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Kartoon Studios
🇺🇸 NASDAQ:TOON
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OverviewEarningsDividends
•
Sep 30, 2024

Kartoon Studios Q3 2024 Earnings Report

Achieved second consecutive quarter of sequential revenue growth and a 57% year-over-year reduction in direct operating costs, with an 80% year-over-year reduction in losses.

Key Takeaways

Kartoon Studios reported a 4% increase in revenue for Q3 2024 compared to Q2 2024 and a 57% reduction in direct operating costs year-over-year. The company's loss from operations decreased by 80% compared to the same period in 2023. Kartoon Studios is focusing on sustained growth and profitability in 2025.

Revenue for the nine months ending September 30, 2024, reached $23.2 million, reflecting a 4% increase in revenue for Q3 2024 from Q2 2024.

Direct operating costs reduced by 57% year-over-year in Q3 2024.

Loss from operations decreased by 80% for the three-month period compared to 2023.

Kartoon Channel! broadened its international footprint by launching first with Samsung Plus across India, UK, and Italy, with a footprint of 1.5 billion potential viewers.

Total Revenue
$8.71M
Previous year: $10.1M
-13.5%
EPS
-$0.05
Previous year: -$0.44
-88.6%
Gross Profit
$1.89M
Previous year: -$4.7M
-140.2%
Cash and Equivalents
$8.66M
Previous year: $20M
-56.8%
Free Cash Flow
$1.49M
Previous year: -$9.61M
-115.5%
Total Assets
$37.2M
Previous year: $136M
-72.7%

Kartoon Studios

Kartoon Studios

Forward Guidance

Kartoon Studios is optimistic that current initiatives will guide the company toward profitability in 2025. They believe they are now operating at a sustainable expense level for the foreseeable future, and revenue will ramp up with Stan Lee Universe and A.A.Milne's Winnie-The-Pooh coming to market.

Positive Outlook

  • Poised for continued revenue growth.
  • Reaching sustained profitability in 2025 with rebound in animation production pipeline and continuing profit in children’s channel system.
  • Mainframe is positioned for continuing growth with series orders for over 145 episodes and a contracted pipeline secured through 2025 and 2026.
  • Balance sheet remains strong, with no long-term debt.
  • Well-positioned to capitalize on future growth opportunities and deliver long-term value for shareholders.

Challenges Ahead

  • Ability to sustain growth and profitability in 2025.
  • Ability to expand its brand globally in 2025 and beyond.
  • Ability of the Company to achieve profitability in 2025.
  • Successful release of the Company’s Winnie-the-Pooh films and series.
  • Successful production and release of the Company’s animated Christmas move set to premiere December 24, 2025.

Company Overview

Full financial data and analysis

View Kartoon Studios