Thu, May 15, 7:40 PM (59 days ago)
**5&2 Studios, Inc. (Ticker: N/A) Q1 2025 Financial Summary** **Financial Health & Performance:** - **Revenue:** $53.2 million, up 93% YoY, driven by licensed content and merchandise revenues ($36.1 million, up 31% YoY) and new production services revenues ($17.1 million). - **Profit Margins:** Net loss narrowed to $0.7 million from $21.7 million YoY, with a net operating loss of $1.0 million compared to $25.2 million. - **Cash Flow:** Positive operating cash flow of $23.1 million, a significant improvement from a negative $41.8 million YoY. The increase is attributed to higher accrued expenses and deferred revenue. - **Earnings Changes:** EPS improved to $0.06 from -$1.61 YoY. **Segment Performance:** - **Television & Streaming:** Revenues surged to $26.5 million (up 185% YoY) due to a new exclusive distribution deal. - **Production Services:** New segment contributing $17.1 million in revenues. - **Theatrical:** Revenues decreased to $6.0 million (down 41% YoY) due to the timing of Season 5 theatrical release. - **Merchandise:** Revenues decreased to $3.6 million (down 23% YoY) due to timing of theatrical releases and livestreams. **Trends & Uncertainties:** - Positive trends include increased revenues from new distribution deals and production services. - Uncertainties include legal proceedings with Angel Studios and the impact of the CAS Transaction on future operations. **Future Operations Impact:** - The company expects continued growth from new productions and distribution deals. - Legal proceedings with Angel Studios may impact future financials, but the company believes the outcome will not be materially negative. - The CAS Transaction is expected to drive future revenues and reduce marketing expenses.