Fluent Corp.

In Q4 2024, revenue was $24.9 million versus $25.5 million in Q4 2023. Adjusted gross profit was $10 million, or 40.1% of revenue, compared with $12.6 million, or 49.4% a year ago. Adjusted EBITDA was $3 million versus $6.9 million last year, and cash flow used in operations was $14.7 million versus cash flow provided by operations of $1.4 million in the prior year. For full-year 2024, revenue was a record $103.6 million, up 6.4% from $97.3 million in 2023; adjusted gross profit was $50.3 million, or 48.6% of revenue, versus $49.5 million, or 50.9%; and adjusted EBITDA was $25 million versus $27.2 million. The company ended 2024 with approximately $40.1 million of cash and cash equivalents, $82.4 million of total debt, and approximately 630 million shares outstanding. No formal next-quarter or full-year 2025 financial guidance was provided; management did say three more Florida stores are expected by year-end, Tampa cultivation is targeted for Q3 2025, and the Buffalo facility’s first plant date is anticipated around June 2025.

Robert Beasley framed 2024 as a transformative year, emphasizing the RIV Capital acquisition as a major expansion into New York and noting the company’s broader multistate footprint now includes 42 locations across Florida, New York, Pennsylvania, and Texas. He struck an optimistic tone about new brands gaining traction, early cultivation results in Chestertown, and two new facilities coming online in 2025 to support high-quality flower output. At the same time, he acknowledged Florida industry headwinds from Amendment 3 delays, oversupply, and competition, but said FLUENT was not dependent on that catalyst and remains resilient.

Patricia Fonseca walked through the reported figures and linked the quarter’s weaker performance mainly to Florida price pressure from increased inventory. She noted Q4 adjusted gross profit of $10 million at 40.1% margin, Q4 adjusted EBITDA of $3 million, and full-year adjusted EBITDA of $25 million, versus higher margins and EBITDA in 2023. She also highlighted year-end liquidity of approximately $40.1 million cash and cash equivalents against $82.4 million of debt, while pointing to the favorable debt refinancing completed during the year.

The only analyst question focused on capital allocation and whether management would consider a share buyback given the company’s cash position and low trading valuation. Beasley said the Board has discussed buybacks several times, that it is on the table as a possible option, but that it has not yet reached the level of serious consideration. He also said management remains frustrated that the market has not reflected the company’s asset value and that buybacks are one of several ways being considered to support shareholder value.