Record Revenue for Adcore

Posted by MoneyTalks Editor

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Israeli-founded digital advertising firm Adcore (ADCO) began trading on the TSX Venture exchange less than a year before the COVID pandemic lockdowns began in early 2020. While that uncertainty created short term challenges in the market and with their business plan, the company has roared back with results that are thrilling both early and new investors.

Adcore was first introduced to our audience by Ryan Irvine and the team at Keystone Financial as one of their researched recommendations. CEO Omri Brill subsequently presented as part of the 2021 World Outlook Financial Conference Small Cap Investing series (CLICK HERE to watch).

The company just released it’s 4th quarter and full 2020 financials yesterday, and the revenue growth is nothing short of spectacular, up 219% for Q4 to $13.3 million and up 52% to $22.8 million for the full year. Adcore is one of those companies that has benefited from the shift to a stay-at-home economy. Their digital advertising technologies have become essential to clients around the world who now rely almost entirely on e-commerce revenue.

“We rebounded from a challenging first half of 2020 to an astonishing all-time high in revenues,” explained CEO Brill. “And we see the shift in consumer behavior and the effectiveness of digital advertising continuing in 2021.”

It also helps that Adcore stayed true to it’s aggressive strategic initiatives. In the past year the company announced new and expanded relationships with industry behemoths Shopify, Facebook and Microsoft. 2020 saw the opening of offices in Hong Kong, adding to the Tel Aviv, Melbourne and Toronto locations. A second China office was opened in Shanghai in early 2021. The company also graduated to the TSX main board and added a Frankfurt listing as well. A dual US listing is in the works for 2021. And with plenty of cash in the bank Adcore has the ability to continue it’s international expansion.

Adcore’s main challenge, as with many fast growing tech companies, is to ensure it’s bottom line performance keeps pace. EBITDA remains positive but did not move up relative to revenue. Investors are willing to be patient with such positive and bullish growth, but new all-time highs bring new and higher expectations.

According to Omri Brill, “this is a pivotal time as global businesses accelerate their digital transformation. We stand ready to help them increase their presence, brand recognition and success in the digital marketplace.”