MRIN Stock Fell Over 9% Pre-Market: Why It Happened

By Amit Chowdhry ● Aug 2, 2021
  • The stock price of Marin Software Incorporated (NASDAQ: MRIN) fell by over 9% pre-market. This is why it happened.

The stock price of Marin Software Incorporated (NASDAQ: MRIN) – a leading provider of digital marketing software for performance-driven advertisers and agencies – fell by over 9% pre-market. Investors are responding negatively to the company’s financial results for the second quarter ended June 30, 2021.

Q2 2021 Financial Updates:

— Net revenues totaled $6.1 million, a year-over-year decrease of 16% when compared to $7.3 million in the second quarter of 2020.

— GAAP loss from operations was ($3.0) million, resulting in a GAAP operating margin of (49%), as compared to a GAAP loss from operations of ($4.5) million and a GAAP operating margin of (62%) for the second quarter of 2020.

— Non-GAAP loss from operations was ($2.8) million, resulting in a non-GAAP operating margin of (46%), as compared to a non-GAAP loss from operations of ($3.6) million and a non-GAAP operating margin of (49%) for the second quarter of 2020.

— Cash, cash equivalents and restricted cash were $14.4 million in the aggregate at June 30, 2021.

— Sold 4.3 million shares for net proceeds of $38.8 million in July 2021 under our 2021 “at-the-market” offering program. There are currently no additional amounts available to be sold under this program.

Financial Outlook:

Marin is providing guidance for its third quarter of 2021 as follows:

Three Months Ended September 30, 2021:

— Revenues, net: $5.5-$6 million

— Non-GAAP loss from operations: ($3.3 million)-($2.8 million)

KEY QUOTE:

“As additional marketplaces expand their advertising programs, the need for a platform to unify these efforts is only growing. The new eCommerce module in MarinOne and our integration for Instacart Ads is helping advertisers meet the customers at the point of purchase and deliver new customers and increase sales. Our stronger balance sheet will allow us to accelerate innovation and better serve the needs of this market.”

— Chris Lien, Marin Software Chief Executive Officer

Disclaimer: This content is intended for informational purposes. Before making any investment, you should do your own analysis.