What factors drove the changes in Cineverse's revenue and profit?

What is the market's earnings forecast for Cineverse next quarter?

What does Cineverse do and what are its main business segments?

What is the revenue and EPS growth rate for Cineverse year over year?

What is Cineverse's latest dividend and current dividend yield?

What were the key takeaways from Cineverse’s earnings call?

What guidance did Cineverse's management provide for the next earnings period?

Did Cineverse beat or miss consensus estimates last quarter?

- **Revenue resilience amid investment**: 3% YoY revenue decline offset by 7% margin expansion to 58%, driven by cost control and licensing deals.
- **Library valuation surge**: $45M library value vs. $3.2M book value, underscoring undervalued asset base.
- **Matchpoint momentum**: 20+ new customers in Q2, pilot with major studio, and 6-9 month sales cycle for high-margin tech contracts.
- **MicroCo breakthrough**: Leadership team secured, slate development underway, targeting the $8B+ micro-drama market with AI-native platform.
- **Strategic focus**: Low-cost theatrical model ( <$5M per film), fan-centric marketing, and tech-driven monetization to drive long-term growth.

**【CEO Summary Section】**
- Q2 2026 revenue was $12.7 million, down 3% YoY, but gross margin improved to 58% (vs. 51% prior year). A $1.1 million licensing deal for *The Toxic Avenger* will boost future periods.
- *The Toxic Avenger* underperformed theatrically but achieved a 40% IRR through VOD/licensing, validating the company's low-cost, fan-centric model. Upcoming releases (*Silent Night, Deadly Night* and *Return to Silent Hill*) follow the same $<5M investment blueprint.
- The content library valuation rose to $45 million (from $3.2M book value), and the company secured a 20-year deal for Guillermo del Toro's *Pan's Labyrinth*.
- Investments in Matchpoint tech sales, theatrical pipeline, and MicroCo (a micro-drama joint venture) are expected to drive future growth.

**【CFO Financial Commentary】**
- Net loss: $5.5 million (vs. $1.2M prior year), adjusted EBITDA: -$3.7 million (vs. +$0.5M). SG&A rose due to sales/marketing investments.
- Cash: $2.3 million; $5.9 million available on $12.5M credit facility. Royalty payments (e.g., *Terrifier 3*) and theatrical slate costs drove cash decline.
- Key asset: library valuation at $45 million, reflecting significant off-balance-sheet value.

**【Erick Opeka - Operating & Strategic Initiatives】**
- Streaming: 143.8M viewers (+47% YoY), 3.4B minutes streamed (+45%). SVOD subs: 1.39M (+6% YoY). *Barney* channel grew 100x YoY, *Screambox SVOD* +27% post-*Terrifier 3*.
- Matchpoint: 20+ new customers in 100 days, launched Matchpoint 3.0, onboarded a major studio. AI-driven metadata integration with C360 enables precise ad targeting.
- MicroCo: Leadership team includes Jana Winograde (Showtime) and Lloyd Braun (ABC). Slate development underway for live-action, creator-driven series. Platform built as AI-native from day one.

**【Q&A Highlights】**
- *Chris McGurk*: *The Toxic Avenger* taught the risk of mixed-genre films; future releases will focus on pure genre (e.g., horror, fantasy). Ancillary success mitigates theatrical risk.
- *Erick Opeka*: Matchpoint's 6-9 month sales cycle with studios reflects industry bureaucracy but offers high-margin recurring revenue. 20+ new customers in Q2 suggest accelerating momentum.
- *Mark Huidor*: Pilot with a major studio validates Matchpoint's automation benefits. Custom development services could accelerate adoption, positioning Matchpoint as the studio OS.

Cineverse Corp. (CNVS) Q2 2026 Earnings Call Transcript

- **Revenue Surge**: 22% YoY growth to $11.1M, fueled by streaming (38% min viewed growth) and direct ad revenue (+57%).
- **Theatrical Dominance**: Films like The Toxic Avenger have < $5M investment and < $10M breakeven, with 100% rights ownership.
- **Microseries Play**: 50-50 MicroCo venture targets $10B market, using Cineverse's AI, streaming, and ad platform for cost-effective scale.
- **Balance Sheet Strength**: $2M cash, $8.9M credit availability, no debt, and reduced warrants to 700K.
- **Matchpoint Momentum**: Pipeline tripled, with major studio deals nearing close and CineSearch TV OEM pilot.

**【Management Opening Remarks】**
- Gary Loffredo provided legal disclaimers and introduced the executives, setting the stage for the call's focus on financial and operational updates.

**【CEO Summary Section】**
- **Revenue Growth**: Q1 FY2026 revenue of $11.1 million, up 22% YoY, driven by streaming, advertising, and theatrical initiatives.
- **Theatrical Success**: The Toxic Avenger and Air Bud Returns have < $5M acquisition costs and breakeven points under $10M, with ownership of all North American rights.
- **Strategic Ventures**: Launched MicroCo, a 50-50 joint venture with Banyan Ventures to dominate the $10B microseries market, leveraging Cineverse's AI, streaming, and marketing assets.
- **Investments**: SG&A and marketing expenses increased to support theatrical expansion and tech development, with expected returns in Q2+.

**【CFO Financial Commentary】**
- **Financial Results**: GAAP net loss of $3.5M, adjusted EBITDA of -$2.1M (vs. -$1.4M last year). Gross margin improved to 57% from 51%.
- **Cash Position**: $2M cash on hand, $8.9M available on $12.5M credit facility. Warrant redemptions generated $5.8M.
- **Balance Sheet**: No long-term debt, reduced warrants to 700K, and strong liquidity for growth initiatives.

**【CFO Financial Commentary Continued (Erick Opeka)】**
- **Streaming Growth**: 4B total minutes viewed (38% YoY), 214M viewers, 1.4M subscribers. Screambox up 27% post-Terrifier 3 release.
- **Advertising Strength**: Direct ad revenue +57% YoY, with wins from Expedia, Warner Bros., Hulu, etc. C360 platform enables 98% U.S. ad supply reach.
- **MicroCo Vision**: Building a full-stack microseries ecosystem with Matchpoint AI, Cineverse content, and C360 ad monetization. Leadership includes former Showtime, NBCUniversal, and ABC execs.

**【CFO Financial Commentary Continued (Yolanda Macias)】**
- **Theatrical Slate**: 14+ releases/year, including The Toxic Avenger (August 29), Silent Night, Deadly Night (Dec 12), and Air Bud Returns (2026). Breakeven points < $10M with 100% rights ownership.
- **Marketing Impact**: Moviefone reactivation, Comic-Con presence, and media partnerships (TODAY Show, Good Morning America) drive fan engagement.
- **Indie Support**: Limited theatrical releases for Sundance and Cannes winners, plus animated comedy Lesbian Space Princess (Oct 31).

**【Q&A Highlights】**
- **MicroCo Differentiation**: Cineverse's AI, streaming, and fandom network enable low-cost, high-impact microseries production vs. Netflix/YouTube.
- **Matchpoint Progress**: Pipeline tripled Q1-Q2, with major studio deals in process. CineSearch pilot with top TV OEM.
- **Podcast Strategy**: New SiriusXM alumni sales team driving 6+ figure deals, combining direct sales with C360 ad platform.

Cineverse Corp. (CNVS) Q1 2026 Earnings Call Transcript

- **Revenue Growth**: Q4 revenue up 58% to $15.6M, driven by streaming and theatrical successes.
- **High Margin Films**: Upcoming wide-release films under $5M investment, with《The Toxic Avenger》breakeven at $10M box office.
- **AI Innovation**: Matchpoint SaaS solution in RFP with major studios, cineSearch AI search tool outperforming competitors.
- **Podcast Expansion**: 57% YoY revenue growth, 62 shows in portfolio, and direct ad deals averaging low 6-figures.

**【CEO Summary Section】**
- **Record Q4 Financials**: Total revenue of $15.6 million (+58% YoY), net income of $0.9 million, and adjusted EBITDA of $4 million. Full-year revenue grew 59% to $78.2 million.
- **Theatrical Success**:《Terrifier 3》drove ancillary revenue growth, with upcoming releases《The Toxic Avenger》,《Silent Night, Deadly Night》, and《Return to Silent Hill》all under $5 million investment.
- **Business Restructuring**: Established Cineverse Technology Group (led by Tony Huidor) and Theatrical Motion Pictures division (led by Yolanda Macias) to accelerate growth in AI and wide-release films.

**【CFO Financial Commentary】**
- **Profitability Highlights**: Direct operating margin of 55% (vs. 45%-50% target), SG&A expenses down 35% to $5.4 million, and $13.9 million in cash on hand.
- **Valuation Perspective**: $40 million content library valuation vs. $4.18/share closing price, indicating significant upside potential.

**【Erick Opeka - Operating Initiatives】**
- **Streaming Growth**: 4% YoY subscriber increase to 1.42 million, with Cineverse Amazon channel growing 30% MoM.
- **Podcast Expansion**: 57% YoY revenue growth, 62 shows in portfolio, and 4 new series in development.
- **Ad Sales Momentum**: C360 platform revenue up 290%, with direct deals with 4 of top 5 movie studios.

**【Tony Huidor - Technology Updates】**
- **Matchpoint Sales Pipeline**: Presenting to 3 major studios and 2 networks, with potential mid-7-figure annual revenue per deal.
- **cineSearch Innovation**: AI search tool outperforms Google/OpenAI, set to launch as standalone product.
- **AI Transformation**: Internal initiative to integrate agentic AI across all departments for operational efficiency.

**【Q&A Highlights】**
- **Film Profitability**: Q4 operating margin of 55% vs. 49% prior quarter; expect to maintain 45%-50% range.
- **Technology Revenue**: Potential $5+ million per studio for Matchpoint, with 5 major studios in pipeline.
- **Podcast monetization**: Direct ad deals averaging low 6-figures, CPMs 2x programmatic levels.

Cineverse Corp. (CNVS) Q4 2025 Earnings Conference Call Transcript

- **Record Q3 Growth**: $40.7M revenue (+207% YoY), $7.2M net income (+99% YoY), $10.8M EBITDA (+500% YoY). 
- ***Terrifier 3* Breakthrough**: $54M box office with $500K marketing spend; 100%+ upside in FY25. 
- **Low-Cost Film Model**: <$5M total investment per release vs. studio peers; 8-10 films/year pipeline. 
- **$13M Cash Position**: Zero debt, no equity needed; exploring debt financing for growth. 
- **Streaming Momentum**: 1.38M subscribers (+6% YoY); *Screambox* viewership +45% QoQ. 
- **AI-Driven Expansion**: Matchpoint AI wins 2 clients; AI training data pipeline >350,000 hours.

**【CEO Summary Section】**
- Q3 total revenue reached $40.7 million, up 207% YoY, driven by the record-breaking success of *Terrifier 3* ($54M box office with $500K marketing spend). 
- Net income of $7.2 million (up 99% YoY) and adjusted EBITDA of $10.8 million (500% YoY growth) highlight operational efficiency. 
- Future focus: 8-10 theatrical releases/year leveraging low-cost, hyper-targeted marketing (e.g., *Toxic Avenger* with 50% box office upside vs. *Terrifier 3*). 
- $13M cash on hand, zero debt, and $7.5M available credit line support growth without equity dilution.

**【CFO Financial Commentary】**
- Streaming/digital revenue +48% YoY; podcast/other revenue +138% YoY. 
- Operating margin 48% (target 45-50%), with SG&A as % of revenue dropping to 23% (vs. 48% prior year). 
- Q3 cash flow improved by $7.4M YoY; expecting full-year positive cash flow. 
- Post-year-end, reduced debt to zero and increased cash to $13M.

**【CFO on Financing】**
- Exploring debt financing for film slate expansion, but no plans for equity offerings. 
- $40M content library valuation vs. $4.60/share price suggests significant undervaluation.

**【Erick Opeka on Streaming & Ad Tech】**
- 1.38M subscribers (+6% YoY); *Screambox* viewership up 45% QoQ. 
- Matchpoint AI platform wins 2 scale clients; AI training data sales pipeline >350,000 hours. 
- Programmatic ad fill rate 55%, targeting <50% via direct sales. 
- Cineverse 360 SSP integrates with major ad buyers for AI-driven targeting.

**【Q&A Highlights】**
- *Film Release Scale*: 1,500-2,500 screens per release vs. studio 3,500-4,000, with 2,000-screen average. 
- *Return on Capital*: <$5M total investment per film (acquisition + marketing) vs. $54M box office for *Terrifier 3*. 
- *Subscription Growth*: Target 15-20% YoY via premium content and direct marketing. 
- *Non-Horror Expansion*: Exploring family, comedy, urban genres with existing media asset reach.

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