Kidoz Inc saw its 3Q revenue increase to US$2.8 million on a strong performance from its Ad Tech business.
Revenue rose 47% from the comparable quarter last year's $1.9 million and 29% above the $2.2 million it delivered in 2Q 2021.
Kidoz develops and owns the KIDOZ Contextual Ad Network and the Kidoz Published SDK.
READ: Kidoz says it is seeing strong demand from advertisers as views and impressions on its platform increase during 3Q
The firm said its Ad Tech advertising revenue comprised the bulk of its 3Q revenue, coming in at $2,759,508 for the quarter compared to $1,809,169 in 3Q 2020 and an increase of 30% over 2Q 2021.
Kidoz also posted a gross profit of $1.2 million and adjusted EBITDA of $265,984, while its net loss came in at $75,040 or $0.00 per share compared to a $116,634 profit in the comparable year-ago quarter, which Kidoz said was due to the salary reductions instituted in fiscal 2020 as a result of COVID-19.
Co-CEOs Eldad Ben Tora and Jason Williams lauded the company’s strong quarter in a statement accompanying the results.
"The market forces powering our strategy continue to increase in strength as the enormous mobile advertising industry pivots towards contextual targeting which is at the core of Kidoz' technology,” Tora said.
“Advertisers, on a global basis, are shifting budgets to mobile advertising as television's reach continues its sharp decline. As global data and privacy regulations continue to be enacted and Apple and Google advance the security and privacy of their platforms, Kidoz benefits as our offering is completely aligned with data security and offers privacy to all those who adopt or engage with our products."
Williams told investors that the Kidoz system continues to grow in scale and has seen an increased rate of adoption amongst app developers.
“As we continue to advance our products we increase the value that we can provide to our advertisers and publishers and further increases our growth. The Kidoz programmatic technology is live and actively filling publisher inventory with campaigns safely sourced from the programmatic marketplace.”
Williams cited estimates from eMarketer that put the mobile advertising sector at over US$400 billion in value by 2023.
“Kidoz is perfectly positioned with powerful technology in a booming market and management anticipates a record 4Q ahead."
The company ended the quarter with $1.2 million in cash.
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