Collective Audience, Inc. (CAUD)·Q3 2024 Earnings Summary

Executive Summary

• Reported preliminary Q3 2024 pro forma revenue of approximately $1.80M, a 65% sequential increase, with adjusted EBITDA loss narrowing to ~$0.09M (an 88% QoQ improvement), driven by contributions from the DSL Digital and BeOp acquisitions .
• Reiterated full-year 2024 outlook of ~$7.5M pro forma revenue and positive adjusted EBITDA; secured >$2.2M in Q4 bookings with Fortune 1000 clients; announced new programmatic and VAST video product launches into Q4–Q1’25 .
• Corporate developments in the quarter included appointment of a seasoned AdTech CFO to strengthen finance and integration processes , while the company transitioned to OTC Markets following a Nasdaq delisting determination earlier in Q3 .
• Wall Street consensus estimates from S&P Global were unavailable for CAUD due to missing mapping; accordingly, estimate comparisons cannot be provided (we attempted retrieval but could not obtain values).

What Went Well and What Went Wrong

What Went Well

• Record Q3 pro forma revenue and improved profitability trajectory: ~$1.80M pro forma revenue (+65% QoQ) and adjusted EBITDA loss of ~$0.09M (88% QoQ improvement), reflecting post-acquisition scale and mix benefits from DSL Digital and BeOp .
• Bookings momentum and product pipeline: >$2.2M in Q4 Fortune 1000 bookings and launch plans for programmatic layer enabling trading desk access to AudienceDesk inventory, plus a VAST video channel with early tests showing “3x traditional performance” and “80% completion rates” per CEO Peter Bordes .
• Strategic finance leadership: Appointment of AdTech veteran Gerald Garcia as CFO, with management citing his role in integrating acquisitions and establishing processes to support rapid growth and profitability .

What Went Wrong

• Reporting delay and reliance on preliminary results: Q3 10-Q filing was delayed due to international integration accounting (BeOp) and results were labeled preliminary subject to revision .
• Listing/compliance headwinds: Nasdaq hearings panel determined delisting; CAUD moved to OTC Pink with plans to pursue OTCQB and potential appeal/transfer—management disputed panel’s rationale but acknowledged near-term market-access implications .
• Prior quarter softness on a GAAP basis: Q2 2024 consolidated GAAP revenue was $0, reflecting pre-integration timing and restructuring of post-acquisition deals; net loss and liquidity risks were noted with going-concern commentary in the 10-Q .

Financial Results

Note: Q3 values are preliminary pro forma; Q2 values are consolidated GAAP. They are not strictly comparable.

EPS and margin: Q3 EPS and GAAP margins were not disclosed due to the preliminary nature of Q3 reporting and delayed 10-Q filing . Q2 EPS was -$0.08 .

KPIs:

• New Q4 bookings ($USD Millions): $2.20
• Product pipeline: Programmatic layer for AudienceDesk; VAST video ad channel with test performance metrics cited by management .

Guidance Changes

Earnings Call Themes & Trends

Note: No Q3 earnings call transcript was available; themes are synthesized from Q3 press release and relevant Q2/Q1 filings.

Management Commentary

• “We’re excited to start showing the strengthened enterprise value and foundation we have built over the past year, and we are encouraged by the new high-value engagements secured by our two new acquisitions” — Peter Bordes, CEO .
• “We have received very positive preliminary data when testing with the FDA, generating 3x the traditional performance and 80% completion rates with audience participants interacting with our video ads” — Peter Bordes on VAST video offering .
• “His [CFO Gerry Garcia’s] extensive global finance experience in digital advertising has been instrumental in the integration of our recent acquisitions… establishing a collective roadmap and financial model that supports rapid growth and profitability” — Peter Bordes .

Q&A Highlights

• No Q3 2024 earnings call transcript was available in our document catalog; analyst Q&A themes cannot be summarized for this period.

Estimates Context

• We attempted to retrieve S&P Global/Capital IQ consensus estimates (EPS, Revenue, EBITDA) for Q3 2024/FY 2024/FY 2025 but could not due to missing CIQ mapping for CAUD; therefore, comparisons to Wall Street consensus are unavailable at this time.

Key Takeaways for Investors

• Near-term: Preliminary Q3 results indicate accelerating pro forma revenue and sharply improving adjusted EBITDA, supported by bookings and new product launches, which can act as catalysts as filings catch up .
• Medium-term: Reiterated FY 2024 pro forma targets and new >80% revenue growth outlook for FY 2025 suggest a path to scaled profitability, especially as programmatic and video products ramp .
• Execution focus: Continued integration of DSL and BeOp, finance/process build-out under new CFO, and timely filings will be crucial to sustain investor confidence .
• Regulatory positioning: Management views TCPA one-to-one consent changes as structural tailwinds for AudienceCloud’s direct consumer-data routing, potentially advantaging CAUD vs. legacy platforms .
• Market access: Transition to OTC/OTCQB and potential re-listing strategies should be monitored; broader coverage and liquidity could improve with consistent execution and reporting cadence .

Sources: Q3 2024 8-K with Exhibit 99.1 (Preliminary Earnings Release) ; CFO appointment 8-K and press release ; OTC transition 8-K and press release ; BeOp acquisition 8-K and press release ; Q2 2024 10-Q .