Business
Adcore Reports Strong Second Quarter Financial Results
Revenues have increased by 33% and gross profit by 41% compared to Q2 2022 . TORONTO, ON / ACC...
About this update from Adcore Inc
[{"type":"text","content":"Adcore Reports Strong Second Quarter Financial ResultsRevenues have increased by 33% and gross profit by 41% compared to Q2 2022.TORONTO, ON / ACCESSWIRE / August 9, 2023 / Adcore Inc. (the \"Company\" or \"Adcore\") (TSX:ADCO)(OTCQX:ADCOF)(FSE:ADQ), a leading e-commerce advertising management and automation platform to leverage digital marketing in an effortless and accessible way (\"Effortless Marketing\"), today announced its financial results for the three months ending June 30, 2023.Adcore CEO, Omri Brill, commented, \"I am very proud to report second-quarter results for 2023, a quarter in which our revenues grew to CAD$6.9 million, a 33% increase compared to the second quarter in 2022, and an improvement from our first quarter revenues. I am very pleased to have once again surpassed our initial revenue guidance for the quarter, and I am very appreciative of my exceptional team who were instrumental in growing revenues by over 33% while our cost of revenues increased by only 27%. With an emphasis on efficiency and productivity, our bottom line continues to improve, and we are expecting a strong second half culminating in profitability.Our gross margin this past quarter was 43%, in line with our guidance, and we are pleased to see increasing regional revenues across the globe. North America experienced a 16% increase, while EMEA saw an impressive 50% growth in revenue and the APAC region saw a spike in revenues, with a notable 29% increase compared to Q2 2022.Our Adjusted EBITDA continues to improve as we generated CAD$112,000 for the quarter compared to a loss of CAD$30,000 in Q2 of the prior year and an improvement from the CAD$68,000 in Adjusted EBITDA from the previous quarter. With the uncertainties that exist in the global markets today, the executive team is focused on maintaining cash resources and I am thrilled to report that we have achieved a 70% reduction in cash flow used for operating activities compared to the second quarter of 2022. This improvement in cash flow management puts Adcore in a favorable position to fund our growth initiatives going forward while simultaneously ensuring operational efficiency as we take the next step in our Company development.We concluded the quarter with CAD$6.2 million in cash and a total working capital of CAD$7.8 million. With growing revenues, improved margins and ever-decre...