\/td> \n\u00a0<\/p><\/td><\/tr>\n \nOperations and support<\/p><\/td> \n\u00a0<\/p><\/td> \n14,956<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n12,166<\/p><\/td> \n\u00a0<\/p><\/td><\/tr>\n \nSales and marketing<\/p><\/td> \n\u00a0<\/p><\/td> \n225,907<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n218,904<\/p><\/td> \n\u00a0<\/p><\/td><\/tr>\n \nGeneral and administrative<\/p><\/td> \n\u00a0<\/p><\/td> \n105,645<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n70,899<\/p><\/td> \n\u00a0<\/p><\/td><\/tr>\n \nDepreciation and amortization<\/p><\/td> \n\u00a0<\/p><\/td> \n7,893<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n6,344<\/p><\/td> \n\u00a0<\/p><\/td><\/tr>\n \nTotal costs and expenses<\/p><\/td> \n\u00a0<\/p><\/td> \n420,216<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n370,769<\/p><\/td> \n\u00a0<\/p><\/td><\/tr>\n \nIncome from operations<\/p><\/td> \n\u00a0<\/p><\/td> \n25,829<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n26,838<\/p><\/td> \n\u00a0<\/p><\/td><\/tr>\n \nInterest income<\/p><\/td> \n\u00a0<\/p><\/td> \n10,526<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n8,302<\/p><\/td> \n\u00a0<\/p><\/td><\/tr>\n \nInterest expense<\/p><\/td> \n\u00a0<\/p><\/td> \n(17,268<\/p><\/td> \n)<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n(42,437<\/p><\/td> \n)<\/p><\/td><\/tr>\n \nForeign currency gains (losses)<\/p><\/td> \n\u00a0<\/p><\/td> \n20,590<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n(24,045<\/p><\/td> \n)<\/p><\/td><\/tr>\n \nGains on derivatives<\/p><\/td> \n\u00a0<\/p><\/td> \n5,537<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n665<\/p><\/td> \n\u00a0<\/p><\/td><\/tr>\n \nTotal other income (expense), net<\/p><\/td> \n\u00a0<\/p><\/td> \n19,385<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n(57,515<\/p><\/td> \n)<\/p><\/td><\/tr>\n \nIncome (loss) before income taxes<\/p><\/td> \n\u00a0<\/p><\/td> \n45,214<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n(30,677<\/p><\/td> \n)<\/p><\/td><\/tr>\n \nBenefit for income taxes<\/p><\/td> \n\u00a0<\/p><\/td> \n2,831<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n8,494<\/p><\/td> \n\u00a0<\/p><\/td><\/tr>\n \nNet income (loss)<\/p><\/td> \n\u00a0<\/p><\/td> \n48,045<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n(22,183<\/p><\/td> \n)<\/p><\/td><\/tr>\n \nNet income (loss) attributable to common stockholders<\/p><\/td> \n$<\/p><\/td> \n32,537<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n$<\/p><\/td> \n(35,889<\/p><\/td> \n)<\/p><\/td><\/tr>\n \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td><\/tr>\n \nNet income (loss) per share attributable to common stockholders:<\/b><\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td><\/tr>\n \nBasic<\/p><\/td> \n$<\/p><\/td> \n0.09<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n$<\/p><\/td> \n(0.12<\/p><\/td> \n)<\/p><\/td><\/tr>\n \nDiluted<\/p><\/td> \n$<\/p><\/td> \n0.06<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n$<\/p><\/td> \n(0.12<\/p><\/td> \n)<\/p><\/td><\/tr>\n \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td><\/tr>\n \nWeighted-average shares used in computing net income (loss) per share attributable to common stockholders:<\/b><\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td><\/tr>\n \nBasic<\/p><\/td> \n\u00a0<\/p><\/td> \n359,355,611<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n304,554,114<\/p><\/td> \n\u00a0<\/p><\/td><\/tr>\n \nDiluted<\/p><\/td> \n\u00a0<\/p><\/td> \n378,309,298<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n304,554,114<\/p><\/td> \n\u00a0<\/p><\/td><\/tr>\n<\/table> \nSTUBHUB HOLDINGS, INC.<\/b><\/p><\/td><\/tr>\n \nCONDENSED CONSOLIDATED BALANCE SHEETS<\/b><\/p><\/td><\/tr>\n \n(In thousands, except share and per share data)<\/b><\/p><\/td><\/tr>\n \n(Unaudited)<\/b><\/p><\/td><\/tr>\n \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \nMarch 31,<\/b><\/p><\/td> \n\u00a0<\/p><\/td> \nDecember 31,<\/b><\/p><\/td><\/tr>\n \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n2026<\/b><\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n2025<\/b><\/p><\/td> \n\u00a0<\/p><\/td><\/tr>\n \nAssets<\/b><\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td><\/tr>\n \nCurrent assets:<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td><\/tr>\n \nCash and cash equivalents<\/p><\/td> \n\u00a0<\/p><\/td> \n$<\/p><\/td> \n1,526,237<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n$<\/p><\/td> \n1,241,587<\/p><\/td> \n\u00a0<\/p><\/td><\/tr>\n \nAccounts receivable<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n9,615<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n6,909<\/p><\/td> \n\u00a0<\/p><\/td><\/tr>\n \nInventory<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n8,819<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n9,228<\/p><\/td> \n\u00a0<\/p><\/td><\/tr>\n \nPrepaid expenses and other current assets<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n78,025<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n37,924<\/p><\/td> \n\u00a0<\/p><\/td><\/tr>\n \nTotal current assets<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n1,622,696<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n1,295,648<\/p><\/td> \n\u00a0<\/p><\/td><\/tr>\n \nNon-current assets:<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td><\/tr>\n \nProperty and equipment, net<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n87,337<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n73,254<\/p><\/td> \n\u00a0<\/p><\/td><\/tr>\n \nTrademarks and trade names<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n864,800<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n864,800<\/p><\/td> \n\u00a0<\/p><\/td><\/tr>\n \nOther intangible assets, net<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n32,609<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n38,243<\/p><\/td> \n\u00a0<\/p><\/td><\/tr>\n \nGoodwill<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n2,686,701<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n2,686,701<\/p><\/td> \n\u00a0<\/p><\/td><\/tr>\n \nRestricted cash<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n17,329<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n17,543<\/p><\/td> \n\u00a0<\/p><\/td><\/tr>\n \nDeferred tax assets<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n1,863<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n2,083<\/p><\/td> \n\u00a0<\/p><\/td><\/tr>\n \nOther non-current assets<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n40,306<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n75,781<\/p><\/td> \n\u00a0<\/p><\/td><\/tr>\n \nTotal assets<\/p><\/td> \n\u00a0<\/p><\/td> \n$<\/p><\/td> \n5,353,641<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n$<\/p><\/td> \n5,054,053<\/p><\/td> \n\u00a0<\/p><\/td><\/tr>\n \nLiabilities, Redeemable Preferred Stock, and Stockholders\u2019 Equity<\/b><\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td><\/tr>\n \nCurrent liabilities:<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td><\/tr>\n \nAccounts payable<\/p><\/td> \n\u00a0<\/p><\/td> \n$<\/p><\/td> \n63,966<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n$<\/p><\/td> \n71,087<\/p><\/td> \n\u00a0<\/p><\/td><\/tr>\n \nPayments due to buyers and sellers<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n1,111,677<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n845,892<\/p><\/td> \n\u00a0<\/p><\/td><\/tr>\n \nAccrued expenses and other current liabilities (including zero and $17,894 under the fair value option, respectively)<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n296,622<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n334,305<\/p><\/td> \n\u00a0<\/p><\/td><\/tr>\n \nTotal current liabilities<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n1,472,265<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n1,251,284<\/p><\/td> \n\u00a0<\/p><\/td><\/tr>\n \nNon-current liabilities:<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td><\/tr>\n \nLong-term debt obligations, non-current<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n1,496,227<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n1,506,957<\/p><\/td> \n\u00a0<\/p><\/td><\/tr>\n \nDeferred tax liabilities<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n98,200<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n93,226<\/p><\/td> \n\u00a0<\/p><\/td><\/tr>\n \nOther non-current liabilities<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n269,006<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n260,971<\/p><\/td> \n\u00a0<\/p><\/td><\/tr>\n \nTotal liabilities<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n3,335,698<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n3,112,438<\/p><\/td> \n\u00a0<\/p><\/td><\/tr>\n \nCommitments and contingencies<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td><\/tr>\n \nRedeemable preferred stock, $0.001 par value; 100,000,000 shares authorized as of March 31, 2026 and December 31, 2025; 490,000 and 794,893 shares issued and outstanding as of March 31, 2026 and December 31, 2025, respectively; aggregate liquidation preference of $706,493 and $1,027,583 as of March 31, 2026 and December 31, 2025, respectively<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n454,350<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n758,027<\/p><\/td> \n\u00a0<\/p><\/td><\/tr>\n \nStockholders\u2019 equity:<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td><\/tr>\n \nClass A common stock, $0.001 par value; 3,000,000,000 shares authorized as of March 31, 2026 and December 31, 2025; 348,975,889 and 321,320,641 shares issued and outstanding as of March 31, 2026 and December 31, 2025, respectively<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n349<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n321<\/p><\/td> \n\u00a0<\/p><\/td><\/tr>\n \nClass B common stock, $0.001 par value; 200,000,000 shares authorized as of March 31, 2026 and December 31, 2025; 24,750,000 shares issued and outstanding as of March 31, 2026 and December 31, 2025<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n25<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n25<\/p><\/td> \n\u00a0<\/p><\/td><\/tr>\n \nAdditional paid-in capital<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n4,871,163<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n4,522,498<\/p><\/td> \n\u00a0<\/p><\/td><\/tr>\n \nAccumulated other comprehensive income<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n54,614<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n71,347<\/p><\/td> \n\u00a0<\/p><\/td><\/tr>\n \nAccumulated deficit<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n(3,362,558<\/p><\/td> \n)<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n(3,410,603<\/p><\/td> \n)<\/p><\/td><\/tr>\n \nTotal stockholders\u2019 equity<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n1,563,593<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n1,183,588<\/p><\/td> \n\u00a0<\/p><\/td><\/tr>\n \nTotal liabilities, redeemable preferred stock, and stockholders\u2019 equity<\/p><\/td> \n$<\/p><\/td> \n5,353,641<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n$<\/p><\/td> \n5,054,053<\/p><\/td> \n\u00a0<\/p><\/td><\/tr>\n<\/table> \nSTUBHUB HOLDINGS, INC.<\/b><\/p><\/td><\/tr>\n \nCONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS<\/b><\/p><\/td><\/tr>\n \n(In thousands)<\/b><\/p><\/td><\/tr>\n \n(Unaudited)<\/b><\/p><\/td><\/tr>\n \n\u00a0<\/p><\/td> \nThree Months Ended March 31,<\/b><\/p><\/td><\/tr>\n \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n2026<\/b><\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n2025<\/b><\/p><\/td> \n\u00a0<\/p><\/td><\/tr>\n \nCash flows from operating activities:<\/b><\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td><\/tr>\n \nNet income (loss)<\/p><\/td> \n$<\/p><\/td> \n48,045<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n$<\/p><\/td> \n(22,183<\/p><\/td> \n)<\/p><\/td><\/tr>\n \nAdjustments to reconcile net income (loss) to net cash provided by operating activities:<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td><\/tr>\n \nDepreciation<\/p><\/td> \n\u00a0<\/p><\/td> \n2,215<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n597<\/p><\/td> \n\u00a0<\/p><\/td><\/tr>\n \nAmortization of intangible assets<\/p><\/td> \n\u00a0<\/p><\/td> \n5,678<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n5,747<\/p><\/td> \n\u00a0<\/p><\/td><\/tr>\n \nStock-based compensation<\/p><\/td> \n\u00a0<\/p><\/td> \n31,006<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n5,494<\/p><\/td> \n\u00a0<\/p><\/td><\/tr>\n \nAmortization of debt issuance costs<\/p><\/td> \n\u00a0<\/p><\/td> \n997<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n1,993<\/p><\/td> \n\u00a0<\/p><\/td><\/tr>\n \nLosses on derivatives<\/p><\/td> \n\u00a0<\/p><\/td> \n2,873<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n2,339<\/p><\/td> \n\u00a0<\/p><\/td><\/tr>\n \nAmortization of unrealized losses on cash flow hedge<\/p><\/td> \n\u00a0<\/p><\/td> \n(7,166<\/p><\/td> \n)<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n(1,819<\/p><\/td> \n)<\/p><\/td><\/tr>\n \nUnrealized foreign exchange (gains) losses<\/p><\/td> \n\u00a0<\/p><\/td> \n(21,709<\/p><\/td> \n)<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n27,674<\/p><\/td> \n\u00a0<\/p><\/td><\/tr>\n \nDeferred income taxes<\/p><\/td> \n\u00a0<\/p><\/td> \n(3,908<\/p><\/td> \n)<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n(9,981<\/p><\/td> \n)<\/p><\/td><\/tr>\n \nFair value change for preferred stocks and preferred stock bifurcated derivatives<\/p><\/td> \n\u00a0<\/p><\/td> \n(8,031<\/p><\/td> \n)<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n1,742<\/p><\/td> \n\u00a0<\/p><\/td><\/tr>\n \nOther<\/p><\/td> \n\u00a0<\/p><\/td> \n532<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n3,452<\/p><\/td> \n\u00a0<\/p><\/td><\/tr>\n \nChanges in operating assets and liabilities:<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td><\/tr>\n \nAccounts receivable<\/p><\/td> \n\u00a0<\/p><\/td> \n(2,782<\/p><\/td> \n)<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n(1,243<\/p><\/td> \n)<\/p><\/td><\/tr>\n \nInventory<\/p><\/td> \n\u00a0<\/p><\/td> \n409<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n(3,167<\/p><\/td> \n)<\/p><\/td><\/tr>\n \nPrepaid expenses and other current assets<\/p><\/td> \n\u00a0<\/p><\/td> \n(8,057<\/p><\/td> \n)<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n(9,306<\/p><\/td> \n)<\/p><\/td><\/tr>\n \nOther non-current assets<\/p><\/td> \n\u00a0<\/p><\/td> \n301<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n(6,517<\/p><\/td> \n)<\/p><\/td><\/tr>\n \nOperating lease right-of-use assets<\/p><\/td> \n\u00a0<\/p><\/td> \n1,164<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n1,029<\/p><\/td> \n\u00a0<\/p><\/td><\/tr>\n \nAccounts payable<\/p><\/td> \n\u00a0<\/p><\/td> \n(4,443<\/p><\/td> \n)<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n(73,990<\/p><\/td> \n)<\/p><\/td><\/tr>\n \nPayments due to buyers and sellers<\/p><\/td> \n\u00a0<\/p><\/td> \n273,649<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n191,552<\/p><\/td> \n\u00a0<\/p><\/td><\/tr>\n \nAccrued expenses and other current liabilities<\/p><\/td> \n\u00a0<\/p><\/td> \n(20,397<\/p><\/td> \n)<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n21,818<\/p><\/td> \n\u00a0<\/p><\/td><\/tr>\n \nOther non-current liabilities<\/p><\/td> \n\u00a0<\/p><\/td> \n9,220<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n23,774<\/p><\/td> \n\u00a0<\/p><\/td><\/tr>\n \nOperating lease liabilities<\/p><\/td> \n\u00a0<\/p><\/td> \n(1,180<\/p><\/td> \n)<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n(684<\/p><\/td> \n)<\/p><\/td><\/tr>\n \nNet cash provided by operating activities<\/p><\/td> \n\u00a0<\/p><\/td> \n298,416<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n158,321<\/p><\/td> \n\u00a0<\/p><\/td><\/tr>\n \nCash flows from investing activities:<\/b><\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td><\/tr>\n \nCapitalized software development costs<\/p><\/td> \n\u00a0<\/p><\/td> \n(7,629<\/p><\/td> \n)<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n(6,229<\/p><\/td> \n)<\/p><\/td><\/tr>\n \nPurchases of property and equipment<\/p><\/td> \n\u00a0<\/p><\/td> \n(169<\/p><\/td> \n)<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n(507<\/p><\/td> \n)<\/p><\/td><\/tr>\n \nPurchases of intangible assets<\/p><\/td> \n\u00a0<\/p><\/td> \n(44<\/p><\/td> \n)<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n(475<\/p><\/td> \n)<\/p><\/td><\/tr>\n \nNet cash used in investing activities<\/p><\/td> \n\u00a0<\/p><\/td> \n(7,842<\/p><\/td> \n)<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n(7,211<\/p><\/td> \n)<\/p><\/td><\/tr>\n \nCash flows from financing activities:<\/b><\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td><\/tr>\n \nProceeds from issuance of Class A common stock upon exercise of stock options and warrants<\/p><\/td> \n\u00a0<\/p><\/td> \n32<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n33<\/p><\/td> \n\u00a0<\/p><\/td><\/tr>\n \nRepurchase and retirement of Class A common stock<\/p><\/td> \n\u00a0<\/p><\/td> \n\u2014<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n(1,000<\/p><\/td> \n)<\/p><\/td><\/tr>\n \nRepayment of long-term debt obligations<\/p><\/td> \n\u00a0<\/p><\/td> \n\u2014<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n(4,882<\/p><\/td> \n)<\/p><\/td><\/tr>\n \nPayment of tax withholding obligations on vested equity awards<\/p><\/td> \n\u00a0<\/p><\/td> \n(2,608<\/p><\/td> \n)<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n\u2014<\/p><\/td> \n\u00a0<\/p><\/td><\/tr>\n \nPayments of deferred offering costs<\/p><\/td> \n\u00a0<\/p><\/td> \n(2,055<\/p><\/td> \n)<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n\u2014<\/p><\/td> \n\u00a0<\/p><\/td><\/tr>\n \nNet cash used in financing activities<\/p><\/td> \n\u00a0<\/p><\/td> \n(4,631<\/p><\/td> \n)<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n(5,849<\/p><\/td> \n)<\/p><\/td><\/tr>\n \nEffect of exchange rate changes on cash, cash equivalents, and restricted cash<\/p><\/td> \n\u00a0<\/p><\/td> \n(1,506<\/p><\/td> \n)<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n4,255<\/p><\/td> \n\u00a0<\/p><\/td><\/tr>\n \nNet increase in cash, cash equivalents, and restricted cash<\/p><\/td> \n\u00a0<\/p><\/td> \n284,437<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n149,516<\/p><\/td> \n\u00a0<\/p><\/td><\/tr>\n \nCash, cash equivalents, and restricted cash at beginning of period<\/p><\/td> \n\u00a0<\/p><\/td> \n1,259,129<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n1,015,911<\/p><\/td> \n\u00a0<\/p><\/td><\/tr>\n \nCash, cash equivalents, and restricted cash at end of period<\/b><\/p><\/td> \n$<\/p><\/td> \n1,543,566<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n$<\/p><\/td> \n1,165,427<\/p><\/td> \n\u00a0<\/p><\/td><\/tr>\n<\/table> \nSTUBHUB HOLDINGS, INC.<\/b><\/p><\/td><\/tr>\n \nCONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS - continued<\/b><\/p><\/td><\/tr>\n \n(In thousands)<\/b><\/p><\/td><\/tr>\n \n(Unaudited)<\/b><\/p><\/td><\/tr>\n \n\u00a0<\/p><\/td> \nThree Months Ended March 31,<\/b><\/p><\/td><\/tr>\n \n\u00a0<\/p><\/td> \n2026<\/b><\/p><\/td> \n\u00a0<\/p><\/td> \n2025<\/b><\/p><\/td><\/tr>\n \nReconciliation of cash, cash equivalents, and restricted cash to the condensed consolidated balance sheets:<\/b><\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td><\/tr>\n \nCash and cash equivalents<\/p><\/td> \n$<\/p><\/td> \n1,526,237<\/p><\/td> \n\u00a0<\/p><\/td> \n$<\/p><\/td> \n1,150,071<\/p><\/td><\/tr>\n \nRestricted cash in prepaid expenses and other current assets<\/p><\/td> \n\u00a0<\/p><\/td> \n\u2014<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n324<\/p><\/td><\/tr>\n \nRestricted cash<\/p><\/td> \n\u00a0<\/p><\/td> \n17,329<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n15,032<\/p><\/td><\/tr>\n \nTotal cash, cash equivalents, and restricted cash<\/p><\/td> \n$<\/p><\/td> \n1,543,566<\/p><\/td> \n\u00a0<\/p><\/td> \n$<\/p><\/td> \n1,165,427<\/p><\/td><\/tr>\n \nSupplemental cash flow information<\/b><\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td><\/tr>\n \nCash paid for:<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td><\/tr>\n \nInterest<\/p><\/td> \n$<\/p><\/td> \n31,013<\/p><\/td> \n\u00a0<\/p><\/td> \n$<\/p><\/td> \n52,754<\/p><\/td><\/tr>\n \nNon-cash investing and financing activities:<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td> \n\u00a0<\/p><\/td><\/tr>\n \nStock-based compensation capitalized in development of capitalized software<\/p><\/td> \n$<\/p><\/td> \n6,723<\/p><\/td> \n\u00a0<\/p><\/td> \n$<\/p><\/td> \n183<\/p><\/td><\/tr>\n \nDeferred offering costs accrued, unpaid<\/p><\/td> \n$<\/p><\/td> \n352<\/p><\/td> \n\u00a0<\/p><\/td> \n$<\/p><\/td> \n7,099<\/p><\/td><\/tr>\n<\/table> \nKey Business Metric and Non-GAAP Financial Measures<\/b><\/p> \nStubHub regularly reviews the key business metric, GMS, and the non-GAAP financial measures, Adjusted EBITDA, Adjusted EBITDA Margin, Free Cash Flow, Net Leverage, Adjusted Gross Margin, Adjusted Sales and Marketing Expenses, Adjusted Operations and Support Expenses, and Adjusted General and Administrative Expenses to evaluate our business, measure our performance, identify trends, prepare financial projections and make business decisions. The measures set forth below should be considered in addition to, not as a substitute for or in isolation from, our financial results prepared in accordance with GAAP. Other companies, including companies in our industry, may calculate these measures differently or not at all, which reduces their usefulness as comparative measures. A reconciliation of the non-GAAP financial measures, to the most directly comparable financial measures calculated in accordance with GAAP is set forth below under \u201cReconciliations of GAAP to Non-GAAP Financial Measures.\u201d A reconciliation of our Adjusted EBITDA guidance to the corresponding GAAP measure is not available on a forward-looking basis without unreasonable effort due to the uncertainty of expenses that may be incurred in the future, although it is important to note that these factors could be material to our results computed in accordance with GAAP. For example, stock-based compensation-related charges are impacted by the timing of employee stock transactions, the future fair market value of our Class A common stock, and our future hiring and retention needs, all of which are difficult to predict and subject to constant change.<\/p> \nGross Merchandise Sales <\/b>represents the total dollar value paid by buyers for ticket transactions and fulfillment. GMS includes fees we charge buyers and sellers that can vary by transaction, as well as the net proceeds we remit to sellers. Our definition of GMS does not include applicable sales, value-added and other indirect taxes, shipping costs and the impact of discounts and coupons as well as event cancellations or expected cancellations after the initial transaction on our platform. We believe it is useful to exclude these items, primarily refunds due to event cancellations, as GMS is a key metric used by management to measure business performance.<\/p> \nAdjusted EBITDA<\/b> is calculated as net (loss) income excluding results from non-operating sources including interest income and expense, benefit (provision) for income taxes, other (income) expense, net, foreign currency gains (losses), gains (losses) on derivatives, depreciation and amortization, acquisition-related costs, stock-based compensation expense, debt refinancing costs and loss on extinguishment of debt, indirect tax contingency costs, litigation reserves and other costs and expenses. Adjusted EBITDA is a key performance measure that our management team uses to assess our operating performance. We present Adjusted EBITDA because management believes it is helpful in highlighting trends in our operating results as it excludes certain items, such as stock-based compensation expense, which are non-cash or whose fluctuations from period-to-period do not necessarily correspond to changes in the operating results of our business. Moreover, it is frequently used by analysts, investors and other interested parties to evaluate companies in our industry.<\/p> \nAdjusted EBITDA has limitations as an analytical measure and you should not consider it in isolation or as a substitute for analysis of our results as reported under GAAP. In addition, other companies, including companies in our industry, may calculate Adjusted EBITDA differently, which reduces its usefulness as a comparative measure. Because of these limitations, you should consider Adjusted EBITDA alongside other financial performance measures, including various cash flow metrics, net (loss) income and other GAAP results.<\/p> \nFree Cash Flow<\/b> is defined as net cash provided by (used in) operating activities less capital expenditures, which includes purchases of property and equipment, purchases of intangible assets and capitalized software development costs (excluding capitalized stock-based compensation expense). We believe that Free Cash Flow is a meaningful indicator of liquidity for management and investors and, in particular, the amount of cash generated from operations that, after capital expenditures, can be used for strategic initiatives, including continuous investment in our business and strengthening our balance sheet. A limitation of the use of Free Cash Flow is that it does not represent the total increase or decrease in our cash balance for the period. Free Cash Flow should not be considered in isolation or as an alternative to cash flows from operations and should be considered alongside our other financial liquidity measures, such as net cash provided by (used in) operating activities and our other GAAP results.<\/p> \nNet Leverage<\/b> is defined as (a) total debt, less cash and cash equivalents plus payments due to sellers divided by (b) trailing twelve months Adjusted EBITDA. We believe that Net Leverage provides investors a more complete understanding of our leverage position and borrowing capacity after factoring in cash and cash equivalents that eventually could be used to repay outstanding debt.<\/p> \nAdjusted Gross Margin <\/b>is defined as (a) revenue less Adjusted Cost of Revenue (which is cost of revenue excluding stock-based compensation expense) divided by (b) revenue. We present Adjusted Gross Margin because management believes it is helpful in highlighting trends in our operating results as it excludes stock-based compensation expense, which is a non-cash expense.<\/p> \nAdjusted Sales and Marketing Expenses <\/b>is defined as sales and marketing expense excluding stock-based compensation expense. We present Adjusted Sales and Marketing Expenses because management believes it is helpful in highlighting trends in our expense management as it excludes stock-based compensation expense, which is a non-cash expense.<\/p> \nAdjusted Operations and Support Expenses<\/b> is defined as operations and support expenses excluding stock-based compensation expense. We present Adjusted Operations and Support Expenses because management believes it is helpful in highlighting trends in our expense management as it excludes stock-based compensation expense, which is a non-cash expense.<\/p> \nAdjusted General and Administrative Expenses<\/b> is defined as general and administrative expense excluding stock-based compensation expense, acquisition related costs, debt refinancing costs, indirect tax contingency costs, litigation reserves and other costs and expenses that we do not consider to be representative of the ongoing financial performance of our core business. We present Adjusted General and Administrative Expenses because management believes it is helpful in highlighting trends in our expense management as it excludes certain items, such as stock-based compensation expense, which are non-cash or whose fluctuations from period-to-period do not necessarily correspond to changes in the operating results of our business.<\/p> \nSTUBHUB HOLDINGS, INC.\n \nAdjusted EBITDA<\/b><\/p>\n
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