Dolphin Entertainment(DLPN) - 2024 Q3 - Quarterly Results

Financial Performance - Q3 2024 revenue increased by 24.5% year-over-year to $12.7 million, up from $10.2 million in Q3 2023[1] - Adjusted operating income for Q3 2024 was $0.5 million, compared to an adjusted operating loss of $(0.8) million in Q3 2023[1] - Nine-month 2024 revenue rose 26.6% to $39.4 million, with adjusted operating income of $1.4 million versus a $(2.7) million loss in the same period last year[1] - Revenues for the three months ended September 30, 2024, were $12,682,437, a 24.6% increase from $10,184,511 for the same period in 2023[19] - Adjusted income (loss) from operations for the nine months ended September 30, 2024, was $1,389,027, compared to a loss of $(2,730,278) for the same period in 2023[23] Expenses and Losses - Operating expenses for Q3 2024 totaled $20.8 million, significantly higher than $12.3 million in Q3 2023, driven by goodwill impairment of $6.5 million[3] - Total expenses for the three months ended September 30, 2024, were $20,837,136, compared to $12,295,867 in the prior year, reflecting a 69.8% increase[19] - The net loss for the three months ended September 30, 2024, was $8,692,389, compared to a net loss of $3,863,328 for the same period in 2023, indicating a 125.5% increase in losses[19] - The company reported a basic loss per share of $0.80 for the three months ended September 30, 2024, compared to a loss of $0.55 per share in the same period of 2023[19] - The company incurred impairment of goodwill amounting to $6,671,557 for the nine months ended September 30, 2024[19] Equity and Liabilities - Total stockholders' equity decreased to $13,601,069 as of September 30, 2024, down from $19,956,845 at the end of 2023, representing a decline of 31.6%[18] - The accumulated deficit increased to $(144,254,818) as of September 30, 2024, compared to $(133,611,204) at the end of 2023, reflecting a worsening of 8.5%[18] - Total liabilities and stockholders' equity decreased to $57,300,517 as of September 30, 2024, down from $66,254,974 at the end of 2023, a decline of 13.9%[18] Market and Strategic Developments - The company has a market cap trading at approximately 0.25x the current year 2024 estimated revenue guidance of $50 million[1] - Dolphin acquired Elle Communications in July 2024, a profitable PR firm with access to the $1.164 trillion global impact investing industry[4] - The launch of Always Alpha, the first management firm dedicated to women's sports, aims to revolutionize talent management for female athletes[5] - Partnership with Loti AI provides clients with AI-powered protection against unauthorized digital content, marking Dolphin's strategic entry into AI technology[7] - Dolphin received a cash installment of $2.6 million from its content licensing agreement related to The Blue Angels, with box office numbers surpassing initial projections[8] Share Information - The weighted average number of shares outstanding for the three months ended September 30, 2024, was 10,930,286, compared to 7,060,638 for the same period in 2023, indicating a 54.5% increase[19]