Financial Data and Key Metrics Changes - In Q2 2025, total billings were $104 million, a 5.7% decrease year over year [25] - Revenue decreased by 9.2% to $63.2 million, driven by a decrease in billings [26] - Adjusted EBITDA was positive $2.7 million, an increase of $5 million year over year [29] - Operating cash flow was positive $1.2 million, while free cash flow was negative $3.4 million, which was $3 million less than the prior year [29] Business Line Data and Key Metrics Changes - U.S. revenue, excluding Bridge, decreased by 13% due to lower billings and pricing pressure [27] - U.K. revenue grew by 29%, driven by higher billings and increased supply [27] - Bridge revenue decreased by 8% due to the loss of a major account in previous quarters [27] Market Data and Key Metrics Changes - The U.K. business showed strong growth with the highest billings quarter in history, driven by categories like everyday spend and subscription services [13] - Advertiser churn was mostly concentrated in mid to small-sized brands, which have been more susceptible to budget reductions [14] Company Strategy and Development Direction - The company is focused on increasing and diversifying its supply by growing partnerships with financial institutions and merchants from other verticals [5] - A shift to engagement-based pricing is being implemented, which is expected to help advertisers see the platform as a performance media ad format [10] - The company is committed to ensuring sustainable business and a path to profitability despite challenges [11] Management's Comments on Operating Environment and Future Outlook - Management acknowledged significant limitations due to content restrictions imposed by the largest financial institution partner, which could impact user engagement and advertiser effectiveness [9] - The company is optimistic about the potential for growth in the U.K. market and is focused on reinforcing relationships with top advertisers [15][36] - Management emphasized the importance of diversifying supply and demand to mitigate risks associated with the largest FI partner's restrictions [33] Other Important Information - The company ended Q2 with $46.7 million in cash and cash equivalents and drew $50 million on its line of credit [29] - Monthly qualified users (MQUs) increased by 19% to 224.5 million, driven by the ramp-up of new FI partners [30] Q&A Session Summary Question: Can you elaborate on the Q3 outlook regarding the billings decrease and content restrictions? - Management indicated that the content restrictions are broader than anticipated and are impacting billings significantly [42][43] Question: What is the status of the line of credit drawn? - The $50 million drawn from the line of credit is intended to repay notes due in September, maintaining a comfortable cash balance [44][45] Question: How is the company leveraging AI throughout the platform? - The company is exploring AI applications in development, analytics, and customer insights, although some initiatives may slow down due to recent changes [56][57] Question: What traction has been seen with local offers? - The company has invested in geo-targeted offers, leading to increased traction in everyday spend and QSRs [60][61] Question: Can you discuss the impact of MQUs and the nature of the restrictions? - The broader set of bank partners represents over 50% of MQUs, and the restrictions are limiting brands' ability to utilize the platform effectively [68][70]