Company: CDLX
Filing Date: 2025-08-06
Form Type: 10-Q
Source: 0001666071-25-000126
Chunk: 222

Company: Cardlytics, Inc.
Filing Date: 2025-08-06
Form: 10-Q
Item: Item 8
Chunk 222
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 fees to our FI partners may also result in variability of our operating cash flows for any period.

Our operating cash flows also vary from quarter to quarter due to the seasonal nature of our marketers’ advertising spending. Many marketers tend to devote a significant portion of their marketing budgets to the fourth quarter of the calendar year to coincide with consumer holiday spending and reduce marketing spend in the first quarter of the calendar year. Any lag between the timing of our payment of Consumer Incentives and our receipt of payment from marketers and their agencies can exacerbate our need for working capital during the first quarter of the calendar year.

The following table summarizes our cash flows for the periods presented:

 Six Months EndedJune 30,in thousands20252024Cash and cash equivalents  — Beginning of period$65,594 $91,830 Net cash used in operating activities(5,481)(13,188)Net cash used in investing activities(8,561)(9,403)Net cash (used in) provided by financing activities(5,093)2,034 Effect of exchange rates on cash and cash equivalents286 (25)Cash and cash equivalents  — End of period$46,745 $71,248 

Operating Activities

Operating activities used $5.5 million of cash during the six months ended June 30, 2025, which reflected our Net Loss of $22.6 million, including $19.4 million of non-cash charges, offset by a $2.5 million change in our net operating assets and liabilities. The non-cash charges primarily related to stock-based compensation expense, depreciation and amortization expense, amortization of right-of-use assets, amortization of financing costs charged to interest expense and credit losses expense. The change in our net operating assets and liabilities was primarily due to a $4.2 million decrease in our Consumer Incentive liability, a $5.9 million decrease in Partner Share liability and a $1.8 million decrease in accounts payable and a $1.6 million increase in prepaid expenses and other assets, partially offset by a $0.9 million increase in other accrued expense, a $10.2 million decrease in accounts receivable. These fluctuations are primarily driven by the quarterly seasonality of our business.

Operating activities used $13.2 million of cash during the six months ended June 30, 2024, which reflected our Net Loss of $28.5 million, including $29.7 million of non-cash charges, offset by a $14