Kartoon Studios Provides Business Update For Q3 2023; Robust Pipeline Of New Content Expected In The Coming Quarters; Expects To Resume Growth Trajectory Following Industry Slowdown
Portfolio Pulse from Benzinga Newsdesk
Kartoon Studios (NYSE:TOON) provided a Q3 2023 business update, expecting growth resumption post-industry slowdown. Mainframe Studios, an affiliate, is benefiting from post-strike content demand with a robust pipeline. Kartoon Channel! anticipates its first-ever break-even EBITDA in Q4 2023. New CFO Brian Parisi, with experience from the NFL and Live Nation, aims at value creation and sustainable earnings. The company reported Q3 revenue of $10.1 million and $35.3 million for nine months, with current assets of $61.4 million and stockholders' equity of $74.0 million.
November 17, 2023 | 9:35 pm
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Kartoon Studios expects to resume growth following an industry slowdown, with Mainframe Studios seeing increased content demand. Kartoon Channel! is projected to reach break-even EBITDA in Q4 2023, and the company has reported solid financials for Q3.
The positive business update, including the expected growth trajectory and financial milestones such as the anticipated break-even EBITDA for Kartoon Channel!, suggests a positive short-term impact on TOON's stock price. The appointment of a new CFO with a strong track record and the reported financials for Q3 2023 further support this outlook.
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IMPORTANCE 90
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