Gaia Reports Third Quarter 2024 Results
Gaia reported Q3 2024 financial results with 10% revenue growth to $22.2 million. Member count increased 7% year-over-year to 846,000. Gross profit rose 11% to $19.1 million with improved margins at 86.0%. The company reported a net loss of $(1.2) million or $(0.05) per share. Notable achievements include the sixth consecutive quarter of positive operating and free cash flow. The company implemented its first-ever subscription price increase of at least $2 for all members, expecting Q4 revenue to reach nearly $24 million. A new partnership with ElevenLabs was announced for AI dubbing and translation services to support international growth.
Gaia ha riportato i risultati finanziari del terzo trimestre 2024 con una crescita del fatturato del 10% a 22,2 milioni di dollari. Il numero dei membri è aumentato del 7% rispetto all'anno precedente, raggiungendo i 846.000. L'utile lordo è cresciuto dell'11% a 19,1 milioni di dollari, con margini migliorati all'86,0%. L'azienda ha registrato una perdita netta di $(1,2) milioni, ovvero $(0,05) per azione. Tra i risultati notevoli si annovera il sesto trimestre consecutivo di flusso operativo e di cassa libero positivo. L'azienda ha implementato il primo aumento dei prezzi di abbonamento di almeno $2 per tutti i membri, prevedendo un fatturato nel quarto trimestre che raggiungerà quasi $24 milioni. È stata annunciata una nuova partnership con ElevenLabs per servizi di doppiaggio e traduzione AI a sostegno della crescita internazionale.
Gaia reportó los resultados financieros del tercer trimestre de 2024, con un crecimiento de ingresos del 10% alcanzando los 22,2 millones de dólares. El número de miembros aumentó un 7% interanual, llegando a 846.000. La ganancia bruta se incrementó un 11% a 19,1 millones de dólares, con márgenes mejorados del 86,0%. La empresa reportó una pérdida neta de $(1,2) millones o $(0,05) por acción. Entre los logros notables se incluye el sexto trimestre consecutivo de flujo de efectivo operativo y libre positivo. La empresa implementó su primer aumento de precios de suscripción de al menos $2 para todos los miembros, esperando que los ingresos del cuarto trimestre alcancen casi $24 millones. Se anunció una nueva asociación con ElevenLabs para servicios de doblaje y traducción por IA para apoyar el crecimiento internacional.
가이아는 2024년 3분기 재무 결과를 보고하며 10%의 매출 성장을 기록하여 2220만 달러에 이르렀습니다. 회원 수는 전년 동기 대비 7% 증가하여 846,000명이 되었습니다. 총 이익은 11% 증가하여 1910만 달러에 도달하고, 마진은 86.0%로 개선되었습니다. 이 회사는 순손실이 $(120만) 달러, 즉 주당 $(0.05)임을 보고했습니다. 주목할 만한 성과로는 운영 및 자유 현금 흐름이 긍정적이었던 여섯 분기 연속이 포함됩니다. 이 회사는 모든 회원을 위해 최소 $2의 구독 가격 인상을 처음 도입했으며, 4분기 매출이 거의 2400만 달러에 이를 것으로 예상하고 있습니다. 국제 성장을 지원하기 위해 AI 더빙 및 번역 서비스를 위한 ElevenLabs와의 새로운 파트너십이 발표되었습니다.
Gaia a rapporté les résultats financiers du troisième trimestre 2024 avec une croissance des revenus de 10% atteignant 22,2 millions de dollars. Le nombre de membres a augmenté de 7 % par rapport à l'année précédente, atteignant 846 000. Le bénéfice brut a augmenté de 11 % pour atteindre 19,1 millions de dollars, avec des marges améliorées à 86,0 %. L'entreprise a enregistré une perte nette de $(1,2) million, soit $(0,05) par action. Parmi les réalisations notables, on trouve le sixième trimestre consécutif de flux de trésorerie opérationnel et libre positif. L'entreprise a mis en œuvre sa première augmentation de prix d'abonnement d'au moins 2 $ pour tous les membres, s'attendant à ce que les revenus du quatrième trimestre atteignent près de 24 millions de dollars. Un nouveau partenariat avec ElevenLabs a été annoncé pour des services de doublage et de traduction par IA afin de soutenir la croissance internationale.
Gaia hat die finanziellen Ergebnisse für das dritte Quartal 2024 mit einem Umsatzwachstum von 10% auf 22,2 Millionen Dollar bekannt gegeben. Die Mitgliederzahl stieg im Jahresvergleich um 7 % auf 846.000. Der Bruttogewinn stieg um 11 % auf 19,1 Millionen Dollar, mit verbesserten Margen von 86,0 %. Das Unternehmen berichtete von einem Nettoverlust von $(1,2) Millionen oder $(0,05) pro Aktie. Zu den bemerkenswerten Erfolgen gehört das sechste aufeinanderfolgende Quartal mit positivem operativen und freiem Cashflow. Das Unternehmen führte die erste Preiserhöhung für Abonnements von mindestens $2 für alle Mitglieder durch und erwartet, dass die Einnahmen im vierten Quartal fast $24 Millionen erreichen. Eine neue Partnerschaft mit ElevenLabs wurde angekündigt, um KI-Synchronisation und Übersetzungsdienste zur Unterstützung des internationalen Wachstums zu bieten.
- Revenue grew 10% YoY to $22.2 million
- Member count increased 7% YoY to 846,000
- Gross profit increased 11% to $19.1 million with margins improving to 86.0%
- Sixth consecutive quarter of positive operating and free cash flow
- Price increase expected to drive Q4 revenue to $24 million
- Operating cash flow improved by $1.6 million in first nine months
- Net loss widened to $(1.2) million from $(0.8) million YoY
- Member count remained flat following price increase
- Loss per share increased to $(0.05) from $(0.04) YoY
Insights
The Q3 results present a mixed financial picture for Gaia. While revenue grew
The recent subscription price increase of
BOULDER, Colo., Nov. 04, 2024 (GLOBE NEWSWIRE) -- Gaia, Inc. (NASDAQ: GAIA), a conscious media and community company, reported financial results for the third quarter ended September 30, 2024.
Highlights:
10% growth in revenue with large acceleration expected in next quarter.- Sixth consecutive quarter of positive operating and free cash flow.
“Over the last few months we raised, for the first time in our history, our subscription prices for all members by at least two dollars. While the initial losses from the price increase kept our member count flat, we expect that the price increases will push our revenue to almost
“Q3 marks another successful quarter of free cash flow generation while maintaining double-digit growth, reinforcing our position as a leader in conscious media. We’re especially encouraged by the positive momentum and early success of our recent price adjustments, which are setting a solid foundation for accelerated growth heading into Q4 and 2025,” said James Colquhoun, Gaia’s CEO. “Additionally, we would like to announce our partnership with ElevenLabs, who will now be Gaia’s official provider for AI dubbing and translation across multiple languages. This partnership helps us to enhance our operating efficiency as we continue growing our international audience.”
Gaia CFO Ned Preston commented: “Operating cash flows for the first nine months finished at
Third Quarter 2024 Financial Results
Revenues for the third quarter grew
Gross profit in the third quarter increased
Net loss was
For the third quarter of 2024, operating cash flow was
In the last nine months revenue grew
Conference Call
Date: Monday, November 4, 2024
Time: 4:30 p.m. Eastern time (2:30 p.m. Mountain time)
Toll-free dial-in number: 1-877-269-7751
International dial-in number: 1-201-389-0908
Conference ID: 13749012
Please call the conference telephone number 5-10 minutes prior to the start time. An operator will register your name and organization. If you have any difficulty connecting with the conference call, please contact Gateway Group at (949) 574-3860.
The conference call will be broadcast live and available for replay here and via ir.gaia.com.
A telephonic replay of the conference call will be available after 7:30 p.m. Eastern time on the same day through November 18, 2024.
Toll-free replay number: 1-844-512-2921
International replay number: 1-412-317-6671
Replay ID: 13749012
About Gaia
Gaia is a member-supported global video streaming service and community that produces and curates conscious media through four primary channels—Seeking Truth, Transformation, Alternative Healing and Yoga—in four languages (English, Spanish, French and German) to its members in 185 countries. Gaia’s library includes over 10,000 titles, over
Forward-Looking Statements
This press release contains forward-looking statements within the meaning of the federal securities laws. All statements other than statements of historical fact are forward looking statements that involve risks and uncertainties. When used in this discussion, we intend the words “anticipate,” “believe,” “contemplate,” “continue,” “could,” “estimate,” “expect,” “future,” “hope,” “intend,” “may,” “might,” “objective,” “ongoing,” “plan,” “potential,” “predict,” “project,” “should,” “strive,” “target,” “will,” “would” and similar expressions as they relate to us to identify such forward-looking statements. Our actual results could differ materially from the results anticipated in these forward-looking statements as a result of certain factors set forth under “Risk Factors” and elsewhere in our filings with the U.S. Securities and Exchange Commission, including in our Annual Report on Form 10-K for the year ended December 31, 2023. Risks and uncertainties that could cause actual results to differ include, without limitation: our ability to attract new members and retain existing members; our ability to compete effectively, including for customer engagement with different modes of entertainment; maintenance and expansion of device platforms for streaming; fluctuation in customer usage of our service; fluctuations in quarterly operating results; service disruptions; production risks; general economic conditions; future losses; loss of key personnel; price changes; brand reputation; acquisitions; new initiatives we undertake; security and information systems; legal liability for website content; failure of third parties to provide adequate service; future internet-related taxes; our founder’s control of us; litigation; consumer trends; the effect of government regulation and programs; the impact of public health threats; our ability to remediate the material weaknesses in our internal control over financial reporting and technical accounting; and other risks and uncertainties included in our filings with the Securities and Exchange Commission. We caution you that no forward-looking statement is a guarantee of future performance, and you should not place undue reliance on these forward-looking statements which reflect our views only as of the date of this press release. We undertake no obligation to update any forward-looking information.
Non-GAAP Measures
In addition to disclosing financial results calculated in accordance with generally accepted accounting principles in the United States of America (GAAP), the financial information included in this release contains non-GAAP financial measures, including Free Cash Flow. These non-GAAP measures should not be considered a substitute for, or superior to, financial measures and results calculated in accordance with GAAP, including net income, and reconciliations to GAAP financial statements should be carefully evaluated. Free Cash Flow represents net cash provided by operating activities plus cash paid for interest payments, less cash used in investing activities, plus cash from non-core business activities. We believe Free Cash Flow is also useful as one of the bases for comparing the Gaia’s performance with its competitors. Although Free Cash Flow and similar measures are frequently used as measures of cash flows generated from operations by other companies, Gaia’s calculation of Free Cash Flow might not necessarily be comparable to such other similarly titled captions of other companies. We believe that both management and investors benefit from referring to these non-GAAP financial measures in assessing our performance and when planning, forecasting and analyzing future periods.
Company Contact:
Ned Preston
Chief Financial Officer
Gaia, Inc.
Investors@gaia.com
Investor Relations:
Gateway Group, Inc.
Cody Slach
(949) 574-3860
GAIA@gateway-grp.com
| GAIA, INC. Condensed Consolidated Balance Sheets | ||||||||
| September 30, | December 31, | |||||||
| (in thousands, except share and per share data) | 2024 | 2023 | ||||||
| (unaudited) | ||||||||
| ASSETS | ||||||||
| Current assets: | ||||||||
| Cash and cash equivalents | $ | 4,365 | $ | 7,766 | ||||
| Accounts receivable | 5,035 | 4,111 | ||||||
| Other receivables | 2,333 | 2,191 | ||||||
| Prepaid expenses and other current assets | 2,647 | 2,015 | ||||||
| Total current assets | 14,380 | 16,083 | ||||||
| Media library, net | 38,956 | 40,125 | ||||||
| Operating right-of-use asset, net | 5,666 | 6,288 | ||||||
| Property and equipment, net | 26,144 | 26,303 | ||||||
| Equity method investment | — | 6,374 | ||||||
| Technology license, net | 15,752 | — | ||||||
| Investments and other assets, net | 6,805 | 3,157 | ||||||
| Goodwill | 31,943 | 31,943 | ||||||
| Total assets | $ | 139,646 | $ | 130,273 | ||||
| LIABILITIES AND EQUITY | ||||||||
| Current liabilities: | ||||||||
| Accounts payable | $ | 13,573 | $ | 12,038 | ||||
| Accrued and other liabilities | 1,906 | 2,599 | ||||||
| Long-term debt, current portion | 160 | 155 | ||||||
| Operating lease liability, current portion | 824 | 780 | ||||||
| Deferred revenue | 17,366 | 15,861 | ||||||
| Total current liabilities | 33,829 | 31,433 | ||||||
| Long-term debt, net of current portion | 5,680 | 5,801 | ||||||
| Operating lease liability, net of current portion | 5,087 | 5,708 | ||||||
| Deferred taxes, net | 551 | 551 | ||||||
| Total liabilities | 45,147 | 43,493 | ||||||
| Commitments and Contingencies | ||||||||
| Shareholders’ equity: | ||||||||
| Class A common stock, | 2 | 2 | ||||||
| Class B common stock, | 1 | 1 | ||||||
| Additional paid-in capital | 170,822 | 170,695 | ||||||
| Accumulated deficit | (89,625 | ) | (85,195 | ) | ||||
| Total Gaia, Inc. shareholders’ equity | 81,200 | 85,503 | ||||||
| Noncontrolling interests | 13,299 | 1,277 | ||||||
| Total equity | 94,499 | 86,780 | ||||||
| Total liabilities and equity | $ | 139,646 | $ | 130,273 | ||||
| GAIA, INC. Condensed Consolidated Statements of Operations (unaudited) | ||||||||||||||||
| For the Three Months Ended September 30, | For the Nine Months Ended September 30, | |||||||||||||||
| (in thousands, except per share data) | 2024 | 2023 | 2024 | 2023 | ||||||||||||
| Revenues, net | $ | 22,156 | $ | 20,223 | $ | 65,930 | $ | 59,709 | ||||||||
| Cost of revenues | 3,101 | 2,983 | 9,684 | 8,595 | ||||||||||||
| Gross profit | 19,055 | 17,240 | 56,246 | 51,114 | ||||||||||||
| Operating Expenses: | ||||||||||||||||
| Selling and operating | 18,398 | 16,254 | 54,854 | 49,462 | ||||||||||||
| Corporate, general and administration | 2,013 | 1,433 | 5,630 | 4,726 | ||||||||||||
| Total operating expenses | 20,411 | 17,687 | 60,484 | 54,188 | ||||||||||||
| Loss from operations | (1,356 | ) | (447 | ) | (4,238 | ) | (3,074 | ) | ||||||||
| Equity method investment loss | — | (125 | ) | — | (375 | ) | ||||||||||
| Interest and other expense, net | (144 | ) | (141 | ) | (396 | ) | (375 | ) | ||||||||
| Loss before income taxes | (1,500 | ) | (713 | ) | (4,634 | ) | (3,824 | ) | ||||||||
| Provision for income taxes | — | — | — | — | ||||||||||||
| Net loss | (1,500 | ) | (713 | ) | (4,634 | ) | (3,824 | ) | ||||||||
| Net income (loss) attributable to noncontrolling interests | (308 | ) | 59 | (204 | ) | 142 | ||||||||||
| Net loss attributable to common shareholders | $ | (1,192 | ) | $ | (772 | ) | $ | (4,430 | ) | $ | (3,966 | ) | ||||
| Loss per share: | ||||||||||||||||
| Basic | ||||||||||||||||
| Continuing operations (attributable to common shareholders) | $ | (0.05 | ) | $ | (0.04 | ) | $ | (0.19 | ) | $ | (0.19 | ) | ||||
| Basic loss per share | $ | (0.05 | ) | $ | (0.04 | ) | $ | (0.19 | ) | $ | (0.19 | ) | ||||
| Diluted | ||||||||||||||||
| Continuing operations (attributable to common shareholders) | $ | (0.05 | ) | $ | (0.04 | ) | $ | (0.19 | ) | $ | (0.19 | ) | ||||
| Diluted loss per share | $ | (0.05 | ) | $ | (0.04 | ) | $ | (0.19 | ) | $ | (0.19 | ) | ||||
| GAIA, INC. Condensed Consolidated Statement of Cash Flows (unaudited) | ||||||||||||||||
| For the Three Months Ended September 30, | For the Nine Months Ended September 30, | |||||||||||||||
| (in thousands) | 2024 | 2023 | 2024 | 2023 | ||||||||||||
| Net cash provided by (used in): | ||||||||||||||||
| Net cash (used in) provided by operating activities | $ | 409 | $ | 1,415 | $ | 4,264 | $ | 2,685 | ||||||||
| Net cash used in investing activities | (1,361 | ) | (1,066 | ) | (13,881 | ) | (2,975 | ) | ||||||||
| Net cash provided by (used in) financing activities | (142 | ) | 1 | 6,216 | (43 | ) | ||||||||||
| Net change in cash, cash equivalents, and restricted cash | $ | (1,094 | ) | $ | 350 | $ | (3,401 | ) | $ | (333 | ) | |||||
| Reconciliation of Net Cash Provided by Operating Activities to Free Cash Flow and Adjusted Free Cash Flow (unaudited) | ||||||||||||||||
| For the Three Months Ended September 30, | For the Nine Months Ended September 30, | |||||||||||||||
| (in thousands) | 2024 | 2023 | 2024 | 2023 | ||||||||||||
| Net cash (used in) provided by operating activities | $ | 409 | $ | 1,415 | $ | 4,264 | $ | 2,685 | ||||||||
| Cash paid for interest | 141 | 141 | 403 | 394 | ||||||||||||
| Net cash used in investing activities | (1,361 | ) | (1,066 | ) | (13,881 | ) | (2,975 | ) | ||||||||
| Change in cash from non-core business activities | 950 | 105 | 11,050 | 213 | ||||||||||||
| Free cash flow | $ | 139 | $ | 595 | $ | 1,836 | $ | 317 | ||||||||
FAQ
What was Gaia's (GAIA) revenue growth in Q3 2024?
How many subscribers does Gaia (GAIA) have as of Q3 2024?
What is Gaia's (GAIA) subscription price increase in 2024?
What was Gaia's (GAIA) net loss in Q3 2024?
