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Marin Software Incorporated (MRIN)
NASDAQ:MRIN
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Marin Software
(NASDAQ:MRIN)
45Neutral
Marin Software (MRIN) vs. S&P 500 (SPY)
Market Cap
$3.77M
Dividend YieldN/A
Average Volume (3M)20.76K
Price to Earnings (P/E)―
Beta (1Y)0.81
Revenue Growth-9.89%
EPS Growth47.46%
CountryUS
Employees104
SectorTechnology
Sector Strength40
IndustrySoftware - Application
Share Statistics
EPS (TTM)-3.94
Shares Outstanding3,143,449
10 Day Avg. Volume24,862
30 Day Avg. Volume20,759
Financial Highlights & Ratios
PEG RatioN/A
Price to Book (P/B)N/A
Price to Sales (P/S)0.26
Price to Cash Flow (P/CF)-0.50
P/FCF Ratio0.00
Enterprise Value/Market CapN/A
Enterprise Value/RevenueN/A
Enterprise Value/Gross ProfitN/A
Enterprise Value/EbitdaN/A
Forecast
1Y Price TargetN/A
Price Target UpsideN/A
Rating ConsensusN/A
Number of Analyst Covering0
Marin Software Business Overview & Revenue Model
Company DescriptionMarin Software Incorporated is a leading provider of digital marketing software for advertisers and agencies. The company operates within the advertising technology sector, focusing on providing a comprehensive platform that enables marketers to effectively manage their digital advertising campaigns across various channels, including search, social, and eCommerce. Marin Software's core product is the MarinOne platform, which offers advanced tools for optimizing advertising performance, automating workflows, and gaining actionable insights from data analytics.
How the Company Makes MoneyMarin Software generates revenue primarily through subscription fees for its MarinOne platform. Clients, including advertisers and agencies, pay for access to the platform's suite of digital marketing tools, which help them manage and optimize their advertising campaigns. The company may also earn revenue from related services such as training and support. Strategic partnerships with major digital advertising platforms like Google, Facebook, and Amazon enhance Marin Software's offerings and attract a broad client base looking to streamline their advertising efforts across multiple channels. Additionally, the company's focus on continuous innovation and integration of advanced technologies, such as artificial intelligence and machine learning, contributes to its ability to offer competitive solutions in the dynamic digital marketing landscape.
Marin Software Financial Statement Overview
Summary
Marin Software is facing significant financial challenges marked by declining revenues, persistent losses, and negative cash flows. Despite a strong equity position and controlled leverage, profitability issues and cash flow challenges pose risks. Improvements in operational efficiency and revenue growth are essential for financial health.Income Statement
Marin Software has been experiencing a consistent decline in total revenue over the past years, with a significant drop from $49.04M in 2019 to $16.71M in TTM 2024. Gross profit margin in TTM is approximately 60.5%, which is a positive aspect. However, the company is struggling with profitability as shown by its negative net profit margin and EBIT margin. Although there is a slight improvement in EBITDA margin from 2023 to TTM 2024, the overall profitability remains weak.35
Negative
Balance Sheet
The company has managed to maintain a relatively low debt-to-equity ratio, indicating prudent leverage management. The equity ratio is around 63.0% in TTM 2024, suggesting a strong equity base relative to its assets. However, the return on equity is negative due to consistent losses, which is a concern for potential investors.50
Neutral
Cash Flow
Marin Software's cash flow is under pressure, with both operating and free cash flows being negative in TTM 2024. The free cash flow growth rate has shown improvement from 2023 to TTM 2024, but remains negative, indicating cash flow challenges. The ratios of cash flow to net income reflect the ongoing struggle with cash generation relative to net income.40
Negative
| Breakdown | |||||
| TTM | Dec 2023 | Dec 2022 | Dec 2021 | Dec 2020 | Dec 2019 |
|---|---|---|---|---|---|
| Income Statement | Total Revenue | ||||
| 16.71M | 17.73M | 20.02M | 24.42M | 29.98M | 49.04M | Gross Profit |
| 10.11M | 6.10M | 7.22M | 11.54M | 12.04M | 26.19M | EBIT |
| -7.40M | -22.81M | -22.00M | -14.06M | -16.30M | -17.93M | EBITDA |
| -6.41M | -16.28M | -19.74M | -10.86M | -11.29M | -13.44M | Net Income Common Stockholders |
| -12.02M | -21.92M | -18.23M | -12.94M | -14.05M | -12.41M |
| Balance Sheet | Cash, Cash Equivalents and Short-Term Investments | ||||
| 31.54M | 11.36M | 27.96M | 46.84M | 14.28M | 11.13M | Total Assets |
| 57.22M | 19.32M | 42.08M | 59.83M | 37.01M | 42.29M | Total Debt |
| 10.81M | 1.91M | 3.84M | 5.33M | 11.93M | 8.97M | Net Debt |
| -20.73M | -9.45M | -24.11M | -41.52M | -2.35M | -2.17M | Total Liabilities |
| 23.71M | 5.68M | 9.37M | 13.57M | 21.19M | 21.23M | Stockholders Equity |
| 33.51M | 13.64M | 32.71M | 46.26M | 15.81M | 21.06M |
| Cash Flow | Free Cash Flow | ||||
| -7.89M | -16.39M | -19.90M | -9.24M | -7.56M | -3.90M | Operating Cash Flow |
| -7.59M | -14.58M | -18.14M | -7.94M | -5.67M | -1.24M | Investing Cash Flow |
| -296.00K | -1.81M | -1.76M | -1.30M | -1.88M | 1.61M | Financing Cash Flow |
| -123.00K | -209.00K | 740.00K | 41.48M | 10.23M | 260.00K |
Marin Software Technical Analysis
Negative
1.14
Price Trends
1.70
Negative
1.90
Negative
2.09
Negative
Market Momentum
-0.11
Negative
29.87
Positive
13.44
Positive
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For MRIN, the sentiment is Negative. The current price of 1.14 is below the 20-day moving average (MA) of 1.38, below the 50-day MA of 1.70, and below the 200-day MA of 2.09, indicating a bearish trend. The MACD of -0.11 indicates Negative momentum. The RSI at 29.87 is Positive, neither overbought nor oversold. The STOCH value of 13.44 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for MRIN.
Marin Software Risk Analysis
Marin Software disclosed 52 risk factors in its most recent earnings report. Marin Software reported the most risks in the “Finance & Corporate” category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks
Marin Software Peers Comparison
Overall Rating
UnderperformOutperform
Sector (57)
Financial Indicators
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
70 Outperform | $1.66B | 80,900.00 | -0.25% | ― | 14.50% | ― | |
67 Neutral | $331.47M | 28.25 | 1.75% | ― | -32.95% | -89.11% | |
67 Neutral | $406.17M | 35.56 | 4.36% | ― | 9.08% | 43.58% | |
66 Neutral | $22.94B | 59.24 | 15.37% | ― | 25.63% | 118.49% | |
64 Neutral | $1.39B | 65.47 | 3.10% | ― | 7.82% | ― | |
57 Neutral | $18.57B | 9.42 | -13.42% | 2.72% | 5.01% | -23.43% | |
45 Neutral | $3.77M | ― | -91.75% | ― | -9.89% | 47.46% |
* Technology Sector Average
Performance Comparison
MRIN
Marin Software
1.14
-0.54
-32.14%
RAMP
LiveRamp Holdings
24.27
-11.10
-31.38%
PERI
Perion Network
7.36
-5.14
-41.12%
MGNI
Magnite
9.08
-0.77
-7.82%
TTD
Trade Desk
46.24
-40.44
-46.65%
PUBM
PubMatic
8.25
-15.43
-65.16%
Marin Software Earnings Call Summary
Earnings Call Date: Feb 20, 2025 | % Change Since: -42.42% | Next Earnings Date: May 1, 2025
Earnings Call Sentiment Neutral
The earnings call presented a mix of positive and negative developments. While revenue exceeded guidance and strategic partnerships were renewed, the company continues to face financial challenges, including a year-over-year revenue decline and a decrease in cash balance. The sentiment is balanced with notable improvements in operational efficiency and product offerings countered by financial constraints and restructuring efforts.Highlights
Revenue Exceeds Guidance
Q3 2024 revenues came in above guidance at $4.3 million, representing a moderation in revenue decline to 4% year-over-year.
Operating Loss Improvement
The non-GAAP operating loss was reduced by $1.1 million year-over-year, benefiting from a restructuring and reduction in force plan initiated in July 2023.
Renewal of Strategic Partnership with Google
Marin Software renewed its strategic partnership agreement with Google for another 3 years, maintaining the same minimum quarterly payments.
Introduction of New Product Features
New budget floor controls in Ascend and enhanced Reddit integration in MarinOne were introduced, offering improved campaign management and budget compliance.
Successful Customer Outcomes
Fusion 92 improved budget compliance from 9% to 96% using Marin's budgeting platform, saving over 15 hours of manual work per week.
Lowlights
Decrease in Cash Balance
The total cash balance decreased to $5.6 million from $7.9 million at the end of the previous quarter.
Headcount Reduction
A 26% headcount reduction was implemented to align costs with current revenues, projected to save approximately $3.6 million annually.
Continued Revenue Decline
Despite moderation, revenue still declined by 4% year-over-year with existing customer churn outpacing new bookings.
Exploration of Financing and Strategic Transactions
The company is exploring opportunities to raise additional financing and potential strategic transactions, with no assurances on completion.
Company Guidance
During Marin Software's Q3 2024 earnings call, the company reported a revenue of $4.3 million, which exceeded their guidance range, although it marked a 4% year-over-year decline. The non-GAAP operating loss for the quarter was $1.8 million, $0.1 million better than the high end of their guidance, primarily due to realized savings from the restructuring plan initiated in July 2023. Marin's cash balance at the end of Q3 was $5.6 million. The company announced a 26% headcount reduction in October, projected to save $3.6 million annually. They renewed their strategic partnership with Google for another three years. For Q4 2024, Marin forecasts revenue between $4.0 million and $4.2 million, with a non-GAAP operating loss ranging from $1.4 million to $1.1 million.Glossary
OutperformA stock rated as "Outperform" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests that the stock is likely to deliver higher returns compared to the average returns of other stocks in the same sector or market index. Investors might consider this stock a good buying opportunity.
NeutralA stock rated as "Neutral" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly attractive nor unattractive for investment. Investors may consider holding onto the stock, as it is not expected to either significantly outperform or underperform the market.
UnderperformA stock rated as "Underperform" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests that the stock may deliver lower returns compared to the average returns of other stocks in the same sector or market index. Investors might consider selling the stock or avoiding it as an investment.
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.