10-Q - Cineverse Corp. (0001173204) (Filer)

Wed, Aug 14, 8:55 PM (159 days ago)

For the quarter ended June 30, 2024, Cineverse Corp. reported a 30% decline in revenue, totaling $9.1 million, primarily due to decreased streaming and digital revenues, which fell by 24% year-over-year. The net loss attributable to common stockholders was $3.2 million, with an accumulated deficit of $507.3 million. Operating cash flow showed a net usage of $1.7 million, driven by substantial content investments. The company maintains a line of credit of $7.5 million, with $4.8 million outstanding as of the reporting date. A new term loan related to the film "Terrifier 3" was also established, totaling $3.1 million. Cineverse's direct operating expenses decreased by 36%, reflecting cost reductions linked to lower revenue. Selling, general, and administrative expenses also fell by 17%, indicating effective cost management. Despite challenges, the company continues to invest in content development, believing in potential future returns. Overall, Cineverse's financial health reflects ongoing operational challenges, necessitating careful monitoring of cash flow and revenue generation strategies moving forward.