Kartoon Studios(TOON) - 2025 Q3 - Quarterly Results

Financial Performance - Q3 2025 total revenue reached $9.9 million, reflecting a 13% year-over-year increase, and year-to-date revenue of $29.7 million, up 28%[12] - Mainframe Studios revenue surged 45% year-over-year and 65% year-to-date, driven by contracts with major clients like Sony, Disney, and SpinMaster[12] - The company reported a 10% improvement in loss from operations over Q2 and a 32% improvement year-to-date compared to the previous year[12] - Kartoon Studios maintains a strong balance sheet with $27.1 million in current assets and $24.0 million in stockholders' equity at quarter-end[12] Subscriber Growth and Engagement - Kartoon Channel! achieved its strongest month ever in October 2025, with record highs in subscriber growth and total watch time[13] Financing and Contracts - The company secured $7.3 million in financing from an institutional investor, with potential for an additional $7.3 million through warrants[13] - Multi-year production contracts extend through 2027, ensuring reliable revenue streams[19] Upcoming Releases and Expansions - The upcoming release of Hundred Acre Wood's Winnie & Friends is set for a Christmas Eve 2025 preview, with a full premiere in 2026[20] - The Stan Lee Universe is expanding through licensing and collectibles partnerships, leveraging a fan base of over 30 million worldwide[20] Innovation and Development - The company is actively developing its A.I. animation unit, which is expected to transform production capabilities and industry standards[6]