LiveOne (Nasdaq: LVO) Achieves Milestone Growth for First 9 Months of FY 2024 With a 27% Year-Over-Year Increase in Paid Membership Revenue
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Insights
The growth in new paid memberships and the Average Revenue Per User (ARPU) reported by LiveOne is a significant indicator of the company's ability to attract and monetize its user base. A year-over-year increase of 29% in total memberships, coupled with an ARPU exceeding $3.10, suggests that the company's offerings are resonating with consumers. The projected milestone of exceeding 1 million new paid memberships in the next calendar year is an ambitious target that reflects the company's optimism about its growth trajectory.
From a market perspective, these figures are critical as they directly impact LiveOne's revenue streams and are likely to influence investor sentiment. The growth rate and ARPU are key metrics for subscription-based platforms, as they demonstrate the potential for scale and profitability. Investors often look for consistent growth in these areas as they can lead to increased market share and improved financial performance over time.
The announcement by LiveOne has implications for its financial health and stock valuation. The addition of 63K+ new paid memberships in a single month indicates a robust customer acquisition strategy. Moreover, surpassing 3.5 million total memberships represents a solid customer base that can yield recurring revenue, which is highly valued by investors.
For the fiscal year, the anticipated record growth of new paid memberships exceeding 1 million could serve as a catalyst for the company's stock price if these projections materialize. It's important to note that while these projections are promising, they must be assessed in the context of the company's cost structure and the competitive landscape. High customer acquisition costs or increased competition could potentially dampen the positive financial implications of these membership gains.
The data released by LiveOne reflects broader economic trends, including consumer spending habits and the health of the entertainment sector. A 29% increase in memberships during a period of economic uncertainty can be indicative of the company's strong market position and the non-cyclical nature of entertainment spending. The ARPU figure is also telling, as it suggests that consumers are willing to spend on premium content, which is a positive sign for discretionary spending.
In the long term, sustained growth in memberships and ARPU could signal a shift in consumer preferences towards digital entertainment platforms. This could have wider economic implications, potentially leading to job creation within the tech and entertainment industries and influencing how other companies approach their business models in this space.
- Added 63K+ New Paid Memberships in December with ARPU of
- Surpasses 3.5M Total Memberships - a Year-Over-Year Increase of
- Expects Record New Paid Membership Growth to Exceed 1M in Calendar Year 2024
LOS ANGELES, CA, Dec. 29, 2023 (GLOBE NEWSWIRE) -- via NewMediaWire -- LiveOne (Nasdaq: LVO), an award-winning, creator-first music, entertainment, and technology platform, announced today an update for certain of its December and Calendar Year 2023 memberships metrics.
About LiveOne, Inc.
Headquartered in Los Angeles, California, LiveOne, Inc. (Nasdaq: LVO) (the “Company”) 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. The Company's subsidiaries include Slacker Radio, PodcastOne (Nasdaq: PODC), PPVOne, Palm Beach Records, 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: the Company’s reliance on one key customer for a substantial percentage of its revenue; the Company’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; the Company’s ability to continue as a going concern; the Company’s ability to attract, maintain and increase the number of its users and paid members; the Company identifying, acquiring, securing and developing content; the Company’s intent to repurchase shares of its and PodcastOne’s common stock from time to time under its announced stock repurchase program and the timing, price, and quantity of repurchases, if any, under the program; the Company’s ability to maintain compliance with certain debt covenants; the Company successfully implementing its growth strategy, including relating to its technology platforms and applications; management’s relationships with industry stakeholders; the effects of the global Covid-19 pandemic; uncertain and unfavorable outcomes in legal proceedings; changes in economic conditions; competition; risks and uncertainties applicable to the businesses of the Company’s subsidiaries; and other risks, uncertainties and factors including, but not limited to, those described in the Company’s Annual Report on Form 10-K for the fiscal year ended March 31, 2023, filed with the U.S. Securities and Exchange Commission (the “SEC”) on June 29, 2023, Quarterly Report on Form 10-Q for the quarter year ended September 30, 2023, filed with the SEC on November 20, 2023, and in the Company’s other filings and submissions with the SEC. These forward-looking statements speak only as of the date hereof, and the Company disclaims any obligation to update these statements, except as may be required by law. The Company 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.
LiveOne IR Contact:
Liviakis Financial Communications, Inc.
(415) 389-4670
john@liviakis.com
Press Contact:
LiveOnepress@liveone.com
FAQ
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