Adcore Inc · TSX:ADCO
Adcore — Q4 2021 Earnings Presentation
26 slides from Adcore's earnings presentation, March 2022
Slide 1: Adcore’s Q4 2021 and FY 2021 Earnings Call
TSX: A DCO | OTCQX: A DCOF Adcore’s Q4 2021 and FY 2021 Earnings Call will start at 10:02AM March 2022
Slide 2: Adcore’s Q4 2021 and FY 2021 Earnings Call
TSX: A DCO | OTCQX: A DCOF Adcore’s Q4 2021 and FY 2021 Earnings Call March 2022
Slide 3: Hosts
Adcore’s Q4 & FY 2021 Earnings Call | March 2022 T SX: A D CO | OTCQX: A D CO F Hosts Yatir Sadot Omri Brill Barak Frank CFO CEO CORPORATE SECRETARY 3
Slide 4: Agenda
Adcore’s Q4 & FY 2021 Earnings Call | March 2022 Agenda • Forward Looking Statements • CEO Opening Remarks • CFO Financial Highlights • Q&A 4
Slide 5: Forward Looking Statements
Adcore’s Q4 & FY 2021 Earnings Call | March 2022 This conference call contains certain forward-looking statements, Forward including statements about the Company. Wherever possible, words such as “may”, “will”, “should”, “could”, “expect”, “plan”, “intend”, “anticipate”, “believe”, “estimate”, “pred
Slide 6: CEO Opening Remarks
Adcore’s Q4 & FY 2021 Earnings Call | March 2022 CEO Opening Remarks
Slide 7: Annual revenue growth
40 35.7 Revenue growth Adcore’s Q4 & FY 2021 Earnings Call | March 2022 35 2021 - 57% (12.9) 30 Gross profit growth Annual 25 22.8 2021 - 17% revenue 20 Adj. EBIDTA growth 2021 - 17% growth 15 10 CAD in million 5 0 2020 2021 7
Slide 8: Annual working capital
15 Working capital growth Adcore’s Q4 & FY 2021 Earnings Call | March 2022 13 2021 - 67% (5.2) 12 Annual working 9 7.8 capital growth 6 3 CAD in million 0 Dec 2020 Dec 2021 8
Slide 9: Quarterly revenue
15 13.4 Revenue Adcore’s Q4 & FY 2021 Earnings Call | March 2022 2021 - (-28%) 12 Quarterly 9.7 Cost of revenue 2021 - (-38%) revenue 9 6 3 CAD in million 0 Q4 2020 Q4 2021 9
Slide 10: Quarterly operating profit
Gross profit Gross margin 4 40% Adcore’s Q4 & FY 2021 Earnings Call | March 2022 3.2 33% 3.0 Quarterly 3 30% operating 23% 2 20% profit growth 1 10% 0 0 CAD in million Q4, 2020 Q4, 2021 Q4, 2020 Q4, 2021 2021 - 5% (0.2) 2021 - 46% (10%) 10
Slide 11: Operating profit
Operating profit 1,000 Adcore’s Q4 & FY 2021 Earnings Call | March 2022 Operating 750 736 profit 500 250 CAD in thousands 161 0 Q4, 2020 Q4, 2021 2021 - 356% (577) 11
Slide 12: Quality growth KPIs
2,282 Indirect revenue North America revenue Adcore’s Q4 & FY 2021 Earnings Call | March 2022 1,085 Quality 666 growth KPIs 238 524 Q4 2020 Q1 2021 Q2 2021 Q3 2021 Q4 2021 CAD in thousands 788 665 706 392 190 Q4 2020 Q1 2021 Q2 2021 Q3 2021 Q4 2021 12
Slide 13: 2021 Strategic initiatives
Adcore’s Q4 & FY 2021 Earnings Call | March 2022 T SX: A D CO | OTCQX: A D CO F 2021 Strategic initiatives Opened a new Commenced Opened a new Graduated to Fundraised Launched Launched subsidiary in trading on subsidiary in TSX CAD $4.1M Amphy AMC China OTCQX the US Mar-21 Mar-21 Jun-21 Jun-21 Jul-2
Slide 14: Annual & quarterly growth
Classes 3,327% 1,364 2021 vs. 2020 Adcore’s Q4 & FY 2021 Earnings Call | March 2022 Visitors 7,395% 176,079 Annual & Sign ups 13,205% 8,319 quarterly Transactions 8,084% 7,922 growth Classes 53% 475 Q4 21 vs. Q3 21 Visitors 52% 81,111 Sign ups 100% 4,720 Transactions 49% 3,170 14
Slide 15: Stock price
Adcore’s Q4 & FY 2021 Earnings Call | March 2022 T SX: A D CO | OTCQX: A D CO F Stock price Tech stock price drop last 12 months Wix -75.49% Shopify -65.76% $2.7 $152M Fiverr AcuityAds -69.67% -82.59% Adcore -69.67% Share price Market cap Feb, 2021 Feb, 2021 Average -72.64% Facebook, Netflix ~ -
Slide 16: Roadmap
Adcore’s Q4 & FY 2021 Earnings Call | March 2022 American year • Open a physical office in the US (H2) 2022 • Nasdaq listing (2022-2023) Roadmap Quality growth • Higher gross margins • Increase indirect revenue stream • Expand our tech offering M&A • Tactical M&As to support GEO expansion and talent
Slide 17: CFO Financial Highlights
Adcore’s Q4 & FY 2021 Earnings Call | March 2022 CFO Financial Highlights
Slide 18: Comprehensive Income
Adcore’s Q4 & FY 2021 Earnings Call | March 2022 T SX: A D CO | OTCQX: A D CO F Comprehensive Income Year ended Year ended CAD in million December 31, 2021 December 31, 2020 YoY Full Year Revenues 35.7 22.8 57% (2021) Cost of revenues 24.9 13.6 83% revenues Gross profit 10.8 9.2 17% growth by 57% Yo
Slide 19: Comprehensive Income
Adcore’s Q4 & FY 2021 Earnings Call | March 2022 T SX: A D CO | OTCQX: A D CO F Comprehensive Income Three months ended Three months ended CAD in million December 31, 2021 December 31, 2020 YoY Q4 Gross profit Revenues 9.7 13.4 -28% growth by 7% Cost of revenues 6.5 10.4 -38% YoY Gross profit 3.2 3
Slide 20: Financial Position - Assets
Adcore’s Q4 & FY 2021 Earnings Call | March 2022 T SX: A D CO | OTCQX: A D CO F Financial Position - Assets CAD in million 31.12.2021 31.12.2020 Working CURRENT ASSETS Capital Cash and cash equivalents 14.1 11.7 13M vs. Trade accounts receivable, net 3.7 2.4 7.8M Other accounts receivable 0.8 0.1 An
Slide 21: Financial Position - Liabilities
Adcore’s Q4 & FY 2021 Earnings Call | March 2022 T SX: A D CO | OTCQX: A D CO F Financial Position - Liabilities CAD in million 31.12.2021 31.12.2020 Zero Debt CURRENT LIABILITIES Trade accounts payable 4.5 3.8 Other accounts payable 0.9 1 Deferred Revenues - 1.4 Lease liability 0.3 0.1 Total curren
Slide 22: Revenue Breakdown
Adcore’s Q4 & FY 2021 Earnings Call | March 2022 T SX: A D CO | OTCQX: A D CO F Revenue Breakdown CAD in thousands Q4 2021 Q4 2020 diff % An increase Direct APAC 4,677 12,040 (7,363) -61% of 858% EMEA 2,505 1,042 1,463 140% in indirect North America 213 102 111 107% revenues Direct Total 7,395 13,18
Slide 23: Adjusted comprehensive income
Adcore’s Q4 & FY 2021 Earnings Call | March 2022 T SX: A D CO | OTCQX: A D CO F Adjusted comprehensive income Amphy Adcore Adcore Year ended - December 31, 2021 Total Adcore Edtech Fundraising MarTech 2021 MarTech 2020 % Operating Revenues 35.7 0.01 35.69 22.80 57% profit grew Cost of revenues 24.9
Slide 24: EBITDA
Adcore’s Q4 & FY 2021 Earnings Call | March 2022 T SX: A D CO | OTCQX: A D CO F EBITDA MarTech only MarTech only Three months ended Three months ended Three months ended Three months ended YoY CAD in thousands December 31, 2021 December 31, 2020 December 31, 2021 December 31, 2020 MarTech EBITDA Ope
Slide 25: Q&A
Adcore’s Q4 & FY 2021 Earnings Call | March 2022 Q&A
Slide 26: Thank You.
TSX: A DCO | OTCQX: A DCOF Thank You. For more information visit adcore.com/investors