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Adcore Reports Strong First Quarter 2023 Financial Results

45% YoY Increase in Revenue, Multi-Regional Growth and High Profit Margins Reflect Continued Business Strategy Execution

TORONTO, ON / ACCESSWIRE / May 10, 2023 / Adcore Inc. (the "Company" or "Adcore") (TSX:ADCO)(OTCQX:ADCOF)(FSE:ADQ)(TSX:ADCO-WT), a leading e-commerce advertising management and automation platform to leverage digital marketing in an effortless and accessible way ("Effortless Marketing"), today announced its financial results for the three months ended March 31, 2023.

Adcore CEO, Omri Brill, commented "I am pleased to share our first-quarter results for 2023, which not only demonstrate strong growth and progress in our financial performance but also surpassing our initial guidance. Our revenue for the quarter ending March 31, 2023, reached CAD$6.8 million, a 45% increase compared to the same period in 2022. Gross profit also saw a significant 35% increase, reaching CAD$2.7 million.

Our gross margin ended at an impressive 40%, at the upper limits of our guidance, and we are further encouraged by the promising growth trends in our regional revenues. North America experienced a 61% increase, while EMEA saw an impressive 81% growth in revenue and the APAC region resumed their growth trends, with a notable 3% increase.

Our Adjusted EBITDA for the quarter amounted to CAD$68,000, and we achieved a 56% reduction in cash flow used for operating activities compared to the first quarter of 2022. This improvement in cash flow management is indicative of our ongoing commitment to operational efficiency.

We concluded the quarter with CAD$7.3 million in cash and a total working capital of CAD$8.6 million. With virtually no debt, the Company has ample runway to reach its milestones in the upcoming year. We plan to continue using our cash prudently, including repurchasing shares at current valuation ranges through our NCIB. This financial stability is a testament to the fiscal responsibility exercised by our management team as we persist in our pursuit of becoming one of the world's leading marketing technology companies." concluded Mr. Brill.

First Quarter Highlights:

  • Revenue for the three months ended March 31, 2023, was CAD$6.8 million compared to CAD$4.7 million for the three months ended March 31, 2022, a 45% increase.
  • Gross profit for the three months ended March 31, 2023, was CAD$2.7 million compared to CAD$2 million for the three months ended March 31, 2022, a 35% increase.
  • Gross margin for the three months ended March 31, 2023, was 40% compared to 43% for the three months ended March 31, 2022.
  • Adjusted EBITDA for the three months ended March 31, 2023, was CAD$68,000 compared to CAD$81,000 for the three months ended March 31, 2022.
  • North America revenue for the three months ended March 31, 2023, was CAD$1.55 million compared to CAD$0.96 million for the three months ended March 31, 2022, a 61% increase.
  • EMEA revenue for the three months ended March 31, 2023, was CAD$3.3 million compared to CAD$1.8 million for the three months ended March 31, 2022, a 81% increase.
  • APAC revenue for the three months ended March 31, 2023, was CAD$1.94 million compared to CAD$1.89 million for the three months ended March 31, 2022, a 3% increase.
  • A reduction of 56% in cash flow used for operating activities compared to the three months ended March 31, 2022.
  • Total accumulated NCIB purchases the company made until April 30, 2023, was 1,454,500 shares.
  • Working Capital for the three months ended March 31, 2023, was CAD$8.6 million compared to CAD$9.2 million as of December 31, 2022.

Second Quarter 2023 Guidance

The Company expects to release second quarter 2023 guidance later this month or early June as it gains more visibility on its financial performance for the quarter.

Conference Call and Webcast Information

The Company will host a conference call and webcast to discuss these results on May 11th at 10AM ET

To register for the conference call/webcast please click here or visit:

Use of Non-IFRS Measures

Management uses Adjusted earnings before interest, income taxes, depreciation, and amortization ("Adjusted EBITDA") as a key financial metric to evaluate Adcore's operating performance and for planning and forecasting future business operations. Adjusted EBITDA excludes significant items that are non-operating in nature in order to evaluate Adcore's core operating performance against prior periods. Adjusted EBITDA is not a measure of financial performance under GAAP and should be considered in addition to, and not as a substitute for net earnings, overall change in cash or liquidity of the business as a whole. Management believes the use of Adjusted EBITDA allows investors and analysts to understand the results of the continuing operations of the Company and its subsidiary, by excluding certain items that have a disproportionate impact on Adcore's results for a particular period. Management's method of determining non-GAAP financial measures is evaluated periodically and may differ from other companies' methods and therefore may not be comparable to those used by other companies.

The following table reconciles the non-IFRS measure to the most comparable IFRS measure for the three months ended March 31, 2022. This measure does not have any standardized meaning under IFRS and is not a measure of financial performance under IFRS, and therefore, may not be comparable to similar measures presented by other companies.

Adjusted EBITDA:

Three months ended March 31, 2023 Three months ended March 31, 2022
Operating profit
(245) (446)
Depreciation and amortization
229 299
Share-based payments
84 195
Other non-recurring items
- 37
Total Adjustments
313 531
Adjusted EBITDA
68 85


Three months ended March 31, Three months ended March 31,



6,822 4,693
Cost of revenues
4,079 2,666
Gross profit
2,743 2,028
Research and development expenses
419 390
Selling ,general and administrative expenses
2,569 2,084
Operating profit (loss)
(245) (446)
Finance expenses
375 612
Finance income
(25) (219)
Loss before taxes on income
(595) (838)
Tax Expenses
14 -
Net Profit (Loss)
(609) (838)
Basic profit per share attributable to shareholders
(0.009) (0.013)
Diluted profit per share attributable to shareholders
(0.009) (0.013)



March 31, 2023 December 31, 2022

CAD$ in thousands

Cash and cash equivalents
7,316 8,830
Trade accounts receivable, net
5,039 6,264
Other accounts receivable
179 430

Total current assets
12,534 15,524

Property, plant and equipment, net
509 592
Intangible assets, net
3,779 3,564
Total non-current assets
4,288 4,156

Total assets
16,822 19,680

Trade accounts payable
2,543 4,829
Other accounts payable
1,250 1,195
Lease liability
185 254
Total current liabilities
3,978 6,278

Accrued severance pay, net
11 11
Deferred tax liability, net
219 217
Derivative liability - warrants
- -
Total non-current liabilities
230 228

Share capital
11,046 11,052
Additional paid in capital
3,548 3,466
Treasury stocks
(848) (821)
Actuarial reserve
(97) (97)
Retained earnings
(1,035) (426)
Total Equity
12,614 13,174

16,822 19,680


Adcore is empowering entrepreneurs, advertisers, and the future of e-commerce through its advertising management and automation platform. By combining extensive industry knowledge and experience with its proprietary artificial intelligence (AI) powered technology, Adcore offers a unique digital marketing solution that empowers entrepreneurs and advertisers by managing and automating their e-commerce store advertising and monitoring and analyzing the performance of their advertising budget to ensure maximum Return on Investment. In addition to being named numerous times on Deloitte's Fast 50 Technology list, Adcore is a certified Google Premier Partner, Elite Tier Microsoft Partner, Facebook Partner and TikTok Partner.

Established in 2006, the Company employs over fifty people in its headquarters in Tel Aviv, Israel and satellite offices in Toronto, Canada, Melbourne, Australia, Hong Kong and Shanghai, China.

For more information about Adcore, please visit, or follow us on LinkedIn.


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For more on Amphy please visit - and or follow us on LinkedIn, Facebook, Instagram and YouTube.


This press release contains certain forward-looking statements, including statements about the Company. Wherever possible, words such as "may", "will", "should", "could", "expect", "plan", "intend", "anticipate", "believe", "estimate", "predict" or "potential" or the negative or other variations of these words, or similar words or phrases, have been used to identify these forward-looking statements. These statements reflect management's current beliefs and are based on information currently available to management as at the date hereof.

Forward-looking statements involve significant risk, uncertainties and assumptions. Many factors could cause actual results, performance or achievements to differ materially from the results discussed or implied in the forward-looking statements. These factors should be considered carefully and readers should not place undue reliance on the forward-looking statements. Although the forward-looking statements contained in this press release are based upon what management believes to be reasonable assumptions, the Company cannot assure readers that actual results will be consistent with these forward-looking statements. These forward-looking statements are made as of the date of this press release, and the Company assumes no obligation to update or revise them to reflect new events or circumstances, except as required by law.

For further information please contact:


Martijn van den Bemd,

Investor Relations

Investor Relations Europe

Chief Partnerships Officer

Glen Akselrod

Dr. Eva Reuter

Bristol Capital

Dr. Reuter Investor Relations

Telephone: 647-497-5337

Telephone: 905-326-1888 ext 1

Telephone: +49 (0) 69 1532 5857

Email: Email: Email:

SOURCE: Adcore Inc.

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