Financial Data and Key Metrics Changes - The company achieved a record revenue of $26.7 million in Q1 2025, representing a 57% year-over-year growth from $17 million in Q1 2024 [5][14][15] - Trailing twelve-month revenue reached $93.5 million, positioning the company to surpass the $100 million mark within the year [5][23] - Adjusted EBITDA was nearly breakeven at a loss of $22,000, an improvement from a loss of $1 million in the same quarter last year [20] - Net loss decreased to $1.3 million from $2.1 million year-over-year [20] Business Line Data and Key Metrics Changes - Platform revenue was approximately $23.7 million, showing significant growth, while agencies and brands revenue was around $3 million, driven by new client signings [15][16] - The platform segment grew by 61% year-over-year, with campaign volume doubling [7][10] - Agencies and brands experienced a 31% year-over-year growth, with a 23% increase in client base [10][11] Market Data and Key Metrics Changes - The market served by the platform technologies is estimated at $10 billion annually, with strong demand and a healthy pipeline of new business opportunities [9] - The company reported a 430% sequential increase in visitors to its corporate and self-serve website following the launch of the enhanced self-serve platform [11][12] Company Strategy and Development Direction - The financial strategy for 2025 focuses on double-digit revenue growth in both platform and agencies and brands while maintaining product margins [6][7] - The product strategy emphasizes automation for platform growth and AI performance enhancements for agencies and brands [7] - The company plans to maintain a workforce of no more than 90 employees, focusing on hiring engineers and data science professionals [7] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in continued strength, projecting Q2 2025 revenue growth of no less than 25% year-over-year [23] - There is a positive sentiment regarding the demand from the automotive sector, with no observed decline despite tariff concerns [26][29] - The company is optimistic about the self-serve platform's potential, estimating it could generate tens of millions in revenue in the coming years [45] Other Important Information - The company plans to propose a 10-for-1 reverse stock split to optimize its share structure and reduce volatility [24] - Cash and cash equivalents stood at $2.6 million with no outstanding debt as of March 31, 2025 [20][21] Q&A Session Summary Question: Has there been any meaningful changes from your new anchor customer since April? - Management noted no decline in demand from the largest automotive client, with an increase observed instead [26][27] Question: Has there been any changes in your customer base's demand for advertising since April? - Management confirmed that there have been no significant changes in demand from the customer base [28][29] Question: What is the expected breakeven point for the company? - Management indicated that the breakeven point is slightly above $25 million per quarter, estimating around $26 to $27 million [36][37] Question: Will the gross margin improve as the new campaign scales? - Management expects the gross margin to improve as the campaign scales, despite initial lower margins [41] Question: What is the sentiment from agencies and CMOs regarding the broader market? - Management reported that there is some apprehension regarding tariffs, but no significant changes in advertising demand have been observed yet [70][71]

Revenue Performance - Inuvo's net revenue for the three months ended March 31, 2025, was $26,708,032, representing a 56.9% increase compared to $17,023,777 in the same period of 2024[93] - Revenue from Platform customers increased by 61%, while revenue from Agencies & Brands customers grew by 31%[94] Cost and Expenses - The cost of revenue rose to $5,620,941, a 167.8% increase from $2,099,042 in the same quarter of 2024, resulting in a gross margin decrease to 79.0% from 87.7%[95] - Operating expenses totaled $22,856,878, reflecting a 34.3% increase from $17,016,013 in the same period last year, driven by a 33.7% rise in marketing costs[96] - General and administrative costs surged by 153.4% to $1,744,563, influenced by a prior adjustment related to credit losses[98] Net Loss and Financial Position - The company reported a net loss of $1,259,821 for the three months ended March 31, 2025, compared to a net loss of $2,111,658 in the same period of 2024[109] - Cash and cash equivalents stood at approximately $2.6 million as of March 31, 2025, with a net working capital deficit of about $2.2 million[106] - Net cash used in operating activities was $366,912 for the three months ended March 31, 2025, an improvement from $1,355,592 in the same period of 2024[108] - The company generated $921,389 in net cash from financing activities during the three months ended March 31, 2025, primarily from the ATM Agreement[113] - Inuvo's accumulated deficit reached $174.5 million as of March 31, 2025, indicating ongoing financial challenges despite revenue growth[106]

Financial Performance - Record Q1 2025 revenue of $26.7 million, representing a 57% increase from $17.0 million in Q1 2024[3] - Gross profit for Q1 2025 was $21.1 million, a 41% increase compared to $14.9 million in Q1 2024, with a gross profit margin of 79%[5] - Net loss for Q1 2025 was $1.3 million, or $0.01 per share, compared to a net loss of $2.1 million, or $0.02 per share, in Q1 2024[11] - Adjusted EBITDA loss was approximately $22 thousand in Q1 2025, significantly improved from a loss of $1.0 million in Q1 2024[11] - The company reported a gross profit margin decrease from 87.7% in Q1 2024 to 79% in Q1 2025 due to changes in product mix[5] Operating Expenses - Operating expenses totaled $22.9 million in Q1 2025, up from $17 million in the same period last year, driven by increased marketing costs and compensation[6] Revenue Drivers - Revenue growth was driven by a 61% increase in Platforms and a 31% increase in Agencies & Brands[3] New Initiatives - The company launched the enhanced IntentKey Self-Serve Platform, adding 20 new clients and introducing zip code-level audience insights[9] Cash Position - Cash and cash equivalents as of March 31, 2025, were $2.6 million, with an unused working capital facility of $10.0 million and no debt[12] Other Income - Other income for Q1 2025 was approximately $541 thousand, including a $610 thousand payment from the IRS related to an employee retention credit[10]

Core Insights - Inuvo, Inc. reported a record net revenue of $26.7 million for Q1 2025, representing a 57% increase year-over-year from $17.0 million in Q1 2024, marking the highest revenue in the company's history [3][9] - The company achieved a gross profit of $21.1 million, a 41% increase from $14.9 million in the same quarter last year, although the gross profit margin decreased to 79% from 87.7% due to changes in product mix [5][9] - Inuvo's net loss for Q1 2025 was $1.3 million, or $0.01 per share, an improvement from a net loss of $2.1 million, or $0.02 per share, in Q1 2024 [10][9] Financial Highlights - Net revenue for Q1 2025 was $26.7 million, up from $17.0 million in Q1 2024, driven by a 61% increase in Platforms and a 31% increase in Agencies & Brands [3][9] - Cost of revenue increased to $5.6 million from $2.1 million in the same period last year, attributed to higher Platform revenue and the introduction of a new product [4] - Operating expenses rose to $22.9 million from $17 million year-over-year, with increases in marketing costs, compensation, and general & administrative expenses [6][7] Operational Highlights - The company launched the enhanced IntentKey Self-Serve Platform, which is an advanced AI agent for audience discovery and targeting [9] - Inuvo added 20 new IntentKey clients and now has 15 self-service clients, indicating growth in its client base [9] - The company introduced IntentKey zip code-level audience insights and targeting, enhancing its service offerings [9] Liquidity and Capital Resources - As of March 31, 2025, Inuvo had $2.6 million in cash and cash equivalents, an unused working capital facility of $10 million, and no debt [12] - The total stockholders' equity was $13.4 million as of March 31, 2025, compared to $13.5 million at the end of 2024 [21]

Company Overview - Inuvo, Inc. is a leading provider of artificial intelligence AdTech solutions, specializing in AI built for advertising [3] - The company's proprietary technology, IntentKey AI, identifies consumer interests in products, services, or brands rather than focusing on consumer identities [3] Financial Results Announcement - Inuvo will host a conference call on May 9, 2025, at 8:30 AM Eastern Time to discuss its financial results for the first quarter ended March 31, 2025 [1] - The conference call will provide a business update alongside the financial results [1] Conference Call Details - The toll-free dial-in number for the conference call is 1-800-717-1738, with an international dial-in number of 1-646-307-1865 [2] - A telephone replay will be available until May 23, 2025, with specific access numbers provided for domestic and international callers [2]

Company Overview - Inuvo, Inc. is a leading provider of artificial intelligence AdTech solutions, focusing on understanding consumer interests rather than their identities through its proprietary IntentKey AI technology [4]. Event Participation - Inuvo will participate in the 15th Annual LD Micro Invitational on April 9th and 10th, 2025, at the Westin Grand Central in New York [1]. - Rich Howe, CEO of Inuvo, is scheduled to present on April 10th, 2025, at 1:00 PM Eastern Time, with the presentation available via live webcast [2]. Investor Engagement - Management will be available for one-on-one meetings with investors throughout the conference, and interested parties can request meetings via email [2]. About LD Micro - LD Micro, founded in 2006, serves as an independent resource in the micro-cap space, providing valuable insights through its index and annual investor conferences [3].

LITTLE ROCK, Ark., Feb. 28, 2025 (GLOBE NEWSWIRE) -- Inuvo, Inc. (NYSE:INUV), a leading provider of artificial intelligence AdTech solutions, announced today that Charles D. Morgan has retired from the Company's Board of Directors (the "Board") effective February 27, 2025. Mr. Morgan joined the Board in 2009 and has remained a significant investor in the Company. Concurrently with Mr. Morgan's retirement, Rob Buchner was appointed, effective February 27th, as a Class III Director of the Company to fill the ...

Core Viewpoint - Inuvo, Inc. announces the retirement of Charles D. Morgan from its Board of Directors and the appointment of Rob Buchner as a new Class III Director, highlighting the company's ongoing leadership changes and commitment to innovation in AI-driven advertising solutions [1][2]. Group 1: Leadership Changes - Charles D. Morgan has retired from the Board effective February 27, 2025, after serving since 2009 and remaining a significant investor in the company [1]. - Rob Buchner has been appointed as a Class III Director to fill the vacancy left by Mr. Morgan, effective February 27, 2025 [1]. Group 2: Leadership Insights - Richard Howe, Chairman and CEO, praised Mr. Morgan as a visionary leader whose experience has been crucial in shaping Inuvo's success [2]. - Mr. Morgan expressed confidence in Inuvo's generative AI technology, likening its potential impact on marketing to that of Acxiom's consumer data [2]. - Rob Buchner brings extensive leadership experience from prominent agencies, including Campbell Mithun and Fallon Worldwide, and is expected to contribute significantly to Inuvo's growth [2]. Group 3: Company Overview - Inuvo, Inc. is a leader in Artificial Intelligence for advertising, with its proprietary IntentKey AI solution designed to understand consumer interests rather than demographics [3].

Financial Data and Key Metrics Changes - Inuvo reported a record-breaking fourth quarter for 2024, achieving $26.2 million in revenue, a 26% increase year-over-year from $20.8 million in Q4 2023 [8][27] - For the full year 2024, revenue increased by approximately 13.4%, reaching around $84 million [9][36] - Net income for Q4 2024 was $141,000, compared to a net loss of $2.4 million in Q4 2023 [35] - Adjusted EBITDA improved to $1.2 million in Q4 2024 from a loss of $1.2 million in the prior year, marking a $2.4 million improvement [35][36] - Gross profit for Q4 2024 was $21.8 million, a 20% increase from $18.2 million in the same quarter last year [30] Business Line Data and Key Metrics Changes - Platform revenue was approximately $21 million in Q4 2024, driven by strong demand and new product launches [27][28] - Revenue from agencies and brands was about $5 million in Q4 2024, supported by the signing of 33 new clients during the year [29] - The company delivered roughly 89 million ad clicks for platform clients in 2024, a 60% increase year-over-year [14] Market Data and Key Metrics Changes - The market served by Inuvo is undergoing significant shifts, with a focus on richer, more engaging experiences for users and advertisers [10][11] - The largest industries served included travel, e-commerce, automotive, and business and software tools [14] Company Strategy and Development Direction - Inuvo's strategy focuses on enhancing proprietary technologies, particularly in generative AI with the IntentKey, to drive growth [8][9] - The company aims to expand its market share by leveraging its expertise in behavior analytics and artificial intelligence [13][15] - A goal is to achieve a more balanced revenue mix between agencies/brands and platform clients, targeting a 50-50 split in the future [81] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism for 2025, projecting a 40% year-over-year revenue growth for Q1 2025 [40] - The company anticipates continued strength in its business model, with expectations of cash generation in the second half of 2025 [36][75] Other Important Information - Inuvo secured a $10 million asset-based working capital line of credit in July 2024, with no debt outstanding as of December 31, 2024 [35] - The company streamlined operations by reducing headcount and reorganizing client-facing personnel into dedicated teams [33][18] Q&A Session Summary Question: Outlook for large retailer and car manufacturer - Management confirmed that both clients showed year-over-year growth in Q4 2024, with expectations for continued growth in 2025 [45] Question: Business development and new brands - Management noted the signing of 33 new brands in 2024 and emphasized the professionalization of the go-to-market organization [54] Question: Seasonality of revenue - Management acknowledged that seasonality will continue, but it may not be as steep as in previous years [62] Question: Confidence entering 2025 - Management expressed strong confidence entering 2025, citing improved financial metrics and a focus on overcoming technological costs [66] Question: Self-serve platform momentum - Management reported traction with the self-serve platform, which is designed for both agencies and brands [84] Question: Operating expenses outlook - Management indicated that operating expenses will increase due to hiring additional staff, including engineers and support personnel [88]

Inuvo (INUV) Q4 2024 Earnings Call February 28, 2025 03:54 AM ET Company Participants Natalya Rudman - Crescendo CommunicationsRichard Howe - CEOWallace Ruiz - CFOBrian Kinstlinger - Director of Research, Managing Director, Head of Technology ResearchJon Hickman - Managing Director Conference Call Participants Jack Vander Aarde - SVP, Senior Research Analyst Operator Good day, ladies and gentlemen, and welcome to the Inuvo Inc. Fourth Quarter twenty twenty four Conference Call. At this time, all lines are i ...