 Q2 2020 revenue of 71.5 million, up 1 over Q2 2019 Net income of 0.5 million, or 0.01 per share Media margin of 24.8 million, up 8 over Q2 2019 and representing 34.7 of revenue Adjusted EBITDA of 9.4 million, representing 13.1 of revenue Adjusted net income of 4.2 million, or 0.05 per shareNEW YORK, Aug. 10, 2020 GLOBE NEWSWIRE -- Fluent, Inc. NASDAQ: FLNT, a leading data-driven performance marketing company, today reported financial results for the second quarter ended 2020.Ryan Schulke, Fluents Chief Executive Officer, commented, Our second quarter performance once again demonstrated the strength and diversification of our platform, as well as the macro benefits of Performance Marketing, which enabled us to meet and exceed our prior business outlook.As we continue to navigate this challenging and uncertain environment, I want to thank all of our employees for their exceptional work under the most difficult of circumstances and to reiterate that Fluent remains resilient and steadfast in striving to support our colleagues, clients, consumers and communities.Second Quarter Financial Summary Q2 2020 revenue of 71.5 million, up 1 over Q2 2019 Net income of 0.5 or 0.01 per share, compared to net income of 0.7 million, or 0.01 per share, in Q2 2019 Media margin of 24.8 million, an increase of 8 over Q1 2019 and representing 34.7 of revenue Adjusted EBITDA of 9.4 million, representing 13.1 of revenue Adjusted net income of 4.2 million, or 0.05 per shareMedia margin, adjusted EBITDA and adjusted net income are non-GAAP financial measures, as defined and reconciled below. Business Outlook Fluent currently sees Q3 2020 returning to more normalized seasonal patterns, without a recurrence of the factors that affected its Q3 2019 results. Media Entertainment remains the Companys fastest growing vertical, underpinned by direct relationships in the Streaming Services and Mobile Gaming categories. Q2 2020 revenue from engaging consumers in international markets, primarily the UK, more than doubled as compared with Q2 2019, and represented more than 5 of total company revenue in the quarter. The Company has adapted well to a work-from-home environment, and, notwithstanding the extraordinary challenges imposed by the global pandemic, the Companys business and operations have remained on solid footing.Conference CallFluent, Inc. will host a conference call on Monday, August 10, 2020 at 4:30 PM ET to discuss its 2020 second quarter financial results. To listen to the conference call on your telephone, please dial 888 339-0797 for domestic callers, or 412 317-5248 for international callers. To access the live audio webcast, visit the Fluent website at investors.fluentco.com. Please login at least 15 minutes prior to the start of the call to ensure adequate time for any downloads that may be required. Following completion of the earnings call, a recorded replay of the webcast will be available for those unable to participate. To listen to the telephone replay, please dial 877 344-7529 or 412 317-0088 with the replay passcode 10147081. The replay will also be available for one week on the Fluent website at investors.fluentco.com. About Fluent, Inc.Fluent NASDAQ: FLNT is a leading performance marketing company with expertise in creating meaningful connections between consumers and brands. Leveraging our proprietary first-party database of opted-in consumer profiles, Fluent drives intelligent growth strategies that deliver superior outcomes. Founded in 2010, the company is headquartered in New York City. For more information, visit Harbor Statement Under the Private Securities Litigation Reform Act of 1995The matters contained in this press release may be considered to be forward-looking statements within the meaning of the Securities Act of 1933 and the Securities Exchange Act of 1934. Those statements include statements regarding the intent, belief or current expectations or anticipations of Fluent and members of our management team. Factors currently known to management that could cause actual results to differ materially from those in forward-looking statements include the following: compliance with a significant number of governmental laws and regulations, including those laws and regulations regarding privacy and data; failure to safeguard the personal information and other data contained in our database; unfavorable global economic conditions, including as a result of health and safety concerns around the ongoing COVID-19 pandemic; failure to compete effectively against other online marketing and advertising companies; dependence on third-party publishers, internet search providers and social media platforms for a significant portion of visitors to our websites; dependence on our key personnel; dependence on emails, text messages and telephone calls, among other channels, to reach users for marketing purposes; competition we face for web traffic; ability to compete and manage media costs in an industry characterized by rapidly-changing internet media and advertising technology, evolving industry standards, regulatory uncertainty, and changing user and client demands; liability related to actions of third-party publishers; limitations on our or our third-party publishers ability to collect and use data derived from user activities; ability to remain competitive with the shift of online interactions from computers to mobile devices; dependence on third-party service providers; management of the growth of our operations, including the integration of the AdParlor and Winopoly businesses and other acquired business units or personnel; management of unfavorable publicity and negative public perception about our industry; failure to meet our clients performance metrics or changing needs; risks associated with the expansion of our international operations; failure to detect click-through or other fraud on advertisements; achievement of some or all of the benefits that we expect to achieve as a stand-alone company; failure to adequately protect intellectual property rights or allegations of infringement of intellectual property rights; compliance with the covenants of our credit agreement; and the potential for failures in our internal control over financial reporting. These and additional factors to be considered are set forth under Risk Factors in our Annual Report on Form 10-K for the fiscal year ended December 31, 2019 and in our other filings with the Securities and Exchange Commission. Fluent undertakes no obligation to update or revise forward-looking statements to reflect changed assumptions, the occurrence of unanticipated events or changes to future operating results or expectations. FLUENT, INC. CONSOLIDATED BALANCE SHEETS Amounts in thousands, except share and per share data unaudited June 30, 2020 December 31, 2019 ASSETS: Cash and cash equivalents20,218 18,679 Accounts receivable, net of allowance for doubtful accounts of 309 and 1,967, respectively 55,304 60,915 Prepaid expenses and other current assets 1,996 1,921 Total current assets 77,518 81,515 Restricted cash 1,480 1,480 Property and equipment, net 2,566 2,863 Operating lease right-of-use assets 9,063 9,865 Intangible assets, net 51,094 55,603 Goodwill 165,088 164,774 Other non-current assets 1,592 993 Total assets308,401 317,093 LIABILITIES AND SHAREHOLDERS EQUITY: Accounts payable11,601 21,574 Accrued expenses and other current liabilities 21,027 20,358 Deferred revenue 2,468 1,140 Current portion of long-term debt 9,677 6,873 Current portion of operating lease liability 2,279 2,282 Total current liabilities 47,052 52,227 Long-term debt, net 38,115 44,098 Operating lease liability 8,176 9,056 Other non-current liabilities 1,243 775 Total liabilities 94,586 106,156 Contingencies Shareholders equity: Preferred stock 0.0001 par value, 10,000,000 Shares authorized; Shares outstanding 0 shares for both periods Common stock 0.0005 par value, 200,000,000 Shares authorized; Shares issued 79,908,985 and 78,642,078, respectively; and Shares outstanding 76,292,587 and 75,873,679, respectively 40 39 Treasury stock, at cost 3,616,398 and 2,768,399 shares, respectively 9,930 8,184 Additional paid-in capital 409,961 406,198 Accumulated deficit 186,256 187,116 Total shareholders equity 213,815 210,937 Total liabilities and shareholders equity308,401 317,093 FLUENT, INC. CONSOLIDATED STATEMENTS OF OPERATIONS Amounts in thousands, except share and per share data unaudited Three Months Ended June 30, Six Months Ended June 30, 2020 2019 2020 2019 Revenue71,509 70,560 150,443 137,121 Costs and expenses: Cost of revenue exclusive of depreciation and amortization 49,007 49,133 105,631 93,962 Sales and marketing 1 2,888 3,058 5,718 6,492 Product development 1 3,115 2,287 5,846 4,445 General and administrative 1 10,044 10,294 21,120 20,329 Depreciation and amortization 3,853 3,306 7,586 6,623 Goodwill impairment 817 817 Total costs and expenses 69,724 68,078 146,718 131,851 Income from operations 1,785 2,482 3,725 5,270 Interest expense, net 1,333 1,767 2,865 3,545 Income before income taxes 452 715 860 1,725 Income tax benefit 35.0 Net income 452 715 860 1,760 Basic and diluted income per share: Basic0.01 0.01 0.01 0.02 Diluted0.01 0.01 0.01 0. 