
Dailymotion Advertising Introduces EchoAI: The Conversational Ad Format Powered by AI
EchoAI allows users to ask questions about promoted products or services, discover personalized offers, or locate a store - all without leaving the video experience. This innovative format fits squarely into a mid-funnel strategy, offering brands a new way to capture attention and facilitate a smooth journey from interest to consideration.
Conversational technology that drives engagement
EchoAI relies on a conversational agent trained exclusively on the advertiser's proprietary content (website, documentation, FAQs), ensuring a reliable, coherent, and brand-safe experience. The interactions generated are analyzed to provide qualitative insights into consumer expectations.
EchoAI is now available in open beta across all markets where Dailymotion Advertising operates. It supports more than 20 languages and is immediately accessible to advertisers looking to explore new mid-funnel engagement strategies. The goal of this beta phase is to identify pioneering brands and demonstrate EchoAI's value and potential through real-world activations.
' For too long, brands have been talking at consumers. The real promise of generative AI isn't just faster content creation - it's the ability to build genuine dialogue. With EchoAI, we're launching the first video ad experience designed for this shift: helping brands move from broadcasting to conversation. A breakthrough innovation that enables personalized relationships at scale - and gives rise to a new generation of 'promptable' brands,' says Hamza Kourimate, Chief Marketing Officer at Dailymotion B2B.
' EchoAI was born from a strong belief: AI doesn't replace creativity - it enhances it. The challenge was to design a format where technology steps back to make room for a fluid, meaningful user experience. By integrating real-time dialogue into video storytelling, we've reimagined the narrative around exchange - and opened up a new path for creativity in the age of AI,' adds Luis Ryder, Head of Creative Studio at Dailymotion Advertising.
An AI strategy focused on impact and performance
With EchoAI, Dailymotion Advertising takes a new step in embedding artificial intelligence into its ad solutions. Already recognized for its advanced use of AI in contextual targeting and content recommendation, the company now enriches user experiences through interactive formats that adapt in real time to consumer intent. By leveraging multimodal analysis and language processing technologies, Dailymotion Advertising delivers smarter, more relevant campaigns - fully aligned with the needs of a cookieless world.
EchoAI is part of a broader strategy that puts AI at the core of Dailymotion Advertising's transformation. It marks the first step toward new capabilities designed to create greater value for both brands and users. This momentum will accelerate in the coming months with the gradual introduction of complementary innovations.
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There can be no assurance that actual results will not materially differ from expectations. Such statements include, but are not limited to, any statements relating to our financial outlook and guidance, including our mission to drive top-line growth and profitability and our ability to attain our financial and operational targets; our expected future financial and business performance, including with respect to the Hims & Hers platform, our marketing campaigns, investments in innovation, the solutions accessible on our platform, and our infrastructure, and the underlying assumptions with respect to the foregoing; statements relating to events and trends relevant to us, including with respect to our regulatory environment, financial condition, results of operations, short- and long-term business operations, objectives, and financial needs; expectations regarding our mobile applications, market acceptance, user experience, customer retention, brand development, our ability to invest and generate a return on any such investment, customer acquisition costs, operating efficiencies and leverage (including our fulfillment capabilities), the effect of any pricing decisions, changes in our product or offering mix, the timing and market acceptance of any new products or offerings, the timing and anticipated effect of any pending or recently completed acquisitions, the success of our business model, our market opportunity, our ability to scale our business and expand internationally, the growth of certain of our specialties, our ability to innovate on and expand the scope of our offerings and experiences, including through the use of data analytics and artificial intelligence, our ability to reinvest into the customer experience, our ability to comply with the extensive, complex and evolving legal and regulatory requirements applicable to our business, including without limitation state and federal healthcare, privacy and consumer protection laws and regulations, and the effect or outcome of litigation or governmental actions in relation to any such legal and regulatory requirements. These statements are based on management's current expectations, but actual results may differ materially due to various factors. The forward-looking statements contained in this press release are based on our current expectations and beliefs concerning future developments and their potential effects on us. Future developments affecting us may not be those that we have anticipated. These forward-looking statements involve a number of risks, uncertainties (some of which are beyond our control) and other assumptions that may cause actual results or performance to be materially different from those expressed or implied by these forward-looking statements. These risks and uncertainties include, but are not limited to, those factors described in the 'Risk Factors' section of each of our most recently filed Quarterly Report on Form 10-Q, our most recently filed Annual Report on Form 10-K, and any of our subsequent filings with the Securities and Exchange Commission (the 'Commission'). Should one or more of these risks or uncertainties materialize, or should any of our assumptions prove incorrect, actual results may vary in material respects from those projected in these forward-looking statements. We undertake no obligation (and expressly disclaim any obligation) to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as may be required under applicable securities laws. These risks and others described in the 'Risk Factors' section of each of our most recently filed Quarterly Report on Form 10-Q, our most recently filed Annual Report on Form 10-K, and any of our subsequent filings with the Commission may not be exhaustive. By their nature, forward-looking statements involve risks and uncertainties because they relate to events and depend on circumstances that may or may not occur in the future. 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Key Business Metrics 'Online Revenue' represents the sales of products and services on our platform, net of refunds, credits, and chargebacks, and includes revenue recognition adjustments recorded pursuant to U.S. GAAP, primarily relating to deferred revenue and returns reserve. Online Revenue is generated by selling directly to consumers through our websites and mobile applications. Our Online Revenue consists of products and services purchased by customers directly through our online platform. The majority of our Online Revenue is subscription-based, where customers agree to be billed on a recurring basis to have products and services automatically delivered to them. 'Wholesale Revenue' represents non-prescription product sales to retailers through wholesale purchasing agreements. Wholesale Revenue also includes non-prescription product sales to third-party platforms through consignment arrangements. In addition to being revenue generative and profitable, wholesale partnerships and consignment arrangements have the added benefit of generating brand awareness with new customers in physical environments and on third-party platforms. 'Subscribers' are customers who have one or more 'Subscriptions' pursuant to which they have agreed to be automatically billed on a recurring basis at a defined cadence. The Subscription billing cadence is typically defined as a number of days (for example, billed every 30 days or every 90 days), which are excluded from our reporting when payment has not occurred at the contracted billing cadence. Subscribers can cancel or snooze Subscriptions in between billing periods to stop receiving additional products and/or services and can reactivate Subscriptions to continue receiving additional products and/or services. 'Monthly Online Revenue per Average Subscriber' is defined as Online Revenue divided by 'Average Subscribers', which amount is then further divided by the number of months in a period. 'Average Subscribers' are calculated as the sum of the Subscribers at the beginning and end of a given period divided by 2. December 31, 2024 Assets Current assets: Cash and cash equivalents $ 1,124,582 $ 220,584 Short-term investments 20,033 79,667 Inventory 141,800 64,427 Prepaid expenses and other current assets 69,151 31,153 Total current assets 1,355,566 395,831 Restricted cash 368 856 Goodwill 117,753 112,728 Property, equipment, and software, net 205,480 82,083 Intangible assets, net 40,657 43,410 Operating lease right-of-use assets 71,661 10,881 Deferred tax assets, net 84,229 61,603 Other long-term assets 1,868 147 Total assets $ 1,877,582 $ 707,539 Liabilities and stockholders' equity Current liabilities: Accounts payable $ 105,009 $ 91,180 Accrued liabilities 65,671 53,013 Deferred revenue 98,417 75,285 Operating lease liabilities 3,135 1,889 Total current liabilities 272,232 221,367 Convertible senior notes, net 969,467 — Operating lease liabilities 71,786 9,456 Other long-term liabilities 1,401 — Total liabilities 1,314,886 230,823 Commitments and contingencies Stockholders' equity: Common stock – Class A shares, par value $0.0001, 2,750,000,000 shares authorized and 217,381,434 and 212,459,586 shares issued and outstanding as of June 30, 2025 and December 31, 2024, respectively; Class V shares, par value $0.0001, 10,000,000 shares authorized and 8,377,623 shares issued and outstanding as of June 30, 2025 and December 31, 2024 23 22 Additional paid-in capital 711,998 719,155 Accumulated other comprehensive income (loss) 822 (324 ) Accumulated deficit (150,147 ) (242,137 ) Total stockholders' equity 562,696 476,716 Total liabilities and stockholders' equity $ 1,877,582 $ 707,539 Expand CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE INCOME (In Thousands, Except Share and Per Share Data, Unaudited) Three Months Ended June 30, Six Months Ended June 30, 2025 2024 2025 2024 Revenue $ 544,833 $ 315,648 $ 1,130,843 $ 593,819 Cost of revenue 128,637 59,035 283,958 108,111 Gross profit 416,196 256,613 846,885 485,708 Gross margin % 76 % 81 % 75 % 82 % Operating expenses: (1) Marketing 217,862 144,922 449,097 275,475 Operations and support 66,490 41,453 129,523 80,200 Technology and development 37,848 18,654 67,762 33,978 General and administrative 67,273 40,554 115,883 75,122 Total operating expenses 389,473 245,583 762,265 464,775 Income from operations 26,723 11,030 84,620 20,933 Other income and expense, net 6,130 2,394 8,728 4,894 Income before income taxes 32,853 13,424 93,348 25,827 Benefit (provision) for income taxes 9,652 (127 ) (1,358 ) (1,402 ) Net income 42,505 13,297 91,990 24,425 Other comprehensive income (loss) 986 (6 ) 1,146 (44 ) Total comprehensive income $ 43,491 $ 13,291 $ 93,136 $ 24,381 Net income per share attributable to common stockholders: Diluted $ 0.17 $ 0.06 $ 0.37 $ 0.11 Weighted average shares outstanding: Basic 224,373,375 214,618,037 223,187,936 214,035,065 Expand CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (In Thousands, Unaudited) Six Months Ended June 30, 2025 2024 Operating activities Net income $ 91,990 $ 24,425 Adjustments to reconcile net income to net cash provided by operating activities: Depreciation and amortization 18,741 6,644 Stock-based compensation 60,584 43,074 Net accretion on securities (1,060 ) (2,281 ) Benefit for deferred taxes (10,346 ) — Impairment of long-lived assets — 114 Amortization of debt discount and issuance costs 1,047 — Non-cash operating lease cost 4,594 1,221 Non-cash acquisition-related costs 2,985 — Non-cash other (1,315 ) 412 Changes in operating assets and liabilities: Inventory (77,373 ) (18,124 ) Prepaid expenses and other current assets (38,081 ) (1,430 ) Other long-term assets (10 ) (47 ) Accounts payable 5,146 16,156 Accrued liabilities 11,737 (24 ) Deferred revenue 23,132 13,257 Operating lease liabilities (1,798 ) (1,140 ) Earn-out payable — (2,825 ) Net cash provided by operating activities 89,973 79,432 Investing activities Purchases of investments — (97,539 ) Maturities of investments 60,569 126,095 Investment in website development and internal-use software (7,961 ) (6,191 ) Purchases of property, equipment, and intangible assets (101,392 ) (13,793 ) Acquisition of business, net of cash acquired (5,100 ) — Net cash (used in) provided by investing activities (53,884 ) 8,572 Financing activities Proceeds from issuance of convertible senior notes, net of debt discount 970,000 — Purchases of capped calls related to convertible senior notes (47,800 ) — Proceeds from exercise of vested stock options 6,497 16,472 Payments for taxes related to net share settlement of equity awards (62,475 ) (22,281 ) Proceeds from employee stock purchase plan 2,970 1,622 Payments for debt issuance costs (3,041 ) — Repurchases of common stock — (47,996 ) Payments for acquisition-related earn-out consideration — (3,190 ) Net cash provided by (used in) financing activities 866,151 (55,373 ) Foreign currency effect on cash and cash equivalents 1,270 1 Increase in cash, cash equivalents, and restricted cash 903,510 32,632 Cash, cash equivalents, and restricted cash at beginning of period 221,440 97,519 Cash, cash equivalents, and restricted cash at end of period $ 1,124,950 $ 130,151 Reconciliation of cash, cash equivalents, and restricted cash Cash and cash equivalents $ 1,124,582 $ 129,295 Restricted cash 368 856 Total cash, cash equivalents, and restricted cash $ 1,124,950 $ 130,151 Supplemental disclosures of cash flow information Cash paid for taxes $ 23,047 $ 3,468 Non-cash investing and financing activities Purchases of property and equipment included in accounts payable and accrued liabilities $ 16,954 $ 1,256 Deferred debt issuance costs included in accounts payable and accrued liabilities 249 — Right-of-use asset obtained in exchange for lease liability 63,434 2,174 Issuance of common stock in connection with asset acquisition 12,760 — Common stock to be issued for asset acquisition indemnification holdback 6,380 — Issuance of common stock for acquisition-related earn-out consideration — 1,396 Expand Non-GAAP Financial Measures In addition to our financial results determined in accordance with U.S. GAAP, we present Adjusted EBITDA (which is a non-GAAP financial measure), Adjusted EBITDA margin (which is a non-GAAP ratio), and Free Cash Flow (which is a non-GAAP financial measure) each as defined below. We use Adjusted EBITDA, Adjusted EBITDA margin, and Free Cash Flow to evaluate our ongoing operations and for internal planning and forecasting purposes. We believe that Adjusted EBITDA, Adjusted EBITDA margin, and Free Cash Flow, when taken together with the corresponding U.S. GAAP financial measures, provide meaningful supplemental information regarding our performance by excluding certain items that may not be indicative of our business, results of operations, or outlook. We consider Adjusted EBITDA, Adjusted EBITDA margin, and Free Cash Flow to be important measures because they help illustrate underlying trends in our business and our historical operating performance on a more consistent basis. We believe that the use of Adjusted EBITDA, Adjusted EBITDA margin, and Free Cash Flow is helpful to our investors as they are used by management in assessing the health of our business, our operating performance, and our liquidity. However, non-GAAP financial information is presented for supplemental informational purposes only, has limitations as an analytical tool, and should not be considered in isolation or as a substitute for financial information presented in accordance with U.S. GAAP. In addition, other companies, including companies in our industry, may calculate similarly-titled non-GAAP financial measures or ratios differently or may use other financial measures or ratios to evaluate their performance, all of which could reduce the usefulness of Adjusted EBITDA, Adjusted EBITDA margin, and Free Cash Flow as tools for comparison. Reconciliations are provided below to the most directly comparable financial measures stated in accordance with U.S. GAAP. Investors are encouraged to review our U.S. GAAP financial measures and not to rely on any single financial measure to evaluate our business. Adjusted EBITDA is a key performance measure that our management uses to assess our operating performance. Because Adjusted EBITDA facilitates internal comparisons of our historical operating performance on a more consistent basis, we use this measure for business planning purposes. 'Adjusted EBITDA' is defined as net income before stock-based compensation, depreciation and amortization, acquisition and transaction-related costs (which includes (i) consideration paid for employee and nonemployee compensation with vesting requirements incurred directly as a result of acquisitions, and (ii) transaction professional services), payroll tax expense related to stock-based compensation, impairment of long-lived assets, interest income and expense, net, and income taxes. 'Adjusted EBITDA margin' is defined as Adjusted EBITDA divided by revenue. In the second quarter of 2025, we revised our definition of Adjusted EBITDA to include payroll tax expense related to stock-based compensation, which comprises employer taxes incurred upon vesting of restricted stock units and upon exercise of nonqualified stock options. As a result of recent trends in our stock price, this amount was not considered significant for prior periods and, accordingly, prior period disclosures were not recast to conform to the current presentation. Some of the limitations of Adjusted EBITDA include (i) Adjusted EBITDA does not properly reflect capital commitments to be paid in the future, and (ii) although depreciation and amortization are non-cash charges, the underlying assets may need to be replaced and Adjusted EBITDA does not reflect these capital expenditures. In evaluating Adjusted EBITDA, you should be aware that in the future we will incur expenses similar to the adjustments in this presentation. Our presentation of Adjusted EBITDA should not be construed as an inference that our future results will be unaffected by these expenses or any unusual or non-recurring items. We compensate for these limitations by providing specific information regarding the U.S. GAAP items excluded from Adjusted EBITDA. When evaluating our performance, you should consider Adjusted EBITDA in addition to, and not as a substitute for, other financial performance measures, including our net income and other U.S. GAAP results. Free Cash Flow is a key performance measure that our management uses to assess our liquidity. Because Free Cash Flow facilitates internal comparisons of our historical liquidity on a more consistent basis, we use this measure for business planning purposes. 'Free Cash Flow' is defined as net cash (used in) provided by operating activities, less purchases of property, equipment, and intangible assets and investment in website development and internal-use software in investing activities. Some of the limitations of Free Cash Flow include (i) Free Cash Flow does not represent our residual cash flow for discretionary expenditures and our non-discretionary commitments, and (ii) Free Cash Flow includes capital expenditures, the benefits of which may be realized in periods subsequent to those in which the expenditures took place. In evaluating Free Cash Flow, you should be aware that in the future we will have cash outflows similar to the adjustments in this presentation. Our presentation of Free Cash Flow should not be construed as an inference that our future results will be unaffected by these cash outflows or any unusual or non-recurring items. When evaluating our performance, you should consider Free Cash Flow in addition to, and not as a substitute for, other financial performance measures, including our net cash (used in) provided by operating activities and other U.S. GAAP results.