Genius Brands International Inc (GNUS)

[Televet]

Genius Brands falls despite reporting record revenue growth for Q2

Aug. 17, 2022 12:40 PM ETGNUSBy: Pranav Ghumatkar, SA News Editor

Genius Brands (GNUS) shares plunges 8% despite Q2 achieved revenue growth of 843% to a record $21.2M, compared to the same period last year.
The revenue increase reflects the inclusion of WOW!, which was acquired by Genius Brands in April 2022, and Ameba, which was acquired in January of 2022.
The Co. also signed 20-year deal with Marvel and the Walt Disney Company to use Stan Lee in their feature films and television; expected to generate recurring revenue from Walt Disney merchandising in Disney theme parks over the next 20 years.

As of June 30, 2022, Cash, equivalents and restricted cash decreased by $2.2M, the decrease was primarily due to cash used in investment activities, inclusive of the Wow and Ameba acquisitions and the YFE investments, of $41.2M, $17.7M used for operational activities.

“We continue to make decisions to grow our asset base and reach sustainable and growing profitability. Our global channel system for kids is now experiencing both subscriber growth, as well as advertiser growth, while creating synergies and economies of scale. We believe that the building blocks are in place, and we are executing on our plan.” said CEO Andy Heyward.