Zedge, Inc. (NYSE American: ZDGE), a provider of digital publishing services, has reported a 15% increase in first-quarter 2023 revenues, but the company’s bottom line slipped into the negative territory amid an increase in operating expenses.
Total revenues increased 15% year-over-year to $6.9 million in the first quarter of 2023. At 31.9 million, the number of monthly active users was down 6.7% during the three-month period.
The company reported a comprehensive loss of $0.43 million or $0.01 per share for the October quarter, on an adjusted basis, compared to a profit of $2.2 million or $0.14 per share in the prior-year period.
Read management/analysts’ comments on quarterly results
“The biggest divergence resulted from some advertisers optimizing user acquisition campaigns against different attributes resulting in lower spending in the Zedge App. The good news on that front is that spending by these advertisers improved by the end of the quarter,” said Jonathan Reich, chief executive officer of Zedge.