Investment and Ownership - The Company reported a carrying value of its equity method investment in Nebula at $3,697,000 as of March 31, 2025, down from $3,848,000 at December 31, 2024, reflecting an equity method investment loss of $151,000[37]. - The Company acquired a 32% ownership in the Spiegel Venture for an initial investment of $3.3 million, which operates documentary channels and an SVOD service in Germany[38]. - The Company holds a 16.875% ownership interest in Nebula as of March 31, 2025, after making incremental purchases totaling $6.4 million since its initial investment[44]. - The Company has not received any dividends from either the Spiegel Venture or Nebula as of March 31, 2025[38][44]. Revenue and Financial Performance - Total revenues for the three months ended March 31, 2025, were $15,090,000, a 25.6% increase compared to $12,001,000 for the same period in 2024[54]. - Direct-to-Consumer revenue decreased to $6,530,000, accounting for 43% of total revenue, down from 68% in the prior year[54]. - The company expects to recognize $1,955,000 in revenue related to remaining performance obligations for the year ending December 31, 2025[55]. - Revenue from the United States accounted for 71% of total revenue in the three months ended March 31, 2025, up from 62% in the same period of 2024[86]. - For the three months ended March 31, 2025, revenues were $0, a decrease from $111,000 in the same period of 2024[88]. Expenses and Liabilities - Total accrued expenses and other liabilities increased to $7,484,000 as of March 31, 2025, from $7,003,000 as of December 31, 2024, representing a rise of 6.9%[52]. - The company’s total operating expenses for the three months ended March 31, 2025, were $15,011,000, a decrease from $15,655,000 in 2024[85]. - Content amortization for the three months ended March 31, 2025, totaled $3,513,000, down from $5,215,000 in the same period of 2024, indicating a reduction of 32.6%[51]. - Content obligations increased to $0.6 million as of March 31, 2025, from $0.4 million as of December 31, 2024[95][96]. Cash and Investments - Cash and cash equivalents increased to $9,183,000 as of March 31, 2025, from $7,826,000 as of December 31, 2024, representing a growth of 17.4%[46]. - The Company’s investments in debt securities are classified as held-to-maturity and reported at amortized cost, with interest income recognized as non-operating income[27][28]. - The fair value of Private Placement Warrants increased to $96,000 as of March 31, 2025, compared to $88,000 as of December 31, 2024[53]. - The fair value of the Private Placement Warrants was estimated at $0.03 per warrant as of March 31, 2025, compared to $0.02 per warrant as of December 31, 2024[70]. Net Income and Operating Income - The net income for the three months ended March 31, 2025, was $319,000, a significant improvement from a net loss of $5,035,000 in the same period of 2024[72]. - The company’s operating income for the three months ended March 31, 2025, was $79,000, compared to an operating loss of $3,654,000 for the same period in 2024[85]. Future Commitments and Dividends - Future advertising commitments totaled $1.7 million, expected to be paid during the year ending December 31, 2025[98]. - The Company declared a quarterly cash dividend of $0.08 per share, totaling approximately $4.6 million, to be paid on June 20, 2025[100]. Other Financial Metrics - The Company expects to no longer qualify as an emerging growth company after December 31, 2025, which will affect its adoption of new accounting pronouncements[34]. - The Company’s financial instruments are subject to concentration of credit risk, primarily from cash, cash equivalents, and accounts receivable, with the majority of customers located in the United States[25][26]. - The weighted average discount rate used for measuring operating lease liabilities was 4.4% as of March 31, 2025[91]. - The total operating lease cost for the three months ended March 31, 2025, was $133,000, slightly up from $131,000 in 2024[92].
CURIOSITYSTREAM EQ. WARRT(CURIW) - 2025 Q1 - Quarterly Report