Mr. Omri Brill reports

ADCORE REPORTS FIRST QUARTER 2025 RESULTS

Adcore Inc. has released its financial results for the three months ended March 31, 2025 (first quarter (Q1) of 2025).

Omri Brill, chief executive officer and founder of Adcore, commented: "We entered 2025 with strong momentum carried over from APAC's standout 2024 performance, delivering 85-per-cent growth in Q1 alone. While macroeconomic conditions posed challenges in EMEA and North America, we remained focused on operational discipline, driving a meaningful increase in cash flow and achieving a positive adjusted EBITDA for the quarter."

Mr. Brill continued: "Q1 is typically our softest quarter, yet we've emerged from it in our strongest financial position to date with a 33-per-cent YOY increase in cash position and record ARR growth from MediaBlast. As we move into the remainder of the year, we're doubling down on strategic hiring in high-growth regions and preparing to launch our newest product, Proposaly. Designed to unify and automate the sales workflow, Proposaly represents the next phase in our mission to simplify and scale digital growth for businesses around the world."

First quarter highlights

Revenue for the three months ended March 31, 2025, was $7-million, compared with $6.8-million for the three months ended March 31, 2024, a 2-per-cent increase.

Gross profit for the three months ended March 31, 2025, was $3.1-million, compared with $3.1-million for the three months ended March 31, 2024.

Gross margin for the three months ended March 31, 2025, was 44 per cent, compared with 45 per cent for the three months ended March 31, 2024.

Adjusted EBITDA (earnings before interest, taxes, depreciation and amortization) for the three months ended March 31, 2025, was $208,000, compared with $201,000 for the three months ended March 31, 2024.

APAC (Asia-Pacific) revenue for the three months ended March 31, 2025, was $3.9-million, compared with $2.1-million for the three months ended March 31, 2024, an 85-per-cent increase.

Working capital for the three months ended March 31, 2025, was $7.1-million, compared with $7.3-million as of Dec. 31, 2024.

Net cash flow generated by operating activities for the three months ended March 31, 2025, amounted to $263,000, compared with $13,000 for the three months ended March 31, 2024.

The company's MediaBlast application maintained its strong momentum, reaching $2.33-million in ARR (annual recurring revenue) as of April, 2025, a remarkable 292-per-cent YOY (year-over-year) increase and 15-per-cent growth month over month.

Conference call and webcast information

Adcore will host a webcast and conference call to discuss those results on Thursday, May 15, 2025, at 10 a.m. ET.

To register for the conference call/webcast, please visit the company's website.

The conference call will include a brief statement by management and will focus on answering questions about Adcore's results. Questions regarding results can be sent in advance to invest@adcore.com.

Use of non-IFRS (international financial reporting standards) measures

Management uses 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 (generally accepted accounting principles), 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.

About Adcore Inc.

Adcore is a leading AI-powered (artificial intelligence) marketing technology company.

By combining extensive industry knowledge and experience with its proprietary 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. Adcore is a certified Google Premier partner, Elite Tier Microsoft partner, Facebook partner, Verified Amazon partner and TikTok partner.

Established in 2006, the company employs over 50 people in its headquarters in Tel Aviv, Israel, and in satellite offices in Toronto, Canada, Melbourne, Australia, Hong Kong and Shanghai, China.

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