Falcon's Beyond (FBYD) - 2025 Q3 - Quarterly Results

Financial Performance - Falcon's Beyond reported consolidated revenue of $4.1 million for Q3 2025, reflecting an increase in attraction maintenance fees and management fees from joint ventures [2]. - Falcon's Creative Group (FCG) generated $5.7 million in revenue for Q3 2025, a decrease of $7.4 million or 56.3% compared to Q3 2024, resulting in an operating loss of $3.5 million [2]. - Producciones de Parques (PDP) generated $11.2 million in revenue for Q3 2025, a $0.3 million increase from the same period in 2024 [2]. - Total revenue for the three months ended September 30, 2025, was $4,054,000, compared to $2,069,000 for the same period in 2024, representing a 96.2% increase [25]. - The net loss attributable to common stockholders for the three months ended September 30, 2025, was $4,374,000, compared to a net income of $5,869,000 for the same period in 2024 [25]. - Adjusted EBITDA for the three months ended September 30, 2025, was $(7,686,000), compared to $(1,606,000) for the same period in 2024 [29]. - Adjusted EBITDA loss increased to $(7.7) million for Q3 2025, compared to $(1.6) million in Q3 2024, driven by increased losses from equity method investments and operational integration costs [7]. Net Loss and Financial Position - Falcon's Beyond reported a consolidated net loss of $10.4 million for Q3 2025, compared to a net income of $39.3 million in Q3 2024, primarily due to the absence of non-cash fair value gains [4]. - Cash and cash equivalents increased to $4,257,000 as of September 30, 2025, from $825,000 at the beginning of the period [27]. - Total assets as of September 30, 2025, were $66,793,000, an increase from $61,231,000 as of December 31, 2024 [23]. - Total liabilities decreased to $46,957,000 as of September 30, 2025, from $81,328,000 as of December 31, 2024 [23]. - The company reported a net cash used in operating activities of $20,280,000 for the nine months ended September 30, 2025 [27]. Capital and Investment Activities - The company issued 5,747,742 shares of 11% Series B Cumulative Convertible Preferred Stock, raising $8.0 million in cash and exchanging $20.7 million of long-term debt [7]. - Falcon's Beyond entered into a new $15 million revolving line of credit to support the expansion of its attraction services business, maturing on September 30, 2030 [7]. - The company recognized a gain on bargain purchase of $1,098,000 from the OES Acquisition [25]. - The company is focused on strengthening its balance sheet and reallocating capital towards high-growth divisions following the acquisition of OES in May 2025 [7]. Future Outlook - The company anticipates the FCG division could double its revenues over the next twelve months, necessitating rapid scaling of workforce and infrastructure [9]. - Falcon's Beyond has a contracted pipeline of $48.3 million as it entered Q4 2025, indicating potential future revenue growth [2].