Adaptive Semi-Annual Report Increases Revenue by 89% Year to Year
Aug 29, 2018, 07:51 ET
VANCOUVER, Wash., Aug. 29, 2018 /PRNewswire/ -- Adaptive Ad Systems Inc. (OTC: AATV), a company providing advertisement insertion services via its streaming media hardware and proprietary processing software as a complete turnkey system for the cable TV and Satellite advertising market, today publishes an update of the Company's performance during the first half of 2018.
The Company currently derives almost all revenue from Cable and Satellite TV advertising campaigns that it distributes over its network of Adaptive owned ad insertion and streaming media hardware and proprietary processing software. Adaptive's revenue is generated by three operating subsidiaries, Ad Systems Inc., Adaptive Media, Inc., and Adaptive Broadband, Inc., which are 100% owned by the Company and are reported under the consolidated Financial Statements of Adaptive Ad Systems Inc.
The first half of 2018 has been a continuation of Adaptive's efforts to expand its sales and marketing team, streamline content distribution over its "cloud based" central hub and further improve its technology offerings to accelerate installation of its head-end systems at its Tier 2 and Tier 3 cable and satellite network providers. This effort has resulted in an increase of the Company's subscriber base to nearly 1 Million, a crucial threshold to continue its expansion into the leading position in the industry sector.
J. Michael Heil, Chairman and CEO for Adaptive states: "We have previously discussed how our revenues are impacted by political advertising. Election years, both midterm and Presidential campaign years, typically generate higher revenues, based on greater ad spending in election years than during non-election years. Based on these patterns and the significant operational improvements that we have implemented during the last twelve (12) months, our revenue significantly increased during the first half of 2018 to $3,120,047 from $1,651,479 for the same period in 2017 and $1,905,951 in 2016. Revenues are expected to increase further during the remainder of 2018."
Adaptive's proprietary technology is primarily "cloud-based", which allows the Company to service thousands of locations in underserved markets of the Cable and Satellite TV sector from its central hub. Accordingly, the company has considerably lower operating expenses than traditional operations, resulting in significant net profits. For the six-month period ending June 2018, the Company's Net Profit before taxes increased substantially to $1,261,018 from $217,760 for the same period in 2017 and $624,121 in 2016. Furthermore, the Company accumulated a strong cash reserve of $1,648,413 at the end of June 2018.
About Adaptive Ad Systems Inc.
Adaptive Ad Systems Inc. (AATV) is a digital media and video communications streaming Company that together with its subsidiary manufacturers develops and deploys ad insertion and streaming media hardware and proprietary processing software for the cable TV, Satellite and IPTV advertising markets. Adaptive is focused on a "Niche" sector of 2nd and 3rd tier cable companies with Adaptive's technology overcoming the barriers that typically prevent the insertion of National and Local advertising products into those 2nd and 3rd tier locations. AATV exclusively sells and manages all available advertising in each market it has contracted, maintains technology ownership and has implemented a unique profit-sharing system with its clients. AATV also provides broadband and cable TV services in some niche markets. For additional information, please visit: AATV.co, or AATV on OTCMarkets.
Forward-Looking Statements
Any statements contained in this press release that do not describe historical facts constitute forward-looking statements. Forward-looking statements may include, without limitation, financial projections, statements regarding the plans and objectives of management for future operations, the development, regulatory approvals and commercialization of the Company's products, or any of the Company's proposed services, systems, services, partnerships or acquisitions. Such forward-looking statements are not meant to predict or guarantee actual results and performance and actual events or results may differ considerably. Factors that may cause actual results to differ materially from any projections may include, without limitation, the Company's inability to obtain additional financing, delays in the development of its products, the impact of significant new or changing government regulation on the industry, existing or increased competition, results of arbitration and litigation, stock volatility and illiquidity, and the Company's general failure to implement the Company's business plans or strategies. The Company assumes no obligation to update any forward-looking statements to reflect any change in events or circumstances that may arise after the date of this release.
SOURCE Adaptive Ad Systems Inc.