Cineverse said it cut its losses in its fiscal first quarter as it wound down some lower-margin streaming channels.
The company had a net loss of $3.6 million, or 37 cents a share, in the first quarter, compared to a loss of $6.1 million, or 69 cents a share, a year ago.
Revenues fell 4% to $13 million.
Streaming, digital and podcast revenue increased $.8% to $10.5 million.
Also Read: Philo Launching Fandor Under Agreement With Cineverse
Subscription streaming revenues were up 44.7% ti 3,2 million.
Ad-based revenue was down 39.3% to $3.6 million because it shut down underperforming channels and a one-time technology migration. The company said it expects ad revenue growth to resume after it is done with shutting down channels and the technology migration.
The company said it expected revenues of between $62 million and $70 million for the full year, and adjusted earnings before interest, taxes, depreciation and amortization of $2 million to $4 million.
"We are making good progress toward our goals of reduced costs, improved margins and sustained profitability. Despite some continued industry headwinds during the fiscal first quarter, we were pleased to report record revenue in our Streaming and Digital business despite having fewer channels in our portfolio,” said CEO Chris McGurk.
"We continue to pursue multiple high-margin growth channels with the support of a fortified balance sheet, no debt, and a valuable—and, we believe, underappreciated—asset in our extensive content library that carries a third-party appraised value of $26 million to $30 million, compared to the $2.9 million valuation carried on our books, McGurk said.
