Recent Quotes View Full List My Watchlist Create Watchlist Indicators DJI Nasdaq Composite SPX Gold Crude Oil EL&P Market Index Markets Stocks ETFs Tools Overview News Currencies International Treasuries LiveOne (Nasdaq: LVO) Reports Q1 Fiscal 2025 Revenue of $33.1M By: Liveone, Inc. via GlobeNewswire August 13, 2024 at 08:05 AM EDT Adjusted EBITDA* (excluding CPS) of $3.3M Audio Division (Slacker Radio and PodcastOne (Nasdaq: PODC)) Record Revenue of $31.9M (+24% YoY)Adjusted EBITDA* of $5.1M Fiscal 2025 Guidance Consolidated Revenue of $140M - $155M, Adj. EBITDA* of $16M – 20MAudio Division Revenue of $130M - $140M, Adj EBITDA* of $20M - $25M Shares Repurchased Total shares 4.38M$6.3M remaining of $12M under repurchase program Senior Management to Host a Live Conference Call and Audio Webcast on Tuesday, August 13, 2024 at 10:00 A.M. ET LOS ANGELES, Aug. 13, 2024 (GLOBE NEWSWIRE) -- LiveOne (Nasdaq: LVO), an award-winning, creator-first, music, entertainment, and technology platform, announced today its operating results for the first fiscal quarter ended June 30, 2024 (“Q1 Fiscal 2025”). LiveOne’s CEO and Chairman, Robert Ellin, commented, “We are thrilled to announce another quarter of record growth, driven by our Audio Division’s ongoing momentum. With a robust pipeline and four newly signed partnerships, we are excited about our future prospects. Our strategic positioning and operational efficiencies have effectively prepared us to leverage emerging opportunities. As we remain focused on our long-term objectives, we are committed to maintaining our creator-first platform approach and catering to our superfans. Additionally, our continued company share repurchases underscore our belief in the intrinsic value of our shares and demonstrate alignment with our dedicated shareholders.” Recent and Q1 Fiscal 2025 Highlights Paid members as of June 30, 2024 increased 653K or 29%, as compared to the prior year. Total members including free ad-supported memberships was approximately 3.9 million at July 31, 2024.** PodcastOne was 11th in PODTRAC’s Podcast Industry Top Publishers Rankings for June 2024 with a U.S. Unique Monthly Audience of ~5.5M and Global Downloads and Streams of ~17.5M. As previously announced with the assistance of J.P. Morgan, LiveOne is continuing a process to explore strategic alternatives to enhance shareholder value. Potential alternatives may include, among others, a strategic acquisition, divestiture, merger, sale or other form of business combination. There can be no assurance that LiveOne’s efforts will result in a specific transaction or any particular outcome or its timing. Q1 Fiscal 2025 and 2024 Results Summary (in $000’s, except per share; unaudited) Three Months Ended June 30, 2024 2023 Revenue$33,078 $27,767 Operating income (loss)$(784) $(255)Total other income (expense)$(724) $(181)Net income (loss)$(1,557) $(515)Adjusted EBITDA*$2,903 $2,210 Net income (loss) per share basic and diluted($0.02) ($0.01) Q1 Fiscal 2025 Results Summary Discussion For Q1 Fiscal 2025, LiveOne posted revenue of $33.1 million, a 19% increase, as compared to $27.8 million in the same period in the prior year. The Audio Division revenue was a record $31.9 million, a 24% increase, as compared to revenue of $25.7 in Q1 Fiscal 2024. Q1 Fiscal 2025 Operating Loss was ($0.8) million compared to Operating Loss of ($0.3) million in Q1 Fiscal 2024. The $0.5 million increase in Operating Income was largely a result of an increase in operating expenses. Q1 Fiscal 2025 Adjusted EBITDA* improved to $2.9 million, as compared to Q1 Fiscal 2024 Adjusted EBITDA* of $2.2 million. Q1 Fiscal 2025 Adjusted EBITDA* was comprised of Audio Division Adjusted EBITDA* of $5.1 million, Other Operations Adjusted EBITDA* of ($0.6) million and Corporate Adjusted EBITDA* of ($1.6) million. Audio Division Q1 Fiscal 2024 Adjusted EBITDA* of $5.1 million was driven by improved Contribution Margin* along with decreases in operating expenses. Capital expenditures for Q1 Fiscal 2024 totaled approximately $0.7 million, which were driven by capitalized software costs associated with development of LiveOne’s integrated music player and pay-per-view services. LiveOne is maintaining its guidance for its fiscal year ending March 31, 2025 of consolidated revenue of $140 million - $155 million and Adjusted EBITDA* of $16 million - $20 million, and for its Audio Division revenue of $130 million - $140 million and Adjusted EBITDA* of $20 million - $25 million. LiveOne’s senior management will host a live conference call and audio webcast to provide a business update and discuss its operating and financial results beginning at 10:00 a.m. ET / 7:00 a.m. PT on Tuesday, August 13, 2024. Conference Call and Webcast: WHEN: Tuesday, August 13thTIME: 10:00 AM ET / 7:00 AM PTDIAL-IN (Toll Free): (833) 470-1428DIAL IN NUMBER (Local): (404) 975-4839ACCESS CODE: 808439REPLAY NUMBER: (866) 813-9403 / ACCESS CODE: 410380 WEBCAST – Both the live webcast and a replay can be accessed on the Investor Relations section of LiveOne's website at Events | LiveOne.The webcast can also be accessed at: https://events.q4inc.com/attendee/127231561 The timing, price and actual number of shares repurchased under LiveOne’s stock repurchase program, which may include the possibility of buying back shares of common stock of PodcastOne, will be at the discretion of LiveOne's management and will depend on a variety of factors, including stock price, general business and market conditions, and alternative investment opportunities. The repurchase program will continue to be executed consistent with LiveOne's capital allocation strategy, which will continue to prioritize growing LiveOne's business. Under the stock repurchase program, repurchases can be made from time to time using a variety of methods, including open market purchases, all in compliance with the rules of the U.S. Securities and Exchange Commission and other applicable legal requirements. The repurchase program does not obligate LiveOne to acquire any particular amount of shares, and the program may be suspended or discontinued at any time at LiveOne's discretion. LiveOne will review the stock repurchase program periodically and may authorize adjustment of its terms and size. About LiveOneHeadquartered in Los Angeles, CA, LiveOne (Nasdaq: LVO) is an award-winning, creator-first, music, entertainment, and technology platform focused on delivering premium experiences and content worldwide through memberships and live and virtual events. LiveOne's wholly-owned subsidiaries include Slacker, PodcastOne (Nasdaq: PODC), PPVOne, CPS, LiveXLive, DayOne Music Publishing, Drumify and Splitmind. LiveOne is available on iOS, Android, Roku, Apple TV, Spotify, Samsung, Amazon Fire, Android TV, and through STIRR's OTT applications. For more information, visit liveone.com and follow us on Facebook, Instagram, TikTok, YouTube and Twitter at @liveone. For more investor information, please visit ir.liveone.com. Forward-Looking Statements All statements other than statements of historical facts contained in this press release are “forward-looking statements,” which may often, but not always, be identified by the use of such words as “may,” “might,” “will,” “will likely result,” “would,” “should,” “estimate,” “plan,” “project,” “forecast,” “intend,” “expect,” “anticipate,” “believe,” “seek,” “continue,” “target” or the negative of such terms or other similar expressions. These statements involve known and unknown risks, uncertainties and other factors, which may cause actual results, performance or achievements to differ materially from those expressed or implied by such statements, including: LiveOne’s reliance on one key customer for a substantial percentage of its revenue; LiveOne’s ability to consummate any proposed financing, acquisition, spin-out, special dividend, merger, distribution or transaction, the timing of the consummation of any such proposed event, including the risks that a condition to the consummation of any such event would not be satisfied within the expected timeframe or at all, or that the consummation of any proposed financing, acquisition, spin-out, merger, special dividend, distribution or transaction will not occur or whether any such event will enhance shareholder value; LiveOne’s ability to continue as a going concern; LiveOne’s ability to attract, maintain and increase the number of its users and paid members; LiveOne identifying, acquiring, securing and developing content; LiveOne’s intent to repurchase shares of its and/or PodcastOne’s common stock from time to time under LiveOne’s announced stock repurchase program and the timing, price, and quantity of repurchases, if any, under the program; LiveOne’s ability to maintain compliance with certain financial and other covenants; LiveOne successfully implementing its growth strategy, including relating to its technology platforms and applications; management’s relationships with industry stakeholders; uncertain and unfavorable outcomes in legal proceedings; changes in economic conditions; competition; risks and uncertainties applicable to the businesses of LiveOne’s subsidiaries; and other risks, uncertainties and factors including, but not limited to, those described in LiveOne’s Annual Report on Form 10-K for the fiscal year ended March 31, 2024, filed with the U.S. Securities and Exchange Commission (the “SEC”) on July 1, 2024, and in LiveOne’s other filings and submissions with the SEC. These forward-looking statements speak only as of the date hereof, and LiveOne disclaims any obligation to update these statements, except as may be required by law. LiveOne intends that all forward-looking statements be subject to the safe-harbor provisions of the Private Securities Litigation Reform Act of 1995.**Included in the total number of paid members for the reported periods are certain members which are the subject of a contractual dispute. LiveOne is currently not recognizing revenue related to these members. * About Non-GAAP Financial MeasuresTo supplement our consolidated financial statements, which are prepared and presented in accordance with the accounting principles generally accepted in the United States of America ("GAAP"), we present Contribution Margin (Loss) and Adjusted Earnings Before Interest Tax Depreciation and Amortization ("Adjusted EBITDA"), which are non-GAAP financial measures, as measures of our performance. The presentation of these non-GAAP financial measures is not intended to be considered in isolation from, or as a substitute for, or superior to, operating loss and or net income (loss) or any other performance measures derived in accordance with GAAP or as an alternative to net cash provided by operating activities or any other measures of our cash flows or liquidity. We use Contribution Margin (Loss) and Adjusted EBITDA to evaluate the performance of our operating segment. We believe that information about these non-GAAP financial measures assists investors by allowing them to evaluate changes in the operating results of our business separate from non-operational factors that affect operating income (loss) and net income (loss), thus providing insights into both operations and the other factors that affect reported results. Adjusted EBITDA is not calculated or presented in accordance with GAAP. A limitation of the use of Adjusted EBITDA as a performance measure is that it does not reflect the periodic costs of certain amortizing assets used in generating revenue in our business. Accordingly, Adjusted EBITDA should be considered in addition to, and not as a substitute for operating income (loss), net income (loss), and other measures of financial performance reported in accordance with GAAP. Furthermore, this measure may vary among other companies; thus, Adjusted EBITDA as presented herein may not be comparable to similarly titled measures of other companies. Contribution Margin (Loss) is defined as Revenue less Cost of Sales. Adjusted EBITDA is defined as earnings before interest, other (income) expense, income tax expense, depreciation and amortization and before (a) non-cash GAAP purchase accounting adjustments for certain deferred revenue and costs, (b) legal, accounting and other professional fees directly attributable to acquisition activity, (c) employee severance payments and third party professional fees directly attributable to acquisition or corporate realignment activities, (d) certain non-recurring expenses associated with legal settlements or reserves for legal settlements in the period that pertain to historical matters that existed at acquired companies prior to their purchase date and a one-time minimum guarantee to effectively terminate a live events distribution agreement post COVID-19, (e) depreciation and amortization (including goodwill impairment, if any), and (f) certain stock-based compensation expense. Management does not consider these costs to be indicative of our core operating results. With respect to projected full fiscal year 2025 Adjusted EBITDA, a quantitative reconciliation is not available without unreasonable efforts due to the high variability, complexity and low visibility with respect to purchase accounting adjustments, acquisition-related charges and legal settlement reserves excluded from Adjusted EBITDA. We expect that the variability of these items to have a potentially unpredictable, and potentially significant, impact on our future GAAP financial results. For more information on these non-GAAP financial measures, please see the tables entitled "Reconciliation of Non-GAAP Measure to GAAP Measure" included at the end of this release. LiveOne IR Contact:Liviakis Financial Communications, Inc.(415) 389-4670john@liviakis.com Press Contact:LiveOnepress@liveone.com Financial InformationThe tables below present financial results for the three months ended June 30, 2024 and 2023.LiveOne , Inc.Consolidated Statements of Operations (Unaudited)(In thousands, except share and per share amounts) Three Months Ended June 30, 2024 2023 Revenue: $33,078 $27,767 Operating expenses: Cost of sales 25,087 19,563 Sales and marketing 1,431 1,904 Product development 1,071 1,246 General and administrative 5,505 5,063 Impairment of intangible assets 176 - Amortization of intangible assets 592 246 Total operating expenses 33,862 28,022 Loss from operations (784) (255) Other income (expense): Interest expense, net (859) (1,418)Other income (expense) 135 1,237 Total other expense, net (724) (181) Loss before provision for income taxes (1,508) (436) Provision for income taxes 49 79 Net loss (1,557) (515)Net loss attributable to non-controlling interest (388) - Net loss attributed to LiveOne $(1,169) $(515) Net loss per share – basic and diluted $(0.02) $(0.01)Weighted average common shares – basic and diluted 98,419,692 86,895,208 LiveOne , Inc.Consolidated Balance Sheets (Unaudited)(In thousands) June 30 March 31, 2024 2024 (Unaudited) (Audited)Assets Current Assets Cash and cash equivalents $6,165 $6,987 Restricted cash 155 155 Accounts receivable, net 14,760 13,205 Inventories 2,809 2,187 Prepaid expense and other current assets 1,717 1,801 Total Current Assets 25,606 24,335 Property and equipment, net 3,716 3,646 Goodwill 23,379 23,379 Intangible assets, net 11,528 12,415 Other assets 400 88 Total Assets $64,629 $63,863 Liabilities, Mezzanine Equity and Stockholders’ Equity (Deficit) Current Liabilities Accounts payable and accrued liabilities $27,050 $26,953 Accrued royalties 12,729 10,862 Notes payable, current portion 691 692 Deferred revenue 675 728 Senior secured line of credit 7,000 7,000 Derivative liabilities - 607 Total Current Liabilities 48,145 46,842 Notes payable, net 601 771 Other long-term liabilities 8,934 9,354 Deferred income taxes 339 339 Total Liabilities 58,019 57,306 Commitments and Contingencies Mezzanine Equity Redeemable convertible preferred stock, $0.001 par value; 100,000 shares authorized; none and 5,000 shares issued and outstanding as of June 30, 2024 and March 31, 2024, respectively - 4,962 Stockholders’ Equity (Deficit) Preferred stock, $0.001 par value; 10,000,000 shares authorized; 12,797 and 18,814 shares issued and outstanding as of June 30, 2024 and March 31, 2024, respectively 12,797 18,814 Common stock, $0.001 par value; 500,000,000 shares authorized; 94,578,077 and 88,627,420 shares issued and outstanding, net of treasury shares, respectively 98 92 Additional paid in capital 229,674 216,116 Treasury stock (5,531) (4,782)Accumulated deficit (240,847) (238,984)Total LiveOne's Stockholders’ Deficit (3,809) (8,744)Non-controlling interest 10,419 10,339 Total equity (deficit) 6,610 1,595 Total Liabilities, Mezzanine Equity and Stockholders’ Equity (Deficit) $64,629 $63,863 LiveOne , Inc.Reconciliation of Non-GAAP Measure to GAAP MeasureAdjusted EBITDA* Reconciliation (Unaudited)(In thousands) Non- Recurring Net Depreciation Acquisition and Other (Benefit) Income and Stock-Based Realignment (Income) Provision Adjusted (Loss) Amortization Compensation Costs (1) Expense (2) for Taxes EBITDA*Three Months Ended June 30, 2024 Operations – PodcastOne$(1,366) $619 $394 $37 $- $- $(316)Operations – Slacker 3,352 750 505 146 672 - 5,425 Operations – Other (1,391) 217 318 197 31 - (628)Corporate (2,152) 2 483 19 21 49 (1,578)Total$(1,557) $1,588 $1,700 $399 $724 $49 $2,903 Three Months Ended June 30, 2023 Operations – PodcastOne$(210) $86 $84 $- $403 $- $363 Operations – Slacker 3,384 714 216 453 (253) - 4,514 Operations – Other (848) 250 34 26 (643) - (1,181)Corporate (2,841) 5 543 54 674 79 (1,486)Total$(515) $1,055 $877 $533 $181 $79 $2,210 (1)Other Non-Operating and Non-Recurring Costs include outside legal, accounting and other professional fees directly attributable to acquisition activity in the period and in addition to certain non-recurring expenses associated with legal settlements or reserves for legal settlements in the period that pertain to historical matters that existed at certain acquired companies prior to their purchase date and non-recurring employee severance payments. (2)Other (income) expense above primarily includes interest expense and change in fair value of derivative liabilities. These are included in the statement of operations in other income (expense) and are an add back to net loss above in the reconciliation of Adjusted EBITDA* to loss. *See the definition of Adjusted EBITDA under “About Non-GAAP Financial Measures” within this release. LiveOne , Inc.Reconciliation of Non-GAAP Measure to GAAP MeasureContribution Margin* Reconciliation (Unaudited)(In thousands) Three Months Ended June 30, 2024 2023 Revenue:$33,078 $27,767 Less: Cost of sales (25,087) (19,563)Amortization of developed technology (775) (747)Gross Profit 7,216 7,457 Add back amortization of developed technology: 775 747 Contribution Margin*$ 7,991 $ 8,204 *See the definition of Contribution Margin under “About Non-GAAP Financial Measures” within this release. Data & News supplied by www.cloudquote.io Stock quotes supplied by Barchart Quotes delayed at least 20 minutes. 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LiveOne (Nasdaq: LVO) Reports Q1 Fiscal 2025 Revenue of $33.1M By: Liveone, Inc. via GlobeNewswire August 13, 2024 at 08:05 AM EDT Adjusted EBITDA* (excluding CPS) of $3.3M Audio Division (Slacker Radio and PodcastOne (Nasdaq: PODC)) Record Revenue of $31.9M (+24% YoY)Adjusted EBITDA* of $5.1M Fiscal 2025 Guidance Consolidated Revenue of $140M - $155M, Adj. EBITDA* of $16M – 20MAudio Division Revenue of $130M - $140M, Adj EBITDA* of $20M - $25M Shares Repurchased Total shares 4.38M$6.3M remaining of $12M under repurchase program Senior Management to Host a Live Conference Call and Audio Webcast on Tuesday, August 13, 2024 at 10:00 A.M. ET LOS ANGELES, Aug. 13, 2024 (GLOBE NEWSWIRE) -- LiveOne (Nasdaq: LVO), an award-winning, creator-first, music, entertainment, and technology platform, announced today its operating results for the first fiscal quarter ended June 30, 2024 (“Q1 Fiscal 2025”). LiveOne’s CEO and Chairman, Robert Ellin, commented, “We are thrilled to announce another quarter of record growth, driven by our Audio Division’s ongoing momentum. With a robust pipeline and four newly signed partnerships, we are excited about our future prospects. Our strategic positioning and operational efficiencies have effectively prepared us to leverage emerging opportunities. As we remain focused on our long-term objectives, we are committed to maintaining our creator-first platform approach and catering to our superfans. Additionally, our continued company share repurchases underscore our belief in the intrinsic value of our shares and demonstrate alignment with our dedicated shareholders.” Recent and Q1 Fiscal 2025 Highlights Paid members as of June 30, 2024 increased 653K or 29%, as compared to the prior year. Total members including free ad-supported memberships was approximately 3.9 million at July 31, 2024.** PodcastOne was 11th in PODTRAC’s Podcast Industry Top Publishers Rankings for June 2024 with a U.S. Unique Monthly Audience of ~5.5M and Global Downloads and Streams of ~17.5M. As previously announced with the assistance of J.P. Morgan, LiveOne is continuing a process to explore strategic alternatives to enhance shareholder value. Potential alternatives may include, among others, a strategic acquisition, divestiture, merger, sale or other form of business combination. There can be no assurance that LiveOne’s efforts will result in a specific transaction or any particular outcome or its timing. Q1 Fiscal 2025 and 2024 Results Summary (in $000’s, except per share; unaudited) Three Months Ended June 30, 2024 2023 Revenue$33,078 $27,767 Operating income (loss)$(784) $(255)Total other income (expense)$(724) $(181)Net income (loss)$(1,557) $(515)Adjusted EBITDA*$2,903 $2,210 Net income (loss) per share basic and diluted($0.02) ($0.01) Q1 Fiscal 2025 Results Summary Discussion For Q1 Fiscal 2025, LiveOne posted revenue of $33.1 million, a 19% increase, as compared to $27.8 million in the same period in the prior year. The Audio Division revenue was a record $31.9 million, a 24% increase, as compared to revenue of $25.7 in Q1 Fiscal 2024. Q1 Fiscal 2025 Operating Loss was ($0.8) million compared to Operating Loss of ($0.3) million in Q1 Fiscal 2024. The $0.5 million increase in Operating Income was largely a result of an increase in operating expenses. Q1 Fiscal 2025 Adjusted EBITDA* improved to $2.9 million, as compared to Q1 Fiscal 2024 Adjusted EBITDA* of $2.2 million. Q1 Fiscal 2025 Adjusted EBITDA* was comprised of Audio Division Adjusted EBITDA* of $5.1 million, Other Operations Adjusted EBITDA* of ($0.6) million and Corporate Adjusted EBITDA* of ($1.6) million. Audio Division Q1 Fiscal 2024 Adjusted EBITDA* of $5.1 million was driven by improved Contribution Margin* along with decreases in operating expenses. Capital expenditures for Q1 Fiscal 2024 totaled approximately $0.7 million, which were driven by capitalized software costs associated with development of LiveOne’s integrated music player and pay-per-view services. LiveOne is maintaining its guidance for its fiscal year ending March 31, 2025 of consolidated revenue of $140 million - $155 million and Adjusted EBITDA* of $16 million - $20 million, and for its Audio Division revenue of $130 million - $140 million and Adjusted EBITDA* of $20 million - $25 million. LiveOne’s senior management will host a live conference call and audio webcast to provide a business update and discuss its operating and financial results beginning at 10:00 a.m. ET / 7:00 a.m. PT on Tuesday, August 13, 2024. Conference Call and Webcast: WHEN: Tuesday, August 13thTIME: 10:00 AM ET / 7:00 AM PTDIAL-IN (Toll Free): (833) 470-1428DIAL IN NUMBER (Local): (404) 975-4839ACCESS CODE: 808439REPLAY NUMBER: (866) 813-9403 / ACCESS CODE: 410380 WEBCAST – Both the live webcast and a replay can be accessed on the Investor Relations section of LiveOne's website at Events | LiveOne.The webcast can also be accessed at: https://events.q4inc.com/attendee/127231561 The timing, price and actual number of shares repurchased under LiveOne’s stock repurchase program, which may include the possibility of buying back shares of common stock of PodcastOne, will be at the discretion of LiveOne's management and will depend on a variety of factors, including stock price, general business and market conditions, and alternative investment opportunities. The repurchase program will continue to be executed consistent with LiveOne's capital allocation strategy, which will continue to prioritize growing LiveOne's business. Under the stock repurchase program, repurchases can be made from time to time using a variety of methods, including open market purchases, all in compliance with the rules of the U.S. Securities and Exchange Commission and other applicable legal requirements. The repurchase program does not obligate LiveOne to acquire any particular amount of shares, and the program may be suspended or discontinued at any time at LiveOne's discretion. LiveOne will review the stock repurchase program periodically and may authorize adjustment of its terms and size. About LiveOneHeadquartered in Los Angeles, CA, LiveOne (Nasdaq: LVO) is an award-winning, creator-first, music, entertainment, and technology platform focused on delivering premium experiences and content worldwide through memberships and live and virtual events. LiveOne's wholly-owned subsidiaries include Slacker, PodcastOne (Nasdaq: PODC), PPVOne, CPS, LiveXLive, DayOne Music Publishing, Drumify and Splitmind. LiveOne is available on iOS, Android, Roku, Apple TV, Spotify, Samsung, Amazon Fire, Android TV, and through STIRR's OTT applications. For more information, visit liveone.com and follow us on Facebook, Instagram, TikTok, YouTube and Twitter at @liveone. For more investor information, please visit ir.liveone.com. Forward-Looking Statements All statements other than statements of historical facts contained in this press release are “forward-looking statements,” which may often, but not always, be identified by the use of such words as “may,” “might,” “will,” “will likely result,” “would,” “should,” “estimate,” “plan,” “project,” “forecast,” “intend,” “expect,” “anticipate,” “believe,” “seek,” “continue,” “target” or the negative of such terms or other similar expressions. These statements involve known and unknown risks, uncertainties and other factors, which may cause actual results, performance or achievements to differ materially from those expressed or implied by such statements, including: LiveOne’s reliance on one key customer for a substantial percentage of its revenue; LiveOne’s ability to consummate any proposed financing, acquisition, spin-out, special dividend, merger, distribution or transaction, the timing of the consummation of any such proposed event, including the risks that a condition to the consummation of any such event would not be satisfied within the expected timeframe or at all, or that the consummation of any proposed financing, acquisition, spin-out, merger, special dividend, distribution or transaction will not occur or whether any such event will enhance shareholder value; LiveOne’s ability to continue as a going concern; LiveOne’s ability to attract, maintain and increase the number of its users and paid members; LiveOne identifying, acquiring, securing and developing content; LiveOne’s intent to repurchase shares of its and/or PodcastOne’s common stock from time to time under LiveOne’s announced stock repurchase program and the timing, price, and quantity of repurchases, if any, under the program; LiveOne’s ability to maintain compliance with certain financial and other covenants; LiveOne successfully implementing its growth strategy, including relating to its technology platforms and applications; management’s relationships with industry stakeholders; uncertain and unfavorable outcomes in legal proceedings; changes in economic conditions; competition; risks and uncertainties applicable to the businesses of LiveOne’s subsidiaries; and other risks, uncertainties and factors including, but not limited to, those described in LiveOne’s Annual Report on Form 10-K for the fiscal year ended March 31, 2024, filed with the U.S. Securities and Exchange Commission (the “SEC”) on July 1, 2024, and in LiveOne’s other filings and submissions with the SEC. These forward-looking statements speak only as of the date hereof, and LiveOne disclaims any obligation to update these statements, except as may be required by law. LiveOne intends that all forward-looking statements be subject to the safe-harbor provisions of the Private Securities Litigation Reform Act of 1995.**Included in the total number of paid members for the reported periods are certain members which are the subject of a contractual dispute. LiveOne is currently not recognizing revenue related to these members. * About Non-GAAP Financial MeasuresTo supplement our consolidated financial statements, which are prepared and presented in accordance with the accounting principles generally accepted in the United States of America ("GAAP"), we present Contribution Margin (Loss) and Adjusted Earnings Before Interest Tax Depreciation and Amortization ("Adjusted EBITDA"), which are non-GAAP financial measures, as measures of our performance. The presentation of these non-GAAP financial measures is not intended to be considered in isolation from, or as a substitute for, or superior to, operating loss and or net income (loss) or any other performance measures derived in accordance with GAAP or as an alternative to net cash provided by operating activities or any other measures of our cash flows or liquidity. We use Contribution Margin (Loss) and Adjusted EBITDA to evaluate the performance of our operating segment. We believe that information about these non-GAAP financial measures assists investors by allowing them to evaluate changes in the operating results of our business separate from non-operational factors that affect operating income (loss) and net income (loss), thus providing insights into both operations and the other factors that affect reported results. Adjusted EBITDA is not calculated or presented in accordance with GAAP. A limitation of the use of Adjusted EBITDA as a performance measure is that it does not reflect the periodic costs of certain amortizing assets used in generating revenue in our business. Accordingly, Adjusted EBITDA should be considered in addition to, and not as a substitute for operating income (loss), net income (loss), and other measures of financial performance reported in accordance with GAAP. Furthermore, this measure may vary among other companies; thus, Adjusted EBITDA as presented herein may not be comparable to similarly titled measures of other companies. Contribution Margin (Loss) is defined as Revenue less Cost of Sales. Adjusted EBITDA is defined as earnings before interest, other (income) expense, income tax expense, depreciation and amortization and before (a) non-cash GAAP purchase accounting adjustments for certain deferred revenue and costs, (b) legal, accounting and other professional fees directly attributable to acquisition activity, (c) employee severance payments and third party professional fees directly attributable to acquisition or corporate realignment activities, (d) certain non-recurring expenses associated with legal settlements or reserves for legal settlements in the period that pertain to historical matters that existed at acquired companies prior to their purchase date and a one-time minimum guarantee to effectively terminate a live events distribution agreement post COVID-19, (e) depreciation and amortization (including goodwill impairment, if any), and (f) certain stock-based compensation expense. Management does not consider these costs to be indicative of our core operating results. With respect to projected full fiscal year 2025 Adjusted EBITDA, a quantitative reconciliation is not available without unreasonable efforts due to the high variability, complexity and low visibility with respect to purchase accounting adjustments, acquisition-related charges and legal settlement reserves excluded from Adjusted EBITDA. We expect that the variability of these items to have a potentially unpredictable, and potentially significant, impact on our future GAAP financial results. For more information on these non-GAAP financial measures, please see the tables entitled "Reconciliation of Non-GAAP Measure to GAAP Measure" included at the end of this release. LiveOne IR Contact:Liviakis Financial Communications, Inc.(415) 389-4670john@liviakis.com Press Contact:LiveOnepress@liveone.com Financial InformationThe tables below present financial results for the three months ended June 30, 2024 and 2023.LiveOne , Inc.Consolidated Statements of Operations (Unaudited)(In thousands, except share and per share amounts) Three Months Ended June 30, 2024 2023 Revenue: $33,078 $27,767 Operating expenses: Cost of sales 25,087 19,563 Sales and marketing 1,431 1,904 Product development 1,071 1,246 General and administrative 5,505 5,063 Impairment of intangible assets 176 - Amortization of intangible assets 592 246 Total operating expenses 33,862 28,022 Loss from operations (784) (255) Other income (expense): Interest expense, net (859) (1,418)Other income (expense) 135 1,237 Total other expense, net (724) (181) Loss before provision for income taxes (1,508) (436) Provision for income taxes 49 79 Net loss (1,557) (515)Net loss attributable to non-controlling interest (388) - Net loss attributed to LiveOne $(1,169) $(515) Net loss per share – basic and diluted $(0.02) $(0.01)Weighted average common shares – basic and diluted 98,419,692 86,895,208 LiveOne , Inc.Consolidated Balance Sheets (Unaudited)(In thousands) June 30 March 31, 2024 2024 (Unaudited) (Audited)Assets Current Assets Cash and cash equivalents $6,165 $6,987 Restricted cash 155 155 Accounts receivable, net 14,760 13,205 Inventories 2,809 2,187 Prepaid expense and other current assets 1,717 1,801 Total Current Assets 25,606 24,335 Property and equipment, net 3,716 3,646 Goodwill 23,379 23,379 Intangible assets, net 11,528 12,415 Other assets 400 88 Total Assets $64,629 $63,863 Liabilities, Mezzanine Equity and Stockholders’ Equity (Deficit) Current Liabilities Accounts payable and accrued liabilities $27,050 $26,953 Accrued royalties 12,729 10,862 Notes payable, current portion 691 692 Deferred revenue 675 728 Senior secured line of credit 7,000 7,000 Derivative liabilities - 607 Total Current Liabilities 48,145 46,842 Notes payable, net 601 771 Other long-term liabilities 8,934 9,354 Deferred income taxes 339 339 Total Liabilities 58,019 57,306 Commitments and Contingencies Mezzanine Equity Redeemable convertible preferred stock, $0.001 par value; 100,000 shares authorized; none and 5,000 shares issued and outstanding as of June 30, 2024 and March 31, 2024, respectively - 4,962 Stockholders’ Equity (Deficit) Preferred stock, $0.001 par value; 10,000,000 shares authorized; 12,797 and 18,814 shares issued and outstanding as of June 30, 2024 and March 31, 2024, respectively 12,797 18,814 Common stock, $0.001 par value; 500,000,000 shares authorized; 94,578,077 and 88,627,420 shares issued and outstanding, net of treasury shares, respectively 98 92 Additional paid in capital 229,674 216,116 Treasury stock (5,531) (4,782)Accumulated deficit (240,847) (238,984)Total LiveOne's Stockholders’ Deficit (3,809) (8,744)Non-controlling interest 10,419 10,339 Total equity (deficit) 6,610 1,595 Total Liabilities, Mezzanine Equity and Stockholders’ Equity (Deficit) $64,629 $63,863 LiveOne , Inc.Reconciliation of Non-GAAP Measure to GAAP MeasureAdjusted EBITDA* Reconciliation (Unaudited)(In thousands) Non- Recurring Net Depreciation Acquisition and Other (Benefit) Income and Stock-Based Realignment (Income) Provision Adjusted (Loss) Amortization Compensation Costs (1) Expense (2) for Taxes EBITDA*Three Months Ended June 30, 2024 Operations – PodcastOne$(1,366) $619 $394 $37 $- $- $(316)Operations – Slacker 3,352 750 505 146 672 - 5,425 Operations – Other (1,391) 217 318 197 31 - (628)Corporate (2,152) 2 483 19 21 49 (1,578)Total$(1,557) $1,588 $1,700 $399 $724 $49 $2,903 Three Months Ended June 30, 2023 Operations – PodcastOne$(210) $86 $84 $- $403 $- $363 Operations – Slacker 3,384 714 216 453 (253) - 4,514 Operations – Other (848) 250 34 26 (643) - (1,181)Corporate (2,841) 5 543 54 674 79 (1,486)Total$(515) $1,055 $877 $533 $181 $79 $2,210 (1)Other Non-Operating and Non-Recurring Costs include outside legal, accounting and other professional fees directly attributable to acquisition activity in the period and in addition to certain non-recurring expenses associated with legal settlements or reserves for legal settlements in the period that pertain to historical matters that existed at certain acquired companies prior to their purchase date and non-recurring employee severance payments. (2)Other (income) expense above primarily includes interest expense and change in fair value of derivative liabilities. These are included in the statement of operations in other income (expense) and are an add back to net loss above in the reconciliation of Adjusted EBITDA* to loss. *See the definition of Adjusted EBITDA under “About Non-GAAP Financial Measures” within this release. LiveOne , Inc.Reconciliation of Non-GAAP Measure to GAAP MeasureContribution Margin* Reconciliation (Unaudited)(In thousands) Three Months Ended June 30, 2024 2023 Revenue:$33,078 $27,767 Less: Cost of sales (25,087) (19,563)Amortization of developed technology (775) (747)Gross Profit 7,216 7,457 Add back amortization of developed technology: 775 747 Contribution Margin*$ 7,991 $ 8,204 *See the definition of Contribution Margin under “About Non-GAAP Financial Measures” within this release.
Adjusted EBITDA* (excluding CPS) of $3.3M Audio Division (Slacker Radio and PodcastOne (Nasdaq: PODC)) Record Revenue of $31.9M (+24% YoY)Adjusted EBITDA* of $5.1M Fiscal 2025 Guidance Consolidated Revenue of $140M - $155M, Adj. EBITDA* of $16M – 20MAudio Division Revenue of $130M - $140M, Adj EBITDA* of $20M - $25M Shares Repurchased Total shares 4.38M$6.3M remaining of $12M under repurchase program Senior Management to Host a Live Conference Call and Audio Webcast on Tuesday, August 13, 2024 at 10:00 A.M. ET LOS ANGELES, Aug. 13, 2024 (GLOBE NEWSWIRE) -- LiveOne (Nasdaq: LVO), an award-winning, creator-first, music, entertainment, and technology platform, announced today its operating results for the first fiscal quarter ended June 30, 2024 (“Q1 Fiscal 2025”). LiveOne’s CEO and Chairman, Robert Ellin, commented, “We are thrilled to announce another quarter of record growth, driven by our Audio Division’s ongoing momentum. With a robust pipeline and four newly signed partnerships, we are excited about our future prospects. Our strategic positioning and operational efficiencies have effectively prepared us to leverage emerging opportunities. As we remain focused on our long-term objectives, we are committed to maintaining our creator-first platform approach and catering to our superfans. Additionally, our continued company share repurchases underscore our belief in the intrinsic value of our shares and demonstrate alignment with our dedicated shareholders.” Recent and Q1 Fiscal 2025 Highlights Paid members as of June 30, 2024 increased 653K or 29%, as compared to the prior year. Total members including free ad-supported memberships was approximately 3.9 million at July 31, 2024.** PodcastOne was 11th in PODTRAC’s Podcast Industry Top Publishers Rankings for June 2024 with a U.S. Unique Monthly Audience of ~5.5M and Global Downloads and Streams of ~17.5M. As previously announced with the assistance of J.P. Morgan, LiveOne is continuing a process to explore strategic alternatives to enhance shareholder value. Potential alternatives may include, among others, a strategic acquisition, divestiture, merger, sale or other form of business combination. There can be no assurance that LiveOne’s efforts will result in a specific transaction or any particular outcome or its timing. Q1 Fiscal 2025 and 2024 Results Summary (in $000’s, except per share; unaudited) Three Months Ended June 30, 2024 2023 Revenue$33,078 $27,767 Operating income (loss)$(784) $(255)Total other income (expense)$(724) $(181)Net income (loss)$(1,557) $(515)Adjusted EBITDA*$2,903 $2,210 Net income (loss) per share basic and diluted($0.02) ($0.01) Q1 Fiscal 2025 Results Summary Discussion For Q1 Fiscal 2025, LiveOne posted revenue of $33.1 million, a 19% increase, as compared to $27.8 million in the same period in the prior year. The Audio Division revenue was a record $31.9 million, a 24% increase, as compared to revenue of $25.7 in Q1 Fiscal 2024. Q1 Fiscal 2025 Operating Loss was ($0.8) million compared to Operating Loss of ($0.3) million in Q1 Fiscal 2024. The $0.5 million increase in Operating Income was largely a result of an increase in operating expenses. Q1 Fiscal 2025 Adjusted EBITDA* improved to $2.9 million, as compared to Q1 Fiscal 2024 Adjusted EBITDA* of $2.2 million. Q1 Fiscal 2025 Adjusted EBITDA* was comprised of Audio Division Adjusted EBITDA* of $5.1 million, Other Operations Adjusted EBITDA* of ($0.6) million and Corporate Adjusted EBITDA* of ($1.6) million. Audio Division Q1 Fiscal 2024 Adjusted EBITDA* of $5.1 million was driven by improved Contribution Margin* along with decreases in operating expenses. Capital expenditures for Q1 Fiscal 2024 totaled approximately $0.7 million, which were driven by capitalized software costs associated with development of LiveOne’s integrated music player and pay-per-view services. LiveOne is maintaining its guidance for its fiscal year ending March 31, 2025 of consolidated revenue of $140 million - $155 million and Adjusted EBITDA* of $16 million - $20 million, and for its Audio Division revenue of $130 million - $140 million and Adjusted EBITDA* of $20 million - $25 million. LiveOne’s senior management will host a live conference call and audio webcast to provide a business update and discuss its operating and financial results beginning at 10:00 a.m. ET / 7:00 a.m. PT on Tuesday, August 13, 2024. Conference Call and Webcast: WHEN: Tuesday, August 13thTIME: 10:00 AM ET / 7:00 AM PTDIAL-IN (Toll Free): (833) 470-1428DIAL IN NUMBER (Local): (404) 975-4839ACCESS CODE: 808439REPLAY NUMBER: (866) 813-9403 / ACCESS CODE: 410380 WEBCAST – Both the live webcast and a replay can be accessed on the Investor Relations section of LiveOne's website at Events | LiveOne.The webcast can also be accessed at: https://events.q4inc.com/attendee/127231561 The timing, price and actual number of shares repurchased under LiveOne’s stock repurchase program, which may include the possibility of buying back shares of common stock of PodcastOne, will be at the discretion of LiveOne's management and will depend on a variety of factors, including stock price, general business and market conditions, and alternative investment opportunities. The repurchase program will continue to be executed consistent with LiveOne's capital allocation strategy, which will continue to prioritize growing LiveOne's business. Under the stock repurchase program, repurchases can be made from time to time using a variety of methods, including open market purchases, all in compliance with the rules of the U.S. Securities and Exchange Commission and other applicable legal requirements. The repurchase program does not obligate LiveOne to acquire any particular amount of shares, and the program may be suspended or discontinued at any time at LiveOne's discretion. LiveOne will review the stock repurchase program periodically and may authorize adjustment of its terms and size. About LiveOneHeadquartered in Los Angeles, CA, LiveOne (Nasdaq: LVO) is an award-winning, creator-first, music, entertainment, and technology platform focused on delivering premium experiences and content worldwide through memberships and live and virtual events. LiveOne's wholly-owned subsidiaries include Slacker, PodcastOne (Nasdaq: PODC), PPVOne, CPS, LiveXLive, DayOne Music Publishing, Drumify and Splitmind. LiveOne is available on iOS, Android, Roku, Apple TV, Spotify, Samsung, Amazon Fire, Android TV, and through STIRR's OTT applications. For more information, visit liveone.com and follow us on Facebook, Instagram, TikTok, YouTube and Twitter at @liveone. For more investor information, please visit ir.liveone.com. Forward-Looking Statements All statements other than statements of historical facts contained in this press release are “forward-looking statements,” which may often, but not always, be identified by the use of such words as “may,” “might,” “will,” “will likely result,” “would,” “should,” “estimate,” “plan,” “project,” “forecast,” “intend,” “expect,” “anticipate,” “believe,” “seek,” “continue,” “target” or the negative of such terms or other similar expressions. These statements involve known and unknown risks, uncertainties and other factors, which may cause actual results, performance or achievements to differ materially from those expressed or implied by such statements, including: LiveOne’s reliance on one key customer for a substantial percentage of its revenue; LiveOne’s ability to consummate any proposed financing, acquisition, spin-out, special dividend, merger, distribution or transaction, the timing of the consummation of any such proposed event, including the risks that a condition to the consummation of any such event would not be satisfied within the expected timeframe or at all, or that the consummation of any proposed financing, acquisition, spin-out, merger, special dividend, distribution or transaction will not occur or whether any such event will enhance shareholder value; LiveOne’s ability to continue as a going concern; LiveOne’s ability to attract, maintain and increase the number of its users and paid members; LiveOne identifying, acquiring, securing and developing content; LiveOne’s intent to repurchase shares of its and/or PodcastOne’s common stock from time to time under LiveOne’s announced stock repurchase program and the timing, price, and quantity of repurchases, if any, under the program; LiveOne’s ability to maintain compliance with certain financial and other covenants; LiveOne successfully implementing its growth strategy, including relating to its technology platforms and applications; management’s relationships with industry stakeholders; uncertain and unfavorable outcomes in legal proceedings; changes in economic conditions; competition; risks and uncertainties applicable to the businesses of LiveOne’s subsidiaries; and other risks, uncertainties and factors including, but not limited to, those described in LiveOne’s Annual Report on Form 10-K for the fiscal year ended March 31, 2024, filed with the U.S. Securities and Exchange Commission (the “SEC”) on July 1, 2024, and in LiveOne’s other filings and submissions with the SEC. These forward-looking statements speak only as of the date hereof, and LiveOne disclaims any obligation to update these statements, except as may be required by law. LiveOne intends that all forward-looking statements be subject to the safe-harbor provisions of the Private Securities Litigation Reform Act of 1995.**Included in the total number of paid members for the reported periods are certain members which are the subject of a contractual dispute. LiveOne is currently not recognizing revenue related to these members. * About Non-GAAP Financial MeasuresTo supplement our consolidated financial statements, which are prepared and presented in accordance with the accounting principles generally accepted in the United States of America ("GAAP"), we present Contribution Margin (Loss) and Adjusted Earnings Before Interest Tax Depreciation and Amortization ("Adjusted EBITDA"), which are non-GAAP financial measures, as measures of our performance. The presentation of these non-GAAP financial measures is not intended to be considered in isolation from, or as a substitute for, or superior to, operating loss and or net income (loss) or any other performance measures derived in accordance with GAAP or as an alternative to net cash provided by operating activities or any other measures of our cash flows or liquidity. We use Contribution Margin (Loss) and Adjusted EBITDA to evaluate the performance of our operating segment. We believe that information about these non-GAAP financial measures assists investors by allowing them to evaluate changes in the operating results of our business separate from non-operational factors that affect operating income (loss) and net income (loss), thus providing insights into both operations and the other factors that affect reported results. Adjusted EBITDA is not calculated or presented in accordance with GAAP. A limitation of the use of Adjusted EBITDA as a performance measure is that it does not reflect the periodic costs of certain amortizing assets used in generating revenue in our business. Accordingly, Adjusted EBITDA should be considered in addition to, and not as a substitute for operating income (loss), net income (loss), and other measures of financial performance reported in accordance with GAAP. Furthermore, this measure may vary among other companies; thus, Adjusted EBITDA as presented herein may not be comparable to similarly titled measures of other companies. Contribution Margin (Loss) is defined as Revenue less Cost of Sales. Adjusted EBITDA is defined as earnings before interest, other (income) expense, income tax expense, depreciation and amortization and before (a) non-cash GAAP purchase accounting adjustments for certain deferred revenue and costs, (b) legal, accounting and other professional fees directly attributable to acquisition activity, (c) employee severance payments and third party professional fees directly attributable to acquisition or corporate realignment activities, (d) certain non-recurring expenses associated with legal settlements or reserves for legal settlements in the period that pertain to historical matters that existed at acquired companies prior to their purchase date and a one-time minimum guarantee to effectively terminate a live events distribution agreement post COVID-19, (e) depreciation and amortization (including goodwill impairment, if any), and (f) certain stock-based compensation expense. Management does not consider these costs to be indicative of our core operating results. With respect to projected full fiscal year 2025 Adjusted EBITDA, a quantitative reconciliation is not available without unreasonable efforts due to the high variability, complexity and low visibility with respect to purchase accounting adjustments, acquisition-related charges and legal settlement reserves excluded from Adjusted EBITDA. We expect that the variability of these items to have a potentially unpredictable, and potentially significant, impact on our future GAAP financial results. For more information on these non-GAAP financial measures, please see the tables entitled "Reconciliation of Non-GAAP Measure to GAAP Measure" included at the end of this release. LiveOne IR Contact:Liviakis Financial Communications, Inc.(415) 389-4670john@liviakis.com Press Contact:LiveOnepress@liveone.com Financial InformationThe tables below present financial results for the three months ended June 30, 2024 and 2023.LiveOne , Inc.Consolidated Statements of Operations (Unaudited)(In thousands, except share and per share amounts) Three Months Ended June 30, 2024 2023 Revenue: $33,078 $27,767 Operating expenses: Cost of sales 25,087 19,563 Sales and marketing 1,431 1,904 Product development 1,071 1,246 General and administrative 5,505 5,063 Impairment of intangible assets 176 - Amortization of intangible assets 592 246 Total operating expenses 33,862 28,022 Loss from operations (784) (255) Other income (expense): Interest expense, net (859) (1,418)Other income (expense) 135 1,237 Total other expense, net (724) (181) Loss before provision for income taxes (1,508) (436) Provision for income taxes 49 79 Net loss (1,557) (515)Net loss attributable to non-controlling interest (388) - Net loss attributed to LiveOne $(1,169) $(515) Net loss per share – basic and diluted $(0.02) $(0.01)Weighted average common shares – basic and diluted 98,419,692 86,895,208 LiveOne , Inc.Consolidated Balance Sheets (Unaudited)(In thousands) June 30 March 31, 2024 2024 (Unaudited) (Audited)Assets Current Assets Cash and cash equivalents $6,165 $6,987 Restricted cash 155 155 Accounts receivable, net 14,760 13,205 Inventories 2,809 2,187 Prepaid expense and other current assets 1,717 1,801 Total Current Assets 25,606 24,335 Property and equipment, net 3,716 3,646 Goodwill 23,379 23,379 Intangible assets, net 11,528 12,415 Other assets 400 88 Total Assets $64,629 $63,863 Liabilities, Mezzanine Equity and Stockholders’ Equity (Deficit) Current Liabilities Accounts payable and accrued liabilities $27,050 $26,953 Accrued royalties 12,729 10,862 Notes payable, current portion 691 692 Deferred revenue 675 728 Senior secured line of credit 7,000 7,000 Derivative liabilities - 607 Total Current Liabilities 48,145 46,842 Notes payable, net 601 771 Other long-term liabilities 8,934 9,354 Deferred income taxes 339 339 Total Liabilities 58,019 57,306 Commitments and Contingencies Mezzanine Equity Redeemable convertible preferred stock, $0.001 par value; 100,000 shares authorized; none and 5,000 shares issued and outstanding as of June 30, 2024 and March 31, 2024, respectively - 4,962 Stockholders’ Equity (Deficit) Preferred stock, $0.001 par value; 10,000,000 shares authorized; 12,797 and 18,814 shares issued and outstanding as of June 30, 2024 and March 31, 2024, respectively 12,797 18,814 Common stock, $0.001 par value; 500,000,000 shares authorized; 94,578,077 and 88,627,420 shares issued and outstanding, net of treasury shares, respectively 98 92 Additional paid in capital 229,674 216,116 Treasury stock (5,531) (4,782)Accumulated deficit (240,847) (238,984)Total LiveOne's Stockholders’ Deficit (3,809) (8,744)Non-controlling interest 10,419 10,339 Total equity (deficit) 6,610 1,595 Total Liabilities, Mezzanine Equity and Stockholders’ Equity (Deficit) $64,629 $63,863 LiveOne , Inc.Reconciliation of Non-GAAP Measure to GAAP MeasureAdjusted EBITDA* Reconciliation (Unaudited)(In thousands) Non- Recurring Net Depreciation Acquisition and Other (Benefit) Income and Stock-Based Realignment (Income) Provision Adjusted (Loss) Amortization Compensation Costs (1) Expense (2) for Taxes EBITDA*Three Months Ended June 30, 2024 Operations – PodcastOne$(1,366) $619 $394 $37 $- $- $(316)Operations – Slacker 3,352 750 505 146 672 - 5,425 Operations – Other (1,391) 217 318 197 31 - (628)Corporate (2,152) 2 483 19 21 49 (1,578)Total$(1,557) $1,588 $1,700 $399 $724 $49 $2,903 Three Months Ended June 30, 2023 Operations – PodcastOne$(210) $86 $84 $- $403 $- $363 Operations – Slacker 3,384 714 216 453 (253) - 4,514 Operations – Other (848) 250 34 26 (643) - (1,181)Corporate (2,841) 5 543 54 674 79 (1,486)Total$(515) $1,055 $877 $533 $181 $79 $2,210 (1)Other Non-Operating and Non-Recurring Costs include outside legal, accounting and other professional fees directly attributable to acquisition activity in the period and in addition to certain non-recurring expenses associated with legal settlements or reserves for legal settlements in the period that pertain to historical matters that existed at certain acquired companies prior to their purchase date and non-recurring employee severance payments. (2)Other (income) expense above primarily includes interest expense and change in fair value of derivative liabilities. These are included in the statement of operations in other income (expense) and are an add back to net loss above in the reconciliation of Adjusted EBITDA* to loss. *See the definition of Adjusted EBITDA under “About Non-GAAP Financial Measures” within this release. LiveOne , Inc.Reconciliation of Non-GAAP Measure to GAAP MeasureContribution Margin* Reconciliation (Unaudited)(In thousands) Three Months Ended June 30, 2024 2023 Revenue:$33,078 $27,767 Less: Cost of sales (25,087) (19,563)Amortization of developed technology (775) (747)Gross Profit 7,216 7,457 Add back amortization of developed technology: 775 747 Contribution Margin*$ 7,991 $ 8,204 *See the definition of Contribution Margin under “About Non-GAAP Financial Measures” within this release.
