Toronto, Ontario--(Newsfile Corp. - April 1, 2025) - Vertiqal Studios Corp. (TSX: VRTS) (OTC Pink: VERTF) (FSE: 9PY0) ("the Company") - Vertiqal Studios, a leading digital-channel network and video-production studio, as well as the owners of North America's largest gaming and lifestyle network on social media, is pleased to announce its financial results for the year ended December 31, 2024, highlighting a major turnaround in financial performance.
In light of stable revenue of $4.86 million, the Company achieved a 95% reduction in net loss, reflecting strategic cost-cutting efforts and operational efficiencies.
Key Financial Highlights (Year over Year)
Below is a summary of the financial results for the years ended December 31, 2024, and December 31, 2023.
| Year ended December 31, 2024 | Year ended December 31, 2023 | Variance (%) | |||
| Revenues | $4,861,413 | $4,845,926 | 0.32% | ||
| Gross Profit | $3,374,894 | $3,439,770 | -1% | ||
| Total Expenses | $5,756,723 | $56,693,814 | -90% | ||
| Net Loss | ($2,365,124) | ($49,018,797) | -95% | ||
| EBITDA | ($1,523,544) | ($2,923,020) | -47% |
Financial Highlights of Fiscal 2024:
- Revenue Composition and Growth: Vertiqal Studios reported a 0.32% increase in revenue compared to fiscal 2023, highlighting the shift in revenue share. Furthermore, direct media saw an impressive increase of 48% in revenues year over year. This is a testament to the strategic focus and the strength of the offerings in the market.
- Gross Margin: For the year ended December 31, 2024, the Company saw a healthy gross margin of 69%. This demonstrates continued operational efficiency within the Company as it sees a shift in its revenue mix.
- EBITDA Improvement: Additionally, Vertiqal Studios has dramatically improved its EBITDA, reporting a loss of $1.5M for the year, a significant improvement from a loss of $2.9M in 2023. The 47% improvement in EBITDA loss is a result of cost efficiencies, operational discipline, and improved revenue mix, reinforcing the Company's path toward profitability.
The Company has made significant strides in strengthening its financial position in 2024. The substantial reduction in expenses and net loss demonstrates the commitment to sustainable growth and long-term value creation for the shareholders. The ability to reduce EBITDA loss by 47% underscores the effectiveness of the strategic initiatives. With continued revenue growth and disciplined cost management, the Company is building a stronger financial foundation for the future.
Fiscal 2025 Outlook
Looking ahead, Vertiqal Studios anticipates continued growth driven by the ongoing expansion of its direct media business. This growth is expected to be fueled by key, multi-year strategic partnerships, deeper penetration into the U.S. market, and strengthening relationships with media agencies. In addition, the Company is actively exploring further acquisitive opportunities that will allow it to round out its service offering, increase high-margin revenue, and diversify its income streams in a more holistic and sustainable way.
Jon Dwyer, Chairman and CEO of Vertiqal Studios, commented, "in 2024 we built a rubric for scale that saw us focus our long-term business in the US media market, landing our first deal with Coca Cola US, WhiteCastle and other iconic American brands. Strategic relationships such as our recently signed partnership with CrossMedia, are pivotal for Vertiqal's increased presence in the United States. We produce video assets for the US market, free of tariffs, providing quality jobs to the creator economy in Toronto, New York, and LA."
About Vertiqal Studios
Vertiqal Studios, owners of North America's largest gaming and lifestyle network on social media, is a leading digital-channel network and video-production studio. The company specializes in the creation and distribution of viral videos for brands and advertisers to create always-on digital strategies that live authentically in Gen Z and Millennial culture. Vertiqal Studios partners with leading brands to develop strategic solutions, creative ideation, and content production, while also providing distribution and amplification through its Owned & Operated channels - all delivered with boutique, white-glove service. Its expertise lies with managing over 130 channels across TikTok, Instagram, and Snapchat, while producing over 100+ pieces of content a day for a growing audience of 52 million-plus followers. For more information and to join our email subscriber list for direct press releases and newsletters, visit https://vertiqalstudios.com/.
For media inquiries, please contact:
Jon Dwyer
Chairman and Chief Executive Officer
+1 (416) 627-8868;
Email: jon@vertiqalstudios.com;
Investor Relations Email: ir@vertiqalstudios.com
Forward-Looking Information
This news release contains forward-looking statements and forward-looking information within the meaning of applicable securities laws. These statements relate to future events or future performance. All statements other than statements of historical fact may be forward-looking statements or information. The forward-looking statements and information are based on certain key expectations and assumptions made by management of the Company. Although management of the Company believes that the expectations and assumptions on which such forward-looking statements and information are based are reasonable, undue reliance should not be placed on the forward-looking statements and information since no assurance can be given that they will prove to be correct.
Forward-looking statements and information are provided for the purpose of providing information about the current expectations and plans of management of the Company relating to the future. Readers are cautioned that reliance on such statements and information may not be appropriate for other purposes, such as making investment decisions. Since forward-looking statements and information address future events and conditions, by their very nature, they involve inherent risks and uncertainties. Actual results could differ materially from those currently anticipated due to a number of factors and risks. Accordingly, readers should not place undue reliance on the forward-looking statements and information contained in this news release.
The forward-looking statements and information contained in this news release are made as of the date hereof and no undertaking is given to update publicly or revise any forward-looking statements or information, whether as a result of new information, future events or otherwise, unless so required by applicable securities laws. The forward-looking statements or information contained in this news release are expressly qualified by this cautionary statement.
To view the source version of this press release, please visit https://www.newsfilecorp.com/release/246913
SOURCE: Vertiqal Studios
