The short answer
AppLovin (APP) remains doubtful under ZakatInvest's qualitative verdict, and its current total-assets financial screen fails on debt, liquidity and receivables. AppLovin now describes a single advertising segment built around Axon Ads Manager, MAX, Adjust and Wurl. The former Apps Business and its direct mobile-game revenue were sold in 2025, but advertiser-category exposure, AI targeting and the remaining Tripledot investment still require review.
This is a reproducible research screen, not a fatwa or investment recommendation. Scholars can differ on advertising for prohibited products, active optimization versus neutral infrastructure, gaming-related exposure, data practices and the treatment of debt and investment balances.
Current quantitative Sharia screen
Based on 10-Q figures for the period ended 2026-03-31; calculated 2026-07-13.
3,514.022 / 7,707.705
2,758.671 / 7,707.705
4,716.694 / 7,707.705
- Financial
- Fails
- Overall
- Fails
Debt is 45.59%, liquidity is 35.79% and receivables plus cash are 61.19%, each above the examined FTSE asset limits. Gross interest income is not separately disclosed and the advertising-activity screen remains incomplete.
- Financial
- Fails
- Overall
- Fails
Debt is 45.59%, liquidity is 35.79% and receivables plus cash are 61.19%, above the examined MSCI total-assets limits. This is a calculation against the named method, not an index-membership claim; screened advertising activity remains unresolved.
- Financial
- Fails
- Overall
- Fails
Debt is 45.59% and identifiable conventional liquidity is 35.79%, above the examined 33% limits. This is a calculation against SAC ratios, not an official SAC classification of a U.S.-listed security; the advertising business screen remains incomplete.
- Financial
- Not calculated
- Overall
- Not calculated
A properly licensed and reproducible historical market-cap series is not stored, so these methods are not estimated from a current spot price.
Business-activity disclosure
AppLovin operates a single reportable advertising segment through Axon Ads Manager, MAX, Adjust and Wurl. Its current filing describes an end-to-end AI-powered advertising platform and says revenue is primarily fees paid by advertisers for ads placed in third-party mobile applications. Advertising infrastructure can be neutral-purpose, while the content, products and conduct promoted through the network raise school- and contract-specific concerns.
Limitation: The latest filing does not provide revenue by advertiser category, campaign content, gambling, alcohol, dating, adult, gaming, financial-product or other potentially non-compliant category. It therefore cannot support a universal prohibited-revenue percentage or a claim that the advertising network has zero screened activity.
Purification
Gross interest income is not separately disclosed, and the filing does not quantify screened advertising categories. The site therefore does not prescribe a fixed purification percentage; readers should follow the scholar or methodology they use.
Inputs, assumptions and primary sources
- Interest-bearing debt uses the $3,514.022 million long-term-debt balance. The filing reports no separate current debt balance; operating and other liabilities are not added to this interest-bearing-debt input.
- Cash uses cash and cash equivalents of $2,758.671 million. The filing separately identifies $200 million of money-market funds within fair-value disclosures, but those funds are included in cash equivalents and are not double-counted as separate securities.
- No separate marketable-securities balance is reported at March 31, 2026, so interest-bearing securities are entered as zero rather than inferring a numerator from equity-method investments, private funds or other non-current assets.
- Receivables use net accounts receivable of $1,958.023 million. Equity-method investments, private funds and other non-current assets are not added to the receivables-plus-cash numerator.
- Revenue uses $1,842.449 million for the three months ended March 31, 2026. The filing says substantially all revenue is generated from Axon Ads Manager, with advertiser fees for ads placed in mobile applications owned by third-party publishers.
- The filing separately reports $51.159 million of interest expense and $42.634 million of other income, net, but does not separately disclose gross interest income. The FTSE income input is therefore unavailable rather than estimated.
- AppLovin completed the sale of its Apps Business in June 2025. The former Apps Business is presented as discontinued operations, so the current screen does not treat the old gaming revenue as current operating revenue.
This is a reproducible financial screen, not a fatwa. A failed total-assets screen can coexist with a pass under a market-cap methodology. ZakatInvest keeps the qualitative assessment separate so numerical thresholds do not erase material context.
Current quantitative screen
The calculations above use AppLovin's official filing (Form 10-Q for the quarter ended March 31, 2026). Amounts are in USD millions and use total assets as the denominator so the inputs can be reproduced from the filing.
- Interest-bearing debt / assets: 45.59%, using $3.514 billion of long-term debt.
- Cash plus separately identified interest-bearing securities / assets: 35.79%, using $2.759 billion of cash and cash equivalents. Money-market funds disclosed in the filing are already included in cash and are not double-counted.
- Receivables plus cash / assets: 61.19%, using $1.958 billion of net receivables and the reported cash balance.
- Gross interest income: unavailable. The filing reports $51.159 million of interest expense and $42.634 million of other income, net, but does not separately disclose gross interest income.
The reproduced FTSE Yasaar, MSCI total-assets and Malaysia SAC financial-ratio calculations fail on debt, liquidity and/or receivables. Market-cap-denominator methods are not calculated because this site does not store a licensed, reproducible historical market-cap series for the filing date.
What AppLovin does now
AppLovin says it provides end-to-end advertising solutions that help businesses reach, monetize and grow global audiences. Its single reportable segment provides Axon Ads Manager, MAX, Adjust and Wurl. For the quarter ended March 31, 2026, revenue was $1.842 billion, and the filing says substantially all revenue came from Axon Ads Manager fees for advertising placed in mobile applications owned by third-party publishers.
This is materially different from the old description of APP as a 70% software platform and 30% Apps Business. AppLovin completed the sale of the Apps Business to Tripledot on June 30, 2025. The former Apps Business is presented as discontinued operations, while AppLovin retains an equity-method investment in Tripledot and reported $24.8 million of Q1 revenue related to Tripledot's use of Axon Ads Manager.
Qualitative considerations
- Advertiser-category facilitation: AppLovin's filing does not quantify revenue from gambling, alcohol, dating, adult, gaming, financial products or other screened advertisers. The platform may be treated as neutral infrastructure by some scholars, while others view deliberate optimization of prohibited advertising as active facilitation.
- Legacy gaming exposure: the former Apps Business included mobile games and entertainment, including the types of randomized or gambling-like mechanics discussed in the earlier analysis. That concern should be retained as historical and indirect exposure, not mislabeled as current APP operating revenue after the divestiture.
- AI targeting and data: the company uses AI-powered advertising recommendations and return-on-spend optimization. Profiling, consent, privacy, bias, data collection, ad fraud, platform terms and user autonomy create material ethical and governance questions.
- Tripledot relationship: AppLovin received a significant equity-method interest in Tripledot when it sold the Apps Business and recognized related-party advertising revenue in Q1 2026. The investment and commercial relationship should be monitored separately from the continuing advertising segment.
- Debt and investments: long-term debt was $3.514 billion, while cash, equity-method investments and private funds were also material. No current financial screen should quietly substitute a market-cap estimate or infer gross interest income that the filing does not disclose.
How the methodologies differ
Under FTSE Yasaar, debt, liquidity and receivables-plus-cash all exceed the examined total-assets limits, and gross interest income is unavailable. Under MSCI total-assets, the same debt, liquidity and receivables ratios fail. Under the Malaysia SAC financial-ratio calculation, debt and identifiable liquidity fail. These are calculations against named methods, not official index-membership claims or a universal scholarly ruling; the screened advertising-category business result remains incomplete.
Bottom line
APP is presented as doubtful because the current financial ratios fail and the advertising platform's screened advertiser mix is undisclosed. The old direct-gaming revenue narrative is corrected: the Apps Business was divested, but indirect gaming and advertiser-category questions remain relevant.
If you are considering APP, compare this evidence with the methodology and scholar you follow, monitor the next filing and do not treat a software or AI label as proof that every advertiser, data practice or financial ratio is Sharia-compliant.
The Apps Business was divested, but screened advertiser categories, AI targeting and debt remain material review items.
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