Direct Digital Holdings, Inc.
For the period ended Dec 31, 2024. Filed Mar 28, 2025.
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FY2024 · Filed Mar 28, 2025
DRCT$0.91-39.7%Stored close · as of Oct 2, 2026
Extracted filing text, with the paragraph anchors used by the comparison.
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Item 8. Consolidated Statements of Cash Flows
CONSOLIDATED STATEMENTS OF CASH FLOWS
(in thousands)
| For the Year Ended December 31, | ||
|---|---|---|
| 2024 | 2023 | |
| Cash Flows (Used In) Provided By Operating Activities: | ||
| Net loss | $(19,907) | $(6,844) |
| Adjustments to reconcile net loss to net cash (used in) provided by operating activities: | ||
| Amortization of deferred financing cost and debt discount | 1,092 | 615 |
| Amortization of intangible assets | 1,954 | 1,954 |
| Reduction in carrying amount of right-of-use assets | 156 | 164 |
| Depreciation and amortization of property, equipment and software | 275 | 253 |
| Stock-based compensation | 1,552 | 706 |
| Deferred income taxes | 6,132 | 568 |
| Derecognition of tax receivable agreement liability | (5,201) | — |
| Revaluation of tax receivable agreement liability | — | (331) |
| Loss on early termination of line of credit | — | 300 |
| Commitment shares and expenses for Equity Reserve Facility | 532 | — |
| Provision for credit losses/bad debt expense | 619 | 422 |
| Changes in operating assets and liabilities: | ||
| Accounts receivable | 31,615 | (11,275) |
| Prepaid expenses and other assets | (60) | 201 |
| Accounts payable | (26,269) | 16,231 |
| Accrued liabilities and TRA payable | (1,103) | (8) |
| Income taxes payable | (34) | (140) |
| Deferred revenues | 126 | (166) |
| Operating lease liability | (127) | (92) |
| Net cash (used in) provided by operating activities | (8,648) | 2,558 |
| Cash Flows Used In Investing Activities: | ||
| Cash paid for capitalized software and property and equipment | (17) | (178) |
| Net cash used in investing activities | (17) | (178) |
| Cash Flows Provided by (Used In) Financing Activities: | ||
| Proceeds from note payable | 4,000 | 3,516 |
| Payments on term loan | (373) | (677) |
| Proceeds from lines of credit | 6,700 | 5,000 |
| Payments on lines of credit | (6,000) | (2,000) |
| Payment of expenses for Equity Reserve Facility | (382) | — |
| Payment of deferred financing cost | (26) | (576) |
| Proceeds from issuance of Class A Common Stock | 1,646 | — |
| Acquisition and redemption of warrants, including expenses | — | (3,540) |
| Payment of tax related to shares withheld upon vesting | (878) | — |
| Proceeds from options exercised | 92 | 29 |
| Proceeds from warrants exercised | 215 | 122 |
| Distributions to holders of LLC Units | — | (3,185) |
| Net cash provided by (used in) financing activities | 4,994 | (1,311) |
| Net (decrease) increase in cash and cash equivalents | (3,671) | 1,069 |
| Cash and cash equivalents, beginning of the period | 5,116 | 4,047 |
| Cash and cash equivalents, end of the period | $1,445 | $5,116 |
| Supplemental Disclosure of Cash Flow Information: | ||
| Cash paid for taxes | $388 | $361 |
| Cash paid for interest | $4,300 | $3,736 |
| Non-cash Activities: | ||
| Common stock issued for subscription receivable | $1,362 | $— |
| Funding of interest reserve through debt | $2,000 | $— |
| Accrued term loan exit fee | $3,000 | $— |
| Issuance of stock in lieu of cash bonus, net of tax withholdings | $906 | $— |
| Financed insurance premiums | $129 | $— |
| Outside basis difference in partnership | $— | $1,536 |
| Tax receivable agreement payable to Direct Digital Management, LLC | $— | $1,286 |
| Tax benefit on tax receivable agreement | $— | $250 |
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