EMERGE Provides Cash Flow Figures for Viral Loops

Executive Summary

• EMERGE Commerce Ltd. disclosed preliminary 2025 cash‑flow results for its recent acquisition, Viral Loops, showing $700 K cash flow and an 86% Adjusted EBITDA‑to‑Cash Flow conversion.
• The $2.3 M purchase price equates to roughly a 3.3× multiple on cash flow, underscoring the perceived value of the asset.
• Management highlighted the asset‑light nature of Viral Loops and its strong profitability as a strategic boost to EMERGE’s overall earnings profile.

Key Details

• Acquisition Completion: Viral Loops acquisition closed on March 10 2026 for a total purchase price of $2.3 M (CAD).
• 2025 Financial Snapshot (unaudited):
• Revenue: ~$1.3 M
• Gross margin: 86%
• Adjusted EBITDA: $800 K (≈62% margin)
• Cash Flow Metrics (preliminary, unaudited):
• Cash flow for 2025: $700 K
• Adjusted EBITDA‑to‑Cash Flow conversion: 86%
• Valuation Multiple: Purchase price represents ~3.3× cash flow on a cash‑flow basis.
• Management Commentary (Ghassan Halazon, Founder & CEO): Emphasized the importance of cash generation, asset‑light operations, disciplined marketing spend, minimal working capital, and the expectation that integration will strengthen EMERGE’s overall platform.
• Forward‑Looking Statements: The disclosed figures are preliminary and subject to change upon finalization of Q4 2025 financial statements and audit; material adjustments could occur.

Notable Quotes

“With cash flow becoming an increasing priority at EMERGE, we wanted to give investors more visibility into Viral Loops' cash flow profile… This level of cash generation demonstrates the quality of the earnings and the asset‑light nature of the platform.” – Ghassan Halazon, Founder & CEO

All amounts are in Canadian dollars unless otherwise noted.