Exhibit 99.1

Digital Turbine Reports Fiscal 2018 Third Quarter Results

Total Revenue of $38.0 Million Driven by O&O Revenue Growth of 93%

Austin, TX – February 7, 2018 – Digital Turbine, Inc. (Nasdaq: APPS), the Company empowering operators and Original Equipment Manufacturers (“OEMs”) around the globe with end-to-end mobile solutions, announced financial results for the fiscal third quarter ended December 31, 2017.

Recent Highlights:

“The December quarter was a breakthrough quarter for Digital Turbine in many ways,” said Bill Stone, CEO. “We achieved positive non-GAAP adjusted net income¹ while also generating $1.4 million in free cash flow⁴. As we have stressed previously, establishing and maintaining a sustainably profitable business model was a primary objective for us in fiscal 2018. The performance in the fiscal third quarter was driven primarily by better-than-expected results in our O&O business as well as in our Content business. Strength in our core O&O business was attributable to improved per-device metrics with our key U.S. partners, added contributions from recently launched partners in the U.S. and abroad, and growing demand from an expanding roster of established brand advertisers.”

“As proud as I am of the December quarter results reported here today, I am at least equally pleased with the progress we have made in recent months toward the development of a more comprehensive, more versatile, more scalable mobile delivery platform. We have worked hand-in-hand with valued partners around the world to develop creative new products and tailor new services designed to enhance the end-user experience while generating additional sources of monetization over the full lifecycle of a mobile device. I am tremendously excited about the inherent potential of our new-and-improved Ignite-driven platform moving forward, and I look forward to providing updates to our investors as many related new product and service offerings, including ‘Single-Tap’ and ‘Smart Folders’, gain traction in the marketplace over the next several quarters.”

Mr. Stone concluded, “As we wind toward the end of fiscal 2018 and prepare to embark on the new fiscal year, I cannot help but feel confident about the future of Digital Turbine. We have accomplished our primary fiscal 2018 objective by establishing a core business capable of generating positive cash flow on a sustainable basis. At the same time, and with the influential support of strategically-aligned partners, we have developed several new platform innovations that are helping us seize noteworthy momentum in the marketplace that should, in turn, contribute to the next phase of growth for the Company in fiscal 2019 and beyond.”

Fiscal 2018 Third Quarter Financial Results

Total revenue for the third quarter of fiscal 2018 was $38.0 million, representing an increase of 71% year-over-year. Advertising segment revenue of $24.2 million increased 49% year-over-year. Within Advertising, O&O revenue of $22.7 million during the third quarter of fiscal 2018 increased 93% year-over-year. Growth in the O&O business was attributable to organic growth derived from fully ramped partners, as well as incremental contributions from partially ramped carrier and OEM partners added to the Ignite platform over the preceding 12 months. Importantly, the Company benefitted from substantially higher revenue-per-device with its four largest U.S. carrier partners during the quarter. Higher revenue-per-device metrics are reflective of higher average slot counts and strong advertiser demand for unique homescreen access.

Content revenue for the third quarter of fiscal 2018 reached an all-time high of $13.8 million, representing year-over-year growth of 128%. Growth within the Content business was driven by higher merchant spending levels, as well as the addition of new merchants and services, during the quarter.

GAAP gross margin was 25% in the third quarter of fiscal 2018, as compared to 15% in the third quarter of fiscal 2017. Non-GAAP adjusted gross margin³ was 27% for the third quarter of fiscal 2018, as compared to 24% in the third quarter of fiscal 2017. Gross margin expansion year-over-year was driven by an improving revenue mix, as the higher-margin O&O business has increased from 53% of total revenue in the fiscal third quarter of 2017 to 60% of total revenue in the fiscal third quarter of 2018. The reconciliation between GAAP and non-GAAP financial results for all referenced periods is provided in a table immediately following the Unaudited Consolidated Statements of Operations and Comprehensive Loss included below.

Net loss for the third quarter of fiscal 2018 was $3.8 million, or ($0.05) per share, as compared to the net loss for the third quarter of fiscal 2017 of $2.6 million, or ($0.04) per share. Non-GAAP adjusted net income¹ was $0.5 million, or $0.01 per share, in the third quarter of fiscal 2018.

Non-GAAP adjusted EBITDA² for the third quarter of fiscal 2018 was $1.2 million, as compared to a loss of $2.1 million for the third quarter of fiscal 2017. Growth in non-GAAP adjusted EBITDA was achieved primarily via the combination of gross profit growth in the O&O business and effective expense management. Please see ‘Use of Non-GAAP Measures’ at the end of this press release for the definition of Non-GAAP adjusted EBITDA and a reconciliation to GAAP net loss.

Business Outlook

Based on information available as of February 7, 2018, the Company expects full-year fiscal 2018 revenue of $123 million, representing 34% annual growth. The Company expects non-GAAP adjusted EBITDA² of $2.4 million for the full-year fiscal 2018, as compared to a non-GAAP adjusted EBITDA loss of $8.9 million for fiscal 2017. The Company further expects to generate positive non-GAAP free cash flow⁴ for the full-year fiscal 2018. Non-GAAP adjusted EBITDA and free cash flow differ from comparable GAAP measures in that they exclude certain cash and non-cash expenses, such as interest expense, foreign transaction gains (losses), income taxes, depreciation and amortization, stock-based compensation expense, the change in fair value of derivatives and warrants, impairment of intangible assets, loss on disposal of fixed assets, and loss on extinguishment of debt. Digital Turbine is unable to predict with reasonable certainty the ultimate outcome of these exclusions without unreasonable effort. For example, the Company cannot predict its stock price, which under GAAP can have a significant impact on the fair values of derivatives and warrants. Therefore, Digital Turbine has not provided guidance for GAAP net loss or a reconciliation of the foregoing forward-looking adjusted EBITDA and free cash flow guidance to GAAP net loss.

About Digital Turbine, Inc.

Digital Turbine operates at the convergence of media and mobile communications, connecting top mobile operators, OEMs and publishers with app developers and advertisers worldwide. Its comprehensive Mobile Delivery Platform powers frictionless user acquisition and engagement, operational efficiency and monetization opportunities. Digital Turbine’s technology platform has been adopted by more than 30 mobile operators and OEMs, and has delivered more than one billion app preloads for tens of thousands advertising campaigns. The company is headquartered in Austin, Texas, with global offices in Durham, Mumbai, San Francisco, Singapore, Sydney and Tel Aviv. For additional information visit www.digitalturbine.com.

Conference Call

Management will host a conference call today at 4:30 p.m. ET to discuss its most recent fiscal quarter financial results and provide operational updates on existing business. To participate, interested parties should dial 855-238-2713 in the United States or 412-542-4111 from international locations. A webcast of the conference call will be available at ir.digitalturbine.com/events.

For those who are not able to join the live call, a playback will be available through February 14, 2018. The replay can be accessed by dialing 877-344-7529 in the United States or 412-317-0088 from international locations, passcode 10116627.

The conference call will discuss guidance and other material information.

Use of Non-GAAP Financial Measures

To supplement the Company’s condensed financial statements presented in accordance with U.S. Generally Accepted Accounting Principles (“GAAP”), Digital Turbine uses non-GAAP measures of certain components of financial performance. These non-GAAP measures include non-GAAP adjusted gross profit, non-GAAP gross margin, non-GAAP adjusted EBITDA, non-GAAP adjusted net income, non-GAAP EPS and free cash flow. Reconciliations to the nearest GAAP measures of all non-GAAP measures included in this press release can be found in the tables below.

Non-GAAP measures are provided to enhance investors’ overall understanding of the Company's current financial performance, prospects for the future and as a means to evaluate period-to-period comparisons. The Company believes that these Non-GAAP measures provide meaningful supplemental information regarding financial performance by excluding certain expenses and benefits that may not be indicative of recurring core business operating results. The Company believes the non-GAAP measures that exclude such items when viewed in conjunction with GAAP results and the accompanying reconciliations enhance the comparability of results against prior periods and allow for greater transparency of financial results. The Company believes Non-GAAP measures facilitate management's internal comparison of its financial performance to that of prior periods as well as trend analysis for budgeting and planning purposes. The presentation of Non-GAAP measures is not intended to be considered in isolation or as a substitute for, or superior to, the financial information prepared and presented in accordance with GAAP.

¹Non-GAAP adjusted net income/(loss) and EPS are defined as GAAP net income/(loss) and EPS adjusted to exclude the effect of stock-based compensation, amortization of intangibles, changes in the fair value of derivatives and warrants related to the September 2016 convertible notes offering, and tax adjustments due to updates resulting from finalization of a transfer pricing study. Readers are cautioned that Non-GAAP adjusted net income and EPS should not be construed as an alternative to comparable GAAP net income figures determined in accordance with U.S. GAAP as an indicator of profitability or performance, which is the most comparable measure under GAAP.

²Non-GAAP adjusted EBITDA is calculated as GAAP net loss excluding the following cash and non-cash expenses: interest expense, foreign transaction gains (losses), income taxes, depreciation and amortization, stock-based compensation expense, the change in fair value of derivatives and warrants that are recorded related to the September 2016 convertible notes offering, other income / (expense), impairment of intangible assets, loss on disposal of fixed assets, and loss on extinguishment of debt. Readers are cautioned that Non-GAAP adjusted EBITDA should not be construed as an alternative to net income (loss) determined in accordance with U.S. GAAP as an indicator of performance, which is the most comparable measure under GAAP.

³Non-GAAP adjusted gross profit and gross margin are defined as GAAP gross profit and gross margin adjusted to exclude the effect of intangible amortization expense, impairment of intangible assets, and depreciation of software. Readers are cautioned that Non-GAAP adjusted gross profit and gross margin should not be construed as an alternative to gross margin determined in accordance with U.S. GAAP as an indicator of profitability or performance, which is the most comparable measure under GAAP.

⁴Non-GAAP free cash flow, which is a non-GAAP financial measure, is defined as net cash provided by operating activities (as stated in our Consolidated Statement of Cash Flows) reduced by capital expenditures. Readers are cautioned that free cash flow should not be construed as an alternative to net cash provided by operating activities determined in accordance with U.S. GAAP as an indicator of profitability, performance or liquidity, which is the most comparable measure under GAAP.

Non-GAAP adjusted gross profit and gross margin, adjusted EBITDA, Non-GAAP adjusted net income and EPS, and free cash flow are used by management as internal measures of profitability, performance and liquidity. They have been included because the Company believes that the measures are used by certain investors to assess the Company’s financial performance before non-cash charges and certain costs that the Company does not believe are reflective of its underlying business.

Forward-Looking Statements

This news release includes "forward-looking statements" within the meaning of the U.S. federal securities laws. Statements in this news release that are not statements of historical fact and that concern future results from operations, financial position, economic conditions, product releases and any other statement that may be construed as a prediction of future performance or events, including financial projections and growth in various products are forward-looking statements that speak only as of the date made and which involve known and unknown risks, uncertainties and other factors which may, should one or more of these risks uncertainties or other factors materialize, cause actual results to differ materially from those expressed or implied by such statements.

These factors and risks include:

Investor Relations Contacts:

Brian Bartholomew
Digital Turbine
brian.bartholomew@digitalturbine.com

SOURCE Digital Turbine, Inc.

Digital Turbine, Inc. and Subsidiaries

Consolidated Statements of Operations and Comprehensive Loss

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Digital Turbine, Inc. and Subsidiaries

Consolidated Balance Sheets

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Digital Turbine, Inc. and Subsidiaries

Consolidated Statement of Cash Flows

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GAAP GROSS MARGIN TO NON-GAAP GROSS MARGIN

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GAAP CASH FLOW FROM OPERATIONS TO NON-GAAP FREE CASH FLOW

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