Adcore (ADCO) Q1 2025 earnings summary

Executive summary

• Q1 2025 revenue increased 2% year-over-year to CAD $7 million, with APAC revenue surging 85% to CAD $3.9 million, driven by Media Blast adoption and new client acquisition.

• Strong cash position of CAD $10.6 million, up 33% year-over-year, and positive operating cash flow of CAD $263,000, a significant increase from CAD $13,000 last year.

• Net loss reduced to CAD $(202) thousand from CAD $(399) thousand year-over-year; adjusted EBITDA positive at CAD $208,000, up from CAD $201,000 last year.

• MediaBlast app achieved record ARR of over CAD $2.33 million as of April 2025, up 292%–329% year-over-year and 15%–19% month-over-month, driving momentum in APAC.

• Strategic hiring in high-growth regions and the upcoming launch of Proposaly are expected to support continued growth.

Financial highlights

• Revenue: CAD $7 million, up from CAD $6.8 million in Q1 2024.

• Gross profit: CAD $3.1 million, unchanged year-over-year; gross margin stable at 44%.

• Adjusted EBITDA: CAD $208,000, up from CAD $201,000 last year.

• Net loss: CAD $(202) thousand, improved from CAD $(399) thousand last year.

• Cash and equivalents: CAD $10.6 million as of March 31, 2025; company remains debt-free.

Outlook and guidance

• Management targets 25% annual revenue growth to CAD $40 million for 2025, with a focus on high-growth regions and new product launches.

• Expectation of stronger performance in the second half, following historical trends.

• Targeting six consecutive quarters of positive adjusted EBITDA and cash flow.

• SaaS recurring revenue goal of CAD $4–5 million for 2025, with strong progress from Media Blast.

• Continued investment in strategic hiring and product innovation, including AI integration.