Fluent(US:FLNT)2026-03-09 20:15Revenue Performance - Q4 2025 revenue was $61.8 million, a decrease of 5.5% compared to $65.4 million in Q4 2024[9]. - Full-year 2025 revenue totaled $208.8 million, an 18.0% decrease from $254.6 million in 2024[13]. - Commerce Media Solutions revenue grew 101% year-over-year to $34.7 million, representing 56% of consolidated revenue, up from 26% in the prior year[3][8]. - Owned and Operated revenue decreased 44% to $21.3 million in Q4 2025, reflecting the company's strategic shift[9]. - Revenue for Q4 2025 was $61,819,000, a decrease of 5.4% from $65,407,000 in Q4 2024[22]. Profitability and Loss - Net loss for Q4 2025 was $4.1 million, or $0.13 per share, compared to a net loss of $3.4 million, or $0.19 per share, in Q4 2024[9]. - Net loss for the year ended December 31, 2025, was $27,167,000, slightly improved from a net loss of $29,277,000 in 2024[24]. - Basic and diluted loss per share for Q4 2025 was $(0.13), compared to $(0.19) in Q4 2024[22]. - Adjusted net loss for Q4 2025 was $2,797,000, a slight improvement from an adjusted net loss of $3,257,000 in Q4 2024[37]. - Net loss for Q4 2025 was $4,119,000 compared to a net loss of $3,430,000 in Q4 2024, representing an increase in loss of approximately 20%[34]. EBITDA and Margins - Adjusted EBITDA for Q4 2025 was $0.2 million, an increase of $1.9 million compared to Q4 2024[9]. - Adjusted EBITDA for Q4 2025 was $202,000, recovering from an adjusted EBITDA loss of $1,709,000 in Q4 2024[34]. - Gross profit for Q4 2025 was $18.7 million, representing 30% of revenue, with Commerce Media Solutions reporting a gross profit margin of 33%[9][10]. - Gross profit (exclusive of depreciation and amortization) for Q4 2025 was $18,652,000, representing 30% of revenue, compared to 21% in Q4 2024[29]. - Media margin for Q4 2025 was $19,124,000, or 30.9% of revenue, up from 25.3% in Q4 2024[29]. Costs and Expenses - Total costs and expenses for the year ended December 31, 2025, were $229,086,000, down from $278,283,000 in 2024[22]. - Interest expense, net for the year ended December 31, 2025, was $3,074,000, down from $4,749,000 in 2024, indicating a reduction of about 35%[34]. - Share-based compensation expense for the year ended December 31, 2025, was $2,246,000, compared to $1,970,000 in 2024[24]. - Share-based compensation expense increased to $1,102,000 in Q4 2025 from $480,000 in Q4 2024, reflecting a rise of approximately 130%[37]. Cash and Financial Position - Cash, cash equivalents, and restricted cash at the end of the period increased to $13,645,000 from $10,694,000 at the beginning of the period[24]. - The company incurred a loss on early extinguishment of debt amounting to $3,759,000 for the year ended December 31, 2025[24]. Strategic Developments - The company added high-profile partners in 2025, including Authentic Brands Group, enhancing its market position[4]. - The company expects double-digit revenue growth on aggregate continuing business and improved adjusted EBITDA for full-year 2026[6][13]. - Commerce Media Solutions annual revenue run rate now exceeds $105 million, with a media margin of 30%[8]. - The company reported a goodwill impairment of $1,261,000 in 2024, which was not present in 2025, indicating a potential improvement in asset valuation[37]. - The adjusted weighted average number of shares outstanding increased to 31,276,979 in Q4 2025 from 18,352,940 in Q4 2024, reflecting a growth of approximately 70%[37]. Media Metrics - The company’s media margin is used as a primary metric to measure the financial return on media and related costs, emphasizing operational efficiency[38]. - Annual Revenue Run Rate is calculated based on active media partner contracts, reflecting the company's current monetization levels without projecting future revenue[42].