No Financial Impact from Terrifier 3 in Quarter

Total Revenue of $12.7 Million, 20% Increase Excluding Digital Cinema Business

Total Direct Operating Margin of 51%

LOS ANGELES, Nov. 14, 2024 /PRNewswire/ — Cineverse Corp. (“Cineverse” or the “Company”) (NASDAQ: CNVS), a global streaming technology and entertainment company, today announced its financial results for its fiscal second quarter ended September 30, 2024 (“Q2 FY 2025”). The Company’s financial results for Q2 FY 2025 reflected significant improvement in recurring revenue, direct operating margin, SG&A expenses and net loss when compared to the prior quarter and the prior year quarter when excluding non-recurring, non-cash revenue related to our legacy digital cinema equipment business (“Digital Cinema”).

Cineverse Corp. released a statement indicating that the release of Terrifier 3 did not have a significant financial impact on the company’s second-quarter results. Despite this, the company reported a total revenue of $12.7 million, marking a 20% increase when excluding the digital cinema business from the calculation. The total direct operating margin also stood at an impressive 51%, showcasing the company’s strong performance in the quarter.

The company’s financial performance in Q2 FY 2025 demonstrated a positive trend in recurring revenue, direct operating margin, SG&A expenses, and net loss. These improvements were particularly notable when compared to the prior quarter and the same quarter in the previous year. The exclusion of non-recurring, non-cash revenue related to the digital cinema equipment business further underscored the company’s overall growth and profitability.

How will this affect me?

As a consumer of Cineverse Corp.’s streaming services and entertainment offerings, the company’s strong financial performance in the second quarter can potentially lead to improved content quality, expanded offerings, and better overall customer experience. With a higher direct operating margin and increased revenue, the company may invest more in creating original content and enhancing its platform, ultimately benefitting consumers like you.

How will this affect the world?

Cineverse Corp.’s robust financial results not only indicate a positive outlook for the company but also have broader implications for the entertainment industry as a whole. A thriving company like Cineverse can contribute to the growth and innovation of the streaming technology sector, setting a precedent for industry standards and driving competition. Additionally, the company’s success may attract more investors and talent to the industry, fostering creativity and pushing boundaries in the world of entertainment.

Conclusion

In conclusion, Cineverse Corp.’s financial results for the second quarter of fiscal year 2025 demonstrate a strong performance and positive momentum for the company. With no significant impact from Terrifier 3, the company’s total revenue increase and high direct operating margin reflect its resilience and growth potential in the competitive streaming technology and entertainment market. As a consumer, you can expect to benefit from enhanced content and services, while the industry at large may see increased innovation and competition spurred by Cineverse’s success.