Kidoz (KIDZ) Q4 2024 earnings summary

Executive summary

• Achieved record Q4 2024 revenue of $7.44M, up 23% year-over-year and 225% sequentially from Q3 2024.

• Pre-tax profit reached $2.02M, a significant turnaround from a loss in Q3 2024 and up from $302K in Q4 2023.

• Strategic focus on brand relations, premium app connections, and programmatic demand drove results.

• Investments in AI, SDK, and contextual targeting positioned the company for future growth.

Financial highlights

• Adjusted EBITDA for Q4 2024 was $2.17M, up from $592K in Q4 2023 and a loss of $257K in Q3 2024.

• Free cash flow in Q4 2024 was $2.34M, compared to $38K in Q4 2023 and an outflow of $293K in Q3 2024.

• Cash balance at year-end was $2.78M, with working capital of $4.29M, both higher than prior year.

• Sales & marketing expenses rose 56% year-over-year to $501K; R&D up 36% to $1.06M.

• Net income for Q4 2024 was $1.93M, up from $328K in Q4 2023.

Outlook and guidance

• Management expects continued growth and profitability in 2025, driven by high-performance ad solutions in gaming apps.

• Company is well-positioned to benefit from the ongoing shift to mobile digital advertising.