Rumble (RUM) Summer 2024 Investor Summit Virtual-MicroCap Forum summary

Company history and mission

• Founded in 2013 to support small creators overlooked by larger platforms, emphasizing free speech and a bootstrapped culture.

• Experienced rapid growth during the pandemic, expanding from 1 million to 40 million monthly active users in 18 months, driven by creators seeking a platform for open expression.

• Attracted high-profile creators and political figures, leading to significant organic user growth.

• Raised $400 million through a SPAC in 2022 with minimal redemptions, reflecting strong retail investor support.

• Mission centers on protecting a free and open internet, with a passionate team and a lean operational approach.

Strategic investments and product development

• Invested in diversifying content, including partnerships with sports and entertainment brands like UFC, Power Slap, Street League Skateboarding, Nitro Rallycross, and Barstool Sports.

• Built proprietary infrastructure, enabling entry into the cloud market and reducing reliance on hyperscalers.

• Expanded product suite to include Rumble Video, Locals (subscription), Rumble Studio (live streaming and creator endorsements), and Rumble Advertising Center (ad platform).

• Acquired Locals, Callin, and North River to enhance subscription, live streaming, and advertising capabilities.

• Nearly doubled staff in 2023, maintaining a lean team of under 200 employees.

Monetization and financial outlook

• Focused on monetizing a user base of 53 million monthly active users, with 37 million in North America.

• ARPU introduced as a key KPI, currently at $0.37 per user per quarter, highlighting early monetization stage compared to industry benchmarks.

• Creator commitments have decreased from $150 million to $55 million, reducing future cash burn.

• Ended Q2 with $154 million in cash and does not anticipate needing to raise additional capital based on current projections.

• Expects to approach adjusted EBITDA breakeven in 2025 as monetization engines scale and costs decline.