π Cardlytics $CDLX (#4) Update: Q4 2022
My dear fellow investors, here is a quick summary of the events that have unfolded in the last few months.
Results & Guidance
The results for the quarter were in line with expectations (which is poor) and the guidance for the next quarter is quite dismal. As they pointed out, itβs true that AdTech is facing strong headwinds. The big players (Google and FB) are having their budgets cut because of recessionary fears. Feel free to check out their P&L and balance sheet. The two most noteworthy items were a rev growth of 11% (when it should be 25-30%) and impairments in goodwill and intangibles that surpassed their market cap. I donβt think I can add value in this category other than to point out that execution is everything.
Profitability
One of the critical barriers to overcome in 2023 is profitability. Sadly there was no real mention of the subject during the earnings call (which is concerning). The goal of being EBITDA positive by Q2 2023 seems to be further away now.Β
On the bright side Kaβ¦