Mobiquity Technologies(US:MOBQ)2025-05-15 19:58Advertising Market Trends - In 2024, global programmatic ad spend reached an estimated $595 billion, projected to surpass $800 billion by 2028[163]. - The programmatic advertising ecosystem is expected to expand beyond gaming into broader opportunities, positioning the company as a future leader in the space[175]. Strategic Partnerships - The strategic partnership with Context Networks aims to integrate digital ads into slot machines, with a potential annual gross revenue exceeding $20 million from 1,000 slot machines[172]. - The company completed an expansion of its strategic alliance with Context Networks, issuing 127,230 shares valued at $3.93 per share, reinforcing their shared vision for innovation in casino advertising technology[173]. - The company believes the strategic alliance with Context Networks will significantly impact its results of operations in fiscal 2025 and beyond[171]. - The strategic alliance with Context Networks targets approximately 4,700 global casinos and 2.9 million slot machines, with a potential audience exceeding 1.6 billion global gamblers[204]. - The anticipated annual gross revenue potential from programmatic advertising across 1,000 slot machines could exceed $20 million[204]. Financial Performance - Revenues for Q1 2025 were $12,613, a decrease of $250,669 compared to $263,282 in Q1 2024, primarily due to the absence of political advertising revenue[201]. - Cost of revenues was $31,468, representing 249% of revenues in Q1 2025, compared to $211,269 or 80% of revenues in Q1 2024[206]. - Gross loss for Q1 2025 was $(18,855), or (149)% of revenues, compared to a gross profit of $52,013, or 20% of revenues in Q1 2024[207]. - Operating expenses increased to $2,126,599 in Q1 2025 from $1,101,111 in Q1 2024, an increase of $1,025,488[208]. - Loss from operations for Q1 2025 was $2,145,454, up from $1,049,098 in Q1 2024, reflecting an increase of approximately $1,096,356[209]. - Cash used in operating activities for Q1 2025 was $1,318,996, resulting from a net loss of $2,295,987[211]. - The Company had cash of $331,360 on March 31, 2025, compared to $73,068 on March 31, 2024[211]. Business Model and Operations - The company targets publishers, brands, and advertising agencies, generating revenue through a white-label licensing model and a managed services model[174]. - The data intelligence platform provides precise data and insights on consumer behavior, utilizing proprietary technologies for data collection and analysis[168]. - The publisher platform allows content publishers to monetize user data and advertising inventory while ensuring data privacy compliance[170]. - The Company plans to expand its sales and support team to drive revenue growth, particularly in the casino and gaming vertical[197]. Industry Challenges - The company operates in a competitive industry with significant risks, including variability in sales and earnings due to economic conditions and industry cycles[179]. - The ATOS platform engages with approximately 10 billion advertisement opportunities per day, enhancing speed and performance in digital advertising campaigns[166].