3/30/2023

speaker
Operator
Conference Operator

Ladies and gentlemen, greetings and welcome to the Rumble fourth quarter and full year earnings conference call. It is now my pleasure to introduce your host, Shannon Devine, Investor Relations for Rumble. Please go ahead.

speaker
Shannon Devine
Investor Relations

Thank you, Operator. I'm here today with Chris Talbosky, Founder, Chairman, and CEO of Rumble, Brandon Alexandroff, the CFO, and Tyler Hughes, the COO. A press release detailing our fourth quarter and full year results was released today and and is available on the investor relations section of our company website. Before we begin the formal presentation, I would like to remind everyone that statements made on the call and webcast may include predictions, estimates, or other information that might be considered forward-looking. All forward-looking statements are made only as of the date of this webcast and should be considered in conjunction with the cautionary statements in our earnings release and the risk factors included in our filings with the SEC. Future company updates will be available via press releases and company updates via the company's identified social media channels. I will now turn the call over to Rumble's founder, chairman and CEO, Chris Pawlowski.

speaker
Chris Pavlowski
Founder, Chairman, and CEO

Thank you, Shannon. For the past six months, my team and I have been working on what we believe to be one of the most important moves for the future of video, live streaming, and OTT. While other networks and competitors are focused on the NFL, golf, in tennis that target older demographics, at Rumble, we've been laser-focused on adding the under-30 demographic, the most sought-after demographic by brand advertisers. So today, I'm proud to announce that Rumble has reached agreements in principle for the rights to three sports leagues. These are not sports leagues built over 100 years with huge valuations, but sports leagues that are driven by social media and mega-influencers. In addition to these three sports leagues, Rumble is now carrying an official channel of the UFC. These moves are very important to me because I want Rumble to become the future of live digital sports and particularly sports leagues that are built from social media and mega influencers. You might ask why I'm so excited, but let me say, Steve Will Do It, Hasbulla, and the Nelk Boys were not sitting courtside at the NBA game on Saturday, March 11th, and they certainly were not watching golf. They were all sitting in front and center at the Power Slap finale in Las Vegas, which was broadcast only on Rumble. For those not familiar with these influencers, they all attract huge audiences in the younger demographics and therefore are highly coveted by advertisers. We have also reached an agreement in principle to be the home of street league skateboarding, known as the SLS, and formerly broadcasted on ESPN. SLS brings us major influencers, like Brazil's 15-year-old phenom, Raissa Leal, who has over 6 million Instagram followers and was a silver medalist in the 2020 Olympic Games. The third sports league that we're bringing to Rumble is and where we have a deal in principle, is Nitro Rallycross, an American rallycross racing series created by visionary rallycross driver Travis Pastrana, who has over 12 million social followers. His dedication and involvement have drawn F1 world champions and NASCAR Cup champions such as Jensen Button with 5.2 million social followers and Chase Elliott with 2 million followers. One of the most frequently asked questions about Rumble is when and how are we going to get the brands? What we just announced deals for the exclusive rights to three sports leagues. In addition to bringing on the UFC video channel is exactly how we're going to do it because people like Dana White appreciate Rumble's audience and potential. We are now also meaningfully in the sports business. One of the most coveted digital content spaces to be in. More importantly, What allowed us to enter into this vertical so quickly is our commitment to our mission and authentic expression. Rumble is the only platform where you can be truly authentic. Sports is content in the most authentic form, which is why it belongs on Rumble. Rumble is a growth story, and one of the reasons we went public was to raise capital to bring on new content creators to support diversifying our content and further expand our user base. We are in the fortunate position where our creators are coming to us and want to be a part of our platform. Our 2022 D-SPAC provided us with the capital infusion needed to incentivize these creators to successfully make the transition to Rumble as we continue to build the tools for monetization. We continue to diversify our library with content that is authentic and directly aligned with our mission. For those unfamiliar with our story, our mission to protect a free and open internet is what drives us. Our strategy is grounded in this mission. Further, a great strategy requires a proper foundation. It's evident what we're doing here is working, and it's exciting to see a quarter like our 2022 fourth quarter hit numerous company records. Today, we measure our success currently on three quarterly key performance indicators, or KPIs. Our first Average global monthly active users, or MAUs, increased to 80 million compared to 33 million in the fourth quarter of 2021. Second are consumption, which we believe is the best indicator for long-term revenue potential, and the indicator I personally look at every day increased 31% in the fourth quarter to 11.1 billion average minutes watched per month versus 8.5 billion in the fourth quarter of 2021. a company record. What we learned in the fourth quarter is that creators of Steven Crowder's caliber drive the consumption metric tremendously. Starting in mid-December, Steven Crowder took a break for about three months, but I can tell you, he's back and he's bigger than ever. And third, hours of uploaded video per day increased to 10,373 hours, a 216% increase when compared to 3,278 hours in the fourth quarter of 21. It's very clear in our fourth quarter results that what we are doing is working. The midterm elections and Steven Crowder proved that Rumble's content attracts massive audiences during election cycles. The massive growth we have experienced is now driving new creators in even sports leagues to join our platform. To conclude, I want to tell everyone what myself and my team are really focused on. We believe we're in a position to take on YouTube, but in order to do that, our infrastructure and product have to come first. We're all working around the clock to build the product and services that our audience desires, and we believe we can accomplish an incredible amount by the year's end. 2023 is a foundational year. 2024 will be Rumble's Super Bowl. With that, I'll turn the call over to our CFO, Brandon Alexandrov.

Disclaimer

This conference call transcript was computer generated and almost certianly contains errors. This transcript is provided for information purposes only.EarningsCall, LLC makes no representation about the accuracy of the aforementioned transcript, and you are cautioned not to place undue reliance on the information provided by the transcript.

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