Adcore Inc · TSX:ADCO
Adcore — Q4 2023 Earnings Presentation
29 slides from Adcore's earnings presentation, March 2024
Slide 1: Adcore's Q4 & FY 2023 Earnings Call
T S X : A D CO | OTCQX : A D CO F Adcore's Q4 & FY 2023 Earnings Call March, 2024
Slide 2: Hosts
Adcore's Q4 2023 & FY 2023 Earnings Call | March 2024 T S X : A D CO | O TCQX : A D CO F Hosts Atarah Gobrin Omri Brill Amit Konforty Marketing CEO CFO
Slide 3: Agenda
Adcore's Q4 2023 & FY 2023 Earnings Call | March 2024 Agenda • Forward Looking Statements • CEO Opening Remarks • CFO Financial Highlights • Q&A
Slide 4: Forward Looking Statements
Adcore's Q4 2023 & FY 2023 Earnings Call | March 2024 This conference call contains certain forward-looking information and forward-looking statements (collectively “forward-looking information”), including statements about the Company. Forward-looking information may relate to Forward the Company’s
Slide 5: CEO Opening Remarks
Adcore's Q4 2023 & FY 2023 Earnings Call | March 2024 CEO Opening Remarks
Slide 6: Q4 2023 Performance
Adcore's Q4 2023 & FY 2023 Earnings Call | March 2024 Q4 2023 Performance: Q4 2023 and the entire year of 2023 were periods of strong performance for us, marked by significant achievements and positive growth.
Slide 7: Quarterly Revenue
Adcore's Q4 2023 & FY 2023 Earnings Call | March 2024 9 8.8 8.2 6.8 6.9 Quarterly Revenue CAD in million 3.8 3.7 3 3.3 Quarterly Revenue (↑3% YoY) 2.7 FY Revenues (↑17% YoY) Q4 2022 Q1 2023 Q2 2023 Q3 2023 Q4 2023
Slide 8: Quality Growth KPIs
43% 41% Adcore's Q4 2023 & FY 2023 Earnings Call | March 2024 3.8M 40% 3.7M 43% 3.3M 40% 3M 2.7M Quality Growth KPIs Q4 2022 Q1 2023 Q2 2023 Q3 2023 Q4 2023 CAD in millions 2.1 M 1.9M 1.67 M 1.55 M 1.65 M Gross margin North America revenue Q4 2022 Q1 2023 Q2 2023 Q3 2023 Q4 2023
Slide 9: Monthly Average Burn Rate Highlights
Adcore's Q4 2023 & FY 2023 Earnings Call | March 2024 Monthly Average Burn Rate Highlights ↓11% ↓3% ↓6% USD in thousands 107 103 ↓16% 97 81 ↓19% ↓17% 66 ↓34% 41 27 ↓63% 10 Q2 2022 Q3 2022 Q4 2022 Q1 2023 Q2 2023 Q3 2023 Q4 2023 Q1 2024
Slide 10: Report Highlights
Adcore's Q4 2023 & FY 2023 Earnings Call | March 2024 Report Yearly Quarterly Highlights • Revenue grew 17% YoY • Revenue grew 3% YoY • APAC revenue grew 14% YoY • North America revenue grew 11% YoY • EMEA revenue grew 20% YoY • Operating profit grew 22% YoY • North America revenue grew 18% YoY • Ca
Slide 11: 2023 Targets
Adcore's Q4 2023 & FY 2023 Earnings Call | March 2024 1 2 Maintain a strong balance Keep the gross margin 2023 Targets sheet with a focus on within the 40% to increasing cash reserves. 50% range. 3 4 Achieve double-digit Expand our global growth in revenue, gross footprint in North profit and operat
Slide 12: Rebound in Stock Price
Adcore's Q4 2023 & FY 2023 Earnings Call | March 2024 Rebound in Stock Price 0.17c to - 0.255c ↑ 50% 3 months ↑ 38% 6 months ↑ 16% 12 months ↑ 0%
Slide 13: Comparable Companies
Adcore's Q4 2023 & FY 2023 Earnings Call | March 2024 Comparable COMPANY NAME Fluent Inc TICKER FLNT US MARK CAP 62 ENTERPRISE VALUE (EV) 93 EV / GROSS PROFIT 0.8 EV / EBITDA (ADJ) -0.9 Companies Criteo SA Evertz Technologies Ltd CRTO US ET CN 1,821 1,319 1,220 1,287 1.1 3.3 6.9 8.0 Inuvo Inc INU
Slide 14: Adcore Share Purchases by the Company
Adcore's Q4 2023 & FY 2023 Earnings Call | March 2024 T S X : A D CO | O TCQX : A D CO F Adcore Share Purchases by the Company Quantity Share Price Value (CAD) Q4/23 Company NCIB purchase 70,000 0.2 $ 14,096 Quantity Share Price Value (CAD) Total accumulated NCIB purchases Including 01/24 1,874,500
Slide 15: Adcore 2024 Four Strategic Pillars
Adcore's Q4 2023 & FY 2023 Earnings Call | March 2024 Adcore 2024 Four Strategic Pillars 1 2 Technology & AI Enterprise & Aggregators 3 4 Low Touch - DIY Synergy
Slide 16: Flex Offering
Adcore's Q4 2023 & FY 2023 Earnings Call | March 2024 Flex Offering Full-Service Self-Service Hybrid
Slide 17: Company Structure
Adcore's Q4 2023 & FY 2023 Earnings Call | March 2024 Company Structure Marketing Cloud Marketing Solutions Branding Performance Data & Studio (ToFu) (BoFu) Analytics
Slide 18: 2024 Targets
Adcore's Q4 2023 & FY 2023 Earnings Call | March 2024 2024 Targets 1 2 Maintain a strong balance Keep the gross margin sheet with a focus on within the 40% to increasing cash reserves. 50% range. 3 4 Achieve double-digit Expand both our marketing growth in revenue, gross technology and marketing pro
Slide 19: Social Responsibility
In response to the rehousing efforts for affected Adcore's Q4 2023 & FY 2023 Earnings Call | March 2024 Kibbutzim post-October 7th, we initiated a bicycle donation system for children, enabling their mobility within their new living areas. Social Responsibility Provided over 800 pairs of bicycles an
Slide 20: CFO Financial Highlights
Adcore's Q4 2023 & FY 2023 Earnings Call | March 2024 CFO Financial Highlights
Slide 21: Comprehensive Income
Adcore's Q4 2023 & FY 2023 Earnings Call | March 2024 T S X : A D CO | O TCQX : A D CO F Comprehensive Income Three months ended Three months ended CAD in million December 31, 2023 December 31, 2022 YoY 3% growth in Revenues 9 8.8 +3% Q4-23 vs.Q4-22 Revenues Cost of revenues 5.3 5 Gross profit 3.7 3
Slide 22: Total Revenues & Gross Profit
Adcore's Q4 2023 & FY 2023 Earnings Call | March 2024 Total Revenues & Gross Profit ↑+17% YoY 35.7 31.2 26.7 CAD in millions 22.8 24.9 18.5 15.2 13.6 ↑+3% YoY 9 2M 8.8 +1. 8.2 6.8 6.9 COR 12.7 5.3 11.5 5 4.9 41% Gross 4.1 3.9 10.8 43% 9.2 profit 30% 3.7 40% 3.8 2.7 3 3.3 43% 40% 43% 40% 41% Q4 2022
Slide 23: FY 2023 Revenue Breakdown
Adcore's Q4 2023 & FY 2023 Earnings Call | March 2024 T S X : A D CO | O TCQX : A D CO F FY 2023 Revenue Breakdown North America +18% YoY 23% of total APAC +14% YoY EMEA +20% YoY 35% of total 42% of total
Slide 24: Net cash from (used in) operation activities
6,000 Adcore's Q4 2023 & FY 2023 Earnings Call | March 2024 4,000 Net cash from (used in) 2,000 operation 1,146 activities 0 -2,000 CAD in thousands (3,193) -4,000 2022 2023
Slide 25: Financial Position - Assets
Adcore's Q4 2023 & FY 2023 Earnings Call | March 2024 T S X : A D CO | O TCQX : A D CO F Financial Position - Assets CAD in million 31.12.2023 31.12.2022 Adtech total CURRENT ASSETS capitalization Cash and cash equivalents 8.1 8.8 in the 3 months ended December Trade accounts receivable, net 6.1 6.3
Slide 26: Financial Position - Liabilities
Adcore's Q4 2023 & FY 2023 Earnings Call | March 2024 T S X : A D CO | O TCQX : A D CO F Financial Position - Liabilities CAD in million 31.12.2023 31.12.2022 Debt free CURRENT LIABILITIES Trade accounts payable 5.0 4.8 Other accounts payable 2.2 1.2 Lease liability 0.0 0.3 Total current liabilities
Slide 27: Adjusted EBITDA
Adcore's Q4 2023 & FY 2023 Earnings Call | March 2024 T S X : A D CO | O TCQX : A D CO F Adjusted EBITDA Three months ended Three months ended CAD in thousands December 31, 2023 December 31, 2022 Operating profit (loss) 106 87 Depreciation and amortization 387 234 Share-based payments (10) 93 Other
Slide 28: Q&A
Adcore's Q4 2023 & FY 2023 Earnings Call | March 2024 Q&A
Slide 29: Thank You.
T S X : A D CO | OTCQX : A D CO F Thank You. For more information visit adcore.com/investors