$KIDZ Reports $1.67M In Q1 Revenue And Expects Record Revenues In 2023 To Surpass $15M Set In 2022

Kidoz $KIDZ $KDOZF owns the biggest mobile advertising platform for kids and families. How big? There are almost 4,000 apps around the world using Kidoz reaching over 400 MILLION kids As a result $KIDZ is the market leader as the premier provider of safe contextual mobile advertising for kids, which can be seen with these top brands on the $KIDZ network: Disney McDonald’s Hasbro Lego Trusted Partner of Apple & Google TRACK RECORD OF RECORD REVENUE GROWTH SINCE 2017 Make no mistake about it $KIDZ is no flash in the pan. The Company has continually delivered record revenues as follows: 2017 $1.9M 2018 $3M 2019 $4.5M 2020 $7.1M 2021 $12.4M + 74% $USD 15,000,000 RECORD REVENUE IN 2022 - DESPITE GLOBAL AD SLOWDOWN These record revenues would be an incredible result in any given year … but in 2022 $KIDZ performance was exceptional given the fact it bucked the trend in a year where the likes of Google, Meta, Snap and Warner Bros Discovery shares fall as ad woes weigh. In addition to the record revenues $KIDZ also delivered record performance in these metrics: 2.1B Paid Impressions 1.14B Video Views 650M Rich Media Ads KIDOZ WENT ON THE OFFENSE LAST YEAR WHEN BIGGEST AD PLATFORMS LIKE GOOGLE AND FACEBOOK PLAYED DEFENSE The record revenues put up by $KIDZ only tell half the story about how strong the Company really is. Specifically, in a year that saw dramatic spending reductions and massive layoffs by the biggest digital advertising companies, $KIDZ actually spent a record $1.5M on the following: Sales & Marketing Technology Development Said another way, $KIDZ went on the offence in 2022 when every other company played defense … and that translated not only into record revenues but (potentially more important) the development and launch of its mobile in-app platform Prado. What is Prado and why is it potentially the most important $KIDZ development of 2022? Glad you asked. KIDOZ INTRODUCES PRADO: MOBILE IN-APP TECHNOLOGY THAT REACHES OVER 1 BILLION MONTHLY ACTIVE USERS Prado is a cutting-edge mobile advertising platform, developed by Kidoz, that can access hundreds of thousands of the world's most famous apps and reach over a billion monthly active users. Kidoz software engineers have now completed the challenging transformation of their market leading kid safe Ad Network to also reach the significantly larger digital ad market of teens, families, and audiences over 13 years old whilst not compromising the safety of our existing kids marketplace. 4 MAJOR CATALYSTS PAINT A BRIGHT FUTURE OF GROWTH FOR $KIDZ After such great revenue growth from 2017 - 2022 could this be the peak for $KIDZ? Absolutely not according to $KIDZ CEO Jason Williams who points to these 4 major growth catalysts: 1. BILLIONS OF $$ STILL MIGRATING FROM TV TO DIGITAL Traditional television has already lost ~ 50% of its kids audience, who are transitioning to digital via videos and gaming. That trend is only expected to continue as traditional TV simply fails to keep up with the power and variety of digital media for kids. As such, logic dictates that kids brands are migrating and will continue to migrate over to digital - which $KIDZ states equates to multi-billions of dollars. As the owner of the biggest mobile advertising platform for kids and families, with almost 4,000 apps around the world using Kidoz, $KIDZ will be a natural beneficiary of this shift. 2. KIDS DIGITAL ADVERTISING MARKET GROWING RAPIDLY TO 2031 The market for kids digital advertising grew to over $US 3.54 Billion in 2022. More importantly however, as the fastest growing segment Between 2021-2031, it is expected to increase at a compound annual growth rate (CAGR) of roughly 22% to reach $US 21 Billion 3. BILLIONS … BILLIONS … IN GOVERNMENT FINES FOR VIOLATING KIDS PRIVACY Ever since the Facebook / Cambridge Analytica scandal of 2016 in which it was discovered that data harvested from millions of people's Facebook accounts was sold without their consent, governments around the world have come down hard on platforms and ad networks to protect private data and how kids are targeted - and the fines have been HEAVY: $520,000,000 FTC fines Fortnite maker Epic Games $520M over children’s privacy $400,000,000 Meta (Facebook) Fined $400 Million For Failing To Protect Kids' Privacy On Instagram $170,000,000 Google and YouTube Were Ordered To Pay Record $170 Million for Alleged Violations of Children’s Privacy Law because the FTC and New York Attorney General alleged YouTube channels collected kids’ personal information without parental consent $29,000,000 TikTok Faces a $29 Million Fine for Violating Children’s Privacy As the market leader and the premier provider of safe contextual mobile advertising for kids that is already working with some of the biggest brands on the planet, $KIDZ should be a natural beneficiary of brands looking to avoid these kinds of mega fines by delivering fully compliant ad campaigns. 4. MARKET CONSOLIDATION Is $KIDZ a potential takeover target? $KIDZ continues to build its core business but can not ignore the fact that its main competitor (SuperAwesome) bought by Epic Games In 2020 for undisclosed … which was whispered to be $US 300,000,000. The company just released Q1-23 results with $1.67M in revenue. Although this is down from Q1-22, the company still believes that total 2023 revenue will exceed $15 Million. What did Jason Williams, CEO of Kidoz have to say? "Unfortunately, weakness in the wider advertising market was experienced by Kidoz during Q1 2023. While this decline was expected and we can see this weakness is isolated to only the first quarter of the year, our performance has suffered as a result. The good news for the quarter is that our programmatic revenues are rising, our cash flow from operations was almost neutral and our gross margins showed improvement increasing to 40% from 36% in Q1 2022." Williams continued… "More important than the temporary revenue decline during the slowest quarter of the year is the Company's continued trajectory in building a leading technology platform and establishing strong commercial relationships with the world's leading brands. Now sit back relax and watch this powerful interview with Jason Williams, CEO of Kidoz.