ONAR Holding Corporation Reports Q2 2025 Results Aligned with AI-Powered Strategy and $6M Series E Capital Momentum
Miami, FL, Aug. 21, 2025 (GLOBE NEWSWIRE) -- ONAR Holding Corporation (OTCQB: ONAR), an AI-powered marketing agency network, today announced financial results for the second quarter ended June 30, 2025, and provided a strategic update on its ongoing growth initiatives.
Q2 2025 Results
- Revenue Growth: Year-to-date revenue increased approximately 28% compared to the same period last year, reflecting continued momentum across ONAR’s platform.
- Financial Performance: The Company reported a net loss in Q2, largely driven by public company compliance costs, stock-based compensation, and other non-operating expenses. Management views these as temporary headwinds that will normalize relative to revenue as ONAR scales through additional acquisitions.
- Balance Sheet Actions: During the quarter, ONAR converted approximately $142,000 of debt into equity and repaid nearly $300,000 in principal, reflecting disciplined liability management.
- Capital Progress: ONAR has begun closing on its Series E financing round, representing positive momentum in the Company’s capital strategy.
Strategic Developments
- Board Strengthening: In July, ONAR appointedScott Kauffman, former Chairman & CEO of MDC Partners, as Chairman of the Board. Soon after, the Company added Mark Gazit and Reda Raad as independent directors, bringing decades of expertise in marketing, AI, and global governance.
- Technology Roadmap: ONAR partnered with IQSTEL’s Reality Border to co-develop amulti-agent AI operating platform, which will underpin Cortex, the Company’s proprietary marketing intelligence system.
- M&A Pipeline Expansion: The Company signed adefinitive agreement to acquire Retina.ai, a predictive customer intelligence platform serving brands such as Unilever and Dollar Shave Club, enhancing Cortex’s predictive analytics and SaaS potential.
- Portfolio Focus: ONAR is evaluating strategic alternatives for its pool construction subsidiary, which delivered profitability in the first half of 2025. Management believes a potential divestiture could sharpen the Company’s focus on scaling its AI-enabled agency platform.
- Debt Extensions: Subsequent to quarter-end, ONAR began discussions to refinance approximately $1.8 million in short-term debt and convert approximately $1.0 million in related-party debt into a long-term note, strengthening liquidity and extending maturities.
- Controls and Governance: Consistent with its 10-Q disclosure, ONAR has begun implementing enhanced financial controls and engaging external accounting resources to remediate a reported material weakness and support future growth.
Management Commentary
Claude Zdanow, CEO of ONAR, commented, “Our second quarter results show both financial discipline and continued progress toward our long-term strategy. We are advancing on multiple fronts — beginning to close our Series E financing, strengthening our Board, deepening our AI infrastructure with Cortex, and expanding our acquisition pipeline. Each of these developments supports ONAR’s goal of building the first AI-powered marketing ecosystem designed for mid-market companies.”
Dear Shareholders,
Our Q2 2025 results highlight the momentum we are building toward ONAR’s long-term vision. We reported year-to-date revenue growth of approximately 28% compared to the same period last year, a strong signal that our platform model is gaining traction and delivering results.
While the company reported a net loss overall, much of this is driven by public company compliance costs, stock-based compensation, and other non-operating expenses. These are requirements of being a listed company and represent investments ahead of scale. As we complete additional acquisitions and expand our revenue base, we expect these costs to represent a smaller percentage of total expenses, creating a clearer path toward profitability. Importantly, during the quarter, we also reduced obligations by converting debt into equity and repaying principal balances. These actions demonstrate our commitment to managing liabilities prudently while continuing to invest in growth.
This quarter also marked significant progress on the strategic and corporate fronts. We announced the appointment ofScott Kauffman, former Chairman and CEO of MDC Partners, as Chairman of the Board, and later welcomed Mark Gazit and Reda Raad as independent directors. We also previously announced the appointment of Jon Bond, former founder of Kirshbaum & Bond and CEO of White Ops, as well as Howard Palefsky, who led eight companies to over four billion dollars in exits. These leaders bring decades of experience in marketing, technology, and global M&A, and their appointments underscore the strength of our governance as we scale. As part of that same commitment, we are also strengthening our internal reporting processes and controls. We have begun implementing enhanced financial oversight and engaged external accounting resources to remediate the material weakness disclosed in our 10-Q.
On the technology side, we advanced the roadmap for Cortex, our proprietary marketing intelligence system. Through our partnership withIQSTEL’s Reality Border division, we began co-developing a multi-agent AI operating platform that will serve as the foundation of Cortex. At the same time, we signed a definitive agreement to acquireRetina.ai, a customer intelligence platform trusted by global brands such as Unilever and Dollar Shave Club. These steps expand the scope of Cortex, enhancing our ability to deliver predictive insights and laying the groundwork for future SaaS revenue opportunities.
On the capital side, we have begun closing our Series E financing round, which reflects growing investor interest in our platform and provides resources to support acquisitions and technology investments. In addition, we have started discussions to refinance and extend key debt maturities, including both third-party and related-party obligations, further strengthening our liquidity position.
Finally, we are evaluating strategic alternatives for our pool services business, which has been profitable but is not core to our long-term focus. A potential divestiture could allow us to concentrate even more of our resources on scaling ONAR into the leading AI-powered marketing network.
Each of these achievements builds on the foundation laid out in our vision: to create an AI-powered marketing network that transforms how mid-market brands scale. We are pursuing a massive opportunity, and ONAR is uniquely positioned to capture it by combining specialized agencies, proprietary AI, and the scale advantages of a public platform.
I want to thank all of our shareholders for your continued support. We are moving deliberately, with discipline and transparency, as we execute toward our long-term goals.
Sincerely,
Claude Zdanow
Chief Executive Officer
ONAR Holding Corporation
About ONAR Holding Corporation
ONAR (OTCQB: ONAR) is a leading marketing technology company and network of specialized marketing agencies. Its mission is to deliver unparalleled marketing services with measurable growth through an integrated, AI-driven approach. ONAR’s agency network includes specialized performance, healthcare, and experiential marketing solutions, supported by ONAR Labs—a technology incubator deepening its AI capabilities. ONAR works with mid-market and growth-stage companies and is actively acquiring agencies to expand its platform.
Forward-Looking Statements
This press release includes forward‑looking statements within the meaning of the Securities Act of 1933 (Section 27A) and the Exchange Act (Section 21E). These statements reflect ONAR’s current expectations and include, among others, statements regarding its long-term growth strategy, acquisition activities, AI technology development, expected normalization of expenses, and fundraising objectives. These statements are not guarantees and involve known and unknown risks, including market conditions, integration risks, competition, and regulatory changes, which could cause actual outcomes to differ materially. Detailed risk factors are included in ONAR’s SEC filings. ONAR assumes no obligation to update these forward‑looking statements, except as required by law.
Media Contact:
Sara Scully
Marketing Manager
ONAR
213-437-3081
IR@onar.com
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