Mobivity Announces First Quarter 2023 Financial Results, Promotes Kim Carlson to Chief Operating Officer

PHOENIX, May 15, 2023 (GLOBE NEWSWIRE) -- Mobivity Holdings Corp. (OTCQB:MFON), a global provider of personalized reward solutions that drive customer acquisition, frequency and spend, today announced financial results for the first quarter (“Q1”) ending March 31, 2023.

Q1 2023 Financial Highlights

  • Revenues grew to $1.9 million in the first quarter of 2023 compared to Q4 2022 revenues of $1.7 million. Revenues were $2.0 million in the first quarter of 2022.
  • Gross profit margin of 43% in the first quarter of 2023, a 23% increase over the fourth quarter of 2022, which was 35%. Gross profit margin improved 1% from 42% in the first quarter of 2022.
  • $2.6 million of cash at the end of Q1 2023 compared to $427,000 as of December 31, 2022.

Recent Business Highlights

  • Promoted Kim Carlson to Chief Operating Officer to enhance leadership structure towards capitalizing on the substantial business opportunity in our Connected Rewards Business.
  • Connected Rewards game install volume increased more than 900% since January.
  • Since March of this year, game publisher demand has more than doubled for Mobivity’s Connected Rewards due to continued positive returns on ad spend through cross promotion with leading convenience store and restaurant brands.

"We are encouraged by the accelerated growth achieved in Q1 2023, with revenues climbing sequentially over Q4 2022, and a substantial improvement in our gross profit margin, which rose 23% compared to the previous quarter,” stated Dennis Becker, CEO of Mobivity. “This momentum is fueled by the exceptional performance of our Connected Rewards platform, which has now surpassed 20 million impressions, and encouraged game publishers to more than double their user acquisition budgets for Connected Rewards. Our daily game installs soared by over 900% since January, emphasizing the value that Connected Rewards delivers to our clients and driving the company's ongoing success. I am also pleased to report the promotion of Kim Carlson to Chief Operating Officer to lead our operations, product and sales and marketing teams. Since joining Mobivity as our Chief Revenue Officer, Kim has been instrumental in driving adoption of our ground-breaking Connected Rewards platform by game publishers and brands. My heartfelt congratulations and appreciation go out to the dedicated and hardworking team at Mobivity for their relentless efforts in achieving these remarkable results."

Consolidated Financial Summaries

(In thousands) Three months ended March 31,
  2023   2022   $$ %
Revenue $1,881   $2,030   ($148 ) -7.3 %
Gross profit $815   $855   ($40 ) -4.7 %
Gross margin 43.3 % 42.1 % 1.2 %  
Operating Expenses $3,034   $2,631   $402   15.3 %
Income (loss) from Operations ($2,219 ) ($1,777 ) $442   24.9 %
Net income (loss) ($2,447 ) ($1,946 ) ($501 ) -25.7 %
Adjusted EBITDA * ($1,366 ) ($1,314 ) ($51 ) 3.9 %

Conference Call Information:

Date: Monday, May 15, 2023
Time: 4:30 p.m. Eastern Time (ET)
Dial in Number for U.S. Callers: 1-800-920-2905
Dial in Number for International Callers: 1-212-231-2921
Please Reference Conference ID: 22026993

The call will also be accompanied live by webcast over the Internet and accessible at

Participating on the call will be Mobivity’s Chairman and Chief Executive Officer, Dennis Becker, and Chief Financial Officer, Lisa Brennan. To join the live conference call, please dial in to the above referenced telephone numbers five to ten minutes prior to the scheduled conference call time.

A replay will be available for two weeks starting on May 15, 2023 at approximately 7:30 p.m. ET. To access the replay, please dial 1-844-512-2921 in the U.S. and 1-412-317-6671 for international callers. The conference ID# is 22026993. The replay will also be available on the Company’s website under the investor relations section.

Non-GAAP Measurements
This press release includes certain financial information which constitutes “non-GAAP financial measures” as defined by the United States Securities and Exchange Commission (“SEC”). A full reconciliation of the non-GAAP measures to GAAP can be found in the tables of today’s press release. Non-GAAP adjusted EBITDA is supplemental to results presented under accounting principles generally accepted in the United States of America (“GAAP”) and may not be comparable to similarly titled measures presented by other companies. These non-GAAP measures are used by management to facilitate period-to-period comparisons and analysis of Mobivity’s operating performance and liquidity. Management believes these non-GAAP measures are useful to investors in trending, analyzing and benchmarking the performance and value of Mobivity’s business. These non-GAAP measures should be considered in addition to, but not as a substitute for, other similar measures reported in accordance with GAAP.

About Mobivity
Mobivity’s cloud-based Connected Rewards™ technology delivers billions of offers and promotions, building large, owned audiences for some of the world’s biggest brands. Through its partnerships with leading game publishers, digital operators, and ad networks, Mobivity connects a massive universe of consumers to its broad network of brands. As a result, digital consumers download and play more games, and earn real-world rewards that are redeemed in-store, driving acquisition, frequency, and retention for brands and game publishers. For more information about Mobivity, visit or call (877) 282-7660.

Forward Looking Statements
This press release contains “forward-looking statements” concerning Mobivity Holdings Corp. within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Those forward-looking statements include statements regarding the benefits of recent additions to the Company’s management team; the Company’s expectations for the growth of the Company’s operations and revenue; and the advantages and growth prospects of the mobile marketing industry. Such statements are subject to certain risks and uncertainties, and actual circumstances, events or results may differ materially from those projected in such forward-looking statements. Factors that could cause or contribute to differences include, but are not limited to, our ability to successfully integrate our recent additions to management; our ability to develop the sales force required to achieve our development and revenue goals; our ability to raise additional working capital as and when needed; changes in the laws and regulations affecting the mobile marketing industry and those other risks set forth from time to time in Mobivity Holdings Corp.’s reports filed with the SEC, including, but not limited to, Mobivity Holdings Corp.’s most recent annual report on Form 10-K , quarterly reports on Form 10-Q, and current reports on Form 8-K. Mobivity Holdings Corp. cautions readers not to place undue reliance on any forward-looking statements, which speak only as of the date of this announcement. Mobivity Holdings Corp. does not undertake, and specifically disclaims any obligation to update or revise such statements to reflect new circumstances or unanticipated events as they occur.

Investor Relations Contact:
Lisa Brennan • Chief Financial Officer, Mobivity
(877) 282-7660

Brett Maas • Managing Partner, Hayden IR • (646) 536-7331

Mobivity Holdings Corp.
Condensed Consolidated Balance Sheets 

  March 31,   December 31,
    2023       2022  
Current assets      
Cash $ 2,581,597     $ 426,740  
Accounts receivable, net of allowance for doubtful accounts $10,820 and $34,446, respectively   749,986       1,081,183  
Other current assets   212,939       195,017  
Total current assets   3,544,522       1,702,940  
Right to use lease assets   930,658       981,896  
Intangible assets, net   143,857       194,772  
Other assets   142,464       137,917  
TOTAL ASSETS $ 4,761,501     $ 3,017,525  
Current liabilities      
Accounts payable $ 3,335,917     $ 3,412,612  
Accrued interest   442,269       443,448  
Accrued and deferred personnel compensation   495,209       569,347  
Deferred revenue and customer deposits   704,740       902,727  
Related party notes payable, net - current maturities   1,327,265       2,711,171  
Notes payable, net - current maturities   24,354       32,617  
Operating lease liability, noncurrent   257,614       251,665  
Other current liabilities   15,462       49,541  
Total current liabilities   6,602,830       8,373,128  
Non-current liabilities      
Related party notes payable, net - long term   3,896,763       2,481,290  
Notes payable, net - long term   29,565       31,092  
Operating lease liability   870,057       936,924  
Total non-current liabilities   4,796,385       3,449,306  
Total liabilities   11,399,215       11,822,434  
Stockholders' equity (deficit)      
Common stock, $0.001 par value; 100,000,000 shares authorized; 65,607,411 and 61,311,155, shares issued and outstanding   65,607       61,311  
Equity payable   317,086       324,799  
Additional paid-in capital   113,423,638       108,806,353  
Accumulated other comprehensive income (loss)   (69,461 )     (100,963 )
Accumulated deficit   (120,374,584 )     (117,896,409 )
Total stockholders' equity (deficit)   (6,637,714 )     (8,804,909 )

Mobivity Holdings Corp.
Condensed Consolidated Statements of Operations and Comprehensive Income (Loss)

  Three Months Ended
  March 31,
    2023       2022  
Revenues $ 1,881,482     $ 2,029,569  
Cost of revenues   1,066,575       1,174,948  
Gross profit   814,907       854,621  
Operating expenses      
General and administrative   1,544,106       1,207,176  
Sales and marketing   691,220       597,501  
Engineering, research, and development   734,375       702,223  
Depreciation and amortization   63,902       124,312  
Total operating expenses   3,033,603       2,631,212  
Loss from operations   (2,218,696 )     (1,776,591 )
Other income/(expense)      
Loss of settlement of debt   (10,857 )      
Interest expense   (238,446 )     (159,827 )
Settlement Losses   (10,000 )      
Foreign currency gain   (176 )     3,319  
Total other income/(expense)   (259,479 )     (156,508 )
Loss before income taxes   (2,478,175 )     (1,933,099 )
Income tax expense          
Net loss   (2,478,175 )     (1,933,099 )
Other comprehensive loss, net of income tax      
Foreign currency translation adjustments   31,502       (12,895 )
Comprehensive loss $ (2,446,673 )   $ (1,945,994 )
Net loss per share:      
Basic and Diluted   (0.04 )     (0.03 )
Weighted average number of shares:      
Basic and Diluted   62,078,218       57,233,309  

Mobivity Holdings Corp.
Reconciliation of GAAP Measure to Non-GAAP Measure

(In thousands) Three months ended March 31,
  2023   2022  
Net Loss ($2,478 ) ($1,933 )
Stock Based Compensation $810   $335  
Depreciation and Amortization $64   $124  
Interest Expenses Net $238   $160  
Adjusted EBITDA ($1,366 ) ($1,314 )

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Source: Mobivity Holdings Corp.