PodcastOne (Nasdaq: PODC), a leading podcast platform and a
subsidiary of LiveOne (Nasdaq: LVO), announced today its
operating results for the first fiscal quarter ended June 30, 2024
(“Q1 FY 2025”).
PodcastOne’s President and Co-Founder, Kit Gray,
commented, “Once again, I am extremely proud of our team's
accomplishments. We’ve seen record-breaking revenue figures backed
by our incredible team. By implementing strategic acquisitions,
effective marketing efforts, and leveraging long-term relationships
with advertisers and brands, it allows us to maintain profitability
and worth for both our company and valued shareholders. We look
forward to continued growth and success as we prioritize revenue
and commit to the future of our business.”
Recent and Q1 FY
2025 Highlights
- LiveOne currently owns
approximately 72% of PodcastOne and it will continue to consolidate
PodcastOne’s financial results.
- PodcastOne was ranked 11th in
Podtrac’s Podcast Industry Top Publishers Rankings for July
2024 with a U.S. Unique Monthly Audience of ~5.5 million and
Global Downloads and Streams of ~17.8 million.
- PodcastOne has increased its slate
of exclusive shows to 187 original titles.
Q1 FY 2025 vs Q1 FY 2024 Results Summary
(in $000’s, except per share; unaudited)
|
Three Months Ended |
|
June 30, |
|
|
2024 |
|
|
|
2023 |
|
|
|
|
|
Revenue |
$ |
13,159 |
|
|
$ |
10,637 |
|
Operating income (loss) |
$ |
(1,366 |
) |
|
$ |
193 |
|
Total other income
(expense) |
$ |
- |
|
|
$ |
(403 |
) |
Net income (loss) |
$ |
(1,366 |
) |
|
$ |
(210 |
) |
Adjusted EBITDA* |
$ |
(316 |
) |
|
$ |
363 |
|
Net income (loss) per share
basic and diluted |
$ |
(0.06 |
) |
|
$ |
(0.01 |
) |
|
|
|
|
|
|
|
|
Q1 FY
2025 Results Summary Discussion
For Q1 FY 2025, PodcastOne posted revenue of
$13.2 million, a 24% increase as compared to $10.6 million in the
same period in the prior year.
Q1 FY 2025 Operating Loss was ($1.4) million
compared to Operating Income of $0.2 million in the first fiscal
quarter ended June 20, 2023 (“Q1 FY 2024”). The $1.6 million
decrease in Operating Income was largely a result of an increase in
content cost and legal and accounting cost due to PodcastOne
becoming a public company.
Q1 FY 2025 Adjusted EBITDA* was $(0.3) million,
as compared to Q1 FY 2024 Adjusted EBITDA* of $0.4 million.
PodcastOne is maintaining its revenue guidance
for its fiscal year ending March 31, 2025 (“FY 2025”) of $51
million - $56 million.
PodcastOne's senior management will host a live
conference call at 11:30 A.M. ET on Tuesday, August 13, 2024.
Conference Call and Webcast:
WHEN: Tuesday, August 13thTIME: 11:30 AM ET / 8:30 AM PTDIAL-IN
(Toll Free): (800) 715-9871DIAL IN NUMBER (Local): (646)
307-1963REPLAY NUMBER: (800) 770-2030
WEBCAST – Both the live webcast and a
replay can be accessed on the Investor Relations section of
LiveOne's website at Events | LiveOne.
The webcast can also be accessed
at: https://events.q4inc.com/attendee/750791651
About PodcastOne
PodcastOne (Nasdaq: PODC) is a Los
Angeles based podcast network founded in 2012 by Kit Gray and Norm
Pattiz providing creators and advertisers with a full 360-degree
solution in sales, marketing, public relations, production, and
distribution delivering over 2.1 billion downloads per year with a
community of 250 of the top podcasters, including Adam Carolla,
Kaitlyn Bristowe, Jordan Harbinger, LadyGang and A&E's Cold
Case Files. PodcastOne has built a distribution network reaching
over 1 billion listeners a month across all of its own properties,
LiveOne (Nasdaq: LVO), Spotify, Apple Podcasts, iHeartRadio,
Samsung and over 150 shows exclusively available in Tesla vehicles.
PodcastOne is also the parent company of LaunchpadOne, an
innovative self-serve platform developed to launch, host,
distribute and monetize independent user-generated podcasts. For
more information, visit podcastone.com and follow us
on Facebook, Instagram, YouTube and Twitter
at @podcastone. For more investor information, please
visit ir.podcastone.com.
Forward-Looking Statements
All statements other than statements of
historical facts contained in this press release are
“forward-looking statements,” which may often, but not always, be
identified by the use of such words as “may,” “might,” “will,”
“will likely result,” “would,” “should,” “estimate,” “plan,”
“project,” “forecast,” “intend,” “expect,” “anticipate,” “believe,”
“seek,” “continue,” “target” or the negative of such terms or other
similar expressions. These statements involve known and unknown
risks, uncertainties and other factors, which may cause actual
results, performance or achievements to differ materially from
those expressed or implied by such statements, including: LiveOne’s
reliance on one key customer for a substantial percentage of its
revenue; LiveOne’s and PodcastOne’s ability to consummate any
proposed financing, acquisition, special dividend, merger,
distribution or transaction, including the spin-out of LiveOne’s
pay-per-view business, the timing of the consummation of any such
proposed event, including the risks that a condition to the
consummation of any such event would not be satisfied within the
expected timeframe or at all, or that the consummation of any
proposed financing, acquisition, merger, special dividend,
distribution or transaction will not occur or whether any such
event will enhance shareholder value; PodcastOne’s ability to
continue as a going concern; PodcastOne’s ability to attract,
maintain and increase the number of its listeners; PodcastOne
identifying, acquiring, securing and developing content; LiveOne’s
intent to repurchase shares of its and/or PodcastOne’s common stock
from time to time under LiveOne’s announced stock repurchase
program and the timing, price, and quantity of repurchases, if any,
under the program; LiveOne’s ability to maintain compliance with
certain financial and other covenants; PodcastOne successfully
implementing its growth strategy, including relating to its
technology platforms and applications; management’s relationships
with industry stakeholders; uncertain and unfavorable outcomes in
legal proceedings; changes in economic conditions; competition;
risks and uncertainties applicable to the businesses of PodcastOne,
LiveOne and/or LiveOne’s other subsidiaries; and other risks,
uncertainties and factors including, but not limited to, those
described in PodcastOne’s Annual Report on Form 10-K for the fiscal
year ended March 31, 2024, filed with the U.S. Securities and
Exchange Commission (the “SEC”) on July 1, 2024, and in
PodcastOne’s other filings and submissions with the SEC. These
forward-looking statements speak only as of the date hereof, and
PodcastOne disclaims any obligation to update these statements,
except as may be required by law. PodcastOne intends that all
forward-looking statements be subject to the safe-harbor provisions
of the Private Securities Litigation Reform Act of 1995.
* About Non-GAAP Financial Measures
To supplement our consolidated financial
statements, which are prepared and presented in accordance with the
accounting principles generally accepted in the United States of
America ("GAAP"), we present Contribution Margin (Loss) and
Adjusted Earnings Before Interest Tax Depreciation and Amortization
("Adjusted EBITDA"), which are non-GAAP financial measures, as
measures of our performance. The presentation of these non-GAAP
financial measures is not intended to be considered in isolation
from, or as a substitute for, or superior to, operating loss and or
net income (loss) or any other performance measures derived in
accordance with GAAP or as an alternative to net cash provided by
operating activities or any other measures of our cash flows or
liquidity.
We use Contribution Margin (Loss) and Adjusted
EBITDA to evaluate the performance of our operating segment. We
believe that information about these non-GAAP financial measures
assists investors by allowing them to evaluate changes in the
operating results of our business separate from non-operational
factors that affect operating income (loss) and net income (loss),
thus providing insights into both operations and the other factors
that affect reported results. Adjusted EBITDA is not calculated or
presented in accordance with GAAP. A limitation of the use of
Adjusted EBITDA as a performance measure is that it does not
reflect the periodic costs of certain amortizing assets used in
generating revenue in our business. Accordingly, Adjusted EBITDA
should be considered in addition to, and not as a substitute for
operating income (loss), net income (loss), and other measures of
financial performance reported in accordance with GAAP.
Furthermore, this measure may vary among other companies; thus,
Adjusted EBITDA as presented herein may not be comparable to
similarly titled measures of other companies.
Contribution Margin (Loss) is defined as Revenue
less Cost of Sales. Adjusted EBITDA is defined as earnings before
interest, other (income) expense, income tax expense, depreciation
and amortization and before (a) non-cash GAAP purchase accounting
adjustments for certain deferred revenue and costs, (b) legal,
accounting and other professional fees directly attributable to
acquisition activity, (c) employee severance payments and third
party professional fees directly attributable to acquisition or
corporate realignment activities, (d) certain non-recurring
expenses associated with legal settlements or reserves for legal
settlements in the period that pertain to historical matters that
existed at acquired companies prior to their purchase date and a
one-time minimum guarantee to effectively terminate a live events
distribution agreement post COVID-19, (e) depreciation and
amortization (including goodwill impairment, if any), and (f)
certain stock-based compensation expense. Management does not
consider these costs to be indicative of our core operating
results.
With respect to projected full fiscal year 2025
Adjusted EBITDA, a quantitative reconciliation is not available
without unreasonable efforts due to the high variability,
complexity and low visibility with respect to purchase accounting
adjustments, acquisition-related charges and legal settlement
reserves excluded from Adjusted EBITDA. We expect that the
variability of these items to have a potentially unpredictable, and
potentially significant, impact on our future GAAP financial
results.
For more information on these non-GAAP financial
measures, please see the tables entitled “Reconciliation of
Non-GAAP Measure to GAAP Measure” included at the end of this
release.
PodcastOne IR
Contact:Jason Assad(678)
570-6791jwassad@podcastone.com
PodcastOne Press Contact:(310)
246-4600Susan@Guttmanpr.com
Financial Information |
The tables
below present financial results for the three months
ended June 30, 2024 and 2023. |
PodcastOne, Inc.Consolidated Statements of
Operations (Unaudited)(In thousands, except share
and per share amounts) |
|
|
|
Three Months Ended |
|
|
June 30, |
|
|
|
2024 |
|
|
|
2023 |
|
|
|
|
|
|
Revenue: |
|
$ |
13,159 |
|
|
$ |
10,637 |
|
|
|
|
|
|
Operating expenses: |
|
|
|
|
Cost of sales |
|
|
11,709 |
|
|
|
8,222 |
|
Sales and marketing |
|
|
847 |
|
|
|
1,250 |
|
Product development |
|
|
18 |
|
|
|
27 |
|
General and administrative |
|
|
1,398 |
|
|
|
920 |
|
Amortization of intangible assets |
|
|
377 |
|
|
|
25 |
|
Impairment of intangible assets |
|
|
176 |
|
|
|
- |
|
Total operating expenses |
|
|
14,525 |
|
|
|
10,444 |
|
Loss from operations |
|
|
(1,366 |
) |
|
|
193 |
|
|
|
|
|
|
Other income (expense): |
|
|
|
|
Interest expense, net |
|
|
- |
|
|
|
(1,593 |
) |
Change in fair value of derivatives |
|
|
- |
|
|
|
1,190 |
|
Total other expense, net |
|
|
- |
|
|
|
(403 |
) |
|
|
|
|
|
Loss before provision for income taxes |
|
|
(1,366 |
) |
|
|
(210 |
) |
|
|
|
|
|
Provision for income taxes |
|
|
- |
|
|
|
- |
|
Net loss |
|
$ |
(1,366 |
) |
|
$ |
(210 |
) |
|
|
|
|
|
Net loss per share – basic and
diluted |
|
$ |
(0.06 |
) |
|
$ |
(0.01 |
) |
Weighted average common shares – basic and
diluted |
|
|
23,712,530 |
|
|
|
20,000,000 |
|
PodcastOne, Inc.Consolidated Balance
Sheets (Unaudited)(In thousands) |
|
|
|
June 30 |
|
March 31, |
|
|
|
2024 |
|
|
|
2024 |
|
|
|
(Unaudited) |
|
(Audited) |
Assets |
|
|
|
|
Current Assets |
|
|
|
|
Cash and cash equivalents |
|
$ |
891 |
|
|
$ |
1,445 |
|
Accounts receivable, net |
|
|
7,100 |
|
|
|
6,023 |
|
Prepaid expense and other current assets |
|
|
1,183 |
|
|
|
1,105 |
|
Total Current Assets |
|
|
9,174 |
|
|
|
8,573 |
|
Property and equipment, net |
|
|
316 |
|
|
|
309 |
|
Goodwill |
|
|
12,041 |
|
|
|
12,041 |
|
Intangible assets, net |
|
|
2,474 |
|
|
|
3,145 |
|
Related party receivable |
|
|
- |
|
|
|
57 |
|
Total Assets |
|
$ |
24,005 |
|
|
$ |
24,125 |
|
|
|
|
|
|
Liabilities and Stockholders’
Equity |
|
|
|
|
Current Liabilities |
|
|
|
|
Accounts payable and accrued liabilities |
|
$ |
8,065 |
|
|
$ |
7,383 |
|
Related party payable |
|
|
220 |
|
|
|
315 |
|
Total Current Liabilities |
|
|
8,285 |
|
|
|
7,698 |
|
Other long term liabilities |
|
|
46 |
|
|
|
86 |
|
Total Liabilities |
|
|
8,331 |
|
|
|
7,784 |
|
|
|
|
|
|
Commitments and Contingencies |
|
|
|
|
|
|
|
|
|
Stockholders’ Equity |
|
|
|
|
Common stock, $0.00001 par value; 100,000,000 shares authorized;
23,791,767 and 23,608,049 shares issued and outstanding as of June
30, 2024 and March 31, 2024, respectively |
|
|
- |
|
|
|
- |
|
Additional paid in capital |
|
|
46,651 |
|
|
|
45,952 |
|
Accumulated deficit |
|
|
(30,977 |
) |
|
|
(29,611 |
) |
Total stockholders’ equity |
|
|
15,674 |
|
|
|
16,341 |
|
Total Liabilities and Stockholders’
Equity |
|
$ |
24,005 |
|
|
$ |
24,125 |
|
PodcastOne, Inc.Reconciliation of Non-GAAP
Measure to GAAP MeasureAdjusted EBITDA*
Reconciliation (Unaudited)(In
thousands) |
|
|
|
|
|
|
|
|
|
Non- |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Recurring |
|
|
|
|
|
|
|
|
Net |
|
Depreciation |
|
|
|
Acquisition and |
|
Other |
|
(Benefit) |
|
|
|
|
Income |
|
and |
|
Stock-Based |
|
Realignment |
|
(Income) |
|
Provision |
|
Adjusted |
|
|
(Loss) |
|
Amortization |
|
Compensation |
|
Costs (1) |
|
Expense (2) |
|
for Taxes |
|
EBITDA*- |
Three Months Ended
June 30, 2024 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total |
|
$ |
(1,366 |
) |
|
$ |
619 |
|
|
$ |
394 |
|
|
$ |
37 |
|
|
$ |
- |
|
|
$ |
- |
|
|
$ |
(316 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended
June 30, 2023 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total |
|
$ |
(210 |
) |
|
$ |
86 |
|
|
$ |
84 |
|
|
$ |
- |
|
|
$ |
403 |
|
|
$ |
- |
|
|
$ |
363 |
|
|
(1 |
) |
Non-Recurring Recurring Acquisition and Realignment Costs include
outside legal, accounting and other professional fees directly
attributable to acquisition activity in the period, in addition to
certain non-recurring expenses associated with legal settlements or
reserves for legal settlements in the period that pertain to
historical matters that existed at certain acquired companies prior
to their purchase date and non-recurring employee severance
payments. |
|
(2 |
) |
Other (Income) Expense above primarily includes interest expense,
net and change in fair value of derivative liabilities. These are
included in the statement of operations in other income (expense)
and are an add back to net loss above in the reconciliation of
Adjusted EBITDA* to loss. |
|
|
|
|
|
* |
|
See the definition of Adjusted EBITDA under “About Non-GAAP
Financial Measures” within this release. |
PodcastOne, Inc.Reconciliation of Non-GAAP
Measure to GAAP Measure |
|
Contribution Margin* Reconciliation
(Unaudited)(In thousands) |
|
|
|
Three Months Ended |
|
|
June 30 |
|
|
|
2024 |
|
|
|
2023 |
|
|
|
|
|
|
Revenue: |
|
$ |
13,159 |
|
|
$ |
10,637 |
|
Less: |
|
|
|
|
Cost
of sales |
|
|
(11,709 |
) |
|
|
(8,221 |
) |
Amortization of developed technology |
|
|
(60 |
) |
|
|
(58 |
) |
Gross Profit |
|
|
1,390 |
|
|
|
2,358 |
|
|
|
|
|
|
Add back amortization of developed
technology: |
|
|
60 |
|
|
|
58 |
|
Contribution Margin* |
|
$ |
1,450 |
|
|
$ |
2,416 |
|
|
* |
See the definition of Contribution Margin under “About Non-GAAP
Financial Measures” within this release. |
Grafico Azioni LiveOne (NASDAQ:LVO)
Storico
Da Ago 2024 a Set 2024
Grafico Azioni LiveOne (NASDAQ:LVO)
Storico
Da Set 2023 a Set 2024