6-K - ILLMF - Equibles

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 6-K

REPORT OF FOREIGN PRIVATE ISSUER PURSUANT TO RULE 13a-16 OR 15d-16 OF THE SECURITIES EXCHANGE ACT OF 1934

For the month of August 2021

Commission File Number 001-40469

AcuityAds Holdings Inc.

(Translation of registrant’s name into English)

70 University Ave., Suite 1200

Toronto, Ontario

M5J 2M4

(Address of principal executive offices)

Indicate by check mark whether the registrant files or will file annual reports under cover of Form 20-F or Form 40-F:

Form 20-F	¨	Form 40-F	x

Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(1): ¨

Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(7): ¨

DOCUMENTS INCLUDED AS PART OF THIS REPORT

Exhibit
99.1	Unaudited Condensed Interim Consolidated Financial Statements of the Registrant for the three and six months ended June 30, 2021 and 2020
99.2	Management’s Discussion and Analysis of Financial Condition and Results of Operations of the Registrant for the three and six months ended June 30, 2021
99.3	AcuityAds Holdings Inc. – Form 52-109F2 Certificate of Interim Filings by CEO (pursuant to Canadian regulations)
99.4	AcuityAds Holdings Inc. – Form 52-109F2 Certificate of Interim Filings by CFO (pursuant to Canadian regulations)

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.

	ACUITYADS HOLDINGS INC.
Date: August 10, 2021	By:	/s/ Jonathan Pollack
		Name:	Jonathan Pollack
		Title:	Chief Financial Officer

Exhibit99.1

AcuityAds Holdings Inc.
Condensed Interim Consolidated
Financial Statements
(Unaudited)
Three and Six Months ended
June 30, 2021 and 2020
(expressed in Canadian dollars)

AcuityAds Holdings Inc.

Condensed Interim Consolidated Statements of Financial Position

(Unaudited)

(expressed in Canadian dollars)

	June 30, <br>2021	December 31,<br> 2020
Assets
Current assets
Cash and cash equivalents
Accounts receivable
Prepaid expenses and other
Investment tax credits receivable

Non-current assets
Property and equipment (note 3)
Intangible assets (note 4)
Goodwill

Liabilities
Current liabilities
Accounts payable and accrued liabilities
Term loans (note 16)
International loans (note 17)
Lease obligations (notes 5)

Non-current liabilities
Term loans (note 16)
International loans (note 17)
Lease obligations (notes 5)

Shareholders’ Equity (notes 7)

All values are in US Dollars.

AcuityAds Holdings Inc.

Condensed Interim Consolidated Statements of Income (Loss)

(Unaudited)

(expressed in Canadian dollars)


Revenue
Managed services
Self-service

Media costs
Gross profit
Operating expenses
Sales and marketing
Technology (note 11)
General and administrative
Share-based compensation (note 7)
Depreciation and amortization

Income (loss) from operations		)		)
Finance costs<br>(note 8)
Foreign exchange (gain) loss	)		)	)
	)		)
Net income (loss) before income taxes		)		)
Incometaxes (note 18)
Net income (loss) for the period		)		)
Net income (loss)per share (note 9)
Basic and diluted		)		)

All values are in US Dollars.

AcuityAds Holdings Inc.

Condensed Interim Consolidated Statements of Comprehensive Income (Loss)

(Unaudited)

(expressed in Canadian dollars)

****	****	****
Net income (loss) for the period	)	)
Exchange differences on translating foreign operations	)
Comprehensive income (loss) for the period	)	)

All values are in US Dollars.

AcuityAds Holdings Inc.

Condensed Interim Consolidated Statements of Changes in Shareholders’ Equity

(Unaudited)

For the six-month periods ended June 30, 2021 and 2020

(expressed in Canadian dollars)

****	2021
	Common shares
	Number ****		Amount	Contributed<br> surplus		Warrants		Other<br> reserves	Deficit		Total
Balance – December 31, 2020		53,422,024								)
Shares issued – options exercised		683,317
Equity financing (note 7 (b))		5,665,025
Share-based compensation (note 7(c))		-
Shares issued – Warrants exercised		39,821					)
Shares issued – DSUs/RSUs exercised (notes 7(d) and 7(e))		625,079			)
Other comprehensive income		-
Net income for the period		-
Balance – June 30, 2021		60,435,266								)

All values are in US Dollars.

****	2020
	Common shares
	Number ****		Amount	Contributed <br>surplus		Warrants		Other <br>reserves		Deficit		Total
Balance – December 31, 2019		47,824,212									)
Shares issued – options exercised		90,000
Share-based compensation (note 7(c))		-
Shares issued – Warrants exercised		1,102,166					)
Shares issued – DSUs/RSUs exercised (notes 7(d) and 7(e))		602,403			)
Other comprehensive income		-							)				)
Warrants cancelled and forfeited		-					)
Warrants issues – term loan (note 16)		-			)								)
Net loss for the period		-									)		)
Balance – June 30, 2020		49,618,781							)		)

All values are in US Dollars.

AcuityAds Holdings Inc.

Condensed Interim Consolidated Statements of Cash Flows

(Unaudited)

For the six-month periods ended June 30, 2021 and 2020

(expressed in Canadian dollars)


Cash provided by (used in)
Operating activities
Income for the year		)
Adjustments to reconcile net income to net cash flows
Depreciation and amortization
Finance costs (note 8)
Share-based compensation (note 7(c))
Change in non-cash operating working capital
Accounts receivable
Prepaid expenses and other	)	)
Investment tax credits receivable
Accounts payable and accrued liabilities	)	)
Interest paid – net	)	)

Investing activities
Additions to property and equipment (note 3)	)	)
Additions to intangible assets (note 4)		)
	)	)
Financing activities
Amount drawn from revolving line of credit (note 15)
Repayment of revolving line of credit (note 15)		)
Net proceeds from term loans (note 16)		)
Repayment of term loans principal (note 16)	)	)
Additions to international loans
Repayment of international loans	)	)
Additions to leases
Repayment of leases	)	)
Net proceeds from equity financing (note 7)
Proceeds from the exercise of warrants
Proceeds from the exercise of stock options
		)
Increase (decrease) in cash and cash equivalents
Cash and cash equivalents – Beginning of year
Cash and cash equivalents – End of year
Supplemental disclosure of non-cash transactions
Additions to property and equipment under leases

All values are in US Dollars.

AcuityAds Holdings Inc.

Notes to Condensed Interim Consolidated Financial Statements

(Unaudited)

June 30, 2021 and 2020

(expressed in Canadian dollars)

1	Corporate information

AcuityAds Holdings Inc. (“AcuityAds” or the “Company”), and its wholly owned subsidiaries AcuityAds Inc., AcuityAds US Inc., 140 Proof Inc., and ADman Interactive S.L.U. (“ADman”), a company that holds certain technology assets, is a leading provider of targeted digital media solutions, enabling advertisers to connect intelligently with their audiences across online display, video, social and mobile campaigns. AcuityAds is a publicly traded company, incorporated in Canada, and its head office is located at 70 University Ave, Suite 1200, Toronto, Ontario M5J 2M4. The Company’s common shares are listed on the Toronto Stock Exchange in Canada, under the trading symbol “AT, and on the Nasdaq Capital Market in the United States, under the trading symbol “ATY”.

Effective January 1, 2020 AcuityAds MM Inc. and Visible Measures Corp were merged into AcuityAds US Inc. and 2422330 Ontario Inc. was amalgamated into AcuityAds Inc.

2	Summary of significant accounting policies

Statement of compliance

These consolidated financial statements have been prepared in accordance with International Financial Reporting Standards (“IFRS”), as issued by the International Accounting Standards Board. The date the Board of Directors authorized the consolidated financial statements for issue is August XX, 2021.

Basis of presentation

These condensed interim consolidated financial statements are prepared in Canadian dollars, which is the Company’s functional and reporting currency and have been prepared mainly under the historical cost basis. Other measurement bases used are described in the applicable notes.

Significant accounting policies

The disclosures contained in these unaudited condensed interim consolidated financial statements do not include all the requirements of IFRS for annual financial statements. The unaudited condensed interim consolidated financial statements should be read in conjunction with the audited annual consolidated financial statements for the year ended December 31, 2020.

The unaudited condensed interim consolidated financial statements are based on accounting policies, as described in note 2 to the 2020 audited annual consolidated financial statements.

Risks and uncertainties

On March 11, 2020, the World Health Organization declared the outbreak of COVID-19 which continues to spread throughout Canada and around the world, as a global pandemic. To date, the Canadian federal and provincial governments as well as businesses have mandated various measures, including: travel restrictions, restrictions on public gatherings, stay-at-home orders and advisories, and the quarantine of individuals who have been exposed to the virus. COVID-19 and actions taken to mitigate the spread of it have had, and are expected to continue to have, an adverse impact on the economies and financial markets of many countries, including the geographical area in which the Company operates.

AcuityAds Holdings Inc.

Notes to Condensed Interim Consolidated Financial Statements

(Unaudited)

June 30, 2021 and 2020

(expressed in Canadian dollars)

The severity of the impact of the COVID-19 pandemic on the Company’s business will depend on a number of factors, including but not limited to the duration and severity of the pandemic and the extent and severity of the impact on the Company’s customers, all of which are uncertain and cannot be predicted. COVID-19 could cause a further and sustained decline in the Company’s share price or the occurrence of what management would deem to be a triggering event that could, under certain circumstances, cause the Company to perform a goodwill or intangible assets impairment test and result in an impairment charge being recorded for that period.

As of the date of issuance of these condensed interim consolidated financial statements, the extent to which the COVID-19 pandemic may materially impact the Company's financial condition, liquidity or results of operations is uncertain.

3	Property and equipment
	Furniture and fixtures		Data centre equipment		Office computer equipment		Equipment under finance leases		Total
---	---	---	---	---	---	---	---	---	---	---
Net book value<br> – December 31, 2020
Additions
Depreciation		)		)		)		)		)
Net book value – June 30, 2021

All values are in US Dollars.


Net book value<br> – December 31, 2019
Additions
Depreciation	)	)	)	)	)
Net book value – June 30, 2020

All values are in US Dollars.

AcuityAds Holdings Inc.

Notes to Condensed Interim Consolidated Financial Statements

(Unaudited)

June 30, 2021 and 2020

(expressed in Canadian dollars)

4	Intangible assets
	Customer relationships		Tradename	Technology		Total
---	---	---	---	---	---	---	---
Net book value – December 31, 2020
Amortization		)			)		)
Net book value – June 30, 2021

All values are in US Dollars.


Net book value – December 31, 2019
Additions
Amortization	)	)	)	)
Net book value – June 30, 2020

All values are in US Dollars.

During the six months ended June 30, 2021, the Company capitalized $nil (2020 – $342,214) of development costs relating to revenue generating technology.

5	Lease obligations
	June 30,<br> 2021	December 31, 2020
---	---	---
Obligations under leases
Less: Current portion

All values are in US Dollars.

The Company has minimum lease payment commitments under leases for the following amounts:

	$
2021	1,482,912
2022	2,134,300
2023	1,579,645
2024	543,852
	5,740,709
Less: Interest	587,411
Present value of minimum lease payments	5,153,298

AcuityAds Holdings Inc.

Notes to Condensed Interim Consolidated Financial Statements

(Unaudited)

June 30, 2021 and 2020

(expressed in Canadian dollars)

6	Related party transactions and balances

Directors and officers are eligible to participate in the Company’s long-term incentive plans. During the three and six months ended June 30, 2021, the Company issued nil and nil (2020 – nil and 170,000) stock options to directors and officers of the Company (note 7(c)).

During the three and six months ended June 30, 2021, the Company issued nil and 97,498 (2020 – nil and nil) RSUs to directors and officers of the Company. Of those issued in 2021, nil and 85,225 were granted to officers and nil and 12,273 were granted to directors in lieu of cash bonuses and director fees. The officers’ RSUs vest fully after eighteen months, and the directors’ RSUs vest fully after one year.

7	Share capital and share based payments
a)	Share capital
---	---

As at June 30, 2021, the Company had an unlimited number of common shares authorized for issuance (2020 – unlimited) and 60,435,266 common shares outstanding (2020 – 49,618,781).

b)	Equity financings

On December 4, 2020, the Company closed a bought deal offering comprised of 1,968,000 common shares issued from treasury and offered by the Company at a price of $6.10 per share for total gross proceeds of $12,004,800, including the full exercise by the underwriters of the over-allotment option. The offering was completed by a syndicate of underwriters. In consideration for their services, the underwriters received aggregate compensation equal to 6% of the gross proceeds of the offering. The Company incurred additional share issuance costs of $1,386,913 in connection with the offering.

On June 14, 2021, the Company closed a public offering comprised of 5,665,025 common shares issued from treasury and offered by the Company at a price of US$10.15 (CAD$12.25) per share for gross proceeds to the Company of US$57,500,003 (CAD$69,396,556). The offering was completed by a syndicate of underwriters. In consideration for their services, the underwriters received aggregate compensation equal to 5.5% of the gross proceeds of the offering. The Company incurred additional share issuance costs of $1,303,137 in connection with the offering which was recorded as a reduction of equity.

c)	Stock Option Plan and Omnibus Incentive Plan

The Company has a stock option plan (the “Stock Option Plan”), deferred share unit plan (the “Deferred Share Unit Plan”) and an omnibus long-term incentive plan (the “Omnibus Incentive Plan”). Since the adoption of the Omnibus Incentive Plan by shareholders on June 16, 2020, the Company has stopped issuing new stock options under its Stock Option Plan and new DSUs under its Deferred Share Unit plan. Previously issued stock options and DSUs remain outstanding and are governed by the plans under which they were initially issued.

Under the Stock Option Plan, the Board of Directors granted stock options to employees, officers, directors and consultants of the Company. The expiry date of options granted under the Stock Option Plan typically did not exceed five years from the grant date. The vesting schedule was at the discretion of the Board of Directors and was generally annually over a three-year period. The exercise price of options was equal to the market price per share on the day preceding the grant date.

AcuityAds Holdings Inc.

Notes to Condensed Interim Consolidated Financial Statements

(Unaudited)

June 30, 2021 and 2020

(expressed in Canadian dollars)

The Omnibus Incentive Plan allows for a variety of equity-based awards to be granted to officers, directors, employees and consultants (in the case of stock options, PSUs and RSUs) and non-employee directors (in the case of DSUs). Stock options, PSUs, RSUs and DSUs are collectively referred to herein as “Awards”. Each Award represents the right to receive common shares, or in the case of PSUs, RSUs and DSUs, common shares or cash, in accordance with the terms of the Omnibus Incentive Plan.

The maximum number of common shares reserved for issuance, in the aggregate, under the Omnibus Incentive Plan, the Stock Option Plan, the Deferred Share Unit Plan of the Company and any other security based compensation arrangement, collectively, is 15% of the aggregate number of common shares issued and outstanding from time to time.

As at June 30, 2021, the Company was entitled to issue a maximum of 9,065,290 equity-based awards, collectively under the Omnibus Incentive Plan, the existing Stock Option Plan, the existing DSU Plan and any other security-based compensation arrangement.

The following table summarizes the continuity of options issued under the Stock Option Plan:


	Number<br> <br>of options		Weighted<br> <br>average<br> <br>exercise<br> <br>price<br> <br>$	Number<br> <br>of options		Weighted<br> <br>average<br> <br>exercise<br> <br>price<br> <br>$
Outstanding – Beginning of year	1,865,519		1.69	3,409,886		1.45
Granted	3,333		1.06	330,000		1.46
Forfeited or cancelled	-		-	(710,052	)	1.03
Exercised	(683,317	)	1.45	(90,000	)	0.78
Outstanding – End of year	1,185,535		1.83	2,939,834		1.57
Options exercisable – End of year	830,037		2.04	2,005,502		1.72

AcuityAds Holdings Inc.

Notes to Condensed Interim Consolidated Financial Statements

(Unaudited)

June 30, 2021 and 2020

(expressed in Canadian dollars)

The following table summarizes the continuity of options issued under the Omnibus Incentive Plan:

			June 30, 2021			June 30, 2020
	Number<br> <br>of options		Weighted average exercise price	Number<br> <br>of options		Weighted average exercise price
Outstanding – Beginning of year		35,000			-
Granted		-			-
Forfeited or cancelled		-			-
Exercised		-			-
Outstanding – End of year		35,000			-
Options exercisable – End of year		-			-

All values are in US Dollars.

A summary of the Company’s combined stock options and Omnibus options outstanding under the above plans is as follows:

	June 30,<br><br><br><br>2021
Range of<br> <br>exercise<br> <br>prices<br> <br>$	Number of<br> <br>options		Weighted<br> <br>average<br> <br>remaining<br> <br>contractual<br> <br>life(years)		Weighted<br> <br>average<br> <br>number of<br> <br>options<br> <br>exercisable
0.96		37,333		2.17		667
1.06		132,168		2.25		43,667
1.13		68.333		3.92		55,000
1.14		10,000		2.42		6,667
1.15		20,000		3.42		6,667
1.27		8,334		3.17		1,668
1.55		58,033		2.92		18,700
1.59		185,000		3.67		51,668
1.71		506,334		2.75		485,333
1.94		40,000		0.42		40,000
2.09		35,000		4.17		-
4.12		7,500		0.92		7,500
4.47		22,500		1.17		22,500
4.60		90,000		0.75		90,000
		1,220,535				830,037

AcuityAds Holdings Inc.

Notes to Condensed Interim Consolidated Financial Statements

(Unaudited)

June 30, 2021 and 2020

(expressed in Canadian dollars)

	June 30,<br><br><br><br>2020
Range of<br><br> <br>exercise<br><br> <br>prices<br><br> <br>$	Number of<br><br> <br>options		Weighted<br><br> <br>average<br><br> <br>remaining<br><br> <br>contractual<br><br> <br>life (years)		Weighted<br><br> <br>average<br><br> <br>number of<br><br> <br>options<br><br> <br>exercisable
0.64		500,000		2.92		333,333
0.83		100,000		0.42		100,000
0.94		90,000		0.17		90,000
0.96		110,000		3.17		36,666
1.00		75,000		0.67		75,000
1.06		278,833		3.25		95,167
1.08		75,000		0.75		75,000
1.13		95,000		4.92		-
1.14		10,000		3.42		3,333
1.15		20,000		4.42		-
1.27		10,000		4.17		-
1.34		10,001		0.92		10,001
1.55		118,000		3.92		39,334
1.59		235,000		4.67		-
1.71		828,000		3.75		786,000
1.94		100,000		1.17		100,000
4.12		95,000		1.92		95,000
4.47		70,000		2.17		46,668
4.60		120,000		1.75		120,000
		2,939,834				2,005,502

During the three and six months ended June 30, 2021, the Company recorded share-based compensation expense under the Black-Scholes option pricing model, related to stock options granted to employees, officers, directors and consultants of the Company of $1,624,119 and $2,488,511 (2020 – $89,692 and $232,816).

During the three and six months ended June 30, 2021, the Company granted nil and 3,333 (2020 – 95,000 and 330,000) stock options with a weighted average exercise price of $nil and $1.06 (2020 – $1.13 and $1.46) to employees, officers, directors and consultants of the Company. Of those options, nil and nil (2020 – 95,000 and 330,000) options were granted to officers or employees of the Company. Nil and 3,333 (2020 – nil and nil) options were granted to consultants as compensation for services rendered at a weighted average price of $nil and $1.06 (2020 – $nil and $nil).

During the three and six months ended June 30, 2021, 71,651 and 683,317 options were exercised at a weighted average exercise price of $1.87 and $1.45 per option, for gross proceeds of $134,259 and $992,141 (2020 – 90,000 and 90,000 were exercised at a weighted average price of $0.78 and $0.78 for gross proceeds of $70,200 and $70,200).

During three and six months ended June 30, 2021, the Company granted nil and nil (2020 – nil and nil) options under the Omnibus Incentive Plan with a weighted average exercise price of $nil and $nil (2020 – nil and nil) to employees, officers, and directors.

During the three and six months ended June 30, 2021, nil and nil (2020 – nil and nil) options under the Omnibus Incentive Plan were exercised.

AcuityAds Holdings Inc.

Notes to Condensed Interim Consolidated Financial Statements

(Unaudited)

June 30, 2021 and 2020

(expressed in Canadian dollars)

Share-based compensation expense was determined based on the fair value of the options at the date of measurement using the Black-Scholes option pricing model with the weighted average assumptions for options granted during the six months ended June 30 as follows:


Weighted average grant date fair value of options granted
Weighted average assumptions used
Expected option life
Risk-free interest rate	%	%
Expected volatility	%	%

All values are in US Dollars.

The expected volatility was estimated based on the historical volatility of the Company’s common shares that covers the expected life of the options granted. The expected option life was estimated based on historical data and represents the numbers of years the options are expected to be outstanding. The risk-free rate was estimated based on the Government of Canada marketable bonds with a term that covers the expected life of the options granted.

d)	Deferred share units

During the three and six months ended June 30, 2021, the Company issued nil and nil (2020 – 71,593 and 204,008) DSUs to employees, officers, independent directors and consultants of the Company, vesting every year in the measure of one third. During the three and six months ended June 30, 2021, 60,749 and 435,245 DSUs were exercised (2020 – 9,167 and 602,403).

e)	Restricted share units

During the three and six months ended June 30, 2021, the Company issued 59,847 and 231,540 (2020 – nil and nil) RSUs to employees, officers, directors and consultants of the Company. During the three and six months ended June 30, 2021, nil and 189,834 (2020 – nil and nil) RSUs were exercised.

8	Finance costs
	Three months ended June 30, 2021	Three months ended June 30, 2020	Six months ended June 30, 2021	Six months ended June 30, 2020
---	---	---	---	---
Finance costs
Interest on finance leases and other interest
Interest and fees on revolving line of credit (note 15)
Interest and fees on term loans (note 16)

All values are in US Dollars.

AcuityAds Holdings Inc.

Notes to Condensed Interim Consolidated Financial Statements

(Unaudited)

June 30, 2021 and 2020

(expressed in Canadian dollars)

9	Net income (loss) per share

The computations for basic and diluted net income (loss) per share for the three months ended March 31, 2021 and 2020 are as follows:


Net income (loss) for the year	)	)
Weighted average number of shares outstanding – basic and diluted
Net income (loss) per share – basic and diluted	)	)

All values are in US Dollars.

Exercisable options to purchase 830,037 common shares (2020 – 2,005,502) and nil warrants (2020 – 356,178) were outstanding as at June 30, 2021. The weighted average numbers of options and warrants were excluded from the calculation of diluted income (loss) per share for the three and six months ended June 30, 2021 and 2020 because their inclusion would have been anti-dilutive.

10	Segment information

The Company’s assets and operations are substantially located in Canada; however, the Company also has employees and customers in the United States and Europe, and generates revenue in each region. Revenue by region for the three and six months ended June 30, 2021 and 2020 is as follows:

	Three months ended June 30, 2021	Three months ended June 30, 2020	Six months ended June 30, 2021	Six months ended June 30, 2020
United States
Canada
Europe and other

All values are in US Dollars.

During the three and six months ended June 30, 2021, the Company had one and one customer that represented 11% and 11% (2020 - 15% and 12%) of total revenue.

11	Government assistance

During the year ended December 31, 2020, the Company secured a $3,000,000 commitment funding from the National Research Council’s Industrial Research Assistance Program (“IRAP”) that is expected to be paid between May 2020 and October 2021, subject to the Company meeting certain program requirements. In January 2021 the Company secured an additional $500,000 commitment to bring the total commitment to $3,500,000. During the three and six months ended June 30, 2021, the Company has received $797,962 and $1,613,892 of this commitment from IRAP, and these amounts were used to reduce technology costs on the condensed interim consolidated statement of income (loss).

AcuityAds Holdings Inc.

Notes to Condensed Interim Consolidated Financial Statements

(Unaudited)

June 30, 2021 and 2020

(expressed in Canadian dollars)

12	Financial instruments

Classification of financial instruments

The following table provides the allocation of financial instruments and their associated financial instrument classifications:

	Loans and receivables/ financial liabilities (amortized cost)
Measurement basis	June 30, 2021	December 31, 2020
Financial assets
Cash and cash equivalents
Accounts receivable
Investment tax credit receivable

All values are in US Dollars.

	Loans and receivables/ financial liabilities
	(amortized cost)
Measurement basis	June 30, 2021	December 31, 2020
Financial liabilities
Accounts payable and accrued liabilities
Term loans
International loans
Lease obligations

All values are in US Dollars.

AcuityAds Holdings Inc.

Notes to Condensed Interim Consolidated Financial Statements

(Unaudited)

June 30, 2021 and 2020

(expressed in Canadian dollars)

Fair value measurements

The Company provides disclosure of the three-level hierarchy that reflects the significance of the inputs used in making the fair value measurement. The carrying values of cash and cash equivalents, restricted cash, accounts receivable, input tax credit (“ITC”) receivable, revolving line of credit, repayable government grant, accounts payable and accrued liabilities, current portion of finance lease obligations, current portion of contingent consideration and current portion of term loans approximate their fair values given their short-term nature. The carrying value of the non-current liabilities approximates their fair value, given that the difference between the discount rates used to recognize the liabilities in the consolidated statements of financial position and the market rates of interest is not considered significant. The three levels of fair value hierarchy based on the reliability of inputs are as follows:

∙	Level 1 – inputs are quoted prices in active markets for identical assets and liabilities;
∙	Level 2 – inputs are based on observable market data, either directly or indirectly other than quoted prices; and
---	---
∙	Level 3 – inputs are not based on observable market data.
---	---

There were no transfers of financial assets during the six months ended June 30, 2021 and 2020 between any of the levels.

13	Capital risk management

The Company’s objectives in managing capital are to ensure sufficient liquidity to pursue its strategy of organic growth combined with strategic acquisitions and to provide returns to its shareholders. The Company defines capital that it manages as the aggregate of its shareholders’ equity, which comprises issued capital, contributed surplus and deficit. The Company manages its capital structure and makes adjustments to it in working capital requirements. In order to maintain or adjust its capital structure, the Company, upon approval from the Board of Directors, may issue shares, repurchase shares, pay dividends or undertake other activities as deemed appropriate under the specific circumstances. The Company is not subject to externally imposed capital requirements, except for certain monthly financial covenants associated with the revolving line of credit as described in note 15.

14	Financial risk management

The Company’s Board of Directors has overall responsibility for the establishment and oversight of the Company’s risk management framework and reviews the Company’s risk management policies on an annual basis. Management identifies and evaluates financial risks and is charged with the responsibility of establishing controls and procedures to ensure that financial risks are mitigated in accordance with the approved policies.

Credit risk

Credit risk is the risk of financial loss to the Company if a customer or counterparty to a financial instrument fails to meet its contractual obligations and arises from the Company’s accounts receivable and cash. As at June 30, 2021, one customer represented 19% of the gross accounts receivable balance of $31,367,108. As at June 30, 2020, three customers each represented more than 5% of the gross accounts receivable balance of $23,868,485.

The Company reviews the components of these accounts on a regular basis to evaluate and monitor this risk. The Company’s customers are generally financially established organizations, which limits the credit risk relating to the customers. In addition, credit reviews by the Company take into account the counterparty’s financial position, past experience and other factors.

As at June 30, 2021, the allowance for doubtful accounts was $337,182 (2020 – $312,985). In establishing the appropriate allowance for doubtful accounts, management makes assumptions with respect to the future collectability of the receivables. Assumptions are based on an individual assessment of a customer’s credit quality as well as subjective factors and trends. Overdue accounts as at June 30, 2021 were $6,754,524 (2020 – $3,308,574), which is in the normal course of business. Management believes that the allowance is adequate.

AcuityAds Holdings Inc.

Notes to Condensed Interim Consolidated Financial Statements

(Unaudited)

June 30, 2021 and 2020

(expressed in Canadian dollars)

The Company from time to time invests its excess cash in accounts with Schedule I banks, with the objective of maintaining the safety of the principal and providing adequate liquidity to meet current payment obligations and future planned capital expenditures and with the secondary objective of maximizing the overall yield of the portfolio. The Company’s cash as at June 30, 2021 is not subject to external restrictions. Investments must be rated at least investment grade by recognized rating agencies. Given these high credit ratings, the Company does not expect any counterparties to these investments to fail to meet their obligations.

Liquidity risk

Liquidity risk is the risk that the Company will not be able to meet its financial obligations as they come due. The Company’s approach to managing liquidity is to ensure, to the extent possible, that it will always have sufficient liquidity to meet its liabilities when due, under both normal and stressed conditions, without incurring unacceptable losses or risking damage to the Company’s reputation. The Company manages its liquidity risk by continually monitoring forecasted and actual revenue and expenditures and cash flows from operations. Management is also actively involved in the review and approval of planned expenditures. The Company’s principal cash requirements are for principal and interest payments on its debt, capital expenditures and working capital needs. The Company uses its operating cash flows, loans and borrowings and cash balances to maintain liquidity. In the event that future cash flows from operations are lower than expected, the Company may need to seek additional financing, either by issuing additional equity or by undertaking additional borrowings. There is no certainty that additional financing will be available or that it will be available on attractive terms.

The following are the contractual maturities for the financial liabilities:

****	June 30,<br><br><br><br>2021
****	****	Carrying amount	Total contractual cash<br> flows	Less than 1<br> year	1<br> to 3 Years	><br> 3 years
Accounts payable<br> and accrued liabilities
Revolving line of credit
International Loans
Term Loans
Lease Obligation

All values are in US Dollars.

AcuityAds Holdings Inc.

Notes to Condensed Interim Consolidated Financial Statements

(Unaudited)

June 30, 2021 and 2020

(expressed in Canadian dollars)

****	December<br>31,<br><br>2020
****	Carrying amount	Total contractual cash<br> flows	Less than 1<br> year	1<br> to 3 Years	><br> 3 years
Accounts payable<br> and accrued liabilities
Revolving line of credit
International Loans
Term loans
Lease Obligation

All values are in US Dollars.

Interest rate risk

Interest rate risk is the risk of financial loss to the Company if interest rates increase on interest-bearing instruments. The revolving line of credit bears interest at 4.6%. The term loans bear interest at a fixed rate of 3.85%, which the Company believes is consistent with market interest rates for this type of debt

Foreign exchange or currency risk

The Company is exposed to foreign exchange risk from purchase transactions, as well as recognized financial assets and liabilities denominated in U.S. dollars. The Company’s main objective in managing its foreign exchange risk is to maintain U.S. cash on hand to support US forecasted obligations and cash flows. To achieve this objective, the Company monitors forecasted cash flows in foreign currencies and attempts to mitigate the risk by modifying the nature of cash held.

If a shift in foreign currency exchange rates of 10% were to occur, the foreign exchange gain or loss on the Company’s net monetary assets could change by approximately $1,539,421 due to the fluctuation and this would be recorded in the consolidated statements of comprehensive loss.

Balances held in U.S. dollars are as follows in CAD:

	June 30, 2021	December 31, 2020
Cash
Accounts receivable
Accounts payable

All values are in US Dollars.

AcuityAds Holdings Inc.

Notes to Condensed Interim Consolidated Financial Statements

(Unaudited)

June 30, 2021 and 2020

(expressed in Canadian dollars)

15	Revolving line of credit

The Company currently has a revolving line of credit with Silicon Valley Bank (“SVB”). The line of credit has been amended several times in 2016, 2018, and 2019. Currently the line of credit has a maximum borrowing availability of U.S.$18 million (CAD$22 million). Actual availability from time to time depends on the Company’s borrowing base at such time.

Most recently on December 24, 2020, the Company and SVB agreed to amend the applicable interest rate on the line of credit to the greater of prime plus 1.35% and 4.60%. At June 30, 2021, the prime rate was 3.25%. The line of credit is secured by a general security agreement, an assignment of ITCs and a pledge of all shares of any direct or indirect subsidiary of the Company.

The following table outlines the activity of the line of credit during the six months ended June 30, 2021 and 2020:

	$
Amortized cost – January 1, 2021	-
Amount drawn from revolving line of credit	-
Principal amount repaid	-
Accrued interest on revolving line of credit	-
Payment of interest on revolving line of credit	-
Foreign exchange differences	-
Amortized cost – June 30, 2021	-

---	---	---
Amortized cost – January 1, 2020
Amount drawn from revolving line of credit
Principal amount repaid		)
Accrued interest on revolving line of credit
Payment of interest on revolving line of credit		)
Foreign exchange differences
Amortized cost – June 30, 2020

All values are in US Dollars.

During the six months ended June 30, 2021, transaction costs incurred relating to the line of credit were $nil (2020 – $nil). All transaction costs have been capitalized and deferred. These deferred transaction costs are being amortized over the term of the agreement under the effective interest method and are included in finance costs.

16	Term loans

On June 15, 2018, all outstanding principal balances related to previous term loans were repaid and the Company obtained a new $7,263,000 term loan (the “2018 Loan”) from a group of private lenders (the “Lenders”). The 2018 Loan was made pursuant to a credit agreement dated June 15, 2018, between the Company and various Lenders, including several individuals who are non-arms length to the Company (the “NAL Lenders”). The NAL Lenders included several officers and directors of the Company who funded an aggregate of $2,263,000 of the 2018 Loan.

AcuityAds Holdings Inc.

Notes to Condensed Interim Consolidated Financial Statements

(Unaudited)

June 30, 2021 and 2020

(expressed in Canadian dollars)

The 2018 Loan was subordinate to the Company’s existing line of credit with SVB and had a term of two years. The 2018 Loan accrued interest at the rate of 12.0% per annum and the Lenders were issued an aggregate of 2,420,990 warrants (the “Warrants”) as bonus warrants in connection with the 2018 Loan. Each Warrant entitled the Lender to acquire one common share for a period of two years at an exercise price of $1.01 per common share, which represented the closing price of the common shares on June 14, 2018. At the time of issuance, the 2,420,990 Warrants had a fair value of $0.46 per Warrant. The fair value of the Warrants was determined using the Black-Scholes option pricing model using the following assumptions: risk-free interest rate of 2.18%, expected volatility of 98%, expected life of 1.75 years and expected dividends of $nil.

Transaction costs incurred in securing the 2018 Loan were $256,403. Included in that amount are nominal fees that the Company agreed to pay to two eligible parties assisting in the 2018 Loan. All transaction costs were capitalized and deferred. These deferred transaction costs are being amortized over the term of the agreement under the effective interest rate method and included in the finance costs.

Fifty percent of the principal portion of the 2018 Loan was to be repaid in ten equal quarterly installments beginning January 1, 2019. The remaining 50% of the 2018 Loan was to be paid at maturity.

On March 31, 2019, the Company entered into an amending agreement to its credit agreement dated June 15, 2018, whereby the maturity date of the 2018 Loan was extended from June 15, 2020 to June 15, 2021.

On April 12, 2020, the Company borrowed US$5,400,00 from SVB in the form of a secured term loan that expires April 1, 2024 (the “Secured Term Loan”), and bears interest at the annual rate equal to the greater of (i) prime plus 2.0% and (ii) 6.75%. All transaction costs related to the Secured Term Loan have been capitalized and deferred and are being amortized over the term of the Secured Term Loan under the effective interest rate method and included in finance costs.

On April 17, 2020, all outstanding principal balances related to the 2018 Loan were repaid in the amount of $5,144,625 and the Company incurred an early repayment penalty of 2.5% totalling $128,616. During the year ended December 31, 2020, $372,188 of transaction costs were incurred securing the Secured Term Loan. All transaction costs have been capitalized and deferred. These deferred transaction costs are being amortized over the term of the agreement under the effective interest method and included in finance costs.

On November 9, 2020, the Company and SVB agreed to increase the availability under the Secured Term Loan by additional US$2,350,000 to a total of US$7,750,000.

On December 24, 2020, the Company and SVB agreed to amend the applicable interest rate of the Secured Term Loan to the greater of prime plus 1.50% and 4.75%. At December 31, 2020, the prime rate was 3.25%.

On May 4, 2021, the Company and SVB agreed to amend the applicable interest rate of the Secured Term Loan to the greater of prime plus 0.60% and 3.85%. At June 30, 2021, the prime rate was 3.25%.

On May 5, 2020, the Company secured a loan of US$1,390,294 (CAD$1,816,836) pursuant to the Paycheck Protection Program as part of the United States’ Coronavirus Aid, Relief and EconomicSecurity Act. On October 12, 2020, the Company applied for the loan forgiveness in accordance with the terms of that program, and the loan was fully forgiven on November 25, 2020. The total loan of US$1,390,294 (CAD$1,816,836) was used to reduce salary costs on the statement of income (loss), $1,282,208 for sales and marketing costs, $465,481 for technology costs, and $69,147 for general and administrative costs.

AcuityAds Holdings Inc.

Notes to Condensed Interim Consolidated Financial Statements

(Unaudited)

June 30, 2021 and 2020

(expressed in Canadian dollars)

The following table outlines the activity of the term loans during the six months ended June 30, 2021 and 2020:


Amortized cost – January 1, 2021
Accrued interest
Payment of interest		)
Principal amount repaid		)
Exchange		)
Balance – June 30, 2021

All values are in US Dollars.


Amortized cost – January 1, 2020
Accrued interest
Payment of interest		)
Principal amount repaid		)
Exchange
Adjustment for warrants granted for repaid term loan
Amounts borrowed – net of costs and warrants issued
Balance – June 30, 2020

All values are in US Dollars.

17	International loans

On June 15, 2018, as a part of the acquisition of ADman, the Company assumed various government and bank loans and lines of credits.

Term loans

The interest rate and maturity date of each of the unsecured term loans held and the activity during the six months ended June 30, 2021 and 2020 are set out in the table below.

AcuityAds Holdings Inc.

Notes to Condensed Interim Consolidated Financial Statements

(Unaudited)

June 30, 2021 and 2020

(expressed in Canadian dollars)

Line of credit

The line of credit is secured against the Company’s accounts receivable. The interest rate and term date of line of credit held and the activity during the six months ended June 30, 2021 and 2020 are set out in the table below:

			Maturity date
Term Loans
Bankinter	2.75	%	May 20, 2021
Banco Sabadell	3.25	%	October 15, 2022
Bankinter	2.35	%	August 17, 2022
Banco Sabadell	4.60	%	October 20, 2022
Santander	2.53	%	May 18, 2023
Bankinter_ICO 2020	2.25	%	May 22, 2024
Santander _ ICO	2.03	%	April 8, 2025
Sabadell_ICO 2020	1.75	%	May 21, 2025
Santander	1.45	%	July 31, 2021
CDTI	3.00	%	December 31, 2022

Line of credit
Bankinter	2.65	%	July 17, 2021
Bankinter	Euribor + 2,25		May 19, 2022
Santander	Euribor + 1,95		April 16, 2023
Banco Sabadell	1.75	%	May 21, 2023
Bankia	2.90	%	August 6, 2023

Total

All values are in US Dollars.

		Maturity date
Term Loans
Bankinter	2.75	May 20, 2021
La Caixa	1.96	June 1, 2020
Santander	2.53	May 18, 2023
Banco Sabadell	4.60	October 20, 2021
Bankinter	2.35	August 17, 2022
Banco Sabadell	3.25	October 15, 2022
Santander	Euribor + 1.75	April 25, 2021
Bankinter	2.35	July 23, 2021
Banco Sabadell	3.25	October 15, 2022
CDTI	3.00	December 31, 2020
Avanza 2014	3.00	December 20, 2020

Line of credit
Banco Sabadell	2.47	October 18, 2020
Bankinter	2.75	July 23, 2020
La Caixa	2.12	May 31, 2021
Santander	Euribor + 1,75	April 25, 2021
Bankinter	2.75	July 23, 2020
Santander	Euribor + 1,75	April 25, 2021

Total

All values are in US Dollars.

AcuityAds Holdings Inc.

Notes to Condensed Interim Consolidated Financial Statements

(Unaudited)

June 30, 2021 and 2020

(expressed in Canadian dollars)

18	Income taxes

Income tax expense is recognized based on management’s estimate of the weighted average annual income tax rate expected for the full financial year.

Exhibit 99.2

AcuityAds HoldingsInc.

MANAGEMENT’SDISCUSSION AND ANALYSIS

FORTHE THREE AND SIX MONTHS ENDED JUNE 30, 2021

Dated August 10, 2021

70 University Ave

Suite 1200

Toronto, ON M5J 2M4

www.acuityads.com

AcuityAds Holdings Inc.

Management’s Discussion and Analysis for the three and six months ended June 30, 2021

Management’s discussion & analysis

This Management’s Discussion and Analysis (“MD&A”) explains the variations in the consolidated operating results and financial position and cash flows of AcuityAds Holdings Inc. (“AcuityAds” or the “Company”) as at and for the three and six months ended June 30, 2021. This analysis should be read in conjunction with AcuityAds’ condensed interim consolidated financial statements for the three and six months ended June 30, 2021 and related notes (the “Condensed Interim Consolidated Financial Statements”). The Condensed Interim Consolidated Financial Statements and extracts of those Condensed Interim Consolidated Financial Statements provided in this MD&A, were prepared in Canadian dollars and in accordance with International Financial Reporting Standards (“IFRS”), as issued by the International Accounting Standards Board, using the accounting policies described therein. As a result of the rounding of dollar differences, certain total dollar amounts in this MD&A may not add exactly to their constituent amounts. All amounts are presented in Canadian dollars unless otherwise indicated. Throughout this MD&A, percentage changes are calculated using numbers rounded as they appear. Readers are cautioned that this MD&A contains certain forward-looking information. (Please see the “Forward Looking Statements” section below for a discussion of the use of such information in this MD&A).

The Condensed Interim Consolidated Financial Statements include the accounts of the Company and its wholly-owned subsidiaries AcuityAds Inc., AcuityAds US Inc., 140 Proof Inc., and ADman Interactive S.L.U. All intercompany balances and transactions have been eliminated on consolidation.

The information in this report is dated as of August 10, 2021.

Non-IFRS Financial Measures

This MD&A includes certain measures which are not defined terms in accordance with IFRS such as “Net Revenue”, “Net Revenue margin”, and “Adjusted EBITDA”.

The term “Net Revenue” refers to the net amount of revenue after deducting direct media costs. Net Revenue is used for internal management purposes as an indicator of the performance of the Company’s solution in balancing the goals of delivering excellent results to advertisers while meeting the Company’s margin objectives and, accordingly the Company believes it is useful supplemental information to include in this MD&A. The term “Net Revenue margin” refers to the amount that “Net Revenue” represents as a percentage of total revenue for a given period.

“Adjusted EBITDA” refers to net income after adjusting for finance costs, impairment loss, fair value gain, income taxes, foreign exchange (gain) loss, depreciation and amortization, share-based compensation, acquisition and related integration costs, severance expenses and adjustments to the carrying value of investment tax credits receivable. The Company believes that Adjusted EBITDA is useful supplemental information as it provides an indication of the results generated by the Company’s main business activities before taking into consideration how those activities are financed and taxed and also prior to taking into consideration depreciation of property and equipment and certain other items listed above. It is a key measure used by the Company’s management and board of directors to understand and evaluate the Company’s operating performance, to prepare annual budgets and to help develop operating plans.

“Net Revenue”, “Net Revenue margin”, and “Adjusted EBITDA” are not measures of performance under IFRS and should not be considered in isolation or as a substitute for comprehensive income (loss) prepared in accordance with IFRS or as a measure of operating performance or profitability. “Net Revenue”, “Net Revenue margin”, and “Adjusted EBITDA” do not have a standardized meaning prescribed by IFRS and are not necessarily comparable to similar measures presented by other companies.

AcuityAds Holdings Inc.

Management’s Discussion and Analysis for the three and six months ended June 30, 2021

FORWARD-LOOKING STATEMENTS

Certain statements in this MD&A that arenot current or historical factual information may constitute “forward-looking” statements within the meaning of applicablesecurities laws, regarding, among other things, the beliefs, plans, objectives, strategies, estimates, intentions or expectations of theCompany, including as they relate to its financial results and its projected total revenue growth, its ability to execute on its investingand business strategies, the benefits of the illumin platform, and the effect of the COVID-19 pandemic on the Company’s businessand operations. When used in this MD&A, forward looking statements can be identified by the use of words such as “may”,or by such words as “will”, “intend”, “believe”, “estimate”, “consider”, “expect”, “anticipate”, and “objective” and similar expressions or variations of such words. Forward-looking statementsare, by their nature, not guarantees of the Company’s future operational or financial performance, and are subject to risks anduncertainties and other factors that could cause the Company’s actual results, performance, prospects or opportunities to differmaterially from those expressed in, or implied by, these forward-looking statements. No representation or warranty is intended with respectto anticipated future results, or that estimates or projections will be sustained. Forward-looking information is provided for the purposeof providing information about management’s current expectations and plans and allowing investors and others to get a better understandingof the Company’s operations. Forward-looking information may not be appropriate for other purposes.

In developing the forward-looking statementsin this MD&A, the Company has applied several material assumptions, including the availability of financing on reasonable terms, andgeneral business and economic conditions. The existence of the COVID-19 pandemic creates a unique environment in which to consider thelikelihood of forward-looking statements being accurate, and given the evolving circumstances surrounding the COVID-19 pandemic, it isdifficult to predict how significant the adverse impact of the pandemic will be on the global and domestic economy, the business, operationsand financial position of the Company’s clients and the business, operations and financial position of the Company. Many risks,uncertainties and other factors could cause the actual results of AcuityAds to differ materially from the results, performance, achievementsor developments expressed or implied by forward-looking statements that are contained in this MD&A. These risks, uncertainties andother factors include, but are not limited to the following: overall economic conditions, rapid technological changes, use of cookies,demand for the Company’s products and services, the Company’s ability to retain existing customers and attract new customers,including under the illumin platform; the Company’s ability to expand into additional advertising channels and expand its customerbase in Canada, the U.S. and globally; the introduction of competing technologies, competitive pressures, network restrictions, fluctuationsin foreign currency exchange rates, and other factors that may cause the actual results, performance or achievements to differ materiallyfrom those expressed or implied in these forward-looking statements. In addition, the effects of COVID-19, including the duration, spreadand severity of the pandemic, create additional risks and uncertainties for the Company. In particular, the impact of the virus and governmentauthorities’ and public health officials’ responses thereto may affect the Company’s actual results, performance, prospectsor opportunities; domestic and global credit and capital markets and the Company’s ability to access capital on favourable terms,or at all; and the health and safety of the Company’s employees.

Any financial outlook and future-oriented financialinformation (as defined in applicable securities laws) contained in this MD&A regarding prospective financial performance,financial position or cash flows, is based on assumptions about future economic conditions or courses of action based onmanagement’s assessment of the relevant information that is currently available. Future-oriented financial informationcontains forward-looking information and is based on a number of material assumptions and factors, as are set out above. The actualresults of the Company’s operations for any period will likely vary from the amounts set forth in these projections and suchvariations may be material. Actual results will vary from projected results. Readers are cautioned that any such financial outlookand future-oriented financial information contained herein should not be used for purposes other than those for which it isdisclosed herein.

AcuityAds Holdings Inc.

Management’s Discussion and Analysis for the three and six months ended June 30, 2021

Readers are cautioned not to place undue relianceon these forward-looking statements, which speak only as of the date of the MD&A or as of the date otherwise specifically indicatedherein. Due to risks and uncertainties, including the risks and uncertainties elsewhere in this MD&A, actual events may differ materiallyfrom current expectations. These risks and uncertainties include, among other things, the factors discussed in “Risk Factors”section of this MD&A and under the “Risk Factors” section of the Annual Information Form of the year ended December 31,2020 (“2020 AIF”) available on SEDAR at www.sedar.com. The Company disclaims any intention or obligation to update or reviseany forward-looking statements, whether as a result of new information, future events or otherwise. All forward-looking statements containedin the MD&A are expressly qualified in their entirety by this cautionary statement.

OVERVIEW

AcuityAds is a technology company that enables marketers to connect intelligently with audiences across video, mobile, social and online display advertising campaigns. AcuityAds’ programmatic marketing platform (the “Programmatic Marketing Platform”), powered by proprietary machine learning technology, is at the core of its business, accompanied by proprietary solutions for analytics-led video and mobile targeting that leverages data. AcuityAds empowers marketers by offering near real-time reporting and analytics, bringing accountability to programmatic advertising to deliver business results and help solve some of the key challenges that digital advertisers face. AcuityAds is headquartered in Toronto and has offices in the U.S., Canada, Spain and throughout Latin America. Its key customers include both advertising agencies and brands, including large Fortune 500 enterprises and small- to mid-sized businesses.

AcuityAds’ technology enables programmatic advertising, which is the automated buying and selling of advertising inventory electronically. The Programmatic Marketing Platform is based on proprietary machine learning technology, the branch of artificial intelligence involving systems that learn from data inputs and outputs and can perform actions without the need for explicit programming. The Programmatic Marketing Platform has the capability to process billions of bid requests on a daily basis.

The Programmatic Marketing Platform allows advertisers to purchase online advertisements in real-time using an ad-buying method whereby open online ad spots (called impressions) are traded via auctions on digital exchanges at market clearing prices in milliseconds. AcuityAds purchases impressions on behalf of advertisers through agreements with publishers directly and through agreements with supply side platforms (“SSPs”) and exchanges. Its technology platform benefits advertisers by enabling them to target audience segments based on a variety of first, second, and third-party data as well as manage their real-time bids for the advertising inventory most relevant for their campaigns. Real-time reporting enables advertisers to monitor relevant performance metrics and adjust budget allocations to optimize for audience reach and ad frequency and business outcomes (key performance indicators (“KPIs”)).

In October 2020, AcuityAds officially launched illumin™, the next generation advertising automation technology, that offers advertisers the ability to plan, buy, optimize and report on omnichannel advertising programs from a single, intuitive user-interface. Advertisers can now map consumer journey playbooks across devices and communication channels, and execute in real-time using programmatic technology. illumin enables delivery of custom creative advertising based on audience receptivity (time, place and context), which has proven to increase both efficiency and overall return on advertising investments. For the three and six months ended June 30, 2021 revenue derived from illumin was $5,223,96 and $8,429,555 compared to no revenue in the comparable 2020 periods.

AcuityAds Holdings Inc.

Management’s Discussion and Analysis for the three and six months ended June 30, 2021

RESULTSOF OPERATIONS

Significant developments during the three andsix months ended June 30, 2021 and to the date of this report include the following:

On March 11, 2020, the World Health Organization declared the outbreak of COVID-19 a global pandemic, which continues to spread throughout Canada and economies around the world. To date, the Canadian and U.S. governments as well as businesses have mandated various measures, including: travel restrictions, restrictions on public gatherings, stay-at-home orders and advisories, and the quarantine of people who may have been exposed to the virus. In response, AcuityAds has changed its work environment and made arrangements to ensure compliance with all applicable health authority regulations.

Despite the COVID-19 pandemic and the Company’s changes to its work environment, AcuityAds continued to operate its business in the normal course. To date, none of the Company’s operations have closed down or have otherwise been materially affected by the COVID-19 pandemic. Certain of the Company’s offices have been subject to government-mandated lockdowns for some periods of time. However, the Company’s staff has been able to perform their functions remotely without meaningful reductions in the Company’s ability to service its customers.

Based on the most recent trends, the Company currently does not expect the COVID-19 pandemic will have a material impact on its future revenues, as more consumers are consuming media digitally as they work from home resulting in higher demand for digital advertising. The COVID-19 pandemic has not directly restricted the Company’s growth plans as the Company’s business is all online, the Company’s staff are generally able to work from home and demand for the Company’s products and services is growing as the Company’s customers increase their digital advertising budgets. However, there is a measure of uncertainty surrounding the COVID-19 pandemic, including the resurgence of COVID-19 infection rates and governmental and other reactions thereto. Accordingly, because the COVID-19 pandemic continues to evolve, it is possible that it could have a material impact on our revenues.

However, there are certain specific client segments, most notably the travel and entertainment industries, that have been more affected by the COVID-19 pandemic than other businesses. COVID-19 has affected the amount of revenues that we earn from our clients in these industries, and the continuation of the pandemic does have an impact on our growth from these clients. See “Risk Factors”.

During the twelve months ended December 31, 2020, the Company secured a $3 million commitment from the National Research Council’s Industrial Research Assistance Program (“IRAP”) that is expected to be paid between May 2020 and October 2021, subject to the Company meeting certain program requirements. The Company received $1,386,108 of this commitment during the twelve months ended December 31, 2020. During the three and six months ended June 30, 2021, the Company received $797,962 and $1,613,892, respectively, of this commitment, and those amounts were used to reduce technology costs on the Consolidated Statement of Income (loss) for the same period.

On June 10, 2021, the Company’s common shares were added to and began trading on the Nasdaq Capital Market.

AcuityAds Holdings Inc.

Management’s Discussion and Analysis for the three and six months ended June 30, 2021

On June 14, 2021, the Company closed a public offering of common shares in the United States and Canada. A total of 5,665,025 common shares of AcuityAds were sold, including the exercise in full by the underwriters of their over-allotment option, at a price of US$10.15 (CAD$12.25) per share, for gross proceeds to the Company of US$57,500,003 (CAD$69,396,556). The offering was completed by a syndicate of underwriters. In consideration for their services, the underwriters received aggregate compensation equal to 5.5% of the gross proceeds of the offering. The Company incurred additional share issuance costs of $1,303,137 in connection with the offering which was recorded as a reduction of equity.

Results for the three and six months endedJune 30, 2021 and 2020

The following table provides selected financial information from the consolidated statements of comprehensive income (loss) for the three and six months ended June 30, 2021 and 2020:

****	Three months ended				****	Six months ended				****
****	June 30,		June 30,		****	June 30,		June 30,		****
****	2021		2020		****	2021		2020		****
Revenue		30,285,222	$	19,556,810			57,739,814	$	43,772,410
By line of service:
Managed services		23,620,786		14,639,657			45,877,003		33,957,933
Self-service		6,664,436		4,917,153			11,862,811		9,814,477
By geography:
US		22,630,694		15,430,644			44,060,828		33,260,007
Canada		3,773,754		1,992,372			6,885,237		4,772,753
Other		3,880,774		2,133,794			6,793,749		5,739,650
Gross Profit (Net Revenue)		15,809,030		10,108,628			30,173,122		22,297,015
Adjusted EBITDA^1^		5,438,821		2,141,178			9,980,275		3,943,747
Income (loss) from operations		2,518,859		(478,423	)		4,756,346		(1,081,688	)
Net income		3,361,572		(1,600,405	)		4,725,453		(1,395,630	)
Net income per share (basic and diluted) ^2^		0.06		(0.03	)		0.08		(0.03	)
(1)	As defined in “Non-IFRS Financial Measures”.
---	---
(2)	Exercisable options to purchase 830,037 (2020 – 2,005,502) common shares<br>and nil (2020 – 356,178) warrants were outstanding as at June 30, 2021. The weighted average number of options and warrants were<br>excluded from the calculation of diluted loss per share for the period ended June 30, 2021 and 2020 because their inclusion would have<br>been anti-dilutive.
---	---

Three months ended June 30, 2021and 2020

Revenue for the three months ended June 30, 2021 was $30,285,222, an increase of $10,728,412 from $19,556,810 for the three months ended June 30, 2020. Sales of the Company’s managed services platform for the three months ended June 30, 2021 were $23,620,786, an increase of $8,981,129 from $14,639,657 for the three months ended June 30, 2020. Sales of the Company’s self-service platform for the three months ended June 30, 2021 were $6,664,436, an increase of $1,747,283 from $4,917,153 for the three months ended June 30, 2020. The increase in total revenue for the three months ended June 30, 2021 was a result of the new illumin revenue stream and the implications of the COVID-19 pandemic on the 2020 results.

Revenue generated in the United States for the three months ended June 30, 2021 was $22,630,694, an increase of $7,200,050 from $15,430,644 for the three months ended June 30, 2020. Revenue generated in Canada for the three months ended June 30, 2021 was $3,773,754, an increase of $1,781,382 from $1,992,372 for the three months ended June 30, 2020. Other revenue increased from $2,133,794 to $3,880,774 during the three months ended June 30, 2021.

AcuityAds Holdings Inc.

Management’s Discussion and Analysis for the three and six months ended June 30, 2021

Adjusted EBITDA for the three months ended June 30, 2021 was $5,438,821, an increase of $3,297,643 from $2,141,178 for the three months ended June 30, 2020. The year-over-year increase in Adjusted EBITDA was primarily attributable to higher net revenues and management’s focus on cost containment. Net income for the three months ended June 30, 2021 was $3,361,572, an increase of $4,961,977 from a net loss of $1,600,405 for the three months ended June 30, 2020. The increase in net income was primarily due to higher net revenues and management’s focus on cost containment.

Six months ended June 30, 2021 and2020

Revenue for the six months ended June 30, 2021 was $57,739,814, an increase of $13,967,404 from $43,772,410 for the six months ended June 30, 2020. Sales of the Company’s managed services platform for the six months ended June 30, 2021 were $45,877,003, an increase of $11,919,070 from $33,957,933 for the six months ended June 30, 2020. Sales of the Company’s self-service platform for the six months ended June 30, 2021 were $11,862,811, an increase of $2,048,334 from $9,814,477 for the six months ended June 30, 2020. The increase in total revenue for the six months ended June 30, 2021, was a result of the new illumin revenue stream and the implications of the COVID-19 pandemic on the 2020 results.

Revenue generated in the United States for the six months ended June 30, 2021 was $44,060,828, an increase of $10,800,821 from $33,260,007 for the six months ended June 30, 2020. Revenue generated in Canada for the six months ended June 30, 2021 was $6,885,237, an increase of $2,112,484 from $4,772,753 for the six months ended June 30, 2020. Other revenue increased from $5,739,650 to $6,793,749 during the six months ended June 30, 2021.

Adjusted EBITDA for the six months ended June 30, 2021 was $9,980,275, an increase of $6,036,528 from $3,943,747 for the six months ended June 30, 2020. The year-over-year increase in Adjusted EBITDA was primarily attributable to higher net revenues and management’s focus on cost containment. Net income for the six months ended June 30, 2021 was $4,725,453, an increase of $6,121,083 from a net loss of $1,395,630 for the six months ended June 30, 2020. The increase in net income was primarily due to higher net revenues and management’s focus on cost containment.

The Company’s revenues and operating results may vary from quarter to quarter as a result of a variety of factors, some of which are outside of the Company’s control, including seasonality and cyclicality, and, in fiscal 2021, the implications of the current COVID-19 pandemic.

Seasonality may be affected by customer mix, such that retail advertisers may concentrate their advertising spending with AcuityAds in the fourth quarter while entertainment advertisers may concentrate their spending to coincide with the launch and display of content, such as television shows or movies. The Company’s rapid growth has led to fluctuating overall operating results due to investments in AcuityAds’ sales and marketing and research and development from quarter to quarter and increases in employee headcount. As a result of these factors, one quarter’s operating results are not necessarily indicative of a future quarter’s operating results.

AcuityAds Holdings Inc.

Management’s Discussion and Analysis for the three and six months ended June 30, 2021

Net Revenue

The following table sets out a reconciliation of Net Revenue to Revenue for each of the periods indicated:

****	Three months ended					****	Six months ended					****
****	June 30,		****	June 30,		****	June 30,		****	June 30,		****
****	2021		****	2020		****	2021		****	2020		****
Revenue	$	30,285,222		$	19,556,810		$	57,739,814		$	43,772,410
Media costs		14,476,192			9,448,182			27,566,692			21,475,395
Net Revenue		15,809,030			10,108,628			30,173,122			22,297,015
Net Revenue margin		52.2	%		51.7	%		52.3	%		50.9	%

Three months ended June 30, 2021 and 2020

Media costs comprise advertising impressions that the Company purchased from real-time advertising exchanges or through other third parties. For the three months ended June 30, 2021 media costs were $14,476,192 compared to $9,448,182 for the three months ended June 30, 2020. The increase of $5,028,010 in media costs was attributable to the increased revenue during the period. Net revenue margin was 52.2% for the three months ended June 30, 2021 compared to 51.7% for the three months ended June 30, 2020.

Six months ended June 30, 2021 and 2020

Media costs comprise advertising impressions that the Company purchased from real-time advertising exchanges or through other third parties. For the six months ended June 30, 2021, media costs were $27,566,692 compared to $21,475,395 for the six months ended June 30, 2020. The increase of $6,091,297 in media costs was attributable to the increased revenue during the period. Net revenue margin was 52.3% for the six months ended June 30, 2021 compared to 50.9% for the six months ended June 30, 2020.

Reconciliation of net income to Adjusted EBITDA for the three andsix months ended June 30, 2021 and 2020

The following table presents a reconciliation of Net Income to Adjusted EBITDA for the periods indicated:

****	Three months ended					****	Six months ended					****
****	June 30,		****	June 30,		****	June 30,		****	June 30,		****
****	2021		****	2020		****	2021		****	2020		****
Net income for the period	$	3,361,572		$	(1,600,405	)	$	4,725,453		$	(1,395,630	)
Adjustments:
Finance costs		258,974			450,644			533,854			1,053,036
Foreign exchange (gain) loss		(1,303,044	)		632,594			(734,561	)		(881,702	)
Depreciation and amortization		1,261,634			2,256,647			2,644,660			4,422,991
Income taxes		201,357			38,743			231,600			142,608
Share-based compensation		1,624,119			89,692			2,488,511			232,816
Severance expenses		34,209			74,127			90,758			170,492
Non recurring expenses		-			199,136			-			199,136
Total adjustments		2,077,249			3,741,583			5,254,822			5,339,377
Adjusted EBITDA	$	5,438,821		$	2,141,178		$	9,980,275		$	3,943,747

AcuityAdsHoldings Inc.

Management’s Discussion and Analysis for the three and six months ended June 30, 2021

Three months ended June 30, 2021and 2020

Adjusted EBITDA for the three months ended June 30, 2021 was $5,438,821 compared to $2,141,178 for the three months ended June 30, 2020. The year-over-year increase of $3,297,642 in Adjusted EBITDA was primarily attributable to higher net revenues and management’s focus on cost containment.

Six months ended June 30, 2021and 2020

Adjusted EBITDA for the six months ended June 30, 2021 was $9,980,275 compared to $3,943,747 for the six months ended June 30, 2020. The year-over-year increase of $6,036,528 in Adjusted EBITDA was primarily attributable to higher net revenues and management’s focus on cost containment.

Operating Expenses, FinanceCosts, and Foreign Exchange

The following table summarizes various expenses for the three and six months ended June 30, 2021 and 2020:

	Three months ended					Six months ended
	June 30,			June 30,		June 30,			June 30,
	2021			2020		2021			2020
Sales and marketing	$	5,167,203		$	3,751,002	$	9,721,227		$	8,579,928
Technology		3,342,054			2,823,182		7,135,424			6,876,204
General and administrative		1,895,161			1,666,528		3,426,954			3,266,764
Share-based compensation		1,624,119			89,692		2,488,511			232,816
Depreciation and amortization		1,261,634			2,256,647		2,644,660			4,422,991
Finance costs		258,974			450,644		533,854			1,053,036
Foreign exchange (gain) loss		(1,303,044	)		632,594		(734,561	)		(881,702)

Sales and marketing expenses

Sales and marketing expenses consist of all costs associated with selling and marketing the Company’s services and products. The costs include all salary and benefit costs, personnel costs, commissions and variable compensation, travel, marketing, payroll taxes and employee health and related benefit expenses, for the sales, marketing, and account management teams. Sales and marketing expenses for the three months ended June 30, 2021 were $5,167,203, an increase of $1,416,201 compared to the same period of the prior year. The year-over-year increase was primarily related to an increase in total revenue. Sales and marketing expenses represented 17% of revenue for the three months ended June 30, 2021, compared to 19% for the same period of the prior year.

Sales and marketing expenses for the six months ended June 30, 2021 were $9,721,227, an increase of $1,141,299 compared to the same period of the prior year. The year-over-year increase was primarily related to an increase in total revenue. Sales and marketing expenses represented 17% of revenue for the six months ended June 30, 2021, compared to 20% for the same period of the prior year.

Technology

Technology expenses consist of all costs associated with increasing the Programmatic Marketing Platform’s effectiveness and efficiency. The majority of such costs comprise of salary and benefit costs and costs associated with housing the required computer equipment. Technology expenses for the three months ended June 30, 2021 were $3,342,054, an increase of $518,872 compared to the same period of the prior year. Excluding government grants, during the three months ended June 30, 2021, technology expenses increased by $363,478 compared to the same period from the prior year. Excluding government grants, for the three months ended June 30, 2021, technology expenses represented 14% of revenue compared to 19% for the same period of the prior year.

AcuityAdsHoldings Inc.

Management’s Discussion and Analysis for the three and six months ended June 30, 2021

During the three months ended June 30, 2021, the Company received $797,962 in government grants related to technology from IRAP.

Technology expenses for the six months ended June 30, 2021 were $7,135,424, an increase of $259,220 compared to the same period of the prior year. Excluding government grants, during the six months ended June 30, 2021, technology expenses increased by $658,827 compared to the same period from the prior year. Excluding government grants, for the six months ended June 30, 2021, technology expenses represented 15% of revenue compared to 18% for the same period of the prior year.

During the six months ended June 30, 2021, the Company received $1,613,892 in government grants related to technology from IRAP.

General and administrative

General and administrative expenses include salaries and benefits of the administrative staff, occupancy costs, public company fees, insurance, professional fees, and supplies. General and administrative expenses for the three months ended June 30, 2021 were $1,895,161, an increase of $228,633 compared to the same period of the prior year. For the three months ended June 30, 2021, general and administrative expenses represented 6% of revenue compared to 9% for the same period of the prior year.

General and administrative expenses for the six months ended June 30, 2021 were $3,426,954, an increase of $160,190 compared to the same period of the prior year. For the six months ended June 30, 2021, general and administrative expenses represented 6% of revenue compared to 7% for the same period of the prior year.

Share-based compensation

Share-based compensation expenses for the three months ended June 30, 2021 were $1,624,119, an increase of $1,534,427 compared to the same period of the prior year. Share-based compensation expenses for the six months ended June 30, 2021 were $2,488,511, an increase of $2,255,695 compared to the same period of the prior year. The increase in share-based compensation expense was related to an increase in share compensation granted in the three and six months ending June 30, 2021.

Depreciation and amortization

Depreciation and amortization for the three months ended June 30, 2021 were $1,261,634, a decrease of $995,013 compared to the same period of the prior year. Depreciation and amortization for the six months ended June 30, 2021 were $2,644,660 a decrease of $1,778,331 compared to the same period of the prior year. The year-over-year decrease was attributable to the lower intangible asset balance as a result of fully amortizing the asset in December 2020.

AcuityAdsHoldings Inc.

Management’s Discussion and Analysis for the three and six months ended June 30, 2021

Finance costs

Finance costs for the three months ended June 30, 2021 were $258,974, a decrease of $191,670 compared to the same period of the prior year. Finance costs for the six months ended June 30, 2021 were $533,854, a decrease of $519,182 compared to the same period of the prior year. The decrease in finance costs was primarily due to the debt repayment during the period, resulting in a lower outstanding debt balance as compared to the same period of the prior year as well as the term loan interest rate decreasing from 12% to 3.85% as a result of the April 2020 debt refinancing with Silicon Valley Bank.

Foreign exchange (gain) (loss)

Foreign exchange gain (loss) consists of the realized and unrealized exchange differences due to fluctuations between the Canadian dollar, the U.S. dollar and the Euro. The Company recorded a net foreign exchange gain of $1,303,044 for the three months ended June 30, 2021 compared to a loss of $632,595 for the three months ended June 30, 2020.

The Company recorded a net foreign exchange gain of $734,561 for the six months ended June 30, 2021 compared to a gain of $881,702 for the six months ended June 30, 2020.

Historically, the Company has not hedged foreign currency transactions, but may elect to do so in the future if it is determined to be advantageous.

OUTLOOK

While the impact of the COVID-19 pandemic has created short-term uncertainty with respect to the Company’s revenues, Adjusted EBITDA and net income, the Company expects solid revenue and Adjusted EBITDA growth in 2021 compared to 2020.

See “Forward-Looking Information”.

Summary of Quarterly Results

The following unaudited table sets out selected financial information for the Company on a consolidated basis for the last eight most recently completed quarters. The unaudited quarterly information, other than Adjusted EBITDA, has been prepared in accordance with IFRS.

	Quarter Ended																	****
	Jun 30,<br> <br>2021		Mar 31,<br> <br>2021		Dec 31,<br> <br>2020		Sept 30,<br> <br>2020		Jun 30,<br> <br>2020			Mar 31,<br> <br>2020		Dec 31,<br> <br>2019		Sept 30,<br> <br>2019
Revenue	$	30,285,222	$	27,454,592	$	35,057,316	$	26,064,322	$	19,556,810		$	24,215,600	$	38,536,725	$	26,864,507
Adjusted EBITDA		5,438,821		4,541,454		7,819,968		4,034,402	$	2,141,178		$	1,802,569	$	6,012,050	$	11,613,770
Net income (loss)	$	3,361,572	$	1,363,881	$	4,165,399	$	921,220	$	(1,600,405	)	$	204,774	$	1,995,245	$	(1,360,006	)
Net income (loss) per share:	$	0.06	$	0.03	$	0.08	$	0.02	$	(0.03	)	$	0.00	$	0.04	$	(0.03	)
Weighted average number of shares outstanding (000'S)		58,014,013		54,398,478		52,855,998		50,312,701		49,523,122			48,997,938		47,814,816		47,744,143

AcuityAdsHoldings Inc.

Management’s Discussion and Analysis for the three and six months ended June 30, 2021

LIQUIDITYAND CAPITAL RESOURCES

Selected financial information from the statements of financial position as at June 30, 2021 and December 31, 2020 are as follows:

	June 30, <br>2021		December 31, <br>2020
Cash and cash equivalents	$	93,399,362	$	22,638,300
Working capital^(1)^		100,090,436		26,763,590
Total assets		140,399,301		72,433,499
Current liabilities		26,811,051		29,657,005
Other non-current liabilities		8,389,022		10,725,906
Shareholders’ equity		105,199,228		32,050,588

^(1)^Working capital is defined as current assets less current liabilities.

As at June 30, 2021, the Company had cash and cash equivalents and restricted cash of $93,399,362 compared to $22,638,300 as at December 31, 2020.

Cash flows generated from operations were $9,197,351 during the six months ended June 30, 2021 as compared to $9,295,426 during the six months ended June 30, 2020.

Cash flows used in investing activities were $129,570 during the six months ended June 30, 2021, compared to $3,231,405 during the six months ended June 30, 2020. The decrease was primarily due to a reduction in asset purchases compared to the prior-year period.

Cash flows generated from financing activities were $61,693,281 during the six months ended June 30, 2021, compared to cash used of $4,405,301 during the six months ended June 30, 2020. The increase was primarily due to the public equity offering completed during the period ended June 30, 2021.

Liquidity risk is the risk the Company will not be able to meet its financial obligations as they come due. The Company’s approach to managing liquidity is to ensure, to the extent possible, that it will always have sufficient liquidity to meet its liabilities when due, under both normal and stressed conditions, without incurring unacceptable losses or risking damage to the Company’s reputation. The Company manages its liquidity risk by continually monitoring forecasted and actual revenue and expenditures and cash flows from operations. While the Company currently has sufficient operating capital to meet its day-to-day operating expenses, it is possible that the Company could experience a working capital deficiency in the future, which would have a materially adverse effect on the Company’s liquidity.

Management is also actively involved in the review and approval of planned expenditures. The Company’s principal cash requirements are for principal and interest payments on its debt, capital expenditures and working capital needs. The Company uses its operating cash flows, loans and borrowings and cash balances to maintain liquidity. In the event future cash flows from operations are lower than expected, the Company may need to seek additional financing, either by issuing additional equity or by undertaking additional debt. There is no certainty that additional financing, whether debt or equity, will be available or that it will be available on commercially attractive terms. Additional information can be found in the Company’s Consolidated Financial Statements which are available on SEDAR at www.sedar.com

AcuityAdsHoldings Inc.

Management’s Discussion and Analysis for the three and six months ended June 30, 2021

Common Shares

Changes in the number of issued common shares from December 31, 2020 to June 30, 2021 are as follows:

****	Number of Common Shares
Balance December 31, 2020		53,422,024
Shares issued –Warrants exercised		39,821
Shares issued – Equity financing		5,665,025
Shares issued –Options exercised		683,317
Shares issued – DSU’s exercised		435,245
Shares issued – RSU’s exercised		189,834
Balance June 30, 2021		60,435,266

Preference Shares

While the Company is authorized to issue and unlimited number of preference shares, the Company has no preference shares issued and outstanding.

Stock Options

The Company presently issues stock options, deferred share units (“DSUs”), performance share units (“PSUs”) and restricted share units (RSUs”) pursuant to its omnibus long-term incentive plan (the “Omnibus Incentive Plan”). Prior to June 16, 2020, the Company issued stock options pursuant to its predecessor stock option plan (the “Stock Option Plan”) and DSUs pursuant to its predecessor deferred share unit plan (the “DSU Plan”). Although the Company no longer issues new stock options or DSUs pursuant to the predecessor Stock Option Plan and DSU Plan, respectively, previously issued stock options and DSUs remain outstanding and are governed by the existing plans under which they were initially issued.

The maximum number of common shares reserved for issuance, in the aggregate, under the Omnibus Incentive Plan, the stock option plan, the deferred share unit plan of the Company and any other security-based compensation arrangement, collectively, is 15% of the aggregate number of common shares issued and outstanding from time to time. As at June 30, 2021, the Company was entitled to issue a maximum of 9,065,290 equity-based awards collectively under the Omnibus Incentive Plan, the existing Stock Option Plan, the existing DSU Plan and any other security-based compensation arrangement.

AcuityAds Holdings Inc.

Management’s Discussion and Analysis for the three and six months ended June 30, 2021

The following table summarizes the continuity of stock options issued by the Company under the Stock Option Plan:

	June 30,<br> <br>2021				June 30,<br> <br>2020
	Number<br> <br>of options			Weighted average exercise price	Number<br> <br>of options			Weighted average exercise price
Options outstanding – Beginning of year		1,865,519				3,409,886
Granted		3,333				330,000
Forfeited or cancelled		-				(710,052	)
Exercised		(683,317	)			(90,000	)
Options outstanding – End of period		1,185,535				2,939,834
Options exercisable – End of period		830,037				2,005,502

All values are in US Dollars.

The following table summarizes the continuity of stock options issued by the Company under the Omnibus Incentive Plan:

	June 30,<br> <br>2021			June 30,<br> <br>2020
	Number<br> <br>of options		Weighted average exercise price	Number<br> <br>of options		Weighted average exercise price
Options outstanding – Beginning of year		35,000			-
Granted		-			-
Forfeited or cancelled		-			-
Exercised		-			-
Options outstanding – End of period		35,000			-
Options exercisable – End of period		-			-

All values are in US Dollars.

Deferred Share Units

During the three and six months ended June 30, 2021, the Company issued nil and nil (2020 – 71,593 and 204,008) DSUs to employees, officers, directors and consultants of the Company. During the three and six months ended June 30, 2021, 60,749 and 435,245 (2020 – 9,167 and 602,403) DSUs were exercised. As of June 30, 2021, the Company had 754,374 DSUs outstanding.

AcuityAds Holdings Inc.

Management’s Discussion and Analysis for the three and six months ended June 30, 2021

Restricted Share Units

During the three and six months ended June 30, 2021, the Company issued 59,847 and 231,540 (2020 – nil and nil) RSUs to employees, officers, directors and consultants of the Company. During the three months ended June 30, 2021, nil and 189,834 (2020 – nil and nil) RSUs were exercised. As of June 30, 2021, the Company had 1,255,969 RSUs outstanding.

Warrants

For the three and six months ended June 30, 2021, the Company did not issue any warrants and during the same period, nil and 39,821 warrants were exercised. During the three and six months ended June 30, 2021, 800 and 800 warrants, respectively, were forfeited. As a result, as of June 30, 2021, the Company had no warrants outstanding.

CONTRACTUAL OBLIGATIONS

The following are the contractual maturities for the financial liabilities:

	June 30, <br><br>2021
	Carrying amount	Total contractual cash flows	Less than 1 year	1 to 3 Years	>3 years
Accounts payable and accrued Liabilities
International Loans
Term loans
Lease Obligations

All values are in US Dollars.

****	December 31,<br> 2020
	Carrying amount	Total contractual cash flows	Less than 1 year	1 to 3 Years	>3 years
Accounts payable and accrued liabilities
International Loans
Term loans
Lease Obligations

All values are in US Dollars.

OFF-BALANCE SHEET ARRANGEMENTS

The Company has no off-balance sheet arrangements that have or are reasonably likely to have a current or future material adverse effect on its financial condition, revenues or expenses, results of operations, liquidity, capital expenditures or capital resources.

TRANSACTIONS WITH RELATED PARTIES

During the six months ended June 30, 2021, there were no transactions with related parties.

AcuityAds Holdings Inc.

Management’s Discussion and Analysis for the three and six months ended June 30, 2021

CRITICAL ACCOUNTING POLICIES AND ESTIMATES

The preparation of the Consolidated Financial Statements and application of IFRS often involve management's judgment and the use of estimates and assumptions deemed to be reasonable at the time they are made. Significant assumptions and estimates used in preparing the financial statements include those related to credit quality of accounts receivable, income tax credits receivable, share-based payments, impairment tests for non-financial assets, as well as revenue and cost recognition. AcuityAds bases its estimates on historical experience and on various other assumptions that it believes to be reasonable under the circumstances, the results of which form the basis for making judgments about the carrying values of assets, liabilities, equity, revenue and expenses that are not readily apparent from other sources. The Company reviews estimates and underlying assumptions on an ongoing basis. Revisions are recognized in the period in which estimates are revised and may impact future periods as well. Other results may be derived with different judgments or using different assumptions or estimates and events may occur that could require a material adjustment. Significant accounting policies and estimates under IFRS are found in Note 2 of the Company’s Condensed Interim Consolidated Financial Statements which are available on SEDAR at www.sedar.com.

CHANGES IN ACCOUNTING POLICIES

Recently adopted accounting pronouncements

For the six months ending June 30, 2021, the Company has not adopted any new accounting policies.

DISCLOSURE CONTROLS AND INTERNALCONTROLS OVER FINANCIAL REPORTING

Management of AcuityAds is responsible for establishing and maintaining disclosure controls and procedures for the Company as defined under National Instrument 52-109 - Certification of Disclosure in Issuers’ Annual and Interim Filings (“NI 52-109”) issued by the Canadian Securities Administrators. Management has designed such disclosure controls and procedures, or caused them to be designed under its supervision, to provide reasonable assurance that material information relating to the Company, including its consolidated subsidiaries, is made known to the Chief Executive Officer (“CEO”) and the Chief Financial Officer (“CFO”) by others within those entities on a timely basis, particularly during the period in which the annual filings are being prepared, so that appropriate decisions can be made regarding public disclosure.

As required by NI 52-109, an evaluation of the adequacy of the design (quarterly) and effective operation (annually) of the Company’s disclosure controls and procedures was conducted under the supervision of management, including the CEO and CFO, as at December 31, 2020. Based on that evaluation, the CEO and the CFO have concluded that the design and operation of the system of disclosure controls and procedures were effective as at December 31, 2020.

There have been no changes to AcuityAds’ internal control over financial reporting during the six-months ended June 30, 2021 that have materially affected, or are reasonably likely to materially affect, AcuityAds’ internal control over financial reporting.

AcuityAds Holdings Inc.

Management’s Discussion and Analysis for the three and six months ended June 30, 2021

OUTSTANDING SHARE DATA

As of August 9, 2021, 60,448,466 common shares and no preference shares were issued and outstanding. In addition, as of August 9, 2021, there were 1,179,668 stock options outstanding, each of which represents the right to acquire one common share, with exercise prices ranging from $0.96 to $4.60 per share. As at August 9, 2021, there were 754,374 DSUs outstanding under the Company’s DSU Plan, each of which represents the right to acquire one common share when the participant is no longer rendering service to the Company. As at August 9, 2021, there were 1,255,969 RSUs outstanding under the Company’s Omnibus Incentive Plan, each of which represents the right to acquire one common share when the participant is no longer rendering service to the Company. As at August 9, 2021, there were no warrants outstanding.

RISK FACTORS

AcuityAds is exposed to a variety of business risks, financial and accounting risks and industry risks in the normal course of operations. A detailed description of risk factors associated with the Company’s business is given in the “Risk Factors” section of the 2020 AIF dated March 1, 2021 which is available under the Company’s profile on SEDAR at www.sedar.com.

ADDITIONAL INFORMATION

Additional information relating to the Company, including the Company’s AIF, is posted on SEDAR at www.sedar.com. The Company’s common shares are listed on the TSX under the symbol “AT” and the Nasdaq Capital Market under the symbol “ATY”.

Exhibit 99.3

FORM 52-109F2

CERTIFICATION OF INTERIM FILINGS

FULL CERTIFICATE

I, Tal Hayek, Chief Executive Officer of AcuityAds Holdings Inc., certify the following:

1.	Review: I have reviewed the interim financial report and interim MD&A (together, the "interim<br>filings") of AcuityAds Holdings Inc., (the "issuer") for the interim period ended June 30, 2021.
2.	No misrepresentations: Based on my knowledge, having exercised reasonable diligence, the interim<br>filings do not contain any untrue statement of a material fact or omit to state a material fact required to be stated or that is necessary<br>to make a statement not misleading in light of the circumstances under which it was made, with respect to the period covered by the interim<br>filings.
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3.	Fair presentation: Based on my knowledge, having exercised reasonable diligence, the interim financial<br>report together with the other financial information included in the interim filings fairly present in all material respects the financial<br>condition, financial performance and cash flows of the issuer, as of the date of and for the periods presented in the interim filings.
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4.	Responsibility: The issuer's other certifying officer and I are responsible for establishing and<br>maintaining disclosure controls and procedures (DC&P) and internal control over financial reporting (ICFR), as those terms are defined<br>in National Instrument 52-109 Certification of Disclosure in Issuers' Annual and Interim Filings, for the issuer.
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5.	Design: Subject to the limitations, if any, described in paragraphs 5.2 and 5.3, the issuer's other<br>certifying officer and I have, as at the end of the period covered by the interim filings
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(a)	designed DC&P, or caused it to be designed under our supervision, to provide reasonable assurance<br>that
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(i)	material information relating to the issuer is made known to us by others, particularly during the period<br>in which the interim filings are being prepared; and
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(ii)	information required to be disclosed by the issuer in its annual filings, interim filings or other reports<br>filed or submitted by it under securities legislation is recorded, processed, summarized and reported within the time periods specified<br>in securities legislation; and
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(b)	designed ICFR, or caused it to be designed under our supervision, to provide reasonable assurance regarding<br>the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with the issuer's<br>GAAP.
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5.1	Control framework: The control framework the issuer's other certifying officer and I used to design<br>the issuer's ICFR is Internal Control-Integrated Framework (2013 COSO Framework) published by the Committee of Sponsoring Organizations<br>of the Treadway Commission.
5.2	ICFR -- material weakness relating to design: N/A.
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5.3	Limitation on scope of design: N/A
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6.	Reporting changes in ICFR: The issuer has disclosed in its interim MD&A any change in the issuer's<br>ICFR that occurred during the period beginning on April 1, 2021 and ended on June 30, 2021 that has materially affected, or is reasonably<br>likely to materially affect, the issuer's ICFR.
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Date: August 10, 2021

/s/ Tal Hayek
Tal Hayek
Chief Executive Officer

Exhibit 99.4

FORM 52-109F2

CERTIFICATION OF INTERIM FILINGS

FULL CERTIFICATE

I, Jonathan Pollack, Chief Financial Officer of AcuityAds Holdings Inc., certify the following:

1.	Review: I have reviewed the interim financial report and interim MD&A (together, the "interim<br>filings") of AcuityAds Holdings Inc., (the "issuer") for the interim period ended June 30, 2021.
2.	No misrepresentations: Based on my knowledge, having exercised reasonable diligence, the interim<br>filings do not contain any untrue statement of a material fact or omit to state a material fact required to be stated or that is necessary<br>to make a statement not misleading in light of the circumstances under which it was made, with respect to the period covered by the interim<br>filings.
---	---
3.	Fair presentation: Based on my knowledge, having exercised reasonable diligence, the interim financial<br>report together with the other financial information included in the interim filings fairly present in all material respects the financial<br>condition, financial performance and cash flows of the issuer, as of the date of and for the periods presented in the interim filings.
---	---
4.	Responsibility: The issuer's other certifying officer and I are responsible for establishing and<br>maintaining disclosure controls and procedures (DC&P) and internal control over financial reporting (ICFR), as those terms are defined<br>in National Instrument 52-109 Certification of Disclosure in Issuers' Annual and Interim Filings, for the issuer.
---	---
5.	Design: Subject to the limitations, if any, described in paragraphs 5.2 and 5.3, the issuer's other<br>certifying officer and I have, as at the end of the period covered by the interim filings
---	---
(a)	designed DC&P, or caused it to be designed under our supervision, to provide reasonable assurance<br>that
---	---
(i)	material information relating to the issuer is made known to us by others, particularly during the period<br>in which the interim filings are being prepared; and
---	---
(ii)	information required to be disclosed by the issuer in its annual filings, interim filings or other reports<br>filed or submitted by it under securities legislation is recorded, processed, summarized and reported within the time periods specified<br>in securities legislation; and
---	---

- 2 -

(b)	designed ICFR, or caused it to be designed under our supervision, to provide reasonable assurance regarding<br>the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with the issuer's<br>GAAP.
5.1	Control framework: The control framework the issuer's other certifying officer and I used to design<br>the issuer's ICFR is Internal Control-Integrated Framework (2013 COSO Framework) published by the Committee of Sponsoring Organizations<br>of the Treadway Commission.
---	---
5.2	ICFR -- material weakness relating to design: N/A.
---	---
5.3	Limitation on scope of design: N/A
---	---
6.	Reporting changes in ICFR: The issuer has disclosed in its interim MD&A any change in the issuer's<br>ICFR that occurred during the period beginning on April 1, 2021 and ended on June 30, 2021 that has materially affected, or is reasonably<br>likely to materially affect, the issuer's ICFR.
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Date: August 10, 2021

/s/ Jonathan Pollack
Jonathan Pollack
Chief Financial Officer