Southport Acquisition (PORT) - 2025 Q4 - Annual Results

Revenue Growth - Fourth quarter revenue reached $109.9 million, a growth of 254.3% year-over-year compared to $31.0 million in Q4 2024[2] - For the full year 2025, revenue increased 233.2% to $321.6 million, up from $96.5 million in 2024[2] - The Angel Guild, the company's recurring revenue stream, represented 65.2% of total revenues for 2025, with a year-over-year growth of 488.3%[2] - Total revenue for the year ended December 31, 2025, was $321,558,306, a significant increase from $96,516,439 in 2024, representing a growth of approximately 233%[21] Membership and Engagement - Guild Membership grew to 2.2 million by the end of Q4 2025, up from approximately 550,000 at the end of Q4 2024[2] - The trailing twelve-month Average Revenue Per Member (ARPM) was $13.67 for Q4 2025, slightly down from $13.70 in Q3 2025[2] Financial Performance - Net loss for Q4 2025 was $78.6 million, or ($0.47) per share, compared to a net loss of $37.2 million, or ($0.26) per share, in Q4 2024[8] - Operating loss for the year ended December 31, 2025, was $(164,108,478), compared to $(86,719,551) in 2024, indicating a deterioration in operational performance[21] - Net loss attributable to controlling interests for 2025 was $(170,478,642), compared to $(88,273,377) in 2024, reflecting an increase in losses of approximately 93%[21] Cash and Liquidity - As of December 31, 2025, cash and cash equivalents were $44.1 million, up from $7.2 million at the end of 2024[9] - Cash and cash equivalents at the end of the period increased to $44,083,233 in 2025 from $7,211,826 in 2024, marking a substantial improvement in liquidity[23] - The company reported a net cash used in operating activities of $(83,331,965) for 2025, compared to $(51,296,510) in 2024, indicating increased cash outflows[23] Operating Expenses - Total operating expenses for 2025 were $485,666,784, up from $183,235,990 in 2024, which is an increase of approximately 165%[21] - The company incurred $120,599,366 in selling and marketing expenses for the year ended December 31, 2025, compared to $92,916,888 in 2024, reflecting a 30% increase[21] - Research and development expenses for 2025 were $15,527,749, up from $12,842,710 in 2024, indicating a focus on innovation and product development[21] Future Outlook - The company anticipates a narrowed Adjusted EBITDA loss of less than $25 million for the full year 2026[10] - The company plans to double its streaming library by adding 200 films and over 500 television episodes and specials[2] Share Dilution - The weighted average common shares outstanding for basic shares increased to 168,730,423 in 2025 from 144,077,725 in 2024, reflecting an increase in share dilution[21] Digital Assets - The company reported a net gain on digital assets of $1,792,728 in 2025, contrasting with a loss of $(1,683,946) in 2024, showing a positive turnaround in this area[23] Gross Margin - Gross Margin for Q4 2025 was 60%, compared to 58% in Q4 2024[6]