Yahoo Finance

Simon Cairns, illumin’s Chief Executive Officer, commented, “In the second quarter, we saw good growth both year-over-year and sequentially in illumin self-service, along with a good sequential increase in managed services. As we listen closely to customers who value our services, we believe there may be untapped potential in creating a complimentary portfolio of products and services including both self-service and managed services. Our rebuilding of the leadership team reflects our intent to be market responsive and focused on delivering results for our customers and performance for our investors.”

Mr. Cairns added, “Complementing this, we have been refining our sales activities, including honing our illumin self-serve go to market strategy. So, even while our sales and marketing spending fell year-over-year, our illumin self-serve revenue still grew rapidly as our sales efforts became more productive. We also continued to prioritize increasing our managed service sales efficiency, as we consider this to be an area with untapped potential. Together, we believe these actions will drive our long-term revenue growth and improve our profitability.”

Elliot Muchnik, illumin’s Chief Financial Officer, commented, “As we have been carefully managing our expenses and reallocating our internal resources to areas where we see the most growth potential, we maintained our overall focus on operational discipline. This effort has contributed to a total operating expense decline of over 10% and an Adjusted EBITDA improvement of 11% compared to the same period last year. With our improved operating efficiencies, we are able to support a number of sales initiatives that should support year-over-year growth in the third quarter.”

The following table presents a reconciliation of net loss to Adjusted EBITDA for the periods ended:

^{(1)  Nasdaq-related costs are listing fees and directors’ and officers’ insurance specific to the Company’s Nasdaq listing and have been reclassed below Adjusted EBITDA as they are not recurring.}

Conference Call Details:

Date: Thursday, August 8, 2024
Time: 8:30AM Eastern Time

To register for the conference call webcast and presentation, please visit https://illumin.com/investor-information/earnings-call/.

Please connect 15 minutes prior to the conference call to ensure time for any software download that may be needed to hear the webcast.

A recording of the conference call webcast will be available after the call by visiting the Company’s website at https://illumin.com/investor-information/

Non-IFRS Measures

This press release makes reference to certain non-IFRS Accounting Standard measures (“non-IFRS measures”). These measures are not recognized measures under IFRS Accounting Standards (“IFRS”), do not have a standardized meaning prescribed by IFRS, and are therefore unlikely to be comparable to similar measures presented by other companies. Rather, these measures are provided as additional information to complement those IFRS measures by providing further understanding of our results of operations from management's perspective. Accordingly, these measures should not be considered in isolation nor as a substitute for analysis of our financial information reported under IFRS. We use non-IFRS measures including “revenue less media costs”, “revenue less media costs margin”, “Adjusted EBITDA” and “Adjusted Net Income (Loss)” (as well as other measures discussed elsewhere in this press release).

The term “revenue less media costs margin” refers to the amount that “revenue less media costs” represents as a percentage of total revenue for a given period, while the term “revenue less media costs” refers to the net amount of revenue after deducting direct media costs. Revenue less media costs is used for internal management purposes as an indicator of the performance of the Company’s solution in balancing the goals of delivering excellent results to advertisers while meeting the Company’s margin objectives and, accordingly, the Company believes it is useful supplemental information.

“Adjusted EBITDA” refers to net income (loss) after adjusting for finance costs (income), impairment loss, fair value gain, income taxes, foreign exchange loss (gain), depreciation and amortization, share-based compensation, acquisition and related integration costs, severance expenses and adjustments to the carrying value of investment tax credits receivable. The Company believes that Adjusted EBITDA is useful supplemental information as it provides an indication of the results generated by the Company’s main business activities before taking into consideration how those activities are financed and taxed and prior to taking into consideration depreciation of property and equipment and certain other items listed above. It is a key measure used by the Company’s management and board of directors to understand and evaluate the Company’s operating performance, to prepare annual budgets and to help develop operating plans.

“Adjusted Net Income (Loss)” refers to net income (loss) after adjusting for non-cash items such as impairment loss, fair value gain, depreciation and amortization, share-based compensation, and foreign exchange loss (gain). The Company believes that Adjusted Net Income (Loss) is useful supplemental information as it provides an indication of the results generated by the Company’s main business activities on a cash basis. It is another key measure used by the Company’s management and board of directors to understand and evaluate the Company’s operating performance, to prepare annual budgets and to help develop operating plans.

These non-IFRS measures are used to provide investors with supplemental measures of our operating performance and thus highlight trends in our business that may not otherwise be apparent when relying solely on IFRS measures. We believe that securities analysts, investors, and other interested parties frequently use non-IFRS measures in the evaluation of issuers, and that these non-IFRS measures are relevant to their analysis of the Company.

About illumin:

illumin is a journey advertising platform that enables marketers to reach consumers at every stage of their journey by leveraging advanced machine learning algorithms and real-time data analytics. The Company’s mission is to illuminate the path for brands to connect with their customers through the power of data-driven advertising. Headquartered in Toronto, Canada, illumin serves clients across North America, Latin America, and Europe.

Disclaimer with regard to forward-looking statements

Certain statements included herein constitute “forward-looking statements” within the meaning of applicable securities laws. Forward-looking statements are necessarily based upon a number of estimates and assumptions that, while considered reasonable by management at this time, are inherently subject to significant business, economic and competitive uncertainties and contingencies. Investors are cautioned not to put undue reliance on forward-looking statements. Except as required by law, illumin does not intend, and undertakes no obligation, to update any forward-looking statements to reflect, in particular, new information or future events.

For further information, please contact:

Please note that the following financial information is an extract from the Company’s Condensed Interim
Consolidated Financial Statements (unaudited) for the three and six months ended June 30, 2024 and 2023 (the “Financial Statements”) provided for readers’ convenience and should be viewed in conjunction with the Notes to the Financial Statements, which are an integral part of the statements. The full Financial Statements and MD&A for the period may be found by accessing SEDAR+ at www.sedarplus.com.

illumin Holdings Inc.
Condensed Interim Consolidated Statements of Financial Position
(Unaudited; Expressed in thousands of Canadian dollars)

illumin Holdings Inc.
Condensed Interim Consolidated Statements of Comprehensive Loss
(Unaudited; Expressed in thousands of Canadian dollars)
For the three and six months ended June 30, 2024 and 2023

illumin Holdings Inc.
Condensed Interim Consolidated Statements of Cash Flows
(Unaudited; Expressed in thousands of Canadian dollars)
For the six months ended June 30, 2024 and 2023