Adcore Inc. ($ADCO)

All right. Good morning, everyone, and thank you for joining us. Earlier today, Adcore released its Q1 2026 financial results. Today, we will be walking you through these results and providing you with an update on the ongoing company initiatives. You might see some familiar faces here on the call today. I'm Martijn Van den Bemd, Chief Partnership Officer, for the company and overseeing Investor Relations. With me today is Omri Brill, the Adcore's CEO and Founder. We also have Amit Konforty, Adcore's CFO on the call. The agenda for today. Before we begin, we go over some forward-looking statements you should be aware of while listening to the call. And then we follow that with some CEO opening remarks and the CFO financial highlights. Finally, we'll conclude with Q&A. [Operator Instructions] All right. Before we begin, I will give everyone a quick moment to review these statements. Please bear in mind when listening to the call today that the management team might -- may use some forward-looking statements which are inherently uncertain in nature. I give everyone a couple of seconds to go over. All right. Very good. And with that, I would like to pass the floor to Omri for some CEO opening remarks. Omri, the floor is yours.

Thank you very much, Martijn, and good morning, everyone. Martijn, can you stop sharing, please? So before I'm going to start my opening remarks, I want to say, again, it's our pleasure to discuss today the company results -- financial results for Q1 2026. Actually, both myself and Martijn are now in Toronto, Canada, right? So not in every day, we have a chance to do the earnings call directly from where we are listed. So it's an exciting opportunity for us to discuss it from Toronto, from Canada. Obviously, after this call, we have a full agenda lineup for us, right? Martijn, we're going to meet with our team in Canada. We're going to meet with clients. We're going to showcase them like some of the exciting stuff that we've been working on. So again, it's our pleasure to be here today in Toronto and discuss the company Q1 2026 results. Let me start by sharing my screen. Very good. So a very strong start of 2026, I would say, revenue up 22% year-on-year. APAC revenue growing 42%. So the same, I would say, momentum that actually we saw in the end of 2025 in Q4 2025 carried well into 2026 as well. And this is -- makes us very positive about what is still ahead of us for the entire 2026 year. And to be honest, even if you're going to talk like U.S. dollar because there were some influence of exchange rate during this quarter, then the results are even more dramatic, almost 27% year-on-year increase top line revenue, if we talk in USD. And gross profit, for example, 6% up USD compared to almost flat in Canadian dollar or maybe 1% up in Canadian dollar. So quarterly results, CAD 8.5 million, very strong quarter for us compared to CAD 7 million in the previous year, 22% increase year-on-year in Canadian dollar, 27% increase year-on-year USD, and gross profit, again, $3.1 million up 1% compared to the same period last year or 6% actually USD compared to the same period last year. If you look at quality growth KPIs, then again, gross profit $3.1 million, 1% up. Cash and cash equivalents, $5.1 million. We saw a decline compared to Q4, but I would say it's mainly seasonality decline. A lot of the, I would say, spend and campaigns that were happening in Q4 2026 (sic) [ 2025 ] and money was flowing like during this quarter actually was paid during Q1 2026, and that's reflected in the numbers. When you look at, let's say, and Amit is going to cover it in more detail, working capital, then obviously, you're not going to see such a sharp decline. So -- and that's a good indicator that basically, there's nothing dramatic happened. It's just, I would say, seasonality cash flow between the quarter. So just to wrap up some of the highlights we cover most of them, I guess, top line revenue, CAD 8.5 million, a 22% year-on-year increase, big numbers, big growth. Gross profit, $3.1 million, 1% year-on-year increase. APAC continued to saw very strong momentum, 42% year-on-year growth. That, I would say, the fastest-growing market for us to date. EMEA almost, I would say, flattened. And actually, North America down 7%, but actually for us, it's a positive signal because we see North America is flattening. We did saw some softness in this important market in 2025, and the company now believes that this softness is more or less ended. And actually, we expected to see this market going to positive growing trend in 2026, as the year unfold. So I would say Amit will cover the results in more detail. So I would keep some of the outlook to Amit to cover. But what actually I would like to discuss now is new technology, we're developing a new technology in the company is building. And basically, we are very excited about, and I want to show both of them in action, so you have better understanding what is under the road, what type of AI innovation technology the company is building. So Proposaly, obviously, we've been talking about Proposaly during also the last earnings calls, but I think like this is a major change or shift in the product was promising. So Proposaly started, I would say, document platform or sales document platform. So -- and the promise was quote to revenue. So basically, we're going to generate a very nice looking quote for you. You can share it with your client. You're going to close more deals for you and basically generate in the end of the day more revenue. But in the end of the day, the platform works, like manual platform, you need to still manually generate the quote and send it to your clients. But now what Proposaly is becoming, I would say, it's a full agentic platform and actually covering a much bigger, I would say, promise of the sales funnel. So imagine sales funnels that run themselves. And basically, with the new Proposaly, this type of imagination would be the reality. We're going to have AI agents closing every deal from lead to revenue. And basically, that's going to be the new reality of Proposaly. So no longer quote to revenue. We are expanded to lead to revenue platform, but I would think the most important thing is that everything will be done agentically by AI agent. And when we talk agentically, we talk about 4 different agents. We have Inbound Agent. That's an agent that sit or live in the client's website. Basically, every time a visitor coming to the client website, they can start interacting with this agent. And the agent goal is either to convert them to lead, or even basically create and send like personalized quote to them. And that's a big promise. This agent is already live. It's already shipped and it's already working, and I will give you a presentation soon. The second agent in the pipeline is Outreach Agent. So imagine the Inbound Agent already converted the client into a lead, but this lead got called. So the Outreach Agent is now going to take in charge and basically try to convert or warm again this lead and basically make sure that he's warm enough to send him a quote, and basically start this process of converting him. And then we have the third agent, so it's the Deal Agent. So once the quote is generated, this is when the Deal Agent is going to start taking command. And basically, his role is very simple, yet important, making sure that this deal is converted. So basically, it's no longer a quote, it's becoming a revenue. And basically, the client signed the deal, closed the deal, paid for the deal. So that's the Deal Agent responsibility. And last but not least, and is the Customer Agent. So the customer agent is going to be -- take command once the deal is already closed. So it's role is going to be making sure the customer is happy, satisfied that he's going to offer cross-sell and upsell opportunities for the client. So between these 4 agents, we are talking a complete agentic sales funnel, from lead to revenue. Inbound Agents, sit on the client website; Outreach Agent, outreaching, call leads and make sure that they are warm again; Deal Agent, make sure that the deal is closed; and Customer Agent, make sure the customer is happy and we can upsell and cross-sell them as well. That's a big promise and basically the solve a lot, I would say, of the issues of most businesses on planet earth. And I want to show you a live example how everything is working. Okay. So we are on a demo website of pest control company from Phoenix, Arizona. Action, that's a real company. And basically, what we did, we just like put a demo agent on the website, the Inbound Agent. I'm going to now interact with them, asking questions about the services they are offering and everything is going to be done in real time. So basically, this is not going to be like it's not like a prerecorded demo or anything like that. What's going on right now, it's going to start speaking with this agent. So basically, that's look to you like maybe like a normal chat, but I would say now I can switch to voice mode as well. [Presentation]

Hey, good morning.

What's going on with pests on your place?

A lot of going on to be honest.

Got it. Sounds like a busy situation. What pests are you seeing most right now? Ants, termites, roaches or rodents?

We have ant issue.

Got it. An ant problem. Are you looking for a onetime ant treatment or ongoing monthly ant protection to keep them from coming back?

I don't know, it depends. How much is each?

For ants, a onetime treatment is typically around $149, and ongoing monthly service is typically around $49 a month. I can send you the details for the onetime ant treatment or the monthly ant protection. Want me to send one of them?

Yes. I think let's start with the one-off and take it from there.

Perfect. I just need a couple of quick details and I'll send it right over.

Okay. So that was a real conversation I did with this agent, right? Everything was voice. He gave me like a good answer. Everything it got, all the information about the specific tool, treatment that he have with ants for control. In the end of the day, this bot just generated a custom quote for me. So I can click on the quote it just generate for me and look at the price quote itself. So that the quote, like he said, it was $149. We have add-on options. So I can add, let's say, $49 and add like multi-pest treatment as well. So maybe I have cockroaches or other issues in my home. So you see the price quote already changed to from $149 to $199. I can click continue -- it ask me if I want to add a tip, obviously, so I can already pay or add a service charge within the app itself. And final step going to be going to payment. So everything is done from the app. The bot basically in real time generated a real price quote for me, and that's a big promise. And whether it's going to be the lead itself or whether it's going to be the actual -- like sending the actual payment, then basically, all of that's done now in real time with the bot, with the AI agent. And you can chat with them, you can speak with them like you're speaking with a human being. It's a very promising, I would say, offering. Now -- so that's -- sorry, that's one, I would say, new feature or it's not just a feature. That's the future of Proposaly what you just see, and it's a big promising future. Proposaly is going fully agentic. We are turning from here, I would say, document flow type of platform for fully agentic sales funnel platform, everything from lead to revenue and beyond. So that's a big promise, and that's already in motion. Inbound Agent already live, as we speak, Outreach Agent already in process. We are building it as we speak. Deal Agent should be ready by the end of this quarter. So we're talking about 1.5 months from now. And Customer Agent will be followed as well. So big promise with regards to this, I would say, agent and direction of Proposaly. So I want to cover another app. I know we mentioned maybe the AI Studio app before, but you never saw it in action. I want to now reveal how it looked like and what basically you can do with the AI Studio app. So the promise with the AI Studio app is design like a pro without being one. And you can see like I don't know how familiar you are with online marketing, but I would say the single biggest roadblock to nowadays in online marketing, I would say, it's ad creative. So that's the most important like, I would say, part with any campaign and especially with rich type of ad creative, whether it's banners, whether it's UGC video, whether it's commercial video, all of this type of video now taking a long time to produce a bottleneck. You need to have like a dedicated studio for it. It takes time. It's not something that the online marketer usually can do itself. And basically, it's a real pain and a real bottleneck for, I would say, most businesses on planet earth as well. And AI studio was designed and built to solve this problem. So let me share my screen again with regards to the AI Studio app. One second. Okay. So basically, I want to cover a few type of assets you can create with the app. The first type of assets that we're going to create is banner. So every asset starts with a simple brief, right? Now this is a real example of a real client of us in Canada, HockeyStickMan, they're selling hockey gears online. And basically, so we give them the brand, you can pre-enter the brand, putting the brand book, its logo and everything into the platform. So the platform will know this specific brand already. Given the campaign brief, you know what we're trying to sell. This is site going for a specific product, so I can check and upload the product images as well. And I will select what type of assets I want to create, whether it's banner and image and clip, UGC video, commercial video. So once I selected, let's say, in this specific example, banner, next will be to select a copy. So using AI, the system already pre-generated a copy for me. I can select a specific copy, I can customize it if needed. I can select a short copy, I can select a longer copy, for example. It doesn't matter. So once I'm happy with the copy, next will be -- the system will give me some kind of banner design directions. So give me like multiple directions. We have this -- like with the person. This is just the gear in the front. Again, like multiple design direction, and I have like 8 different design concept I can choose from. So I can generate more if I need it, if I'm not happy. But let's say, in this specific example, we selected this specific design. This is a concept that we are happy with. And basically, we continue to production. In the production stage, I can select which channel I would like to generate the assets to. So each channel come with all set of, let's say, sizes for the banners. And basically, in this example, I selected Meta, and it's generated like 4 sizes for me. And you can see like this specific example. This is more landscape type of banner, for example. Just one second. And everything was done by AI. So all this resizing was done from the concept banner by AI. There was zero human intervention. This is like a landscape banner, and this is like a more square banner, for example. So again, this is like real life, the real banners that the system is built and everything done with, I would say, a few clicks. So from start to finish. If you remember, I started the campaign, giving a brief, upload some product images, then selected the copy for the banner, and give you like a few design options. I selected one design option. And then, I say, I selected I want to generate now 4 sizes for Meta, generated done. It's everything, I would say, from a to z, that maybe a couple of minutes, max, and that's it. And if the same process would need to be done manually, let's say, by a creative designer, that can be hours of work, like doing everything, choosing the right copy, gives a few concept direction for the banner, just creating the sizes, it's a lot of work by itself. And everything is done now with the platform that's nothing short than amazing. So this is one type of video or asset I would like to show you. Another type is very similar in concept, but it's a UGC video. So again, we start with the brief. This is for another client of ours. It's Tiny Love, they're creating amazing baby toys. So once we created it, it give us a script of the video, so we can select what type of like -- what is the story? What you want to say, basically. And then next is cast. So the AI offering us 4 different, I would say, people or personnel, like young mom in this example, to do the UGC, so I can select what is best working for me. Obviously, you have the full context of the brief. So we understand where I'm locating, whether I'm in the U.S. or you know like in other countries. So obviously, the people would be reflecting like the local people that are in this specific country. And then once I select like, okay, I'm going to go like this is the script that I want the person to say, this is like how the person should look like. And then I'm basically creating this video and let's run it and see it ourselves, that was created by the AI. [Presentation]

Okay. That's nothing short than amazing. And this is a real product. So we upload this specific product. So this product is lived within the video, the person basically saying exactly the script we wanted to say. We created a very authentic look type of UGC video and the entire process again, seconds. So that's like -- and imagine you have like, I don't know, 20 products, 50 products, 500 products. It doesn't matter. But for all of them, the system can create this type of UGC video in minutes, I would say. Final example I would like to give is actually what we call commercial type video, right? So again, started very similar with a brief. Again, HockeyStickMan, I uploaded the stick that I would like to promote. It's called Pro Blackout and it's now on sale. It's more than 50% off. And I selected I want to do a TV type commercial. Again, the system pre-generated to me like a different script and voice over, I can say, so I can select one, let's say, one story I would like to go for the commercial. And I have 8 different type of, let's say, commercial I can create, commercial types. It can be more of testimonials, can be other stories, like I can select from different, let's say, a different angle or direction. And then once I created the, let's say, -- now I need to generate it. I can generate it landscape vertical, it doesn't matter. And let's see the commercial the AI generated for us. [Presentation]

Cool. So again, this was generated by AI, look like million, look like commercial, we can now ship to TV, and whatever we need to do with it. And again, we control everything, control the script, we control the end count, the message, everything that needs to be said. And this is like, I gave you now 3 examples what can be generated with this app. So if you need banners, if you need UGC video, if you need commercial grade, I would say, TV grade commercial, all of that can be done now with this app. I never saw something like this. That's probably the best, I would say, AI Studio app out there nowadays. Correct me if I'm wrong, but did you see anything better than this one?

It's very unique. I'm very thrilled about it.

Me too. Me too. So that makes the two of us. So, and go back to my presentation. So that concluded my session. So I know we covered some of the highlights of this quarter. Equally important, we covered some very exciting stuff we can do now with AI, whether it's Proposaly becoming fully agentic platform covering lead to revenue life cycles for most businesses on planet earth. This is a massive, massive opportunity. And AI studio, we can do magic now using this app and solve a big problem, a big gap in the market as well. So my final remark is going to be on the share price. Again, we covered it in every, I would say, earnings call, $0.25 that's as of May 8. we've seen a very big upside. If we talk in EV to gross profit, almost 600%. If we talk in EV to EBITDA, then a 13% upside. But again, I think like shareholders should see Adcore as a different company right now as an AI company. And I think what we've been demonstrating to you today, it's the future of Adcore. So hopefully, you are excited as we are about this future and what it can bring to the company, what it can bring to potential client base, and what type of problems we are solving in the market today using AI. Thank you all very much.

Thank you, Omri. Very exciting stuff happening, and I appreciate you showing this to the audience today. With that, I want to hand it over to Amit Konforty, CFO of the company, for some financial highlights.

Thank you, Martijn, and good morning, everyone. Before beginning the financial overview, I would like to remind you that the following discussion will include GAAP financial measures as well as non-GAAP results. All amounts will be presented in Canadian dollars. The first quarter of 2026 showed a strong start to the year with a strong revenue growth. The results reflect continued business momentum and ongoing efforts to improve the company's market position and client relationships. Let's review in more detail. For the 3 months ended March 31, 2026, we delivered revenue of $8.5 million compared to $7 million in the same period of 2025, an increase of $1.5 million or 22%. Gross profit for the 3 months ended March 31, 2026 was $3.1 million compared to $3.1 million in the prior year, relatively stable year-over-year. Gross margins for the 3 months ended March 31, 2026, were 37% compared to 44% in the same period last year. The decrease in margins is mainly driven by changes in client mix. As for operational expenses, R&D expenses for the quarter were $0.4 million compared to $0.6 million in the prior year. The decrease in expenses is mainly due to increased capitalization of development costs. SG&A expenses for the quarter were $3.4 million compared to $2.8 million in the prior year, an increase of $0.6 million or 22%. The increase was mainly driven by payroll-related expenses and was partially impacted by foreign exchange rate fluctuations. Operating loss for the 3 months ended March 31, 2026, was $0.7 million compared to $0.3 million in the same period last year. Net loss for the 3 months ended March 31, 2026, was $0.8 million compared to $0.2 million in the same period last year, an increase of $0.6 million. Revenues and gross profit. Looking at the quarterly results, we can see a strong year-over-year revenue growth. This continues the positive trend from the end of 2025 as shown in the full year results to the right. Gross profit remained relatively stable compared to the same period last year, and gross margin levels were impacted by changes in client mix, and we expect margin to improve and stabilize as the year progresses. As for the geographical revenue breakdown for Q1 2026, APAC revenue saw a very strong year-over-year increase of 42%. This increase was primarily driven by increased activity from existing clients and the acquisition of new clients. EMEA and North America revenue decreased by 2% and 7% year-over-year, respectively. The results were mainly impacted by changes in client media budgets and foreign exchange rate fluctuations. In terms of financial position, we had cash and cash equivalents of $5.1 million as of March 31, 2026, compared to $10.3 million at December 31, 2025. Total working capital amounted to $4.2 million compared to $5.1 million at December 31, 2025, a decrease of $0.9 million or 18%. As for the liability side of the financial position, we can see that the company is still debt free. Adjusted EBITDA. The quarterly non-GAAP results reflect adjustments for the following items: depreciation and amortization, share-based payments, and other nonoperational items. For the 3 months ended March 31, 2026, adjusted EBITDA was negative $265,000 compared to positive $208,000 for the same period in 2025. The decrease in adjusted EBITDA was mainly driven by the increase in operating loss. With that, I will turn the call back to Martijn.

Thank you so much, Amit. With that, we would like to move on to the Q&A portion. I will have a couple of questions that came in. First question is for you, Omri. North America declined 7%, but you're seeing stabilization signals. What specific actions are underway to turn that into positive growth this year?

Fair enough. So yes, we are happy with the direction that this important market is going. We believe it is stabilizing actually, and we are expecting to see like returning back to positive growth trend as the year unfold. I mean there's a lot of focus now that we are putting on this market, whether it's Proposaly related, there's going to be the biggest market for us when we're going to go full on marketing with Proposaly. And again, a lot of initiatives that you are -- yourself involved with regards to partnership as well. You and I just came back from a very successful event, TikTok invest in New York City. So again, this market is on the radar. We understand the policy. We understand what it can bring to a company like Adcore, and you're going to see great things coming from this market in 2026 and beyond.

Great, Omri. And I echo that, a lot of opportunities on both partnership front and AI capabilities in our tech stack. The following question, I think, is a bit more financial in nature, so maybe for Amit to answer. Constant currency growth was closer to 27%. Are you considering hedging strategies so reported results better reflect the underlying operational momentum?

Thanks, Martijn. So basically, the company has experience with hedging, which is not that good. We are trying as much as we can to align the revenue with the expenses for each of the different currencies that we work in. And let's say that the Israeli shekel is strengthening against the U.S. dollar, then we take the proactive measures to reduce the expenses and to increase revenues in Israeli shekel in order to reduce as much as possible the exchange rate impact on this.

Yes. I can echo what Amit said. Basically, we tried before to hedge. It didn't really work because you don't really control the direction the currency is going. We believe that, a, the company is quite diverse, right? We have revenue and expenses in multiple currency, whether it's AUD, Israeli shekel, USD, Canadian dollar, Hong Kong dollars and others. So basically, we are very much diverse. The key thing for us, I would say, is making sure that we -- if we have expenses in Israeli shekels, then we need to have income in Israeli shekel as well covering it. So that's the best edge, I would say, that we can take.

Thank you both. The next question is about R&D spending, which came down 24% year-over-year. Is that sustainable? While you're simultaneously investing in Proposaly and AI Studio?

Actually, it's a fairly interesting question. I would say a few things, a, shareholders need to bear in mind that we are capitalizing most of the R&D expenses. Having said that, we also have past, I would say, products that we capitalize like the Amphy, that we already now need to acknowledge them. So basically, at the end of the day, this is more or less flatting the R&D expense. Some is capitalized, some we need to show already. I do think that what changed a lot is AI coding, right? So what we can do now using AI, I would say, each developer can develop [ X3, X5 ] more code, faster code than if we need even to compare it to 1 year ago. So I think like for the long run, with the same amount of developers or even sometimes even less, we can do much more. We can build much more sophisticated technology. So I think like in that two front, I would say, things are looking very positive for software development. So it means we don't need to increase cost so much, but we can definitely increase productivity and what we can ship and deliver.

That makes sense. Another question on the trade payables. They dropped from CAD 8.4 million to CAD 4.8 million, consistent with your seasonal media disbursement explanation. Does the predictability of this holiday cycle give you better cash flow visibility going forward?

Amit, do you want to take this one?

Yes, definitely. Yes. So in the advertising business, we see this seasonality of Q4, which is very high in activity, which usually the payments for the Q4 expenses are done in Q1. So we are very aware of this cycle. And we expect it to be also forward in later year, the same. So I think it is predictable.

Yes, I think like a typical year for us, we're starting like, I would say, losing cash a bit because of seasonality. And as the year unfolds, we regain this cash. So we are -- continue to be positive about what we can do in 2026. And again, this is part of the normal course of, I would say, the business seasonality.

Great. Thank you both. Another question that just came in on the financial side is, could you provide commentary about EBITDA growth trajectory in the rest of the year? Do we expect EBITDA to improve on a year-on-year basis moving forward instead of declining?

So maybe I take that. I would say the short answer is yes, EBITDA should be positive for 2026. Again, Q1, it's, I would say, a difficult quarter industry remarks. Like there's a lot going on. There's a lot of expenses that are related to Q4 that actually happening in Q1, so that's already part in the equation. I would say -- and again, the EBITDA was more or less flatter. So I think like if we look at early, definitely, we should be able to showcase positive EBITDA here as usual, I would say.

I'm going to move on to a couple of questions that came in on the AI products and outlook on the product development. First around Proposaly, the Inbound Agent is in production, and the AI Studio is getting strong better feedback. Can you share any early quantifiable metrics such as users, pipeline influence, conversion rates, just to help investors size the opportunity?

Okay. I would say the following. It's a bit too early to share these type of metrics with the shareholders, but I would say in terms of, let's say, the size of our opportunity is big as it can get. Like, if we're talking Proposaly and basically, it solve like the issues that most of businesses in planet earth are basically struggling with, which is basically sales. So every business that starts with lead and basically need to turn this lead into revenue. And again, this is most of the businesses in planet earth, whether it's own services, like the pest control, ACTION company that we show from Arizona, whether it's, I don't know, like in a college, for example, that basically want to recruit new students to start like the next year with them, whether it's a company, a tech company or services company like Adcore that serve clients for digital marketing or offering software, to clients. All of these companies started their sales journey with a lead and basically need to convert this lead into revenue and basically they need a tool like Proposaly and agentic tool to help them do achieve exactly that. So we're talking about billion of billion and billion of market share, and this is like the potential is, I would say, unlimited. So just -- this is just Proposaly. And if you're talking AI Studio, then again, like online marketing, it's a massive business. We're talking hundreds of billions of dollars every year going to online marketing. And like I said, the single biggest bottleneck nowadays in online marketing, it's digital assets. It's the videos, it's the [ palette. ] It's everything that you need to create. So we are tackling or solving the biggest problem nowadays in online marketing, and that show you the potential of a AI studio have to have. And like I said, we are getting like -- the feedback that we are getting from early user is like, wow, like we couldn't believe like where are you guys like, I don't know, a year ago or even 6 months ago. And that's exactly what keeps us so excited about the solution we are building and why we continue working so hard, like building it, improving it and making sure that we are the best out there, which we are currently.

That's great. Yes. And that's a great testament to how fast AI is developing and how Adcore is able to adapt and leverage that. Given the time, we have room for 1 or 2 more questions, and then I want to add to the closing remarks. One more question around the product stack. How are you thinking about cross-selling these new AI products into your existing marketing client base?

It's a good question, I would say. And I wouldn't think that people would be surprised from my answer, but the sales phone calls that we are doing is for existing clients, right? So if we launch AI Studio, the first phone calls were to existing clients, hey, we have something amazing to show you guys. And we want you guys to test it, to try it, to see, to give us your feedback. So I think like existing client are the best type of clients we can like, work with when we launch new product, whether it's Proposaly, whether it's AI Studio. So trust me, these are almost and always going to be the first phone calls that we're going to make when we launch something new. You can trust on it.

Thank you, Omri. And the last question for today. Is Proposaly strategically planning to position itself more aggressively into the growing high-ticket sales market?

That's actually an interesting question or remark, and I would say the following. I'll answer this question with the story. When we initially thought about Proposaly, and it was just an idea, that sit and they draw of nice things to do start-ups to build, that basically the ICP that we were thinking about was home services, small businesses. And there's plenty of them on planet earth. If you're talking in U.S. alone, pest control business, it's $25 billion yearly. -- just on pest control services in the U.S. So it's a massive market and roofer and construction and like air condition. Like we're talking about like multi, multibillions, almost $1 trillion, I would say, just on services in the U.S. maybe cumulative or $0.5 trillion. Like it's big numbers that we are talking about. And these numbers are actually built up from a lot of small businesses in different towns and cities within the U.S., for example, and other places in the world as well. So -- and we said, okay, let's build something for this group of people. And I can say it's not a small group, right? It's like a big, big industry by itself. And then when we start building Proposaly, we say, wait, even company like us like Adcore should actually use Proposaly to send proposals to clients. And we are high ticket like this question saying, markets. I would say, if you're in a lead to revenue business, which most businesses in planet earth are still in this business, then definitely you should use Proposaly. That would be my answer. So I don't care if you are phone services like from Arizona, for example, from Phoenix -- from Phoenix, Arizona or you are an adtech company sitting in Tel Aviv, Israel. It doesn't matter. You are in a lead to business -- in the lead to revenue business, you need to use Proposaly.

Thanks so much, Omri. Very exciting to hear about this potential. With that, is there any closing remarks you want to share with the audience today before we wrap up the call?

So I think like we covered a lot, right? We start, and this is also something Amit mentioned as well. We ended up 2026 strong Q4 result was really strong for us. And we started Q1 2026 strong as well. So that means the same momentum that we saw in the end of the year in 2025 is carried well into 2026. That's always keep us very positive about what we can achieve as the year unfold. But what even keep us more positive is the, I would say, level of innovation and the depth of innovation now we can do using AI. And we give you like a few, I think, like astonishing example, like about the Inbound Agent. I speak with you, on the fly, generate a custom quote for me for ants control issues that they have, they can send it over, sell it in the chat, it can send it to my WhatsApp or e-mail, whatever contact detail I gave you. We showed like I can easily in minutes create astonishing like banners, UGC video, commercials. All of that, that you see right now wasn't exist in the beginning of 2026. So this is something we built and shift during Q1 2026, and this is like that's amazing. So again, Adcore is changing. We're becoming like a full AI company. The potential is massive for us. And I think like that's the best story to tell some with you right now, and we are excited about what things ahead of us. That's honestly true.

All right. Exciting things ahead. And with that, we conclude the earnings call Q1 2026. We thank you, of course, Omri and Amit. And most of all, we thank you, everyone, who's joining this earnings call today. We look forward to seeing you next time. And for now, I wish you a great rest of your day. Thank you.

Thanks, guys.

Thank you.