Financial Performance - For the three months ended September 30, 2025, total revenues were $18.4 million, compared to $12.6 million for the same period in 2024, representing a year-over-year increase of 46%[57]. - Revenues for the three months ended September 30, 2025, were $18,359,000, a 46.0% increase from $12,604,000 in 2024; for the nine months ended September 30, 2025, revenues were $52,461,000, up 41.7% from $37,000,000 in 2024[92]. - The Company recognized $10.1 million in revenues for the nine months ended September 30, 2025, related to amounts deferred as of December 31, 2024[60]. - Direct-to-Consumer revenue for the three months ended September 30, 2025, was $5.7 million, accounting for 31% of total revenue, down from 62% in the same period of 2024[57]. - Revenue from the United States accounted for 84% of total revenue in Q3 2025, up from 60% in Q3 2024; for the nine months ended September 30, 2025, it was 78%, compared to 61% in 2024[92]. Cash and Investments - The company's cash and cash equivalents increased to $14,108,000 as of September 30, 2025, compared to $7,826,000 as of December 31, 2024, representing an increase of 80.5%[49]. - The total investments in debt securities amounted to $28,490,000 as of September 30, 2025, with Level 1 securities valued at $12,086,000 and Level 2 securities at $16,404,000[49]. - The company recorded restricted cash of $60,000 as of September 30, 2025, down from $125,000 as of December 31, 2024[49]. - The fair value of Private Placement Warrants was reported as $0 as of September 30, 2025, down from $88,000 as of December 31, 2024[56]. - The stock price of the Company was $5.30 as of September 30, 2025, compared to $1.53 as of December 31, 2024, reflecting a significant increase[74]. Losses and Expenses - The Company reported a net loss of $3.744 million for the three months ended September 30, 2025, compared to a net loss of $3.062 million for the same period in 2024[76]. - Operating loss for the three months ended September 30, 2025, was $(4,491,000), compared to $(3,252,000) in 2024; for the nine months ended September 30, 2025, the operating loss was $(3,932,000), an improvement from $(9,455,000) in 2024[92]. - The Company recognized $6.977 million in stock-based compensation expense related to RSUs for the three months ended September 30, 2025, compared to $2.720 million in 2024[89]. - Accrued expenses and other liabilities increased to $12.3 million as of September 30, 2025, from $7.0 million as of December 31, 2024[55]. Content and Assets - As of September 30, 2025, total content assets amounted to $28.1 million, a decrease from $31.5 million as of December 31, 2024[52]. - Content amortization for the three months ended September 30, 2025, was $3.6 million, compared to $4.6 million for the same period in 2024[54]. - Content obligations amounted to $0.4 million as of September 30, 2025, with $0.1 million recorded within content liabilities[100]. Future Expectations and Commitments - The Company expects to recognize $3.1 million in future revenues related to unsatisfied performance obligations as of September 30, 2025[58]. - Future advertising commitments totaled $1.8 million as of September 30, 2025, expected to be paid in Q1 2026[103]. - The Company expects to no longer qualify as an emerging growth company after December 31, 2025, which will affect its accounting pronouncements adoption timeline[36]. - The company anticipates that the adoption of ASU 2023-09 will not have a material impact on its consolidated financial statement disclosures[37]. - The company is currently evaluating the impact of adopting ASU 2024-03, which requires additional disclosures about specific expense categories[38]. Shareholder Actions - The Board declared a quarterly cash dividend of $0.08 per share, totaling approximately $4.7 million, to be paid on December 19, 2025[107]. - The Company had repurchased 216,000 shares of its common stock at an average price of $1.16 per share, totaling $0.3 million[68]. - The total number of outstanding warrants as of September 30, 2025, was 6,730,000, with no exercises during the three and nine months ended[72]. - The Company had 4,410,000 RSUs outstanding as of September 30, 2025, compared to 2,864,000 in 2024[78]. - The Company had an unrecognized compensation cost of $9.0 million expected to be recognized over approximately five to six months as of September 30, 2025[81].

Core Insights - CuriosityStream reported strong Q3 2025 results with revenue growth of 46% year-over-year to $18.4 million, surpassing guidance [1][12] - Adjusted free cash flow increased by 88% to $4.8 million, marking the seventh consecutive quarter of positive adjusted free cash flow [8][15] - The company is focusing on three growth pillars: subscriptions, licensing, and advertising, which are enhancing its market position at the intersection of knowledge, media, and AI [1][10] Financial Performance - Revenue for Q3 2025 was $18.4 million, a 46% increase from $12.6 million in Q3 2024 [12] - Adjusted EBITDA improved by $3.4 million year-over-year, reaching $3 million [12][15] - Licensing revenue surged over 425% year-over-year to $8.7 million, driven by AI training fulfillments [13][15] - Subscription revenue was reported at $9.3 million, showing sequential growth [13] Growth Strategy - The company has engaged with 9 key partners across various media formats, delivering over 1.5 million distinct assets [1] - CuriosityStream aims to double or triple its roster of AI licensing partners by the end of 2026 [9][31] - The company plans to enhance its advertising business and has launched new channels on platforms like Amazon and Roku [8][11] Market Positioning - CuriosityStream is positioning itself as a leading provider of AI training data with a library of nearly 2 million hours of video and audio content [6][10] - The company anticipates that licensing revenue will exceed subscription revenue by 2027 [9][10] - The balance sheet remains strong with over $29 million in liquidity and no debt, providing substantial flexibility for future growth [11][16] Future Outlook - For Q4 2025, the company expects revenue between $18 million and $20 million, projecting full-year revenue of $70 million to $72 million, representing a 38% to 42% increase from 2024 [18][19] - Adjusted free cash flow for the full year is expected to be between $12 million and $13 million, indicating a 27% to 37% increase from 2024 [19] - The company intends to pay dividends from cash generated by operations in 2026, similar to its approach in 2024 [10][19]

Company Overview - CuriosityStream (CURI) is a video streaming service founded by John Hendricks, who also established The Discovery Channel [1] - The company went public through a SPAC in 2020, with shares initially doubling before experiencing a significant decline [1] Investment Strategy - The analysis emphasizes uncovering micro-cap growth stocks and adopting a long-term investment perspective [1] - The approach includes deeper research and a focus on high-quality large-cap companies that are undervalued due to market fears [1]

Core Insights - The article emphasizes the importance of enabling Javascript and cookies in browsers to prevent access issues [1] Group 1 - The article suggests that users may face blocks if ad-blockers are enabled, indicating a need to disable them for proper access [1]

CuriosityStream Inc. (CURI) came out with a quarterly loss of $0.06 per share versus the Zacks Consensus Estimate of a loss of $0.02. This compares to a loss of $0.06 per share a year ago. These figures are adjusted for non-recurring items.This quarterly report represents an earnings surprise of -200.00%. A quarter ago, it was expected that this company would post earnings of $0.01 per share when it actually produced earnings of $0.01, delivering no surprise.Over the last four quarters, the company has surp ...

Financial Data and Key Metrics Changes - Revenue grew 46% year over year to $18.4 million, exceeding guidance [6][15] - Adjusted free cash flow rose 88% to $4.8 million, marking the seventh consecutive quarter of positive adjusted free cash flow [11][19] - Adjusted EBITDA improved by $3.4 million year over year, reaching $3 million [15][19] - Gross margin increased to 59%, up from 54% a year ago [17] Business Line Data and Key Metrics Changes - Subscription revenue totaled $9.3 million, showing sequential growth [16] - Content licensing revenue surged over 425% year over year to $8.7 million, driven by AI training fulfillments [16][19] - Advertising business is still developing, with new initiatives launched on various platforms [10] Market Data and Key Metrics Changes - Licensing revenue is expected to exceed subscription revenue by 2027, possibly earlier [12] - The company engaged with nine key partners across various media formats, delivering over 1.5 million distinct assets [7] Company Strategy and Development Direction - The company aims to solidify its position as a leading provider of AI training data, with plans to double its content library in 2026 [12][41] - Focus on cost discipline and rationalizing the cost base to support pricing power and durable growth [11][12] - Plans to install a leader for the advertising business in early 2026 to capture advertising opportunities [10] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in continued double-digit growth in both revenue and cash flow driven by subscriptions, licensing, and advertising [13] - The company anticipates that overall subscription revenue will grow faster in 2026 than in 2025, supported by a strong launch pipeline [12][57] - Management acknowledged the need to smooth out revenue fluctuations in licensing through operational and contractual means [31] Other Important Information - The company reported a net loss of $3.7 million for the quarter, attributed to one-time charges and non-cash stock-based compensation [18] - The balance sheet remains strong with over $29 million in liquidity and no debt [13][19] - The expiration of warrants reduces potential dilution and eliminates lingering share overhang [20] Q&A Session Summary Question: Why is the company investing in lower-margin media when licensing returns are higher? - Management clarified that they are promoting an internal candidate to enhance AI relationships and need seasoned sales leaders to drive revenue generation [24][27] Question: How will the company smooth out revenue fluctuations in licensing? - Management indicated that increasing the roster of partners and structuring agreements as Content as a Service (CaaS) will help reduce revenue lumpiness over time [31][32] Question: How has AI licensing evolved over the last year? - Management reported 18 fulfillments across nine partners, with expectations that existing partners will contribute 60% to 80% of AI licensing revenue [35][36] Question: Can you explain the stock-based compensation in the quarter? - Management explained that the high stock-based compensation was due to market-based awards granted during the quarter, which will be expensed over a more aggressive timeline [52][53] Question: What is the outlook for subscription services in new markets? - Management expressed confidence in subscription revenue growth due to new partnerships and distribution agreements, with plans for new pricing and packaging in 2026 [57][58]

Financial Performance - Revenue for Q3 2025 was $18.4 million, representing a 46% year-over-year increase from $12.6 million in Q3 2024[5] - Adjusted EBITDA improved to a positive $3 million, compared to a loss of $0.4 million in Q3 2024, marking the third consecutive quarter of positive EBITDA[6] - Adjusted Free Cash Flow reached a record $4.8 million, up from $2.6 million in Q3 2024[6] - Gross margin improved to 59%, up from 54% in the same quarter last year[5] - Revenues for the three months ended September 30, 2025, increased to $18,359,000, up 46% from $12,604,000 in the same period of 2024[22] - Net loss for the three months ended September 30, 2025, was $3,744,000, compared to a net loss of $3,062,000 in the same period of 2024[22] - Adjusted EBITDA for the nine months ended September 30, 2025, was $7,098,000, an improvement from an adjusted EBITDA loss of $4,105,000 in the same period of 2024[26] - Net cash provided by operating activities for the nine months ended September 30, 2025, was $9,088,000, compared to $5,116,000 for the same period in 2024, representing a 77% increase[24] - Adjusted Free Cash Flow for the nine months ended September 30, 2025, was $9,554,000, up from $6,220,000 in the same period of 2024[27] - The company incurred $10,054,000 in stock-based compensation for the nine months ended September 30, 2025, compared to $4,734,000 in the same period of 2024[26] - The weighted average number of common shares outstanding for the three months ended September 30, 2025, was 57,930,000, compared to 54,850,000 in the same period of 2024[22] - The company reported a net cash increase of $6,217,000 for the nine months ended September 30, 2025, compared to a decrease of $28,502,000 in the same period of 2024[24] Future Outlook - The company expects Q4 2025 revenue to be in the range of $18 million to $20 million, indicating year-over-year growth of 27% to 42%[11] Strategic Initiatives - CuriosityStream launched subscription services with partners in the U.S., Australia, New Zealand, and Germany[11] - The company expanded its data and video licensing partnerships for AI training, accumulating a nearly 2-million-hour library of content[11] - Four new original programs were launched, enhancing the content lineup[11] Cash Position - As of September 30, 2025, the company reported cash and cash equivalents of $14.1 million, with no debt[6] - Cash, cash equivalents, and restricted cash at the end of the period on September 30, 2025, amounted to $14,168,000, compared to $9,713,000 at the end of the same period in 2024[24] Dividend Declaration - The Board of Directors declared a cash dividend of $0.08 per share, payable on December 19, 2025[2] Operating Expenses - Operating expenses for the nine months ended September 30, 2025, totaled $56,393,000, compared to $46,455,000 for the same period in 2024, reflecting a 21% increase[22]

Core Insights - Premarket trading is showing notable activity with significant price movements indicating potential trading opportunities before the market opens [1] Premarket Gainers - Shoulder Innovations, Inc. (SI) is up 14% at $13.01 [3] - BILL Holdings, Inc. (BILL) is up 11% at $52.14 [3] - On Holding AG (ONON) is up 8% at $38.24 [3] - CuriosityStream Inc. (CURI) is up 8% at $4.08 [3] - Clearwater Analytics Holdings, Inc. (CWAN) is up 7% at $19.80 [3] - Valhi, Inc. (VHI) is up 7% at $14.54 [3] - Beam Global (BEEM) is up 7% at $2.29 [3] - FGI Industries Ltd. (FGI) is up 6% at $5.66 [3] - The Honest Company, Inc. (HNST) is up 6% at $2.68 [3] - China Automotive Systems, Inc. (CAAS) is up 5% at $4.40 [3] Premarket Losers - Graphjet Technology (GTI) is down 22% at $3.02 [4] - Black Rock Coffee Bar, Inc. (BRCB) is down 10% at $21.90 [4] - Rain Enhancement Technologies Holdco, Inc. (RAIN) is down 9% at $4.90 [4] - Stereotaxis, Inc. (STXS) is down 9% at $2.59 [4] - Biohaven Ltd. (BHVN) is down 8% at $7.82 [4] - Epsium Enterprise Limited (EPSM) is down 7% at $3.15 [4] - Cycurion, Inc. (CYCU) is down 7% at $3.13 [4] - Galecto, Inc. (GLTO) is down 6% at $22.09 [4] - Anbio Biotechnology (NNNN) is down 6% at $21.68 [4] - Ridgetech, Inc. (RDGT) is down 5% at $3.46 [4]

Core Insights - CuriosityStream has appointed John Higgins as Vice President of Content Partnerships to enhance growth in AI licensing and strategic alliances [2][3] - Higgins will focus on expanding licensing relationships with major technology and AI developers, reporting directly to the CEO [2][3] - The company aims to leverage its extensive video library, which includes nearly two million hours of content, to drive revenue growth through AI licensing [3] Company Overview - CuriosityStream is a global leader in factual entertainment, providing premium nonfiction programming to millions of viewers worldwide [2][5] - The company operates various services, including the flagship Curiosity Stream SVOD service, Curiosity Channel, and Curiosity University, among others [5][6] - CuriosityStream's subscription services and rapidly expanding AI content licensing division are key growth pillars, reinforcing its position in the media and AI sectors [3][5] Leadership and Strategy - John Higgins has been instrumental in advancing CuriosityStream's AI licensing initiatives and building relationships with leading hyperscalers and AI developers [3][4] - Under Higgins' leadership, the company has launched several initiatives, including the Curiosity Audio Network and Curiosity University, to diversify its offerings [4] - The focus on ethically sourced and data-enriched video content positions CuriosityStream as a premier partner in the AI era [3][4]

Core Viewpoint - CuriosityStream (NASDAQ: CURI) is facing negative market sentiment as it is being valued based on an outdated strategy, leading investors to perceive it as a failing, cash-burning streaming service [1] Company Summary - The market is currently punishing CuriosityStream due to its previous strategy, which it has since abandoned [1] - Investors are still viewing the company through the lens of its past performance, which has contributed to its negative valuation [1] Industry Context - The streaming service industry is highly competitive, and companies like CuriosityStream must adapt their strategies to remain relevant and attract investment [1]