10-K - Inuvo, Inc. | StockGist

AI Analysis

AI-generated analysis. Always verify with the original filing.

Inuvo reported FY 2025 net revenue of $86.2 million, a 2.9% increase from $83.8 million in FY 2024. However, gross profit declined 10.5% to $64.2 million due to a significant 82.8% increase in cost of revenue, primarily from a change in Platform revenue mix. The company reported an operating loss of $6.7 million and a net loss of $5.1 million. Platform clients represented 83.8% of total revenue, with the two largest Platform clients accounting for 64.2% and 19.3% respectively. Cash used in operations was $1.8 million, while financing activities provided $3.8 million primarily from the Financing Agreement and ATM sales. The company had a net working capital deficit of $5.1 million and an accumulated deficit of $178.3 million as of December 31, 2025.

Key Takeaways

1Net revenue increased 2.9% to $86.2M but gross profit declined 10.5% to $64.2M

2Platform clients represented 83.8% of revenue, with top two clients accounting for 83.5%

3Net loss of $5.1M with operating cash outflow of $1.8M

4Net working capital deficit of $5.1M with accumulated deficit of $178.3M

5Cash balance of $2.8M with $3.3M outstanding under $10M credit facility

Key Financial Metrics

Revenue

$86.2M

+2.9%

Net Income

-$5.1M

Gross Margin

74.5%

85.6% prior year

Gross Profit

$64.2M

-10.5%

Operating Income

-$6.7M

Business Segments

PlatformPrimary business channel with two largest clients accounting for 64.2% and 19.3% of total revenue

$72.2M83.8% of total revenue

Agencies & BrandsManaged and self-service offerings utilizing IntentKey technology

$14.0M16.2% of total revenue