Fluent Announces Expected Fourth Quarter and Full-Year 2023 Financial Results



Revenue of $72.8 million for Q4 2023 and $298.4 million for FY 2023

Net loss of $1.9 million for Q4 2023 and $63.2 million for FY 2023

Gross profit (exclusive of depreciation and amortization) of $20.8 million for Q4 2023 and $78.5 million for FY 2023

Media margin of $24.1 million for Q4 2023 and $91.3 million for FY 2023

Adjusted EBITDA of $2.5 million for Q4 2023 and $6.8 million for FY 2023

Adjusted net loss of $0.4 million for Q4 2023 and $7.2 million for FY 2023

NEW YORK, Feb. 29, 2024 (GLOBE NEWSWIRE) — Fluent, Inc. (NASDAQ:FLNT), a leading data-driven performance marketing company, today reported results for the expected fourth quarter and fiscal year ended December 31, 2023. These results are unaudited and remain subject to ongoing audit procedures.

Donald Patrick, Fluent’s Chief Executive Officer, commented, “Our expected results for the fourth quarter are consistent with the strategy we outlined in our last earnings release – we showed sequential quarterly growth reflecting stability in our owned and operated marketplaces coupled with the acceleration of our new strategic performance marketplaces. Our full year results also reflect our investments into growing higher quality consumer engagements designed to further establish Fluent as an industry leader in performance marketing.

In 2024 we are continuing to invest into expanding our new syndicated performance marketplaces while strengthening our owned and operated marketplaces based on the current macro-economic realities. We are creating more effective customer acquisition solutions for our clients, while positioning Fluent as a market leader. This represents a more sustainable business for our stakeholders.”

Fourth Quarter Highlights (Expected)

Revenue of $72.8 million, a decrease of 14.1% compared to $84.7 million in Q4 2022
Net loss of $1.9 million, or $0.02 per share, compared to net loss of $67.5 million, or $0.83 per share, for Q4 2022
Gross profit (exclusive of depreciation and amortization) of $20.8 million, an increase of 4.0% over Q4 2022 and representing 29% of revenue
Media margin of $24.1 million, an increase of 1.7% over Q4 2022 and representing 33.1% of revenue
Adjusted EBITDA of $2.5 million, a decrease of $0.2 million over Q4 2022 and representing 3.4% of revenue
Adjusted net loss of $0.4 million, or $0.00 per share, compared to adjusted net loss of $0.8 million, or $0.01 per share, for Q4 2022

Full-Year 2023 Highlights (Expected)

Revenue of $298.4 million, a decrease of 17.4% compared to $361.1 million in 2022
Net loss of $63.2 million, or $0.77 per share, compared to net loss of $123.3 million, or $1.51 per share, for the prior year
Gross profit (exclusive of depreciation and amortization) of $78.5 million, a decrease of 16.2% over 2022 and representing 26% of revenue
Media margin of $91.3 million, a decrease of 17.0% over prior year and representing 30.6% of revenue
Adjusted EBITDA of $6.8 million, a decrease of $15.9 million over prior year and representing 2.3% of revenue
Adjusted net loss of $7.2 million, or $0.09 per share, compared to adjusted net income of $5.8 million, or $0.07 per share, for the prior year

Media margin, adjusted EBITDA, and adjusted net income are non-GAAP financial measures, as defined and reconciled below. 

Business Outlook

Continue to use our leadership position with the new compliance standards we have set to level the industry playing field, create additional competitive differentiation, and increase market share.

Leverage our owned and operated marketplace assets to expand our new syndicated performance marketplaces – Adflow and Call Solutions.

Focus on expansion of Fluent’s media footprint through our influencer and syndicated performance marketplaces.

Ensure we source customer traffic that meets our internal quality mandate and leverage our platform to drive consumer insights, which will continue to lead to higher user participation rates, conversion rates, and monetization.

Continue to prudently invest in growth initiatives that we believe have long-term growth potential and where we can earn competitive advantage while expanding our margins, over time.

Update on Credit Facility

As previously announced, on January 26, 2024, we entered into a Third Temporary Waiver and Amendment to Credit Agreement (“Third Waiver and Amendment”) with the lenders thereto and Citizens Bank, N.A. as administrative agent, pursuant to which the lenders agreed to waive their rights and remedies under the credit agreement arising from our breach of certain covenants through the earliest of (1) the occurrence of any event of default, (2) April 30, 2024, or (3) our failure to comply with the requirements of the Third Waiver and Amendment.  For a further description of the Third Waiver and Amendment, see our Form 8-K filed with the Securities and Exchange Commission on January 26, 2024.

On February 14, 2024, we entered into a non-binding term sheet with a prospective lender to provide a new senior secured credit facility that would discharge the outstanding balance on our current credit facility and meet our anticipated capital and liquidity needs for the next twelve months and beyond. Entry into the new facility is subject to a number of conditions precedent, including ongoing due diligence by the prospective lender and preparation and execution of definitive documentation for the new facility.  There can be no assurance that we will be able to enter into definitive agreements for the new facility prior to the expiration of the Third Waiver and Amendment.  The financial statements included in our Form 10-Q for the three months ended September 30, 2023, include a note expressing substantial doubt about our ability to continue as a going concern for the next twelve months due to the Company not expecting to be in compliance with certain financial covenants under the existing credit agreement during certain quarters in the twelve months following the issuance date of that Form 10-Q. This determination will be reevaluated at the issuance date of our Form 10-K for the fiscal year ended December 31, 2023 based on the status of the credit agreement in place at that time, our anticipated ability to satisfy covenants contained in such agreement and other factors consistent with generally accepted accounting principles.

Conference Call

Fluent, Inc. will announce in a subsequent press release the date and time of a conference call to discuss its 2023 fourth quarter and full-year financial results, and the means of accessing the call.  Following the completion of the earnings call, a recorded replay of the webcast will be available for those unable to participate. To listen to the telephone replay, please connect via https://register.vevent.com/register/BI1e674cb8510d45c5823d81f40d9fdf05. The replay will be available for one year, via the Fluent website https://investors.fluentco.com. 

About Fluent, Inc.

Fluent, Inc. (NASDAQ:FLNT) is a leader in performance marketing, delivering customer acquisition solutions through our digital media portfolio, global commerce partnerships, and proprietary data and tech. We introduce brands to consumers through outcome-based programs across untapped channels, including our post-transaction ad solution and rewarded discovery platform. Since 2010, we have continued to innovate and iterate on the most effective strategies that connect our partners and brands with their most valuable customers, helping to drive lower-funnel engagements that exceed client expectations. For more information, please visit http://www.fluentco.com/.

Safe Harbor Statement Under the Private Securities Litigation Reform Act of 1995

The matters contained in this press release may be considered to be “forward-looking statements” within the meaning of the Securities Act of 1933 and the Securities Exchange Act of 1934. Those statements include statements regarding the intent, belief or current expectations or anticipations of Fluent and members of our management team. Factors currently known to management that could cause actual results to differ materially from those in forward-looking statements include the following:

Compliance with a significant number of governmental laws and regulations, including those regarding telemarketing, text messaging, privacy, and data;
The financial impact of compliance changes to our business, including changes to our employment opportunities marketplace and programmatic advertising businesses, and whether and when our competitors will implement similar changes;
The outcome of litigation, regulatory investigations, or other legal proceedings in which we are involved or may become involved;
Failure to safeguard the personal information and other data contained in our database;
Unfavorable publicity and negative public perception about the digital marketing industry;
Failure to adequately protect intellectual property rights or allegations of infringement of intellectual property rights;
Unfavorable global economic conditions, including as a result of health concerns, terrorist attacks or civil unrest;
Dependence on our key personnel and ability to attract or retain employees;
Dependence on and liability related to actions of third-party service providers;
A decline in the supply or increase in the price of media available;
Ability to compete in an industry characterized by rapidly-evolving standards and internet media and advertising technology;
Failure to compete effectively against other online marketing and advertising companies or respond to changing user demands;
Competition for web traffic and dependence on third-party publishers, internet search providers and social media platforms for a significant portion of visitors to our websites;
Dependence on emails, text messages, and telephone calls, among other channels, to reach users for marketing purposes;
Credit risk from certain clients;
Limitations on our or our third-party publishers’ ability to collect and use data derived from user activities;
Ability to remain competitive with the shift to mobile applications;
Failure to detect click-through or other fraud on advertisements;
Fluctuations in fulfillment costs;
Dependence on the gaming industry;
Failure to meet our clients’ performance metrics or changing needs;
Pricing pressure by certain clients and the ability of our marketplace to respond through allocating traffic to higher paying clients;
Compliance with the covenants of our credit agreement in light of current business conditions, the uncertainty of which raises substantial doubt about our ability to continue as a going concern;
Ability to satisfy due diligence and enter into a replacement credit facility with the current prospective lender or otherwise obtain new capital to remedy non-compliance with covenants in our existing credit agreement and/or otherwise fund our operations;
Potential for failures in our internal control over financial reporting;
Compliance with Nasdaq’s minimum bid price rule; and
Management of the growth of our operations, including international expansion and the integration of acquired business units or personnel.

These and additional factors to be considered are set forth under “Risk Factors” in our Annual Report on Form 10-K for the fiscal year ended December 31, 2023 and in our other filings with the Securities and Exchange Commission. Fluent undertakes no obligation to update or revise forward-looking statements to reflect changed assumptions, the occurrence of unanticipated events or changes to future operating results or expectations.

(Amounts in thousands, except share and per share data)


December 31, 2023
December 31, 2022


Cash and cash equivalents

Accounts receivable, net of allowance for doubtful accounts of $231 and $544, respectively

Prepaid expenses and other current assets

Total current assets

Property and equipment, net

Operating lease right-of-use assets

Intangible assets, net


Other non-current assets

Total assets


Accounts payable

Accrued expenses and other current liabilities

Deferred revenue

Current portion of long-term debt(1)

Current portion of operating lease liability

Total current liabilities

Long-term debt, net


Operating lease liability, net

Other non-current liabilities

Total liabilities


Shareholders’ equity:

Preferred stock — $0.0001 par value, 10,000,000 Shares authorized; Shares outstanding — 0 shares for both periods



Common stock — $0.0005 par value, 200,000,000 Shares authorized; Shares issued — 85,917,891 and 84,385,458, respectively; and Shares outstanding — 81,306,322 and 80,085,306, respectively

Treasury stock, at cost — 4,611,569 and 4,300,152 shares, respectively

Additional paid-in capital

Accumulated deficit

Total shareholders’ equity

Total liabilities and shareholders’ equity


(1) Debt classification conforms to presentation at September 30, 2023, which was based on the Company not expecting to be in compliance with certain financial covenants under its credit agreement during certain quarters in the twelve months following the issuance date of the September 30, 2023 financial statements.  This classification will be reevaluated at the issuance date of the Company’s audited financial statements as of December 31, 2023 and 2022 and for fiscal years then ending.

(Amounts in thousands, except share and per share data)


Three Months Ended December 31,
Year Ended December 31,



Costs and expenses:

Cost of revenue (exclusive of depreciation and amortization)

Sales and marketing (1)

Product development (1)

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