ViewBix Inc(US:VBIX)2023-05-15 13:11Revenue Performance - Revenues for the three months ended March 31, 2023, were $20,862 thousand, a slight increase from $20,435 thousand in the same period last year[109]. - Revenues from Cortex's Content Platform increased to $15,752 thousand, up $1,353 thousand from $14,399 thousand year-over-year, driven by operational growth and increased digital content[110]. - Revenues from Gix Media's Search Platform decreased to $5,110 thousand, down $926 thousand from $6,036 thousand year-over-year, primarily due to reduced search referrals[111]. Expenses - Traffic-acquisition and related costs rose to $17,981 thousand, compared to $17,615 thousand in the prior year, attributed to increased revenues from the Content Platform[112]. - Research and development expenses decreased to $796 thousand from $848 thousand year-over-year, reflecting reduced expenses in the Search Platform[113]. - Selling and marketing expenses increased to $723 thousand, up from $620 thousand in the prior year, due to higher costs associated with content displayed on Cortex Websites[114]. - General and administrative expenses rose to $704 thousand from $547 thousand year-over-year, driven by increased salary and professional service costs following the Reorganization Transaction[115]. - Depreciation and amortization expenses increased to $734 thousand from $586 thousand, reflecting the historical cost of intangible assets post-Reorganization Transaction[116]. Financial Position - Current assets as of March 31, 2023, totaled $21,971 thousand, down from $29,841 thousand as of December 31, 2022, with cash and cash equivalents decreasing from $4,196 thousand to $1,771 thousand[119][123]. - Current liabilities increased to $22,223 thousand as of March 31, 2023, from $28,522 thousand as of December 31, 2022, with accounts payable rising from $19,782 thousand to $14,056 thousand[121][125]. - Non-current assets as of March 31, 2023, were $33,016 thousand, slightly down from $33,854 thousand as of December 31, 2022[120][124]. - Non-current liabilities increased to $5,805 thousand as of March 31, 2023, from $5,274 thousand as of December 31, 2022[122][126]. - The company had a negative working capital of $252 thousand as of March 31, 2023, compared to positive working capital of $1,319 thousand as of December 31, 2022[126]. Cash Flow - Positive cash flow from operating activities was $12 thousand for the three months ended March 31, 2023, compared to negative cash flow of $1,950 thousand in the same period last year[127][128]. Financial Obligations - Net financial expenses decreased to $185 thousand for the three months ended March 31, 2023, from $337 thousand in the same period last year, primarily due to a decrease in expenses related to the USD to NIS exchange rate[117]. - Tax expenses increased to $84 thousand for the three months ended March 31, 2023, compared to a tax income of $31 thousand in the prior year, attributed to an increase in income before tax[118]. - Gix Media is in compliance with financial covenants under the Financing Agreement, with a debt to EBITDA ratio not exceeding 2.4 for the first two years[133]. - The company has fully repaid the outstanding principal amount of $69,000 to investors as of the date of the quarterly report[130]. Strategic Initiatives - The Company aims to integrate Gix Media's technology to enhance growth potential in search and content monetization[105]. - Gix Media acquired 70% of Cortex Media Group Ltd. for approximately $11 million, with plans to acquire the remaining shares in tranches through 2025[107].