Press Release: TNL Mediagene Issues Shareholder Letter Providing H2 and 2025 Corporate Update

Dow Jones12-19

TOKYO and TAIPEI, Dec. 19, 2025 /PRNewswire/ -- TNL Mediagene (Nasdaq: TNMG) (the "Company"), a Tokyo-based next-generation digital media and data group in Asia, today issued a letter to shareholders from Joey Chung, Co-Founder and CEO, and Motoko Imada, Co-Founder and President of TNL Mediagene, discussing key recent positive and notable developments, milestones and achievements of the Company year-to-date in 2025 and plans for the year ahead.

   -- FY2025 summary performance guidance of $49.1 million Revenue, $17.8 
      million Gross Profit and $0.8 million Management Adjusted EBITDA 
 
   -- Performance highlights strength in our Technology and Digital Studio 
      business units offset by pressure in our Media & Branded Content business 
      unit as a result of industry-wide AI SEO shifts, stable Gross Profit 
      margin and expanding Management Adjusted EBITDA margin driven by cost 
      reduction initiatives 
 
   -- Key capital structure milestones and new capital raised include repayment 
      of our $4.7 million outstanding convertible note balance, $2.15 million 
      in common equity and $375,000 in convertible notes raised from existing 
      shareholders and new private investors, $1.5 million through a new 
      convertible note from 3i at improved terms including 18-month maturity 
      and 6-month interest and amortization holiday, and amendments to our 
      existing outstanding ELOC agreement with Tumin Stone with improved terms 
      to allow for more efficient and lower-cost strategic use of this 
      instrument at our sole discretion 
 
   -- Several significant new strategic partnerships signed in the year 
      including CMoney, Taiwan's largest stock information and financial 
      education platform serving over 10 million active users each month; 
      PChome, one of Asia's largest e-commerce platforms similar to an Amazon; 
      and Geniee to expand access to advertising creative solution "Cr.ED", a 
      data-powered creative platform and SaaS service that helps marketers 
      create rich and engaging interactive digital advertisements more 
      efficiently, among others 
 
   -- Large and active investor conference and event hosting calendar with some 
      key wins including TechGALA Japan 2025 and appointment as Lead Partner 
      for TechGALA Japan 2026; hosting 2025 Becoming Aces Awards and Launch of 
      "Rising Star in Digital Impact" with 91APP Foundation; hosting INSIDE 
      Future Day 2025 "Next-Gen AI Agents: Building a New Era of Human-AI 
      Collaboration"; and co-hosting 2025 Generative AI Conference 
 
   -- Several key initiatives were launched in the year to better position the 
      Company competitively on a revenue and cost and basis including continued 
      diversification into Technology, Digital Studio and new media verticals; 
      expanding proven successful media properties into new language markets 
      with our multilingualization strategy; hiring and promoting key C-level 
      and editorial talent; and continued strong progress on staff 
      restructuring and reorganization efforts that we expect to bring 
      significant cost savings 

Dear Shareholders,

As we conclude 2025, we want to give an update on some notable developments at the Company as well as look back at key milestones achieved throughout this transformative year, and we will also highlight some of our plans for the year ahead.

FY2025 Summary Performance Guidance

We are issuing the following summary performance guidance for FY2025:

   -- Revenue: $49.1 million, revenue growth driven by Technology and Digital 
      Studio business unit performance, Media & Branded Content business unit 
      expected to be flat or slightly down year-on-year as a result of 
      industry-wide AI SEO impacts 
 
   -- Gross Profit: $17.8 million, Gross Profit margin in the range of 36-37%, 
      in-line with FY2024 
 
   -- Management Adjusted EBITDA*2: $0.8 million, expected to exceed FY2024, 
      driven by cost efficiency and cost reduction initiatives 
 
   -- Public Company Costs: projected at approximately $3.75m to $4m 

FY2025 performance highlights the bifurcation between strength in our Technology and Digital Studio business units as they continue to experience growth and expansion, offset by our Media & Branded Content business unit that has been pressured by industry-wide AI SEO shifts.

Our Gross Profit is expected to remain approximately in line with FY2024, while our Management Adjusted EBITDA, which adjusts for the impact of public company costs to enhance comparability with FY2024, is expected to exceed FY2024 as a result of the implementation of our cost efficiency and cost reduction initiatives. We expect FY2025 to be our first year of Management Adjusted EBITDA profitability which is an important and exciting milestone for us.

Capital Structure Improvements & New Capital Raised

We recently announced key updates on the Company's capital structure and funding:

   -- Repaid the outstanding balance of our convertible note with the initial 
      principal of $4.7 million which we took on in December 2024 to help pay 
      our closing costs in connection with our NASDAQ listing 
 
   -- Raised $2.15 million in common equity and $375,000 in convertible 
      notes during 2025 from existing shareholders and new private investors 
      including David Chu, the Taiwanese American founder of Nautica and former 
      design head for Tumi and George Jenson, among others 
 
   -- Raised $1.5 million through a new convertible note from 3i at improved 
      terms including 18-month maturity and 6-month interest and amortization 
      holiday 
 
   -- Amended our existing outstanding ELOC agreement with Tumin Stone with 
      improved terms to allow for more efficient and lower-cost strategic use 
      of this instrument at our sole discretion 

These updates enhance our financial flexibility and reduce dilution pressure on our stock price. We now benefit from a simpler capital structure that better fits our operational needs and strategic goals.

New Strategic Partnerships Drive Commerce Revenue & Retail Media Network Growth

On the business development front, we have signed several new and significant strategic partnerships that we believe will position us well in the commerce space:

   -- Strategic partnership with CMoney, Taiwan's largest stock information and 
      financial education platform serving over 10 million active users each 
      month 
 
   -- Strategic partnership with PChome, announced in March, one of Asia's 
      largest e-commerce platforms similar to an Amazon 
 
   -- Strategic partnership with Geniee to expand access to advertising 
      creative solution "Cr.ED", a data-powered creative platform and SaaS 
      service that helps marketers create rich and engaging interactive digital 
      advertisements more efficiently 

These strategic partnerships support our strategy to connect large pools of retail data with our leading AI, AdTech and technology products to build out a much more accurate view of our customers we can monetize with precision targeting. This strategy taps into the broader rise of retail media networks (RMN) and harnesses their significant power and potential to position our company on the cutting edge of ecommerce and has the potential to drive significant revenue for our business.

Active Event Hosting Schedule Drives Enhanced Visibility for Our Brand

We've hosted, co-hosted and curated several high-profile global and regional events this year, including:

   -- TechGALA Japan 2025, we played a central role in this year's event that 
      was sponsored by leading Japanese and global corporates and included 
      representatives from some of Japan's largest banks, trading houses and 
      universities as well as over 400 international and Japanese speakers and 
      more than 5,000 participants from over 20 countries 
 
   -- TechGALA Japan 2026, following 2025's success we've joined the 2026 event 
      as Lead Partner and have organized some globally relevant Keynote 
      Speakers and Special Session Speakers including: Monika Bielskyte, Nike 
      Futurist in Residence, and expert in immersive media and information 
      technology; Shradha Sharma, Founder & CEO, YourStory, India's leading 
      startup media platform; Hiroshi Amano, Distinguished Professor, Nagoya 
      University / Distinguished Professor Emeritus, Meijo University, and 
      recipient of the 2014 Nobel Prize in Physics; and Jacques Attali, French 
      Economist and public intellectual and special adviser to French President 
      François Mitterrand from 1981-1991. In addition, over 90 speakers 
      from Japan and abroad have been announced to date 
 
   -- 2025 Becoming Aces Awards and Launch of "Rising Star in Digital Impact" 
      with 91APP Foundation to Advance Youth Innovation and Sustainable Impact, 
      Becoming Aces aims to spotlight young leaders and amplify the public 
      value of civic-driven innovation. Over the past nine years, the program 
      has recognized around 200 youth changemakers nationwide. We hosted the 
      9th annual awards ceremony in Taipei in November and launched the 
      inaugural "Rising Star in Digital Impact" award in collaboration with the 
      91APP Foundation, recognizing outstanding youth changemakers advancing 
      social impact through digital technology, e-commerce and AI 
 
   -- INSIDE Future Day 2025 "Next-Gen AI Agents: Building a New Era of 
      Human-AI Collaboration", a recurring event that we're hosting again this 
      year on December 9 that focuses on emerging trends in technology and 
      innovation and brings together key figures from the tech industry, 
      including entrepreneurs, investors and senior executives, to share their 
      insights and experiences on future technologies, industry shifts and 
      startup trends. This year's forum attracted more than 400 registrations, 

(MORE TO FOLLOW) Dow Jones Newswires

December 19, 2025 07:30 ET (12:30 GMT)

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