In This Article:
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Consolidated Revenue: $8.2 million in Q1 2025, a decrease from $22.3 million in Q1 2024.
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Buy-side Revenue: $6.1 million, a 6% increase compared to Q1 2024.
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Sell-side Revenue: $2 million, down from $16.5 million in Q1 2024.
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Gross Profit: $2.4 million, down from $5 million in Q1 2024.
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Gross Margin: Increased to 29% from 22% in Q1 2024.
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Operating Expenses: $6.3 million, a 19% reduction from $7.8 million in Q1 2024.
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Operating Loss: $3.9 million, compared to a loss of $2.8 million in Q1 2024.
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Net Loss: $5.9 million or $0.35 per share, compared to a net loss of $3.8 million or $0.22 per share in Q1 2024.
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Adjusted EBITDA: Loss of $3 million, compared to a loss of $1.7 million in Q1 2024.
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Cash and Cash Equivalents: $1.8 million at the end of Q1 2025, up from $1.4 million at the end of 2024.
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Full Year Revenue Guidance: Maintained at $90 million to $110 million for 2025.
Release Date: May 06, 2025
For the complete transcript of the earnings call, please refer to the full earnings call transcript.
Positive Points
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Consolidated revenue of $8.2 million in Q1 2025, with a 6% increase in buy-side revenue compared to Q1 2024.
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Successful cost-saving initiatives led to a 19% reduction in operating expenses, saving nearly $1.5 million.
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Unification of buy-side platforms into Orange 142 to better serve small to mid-sized clients, tapping into a significant growth opportunity.
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Launch of Colossus Connection to optimize supply path efficiency, showing early positive results.
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Maintained revenue guidance of $90 million to $110 million for full year 2025, supported by growth in both buy-side and sell-side segments.
Negative Points
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Significant decrease in sell-side revenue to $2 million in Q1 2025 from $16.5 million in Q1 2024 due to decreased impression inventory.
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Net loss of $5.9 million in Q1 2025, compared to a net loss of $3.8 million in Q1 2024.
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Adjusted EBITDA loss of $3 million in Q1 2025, compared to a loss of $1.7 million in the same period of 2024.
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Ongoing impact from a market-discredited blog post against the Colossus SSP, causing business disruption and reduced volumes.
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Cash and cash equivalents only slightly increased to $1.8 million at the end of Q1 2025, indicating limited liquidity improvement.
Q & A Highlights
Q: Can you provide insight into the sell-side customer that cut back last year and the expected recovery in business levels? Also, what is the expected revenue split between buy-side and sell-side for the full year? A: Mark Walker, CEO: We are focusing on direct connections with DSP partners to grow our sell-side business. This strategy should drive additional top-line revenue and increase our margin profile. We anticipate a bullish outlook for Q3 and Q4 as these relationships come online. For the full year, we expect buy-side revenue to be around $40 million, with sell-side revenue exceeding that to meet our $90 million to $110 million guidance.