Slide 1: Adcore's Q2 2024 Earning call
T S X : A D CO | OTCQX : A D CO F Adcore's Q2 2024 Earning call August, 2024
Slide 2: Hosts
Adcore's Q2 2024 Earning call | August 2024 T S X : A D CO | OTCQX : A D CO F Hosts Nick Campbell Omri Brill Amit Konforty Investor Relations CEO CFO 2
Slide 3: Agenda
Adcore's Q2 2024 Earning call | August 2024 Agenda • Forward Looking Statements • CEO Opening Remarks • CFO Financial Highlights • Q&A 3
Slide 4: Forward Looking Statements
Adcore's Q2 2024 Earning call | August 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 financial
Slide 5: CEO Opening Remarks
Adcore's Q2 2024 Earning call | August 2024 CEO Opening Remarks 5
Slide 6: Q2 2024 Report Highlights
Adcore's Q2 2024 Earning call | August 2024 Q2 2024 Report Highlights Operational Efficiency Boosts Gross Margins 6
Slide 7: Quarterly Revenue
T S X : A D CO | OTCQX : A D CO F Adcore's Q2 2024 Earning call | August 2024 9 8.2 6.9 6.9 Quarterly 6.6 Revenue CAD in million 3.7 3 3.3 3.1 2.9 Quarterly Revenue (↓4% YoY) Gross Profit (↓1% YoY) Q2 2023 Q3 2023 Q4 2023 Q1 2024 Q2 2024 7
Slide 8: Quality Growth KPIs
41% Adcore's Q2 2024 Earning call | August 2024 40% 3.7M 45% 44% 43% 3.3M 3M 3.1M 2.9M Quality Growth KPIs Q2 2023 Q3 2023 Q4 2023 Q1 2024 Q2 2024 CAD in millions ↑22% YoY 2.1 M 2M 2M 1.7M 1.6 M Gross margin North America revenue Q2 2023 Q3 2023 Q4 2023 Q1 2024 Q2 2024 8
Slide 9: Earnings Report Highlights Q2 2024
Adcore's Q2 2024 Earning call | August 2024 Earnings Q2 2024 Highlights • Client Diversification: Client concentration decreased from 52% to Report 49%. Hightlights • Operating Cash Flow: Reduced to CAD $247 thousand, down from CAD $406 thousand in Q2 2023, marking a decrease of CAD $159 thousand or
Slide 10: Earnings Report Highlights H1 2024
Adcore's Q2 2024 Earning call | August 2024 Earnings 1-6/2024 Highlights • Gross Profit: Rose to CAD $6,019 thousand, an increase of CAD Report $331 thousand or 6% from the first half of 2023. Hightlights • Gross Margins: Improved to 45%, compared to 42% in the same period last year. • North America
Slide 11: Adcore 2024 Four Strategic Pillars
Adcore's Q2 2024 Earning call | August 2024 Adcore 2024 Four Strategic Pillars Technology Enterprise & 1 & AI 2 Aggregators Low Touch - 3 DIY 4 Synergy 11
Slide 12: Comparable Companies
T S X : A D CO | O TCQX : A D CO F Adcore's Q2 2024 Earning call | August 2024 ENTERPRISE EV / EV / Comparable COMPANY NAME TICKER MARK CAP VALUE (EV) GROSS EBITDA PROFIT (ADJ) Fluent Inc FLNT US 63 94 0.9 -3.1 Companies Criteo SA CRTO US 3,658 3,480 2.8 14.5 Evertz Technologies Ltd ET TO 967 903
Slide 13: Adcore Share Purchases by the Company
Adcore's Q2 2024 Earning call | August 2024 T S X : A D CO | O TCQX : A D CO F Adcore Share Purchases by the Company Quantity Share Price Value (CAD) Q2/24 Company NCIB purchase 60,000 0.24 $ 14,600 Quantity Share Price Value (CAD) Total accumulated NCIB purchases 1,940,000 0.26 $ 513,967 Shares pur
Slide 14: CFO Financial Highlights
Adcore's Q2 2024 Earning call | August 2024 CFO Financial Highlights 14
Slide 15: Comprehensive Income
Adcore's Q2 2024 Earning call | August 2024 T S X : A D CO | O TCQX : A D CO F Comprehensive Income Three months ended Three months ended CAD in million June 30, 2024 June 30, 2023 YoY Revenues 6.6 6.9 -4% Cost of revenues 3.7 3.9 Gross profit 2.9 3.0 RnD 0.6 0.4 SG&A 3.1 3.0 76% Operating profit (0
Slide 16: Gross Profit
Adcore's Q2 2024 Earning call | August 2024 T S X : A D CO | O TCQX : A D CO F Gross Profit Quarterly First Half Yearly CAD in Gross Profit ↑11% YoY millions Gross Profit ↓1% YoY Gross Profit ↑6% YoY 12.7 11.5 3 41% 2.9 5.7 6 10.8 43% 43% 44% 42% 45% 9.2 30% 40% Q2 2023 Q2 2024 H1.23 H1.24 2020 2021
Slide 17: Q2 2024 Revenue Breakdown
Adcore's Q2 2024 Earning call | August 2024 T S X : A D CO | O TCQX : A D CO F Q2 2024 Revenue Breakdown North America +22% YoY 31% of total APAC 3% YoY EMEA -27% YoY 40% of total 29% of total 17
Slide 18: Net cash used in operation activities
500 Adcore's Q2 2024 Earning call | August 2024 406 400 Net cash used in 300 249 operation activities 200 100 CAD in thousands 0 Q2 2023 Q2 2024 18
Slide 19: Financial Position - Assets
Adcore's Q2 2024 Earning call | August 2024 T S X : A D CO | O TCQX : A D CO F Financial Position - Assets CAD in million 30.06.24 31.12.23 Total CURRENT ASSETS capitalization Cash and cash equivalents 7.3 8.1 in the 3 months Trade accounts receivable, net 4.3 6.1 ended June 30, 2024 was 0.25 Other
Slide 20: Financial Position - Liabilities
Adcore's Q2 2024 Earning call | August 2024 T S X : A D CO | O TCQX : A D CO F Financial Position - Liabilities CAD in million 30.06.24 31.12.23 Debt free CURRENT LIABILITIES Trade accounts payable 4.1 5.0 Other accounts payable 1.4 2.2 Lease liability 0.2 0.0 Total current liabilities 5.7 7.2 NON-C
Slide 21: Adjusted EBITDA
Adcore's Q2 2024 Earning call | August 2024 T S X : A D CO | O TCQX : A D CO F Adjusted EBITDA Three months ended June Three months ended June CAD in thousands 30, 2024 30, 2023 Operating profit (loss) (779) (406) Depreciation and amortization 380 201 Share-based payments 16 126 Other non-operationa
Slide 22: Q&A
Adcore's Q2 2024 Earning call | August 2024 Q&A
Slide 23: Thank You.
T S X : A D CO | OTCQX : A D CO F Thank You. For more information visit adcore.com/investors