Viewbix Reports its Consolidated Financial Results for the First Half and the Second Quarter of 2023 with Revenues Totaling $48 Million for the First Half of 2023

Ramat Gan, Israel, Aug. 14, 2023 (GLOBE NEWSWIRE) -- Viewbix Inc. (OTC: VBIX) (“Viewbix” or the “Company”), a global developer of mar-tech and ad-tech innovative technologies, today announced its consolidated financial results for the first half and the second quarter of 2023, highlighted by $48 million in revenue for the first half of 2023.

Viewbix’s second quarter results of 2023 underscore the Company’s continued growth, demonstrated by an 18% increase in revenues as compared to its second quarter in 2022.

Amihay Hadad, Viewbix’s CEO, commented: “Our financial results are a tribute to Viewbix’s focused efforts in the ad-tech area, highlighted mainly by 18% revenue growth in the second quarter.”

Other key highlights for the first half and the second quarter of 2023 include:

	●	Revenues for the first half of 2023 reached $48,016 thousand as compared to $43,337 thousand for the same period last year. The increase of 10.8% in revenues was driven by $37,064 thousand from Viewbix’s digital content platform and $10,952 thousand from Viewbix’s search platform. In the second quarter of 2023, revenues amounted to $27,154 thousand, an increase of 18.5% as compared to the second quarter of 2022.
	●	Operating Income for the first half of 2023 was $174 thousand as compared to $980 thousand in the first half of 2022. In the second quarter of 2023, operating income amounted to $250 thousand as compared to operating income of $761 thousand in the second quarter of 2022.

The reasons for the decrease in operating income are mainly due to: (1) an increase in general and administrative expenses following the reorganization transaction with Gix Media Ltd. on September 19, 2022 in the amount of approximately $600 thousand in the first half of 2023 and $300 thousand in the second quarter of 2023, as compared to the same periods in 2023; (2) during the second quarter of 2023, there was a decrease in the operational profit of the digital content platform, which is mainly a result of an increase in the traffic-acquisition costs in relation to revenues, and an increase of selling and marketing expenses during the first half of 2023, mainly due to expenses incurred in connection with the increase in the content displayed in the digital content platform; and (3) the decrease in operational profit of the digital content platform was offset by an increase in the operational profit of the search platform, amounting to a total of $766 thousand in the first half of 2023, as compared to a total of $169 thousand in the corresponding half of the previous year.

EBITDA (Earnings Before Interest, Taxes, Depreciation, Amortizations) for the first half of 2023 amounted to $1,642 thousand as compared to $2,295 thousand for the corresponding period in 2022. For the second quarter of 2023, EBITDA amounted to $984 thousand as compared to $1,490 thousand for the corresponding period in 2022.

●

Net cash from operating activities for the first half of 2023 amounted to $1,015 thousand compared to $598 thousand in the first half of 2022.

First Half and Second Quarter 2023 Financial Highlights (Including EBITDA Reconciliation):

U.S. dollars in thousands		For the six months ended June 30												For the three months ended June 30
		2023				2022				%				2023				2022				%
Revenues			48,016				43,337				11	%			27,154				22,902				19	%
Operating income			174				980				(82	)%			250				761				(67	)%
EBITDA			1,642				2,295				(28	)%			984				1,490				(34	)%
Adjusted EBITDA			1,717				2,338				(27	)%			1,029				1,532				(33	)%
GAAP Net Income (loss)			(428	)			(101	)			324	%			(83	)			48				(273	)%
Non-GAAP Net Income			953				1,110				(14	)%			616				739				(17	)%
Net Cash from Operations			1,015				598				70	%			1,003				2,548				(61	)%

U.S. dollars in thousands		For the six months ended June 30								For the three months ended June 30
		2023				2022				2023				2022
GAAP Net Income (loss)			(428	)			(101	)			(83	)			48
Financial expenses, net			431				1,073				246				736
Taxes on income			171				8				87				(23	)
Depreciation and amortization			1,468				1,315				734				729
EBITDA			1,642				2,295				984				1,490
Other expenses			-				35				-				35
Share-based compensation expenses			75				8				45				7
Adjusted EBITDA			1,717				2,338				1,029				1,532
Financial expenses, net			(431	)			(1,073	)			(246	)			(736	)
Taxes on income			(171	)			(8	)			(87	)			23
Deferred tax income in connection with amortization of intangible assets			(162	)			(147	)			(80	)			(80	)
Non- GAAP Net Income			953				1,110				616				739

Use of Non-GAAP Measures

Viewbix’s financial statements are prepared in accordance with generally accepted accounting principles in the United States, or GAAP, and represent earnings as reported to the U.S. Securities and Exchange Commission (the “SEC”). Viewbix has provided in this release certain financial information that has not been prepared in accordance with GAAP. Viewbix’s management believes that the non-GAAP EBITDA described in the release, which includes adjustments for specific items that are generally not indicative of our core operations, provides additional information that is useful to investors in understanding Viewbix’s underlying performance, business and performance trends, and helps facilitate period-to-period comparisons and comparisons of its financial measures with other companies in Viewbix’s industry. However, the non-GAAP financial measures that Viewbix uses may differ from measures that other companies may use. Non-GAAP financial measures are not required to be uniformly applied, are not audited and should not be considered in isolation or as substitutes for results prepared in accordance with GAAP. Non-GAAP financial measures consist of GAAP financial measures adjusted to exclude share-based compensation expenses, acquisition related expenses, amortization of acquired intangible assets and the related taxes thereon. Adjusted Earnings Before Interest, Taxes, Depreciation and Amortization is defined as operating income excluding stock-based compensation expenses, depreciation, acquisition related items consisting of amortization of intangible assets, acquisition related expenses.

About Viewbix Inc.

Viewbix, through its subsidiaries Gix Media Ltd. and Cortex Media Group Ltd., operates in the field of digital advertising (together, the “Group”). The Group has two main activities: ad search and digital content. The search platform develops a variety of technological software solutions, that automate, optimize and monetize online campaigns, by acquiring and routing internet user traffic to its search engines. The digital content platform creates, edits and markets content, in various languages, to various target audiences, in order to generate revenues from advertisements displayed together with the content which are posted numerous digital content, marketing and advertising platforms (such as Google, Facebook, Yahoo and Apple), in order to attract internet user traffic for advertisers. Viewbix’s technological tools allow advertisers and website owners to earn more from their advertising campaigns and generate additional profits from their websites.

For more information about Viewbix, visit www.viewbix.com

Forward-Looking Statements

This press release contains forward-looking statements within the meaning of the “safe harbor” provisions of the Private Securities Litigation Reform Act of 1995 and other Federal securities laws. Words such as “expects,” “anticipates,” “intends,” “plans,” “believes,” “seeks,” “estimates” and similar expressions or variations of such words are intended to identify forward-looking statements. Because such statements deal with future events and are based on Viewbix’s current expectations, they are subject to various risks and uncertainties, and actual results, performance or achievements could differ materially from those described in or implied by the statements in this press release. For example, the Company is using forward-looking statements when stating that certain identified continual profitability trend in the search platform may lead to positive and sustained results in future fiscal quarters.

The forward-looking statements contained or implied in this press release are subject to other risks and uncertainties, including those discussed in any filings with the SEC. Except as otherwise required by law, Viewbix undertakes no obligation to publicly release any revisions to these forward-looking statements to reflect events or circumstances after the date hereof or to reflect the occurrence of unanticipated events. References and links to websites have been provided as a convenience, and the information contained on such websites is not incorporated by reference into this press release. Viewbix is not responsible for the contents of third-party websites.

INVESTOR RELATIONS CONTACTS:

Michal Efraty
Investor Relations
[phone]
[e-mail]

VIEWBIX INC.
INTERIM CONDENSED CONSOLIDATED BALANCE SHEETS (Unaudited)

U.S. dollars in thousands (except share data)

		As of June 30				As of December 31
		2023				2022
ASSETS
CURRENT ASSETS
Cash and cash equivalents			3,304				4,196
Restricted deposits			182				185
Accounts receivable			18,415				20,945
Loan to parent company			3,689				3,542
Other current assets			693				973
Total current assets			26,283				29,841
NON-CURRENT ASSETS
Severance pay funds			-				52
Deferred taxes			211				340
Property and equipment, net			272				302
Operating lease right-of-use asset			442				486
Intangible assets, net			13,885				15,313
Goodwill			17,361				17,361
Total non-current assets			32,171				33,854
Total assets			58,454				63,695

VIEWBIX INC.
INTERIM CONDENSED CONSOLIDATED BALANCE SHEETS (Unaudited) (Cont.)

U.S. dollars in thousands (except share data)

		As of June 30				As of December 31
		2023				2022
LIABILITIES AND SHAREHOLDERS’ EQUITY
CURRENT LIABILITIES
Accounts payable			17,345				19,782
Short-term loans			6,000				5,069
Current maturities of long-term loans			1,879				1,500
Other payables			1,285				2,084
Operating lease liabilities - short term			83				87
Total current liabilities			26,592				28,522
NON-CURRENT LIABILITIES
Accrued severance pay			-				152
Long-term loans, net of current maturities			3,128				2,881
Operating lease liabilities - long term			334				388
Deferred taxes			1,632				1,853
Total non-current liabilities			5,094				5,274
Commitments and Contingencies
SHAREHOLDERS’ EQUITY
Common stock of $0.0001 par value - Authorized: 490,000,000 shares; Issued and outstanding: 14,895,075 and 14,783,964 shares as of June 30, 2023 and December 31, 2022, respectively.			3				3
Additional paid-in capital			25,417				25,350
Accumulated deficit			(3,859	)			(3,338	)
Equity attributed to shareholders of Viewbix Inc.			21,561				22,015
Non-controlling interests			5,207				7,884
Total equity			26,768				29,899
Total liabilities and shareholders’ equity			58,454				63,695

VIEWBIX INC.
INTERIM CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (Unaudited)

U.S. dollars in thousands (except share data)

		For the six months ended June 30,								For the three months ended June 30,
		2023				2022				2023				2022
Revenues			48,016				43,337				27,154				22,902
Costs and Expenses:
Traffic-acquisition and related costs			42,031				37,265				24,050				19,650
Research and development			1,513				1,641				717				793
Selling and marketing			1,438				1,225				715				605
General and administrative			1,392				876				688				329
Depreciation and amortization			1,468				1,315				734				729
Other expenses			-				35				-				35
Operating income			174				980				250				761
Financial expense, net			431				1,073				246				736
Income (loss) before income taxes			(257	)			(93	)			4				25
Income tax expense (benefit)			171				8				87				(23	)
Net income (loss)			(428	)			(101	)			(83	)			48
Less: net income attributable to non-controlling interests			93				430				41				311
Net loss attributable to shareholders of Viewbix Inc.			(521	)			(531	)			(124	)			(263	)
Net income per share – Basic attributed to shareholders:			(0.04	)			(0.04	)			(0.01	)			(0.02	)
Net income per share – Diluted attributed to shareholders:			(0.04	)			(0.04	)			(0.01	)			(0.02	)
Weighted average number of shares – Basic:			14,810,974				14,783,964	(*)			14,837,688				14,783,964	(*)
Weighted average number of shares – Diluted:			15,071,640				15,044,630	(*)			15,098,354				15,044,630	(*)

(*)	Share and per share data in these financial statements have been retrospectively adjusted to reflect a number of shares that is equivalent to the number of shares of the Company post the Reorganization Transaction.

Source: Viewbix Inc.

2023 GlobeNewswire, Inc., source Press Releases