Financial Performance - STARZ reported consolidated revenue of $319.7 million for the quarter ended June 30, 2025, a decrease from $347.6 million in the same quarter of the previous year, representing a decline of approximately 8.5%[4] - The net loss for the quarter was $(42.5) million, translating to a net loss per share of $(2.54), compared to a net income of $4.2 million in the prior year[4][12] - Adjusted OIBDA for the quarter was $33.4 million, with a total Adjusted OIBDA Leverage Ratio of 3.2x based on a trailing twelve-month total of $178.6 million[5][7] - Adjusted OIBDA for the three months ended June 30, 2025, was $33.4 million, a decrease from $93.3 million in the previous quarter[14] - Operating income for the three months ended June 30, 2024, was $10.1 million, while the operating loss for the three months ended March 31, 2025, was $142.3 million[14] Subscriber Metrics - STARZ ended the quarter with 12.2 million U.S. Over-The-Top (OTT) subscribers, reflecting a sequential decline of 120,000 subscribers, and total U.S. subscribers decreased by 410,000 to 17.6 million[5] - The company experienced a decline in Canadian subscribers by 110,000 during the quarter, contributing to a total North American subscriber decline of 520,000[5] - Total domestic subscribers as of June 30, 2025, were 17.59 million, down from 18.00 million as of March 31, 2025, indicating a decline of approximately 2.3%[22] - OTT subscribers in the U.S. as of June 30, 2025, were 12.18 million, a decrease from 12.30 million in the previous quarter[22] - Total Starz Networks subscribers as of June 30, 2025, were 19.08 million, a decrease from 19.60 million in the previous quarter[22] Expenses and Costs - STARZ's programming amortization expenses increased to $162.5 million from $147.9 million year-over-year, contributing to total operating expenses of $346.6 million[12] - STARZ's advertising and marketing expenses decreased to $63.4 million from $82.7 million year-over-year, indicating a strategic shift in spending[12] - Total share-based compensation expense for the three months ended June 30, 2025, was $7.4 million, compared to $5.2 million for the same period in 2024[20] - Restructuring and other costs for the three months ended June 30, 2025, amounted to $6.4 million, reflecting transaction and integration costs associated with strategic transactions[16] - The adjusted share-based compensation expense remained stable at $5.2 million for both the three months ended June 30, 2025, and June 30, 2024[20] - The company reported a depreciation and amortization expense of $48.7 million for the three months ended June 30, 2025[14] Debt and Cash Position - The company had total net debt of $573.5 million, with $300 million outstanding on its Term Loan A credit facility and $325.1 million in senior unsecured notes[5] - STARZ's cash and cash equivalents increased to $51.6 million at the end of the quarter, up from $17.8 million at the beginning of the period[11][13] Future Outlook - The company anticipates sequential revenue and OTT subscriber growth in Q3 and Q4 of 2025, supported by a compelling content slate and improved cost structure[2][3] - The company is focusing on strategic transactions and restructuring activities to improve operational efficiency and financial performance[17]
Lions Gate Entertainment(LGF_B) - 2026 Q1 - Quarterly Results