2023-05-11 16:50:50 ET
CuriosityStream ( NASDAQ: CURI ) jumped 10% after hours Thursday following a first-quarter earnings report where it beat revenue expectations with a lower-than-expected decline.
Revenues fell nearly 30%, to $12.4M, but that was still better than Wall Street analysts forecast.
Gross profit also dropped accordingly, to $3.4M from a year-ago $5.8M.
The company slashed costs, however, with advertising and marketing/general and administrative expenses dropping 56%, and the company narrowed its net loss to $7.8M from a year-ago loss of $15.9M.
It also cut cash outflows, with adjusted free cash flow dropping to -$6.3M from a year-ago figure of -$12.3M. The company has liqudiity of $49.2M against no debt.
“Our first quarter results reflect an improving financial trajectory and a solid foundation for future revenue growth, said CEO/President Clint Stinchcomb.
"We believe that our direct subscriber base, content library, multi-year distribution agreements, strong cash position and lack of debt are favorable business and strategic attributes that provide us with exceptional flexibility. As such, we will continue to consider opportunities that we believe are in the best interests of our shareholders, including share repurchases, potential business combinations, and scale partnerships," he said.
The company is guiding to Q2 revenues of $13M-$15M (vs. $15.02M consensus) and adjusted free cash flow between -$6M and -$4M.
Conference call to come at 5 p.m. ET .
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CuriosityStream jumps 10% on slower revenue decline and cash burn