Company: PERI
Filing Date: 2025-03-25
Form Type: 20-F
Source: 0001178913-25-001021
Chunk: 15

Company: Perion Network Ltd.
Filing Date: 2025-03-25
Form: 20-F
Item: Item 3
Chunk 15
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 opportunity, and new or stronger competitors may emerge through consolidations or acquisitions in the market. Additionally, the advertising spends of large advertisers and agencies seeking to consolidate their technology partners may continue to migrate towards large technology platforms, including both social and walled-gardens players, which may harm our ability to operate in this industry and decrease our results of operations. If our digital advertising platforms and solutions, including our Perion One strategy which is aimed to unify our brands and technologies into one advanced platform, are not perceived as competitively differentiated, or if we fail to develop adequately to meet market evolution, or fail to acquire companies to help us overcome the technological gaps in a timely manner and meet the market demands, we could lose customers and market share or be compelled to reduce our prices and harm our operational results.
 
Our reputation is a key factor in our ability to compete successfully. There can be no assurances that our ability to compete effectively in the future may not be affected by negative market perception. Because of these factors, we continuously seek to diversify our product suite to respond to the changing needs and interests of our customers to benefit from a variety of different offerings, however, we cannot guarantee that we will always be able to accommodate such needs, that such efforts will yield the expected revenue or that we will adapt quickly enough (or in a cost-effective manner) to evolving changes in the industry in which we operate and related regulations, technologies, applications and devices, which could adversely impact our reputation, and, in turn, our business, financial condition and results of operations.
 
Our advertising business is susceptible to seasonality, unexpected changes in campaign size and prolonged cycle time, which could affect our business and results of operations.
 
The revenue from our advertising business is affected by a number of factors, including:
 

•              Historically, our advertising business has experienced the lowest revenue levels in the first quarter and            
    highest revenue levels in the fourth quarter, with the second and third quarters being slightly stronger than the first quarter;
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•   Our advertising solutions revenue are influenced by political advertising in the US, which generally occurs every two years;
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•   In any single period, our advertising solutions revenue and delivery costs are subject to significant variation based on changes
                                   in the volume and mix of deliveries performed during such period;                                
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•   Revenue is subject to the changes of brand marketing trends, including when and where brands choose to spend their money in a given
                                                                   year;                                                               
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•   Advertising customers generally