Core Insights - Fluent, Inc. has announced a partnership with Squire, enhancing its commerce media solutions in appointment-based platforms, which allows for high-intent consumer engagement and measurable performance [1][5] - Squire, a platform for barbershop management, facilitates millions of appointments annually and represents a unique commerce media environment focused on recurring service transactions [2][7] - The partnership aims to improve monetization strategies for Squire by leveraging Fluent's experimentation capabilities and transparent bidding marketplace, enhancing post-booking engagement [3][4] Company Overview - Fluent, Inc. is a provider of commerce media solutions that connects brands with engaged consumers, utilizing exclusive ad inventory and first-party data to drive monetization and engagement [6] - Squire is an AI-powered platform designed for barbers and shop owners, offering tools for booking, payments, marketing, and operations to modernize the barbershop industry [7] Partnership Details - The collaboration will create expanded placement opportunities on the Squire platform, reinforcing customer loyalty while ensuring monetization does not disrupt the booking experience [3][5] - Fluent's Data Clean Room, developed with Databricks, allows for secure integration of customer data, enhancing the relevance of offers based on comprehensive consumer relationships [4] - The partnership is seen as a strategic move to extend commerce media into service-driven ecosystems, demonstrating the potential for growth beyond traditional retail [5]

Summary of Fluent, Inc. Conference Call Company Overview - **Company**: Fluent, Inc. - **Industry**: Digital Advertising, specifically in the commerce media space - **Business Model**: Customer acquisition company that connects consumers to brands through targeted advertising during the checkout process on e-commerce sites [2][6][12] Core Insights and Arguments - **Commerce Media Growth**: Commerce media is identified as the third transformative wave in digital advertising, following search and paid social. It leverages first-party data for more personalized marketing [4][7][10] - **Targeted Marketing**: The model allows for one-to-one marketing, enhancing consumer experience and avoiding privacy compliance issues prevalent in other digital advertising channels [10][11] - **Revenue Model**: Fluent operates on a revenue-sharing model with partners, typically sharing 60% of the revenue generated from ads with media partners [14][12] - **Market Opportunity**: The commerce media market is projected to grow from $50 billion in 2023 to $100 billion by 2027, driven by shifts in advertising budgets [24][25] Financial Performance - **Annual Run Rate**: Fluent has achieved a $105 million annual run rate in less than three years since pivoting to commerce media [19][25] - **Growth Rates**: The commerce media segment has seen nearly triple-digit growth from 2023 to 2024 and is expected to maintain high double-digit growth into 2026 [21][19] - **Revenue Contribution**: Commerce media is expected to constitute over 50% of Fluent's total revenue going forward, up from 10% in Q4 2023 [23][21] Strategic Positioning - **First-Party Data Asset**: Fluent has built a significant proprietary first-party data asset over 15 years, which enhances its ability to deliver targeted advertising [30][17] - **Vertical Expansion**: The company is expanding into various verticals, including retail, travel, and fintech, to drive growth [27][28] - **AI Integration**: AI is embedded in Fluent's commerce media solutions to optimize consumer targeting and ad serving [32][30] Additional Insights - **Consumer Experience**: The post-checkout advertising model enhances consumer experience by providing relevant offers at the point of purchase, increasing the likelihood of repeat purchases [11][29] - **Operational Efficiency**: Fluent has focused on cutting costs and improving operational efficiencies, which is expected to enhance adjusted EBITDA in the coming years [21][20] - **Future Growth Areas**: Beyond commerce media, Fluent is exploring opportunities in CRM and loyalty programs, indicating potential for further revenue streams [29][38] Conclusion Fluent, Inc. is strategically positioned in the rapidly growing commerce media sector, leveraging its first-party data and innovative advertising solutions to drive significant revenue growth. The company anticipates continued expansion and improved profitability as it capitalizes on market trends and consumer behavior shifts.

Financial Data and Key Metrics Changes - In Q4 2025, total revenue was $61.8 million, a 31% increase compared to Q3 2025 [6] - Media margin reached $19.1 million, up 49% from Q3 2025 [6] - Adjusted EBITDA was $0.2 million, an increase of $3.6 million from Q3 2025, representing 0.3% of Q4 revenue [6] - For the full year 2025, total revenue was $208.8 million, reflecting an 18% decline versus 2024 [7] - Adjusted EBITDA loss for the full year was $9 million, representing -4.3% of revenue [7] Business Line Data and Key Metrics Changes - Commerce Media Solutions contributed 56% of total Q4 revenue, more than doubling from 26% in Q4 2024 [4][7] - Commerce Media Solutions revenue for Q4 2025 was $34.7 million, representing 101% growth compared to Q4 2024 [16] - For the full year, Commerce Media Solutions revenue totaled $82.3 million, a 99% increase over 2024 [17] Market Data and Key Metrics Changes - The U.S. Commerce Media market is projected to grow at a compounded average growth rate of 21% from 2023 to 2027, reaching a total market value of $100 billion by 2027 [8] - As of December 31, 2025, Commerce Media Solutions is operating at an annual run rate of $105 million [9] Company Strategy and Development Direction - The company is focused on a strategic pivot towards the high-growth Commerce Media industry, leveraging its owned and operated marketplaces [4] - Investments are being made in strategic adjacencies to further differentiate the Fluent brand and enhance industry leadership [10] - The company aims to maintain a profitable capital-efficient contribution from its owned and operated business while focusing on Commerce Media growth [11] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in achieving double-digit revenue growth in 2026, marking a return to year-over-year growth after a period of decline [24] - The company anticipates maintaining gross margins in the mid-20s over the course of 2026 [24] - Management highlighted the importance of strategic partnerships and the evolving Commerce Media landscape as key drivers for future growth [40][54] Other Important Information - The company ended 2025 with $12.9 million in cash and cash equivalents, compared to $9.4 million at the end of 2024 [22] - A new financing agreement was established in November 2025, improving financial flexibility [23] - The sale of the Call Solutions business was completed in January 2026, allowing for better resource allocation towards Commerce Media Solutions [23] Q&A Session Summary Question: Can you talk about the AI-based functionality in your Rebuy partnership? - Management indicated that AI has been embedded in their solutions for a long time, enhancing performance through proprietary first-party data [30] Question: Can you elaborate on the convergence between ONO and Commerce Media capabilities? - Management explained that their legacy business has valuable data that enables them to drive unique audience sets across different media partners [34] Question: What are your expectations for 2026 regarding Commerce Media growth? - Management expects strong double-digit growth for Commerce Media, despite an early contract termination impacting projections [39] Question: How is the macro environment affecting advertiser acquisition? - Management noted that they have not seen pushback on pricing and that return on ad spend remains stable [42][44] Question: Can you comment on the SG&A cost run rate going forward? - Management confirmed that they will maintain a focus on cost efficiency while investing in Commerce Media Solutions [50] Question: What is the competitive landscape like in your industry? - Management stated that while there are competitors, Fluent's direct approach and established relationships provide a competitive advantage [53][56]

Financial Data and Key Metrics Changes - In Q4 2025, total revenue was $61.8 million, a 31% increase compared to Q3 2025 [6][17] - Media margin reached $19.1 million, up 49% from Q3 2025 [6][17] - Adjusted EBITDA was approximately $0.2 million, an increase of $3.6 million from Q3 2025, representing 0.3% of Q4 revenue [7][21] - Full year 2025 revenue totaled $208.8 million, reflecting an 18% decline versus 2024 [8] - Adjusted EBITDA loss for the full year was $9 million, representing -4.3% of revenue [8][21] Business Line Data and Key Metrics Changes - Commerce Media Solutions contributed 56% of total Q4 revenue, more than doubling from 26% in Q4 2024 [4][8] - Commerce Media Solutions revenue for Q4 2025 was $34.7 million, representing 101% growth compared to Q4 2024 [17] - For the full year, Commerce Media Solutions revenue totaled $82.3 million, a 99% increase over 2024 [18] Market Data and Key Metrics Changes - The U.S. commerce media market is projected to grow at a compounded average growth rate of 21% from 2023 to 2027, reaching a total market value of $100 billion by 2027 [10] - As of year-end 2025, Commerce Media Solutions is operating at an annual run rate of $105 million [10] Company Strategy and Development Direction - The company has pivoted towards the high-growth commerce media industry, leveraging its owned and operated marketplaces [4] - The focus is on expanding Commerce Media Solutions and investing in strategic adjacencies to enhance brand differentiation and industry leadership [11][12] - The company aims to maintain a profitable contribution from its owned and operated business while using it as a test and learn engine for commerce media strategy [12] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in achieving double-digit revenue growth in 2026, supported by the growth of Commerce Media Solutions [23][27] - The company anticipates a return to year-over-year revenue growth, ending a multi-year period of managed decline [26] - Management highlighted the importance of maintaining financial flexibility and liquidity to support growth initiatives [25] Other Important Information - The company raised over $19 million in equity capital during 2025 to support growth investments [24] - A new financing agreement was entered into, providing expanded borrowing availability and improved financial flexibility [24] Q&A Session Summary Question: Can you discuss the AI-based functionality in your Rebuy partnership? - Management indicated that AI has been embedded in their solutions for improved performance, leveraging proprietary first-party data [31][32] Question: Can you elaborate on the convergence between owned and operated and Commerce Media capabilities? - Management emphasized the competitive advantage gained from extensive consumer data and the ability to drive unique audience sets [35][36] Question: What are your expectations for 2026 regarding Commerce Media growth? - Management expects strong double-digit growth for Commerce Media, with a range of greater than 50% and lower than 100% [66] Question: How is the macro environment impacting advertiser acquisition? - Management noted no significant pushback on pricing from advertisers, despite changes in return on ad spend [45][47] Question: What is the outlook for gross margins moving forward? - Management anticipates gross margins to expand into the mid-20s% by the latter half of 2026 [56] Question: How do you view the competitive landscape in the commerce media space? - Management acknowledged limited competition at the enterprise level, with a focus on building a competitive moat through direct partnerships [57][58]

Financial Data and Key Metrics Changes - In Q4 2025, total consolidated revenue was $61.8 million, a 31% increase compared to Q3 2025 [5][6] - Media margin reached $19.1 million, up 49% from Q3 2025 [5][6] - Adjusted EBITDA was $0.2 million, an increase of $3.6 million from Q3 2025, representing 0.3% of Q4 revenue [6][20] - Full year 2025 revenue totaled $208.8 million, reflecting an 18% decline versus 2024 [7] - Adjusted EBITDA loss for the full year was $9 million, representing -4.3% of revenue [7][20] Business Line Data and Key Metrics Changes - Commerce Media Solutions contributed 56% of total Q4 revenue, more than doubling from 26% in Q4 2024 [5][7] - Q4 2025 revenue from Commerce Media Solutions was $34.7 million, representing 101% growth compared to Q4 2024 [16] - For the full year, Commerce Media Solutions revenue totaled $82.3 million, a 99% increase over 2024 [7][17] Market Data and Key Metrics Changes - The U.S. commerce media market is projected to grow at a compounded average growth rate of 21% from 2023 to 2027, reaching a total market value of $100 billion by 2027 [9] - As of year-end 2025, Commerce Media Solutions is operating at an annual run rate of $105 million [9] Company Strategy and Development Direction - The company has pivoted towards the high-growth commerce media industry, leveraging its owned and operated marketplaces [4] - The focus is on maintaining a profitable contribution from owned and operated businesses while investing in commerce media strategic adjacencies [10][11] - The company aims to establish leadership credentials in the commerce media segment and expand its geographical presence [9][10] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in achieving strong double-digit year-over-year growth throughout 2026 [6][25] - The company anticipates a return to year-over-year revenue growth, ending a multi-year period of managed top-line decline [25] - Management highlighted the importance of maintaining financial flexibility and liquidity to support growth in Commerce Media Solutions [24] Other Important Information - The company raised over $19 million in equity capital during 2025 to support growth initiatives [23] - A new financing agreement was established, improving financial flexibility [23] Q&A Session Summary Question: Can you talk about the AI-based functionality in your Rebuy partnership? - Management indicated that AI has been embedded in their solutions for a long time, driving better performance through proprietary first-party data [31][32] Question: Can you elaborate on the convergence between owned and operated and Commerce Media capabilities? - Management noted that the legacy business has valuable data that enhances their ability to drive unique audience sets across different media partners [35][36] Question: What are your expectations for 2026 regarding Commerce Media growth? - Management expects strong double-digit growth for Commerce Media, despite an early contract termination impacting projections [40][41] Question: How is the macro environment affecting advertiser acquisition? - Management reported no significant pushback on pricing from advertisers and noted that return on ad spend has remained stable [43][44] Question: What is the outlook for gross margins moving forward? - Management anticipates gross margins to expand into the mid-20s% by the latter half of 2026 [54] Question: How do you view the competitive landscape in the commerce media space? - Management acknowledged limited competition from larger players and emphasized their direct engagement with advertisers as a competitive advantage [56][57]

Fourth Quarter & Full Year 2025 Results Monday, March 9, 2026 4Q25 Earnings Presentation | Nasdaq: FLNT Nasdaq: FLNT Forward-looking statements Forward-Looking Statements Safe Harbor Non-GAAP Financial Measures This presentation contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, as amended. These forward-looking statements speak only as of the date hereof and are based on the Company's current plans and expectations. While we believe these expec ...

Financial Data and Key Metrics Changes - The company reported Q2 2025 consolidated revenue of $44.7 million, reflecting a 19% decline compared to Q1 2025 [6] - Media margin for Q2 was $11.9 million, a decrease of 13% from Q1 2025 [6] - Adjusted EBITDA was negative $2.8 million, showing a 300k improvement from Q1 2025 [6][19] Business Line Data and Key Metrics Changes - Commerce Media Solutions revenue grew 121% year-over-year to $16.1 million, now representing 36% of total consolidated revenue, up from 12% in Q2 2024 [15][11] - Owned and operated revenue decreased approximately 49% in the quarter, primarily due to strategic shifts [17] - Commerce Media margin was $3.2 million or 20% of Commerce Media Solutions revenue, down from 30.4% in Q2 2024 [17] Market Data and Key Metrics Changes - The company anticipates that Commerce Media Solutions will become the majority of revenue by 2026 [7] - The commerce media market is projected to grow over $100 billion in the next five years, expected to account for 25% of all digital media spend by 2026 [11] Company Strategy and Development Direction - The company is shifting its focus towards Commerce Media Solutions, which is seen as a transformational pivot and a competitive advantage in a growing market [9][10] - The strategic pivot is supported by a recent equity financing of over $10 million to bolster the balance sheet and fuel growth [10][20] - The company aims to achieve positive adjusted EBITDA by Q4 2025 and for the full year 2026 [14][21] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the growth trajectory of Commerce Media Solutions, expecting continued triple-digit growth [14] - The company is optimistic about the partnerships being established, which are expected to drive long-term dividends [12] - Management acknowledged the challenges faced in the owned and operated segment due to regulatory headwinds and pricing volatility [7][25] Other Important Information - The company ended Q2 2025 with $4.9 million in cash and cash equivalents, alongside $2.4 million in restricted cash [19] - Total net long-term debt was $19.9 million as of June 30, 2025, down from $31.9 million at the end of 2024 [20] Q&A Session Summary Question: What drove the declines in the owned and operated segment? - Management attributed the decline to the FTC settlement, which restricted media buying capabilities and increased pricing volatility on biddable platforms [23][25] Question: How is the partnership with Revise progressing? - The partnership is still in early stages but is showing good momentum with onboarding merchant partners [26][28] Question: What are the dynamics affecting margin pressures in Commerce Media? - Management indicated that margin pressures are due to early-stage solutions, competitive pricing strategies, and lower margins in new partnerships [32][34] Question: Can you discuss new placements beyond post transactions? - The company is exploring loyalty plays and post-event monetization opportunities, which are still in early development [41][42] Question: How does first-party data differentiate the company from competitors? - First-party data allows for better consumer targeting and monetization, driving better results for partners and enhancing revenue sharing [47][51]

Fluent (FLNT) FY Conference Summary Company Overview - Fluent is a digital advertising company focused on customer acquisition for major brands [2][4] - The company has pivoted towards a new digital marketing channel called Commerce Media, which has rapidly grown from $0 to $50 billion in less than four years and is expected to double again [5][13] Key Financial Metrics - Fluent achieved a $65 million annual run rate in its Commerce Media business and expects to double this in 2025 and again in 2026 [6][19] - The company has historically grown its legacy business at a compounded average growth rate of over 12% for the first 12 years [4] - The transition to Commerce Media is anticipated to return Fluent to double-digit revenue growth with improving margins and profitability [6][19] Strategic Pivot - The strategic pivot from legacy business to Commerce Media is driven by the need for higher growth and higher margins [34][36] - Fluent's first-party data asset is a key competitive advantage, allowing for better consumer targeting and ad relevance [26][49] - The company has integrated its technology into partner websites, enabling a performance-based revenue model with no upfront costs [15][16] Market Dynamics - The Commerce Media market is projected to grow from $50 billion to $100 billion by 2027 [13] - Fluent's business model allows for a revenue share split, typically $60 to the media partner and $40 to Fluent [10][45] - The company is positioned to benefit from tailwinds in digital advertising, particularly in the context of privacy and data compliance [14][18] Partnerships and Growth Opportunities - Fluent has launched a strategic partnership with Rebuy, a top Shopify app, which opens access to 12,000 merchants and enhances market penetration [22][23][42] - The company is exploring opportunities in additional verticals such as travel, finance, and entertainment beyond its current focus on retail, ticketing, grocery, and restaurants [21][22] Case Studies and Performance Metrics - A case study with a large sports retailer showed a 35% increase in revenue per consumer compared to competitors, highlighting the effectiveness of Fluent's data-driven approach [31] - Another case study with a gaming company demonstrated a 650% quarter-over-quarter growth in new users, indicating the scalability of Fluent's solutions [33] Conclusion - Fluent is undergoing a significant transformation towards a higher growth, higher margin business model through its Commerce Media solutions, leveraging its first-party data and technology integration to drive better results for advertisers and partners [39][40]

Group 1 - Criteo S.A. is considered meaningfully undervalued due to internal improvements and exposure to long-term growth trends [1] - The company has successfully repositioned itself into a broad-based commerce media model over the past few years [1] Group 2 - The analyst has over 13 years of diverse financial analysis experience across various sectors, including Auto, Industrials, and IT [1] - The analyst's background includes managing investor relations and strategic finance for a listed IT company with a market cap of approximately USD 2.5 billion [1] - The analyst has developed strong expertise in market analysis, valuation models, and investment strategy [1]

Company Overview - Fluent, Inc. is a leader in commerce media, connecting top-tier brands with highly engaged consumers through exclusive ad inventory and robust first-party data [3] - The company utilizes proprietary machine learning to unlock additional revenue streams for partners and empower advertisers to acquire valuable customers at scale [3] - Founded in 2010, Fluent specializes in performance marketing to drive monetization and increase engagement throughout the customer journey [3] Upcoming Event - Don Patrick, the CEO of Fluent, will attend the 45th Annual Canaccord Genuity Growth Conference on August 13, 2025, at the InterContinental Boston [1] - Mr. Patrick will participate in a fireside chat at 12:00pm ET and will be available for one-on-one meetings throughout the day [1] Webcast Information - A live webcast of the fireside chat will be available at a specified link, with a replay accessible after the event [2]