KAYTUS Unveils Upgraded MotusAI to Accelerate LLM Deployment
KAYTUS, a leading provider of end-to-end AI and liquid cooling solutions, today announced the release of the latest version of its MotusAI AI DevOps Platform at ISC High Performance 2025. The upgraded MotusAI platform delivers significant enhancements in large model inference performance and offers broad compatibility with multiple open-source tools covering the full lifecycle of large models. Engineered for unified and dynamic resource scheduling, it dramatically improves resource utilization and operational efficiency in large-scale AI model development and deployment. This latest release of MotusAI is set to further accelerate AI adoption and fuel business innovation across key sectors such as education, finance, energy, automotive, and manufacturing.
This press release features multimedia. View the full release here: https://www.businesswire.com/news/home/20250612546292/en/
MotusAI Dashboard
As large AI models become increasingly embedded in real-world applications, enterprises are deploying them at scale, to generate tangible value across a wide range of sectors. Yet, many organizations continue to face critical challenges in AI adoption, including prolonged deployment cycles, stringent stability requirements, fragmented open-source tool management, and low compute resource utilization. To address these pain points, KAYTUS has introduced the latest version of its MotusAI AI DevOps Platform, purpose-built to streamline AI deployment, enhance system stability, and optimize AI infrastructure efficiency for large-scale model operations.
Enhanced Inference Performance to Ensure Service Quality
Deploying AI inference services is a complex undertaking that involves service deployment, management, and continuous health monitoring. These tasks require stringent standards in model and service governance, performance tuning via acceleration frameworks, and long-term service stability, all of which typically demand substantial investments in manpower, time, and technical expertise.
The upgraded MotusAI delivers robust large-model deployment capabilities that bring visibility and performance into perfect alignment. By integrating optimized frameworks such as SGLang and vLLM, MotusAI ensures high-performance, distributed inference services that enterprises can deploy quickly and with confidence. Designed to support large-parameter models, MotusAI leverages intelligent resource and network affinity scheduling to accelerate time-to-launch while maximizing hardware utilization. Its built-in monitoring capabilities span the full stack—from hardware and platforms to pods and services—offering automated fault diagnosis and rapid service recovery. MotusAI also supports dynamic scaling of inference workloads based on real-time usage and resource monitoring, delivering enhanced service stability.
Comprehensive Tool Support to Accelerate AI Adoption
As AI model technologies evolve rapidly, the supporting ecosystem of development tools continues to grow in complexity. Developers require a streamlined, universal platform to efficiently select, deploy, and operate these tools.
The upgraded MotusAI provides extensive support for a wide range of leading open-source tools, enabling enterprise users to configure and manage their model development environments on demand. With built-in tools such as LabelStudio, MotusAI accelerates data annotation and synchronization across diverse categories, improving data processing efficiency and expediting model development cycles. MotusAI also offers an integrated toolchain for the entire AI model lifecycle. This includes LabelStudio and OpenRefine for data annotation and governance, LLaMA-Factory for fine-tuning large models, Dify and Confluence for large model application development, and Stable Diffusion for text-to-image generation. Together, these tools empower users to adopt large models quickly and boost development productivity at scale.
Hybrid Training-Inference Scheduling on the Same Node to Maximize Resource Efficiency
Efficient utilization of computing resources remains a critical priority for AI startups and small to mid-sized enterprises in the early stages of AI adoption. Traditional AI clusters typically allocate compute nodes separately for training and inference tasks, limiting the flexibility and efficiency of resource scheduling across the two types of workloads.
The upgraded MotusAI overcomes traditional limitations by enabling hybrid scheduling of training and inference workloads on a single node, allowing for seamless integration and dynamic orchestration of diverse task types. Equipped with advanced GPU scheduling capabilities, MotusAI supports on-demand resource allocation, empowering users to efficiently manage GPU resources based on workload requirements. MotusAI also features multi-dimensional GPU scheduling, including fine-grained partitioning and support for Multi-Instance GPU (MIG), addressing a wide range of use cases across model development, debugging, and inference.
MotusAI's enhanced scheduler significantly outperforms community-based versions, delivering a 5× improvement in task throughput and 5× reduction in latency for large-scale POD deployments. It enables rapid startup and environment readiness for hundreds of PODs while supporting dynamic workload scaling and tidal scheduling for both training and inference. These capabilities empower seamless task orchestration across a wide range of real-world AI scenarios.
About KAYTUS
KAYTUS is a leading provider of end-to-end AI and liquid cooling solutions, delivering a diverse range of innovative, open, and eco-friendly products for cloud, AI, edge computing, and other emerging applications. With a customer-centric approach, KAYTUS is agile and responsive to user needs through its adaptable business model. Discover more at KAYTUS.com and follow us on LinkedIn and X.
View source version on businesswire.com:https://www.businesswire.com/news/home/20250612546292/en/
CONTACT: Media Contacts
[email protected]
KEYWORD: EUROPE SINGAPORE SOUTHEAST ASIA ASIA PACIFIC
INDUSTRY KEYWORD: APPS/APPLICATIONS TECHNOLOGY OTHER TECHNOLOGY SOFTWARE NETWORKS INTERNET HARDWARE DATA MANAGEMENT ARTIFICIAL INTELLIGENCE
SOURCE: KAYTUS
Copyright Business Wire 2025.
PUB: 06/12/2025 07:11 AM/DISC: 06/12/2025 07:10 AM
http://www.businesswire.com/news/home/20250612546292/en
Hashtags

Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Yahoo
13 minutes ago
- Yahoo
Anaergia Reports Second Quarter 2025 Financial Results
Revenue grew 37% and Gross Profit increased 153% from Q2 2024 Revenue Backlog increased to $244 million BURLINGTON, Ontario, August 12, 2025--(BUSINESS WIRE)--Anaergia Inc. ("Anaergia", the "Company", "us", or "our") (TSX: ANRG) (OTCQX: ANRGF), a company that offers integrated waste-to-value solutions to reduce greenhouse gases by cost-effectively turning organic waste into renewable natural gas ("RNG"), fertilizer, and water, released its financial results for the three- and six-month periods ended June 30, 2025 ("Q2 2025"), and the related management's discussion and analysis ("MD&A") for the period. All financial results are reported in Canadian dollars unless otherwise stated. Highlights and Management Commentary Anaergia's financial results for the second quarter of 2025 reflect the ongoing strategic transition in its business model. The Company's shift to a capital-light strategy was the primary driver behind our strong quarterly results led by significantly higher revenue, higher gross profit margin, and an increase in Revenue Backlog. Anaergia is uniquely positioned to benefit from the growing demand for sustainable waste solutions, underpinned by a robust market, and regulatory and environmental tailwinds. The Company provides complete, integrated resource recovery solutions globally. Anaergia's products and services respond to regulatory and customer demand for sustainable waste management services that are superior to landfills and composting while producing carbon negative fuel, thereby reducing greenhouse gas emissions. Anaergia is focused on providing cost effective and sustainable solutions that leverage our experience with project development, execution and our network of owned infrastructure. "Reflecting on my first year as CEO at Anaergia, I am excited to highlight the transformative progress we've made. We have strategically redefined Anaergia as a leading technology company in the RNG sector, delivering complete solutions though our capital sales business, and we are well positioned to capture expanding opportunities. Our second-quarter financial results demonstrate significant advancements enabled by our transition to a capital-light business model, clearly showcasing Anaergia's positive trajectory," stated Assaf Onn, Chief Executive Officer of Anaergia. "Additionally, our Revenue Backlog surged to $244 million at the end of the quarter, increasing from $200 million in the previous quarter and $104 million at the start of the year. This growing backlog, along with $43.8 million in new contracts announced since the end of the second quarter, enhances our visibility and optimism for the future. We are enthusiastic about the ongoing transition and remain confident that the most promising developments are yet to come," added Mr. Onn. Financial Results for Q2 2025 Financial highlights: Revenue increased by 36.8%, or $8.7 million, to $32.3 million in Q2 2025, as compared to Q2 2024. Revenue increased primarily due to higher revenue from Capital Sales, most significantly in Italy and North America. Gross profit margin percentage increased to 32.5% in Q2 2025 from 17.6% in Q2 2024, or a 14.9 increase in percentage points. This is attributable to higher margins from all three segments, Capital Sales, Build-Own-Operate ("BOO"), and Operation Maintenance Services ("O&M"). Adjusted EBITDA1 loss in Q2 2025 of $2.2 million improved by 72.1%, from an Adjusted EBITDA loss of $8.0 million reported in Q2 2024. This positive variance reflects a substantial improvement in our results from operations which was driven by the increases in revenue and in gross profit. Three months ended: 30-Jun-25 30-Jun-24 % Change (In millions of Canadian dollars, except %) Revenue 32.3 23.6 +36.8% Gross profit 10.5 4.1 +152.9% Gross profit % 32.5% 17.6% +14.9 percentage points Loss from operations (4.1) (11.7) +64.6% Net loss (9.5) (13.4) +29.0% Adjusted EBITDA1 (2.2) (8.0) +72.1% Six months ended: 30-Jun-25 30-Jun-24 % Change (In millions of Canadian dollars except %) Revenue 57.1 48.6 +17.7% Gross profit 15.9 10.6 +49.6% Gross profit % 27.8% 21.9% +5.9 percentage points Loss from operations (9.8) (21.9) +55.2% Net loss (15.4) (24.8) +38.1% Adjusted EBITDA1 (6.2) (14.1) +56.2% Statement of Financial Position 30-Jun-23 31-Dec-24 (In millions of Canadian dollars) Total Assets 226.1 233.3 Total Liabilities 185.5 180.1 Equity 40.6 53.2 For a more detailed discussion of Anaergia's results for Q2 2025, please see the Company's financial statements for Q2 2025 and related MD&A, which are available at the Company's SEDAR+ page at ___________________________ 1 Adjusted EBITDA is a non-IFRS measure. See "Non-IFRS Measures" Non-IFRS® Measures This press release makes reference to certain non-International Financial Reporting Standards ("IFRS") measures. These measures are not recognized measures under IFRS and do not have a standardized meaning prescribed by IFRS and are therefore unlikely to be comparable to similar measures presented by other companies. Rather, these measures are provided as additional information to complement IFRS measures by providing further understanding of our results of operations from management's perspective. Accordingly, these measures should not be considered in isolation or as a substitute for analysis of our financial information reported under IFRS. We use non-IFRS measures to provide investors with supplemental measures. Management also uses non-IFRS measures internally in order to facilitate operating performance comparisons from period to period, prepare annual operating budgets and assess our ability to meet our future debt service, capital expenditure and working capital requirements. Management believes these non-IFRS measures and industry metrics are important supplemental measures of operating performance because they eliminate items that have less bearing on operating performance and highlight trends in the core business that may not otherwise be apparent when relying solely on IFRS financial measures. Management believes such measures allow for assessment of our operating performance and financial condition on a basis that is more consistent and comparable between reporting periods. We also believe that securities analysts, investors and other interested parties frequently use non-IFRS measures in the evaluation of public companies. Definitions of non-IFRS measures and industry metrics used in this press release are provided below. "Adjusted EBITDA" is defined as net earnings before finance costs, taxes and depreciation and amortization adjusted for our normalized proportionate interest in our Build-Own-Operate assets and one-time or non-recurring items, stock-based compensation expense, asset impairment charges and write downs, gains and losses for equity-accounted investees, gain or loss on equity method adjustment, significant one-time provisions, foreign exchange gains or losses, restructuring costs, Enterprise Resource Planning ("ERP") customization and configuration costs, litigation and other claims settlements, gains and losses resulting from changes in certain balance sheet valuations (such as derivatives and warrants) and acquisition costs. "EBITDA" is defined as net income before finance costs, taxes and depreciation and amortization. "Revenue Backlog" is defined as the balance of unrecognized, undiscounted, consolidated revenues from signed contracts in our Capital Sales and O&M Services segments. For our Capital Sales contracts, we have modeled only projects that have been contracted. For our O&M Services segment, while most of our in-hand contracts are 5-15 years in tenure, we have conservatively modeled for only 3 years of contracted revenue. See "Reconciliation of Non-IFRS Measures" below for a reconciliation of the foregoing non-IFRS measures to their most directly comparable measures calculated in accordance with IFRS. Conference Call and Webcast Details A conference call to review the Company's financial results will take place at 9:00 a.m. (EDT) on Wednesday August 13, 2025. It will be hosted by management of Anaergia. An accompanying slide presentation will be posted to the Investor Relations section of the Company's website shortly before the call. To listen to the webcast live: The webcast will be archived and available in the Investor Relations section of our website following the call. About Anaergia Anaergia is a pioneering technology company in the renewable natural gas ("RNG") sector, with over 250 patents dedicated to converting organic waste into sustainable solutions such as RNG, fertilizer, and water. We are committed to addressing a significant source of greenhouse gases ("GHGs") through cost-effective processes. Our proprietary technologies, combined with our engineering expertise and vast experience in facility design, construction, and operation, position Anaergia as a leader in the RNG industry. With a proven track record of delivering hundreds of innovative projects over the past decade, we are well-equipped to tackle today's critical resource recovery challenges through diverse project delivery methods. As one of the few companies worldwide offering an integrated portfolio of end-to-end solutions, we effectively combine solid waste processing, wastewater treatment, organics recovery, high-efficiency anaerobic digestion, and biomethane production. Additionally, we operate RNG facilities owned by both third parties and Anaergia. This comprehensive approach not only reduces environmental impact but also significantly lowers costs associated with waste and wastewater treatment while mitigating GHG emissions. For further information please see: Forward-Looking Statements This press release contains "forward-looking information" within the meaning of applicable securities laws. Forward-looking information may relate to future plans, expectations and intentions, results, levels of activity, performance, goals or achievements, other future events or developments and may include, without limitation, information regarding our financial position, business strategy, growth strategy, budgets, operations, financial results, taxes, plans and objectives. Particularly, information regarding our future results, performance, achievements, prospects or opportunities or the markets in which we operate is forward-looking information. In some cases, forward-looking information can be identified by the use of forward-looking terminology such as "may", "will", "would", "should", "could", "expects", "plans", "intends", "estimate", "believes", "likely", "potential", "continue", or "future" or the negative or other variations of these words or other comparable words or phrases. In addition, any statements that refer to expectations, intentions, projections or other characterizations of future events or circumstances contain forward-looking information. Statements containing forward-looking information are not facts but instead represent management's expectations, estimates and projections regarding future events or circumstances. Forward-looking statements in this press release include, among other things, statements relating to financial condition and results of operations; Company's strategic growth plan; and statements regarding the Company's Revenue Backlog and potential future sales. Forward-looking information is necessarily based on a number of opinions, assumptions and estimates that we considered appropriate and reasonable as of the date such statements were made. It is also subject to known and unknown risks, uncertainties, assumptions and other factors that may cause our actual results, level of activity, performance or achievements to be materially different from those expressed or implied by such forward-looking information, including but not limited to the risk factors described in the Company's annual information form and management's discussion and analysis for the year ended December 31, 2024. Certain assumptions in respect of our ability to execute on our expansion plans; our ability to obtain or maintain existing financing on acceptable terms; and our ability of realizing the anticipated benefits of such are material factors underlying forward looking information and management's expectations. The purpose of the forward-looking statements in this press release is to provide the reader with a description of management's current expectations regarding the Company's financial performance and may not be appropriate for other purposes. There can be no assurance that such information will prove to be accurate, as actual results and future events could differ materially from those anticipated in such information. Accordingly, readers should not place undue reliance on forward-looking information, which speaks only to opinions, estimates and assumptions as of the date made. Furthermore, unless otherwise stated, the forward-looking statements contained in this press release are made as of the date of this press release, and we have no intention and undertake no obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by applicable securities laws. The forward-looking statements contained in this press release are expressly qualified by this cautionary statement. Reconciliation of Non-IFRS Measures Three months ended: 30-Jun-25 30-Jun-24 (In thousands of Canadian dollars) Net loss (9,488) (13,356) Finance costs (income), net 1,266 1,614 Depreciation and amortization 1,394 1,628 Income tax recovery 2,058 (486) EBITDA1 (4,770) (10,600) Share based compensation expense 515 594 Losses related to equity-accounted investees - 2,431 Asset Impairment loss - 1,083 Other (gains) losses, net 402 (1,597) RIBF income tax credit transaction cost - - Foreign exchange (gain) loss 1,629 (271) Severance Costs - 376 Adjusted EBITDA1 (2,224) (7,984) Six months ended: 30-Jun-25 30-Jun-24 (In thousands of Canadian dollars) Net loss (15,385) (24,837) Finance costs (income), net 2,282 2,649 Depreciation and amortization 2,874 2,729 Income tax recovery 172 (503) EBITDA1 (10,057) (19,962) Share based compensation expense 765 1,183 Losses related to equity-accounted investees - 2,909 Asset Impairment loss - 1,083 Other (gains) losses, net 1,211 (1,277) RIBF income tax credit transaction cost - 2,416 Foreign exchange (gain) loss 1,917 (816) Severance Costs - 376 Adjusted EBITDA1 (6,164) (14,088) 1 "Adjusted EBITDA" is a non-IFRS measure. View source version on Contacts For media and/or investor relations: IR@ Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data


Business Wire
14 minutes ago
- Business Wire
Anaergia Reports Second Quarter 2025 Financial Results
BURLINGTON, Ontario--(BUSINESS WIRE)--Anaergia Inc. ('Anaergia', the 'Company', 'us', or 'our') (TSX: ANRG) (OTCQX: ANRGF), a company that offers integrated waste-to-value solutions to reduce greenhouse gases by cost-effectively turning organic waste into renewable natural gas ('RNG'), fertilizer, and water, released its financial results for the three- and six-month periods ended June 30, 2025 ('Q2 2025'), and the related management's discussion and analysis ('MD&A') for the period. All financial results are reported in Canadian dollars unless otherwise stated. Highlights and Management Commentary Anaergia's financial results for the second quarter of 2025 reflect the ongoing strategic transition in its business model. The Company's shift to a capital-light strategy was the primary driver behind our strong quarterly results led by significantly higher revenue, higher gross profit margin, and an increase in Revenue Backlog. Anaergia is uniquely positioned to benefit from the growing demand for sustainable waste solutions, underpinned by a robust market, and regulatory and environmental tailwinds. The Company provides complete, integrated resource recovery solutions globally. Anaergia's products and services respond to regulatory and customer demand for sustainable waste management services that are superior to landfills and composting while producing carbon negative fuel, thereby reducing greenhouse gas emissions. Anaergia is focused on providing cost effective and sustainable solutions that leverage our experience with project development, execution and our network of owned infrastructure. "Reflecting on my first year as CEO at Anaergia, I am excited to highlight the transformative progress we've made. We have strategically redefined Anaergia as a leading technology company in the RNG sector, delivering complete solutions though our capital sales business, and we are well positioned to capture expanding opportunities. Our second-quarter financial results demonstrate significant advancements enabled by our transition to a capital-light business model, clearly showcasing Anaergia's positive trajectory," stated Assaf Onn, Chief Executive Officer of Anaergia. "Additionally, our Revenue Backlog surged to $244 million at the end of the quarter, increasing from $200 million in the previous quarter and $104 million at the start of the year. This growing backlog, along with $43.8 million in new contracts announced since the end of the second quarter, enhances our visibility and optimism for the future. We are enthusiastic about the ongoing transition and remain confident that the most promising developments are yet to come," added Mr. Onn. Financial Results for Q2 2025 Financial highlights: Revenue increased by 36.8%, or $8.7 million, to $32.3 million in Q2 2025, as compared to Q2 2024. Revenue increased primarily due to higher revenue from Capital Sales, most significantly in Italy and North America. Gross profit margin percentage increased to 32.5% in Q2 2025 from 17.6% in Q2 2024, or a 14.9 increase in percentage points. This is attributable to higher margins from all three segments, Capital Sales, Build-Own-Operate ('BOO'), and Operation Maintenance Services ('O&M'). Adjusted EBITDA 1 loss in Q2 2025 of $2.2 million improved by 72.1%, from an Adjusted EBITDA loss of $8.0 million reported in Q2 2024. This positive variance reflects a substantial improvement in our results from operations which was driven by the increases in revenue and in gross profit. Statement of Financial Position 30-Jun-23 31-Dec-24 (In millions of Canadian dollars) Total Assets 226.1 233.3 Total Liabilities 185.5 180.1 Equity 40.6 53.2 Expand For a more detailed discussion of Anaergia's results for Q2 2025, please see the Company's financial statements for Q2 2025 and related MD&A, which are available at the Company's SEDAR+ page at Non-IFRS® Measures This press release makes reference to certain non-International Financial Reporting Standards ('IFRS') measures. These measures are not recognized measures under IFRS and do not have a standardized meaning prescribed by IFRS and are therefore unlikely to be comparable to similar measures presented by other companies. Rather, these measures are provided as additional information to complement IFRS measures by providing further understanding of our results of operations from management's perspective. Accordingly, these measures should not be considered in isolation or as a substitute for analysis of our financial information reported under IFRS. We use non-IFRS measures to provide investors with supplemental measures. Management also uses non-IFRS measures internally in order to facilitate operating performance comparisons from period to period, prepare annual operating budgets and assess our ability to meet our future debt service, capital expenditure and working capital requirements. Management believes these non-IFRS measures and industry metrics are important supplemental measures of operating performance because they eliminate items that have less bearing on operating performance and highlight trends in the core business that may not otherwise be apparent when relying solely on IFRS financial measures. Management believes such measures allow for assessment of our operating performance and financial condition on a basis that is more consistent and comparable between reporting periods. We also believe that securities analysts, investors and other interested parties frequently use non-IFRS measures in the evaluation of public companies. Definitions of non-IFRS measures and industry metrics used in this press release are provided below. ' Adjusted EBITDA ' is defined as net earnings before finance costs, taxes and depreciation and amortization adjusted for our normalized proportionate interest in our Build-Own-Operate assets and one-time or non-recurring items, stock-based compensation expense, asset impairment charges and write downs, gains and losses for equity-accounted investees, gain or loss on equity method adjustment, significant one-time provisions, foreign exchange gains or losses, restructuring costs, Enterprise Resource Planning ('ERP') customization and configuration costs, litigation and other claims settlements, gains and losses resulting from changes in certain balance sheet valuations (such as derivatives and warrants) and acquisition costs. ' EBITDA ' is defined as net income before finance costs, taxes and depreciation and amortization. ' Revenue Backlog ' is defined as the balance of unrecognized, undiscounted, consolidated revenues from signed contracts in our Capital Sales and O&M Services segments. For our Capital Sales contracts, we have modeled only projects that have been contracted. For our O&M Services segment, while most of our in-hand contracts are 5-15 years in tenure, we have conservatively modeled for only 3 years of contracted revenue. See 'Reconciliation of Non-IFRS Measures' below for a reconciliation of the foregoing non-IFRS measures to their most directly comparable measures calculated in accordance with IFRS. Conference Call and Webcast Details A conference call to review the Company's financial results will take place at 9:00 a.m. (EDT) on Wednesday August 13, 2025. It will be hosted by management of Anaergia. An accompanying slide presentation will be posted to the Investor Relations section of the Company's website shortly before the call. To listen to the webcast live: The webcast will be archived and available in the Investor Relations section of our website following the call. About Anaergia Anaergia is a pioneering technology company in the renewable natural gas ('RNG') sector, with over 250 patents dedicated to converting organic waste into sustainable solutions such as RNG, fertilizer, and water. We are committed to addressing a significant source of greenhouse gases ('GHGs') through cost-effective processes. Our proprietary technologies, combined with our engineering expertise and vast experience in facility design, construction, and operation, position Anaergia as a leader in the RNG industry. With a proven track record of delivering hundreds of innovative projects over the past decade, we are well-equipped to tackle today's critical resource recovery challenges through diverse project delivery methods. As one of the few companies worldwide offering an integrated portfolio of end-to-end solutions, we effectively combine solid waste processing, wastewater treatment, organics recovery, high-efficiency anaerobic digestion, and biomethane production. Additionally, we operate RNG facilities owned by both third parties and Anaergia. This comprehensive approach not only reduces environmental impact but also significantly lowers costs associated with waste and wastewater treatment while mitigating GHG emissions. For further information please see: Forward-Looking Statements This press release contains 'forward-looking information' within the meaning of applicable securities laws. Forward-looking information may relate to future plans, expectations and intentions, results, levels of activity, performance, goals or achievements, other future events or developments and may include, without limitation, information regarding our financial position, business strategy, growth strategy, budgets, operations, financial results, taxes, plans and objectives. Particularly, information regarding our future results, performance, achievements, prospects or opportunities or the markets in which we operate is forward-looking information. In some cases, forward-looking information can be identified by the use of forward-looking terminology such as 'may', 'will', 'would', 'should', 'could', 'expects', 'plans', 'intends', 'estimate', 'believes', 'likely', 'potential', 'continue', or 'future' or the negative or other variations of these words or other comparable words or phrases. In addition, any statements that refer to expectations, intentions, projections or other characterizations of future events or circumstances contain forward-looking information. Statements containing forward-looking information are not facts but instead represent management's expectations, estimates and projections regarding future events or circumstances. Forward-looking statements in this press release include, among other things, statements relating to financial condition and results of operations; Company's strategic growth plan; and statements regarding the Company's Revenue Backlog and potential future sales. Forward-looking information is necessarily based on a number of opinions, assumptions and estimates that we considered appropriate and reasonable as of the date such statements were made. It is also subject to known and unknown risks, uncertainties, assumptions and other factors that may cause our actual results, level of activity, performance or achievements to be materially different from those expressed or implied by such forward-looking information, including but not limited to the risk factors described in the Company's annual information form and management's discussion and analysis for the year ended December 31, 2024. Certain assumptions in respect of our ability to execute on our expansion plans; our ability to obtain or maintain existing financing on acceptable terms; and our ability of realizing the anticipated benefits of such are material factors underlying forward looking information and management's expectations. The purpose of the forward-looking statements in this press release is to provide the reader with a description of management's current expectations regarding the Company's financial performance and may not be appropriate for other purposes. There can be no assurance that such information will prove to be accurate, as actual results and future events could differ materially from those anticipated in such information. Accordingly, readers should not place undue reliance on forward-looking information, which speaks only to opinions, estimates and assumptions as of the date made. Furthermore, unless otherwise stated, the forward-looking statements contained in this press release are made as of the date of this press release, and we have no intention and undertake no obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by applicable securities laws. The forward-looking statements contained in this press release are expressly qualified by this cautionary statement. 1 'Adjusted EBITDA' is a non-IFRS measure.


Business Wire
14 minutes ago
- Business Wire
VerticalScope Announces Second Quarter 2025 Financial Results
TORONTO--(BUSINESS WIRE)--VerticalScope Holdings Inc. ('VerticalScope' or the 'Company') (TSX: FORA; OTCQX: VFORF), a technology company that has built and operates a cloud-based digital platform for online enthusiast communities, today announced financial results for the second quarter ended June 30, 2025 ("Q2" or "the quarter"). 'In Q2, our platform served 90 million MAUs and generated $14.5 million in revenue,' said Chris Goodridge, CEO of VerticalScope. 'The real story this quarter is the speed at which we've reshaped our teams and sharpened our focus to position the Company for long-term growth. Our profitable model and strong cash generation give us the firepower to invest decisively in high-impact initiatives, from expanding direct traffic to accelerating AI-powered innovation.' Mr. Goodridge added, 'The way people find and consume information is changing faster than ever, and that's creating new opportunities for platforms like ours. VerticalScope's communities deliver exceptional depth of expertise and engagement. As AI reshapes the digital landscape, we're focused on scaling what makes us unique — building stronger relationships with our large base of direct users, broadening how we monetize our audiences, and deploying AI to enhance user experience. We have the assets, the talent, and the strategy to capture meaningful growth in the years ahead.' Financial Highlights for the Three Months Ended June 30, 2025 Revenue decreased 13% to $14.5M, primarily due to a decline in MAUs, which impacted programmatic advertising. This follows a period of record-high MAU in the prior year. ARPU increased 17%, supported by a 41% year-over-year increase in e-commerce revenue. Adjusted EBITDA was $4.3M, down 39%, representing a 30% margin (compared to 42% in Q2 2024), reflecting lower revenue and increased investments in AI and traffic diversification. Operating Cash Flow increased 4% to $6.4M, inclusive of non-cash working capital changes from acquisitions. Free Cash Flow totaled $3.7M, reflecting 87% conversion of Adjusted EBITDA. Available Liquidity was $64.1M, comprised of $8.1M in unrestricted cash and $56.0M of undrawn revolver capacity. Net loss was $1.8M, compared to net income of $0.4M in the prior year, primarily due to lower revenue and $1.6M in one-time personnel and acquisition costs, partially offset by income tax recovery. 'Q2 demonstrated our ability to execute effectively while delivering a healthy Free Cash Flow conversion of 87% and a 30% Adjusted EBITDA margin,' said Vince Bellissimo, CFO of VerticalScope. 'Supported by a strong balance sheet and an efficient operating model, we continue to invest strategically in key initiatives that drive long-term value creation for our shareholders as we move into the second half of the year.' Earnings Conference Call and Webcast Management will host a conference call and webcast to discuss the Company's financial results at 7 a.m. ET on Wednesday, August 13, 2025. Live Call Registration and Webcast: Joining Live by Telephone: Canada: 1 833 950 0062 United States: 1 833 470 1428 Participant Access code: 628663 If you are unable to join live, an archived recording of the webcast will be available at: About VerticalScope Holdings Inc. Founded in 1999 and headquartered in Toronto, Ontario, VerticalScope is a technology company that has built and operates a cloud-based digital platform for online enthusiast communities in high consumer spending categories. VerticalScope's mission is to enable people with common interests to connect, explore their passions, and share knowledge about the things they love. Through targeted acquisitions and development, VerticalScope has built a portfolio of over 1,200 online communities and approximately 100 million monthly active users. Forward-Looking Statements This news release contains forward-looking information within the meaning of applicable securities legislation that reflects the Company's current expectations regarding future events. When used in this news release, words such as 'should', 'could', 'intended', 'expect', 'plan' or 'believe' and similar expressions indicate forward-looking statements. Forward-looking information, including the Company's plans for organic growth, deployment of capital, investments in our platform, the growth of revenue and MAU, information regarding our financial position, business strategy, growth strategies, addressable markets, budgets, operations, financial results, plans and objectives, is based on a number of assumptions and is subject to a number of risks and uncertainties, many of which are beyond the Company's control. Although the Company believes that its expectations reflected in these forward-looking statements are reasonable, such statements involve risks and uncertainties and no assurances can be given that actual results will be consistent with these forward-looking statements. Such risks and uncertainties include, but are not limited to, the implementation and effectiveness of the Company's capital allocation strategy, the availability of high-quality M&A opportunities, dependence on search algorithms and third-party traffic sources, potential disruption from artificial intelligence technologies, and the factors discussed under "Risk Factors" in the Company's Annual Information Form dated March 31, 2025, which is available on the Company's profile on SEDAR Plus at Actual results could differ materially from those projected herein. VerticalScope does not undertake any obligation to update such forward-looking information, whether as a result of new information, future events or otherwise, except as expressly required under applicable securities laws. Non-IFRS Measures This press release references certain non-IFRS measures, including Adjusted EBITDA and Free Cash Flow, and Free Cash Flow Conversion as described below. This press release also makes reference to MAU, which is an operating metric used in our industry. These non-IFRS measures are not recognized measures under IFRS and do not have a standardized meaning prescribed by IFRS and are therefore unlikely to be comparable to similar measures presented by other companies. Rather, these measures are provided as additional information to complement those IFRS measures by providing further understanding of the Company's results of operations from management's perspective. Accordingly, these measures should not be considered in isolation nor as a substitute for analysis of the Company's financial information reported under IFRS. The Company uses non-IFRS measures including: 'EBITDA' is calculated as net income (loss) excluding interest, income tax expense (recovery), and depreciation and amortization. 'Adjusted EBITDA' is calculated as EBITDA adjusted for share-based compensation, share performance related bonuses, unrealized gains or losses from changes in fair value of derivative financial instruments, severance, adjustments to contingent consideration liabilities measured at fair value through profit and loss, gain or loss on sale of assets, gain or loss on sale of investments, foreign exchange loss (gain), realized and unrealized other loss (gain) and other charges that include direct and incremental business acquisition related costs. 'Adjusted EBITDA Margin' measures Adjusted EBITDA as a percentage of revenue. 'Free Cash Flow' means Adjusted EBITDA less capital expenditures and income taxes paid during the period. 'Free Cash Flow Conversion' is equal to Free Cash Flow for the period divided by Adjusted EBITDA for the period. 'Monthly Active Users' ('MAU') is defined as the number of individuals who have visited our communities within a calendar month, based on data as measured by Google Analytics. To calculate average MAU in a given period, we sum the total MAU for each month in that period, divided by the number of months in that period. SOURCE VerticalScope Holdings Inc. The following table sets forth a reconciliation of Adjusted EBITDA and Free Cash Flow to net income (loss): (1) Share performance related bonus is included in wages and consulting on the condensed consolidated interim statements of income (loss) and comprehensive income (loss). (2) Severance is included in wages and consulting on the condensed consolidated interim statements of income (loss) and comprehensive income (loss). (3) Other charges are included in wages and consulting and general and administrative on the condensed consolidated interim statements of income (loss) and comprehensive income (loss). For the three months ended June 30, 2025, these charges include direct and incremental business acquisition related costs. Expand VERTICALSCOPE HOLDINGS INC. Condensed Consolidated Interim Statements of Income (Loss) and Comprehensive Income (Loss) (In U.S. dollars, except per share amounts) (Unaudited) Three Months Ended June 30, Six Months Ended June 30, 2025 2024 2025 2024 Operating expenses: Wages and consulting 8,276,004 6,822,678 15,438,208 13,762,711 Share-based compensation (124,142) 367,575 1,127,851 788,816 Platform and technology 2,074,497 1,675,344 3,714,095 3,218,879 General and administrative 1,382,546 1,268,179 2,443,011 2,460,804 Depreciation and amortization 4,830,349 4,500,984 9,253,924 9,065,612 16,439,254 14,634,760 31,977,089 29,296,822 Operating income (loss) (1,898,938) 2,052,756 (3,871,256) 2,114,138 Other expenses (income): Other income (1,824) — (1,824) — Gain on sale of assets (2,601) (1,098) (2,941) (4,718) Net interest and financing expense 815,644 1,074,882 1,563,462 2,237,814 Gain on sale of investments — — — (16,398) Foreign exchange loss 17,385 261 73,040 27,641 Realized other loss 26,453 — 94,030 — Unrealized other loss (26,453) — — — 828,604 1,074,045 1,725,767 2,244,339 Income (loss) before income taxes (2,727,542) 978,711 (5,597,023) (130,201) Income tax expense (recovery) Current (255,579) 163,747 155,905 252,365 Deferred (679,785) 391,866 (1,545,241) 178,929 (935,364) 555,613 (1,389,336) 431,294 Items that may be reclassified to net income (loss): Earnings (loss) per share: Basic ($0.08) $0.02 ($0.19) ($0.03) Diluted (0.08) 0.02 (0.19) (0.03) Expand VERTICALSCOPE HOLDINGS INC. Condensed Consolidated Interim Statements of Cash Flows (In U.S. dollars) (Unaudited) Three Months Ended June 30, Six Months Ended June 30, 2025 2024 2025 2024 Cash provided by (used in): Operating activities: Net income (loss) ($1,792,178) $423,098 ($4,207,687) ($561,495) Items not involving cash: Depreciation and amortization 4,830,349 4,500,984 9,253,924 9,065,612 Net interest and financing expense 815,644 1,074,882 1,563,462 2,237,814 Gain on sale of assets (2,601) (1,098) (2,941) (4,718) Gain on sale of investments — — — (16,398) Unrealized loss (gain) in derivative instruments (138,557) 19,035 (188,208) 74,703 Unrealized other gain (26,453) — — — Income tax expense (recovery) (935,364) 555,613 (1,389,336) 431,294 Share-based compensation (124,142) 367,575 1,127,851 788,816 2,626,698 6,940,089 6,157,065 12,015,628 Change in non-cash operating assets and liabilities 4,792,347 414,915 5,027,900 1,858,879 Interest paid (690,393) (1,070,476) (1,414,940) (2,233,328) Income taxes received (paid) (287,300) (119,557) (362,330) 257,529 6,441,352 6,164,971 9,407,695 11,898,708 Financing activities: Repayment of term loan — (625,000) — (1,250,000) Proceeds from issuance of revolving loan 3,000,000 — 6,000,000 — Repayment of revolving loan — (5,875,000) — (8,250,000) Cash settlement for vested RSUs (119,753) — (119,753) — Repurchase of share capital for cancellation (1,845,070) (435,859) (1,845,070) (669,085) Lease payments (232,372) (340,661) (555,651) (701,643) Proceeds from sublease 138,002 147,878 278,942 297,956 940,807 (7,128,642) 3,758,468 (10,572,772) Investing activities: Additions to property and equipment and intangible assets (268,712) (399,007) (714,654) (833,618) Proceeds from sale of assets 2,601 1,967 2,941 6,081 Proceeds from sale of investments — — — 16,398 Cash, beginning of period 5,014,293 7,908,036 5,189,315 6,015,184 Change in restricted cash balances (9,052) (3,287) (5,723) 979 Expand