Outbrain Inc. Files 2023 Annual Report on Form 10-K

TL;DR

<b>Outbrain Inc. has filed its annual 10-K report for the fiscal year ending December 31, 2023.</b>

AI Summary

Outbrain Inc. (TEAD) filed a Annual Report (10-K) with the SEC on March 8, 2024. Outbrain Inc. filed its 2023 Form 10-K on March 8, 2024. The filing covers the fiscal year ending December 31, 2023. The company's principal executive offices are located at 111 West 19th Street, New York, NY 10011. The filing includes financial data for the fiscal years 2023, 2022, and 2021. The SIC code for Outbrain Inc. is 7370, indicating Services-Computer Programming, Data Processing, etc.

Why It Matters

For investors and stakeholders tracking Outbrain Inc., this filing contains several important signals. This 10-K filing provides a comprehensive overview of Outbrain's financial performance and business operations for the 2023 fiscal year, crucial for investors to assess the company's health and future prospects. The detailed financial statements and risk factors within the report offer insights into the company's strategies, challenges, and its position within the digital advertising and content recommendation industry.

Risk Assessment

Risk Level: — Outbrain Inc. shows moderate risk based on this filing. The company operates in the competitive digital advertising space, which is subject to rapid technological changes and evolving user preferences, potentially impacting revenue and market share.

Analyst Insight

Investors should review the detailed financial statements and risk factors in the 10-K to understand Outbrain's performance and strategic direction in the digital advertising market.

Key Numbers

• 2023-12-31 — Fiscal Year End (The period covered by the 10-K filing.)
• 2024-03-08 — Filing Date (Date the 10-K was filed with the SEC.)
• 001-40643 — SEC File Number (Outbrain Inc.'s SEC file number.)

Key Players & Entities

• Outbrain Inc. (company) — Filer of the 10-K report.
• 111 West 19th Street, New York, NY 10011 (company) — Business and mailing address of Outbrain Inc.
• 20231231 (date) — Conformed period of report.
• 20240308 (date) — Filed as of date.
• 7370 (company) — Standard Industrial Classification code.

FAQ

Risk Factors

• Intense Competition [high — market]: The digital advertising and content recommendation market is highly competitive, with numerous players vying for user attention and advertiser spend, which could adversely affect Outbrain's business.
• Reliance on Third-Party Platforms [medium — operational]: Outbrain's business is dependent on relationships with publishers and other third-party platforms, and any disruption or adverse changes in these relationships could negatively impact its operations.
• Data Privacy Regulations [medium — regulatory]: Changes in data privacy laws and regulations globally could impact Outbrain's ability to collect and use data, affecting its advertising services and revenue.

Key Dates

• 2023-12-31: Fiscal Year End — Marks the end of the reporting period for the 10-K.
• 2024-03-08: 10-K Filing Date — Date Outbrain Inc. submitted its annual report to the SEC.

Key Financial Figures

• $0.001 — ich registered Common stock, par value $0.001 per share OB The Nasdaq Stock Market LL
• $20.00 — n stock at an initial offering price of $20.00 per share, receiving aggregate net proc
• $145.1 m — re, receiving aggregate net proceeds of $145.1 million, after deducting underwriting dis
• $5.2 billion — media owners, delivering approximately $5.2 billion in direct revenue to our partners since
• $610 b — in 2023 global digital ad spend grew to $610 billion, a 10.7% year over year increase,
• $450 b — d mobile ad spend grew to approximately $450 billion, an 11.9% year over year increase
• $767 million — over the next two years, accounting for $767 million in spend in 2025. The addressable marke
• $50 billion — han in walled gardens and could surpass $50 billion by 2025. The media landscape is underg

Filing Documents

• outbrain-20231231.htm (10-K) — 2103KB
• exhibit211-202310xk.htm (EX-21.1) — 20KB
• exhibit231-202310xk.htm (EX-23.1) — 2KB
• exhibit311-202310xk.htm (EX-31.1) — 10KB
• exhibit312-202310xk.htm (EX-31.2) — 10KB
• exhibit313-202310xk.htm (EX-31.3) — 10KB
• exhibit321-202310xk.htm (EX-32.1) — 8KB
• exhibit33-obamendedrestate.htm (EX-33.1) — 136KB
• exhibit97-obcompensationre.htm (EX-97.1) — 40KB
• outbrain-20231231_g1.jpg (GRAPHIC) — 2055KB
• outbrain-20231231_g2.jpg (GRAPHIC) — 436KB
• outbrain-20231231_g3.jpg (GRAPHIC) — 346KB
• outbrain-20231231_g4.jpg (GRAPHIC) — 1509KB
• outbrain-20231231_g5.jpg (GRAPHIC) — 1175KB
• outbrain-20231231_g6.jpg (GRAPHIC) — 136KB
• 0001454938-24-000024.txt (&nbsp;) — 23787KB
• outbrain-20231231.xsd (EX-101.SCH) — 69KB
• outbrain-20231231_cal.xml (EX-101.CAL) — 124KB
• outbrain-20231231_def.xml (EX-101.DEF) — 298KB
• outbrain-20231231_lab.xml (EX-101.LAB) — 865KB
• outbrain-20231231_pre.xml (EX-101.PRE) — 630KB
• outbrain-20231231_htm.xml (XML) — 1713KB

Business

Business 5 Item 1A.

Risk Factors

Risk Factors 20 Item 1B. Unresolved Staff Comments 43 Item 1C. Cybersecurity Risk Management and Strategy 43 Item 2.

Properties

Properties 44 Item 3.

Legal Proceedings

Legal Proceedings 44 Item 4. Mine Safety Disclosures 44 PART II Item 5. Market for Registrant ' s Common Equity, Related Stockholder Matters and Issuer Purchases of Equity Securities 45 Item 6. [Reserved] 46 Item 7. Management ' s Discussion and Analysis of Financial Condition and Results of Operations 47 Item 7A.

Quantitative and Qualitative Disclosures About Market Risk

Quantitative and Qualitative Disclosures About Market Risk 65 Item 8.

Financial Statements and Supplementary Data

Financial Statements and Supplementary Data 66 Item 9. Changes in and Disagreements with Accountants on Accounting and Financial Disclosures 100 Item 9A.

Controls and Procedures

Controls and Procedures 100 Item 9B. Other Information 101 Item 9C. Disclosure Regarding Foreign Jurisdictions that Prevent Inspections 101 PART III Item 10. Directors, Executive Officers and Corporate Governance 102 Item 11.

Executive Compensation

Executive Compensation 102 Item 12.

Security Ownership of Certain Beneficial Owner and Management and Related Stockholder Matters

Security Ownership of Certain Beneficial Owner and Management and Related Stockholder Matters 102 Item 13. Certain Relationships and Related Transactions, and Director Independence 102 Item 14. Principal Accountant Fees and Services 102 PART IV Item 15. Exhibit and Financial Statement Schedules 103 Item 16. Form 10-K Summary 105

Signatures

Signatures 106 2 Table o f Contents Note About Forward-Looking Statements This Annual Report on Form 10-K (this "Report") contains forward-looking statements within the meaning of the federal securities laws, which statements involve substantial risks and uncertainties. Forward-looking statements may include, without limitation, statements generally relating to possible or assumed future results of our business, financial condition, results of operations, liquidity, plans and objectives. You can generally identify forward-looking statements because they contain words such as "may," "will," "should," "expects," "plans," "anticipates," "could," "intends," "target," "projects," "contemplates," "believes," "estimates," "predicts," "foresee," "potential" or "continue" or the negative of these terms or other similar expressions that concern our expectations, strategy, plans or intentions or are not statements of historical fact. We have based these forward-looking statements largely on our expectations and projections regarding future events and trends that we believe may affect our business, financial condition and results of operations. The outcome of the events described in these forward-looking statements is subject to risks, uncertainties and other factors including, but not limited to: overall advertising demand and traffic generated by our media partners; factors that affect advertising demand and spending, such as the continuation or worsening of unfavorable economic or business conditions or downturns, instability or volatility in financial markets, and other events or factors outside of our control, such as U.S. and global recession concerns, geopolitical concerns, including the ongoing wars between Ukraine-Russia and Israel-Hamas, supply chain issues, inflationary pressures, labor market volatility, bank closures or disruptions, the pace of recovery or any resurgences of the COVID-19 pandemic, and the impact of challenging economic conditions and othe

Business

Item 1. Business Outbrain Inc. (together with our subsidiaries, "Outbrain," the "Company," "we," "our" or "us") was incorporated in August 2006 in Delaware. The Company is headquartered in New York, New York with various wholly-owned subsidiaries, including in Israel, Europe and Asia. On July 22, 2021, our registration statement on Form S-1 (File No. 333-257525), filed on June 29, 2021, as amended, was declared effective by the U.S. Securities and Exchange Commission (the "SEC") in connection with our initial public offering ("IPO") of our common stock, and our common stock began trading on The Nasdaq Stock Market LLC ("Nasdaq") on July 23, 2021. On July 27, 2021, we closed our IPO and issued 8,000,000 shares of our common stock at an initial offering price of $20.00 per share, receiving aggregate net proceeds of $145.1 million, after deducting underwriting discounts, commissions and other offering costs. Our mission is to connect businesses with engaged audiences. Outbrain is a leading technology platform that drives business results by connecting media owners and advertisers with engaged audiences to drive business outcomes, reaching over a billion unique consumers around the world. Outbrain's artificial intelligence ("AI") prediction engine powers a two-sided platform for advertisers and media owners that delivers concrete business outcomes. Our platform enables thousands of digital media owners to provide tailored experiences to their audiences, delivering audience engagement and monetization. For tens of thousands of advertisers, from enterprise brands to performance marketers, our platform optimizes audience attention and engagement to deliver greater return on investment at each step of the marketing funnel. Over the past decade, consumers have become increasingly accustomed to seeing highly curated content that aligns with their unique interests. Social media and search have simplified discovery by leveraging billions of data points to offer personalize

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View this 10-K filing on SEC EDGAR