Kidoz Inc.
Record Revenue / Child-Safety Rules Driving Gaming Migration
Published: May 1, 2026
Author: FRC Analysts
Disclosure: Kidoz Inc. has paid FRC a fee for research coverage and distribution of reports. See last page for other important disclosures, rating, and risk definitions.
Company Details
Sector – Technology
Industry – Advertising
Trading Information
Trading information – KDOZ.V : TSXV
Report Highlights
- Record revenue: 2025 revenue up 32% YoY to $18M, +3% vs our estimate. By comparison, major platforms YouTube (NASDAQ: GOOGL) and Meta (NASDAQ: META) saw relatively softer ad revenue growth of 17% and 22%, respectively, over the same period.
- Investing in AI and growth infrastructure: G&A, development, and other expenses rose 27% YoY, in line with our estimate, driven by higher staffing, infrastructure, and AI R&D spending to support growth, and long-term competitiveness — a positive strategic signal.
- Margin pressure (key surprise): Gross margins compressed 6 pp YoY, which caught us slightly off guard. Management attributes this to a deliberate shift toward bulk sales at discounted pricing to drive repeat business, with a modest drag on margins. Despite the decline, we note that KDOZ’s margins remain in line with sector peers.
- Earnings & cash flow improvement: EPS increased 29% YoY to $0.003, missing our forecast of $0.008, due to lower gross margins. Free cash flow grew 27% YoY.
- Balance sheet strength: No outstanding debt, and ongoing profitability, mean there is no reliance on external financing, or risk of share dilution.
- Resilient digital ad growth: Global digital ad spend remains strong, expected to grow ~8% in 2026 (~9% in 2025), driven by continued digital shift, mobile usage growth, and AI-based ad optimization.
- Stricter child-safety regulations → gaming migration: Policies such as Australia’s under-16 social media restrictions, EU Digital Services Act enforcement, and U.S. COPPA crackdowns are limiting children’s access to social media, shifting engagement to mobile gaming, and child-safe apps, supporting Kidoz’s audience base.
- Valuation & outlook: We expect record revenue and EPS in 2026. KDOZ trades at 1.20x forward EV/Revenue vs 2.81x sector average (~58% discount), highlighting significant valuation upside.
Price and Volume (1-year)


* Kidoz Inc. has paid FRC a fee for research coverage and distribution of reports. See last page for other important disclosures, rating, and risk definitions. All figures are in US$, except share price, fair value, and MCAP data, which are in C$.
Two offerings on the same underlying platform, serving different audience segments across the full demographic spectrum
Company Overview

KIDOZ is a child-safe network that delivers ads through a platform integrated into mobile games, and apps

Launched in 2023, Prado adapts Kidoz’s core technology, and extends it to serve a broader, non-kid mobile audience
Reaches 500M+ gamers every month across 40k+ games

Source: Company
Used by major brands such as Disney (NYSE: DIS), LEGO (NYSE: LEGO), Mattel (NASDAQ: MAT), McDonald’s (NYSE: MCD), and others, reflecting trust from leading global advertisers
Three straight years of revenue growth; turned profitable in 2024
Sector Trends & Implications

Source: FRC / Various
To view the complete report, click on the button above.
The opinions expressed in this report are the true opinions of the analyst(s) about any companies and industries mentioned. Any “forward looking statements” are our best estimates and opinions based upon information that is publicly available and that we believe to be correct, but we have not independently verified with respect to truth or correctness. There is no guarantee that our forecasts will materialize. Actual results will likely vary. The companies listed above are covered by FRC under an issuer-paid model, where fees have been paid to FRC to commission this report and research coverage. This creates a potential conflict of interest which readers should consider. Distribution procedure: our reports are distributed first to our web-based subscribers on the date shown on this report then made available to delayed access users through various other channels for a limited time. To subscribe for real-time access to research, visit https://www.researchfrc.com/plans for subscription options. This report contains “forward looking” statements. Forward-looking statements regarding the Company, industry, and/or stock’s performance inherently involve risks and uncertainties that could cause actual results to differ from such forward-looking statements. Factors that would cause or contribute to such differences include, but are not limited to, continued acceptance of the Company’s products/services in the marketplace; acceptance in the marketplace of the Company’s new product lines/services; competitive factors; new product/service introductions by others; technological changes; dependence on suppliers; systematic market risks and other risks discussed in the Company’s periodic report filings, including interim reports, annual reports, and annual information forms filed with the various securities regulators. By making these forward-looking statements, Fundamental Research Corp. and the analyst/author of this report undertakes no obligation to update these statements for revisions or changes after the date of this report. Fundamental Research Corp DOES NOT MAKE ANY WARRANTIES, EXPRESSED OR IMPLIED, AS TO RESULTS TO BE OBTAINED FROM USING THIS INFORMATION AND MAKES NO EXPRESS OR IMPLIED WARRANTIES OR FITNESS FOR A PARTICULAR USE. ANYONE USING THIS REPORT ASSUMES FULL RESPONSIBILITY FOR WHATEVER RESULTS THEY OBTAIN FROM WHATEVER USE THE INFORMATION WAS PUT TO. ALWAYS TALK TO YOUR FINANCIAL ADVISOR BEFORE YOU INVEST. WHETHER A STOCK SHOULD BE INCLUDED IN A PORTFOLIO DEPENDS ON ONE’S RISK TOLERANCE, OBJECTIVES, SITUATION, RETURN ON OTHER ASSETS, ETC. ONLY YOUR INVESTMENT ADVISOR WHO KNOWS YOUR UNIQUE CIRCUMSTANCES CAN MAKE A PROPER RECOMMENDATION AS TO THE MERIT OF ANY PARTICULAR SECURITY FOR INCLUSION IN YOUR PORTFOLIO. This REPORT is solely for informative purposes and is not a solicitation or an offer to buy or sell any security. It is not intended as being a complete description of the company, industry, securities or developments referred to in the material. Any forecasts contained in this report were independently prepared unless otherwise stated, and HAVE NOT BEEN endorsed by the Management of the company which is the subject of this report. Additional information is available upon request. THIS REPORT IS COPYRIGHT. YOU MAY NOT REDISTRIBUTE THIS REPORT WITHOUT OUR PERMISSION. Please give proper credit, including citing Fundamental Research Corp and/or the analyst, when quoting information from this report. The information contained in this report is intended to be viewed only in jurisdictions where it may be legally viewed and is not intended for use by any person or entity in any jurisdiction where such use would be contrary to local regulations or which would require any registration requirement within such jurisdiction.
