Kartoon Studios (TOON) 10-Q 17 Aug 22 2022 Q2 Quarterly report Financial data

Cover

Cover - shares	6 Months Ended
	Jun. 30, 2022	Aug. 15, 2022
Cover [Abstract]
Document Type	10-Q
Amendment Flag	false
Document Quarterly Report	true
Document Transition Report	false
Document Period End Date	Jun. 30, 2022
Document Fiscal Period Focus	Q2
Document Fiscal Year Focus	2022
Current Fiscal Year End Date	--12-31
Entity File Number	000-54389
Entity Registrant Name	GENIUS BRANDS INTERNATIONAL, INC.
Entity Central Index Key	0001355848
Entity Tax Identification Number	20-4118216
Entity Incorporation, State or Country Code	NV
Entity Address, Address Line One	190 N. Canon Dr.
Entity Address, Address Line Two	4th Floor
Entity Address, City or Town	Beverly Hills
Entity Address, State or Province	CA
Entity Address, Postal Zip Code	90210
City Area Code	310
Local Phone Number	273-4222
Title of 12(b) Security	Common Stock, par value $0.001 per share
Trading Symbol	GNUS
Security Exchange Name	NASDAQ
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Non-accelerated Filer
Entity Small Business	true
Entity Emerging Growth Company	false
Entity Shell Company	false
Entity Common Stock, Shares Outstanding		317,235,116

Condensed Consolidated Balance

Condensed Consolidated Balance Sheets (Unaudited) - USD ($) $ in Thousands	Jun. 30, 2022	Dec. 31, 2021
Current Assets:
Cash and Cash Equivalents	$ 7,816	$ 2,058
Restricted Cash	0	8,002
Investments in Marketable Securities (amortized cost of $103,155)	97,428	112,523
Accounts Receivable, net	9,508	7,632
Tax Credits Receivable	25,892	0
Note & Accounts Receivable from Related Party	1,405	1,276
Other Receivable	2,932	969
Prepaid Expenses and Other Assets	5,342	3,725
Total Current Assets	150,323	136,185
Noncurrent Assets:
Property and Equipment, net	2,564	449
Right of Use Assets, net	12,014	2,785
Film and Television Costs, net	16,900	2,940
Investment in Your Family Entertainment AG	17,840	6,695
Intangible Assets, net	35,661	9,733
Goodwill	36,720	15,227
Other Assets	320	69
Total Assets	272,342	174,083
Current Liabilities:
Accounts Payable	4,279	7,192
Participations Payable	4,571	2,438
Accrued Expenses	1,121	535
Accrued Salaries and Wages	2,712	799
Deferred Revenue	13,396	432
Margin Loan	61,052	6,392
Production Facilities, net	19,115	0
Bank Indebtedness	2,718
Lease Liability	3,098	664
Warrant Liability	586	855
Due to Related Party	0	63
Other Current Liabilities	100	1,761
Total Current Liabilities	112,748	21,131
Noncurrent Liabilities:
Deferred Revenue	4,564	3,492
Lease Liability	9,579	2,460
Contingent Earn Out	1,345	1,340
Other Noncurrent Liabilities	1,019	1,007
Total Liabilities	129,255	29,430
Stockholders’ Equity
Common Stock, $0.001 par value, 400,000,000 shares authorized 317,235,116 and 303,379,122 shares issued and outstanding as of June 30, 2022 and December 31, 2021, respectively	317	303
Additional Paid in Capital	761,737	739,495
Accumulated Deficit	(613,720)	(595,848)
Accumulated Other Comprehensive Loss	(7,133)	(1,221)
Total Genius Brands International, Inc. Stockholders' Equity	141,201	142,729
Non-Controlling Interests in Consolidated Subsidiaries	1,886	1,924
Total Stockholders' Equity	143,087	144,653
Total Liabilities and Stockholders’ Equity	272,342	174,083
Series A Preferred Stock [Member]
Stockholders’ Equity
Preferred Stock, Value, Issued	0	0
Series B Preferred Stock [Member]
Stockholders’ Equity
Preferred Stock, Value, Issued	$ 0	$ 0

Condensed Consolidated Balanc_2

Condensed Consolidated Balance Sheets (Unaudited) (Parenthetical) - $ / shares	Jun. 30, 2022	Dec. 31, 2021
Common Stock, par value	$ 0.001	$ 0.001
Common Stock, shares authorized	400,000,000	400,000,000
Common Stock, shares issued	317,235,116	303,379,122
Common Stock, shares outstanding	317,235,116	303,379,122
Series A Preferred Stock [Member]
Preferred stock par value	$ 0.001	$ 0.001
Preferred stock shares authorized	10,000,000	10,000,000
Preferred stock shares issued	0	0
Preferred stock shares outstanding	0	0
Series B Preferred Stock [Member]
Preferred stock par value		$ 0.001
Preferred stock shares authorized		1
Preferred stock shares outstanding		0

Condensed Consolidated Statemen

Condensed Consolidated Statements of Operations (unaudited) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2022	Jun. 30, 2021	Jun. 30, 2022	Jun. 30, 2021
Revenues:
Total Revenues	$ 22,124	$ 2,342	$ 23,563	$ 3,406
Operating Expenses:
Marketing and Sales	972	1,541	1,132	2,143
Direct Operating Costs	14,648	1,269	14,992	1,518
General and Administrative	15,105	7,106	25,962	14,039
Total Operating Expenses	30,725	9,916	42,086	17,700
Loss from Operations	(8,601)	(7,574)	(18,523)	(14,294)
Other Income (Expense):
Interest Expense	(418)	(9)	(473)	(18)
Other Income (Expense), Net	(3,131)	189	2,286	(69,341)
Net Other Income (Expense)	(3,549)	180	1,813	(69,359)
Loss Before Income Tax Expense	(12,150)	(7,394)	(16,710)	(83,653)
Provision for Tax Expense	0	0	0	0
Net Loss	(12,150)	(7,394)	(16,710)	(83,653)
Net Income Attributable to Non-Controlling Interests	(1,193)	0	(1,162)	0
Net Loss Attributable to Genius Brands International, Inc.	$ (13,343)	$ (7,394)	$ (17,872)	$ (83,653)
Net Loss per Share (Basic)	$ (0.04)	$ (0.02)	$ (0.06)	$ (0.28)
Net Loss per Share (Diluted)	$ (0.04)	$ (0.02)	$ (0.06)	$ (0.28)
Weighted Average Shares Outstanding (Basic)	315,519,907	300,646,819	309,682,010	293,969,462
Weighted Average Shares Outstanding (Diluted)	315,519,907	300,646,819	309,682,010	293,969,462
Production Services [Member]
Revenues:
Total Revenues	$ 10,018	$ 0	$ 10,018	$ 0
Content Distribution [Member]
Revenues:
Total Revenues	8,529	135	8,942	275
License [Member]
Revenues:
Total Revenues	2,495	1,236	2,536	1,407
Media Advisory Advertising Services [Member]
Revenues:
Total Revenues	$ 1,082	$ 971	$ 2,067	$ 1,724

Condensed Consolidated Statem_2

Condensed Consolidated Statements of Comprehensive Loss (unaudited) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2022	Jun. 30, 2021	Jun. 30, 2022	Jun. 30, 2021
Income Statement [Abstract]
Net Loss	$ (12,150)	$ (7,394)	$ (16,710)	$ (83,653)
Other Comprehensive Income (Loss):
Change in Unrealized Losses on Marketable Securities	(1,095)	(158)	(4,595)	(158)
Realized Losses on Marketable Securities Reclassified from AOCI into Earnings	44	0	123	0
Foreign Translation Adjustment	(1,477)	111	(1,440)	111
Total Other Comprehensive Loss	(2,528)	(47)	(5,912)	(47)
Total Comprehensive Net Loss	(14,678)	(7,441)	(22,622)	(83,700)
Less: Comprehensive Income Attributable to Non-Controlling Interests	(1,193)	0	(1,162)	0
Total Comprehensive Net Loss Attributable to Genius Brands International, Inc.	$ (15,871)	$ (7,441)	$ (23,784)	$ (83,700)

Consolidated Statements of Stoc

Consolidated Statements of Stockholder's Equity (Unaudited) - USD ($) $ in Thousands	Common Stock [Member]	Preferred Stock [Member]	Additional Paid-in Capital [Member]	Retained Earnings [Member]	AOCI Attributable to Parent [Member]	Noncontrolling Interest [Member]	Total
Beginning balance, value at Dec. 31, 2020	$ 258		$ 588,501	$ (469,557)	$ (5)		$ 119,197
Beginning balance, shares at Dec. 31, 2020	258,438,514
Shares Issued for ChizComm acquisition	$ 2		3,525				3,527
Shares Issued for ChizComm acquisition, shares	1,980,658
Proceeds From Warrant Exchange, net	$ 40		57,225				57,265
Proceeds From Warrant Exchange, net, shares	39,740,500
Issuance of Common Stock for Services			241				241
Issuance of Common Stock for Services, shares	161,986
Share Based Compensation			2,573				2,573
Warrant Incentive			69,138				69,138
Net Loss				(76,259)			(76,259)
Ending balance, value at Mar. 31, 2021	$ 300		721,203	(545,816)	(5)		175,682
Ending balance, shares at Mar. 31, 2021	300,321,658
Issuance of Common Stock for Services	$ 1		728				729
Issuance of Common Stock for Services, shares	469,677
Share Based Compensation			2,994				2,994
Other Comprehensive Loss					(47)		(47)
Net Loss				(7,395)			(7,395)
Ending balance, value at Jun. 30, 2021	$ 301		724,925	(553,211)	(52)		171,963
Ending balance, shares at Jun. 30, 2021	300,791,335
Beginning balance, value at Dec. 31, 2021	$ 303		739,495	(595,848)	(1,221)	1,924	144,653
Beginning balance, shares at Dec. 31, 2021	303,379,122
Issuance of Common Stock for Services			311				311
Issuance of Common Stock for Services, shares	386,196
Issuance of Common Stock for Vested Restricted Stock Units	$ 1		(1)
Issuance of Common Stock for Vested Restricted Stock Units, shares	603,648
Share Based Compensation			4,491				4,491
Other Comprehensive Loss					(3,384)		(3,384)
Net Loss				(4,531)		(31)	(4,562)
Ending balance, value at Mar. 31, 2022	$ 304		744,296	(600,379)	(4,605)	1,893	141,509
Ending balance, shares at Mar. 31, 2022	304,368,966
Shares Issued for Wow Acquisition	$ 11		11,543				11,554
Shares Issued for Wow Acquisition, shares	11,057,085
Fair Value of Replacement Options Related to Wow Acquisition			1,213				1,213
Issuance of Common Stock for Services	$ 1		441				442
Issuance of Common Stock for Services, shares	736,667
Issuance of Common Stock for Vested Restricted Stock Units	$ 1		(1)
Issuance of Common Stock for Vested Restricted Stock Units, shares	1,072,398
Share Based Compensation			4,245				4,245
Other Comprehensive Loss					(2,528)		(2,528)
Distributions to Non-Controlling Interests						(1,200)	(1,200)
Net Loss				(13,341)		1,193	(12,148)
Ending balance, value at Jun. 30, 2022	$ 317		$ 761,737	$ (613,720)	$ (7,133)	$ 1,886	$ 143,087
Ending balance, shares at Jun. 30, 2022	317,235,116	1

Condensed Consolidated Statem_3

Condensed Consolidated Statements of Cash Flows (Unaudited) - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2022	Jun. 30, 2021
Cash Flows from Operating Activities:
Net Loss	$ (16,710)	$ (83,653)
Adjustments to Reconcile Net Loss to Net Cash Used in Operating Activities:
Amortization of Film and Television Costs	2,253	760
Depreciation and Amortization of Property, Equipment & Intangible Assets	1,103	301
Amortization of Right of Use Asset	700	92
Share Based Compensation Expense	8,736	5,567
Amortization of Premium on Marketable Securities	545	0
(Gain) on Revaluation of Equity Investment in Your Family Entertainment AG	(2,901)	0
(Gain) Loss on Foreign Currency Transactions	1,296	0
(Gain) Loss on Warrant Revaluation	(269)	317
Interest Incurred on Debt	422	0
Realized Loss on Marketable Securities	123	0
Warrant Incentive Expense	0	69,139
Stock Issued for Services	312	41
Other	51	(81)
Decrease (Increase) in Operating Assets:
Accounts Receivable, net	6,078	1,906
Other Receivables	384	0
Tax Credits Earned (less capitalized)	(4,247)	0
Tax Credits Received	1,702	0
Film and Television Costs, net	(6,015)	(3,176)
Note Receivable from Related Party	(128)	0
Prepaid Expenses & Other Assets	(469)	(1,158)
Increase (Decrease) in Operating Liabilities:
Accounts Payable	(4,439)	922
Accrued Salaries & Wages	338	41
Accrued Expenses	(2,250)	(329)
Accrued Production Costs	(1,658)	0
Participations Payable	1,283	664
Deferred Revenue	(3,455)	(474)
Lease Liability	(352)	143
Due to Related Party	(63)	137
Other Noncurrent Liabilities	(42)	0
Net Cash Used in Operating Activities	(17,672)	(8,841)
Cash Flows from Investing Activities:
Cash Payment for Wow, net of Cash Acquired	(37,311)	0
Cash Payment for Equity Investment in YFE	(9,540)	0
Cash Payment for Ameba, net of Cash Acquired	(3,893)	0
Cash Payment for ChizComm, net of cash acquired	0	(7,789)
Investment in Stan Lee Universe, LLC	0	(500)
Investment in Marketable Securities	0	(80,902)
Proceeds from Principal Collections on Marketable Securities	4,420	0
Proceeds from Sales of Marketable Securities	5,536	0
Purchase of Property & Equipment	(401)	(125)
Investment in Intangible Assets	(22)	0
Net Cash Used in Investing Activities	(41,211)	(89,316)
Cash Flows from Financing Activities:
Proceeds from Margin Loan	58,980	0
Repayments of Margin Loan	(4,522)	0
Proceeds from Production Facilities	4,330	0
Repayments of Production Facilities	(1,795)	(825)
Proceeds from Bank Loan	1,291	0
Capital Lease Payments	(442)	0
Debt Issuance Costs	(40)	0
Repayment of Note Payable	(9)	0
Distributions to Non-Controlling Interest	(1,200)	0
Repayment of Payroll Protection Program	0	(367)
Proceeds from Warrant Exchange, net	0	57,265
Net Cash Provided by Financing Activities	56,593	56,073
Effect of Exchange Rate Changes on Cash, Cash Equivalents and Restricted Cash	46	0
Net Increase/(Decrease) in Cash, Cash Equivalents and Restricted Cash	(2,244)	(42,084)
Beginning Cash, Cash Equivalents and Restricted Cash	10,060	100,456
Ending Cash, Cash Equivalents and Restricted Cash	7,816	58,372
Schedule of Non-Cash Financing and Investing Activities
Shares issued for Wow Acquisition	11,554	0
FV of Replacement Options Granted Related to Wow Acquisition	1,213	0
Shares issued for ChizComm acquisition	0	3,527
Liability for Acquisition Earnout Shares	0	7,210
Issuance of Common Stock for Services	$ 0	$ 969

Organization and Business

Organization and Business	6 Months Ended
	Jun. 30, 2022
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Organization and Business	Note 1: Organization and Business Organization and Nature of Business Genius Brands International, Inc. (“we,” “us,” “our,” or the “Company”) is a publicly traded (NASDAQ:GNUS) global content and brand management company that creates, produces, licenses, and broadcasts timeless and educational, multimedia animated content for children. Led by experienced industry personnel, the Company distributes its content primarily on streaming platforms and television and licenses its properties for a broad range of consumer products based on the Company’s characters. The Company is a leading “work for hire” producer for many of the streaming outlets and IP holders. In the children’s media sector, the Company’s portfolio features “content with a purpose” for toddlers to tweens, providing enrichment as well as entertainment. The Company’s programs, along with those programs it acquires and/or licenses, are being broadcast in the United States on the Company’s wholly-owned advertisement supported video on demand (“AVOD”) service, Kartoon Channel! Kartoon Channel! Kidaverse Ameba TV Stan Lee’s Superhero Kindergarten Llama Llama Rainbow Rangers, KC Pop Quiz Shaq’s Garage Baby Genius Thomas Edison’s Secret Lab®, Warren Buffett’s Secret Millionaires Club The Company also licenses its programs to other services worldwide, in addition to the operation of its own channels, including but not limited to Netflix, HBO Max, Paramount+, Nickelodeon, and satellite, cable and terrestrial broadcasters around the world. Through the Company’s recent investment in Germany’s Your Family Entertainment (“YFE”) Kartoon Channel! Worldwide The Company also recently acquired WOW Unlimited Media Inc. (“Wow”), and through that acquisition, established an affiliate relationship with Mainframe Studios, which is one of the largest animation producers in the world. In addition, Wow owns Frederator Networks Inc. (“Frederator”) and its Channel Frederator Network YouTube The Company owns a select amount of valuable IP, including among them a controlling interest in Stan Lee Universe (“SLU”), through which it controls the name, likeness, signature, and all consumer product and IP rights to Stan Lee (the “Stan Lee Assets”). The Company plans to launch a Stan Lee Centennial program of merchandise set to coincide with Stan Lee’s 100 th The Company also owns Beacon Media, the largest media buying service for children in North America. Beacon represents over 30 major toy companies, including Playmobile, Bandai Toys, Bazooka, Moose Toys, and JAKKS Pacific. In addition, the Company recently acquired the Canadian company Ameba TV (“Ameba”), which distributes a profitable SVOD channel for kids and is now expected to become the backbone of the newly launched SVOD channel of Kartoon Channel!, Kartoon Channel! Kidaverse The combination of the Company, its investment in YFE, its acquired companies Wow, Ameba and Beacon Media provide the Company with world class animation production studios, a catalogue representing thousands of hours of premium global content for children, a broadcast system for delivering that content and an in-house Consumer Products Licensing infrastructure to fully exploit the content. Recent Investments On February 1, 2021, the Company, through GBI Acquisition LLC, a New Jersey limited liability company, and 2811210 Ontario Inc., a company organized under the laws of the Province of Ontario, two wholly-owned subsidiaries of the Company, purchased the outstanding equity interests of ChizComm Ltd., a corporation organized in Canada, and ChizComm USA Corp., a New Jersey corporation. ChizComm Ltd. to Beacon Communications (collectively, the “Beacon Media Group”) On January 13, 2022, the Company completed its acquisition of the issued and outstanding shares of Ameba and gained access to its kid-safe SVOD platform technology and 13,000 episodes of content. Refer to Note 3 for additional details. On April 6, 2022, the Company completed its acquisition of Wow. On October 26, 2021, the Company’s wholly-owned subsidiary, 1326919 B.C. LTD., a corporation existing under the laws of the Province of British Columbia and Wow, entered into an Arrangement Agreement to effect a plan of arrangement under the arrangement provisions of Part 9, Division 5 of the Business Corporations Act 38.3 11,057,000 Following the initial equity investment in YFE during the fourth quarter of 2021, the Company participated in a mandatory tender offer for the remaining publicly traded shares held by YFE shareholders. Upon the expiration of the offer on February 14, 2022, the Company purchased an additional 2,637,717 5.7 2,574,000 0.6 914,284 2.7 6,857,132 49.2 Liquidity During the six months ended June 30, 2022, the Company’s cash, cash equivalents and restricted cash decreased by $ 2.2 As of June 30, 2022, the Company held marketable securities with a fair value of $ 97.4 15.1 The Company borrowed an additional $ 59.0 4.5 3.2 0.65 1.23 55.7 0.98 34.6 201,160 Upon the acquisition of Wow, the Company assumed certain credit facilities (the “Facilities”) with a Canadian bank. The Facilities are comprised of: (i) a $ 5.0 3.9 8.0 6.2 0.5 0.4 Historically, the Company has incurred net losses. For the three months ended June 30, 2022 and 2021, the Company reported net losses of $13.3 million and $7.4 million, respectively. For the six months ended June 30, 2022 and 2021, the Company reported net losses of $17.9 million and $83.7 million, respectively. The Company reported net cash used in operating activities of $17.7 million and $8.8 million for the six months ended June 30, 2022 and 2021, respectively. As of June 30, 2022, the Company had an accumulated deficit of $613.7 million and total stockholders’ equity of $141.2 million. As of June 30, 2022, the Company had current assets of $150.3 million, including cash and cash equivalents of $7.8 million and current liabilities of $112.7 million. The Company had working capital of $37.6 million as of June 30, 2022, compared to working capital of $115.1 million as of December 31, 2021.

Summary of Significant Accounti

Summary of Significant Accounting Policies	6 Months Ended
	Jun. 30, 2022
Accounting Policies [Abstract]
Summary of Significant Accounting Policies	Note 2: Summary of Significant Accounting Policies Basis of Presentation The accompanying condensed consolidated balance sheet as of December 31, 2021 has been derived from audited statements. The accompanying unaudited condensed consolidated financial statements have been prepared pursuant to the rules and regulations of the Securities and Exchange Commission. Accordingly, they do not include all of the information and footnotes required by generally accepted accounting principles (“US GAAP”) for complete financial statements and should be read in conjunction with the audited financial statements and related footnotes included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2021, filed with the Securities and Exchange Commission on April 6, 2022. The accompanying condensed consolidated financial statements include, in the opinion of management, all adjustments (consisting of normal recurring adjustments and reclassifications) necessary to state fairly the Condensed Consolidated Balance Sheets, Statements of Operations, Statements of Comprehensive Loss, Statements of Stockholders' Equity, and Statements of Cash Flows for all periods presented. Certain prior period amounts have been reclassified for consistency with the current period presentation. These reclassifications had no effect on the reported results of operations. Segments The Company determined its operating segments on the same basis that it assesses performance and makes operating decisions. The Company principally operates in two distinct business segments: the Content Production & Distribution Segment which produces and distributes children’s content, and the Media Advisory & Advertising Services Segment which provides media and advertising services. These segments are reflective of how the Company’s Chief Operating Decision Maker (“CODM”) reviews operating results for the purposes of allocating resources and assessing performance. The Company has identified its Chief Executive Officer as the CODM. The segments are organized around the products and services provided to customers and represent the Company’s reportable segments. Prior to the acquisition of the Beacon Media Group (formerly “ChizComm”), the Company’s operations were comprised of a single segment. The accounting policies for each segment are the same as for the Company as a whole. Refer to Note 22 for additional information. Principles of Consolidation and Basis of Presentation The Company’s condensed consolidated financial statements include the accounts of Genius Brands International, Inc. and its wholly-owned subsidiaries. The Company consolidates all majority-owned subsidiaries, investments in entities in which it has controlling influence and variable interest entities where the Company has been determined to be the primary beneficiary. Minority interests are recorded as non-controlling interests. Non-consolidated investments are accounted for using the equity method or the fair value option when the Company has the ability to significantly influence the operating decisions of the investee. When the Company does not have the ability to significantly influence the operating decisions of an investee, these equity securities are classified as either marketable investment securities or other investments and recorded at fair value with changes recognized within other Income (expense) on the consolidated statements of operations and comprehensive income (loss). All significant intercompany accounts and transactions have been eliminated in consolidation. Business Combinations The Company accounts for transactions that are classified as business combinations in accordance with the Financial Accounting Standards Boards’ (“FASB”) Accounting Standards Codification (“ASC”) 805, Business Combinations (“ASC 805”) Variable Interest Entities The Company holds an interest in Stan Lee University (“SLU”), an entity that is considered a variable interest entity (“VIE”). The variable interest relates to 50% ownership in the entity that is comprised of the Stan Lee Assets (as defined below) and that requires additional financial support from the Company to continue operations. The Company’s total net cash investment in SLU as of June 30, 2022, is $ 0.8 In evaluating whether the Company has the power to direct the activities of a VIE that most significantly impact its economic performance, the Company considers the purpose for which the VIE was created, the importance of each of the activities in which it is engaged and the Company’s decision-making role, if any, in those activities that significantly determine the entity’s economic performance as compared to other economic interest holders. This evaluation requires consideration of all facts and circumstances relevant to decision-making that affects the entity’s future performance and the exercise of professional judgment in deciding which decision-making rights are most important. In determining whether the Company has the right to receive benefits or the obligation to absorb losses that could potentially be significant to the VIE, the Company evaluates all of its economic interests in the entity, regardless of form (debt, equity, management and servicing fees, and other contractual arrangements). This evaluation considers all relevant factors of the entity’s design, including: the entity’s capital structure, contractual rights to earnings (losses), subordination of our interests relative to those of other investors, contingent payments, as well as other contractual arrangements that have the potential to be economically significant. The evaluation of each of these factors in reaching a conclusion about the potential significance of our economic interests is a matter that requires the exercise of professional judgment. The Company continuously assesses whether it is the primary beneficiary of a variable interest entity as changes to existing relationships or future transactions may result in the Company consolidating its collaborators or partners. Use of Estimates The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and the disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting periods. Foreign Currency The Company considers the U.S. dollar to be its functional currency for its United States based operations. The Company considers the Canadian dollar to be its functional currency for its Canada based operations. Accordingly, the financial information is translated from the Canadian dollar to the U.S. dollar for inclusion in the Company’s consolidated financial statements. Revenue and expenses are translated at average exchange rates prevailing during the period, and assets and liabilities are translated at exchange rates in effect at the balance sheet date. Resulting translation adjustments are included as a component of accumulated other comprehensive income (loss), net in stockholders’ equity. Foreign exchange transaction gains and losses are included in other income (expense), net in the condensed consolidated statements of operations. Cash and Cash Equivalents The Company considers all highly liquid debt instruments with initial maturities of three months or less to be cash equivalents. As of June 30, 2022 and December 31, 2021, the Company had cash and cash equivalents of $ 7.8 2.1 Tax Credits Receivable The Federal and certain Provincial governments in Canada provide programs that are designed to assist film and television production in the form of refundable tax credits or other incentives. Estimated amounts receivable in respect of refundable tax credits are recorded as an offset to the related production operating cost, or to investment in film and television programming when the conditions for eligibility of production assistance based on the government’s criteria are met, the qualifying expenditures are made and there is reasonable assurance of realization. Determination of when and if the conditions of eligibility have been met is based on management’s judgement, and the amount recognized is based on management’s estimates of qualifying expenditures. The ultimate collection of previously recorded estimates is subject to ordinary course audits from the Canada Revenue Agency (“CRA”) and Provincial agencies. Changes in administrative policies by the CRA or subsequent review of eligibility documentation may impact the collectability of these estimates. The Company continuously reviews the results of these audits to determine if any circumstances arise that in management’s judgement would result in a previously recognized amount to be considered no longer collectible. The Company classifies the tax credits receivable as current based on their normal operating cycle. Government assistance, in the form of refundable tax credits, is relied upon as a key component of production financing. These amounts are claimed from the CRA through the submission of income tax returns and can take up to 18 to 24 months from the date of the first tax credit dollar being earned to being received. As this financing is fundamental to the Company’s ability to produce animated productions and generate revenue in the normal course of business, the normal operating cycle for such assets is considered to be a 12-to-24-month period, or the time it takes for the CRA to assess and refund the tax credits earned. As of June 30, 2022, the Company had $ 25.9 Marketable Debt Securities The Company purchases high quality, investment grade securities from diverse issuers. Management determines the appropriate classification of securities at the time of purchase and reevaluates such designation as of each balance sheet date. Currently, the Company classifies its investments in marketable securities as “available-for-sale” and records these investments at fair value. The securities are available to support current operations and, accordingly, the Company classifies the investments as current assets without regard to their contractual maturity. Unrealized gains or losses on available-for-sale securities for which the Company expects to fully recover the amortized cost basis are recognized in accumulated other comprehensive (loss) income, a component of stockholders’ equity. If the Company intends to sell a debt security, or it is more likely than not that it would be required to sell a debt security before the recovery of its amortized cost basis, the entire difference between the security's amortized cost basis and its fair value at the balance sheet date would be recognized as a loss in the condensed consolidated statements of operations. The Company reports accrued interest receivable separately from the available-for-sale securities and has elected not to measure an allowance for credit losses for accrued interest receivables. Uncollectible accrued interest is written off when the Company determines that no additional interest payments will be received. Approximately $ 0.4 Interest earned on investment securities is reported in interest income, net of applicable adjustments for accretion of discounts and amortization of premiums accounted for by the level yield method with no pre-payment anticipated. Equity-Method Investments When the Company does not have a controlling financial interest in an entity but can exert significant influence over the entity’s operating and financial policies, the investment is accounted for either (i) under the equity method of accounting or (ii) at fair value by electing the fair value option available under U.S. GAAP. Significant influence generally exists when the firm owns 20% to 50% of the entity’s common stock or in-substance common stock. In general, the Company accounts for investments acquired at fair value. See Note 5 for further information about the Company’s investment in YFE’s equity securities accounted for under the fair value option. Allowance for Doubtful Accounts Accounts receivable are presented on the balance sheets net of estimated uncollectible amounts. The carrying amounts of trade accounts receivable and unbilled accounts receivable represents the maximum credit risk exposure of these assets. The Company evaluates its accounts receivable balances on a quarterly basis to determine collectability based on an assessment of past events, current economic conditions, and forecasts of future events. The Company records an allowance for estimated uncollectible accounts in an amount approximating anticipated losses. Individual uncollectible accounts are written off against the allowance when collection of the individual accounts appears doubtful. The Company limits its exposure to this credit risk through a credit approval process and credit monitoring procedures. In addition, Wow’s contracts with customers usually require upfront and milestone payments throughout the production process. The Company’s customer base is mainly comprised of major Canadian, American, and worldwide studios, distributors, broadcasters, toy companies and AVOD and SVOD platforms that have been customers for several years. Property and Equipment Property and equipment are recorded at cost. Depreciation on property and equipment is computed using the straight-line method over the estimated useful lives of the assets, which range from two to seven years. Maintenance, repairs, and renewals, which neither materially add to the value of the assets nor appreciably prolong their lives, are charged to expense as incurred. Gains and losses from any dispositions of property and equipment are reflected in the consolidated statement of operations. Right of Use Leased Assets The Company determines at contract inception whether the arrangement is a lease based on its ability to control a physically distinct asset and determines the classification of the lease as either operating or finance under FASB ASC 842, Leases (“ASC 842”) Operating lease ROU assets and liabilities are recognized at commencement date based on the present value of lease payments over the lease term. As the Company’s leases do not provide an implicit rate, the Company uses its incremental borrowing rate based on the information available at commencement date in determining the present value of lease payments. The Company estimates the incremental borrowing rate to reflect the profile of collateralized borrowing over the expected term of the leases based on the information available at the later of the initial date of adoption, or the lease commencement date. The operating lease ROU asset also includes any lease payments made prior to lease commencement date and excludes lease incentives. Lease terms may include options to extend or terminate the lease when the Company is reasonably certain that it will exercise the option. Lease expense is recognized on a straight-line basis over the lease term in the consolidated statement of operations. Lease incentives are recognized as a reduction to the lease expense on a straight-line basis over the underlying lease term. Film and Television Costs The Company capitalizes production costs for episodic series produced in accordance with FASB ASC 926-20, Entertainment-Films - Other Assets - Film Costs Due to the inherent uncertainties involved in making such estimates of ultimate revenues and expenses, these estimates have differed in the past from actual results and are likely to differ to some extent in the future from actual results. In addition, in the normal course of the Company’s business, some titles are more successful or less successful than anticipated. Management reviews its ultimate revenue for productions in development and cost estimates on a title-by-title basis, when an event or change in circumstances indicates that the fair value of the production may be less than its unamortized cost. This may result in a change in the rate of amortization of film costs and participations and/or a write-down of all or a portion of the unamortized costs of the film or television production to its estimated fair value. These write-downs are included in amortization expense within Direct Operating Expenses on the Company’s condensed consolidated statements of operations. There were no events or changes in circumstances that would indicate a change in fair value of productions and therefore the Company has not recorded any impairment charges during the three or six months ended June 30, 2022. The Company expenses all capitalized costs that exceed the initial market firm commitment revenue in the period of delivery of the episodes. Additionally, for episodic series, from time to time, the Company develops additional content, improved animation and bonus songs/features for its existing content. After the initial release of the episodic series, the costs of significant improvement to existing products are capitalized while routine and periodic alterations to existing products are expensed as incurred. Goodwill and Intangible Assets Goodwill represents the excess of purchase price over the estimated fair value of net assets acquired in business combinations accounted for by the acquisition method. In accordance with FASB ASC 350, Intangibles Goodwill and Other Changes in future results, assumptions, and estimates after the measurement date may lead to an outcome where additional impairment charges would be required in future periods. Specifically, actual results may vary from the Company’s forecasts and such variations may be material and unfavorable, thereby triggering the need for future impairment tests where the conclusions may differ in reflection of prevailing market conditions. Further, continued adverse market conditions could result in the recognition of additional impairment if the Company determines that the fair values of its reporting units have fallen below their carrying values. Other intangible assets have been acquired, either individually or with a group of other assets, and were initially recognized and measured based on fair value. Annual amortization of these intangible assets is computed based on the straight-line method over the remaining economic life of the asset. Debt and Attached Equity-Linked Instruments The Company measures issued debt on an amortized cost basis, net of debt premium/discount and debt issuance costs amortized using the effective interest rate method or the straight-line method when the latter does not lead to materially different results. The Company analyzes freestanding equity-linked instruments including warrants attached to debt to conclude whether the instrument meets the definition of the derivative and whether it is considered indexed to the Company’s own stock. If the instrument is not considered indexed to the Company’s stock, it is classified as an asset or liability recorded at fair value. If the instrument is considered indexed to the Company’s stock, the Company analyzes additional equity classification requirements per FASB ASC 815-40, Contract’s in Entity’s Own Equity When required, the Company also considers the bifurcation guidance for embedded derivatives per ASC 815-15, Embedded Derivatives Borrowing Costs Borrowing costs related to the issuance of interim production financing are recorded as a reduction to the carrying amount of interim production financing and measured at amortized cost using the effective interest method. Borrowing costs are recognized as part of interest expense in the condensed consolidated statements operations or loss in the period in which they are incurred. Borrowing costs directly attributable to the acquisition or production of qualifying assets, which are assets that necessarily take a substantial period of time to get ready for their intended use or sale, are added to the cost of those assets, until such time the assets are substantially ready for their intended use or sale. The Company recorded $ 0.3 Revenue Recognition The Company accounts for revenue according to standard FASB ASC 606, Revenue from Contracts with Customers (“ASC 606”) Revenue is measured based on the consideration specified in a contract with a customer. Revenue is recognized when a customer obtains control of the products or services in a contract. Judgement is required in determining the timing of whether the transfer of control occurs at a point in time or over time and is discussed below. The Company evaluates each contract to identify separate performance obligations as a contract with a customer may have one or more performance obligations. Consideration in a contract with multiple performance obligations is allocated to the separate performance obligations based on their stand-alone selling prices. If a stand-alone selling price is not determinable, the Company estimates the stand-alone selling price using an adjusted market assessment approach. The Company’s main sources of revenue are derived from animation production services provided to third parties, the sale of licenses for the distribution of films and television programs, advertising revenues, and merchandising and licensing sales. Gross versus Net Revenue Presentation The Company evaluates individual arrangements with third parties to determine whether the Company acts as principal or agent under the terms. To the extent that the Company acts as the principal in an arrangement, revenues are reported on a gross basis, resulting in revenues and expenses being classified in their respective financial statement line items. To the extent that the Company acts as the agent in an arrangement, revenues are reported on a net basis, resulting in revenues being presented net of any expenses incurred in providing agency services. Determining whether the Company acts as principal or agent is based on an evaluation of which party has substantial risks and rewards of ownership under the terms of an arrangement. The most significant factors that the Company considers include identification of the primary obligor, as well as which party has credit risk, general and inventory risk and the latitude or ability in establishing prices. The Company has identified the following material and distinct performance obligations. · Provide animation production services. · License rights to exploit Functional Intellectual Property (“Functional Intellectual Property” or “functional IP” is defined as intellectual property that has significant standalone functionality, such as the ability be played or aired. Functional Intellectual Property derives a substantial portion of its utility from its significant standalone functionality). · License rights to exploit Symbolic Intellectual Property (“Symbolic Intellectual Property” or “symbolic IP” is intellectual property that is not functional as it does not have significant standalone use and substantially all of the utility of symbolic IP is derived from its association with the entity’s past or ongoing activities, including its ordinary business activities, such as the Company’s licensing and merchandising programs associated with its animated content). · Provide media and advertising services to clients. · Fixed and variable fee advertising and subscription-based revenue generated from the Genius Brands Kartoon Channel! YouTube · Options to renew or extend a contract at fixed terms. (While this performance obligation is not significant for the Company’s current contracts, it could become significant in the future). · Options on future seasons of content at fixed terms. (While this performance obligation is not significant for the Company’s current contracts, it could become significant in the future). Production Services Animation Production Services For revenue from animation production services, the customer controls the output throughout the production process. Each production is made to an individual customer’s specifications and if the contract is terminated by the customer, the Company is entitled to be reimbursed for any costs incurred to date, and for any prepaid commitments made, plus the agreed contractual mark-up. Revenue and the associated costs of such contracts are recognized over time on a percentage of completion basis - i.e. as the project is being produced, prior to it being delivered to the customer. The percentage-of-completion is calculated based upon the proportion of costs incurred cumulatively to total expected costs. Changes in revenue recognized as a result of adjustments to total expected costs are recognized in profit or loss on a prospective basis. Invoices related to these projects are issued based on the achievement of milestones during the project or other contractual terms. The difference between contractual payments received and revenue recognized is recorded as deferred revenue when receipts exceed revenue. When revenue exceeds milestone billings, the Company recognizes this difference as unbilled accounts receivable. Unbilled accounts receivable is transferred to accounts receivable when the Company has an unconditional right to consideration. When the outcome of an arrangement cannot be estimated reliably, revenue is recognized only to the extent of the expenses incurred that are recoverable. Content Distribution Film and Television Licensing The Company recognizes revenue related to licensed rights to exploit functional IP in two ways; for minimum guarantees, the Company recognizes fixed revenue upon delivery of content and the start of the license period and for functional IP contracts with a variable component, the Company estimates revenue such that it is probable there will not be a material reversal of revenue in future periods. The Company recognizes revenue related to licensed rights to exploit symbolic IP substantially similarly to functional IP. Although it has a different recognition pattern from functional IP, the valuation method is substantially the same, depending on the nature of the license. Invoices related to these projects are issued based on the achievement of milestones during the project or other contractual terms. The difference between contractual payments received and revenue recognized is recorded as deferred revenue when receipts exceed revenue. When revenue exceeds milestone billings, the Company recognizes this difference as unbilled accounts receivable. Unbilled accounts receivables are transferred to accounts receivable when the Company has an unconditional right to consideration. Advertising revenues The Company sells advertising and subscriptions on its wholly-owned AVOD service, Kartoon Channel! Kartoon Channel! Kidaverse Ameba TV Upon the acquisition of Wow, the Company generates advertising revenue from Frederator’s owned and operated YouTube YouTube Licensing & Royalties Merchandising and licensing The Company enters into merchandising and licensing agreements that allow customers to produce merchandise utilizing certain of the Company’s intellectual property. For minimum guaranteed amounts that make up a contract, revenue is recognized over time, over the term of the license period commencing on the date at which the customer can use and benefit from the licensed content. Variable consideration in excess of non-refundable guaranteed amounts, such as royalties and other contractual payments are recognized as revenue when the amounts are known and become due provided collectability is reasonably assured. Invoices are issued based on the contractual terms of an agreement and are usually payable within 30-45 days. Product Sales The Company recognizes revenue related to product sales when the Company completes its performance obligation, which is when the goods are transferred to the buyer. Media Advisory & Advertising Services Media and Advertising Services The Company provides media and advertising services to clients. Revenue is recognized when the services are performed. When the Company purchases advertising for clients on linear and across digital and streaming platforms and receives a commission, the commissions are recognized as revenue in the month the advertising is displayed. Direct Operating Costs Direct operating costs include costs of the Company’s product sales, non-capitalizable film costs, film and television cost amortization expense, impairment expenses related to film and television costs, and participation expense related to agreements with various animation studios, post-production studios, writers, directors, musicians or other creative talent with which the Company is obligated to share net profits of the properties on which they have rendered services. Upon the acquisition of Wow, the Company also includes salaries and related service production employee costs as part of its direct operating costs. Share-Based Compensation The Company issues stock-based awards to employees and non-employees that are generally in the form of stock options or restricted stock units (“RSUs”). Share-based compensation cost is recorded for all options and awards of unvested stock based on the grant-date fair value of the award. The fair value of stock options is estimated at the date of grant using the Black-Scholes-Merton (“BSM”) option pricing model, which requires management to make assumptions with respect to the fair value on the grant date. The assumptions are as follows: (i) the expected term assumption of the award is based on the Company’s historical exercise and post-vesting behavior (ii) the expected volatility assumption is based on historical and implied volatilities of the Company’s common stock calculated based on a period of time generally commensurate with the expected term of the award; (iii) the risk-free interest rates are based on the implied yield available on U.S. treasury zero-coupon issues with an equivalent expected term; (iv) and the expected dividend yields of the Company’s stock are based on history and expectations of future dividends payable. In the case of RSUs the fair value is calculated based on the Company’s underlying common stock on the date of grant. The Company recognizes compensation expense over the requisite service period ratably, using the graded attribution method, which is in-substance, recognizing multiple awards based on the vesting schedule. The Company has elected to account for forfeitures when they occur. The Company issues authorized shares available for issuance under the Company’s 2015 Incentive Plan and the Company’s 2020 Incentive Plan upon employees’ exercise of their stock options. Earnings Per Share Basic earnings (loss) per share of common stock (“EPS”) is calculated by dividing net income (loss) applicable to common stockholders by the weighted average number of shares of common stock outstanding for the period. Diluted EPS is calculated by dividing net income (loss) applicable to common stockholders by the weighted average number of shares of common stock outstanding, plus the assumed exercise of all dilutive securities using the treasury stock or “as converted” method, as appropriate. During periods of net loss, all common stock equivalents are excluded from the diluted EPS calculation because they are antidilutive. Income Taxes Deferred income tax assets and liabilities are recognized based on differences between the financial statement and tax basis of assets and liabilities using presently enacted tax rates. At each balance sheet date, the Company evaluates the available evidence about future taxable income and other possible sources of realization of deferred tax assets and records a valuation allowance that reduces the deferred tax assets to an amount that represents management’s best estimate of the amount of such deferred tax assets that more likely than not will be realized. Concentration of Risk The Company maintains its cash in bank deposit accounts which, at times, may exceed the Federal Deposit Insurance Corporation’s (“FDIC”) or the Canadian Deposit Insurance Corporation’s (“CDIC”) insured amounts. Balances on interest bearing deposits at banks in the United States are insured by the FDIC up to $250,000 per account and deposits in banks in Canada are insured by the CDIC up to $100,000 CAD. As of June 30, 2022, the Company had six accounts with an uninsured balance in bank deposit accounts of $ 1.8 The Company has a managed account and a brokerage account with a financial institution. The managed account maintains the Company’s investments in marketable securities of $ 97.4 250,000 The Company’s investment portfolio consists of investment-grade securities diversified among security types, industries and issuers. The Company’s policy limits the amo

Acquisitions

Acquisitions	6 Months Ended
	Jun. 30, 2022
Business Combination and Asset Acquisition [Abstract]
Acquisitions	Note 3: Acquisitions Wow Unlimited Media On April 6, 2022, the Company completed the acquisition of Wow. On October 26, 2021, the Company’s wholly-owned subsidiary, 1326919 B.C. LTD., a corporation existing under the laws of the Province of British Columbia and Wow, entered into an Arrangement Agreement to effect a plan of arrangement under the arrangement provisions of Part 9, Division 5 of the Business Corporations Act 38.3 11,057,085 The plan of arrangement and final agreement, together with the acquisition of Wow’s Mainframe Studios and its subsidiary Frederator, are referred to as the “Wow Acquisition.” Final consideration paid by the Company in the transaction at closing consisted of $ 38.3 11.6 2,409,515 1.2 0.3 1.6 total consideration of $ 52.7 50.1 Transaction costs incurred relating to the Wow Acquisition, including banks, legal and accounting, totaled $ 3.1 0.3 The Wow Acquisition facilitates the Company’s expansion as a global animation and children’s digital media company. With Wow’s content, ongoing production projects and the addition of two studios that can also be leveraged for in-house production of the Company’s properties, will drive cost synergies, facilitate further expansion into the global children’s entertainment market and strengthen financial growth. Frederator, with its owned and operated channels on YouTube Kartoon Channel The Company has determined that the Wow Acquisition constitutes a business acquisition as defined by ASC 805. Accordingly, the assets acquired, and the liabilities assumed in the transaction were recorded at their estimated acquisition fair values, while transaction costs associated with the acquisition were expensed as incurred pursuant to the purchase method of accounting in accordance with ASC 805. The Company’s preliminary purchase price allocation was based on an evaluation of the available data to determine the appropriate fair values based on the requirements of ASC 820 and represents managements best estimates. The following table summarizes the consideration paid: Schedule of Total purchase price consideration paid Amount Cash $ 38,310 Genius Common Stock Issued 10,832 Shares Issued Exchangeable for Genius Common Stock 722 Stock Option Value of Replacement Options- Pre-Combination Vested Options 1,213 Severance Payments 1,044 Bonuses 529 Total $ 52,650 As of June 30, 2022, the accounting for the acquisition is preliminary, as the Company is finalizing its valuation and determination of the intangible assets. The Company has engaged a third-party valuation firm to assist with the purchase price allocation, which will be completed in subsequent quarters. The preliminary purchase price allocation is based upon the estimate of the fair value of the assets acquired and the liabilities assumed by the Company on April 6, 2022 as follows (in thousands): Schedule of fair value of the assets acquired and the liabilities assumed Cash and cash equivalents $ 2,573 Accounts Receivable 34,237 Prepaid Expenses and Other 1,245 Property and Equipment 1,936 ROU Assets 10,311 IP (In-Process) 4,600 IP (Proprietary Productions) 5,684 Tradename 7,631 Customer Relationships 16,064 Networks and Platforms 803 Goodwill 21,399 Accounts Payable (1,547 ) Participations Payable (1,380 ) Bank Debt (1,475 ) Accrued Liabilities (3,825 ) Interim Production Facilities (16,930 ) Deferred Revenue (18,080 ) Lease Liabilities (10,614 ) Other Liabilities (60 ) Total Consideration $ 52,650 The identifiable intangible assets acquired of $ 34.8 8 7.6 0.8 16 21.4 Kartoon Channel! is not deductible for tax purposes. The valuation and allocation of the preliminary purchase price shown in the above table was based upon a preliminary valuation and estimates and assumptions, especially with respect to intangible assets, that are subject to change within the purchase price allocation period generally one year from the acquisition date, including our evaluation of certain income tax positions, with corresponding adjustments to goodwill. Valuation Methodology The Networks and Platforms were valued by performing a discounted cash flow analysis, specifically the multi-period excess earnings method. This method involves quantifying the amount of residual (or excess) cash flows generated by the current digital network content, based primarily upon historical revenue and projections over its expected life, and considers the operating expenses and contributory asset charges associated with servicing such network. Projected cash flows attributable to the networks are discounted to present value at a rate commensurate with the perceived risk. The significant assumptions used in this model included the customer attrition rate, acquisition rate of new customers, weighted average cost of capital, and expense estimates. The useful life of the networks is estimated based primarily upon the present value of cash flows attributable to the digital network. The significant assumptions used in this method included the royalty rate and weighted average cost of capital. The Tradenames were valued using the relief-from-royalty method. The relief-from-royalty method is one of the methods under the income approach wherein estimates of a company’s earnings attributable to the intangible asset are based on the royalty rate the company would have paid for the use of the asset if it did not own it. Royalty payments are estimated by applying a royalty rate to the prospective revenue attributable to the intangible asset. The resulting annual royalty payments are tax-affected and then discounted to present value. Ameba On January 13, 2022, the Company completed the acquisition of Ameba, pursuant to a Stock Purchase Agreement (the “SPA”) by and between the Company and Tony Havelka, a resident of the Province of Manitoba (the “Seller”), in which the Company acquired from the Seller all of the issued and outstanding equity interests of Ameba. Concurrently, pursuant to an Asset Purchase Agreement (the “APA”) by and among the Company, the Seller and Tek Gear Inc., a corporation owned by the Seller, the Company acquired from the Seller a proprietary software platform (the “Technology”) that powers the Ameba SVOD deliveries. The transactions contemplated by the SPA and the APA are referred to as the “Ameba Acquisition.” Consideration paid by the Company in the transaction at closing consisted of $ 3.8 0.3 4.1 3.9 Transaction costs incurred relating to the Ameba Acquisition, including legal and accounting, totaled $ 0.1 The Ameba acquisition facilitates the Company’s expansion into SVOD with its technology and content essential to the launch of the ad-free subscription-based Kartoon Channel! Kidaverse The Company has determined that the Ameba Acquisition constitutes a business acquisition as defined by ASC 805. Accordingly, the assets acquired, and the liabilities assumed in the transaction were recorded at their estimated acquisition fair values, while transaction costs associated with the acquisition were expensed as incurred pursuant to the purchase method of accounting in accordance with ASC 805. The Company’s preliminary purchase price allocation was based on an evaluation of the available data to determine the appropriate fair values based on the requirements of ASC 820 and represents managements best estimates. The following table summarizes the consideration paid, including the Net Working Capital Adjustment (in thousands): Total purchase price consideration paid Amount SPA cash consideration at closing $ 3,500 APA cash consideration at closing 300 Net working capital adjustment 269 Total $ 4,069 The net working capital calculation was finalized as $ 268,657 As of June 30, 2022, the accounting for the acquisition is preliminary, as the Company is finalizing its valuation and determination of the intangible assets. The Company has engaged a third-party valuation firm to assist with the purchase price allocation, which will be completed in subsequent quarters. The preliminary purchase price allocation is based upon an estimate of the fair value of the assets acquired and the liabilities assumed by the Company on January 11, 2022 as follows (in thousands): Assets acquired and liabilities assumed Cash $ 176 Accounts Receivable 238 Prepaids Expenses 25 Trade Name 23 Digital Network 2,804 Technology 300 Goodwill 673 Accounts Payable and Accrued Expenses (140 ) Tax Liability (30 ) Total Consideration $ 4,069 The identifiable intangible assets acquired of $ 3.1 18 3 3 Kartoon Channel! is not deductible for tax purposes. The valuation and allocation of the preliminary purchase price shown in the above table was based upon a preliminary valuation and estimates and assumptions, especially with respect to intangible assets, that are subject to change within the purchase price allocation period generally one year from the acquisition date, including our evaluation of certain income tax positions, with corresponding adjustments to goodwill. Valuation Methodology The digital network was valued by performing a discounted cash flow analysis. This method includes discounting the projected cash flows associated with the current digital network content, based primarily upon historical revenue and projections over its expected life and considers the operating expenses and contributory asset charges associated with servicing such network. Projected cash flows attributable to the digital network was discounted to the present value at a rate commensurate with the perceived risk. The useful life of the digital network is estimated based primarily upon the present value of cash flows attributable to the digital network. The Ameba trade name was valued using the relief-from-royalty method. This method is an income approach that estimates the portion of a company’s earnings attributable to an asset based on the royalty rate the company would have paid for the use of the asset if it did not own it. Royalty payments are estimated by applying a royalty rate to the prospective revenue attributable to the intangible asset. The resulting annual royalty payments are tax-affected and then discounted to present value. The useful life of the trade name is based on the estimated time it will take for the Company to rebrand the Ameba trade name and logo with the Company branded Kartoon Channel! Kidaverse The technology was valued at cost. The assumptions used in forecasting cash flows for each of the identified intangible assets included consideration of the following: · Historical performance including sales and profitability. · Expense estimates. · Contributory asset charges. · Estimated economic life of asset. · Acquisition of new customers. · Attrition of existing customers. Supplemental Pro Forma Information The following unaudited supplemental pro forma information summarizes the Company’s results of operations as if the acquisitions were completed at the beginning of the periods presented (in thousands, except for share and per share data): Supplemental pro forma information Three Months Ended Genius Brands Consolidated (including Wow and Ameba results) Wow Ameba June 30, 2022 June 30, 2021 June 30, 2021 (1) June 30, 2021 Total Revenues $ 22,124 $ 17,246 $ 14,732 $ 172 Net Income (Loss) $ (13,343 ) $ (6,933 ) $ 374 $ 87 Net Loss per Common Share (Basic and Diluted) $ (0.04 ) $ (0.02 ) $ – $ – Weighted Average Shares Outstanding (Basic and Diluted) 315,519,907 300,646,819 – – Six Months Ended Genius Brands Consolidated (including Wow and Ameba results) Wow Ameba Wow Ameba June 30, 2022 June 30, 2021 June 30, 2022 (1) June 30, 2022 June 30, 2021 (1) June 30, 2021 Total Revenues $ 41,667 $ 30,192 $ 35,810 $ 849 $ 26,453 $ 333 Net Income (Loss) $ (16,926 ) $ (82,070 ) $ 1,154 $ (32 ) $ 1,418 $ 165 Net Loss per Common Share (Basic and Diluted) $ (0.05 ) $ (0.28 ) $ – $ – $ – $ – Weighted Average Shares Outstanding (Basic and Diluted) 309,682,010 293,969,462 – – – – (1)

Variable Interest Entity

Variable Interest Entity	6 Months Ended
	Jun. 30, 2022
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Variable Interest Entity	Note 4: Variable Interest Entity In July 2020, the Company entered into a binding term sheet with POW, Inc. (“POW!”) in which the Company agreed to form an entity with POW! to exploit certain rights in intellectual property created by Stan Lee, as well as the name and likeness of Stan Lee. The entity is called “Stan Lee Universe, LLC” (“SLU”). POW! and the Company executed an Operating Agreement for the joint venture, effective as of June 1, 2021. The purpose of the acquisition was to enable the Company to assume the worldwide rights, in perpetuity, to the name, physical likeness, physical signature, live-action and animated motion picture, television, online, digital, publishing, comic book, merchandising and licensing rights to Stan Lee and over 100 original Stan Lee creations (the “Stan Lee Assets”), from which Genius Brands plans to develop and license multiple properties each year. The Company contributed $ 2.0 2.0 Pursuant to the guidance under ASC 810, the Company concluded that SLU qualifies as a variable interest entity (“VIE”). The Company consolidates the results of SLU as it was determined that the Company is the primary beneficiary due to having the power through the collaboration to direct the activities that most significantly impact the entity’s economic performance and the Company is required to fund over half of the economic support of the entity. Accordingly, the Company recorded the total fair value of the Stan Lee Assets in SLU of $ 4.0 During the three months ended June 30, 2022, SLU generated $ 2.4 1.2 1.2 0.8 There were no changes in facts and circumstances that occurred during the three or six months ended June 30, 2022 that would result in a re-evaluation of the VIE assessment.

Investment in Equity Interest

Investment in Equity Interest	6 Months Ended
	Jun. 30, 2022
Equity Method Investments and Joint Ventures [Abstract]
Investment in Equity Interest	Note 5: Investment in Equity Interest On December 1, 2021, the Company completed a $ 6.8 3.4 2,281,269 3,000,000 Following the initial equity investment in YFE during the fourth quarter of 2021, the Company participated in a mandatory tender offer for the remaining publicly traded shares held by YFE shareholders. Upon the expiration of the offer on February 14, 2022, the Company purchased an additional 2,637,717 2,574,000 304,631 914,284 2.7 6,857,132 49.2 The Company has elected to apply the fair value option for its investment in YFE (Level 1) as YFE is a publicly traded company on the Frankfurt Exchange, therefore its trading price is readily available and relied upon by investors. The Company recognizes changes in the fair value of its investment in YFE as unrealized gains (losses), net in the accompanying consolidated statements of operations with other income (loss), net. The Company revalues the investment in YFE securities as of the end of each reporting period. During the three months and six months ended June 30, 2022, the Company recorded a loss of $ 2.5 2.9 1.1 1.3 Wow has a 63% membership interest in Ratchet Productions, LLC ("RPLLC"), a privately-owned company registered in Colorado. Wow accounts for its interest using the equity method of accounting. Prior to the Wow Acquisition, in 2016, Wow determined that its investment in RPLLC was impaired and reduced its investment to $ 0 0

Marketable Securities

Marketable Securities	6 Months Ended
	Jun. 30, 2022
Marketable Securities
Marketable Securities	Note 6: Marketable Securities The Company classifies and accounts for its marketable debt securities as available-for-sale and the securities are stated at fair value. The investments in marketable securities had an adjusted cost basis of $103.2 million and a market value of $97.4 million as of June 30, 2022. The balances consisted of the following securities (in thousands) Summary of Investment in marketable security Adjusted Cost Unrealized Gain/(Loss) Fair Value Corporate Bonds $ 45,446 $ (2,420 ) $ 43,026 U.S. Treasury 24,281 (1,087 ) 23,194 Mortgage-Backed 6,610 (413 ) 6,197 U.S. agency and government sponsored securities 13,529 (1,025 ) 12,504 U.S. states and municipalities 11,836 (757 ) 11,079 Asset-Backed 1,453 (25 ) 1,428 Total $ 103,155 $ (5,727 ) $ 97,428 The Company reported the net unrealized losses in accumulated other comprehensive (loss) income, a component of stockholders' equity. The decline in fair value is largely due to changes in interest rates and other market conditions and is expected to recover as the securities approach maturity. The Company has evaluated these securities and determined that no allowance is necessary based on the credit quality and the low risk of loss due to the security type. The Company holds sixty-three available-for-sale securities, all of which are in an unrealized loss position as of June 30, 2022. The unrealized losses and fair values of available-for-sale securities that have been in an unrealized loss position for a period greater than 12 months as of June 30, 2022 are as follows: Schedule of Unrealized losses and fair values of available for sale securities Gross Unrealized Loss Fair Value Corporate Bonds $ (1,328 ) $ 24,698 U.S. Treasury (823 ) 18,518 Mortgage-Backed (358 ) 4,604 U.S. agency and government sponsored securities (871 ) 10,717 U.S. states and municipalities (591 ) 8,341 Asset-Backed (24 ) 1,429 Total $ (3,995 ) $ 68,307 A net realized loss of $44,241 and $123,291 related to the prepayment of principals for certain mortgage-backed securities was recorded in earnings during the three and six months ended June 30, 2022, respectively. The contractual maturities of the Company’s marketable investments as of June 30, 2022 were as follows (in thousands) Summary of contractual maturity Fair Value Due within 1 year $ 11,763 Due after 1 year through 5 years 73,413 Due after 5 years through 10 years 4,218 Due after 10 years 8,034 Total $ 97,428 The Company may sell certain of its marketable debt securities prior to their stated maturities for reasons including, but not limited to, managing liquidity, credit risk, duration and asset allocation. The Company did not sell any securities during the three or six months ended June 30, 2022 that resulted in material gains or losses.

Property and Equipment, Net

Property and Equipment, Net	6 Months Ended
	Jun. 30, 2022
Property, Plant and Equipment [Abstract]
Property and Equipment, Net	Note 7: Property and Equipment, Net The Company has property and equipment as follows (in thousands) Schedule of property and equipment, net June 30, 2022 December 31, 2021 Furniture and Equipment $ 199 $ 181 Computer Equipment 283 173 Leasehold Improvements 2,130 44 Software 235 177 Production Equipment 23 23 Property and Equipment, Gross 2,870 598 Less Accumulated Depreciation (306 ) (149 ) Property and Equipment, Net $ 2,564 $ 449 During the three months ended June 30, 2022 and 2021, the Company recorded depreciation expense of $ 0.2 82,688 0.2 0.1

Right of Use Leased Assets

Right of Use Leased Assets	6 Months Ended
	Jun. 30, 2022
Right Of Use Leased Assets
Right of Use Leased Assets	Note 8: Right of Use Leased Assets Right of use assets consisted of the following (in thousands) Schedule of right of use asset June 30, 2022 December 31, 2021 Office Lease Assets $ 10,095 $ 3,351 Equipment Lease Assets 3,236 13 Right of Use Assets, Gross 13,331 3,364 Accumulated Amortization (1,317 ) (579 ) Right of Use Assets, Net $ 12,014 $ 2,785 During the three months ended June 30, 2022 and 2021, the Company recorded ROU asset amortization expense of $ 0.7 0.1 0.6 0.2

Film and Television Costs, Net

Film and Television Costs, Net	6 Months Ended
	Jun. 30, 2022
Other Industries [Abstract]
Film and Television Costs, Net	Note 9: Film and Television Costs, Net During the six months ended June 30, 2022, Film and Television Costs increased by $ 14.0 4.5 Shaq’s Garage Rainbow Rangers Superhero Kindergarten During the three months ended June 30, 2022 and 2021, the Company recorded Film and Television Cost amortization expense of $ 2.2 1.9 2.4 1.9 The following table highlights the activity in Film and Television Costs as of June 30, 2022 and December 31, 2021 (in thousands): Schedule of film and television costs activity Film and Television Costs, Net as of December 31, 2020 $ 11,828 Additions to Film and Television Costs 10,650 Film Amortization Expense (19,538 ) Film and Television Costs, Net as of December 31, 2021 2,940 Additions to Film and Television Costs 16,213 Film Amortization Expense (2,253 ) Film and Television Costs, Net as of June 30, 2022 $ 16,900

Intangible Assets, Net and Good

Intangible Assets, Net and Goodwill	6 Months Ended
	Jun. 30, 2022
Goodwill and Intangible Assets Disclosure [Abstract]
Intangible Assets, Net and Goodwill	Note 10: Intangible Assets, Net and Goodwill Intangible Assets, Net The Company had the following intangible assets (in thousands) with their weighted average remaining amortization period (in years) Intangible Assets, Net Schedule of Intangible Asset Weighted Average Remaining Amortization Period June 30, 2022 December 31, 2021 Customer Relationships 9 $ 22,205 $ 6,120 Digital Networks 17 3,607 – Trade names 69 11,654 4,000 Technology 3 300 – Non-Compete 2 60 60 Other Intangible Assets (a) 2 323 301 Intangible Assets, Gross 38,149 10,481 Foreign Currency Translation Adjustment (786 ) 24 Less Accumulated Amortization (1,702 ) (772 ) Intangible Assets, Net $ 35,661 $ 9,733 __________________ (a) Represents the remaining unamortized logo and website intangible assets related to the merger with A Squared. During the three months ended June 30, 2022 and 2021, the Company recorded amortization expense of $ 0.9 0.1 0.7 0.2 Pursuant to ASC 350-30, General Intangibles Other than Goodwill Expected future intangible asset amortization as of June 30, 2022 is as follows (in thousands): Expected future intangible asset amortization Fiscal Year: 2022 $ 1,427 2023 2,851 2024 2,827 2025 2,720 2026 2,712 Thereafter 23,124 Total $ 35,661 Goodwill In 2013, the Company recognized $ 10.4 9.6 4.8 4.9 As a result of the Ameba Acquisition during the first quarter of 2022, the Company recorded goodwill of $ 0.7 As a result of the Wow Acquisition during the second quarter of 2022, the Company recorded goodwill of $ 21.4 As Beacon Communications and Wow are incorporated as Canadian companies with CAD being their functional currency, goodwill will change each period due to currency exchange differences. The Company will perform its annual review of goodwill during the fourth quarter of 2022. There were no events or changes in circumstances that would indicate an impairment in goodwill during the six months ended June 30, 2022. The following table summarizes the changes in the carrying amount of goodwill by reportable segment (in thousands) Schedule of Goodwill Content Production & Distribution Media Advisory & Advertising Services Total Goodwill as of December 31, 2021 $ 10,366 $ 4,861 $ 15,227 Acquisition of Ameba 673 – 673 Acquisition of Wow 21,398 – 21,398 Foreign Currency Translation Adjustment (558 ) (20 ) (578 ) Goodwill as of June 30, 2022 $ 31,879 $ 4,841 $ 36,720

Deferred Revenue

Deferred Revenue	6 Months Ended
	Jun. 30, 2022
Revenue from Contract with Customer [Abstract]
Deferred Revenue	Note 11: Deferred Revenue As of June 30, 2022 and December 31, 2021, the Company had total short term and long term deferred revenue of $ 18.0 3.9 13.1

Supplemental Financial Statemen

Supplemental Financial Statement Information	6 Months Ended
	Jun. 30, 2022
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Supplemental Financial Statement Information	Note 12: Supplemental Financial Statement Information Other Income (Expense), Net Components of other income (expense), net are summarized as follows (in thousands) Schedule of Other Operating Cost and Expense, by Component Three Months Ended Six Months Ended June 30, 2022 June 30, 2021 June 30, 2022 June 30, 2021 Gain (Loss) on Warrant Revaluation (a) $ 227 $ 119 $ 269 $ (317 ) Loss on Foreign Exchange (b) (1,073 ) (5 ) (1,262 ) (7 ) Loss on Marketable Securities Investments (c) (44 ) – (123 ) – Gain (Loss) on Revaluation of Equity Investment in YFE(d) (2,494 ) – 2,901 – Interest Income (e) 253 75 501 122 Warrant Incentive Expense (f) – – – (69,139 ) Interest Expense (g) (418 ) (9 ) (473 ) (18 ) Net Other Income (Expense) $ (3,549 ) $ 180 $ 1,813 $ (69,359 ) (a) The gain (loss) on warrant revaluation is related to the change in fair value of outstanding warrants that were determined to be derivative liabilities attached to previously issued and converted convertible notes. (b) For the three and six months ended June 30, 2022 loss on foreign exchange primarily relates to the foreign exchange loss on the investment in YFE’s equity securities accounted for under the fair value option. For the three and six months ended June 30, 2021 loss on foreign exchange related to foreign currency denominated monetary transactions. (c) The Company started investing in marketable securities during the three months ended June 30, 2021. The net realized loss on marketable securities recognized during the three and six months ended June 30, 2022 reflects the loss in the investments in available-for-sale securities that will not be recovered due to prepayments of principals on certain mortgage-backed securities. The Company did not incur any realized losses on marketable securities during the three and six months ended June 30, 2021. (d) The gain (loss) on revaluation of the equity investment in YFE is the change in fair value recognized on the Company’s investments in YFE accounted for using the fair value option. The gain (loss) is a result of the change in YFE’s stock price at the end of the current reporting period. (e) Interest Income received during the three and six months ended June 30, 2022 and 2021 primarily consists of cash interest received on the investments in marketable securities, net amortization of premiums. (f) The Warrant Incentive Expense is related to the fair value of new warrants that were issued in 2021 to certain existing warrant holders in exchange for previously issued outstanding warrants. (g) Interest expense during the three and six months ended June 30, 2022 primarily consists of $0.2 million of interest incurred on the Company’s margin loan collateralized by its marketable security investments and $0.3 million of interest incurred on its production facilities loan and bank indebtedness assumed as part of the Wow Acquisition.

Bank Indebtedness and Productio

Bank Indebtedness and Production Facilities	6 Months Ended
	Jun. 30, 2022
Bank Indebtedness And Production Facilities
Bank Indebtedness and Production Facilities	Note 14: Bank Indebtedness and Production Facilities Revolving Demand Facility Draws under the $5.0 million CAD revolving demand facility can be made in Canadian or US dollars at the option of the Company by way of bank prime rate loans, Canadian Bankers’ Acceptances, USD LIBOR, or letters of credit and can be repaid at any time without penalty and without notice . Canadian or US dollar bank prime borrowings bear interest at a rate equal to bank prime plus 2.00% per annum. For other draws under the revolving facility, the respective loans bear interest at a rate equal to Canadian Bankers’ Acceptances or USD LIBOR plus 3.75% per annum. As of June 30, 2022, the Company had an outstanding balance of $2.7 million USD on the revolving demand facility, included as Bank Indebtedness within current liabilities on the Company’s condensed consolidated balance sheet. As of June 30, 2022, the Company was in compliance with all covenants under the revolving demand facility. Equipment Lease Line Each transaction under the $8.0 million CAD equipment lease line has specific financing terms in respect of the leased equipment such as term, finance amount, rate, and payment terms. The finance rates for these equipment leases range from 4%- 4.5% with remaining lease terms of 17-31 months as of the Wow Acquisition date. The Company has recorded right of use assets and lease liabilities for the leased equipment acquired in respect of these draws. The Company has drawn down a total of $7.9 million CAD ($6.1 million USD), with an outstanding balance as of June 30, 2022 of $2.6 million CAD ($2.0 million USD), net of repayments, included within current and noncurrent Lease Liabilities on the Company’s condensed consolidated balance sheet. Treasury Risk Management Facility Advances under the treasury risk management facility are subject to market rates as determined by the lender’s treasury department or derivatives group at the time of the drawdown request. The maximum term for foreign exchange forward contracts and interest rate swaps is one year. As of June 30, 2022, there were no outstanding amounts drawn under the treasury risk management facility. Interim Financing Facilities The Company’s interim financing facilities for specific productions bear interest at rates ranging from bank prime plus 1.25% - 1.75% per annum. The interim production financing facilities are generally repayable on demand and are generally secured by a combination of federal and provincial tax credits, other government incentives, production service agreements and license agreements. As of June 30, 2022, the Company had an outstanding balance of $19.2 million USD recorded as Production Facilities, net within current liabilities on the Company’s condensed consolidated balance sheet.

Margin Loan

Margin Loan	6 Months Ended
	Jun. 30, 2022
Disclosure Margin Loan Abstract
Margin Loan	Note 15: Margin Loan As of June 30, 2022, the Company had an outstanding balance in its margin loan account of $ 61.1 54.7 59.0 4.5 201,160

Stockholders_ Equity

Stockholders’ Equity	6 Months Ended
	Jun. 30, 2022
Equity [Abstract]
Stockholders’ Equity	Note 16: Stockholders’ Equity Common Stock As of June 30, 2022, the total number of authorized shares of common stock was 400,000,000 As of June 30, 2022, and December 31, 2021, there were 317,235,116 303,379,122 On February 24, 2022, the Company issued 36,196 65,515 On March 2, 2022, the Company issued 350,000 0.3 On April 7, 2022, the Company issued 10,365,823 10.8 691,262 0.7 On May 31, 2022, the Company issued 736,667 0.4 During the six months ended June 30, 2022, the Company issued 1,676,046 1.4 Preferred Stock The Company has 10,000,000 shares of preferred stock authorized with a par value of $0.001 per share. The Board of Directors is authorized, subject to any limitations prescribed by law, without further vote or action by our stockholders, to issue from time-to-time shares of preferred stock in one or more series. Each series of preferred stock will have such number of shares, designations, preferences, voting powers, qualifications and special or relative rights or privileges as shall be determined by our Board of Directors, which may include, among others, dividend rights, voting rights, liquidation preferences, conversion rights and preemptive rights. In connection with the Company’s acquisition of Wow, certain eligible Canadian shareholders, noteholders and optionholders of Wow elected to receive the Exchangeable Shares in the capital of the Wow Exchange Co. Inc. (“ExchangeCo”) instead of shares of the Company’s common stock to which they were otherwise entitled. The shares of ExchangeCo are exchangeable into shares of the Company’s common stock in accordance with their terms. Holders of the ExchangeCo shares are entitled to defined voting rights (the “Voting Rights”) in the Company pursuant to a voting and exchange trust agreement (the “Voting Agreement”) dated April 6, 2022 between the Company, ExchangeCo, 1329258 B.C. Ltd. and Computershare Trust Company of Canada (the “Voting Trustee”). The Voting Trustee holds a single share of Series B Preferred Stock in the capital of the Company (the “Special Voting Share”), which grants the Voting Trustee that number of votes at the meetings of the Company’s shareholders as is equal to the number of shares of the Company’s common stock that at such time have not been delivered pursuant to the tender of ExchangeCo shares. The Voting Trustee is required to exercise each vote attached to the Special Voting Share only as directed by the relevant holder of the underlying Genuis Shares and, in the absence of any instructions, will not exercise voting rights with respect to the applicable shares. As of June 30, 2022 and December 31, 2021, there were 0 shares of Series A Convertible Preferred Stock outstanding. As of June 30, 2022 there was 1 share of Series B Preferred Stock outstanding.

Stock Options

Stock Options	6 Months Ended
	Jun. 30, 2022
Share-Based Payment Arrangement [Abstract]
Stock Options	Note 17: Stock Options On September 18, 2015, the Company adopted the Genius Brands International, Inc. 2015 Incentive Plan (the “2015 Plan”). The total number of shares that can be issued under the 2015 Plan is 2,167,667 On September 1, 2020, the Company adopted the Genius Brands International, Inc. 2020 Incentive Plan (the “2020 Plan”). On August 4, 2020, the Board of Directors voted to adopt the 2020 Plan. The shares available for issuance under the 2020 Plan was approved by stockholders on August 27, 2020. The 2020 Plan as approved by the stockholders increased the maximum number of shares available for issuance up to an aggregate of 32,167,667 During the three months ended March 31, 2022, the Company granted options to purchase 875,000 603,750 As part of the Wow Acquisition, the Company granted replacement options to purchase 1,733,100 676,415 1.5 1.2 1,967,528 0.3 During the three months ended June 30, 2022, the Company also granted 500,000 The fair value of the options granted during the three months ended June 30, 2022 was calculated using the BSM option pricing model based on the following assumptions: Schedule of assumptions used 3/17/2022 Options 4/6/22 Replacement Options 6/23/22 Options Exercise Price $ 0.90 $ 0.51 1.66 $ 0.78 Dividend Yield 0 0 0 Volatility 104 114 123 113 Risk-free interest rate 0.41 2.67 2.70 3.14 Expected life of options 5.0 3.0 4.3 5.0 The following table summarizes the stock option activity during the six months ended June 30, 2022: Schedule of stock option activity Number of Shares Weighted- Average Remaining Contractual Life Weighted- Average Exercise Price Outstanding at December 31, 2021 10,197,312 7.96 $ 1.75 Granted 3,784,515 4.33 $ 1.11 Exercised – – $ – Forfeited/Cancelled (1,026,915 ) 3.30 $ 1.54 Expired – – $ – Outstanding at June 30, 2022 12,954,912 6.88 $ 1.55 Unvested at June 30, 2022 3,775,901 6.48 $ 1.43 Vested and exercisable at June 30, 2022 9,179,011 7.05 $ 1.61 During the three months ended June 30, 2022 and 2021, the Company recognized $ 0.4 0.8 0.8 1.9 1.8 159,311 0.64

Restricted Stock Units

Restricted Stock Units	6 Months Ended
	Jun. 30, 2022
Restricted Stock Units
Restricted Stock Units	Note 18: Restricted Stock Units During the three months ended March 31, 2022, the Company granted 300,000 268,500 During the three months ended June 30, 2022, the Company granted 469,677 286,806 During the three months ended June 30, 2022, the Company also granted 500,000 390,000 The following table summarizes the Company’s RSU activity during the six months ended June 30, 2022: Schedule of restricted stock units Restricted Stock Units Weighted- Average Remaining Contractual Life Weighted- Average Grant Date Fair Value per Share Unvested at December 31, 2021 15,383,234 4.34 $ 1.40 Granted 1,269,677 4.84 $ 0.74 Vested (3,371,311 ) 4.10 $ 1.29 Forfeited/Cancelled – – $ – Unvested at June 30, 2022 13,281,600 3.88 $ 1.36 During the three months ended June 30, 2022 and 2021, the Company recognized $ 3.8 0.8 7.9 1.9 2.9

Warrants

Warrants	6 Months Ended
	Jun. 30, 2022
Warrants
Warrants	Note 19: Warrants The Company has warrants outstanding to purchase up to 45,511,965 74.2 1.86 As of June 30, 2022, 892,857 0.3 128 2.97 The Company did not have any warrant activity during the three or six months ended June 30, 2022.

Income Taxes

Income Taxes	6 Months Ended
	Jun. 30, 2022
Income Tax Disclosure [Abstract]
Income Taxes	Note 20: Income Taxes The Company accounts for income taxes in accordance with ASC 740, Income Taxes ASC 740 provides guidance on the accounting for uncertainty in income taxes recognized in a company’s financial statements. ASC 740 requires a company to determine whether it is more likely than not that a tax position will be sustained upon examination based upon the technical merits of the position. If the more-likely-than-not threshold is met, a company must measure the tax position to determine the amount to recognize in the financial statements. The Company includes interest and penalties arising from the underpayment of income taxes in the statements of operation in the provision for income taxes. As of June 30, 2022 and December 31, 2021, the Company had no accrued interest or penalties related to uncertain tax positions. The Company files income tax returns in the U.S. federal jurisdiction and in the states of California, Massachusetts and New Jersey and will start filing in New York. The Company is currently subject to U.S. federal, state and local, or non-U.S. income tax examinations by tax authorities since inception of the Company. The Company is subject to US income taxes on a stand-alone basis. The Company, the Beacon Media Group (formerly ChizComm) and Wow file separate stand-alone tax returns in each jurisdiction in which they operate. Beacon Communications, Wow and Ameba are corporations operating in Canada and are subject to Canadian income taxes on its stand-alone taxable income.

Commitment and Contingencies

Commitment and Contingencies	6 Months Ended
	Jun. 30, 2022
Commitments and Contingencies Disclosure [Abstract]
Commitment and Contingencies	Note 21: Commitment and Contingencies The following is a schedule of future minimum contractual obligations as of June 30, 2022 (in thousands) Schedule of future minimum lease payments 2022 2023 2024 2025 2026 Thereafter Total Operating/Capital Leases $ 1,849 $ 3,285 $ 2,242 $ 1,808 $ 1,825 $ 6,385 $ 17,394 Employment Contracts 3,283 2,189 794 427 – – 6,693 Consulting Contracts 1,656 503 – – – – 2,159 Debt 63,782 18,440 24 24 18 – 82,288 $ 70,570 $ 24,417 $ 3,060 $ 2,259 $ 1,843 $ 6,385 $ 108,534 Leases On January 30, 2019, the Company entered into an operating lease for 5,838 square feet of general office space at 190 N. Canon Drive, Suite 400, Beverly Hills, CA 90210 pursuant to a 96-month lease that commenced on August 1, 2019. The Company pays rent of $0.4 million annually, subject to annual escalations of 3.5%. On February 1, 2021, as part of the ChizComm Acquisition, the Company assumed an operating lease that was entered into on May 19, 2019 for 6,845 square feet of general office space located at 245 Fairview Mall Drive, Suites 202 and 301, Toronto, Ontario M2J 4T1 pursuant to an 84-month lease which commenced on October 1, 2019. The Company pays rent of $95,830 annually, subject to annual escalations 5% to 7%. Also, as part of the ChizComm Acquisition, the Company assumed an operating lease that was entered into on April 30, 2019 for 3,379 square feet of general office space located at One International Boulevard, 11 th On March 2, 2021, the Company entered into an operating lease for 4,765 square feet of general office space located at 1050 Wall Street West, Suite 665, Lyndhurst NJ, 07071 pursuant to an 89-month lease which commenced on October 1, 2021. The Company pays rent of $0.1 million annually subject to annual escalations of 2.5%. On April 6, 2022, as part of the Wow Acquisition, the Company assumed an operating lease for 45,119 square feet of general office space located at 2025 West Broadway, Suite 200, Vancouver, B.C., V6J 1Z6. The right of use asset and lease liability were revalued on the acquisition date based on the remaining lease term of 117 months with payments of $81,769 per month, subject to escalations of 7% each of the third and fifth years. The lease liability and right of use asset were determined to be $6.6 million, utilizing a discount rate of 11.5 0.5 Also, as part of the Wow Acquisition, the Company assumed various capital equipment leases, the majority of which are under Master Line of Credit Agreements with certain banking institutions. As the rates were implicit in the leases, the Company determined that the carrying value of the leases as of the acquisition date equaled the fair value. As determined by utilizing the implicit rate in the leases that ranged from 3.7%- 14.5% with remaining lease terms of 10-33 months and monthly payments of $1,346-$57,362 as of the Wow Acquisition date 3.5 As of June 30, 2022, the weighted-average lease term for all of the Company’s operating and capital leases was 82 9.7 Rental expenses incurred for operating and capital leases during the three months ended June 30, 2022 and 2021 were $ 0.4 0.1 0.6 0.2 Other Funding Commitments The Company enters into various agreements associated with its individual properties. Some of these agreements call for the potential future payment of royalties or “profit” participations for either (i) the use of third party intellectual property, in which the Company is obligated to share net profits with the underlying rights holders on a certain basis as defined in the respective agreements or (ii) services rendered by animation studios, post-production studios, writers, directors, musicians or other creative talent for which the Company is obligated to share with these service providers a portion of the net profits of the properties on which they have rendered services, as defined in each respective agreement.

Related Party Transactions

Related Party Transactions	6 Months Ended
	Jun. 30, 2022
Related Party Transactions [Abstract]
Related Party Transactions	Note 22: Related Party Transactions Pursuant to his employment agreements dated December 7, 2020, Andy Heyward, the Company’s CEO, is entitled to an Executive Producer fee of $12,500 per one-half hour episode for each episode he provides services as an executive producer . 0.6 55,000 Pursuant to his employment agreement dated April 7, 2022, whereas Michael Hirsh was appointed as the CEO of Wow and its Frederator and Mainframe Studio subsidiaries, a member of the Company’s Executive Committee and a member of the Company’s Board of Directors, is entitled to an Executive Producer fee of $12,400 per one-half hour for each episode of any audio-visual production produced by Wow and any of its subsidiaries during the term of his employment, up to 52 episodes per year . On July 21, 2020, the Company entered into a merchandising and licensing agreement with Andy Heyward Animation Art (“AHAA”), whose principal is Andy Heyward. The Company entered into a customary merchandise license agreement with AHAA for the use of characters and logos related to Warren Buffett’s Secret Millionaires Club Stan Lee’s Mighty 7 0 On September 30, 2021, the Company entered into a Loan Agreement and Promissory Note with POW! in the amount of $ 1,250,000 9 52,442

Segment Reporting

Segment Reporting	6 Months Ended
	Jun. 30, 2022
Segment Reporting [Abstract]
Segment Reporting	Note 23: Segment Reporting The Company’s CODM uses revenue and net earnings to evaluate the profitability and performance of each operating segment. All other financial information is reviewed by the CODM on a consolidated basis. The CODM does not evaluate the operating segments using asset information and it is therefore not disclosed. All expenses directly attributable to each reportable segment is included in operating results for each segment. However, the CODM does not evaluate the expenses by operating segment and, therefore, it is not separately presented. The following table presents the revenue and net earnings within the Company’s two operating segments for the three and six months ended June 30, 2022 and 2021 (in thousands) Segment information by revenues and net earnings Three Months Ended Six Months Ended June 30, 2022 June 30, 2021 June 30, 2022 June 30, 2021 Total Revenues: Content Production & Distribution $ 21,042 $ 1,371 $ 21,496 $ 1,682 Media Advisory & Advertising Services 1,082 971 2,067 1,724 Total Revenue $ 22,124 $ 2,342 $ 23,563 $ 3,406 Net Loss: Content Production & Distribution (12,822 ) (6,851 ) (16,860 ) (82,840 ) Media Advisory & Advertising Services (520 ) (543 ) (1,012 ) (813 ) Total Net Operating Loss $ (13,342 ) $ (7,394 ) $ (17,872 ) $ (83,653 ) Geographic Information The following table provides information about disaggregated revenue by geographic area for the three months ended June 30, 2022 and 2021 (in thousands) Schedule of segments by geographic area Three Months Ended Six Months Ended June 30, 2022 June 30, 2021 June 30, 2022 June 30, 2021 Total Revenues: United States $ 15,441 $ 1,880 $ 15,993 $ 2,616 Canada 5,709 462 6,596 790 United Kingdom 974 – 974 – Total Revenue $ 22,124 $ 2,342 $ 23,563 $ 3,406

Subsequent Events

Subsequent Events	6 Months Ended
	Jun. 30, 2022
Subsequent Events [Abstract]
Subsequent Events	Note 24: Subsequent Events On July 7, 2022, the Company entered into an Equipment Master Lease Agreement with the Royal Bank of Canada, pursuant to which it opened a line of credit, in an amount not to exceed $1.35 million CAD, to purchase leases for equipment for general use in operations. The purchased leases will be accounted for as capital leases with a term of 36 months and a base index rate of 4.47%. On July 15, 2022, Andy Heyward was paid $55,000 for his second quarter discretionary bonus.

Summary of Significant Accoun_2

Summary of Significant Accounting Policies (Policies)	6 Months Ended
	Jun. 30, 2022
Accounting Policies [Abstract]
Basis of Presentation	Basis of Presentation The accompanying condensed consolidated balance sheet as of December 31, 2021 has been derived from audited statements. The accompanying unaudited condensed consolidated financial statements have been prepared pursuant to the rules and regulations of the Securities and Exchange Commission. Accordingly, they do not include all of the information and footnotes required by generally accepted accounting principles (“US GAAP”) for complete financial statements and should be read in conjunction with the audited financial statements and related footnotes included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2021, filed with the Securities and Exchange Commission on April 6, 2022. The accompanying condensed consolidated financial statements include, in the opinion of management, all adjustments (consisting of normal recurring adjustments and reclassifications) necessary to state fairly the Condensed Consolidated Balance Sheets, Statements of Operations, Statements of Comprehensive Loss, Statements of Stockholders' Equity, and Statements of Cash Flows for all periods presented. Certain prior period amounts have been reclassified for consistency with the current period presentation. These reclassifications had no effect on the reported results of operations.
Segments	Segments The Company determined its operating segments on the same basis that it assesses performance and makes operating decisions. The Company principally operates in two distinct business segments: the Content Production & Distribution Segment which produces and distributes children’s content, and the Media Advisory & Advertising Services Segment which provides media and advertising services. These segments are reflective of how the Company’s Chief Operating Decision Maker (“CODM”) reviews operating results for the purposes of allocating resources and assessing performance. The Company has identified its Chief Executive Officer as the CODM. The segments are organized around the products and services provided to customers and represent the Company’s reportable segments. Prior to the acquisition of the Beacon Media Group (formerly “ChizComm”), the Company’s operations were comprised of a single segment. The accounting policies for each segment are the same as for the Company as a whole. Refer to Note 22 for additional information.
Principles of Consolidation and Basis of Presentation	Principles of Consolidation and Basis of Presentation The Company’s condensed consolidated financial statements include the accounts of Genius Brands International, Inc. and its wholly-owned subsidiaries. The Company consolidates all majority-owned subsidiaries, investments in entities in which it has controlling influence and variable interest entities where the Company has been determined to be the primary beneficiary. Minority interests are recorded as non-controlling interests. Non-consolidated investments are accounted for using the equity method or the fair value option when the Company has the ability to significantly influence the operating decisions of the investee. When the Company does not have the ability to significantly influence the operating decisions of an investee, these equity securities are classified as either marketable investment securities or other investments and recorded at fair value with changes recognized within other Income (expense) on the consolidated statements of operations and comprehensive income (loss). All significant intercompany accounts and transactions have been eliminated in consolidation.
Business Combinations	Business Combinations The Company accounts for transactions that are classified as business combinations in accordance with the Financial Accounting Standards Boards’ (“FASB”) Accounting Standards Codification (“ASC”) 805, Business Combinations (“ASC 805”)
Variable Interest Entities	Variable Interest Entities The Company holds an interest in Stan Lee University (“SLU”), an entity that is considered a variable interest entity (“VIE”). The variable interest relates to 50% ownership in the entity that is comprised of the Stan Lee Assets (as defined below) and that requires additional financial support from the Company to continue operations. The Company’s total net cash investment in SLU as of June 30, 2022, is $ 0.8 In evaluating whether the Company has the power to direct the activities of a VIE that most significantly impact its economic performance, the Company considers the purpose for which the VIE was created, the importance of each of the activities in which it is engaged and the Company’s decision-making role, if any, in those activities that significantly determine the entity’s economic performance as compared to other economic interest holders. This evaluation requires consideration of all facts and circumstances relevant to decision-making that affects the entity’s future performance and the exercise of professional judgment in deciding which decision-making rights are most important. In determining whether the Company has the right to receive benefits or the obligation to absorb losses that could potentially be significant to the VIE, the Company evaluates all of its economic interests in the entity, regardless of form (debt, equity, management and servicing fees, and other contractual arrangements). This evaluation considers all relevant factors of the entity’s design, including: the entity’s capital structure, contractual rights to earnings (losses), subordination of our interests relative to those of other investors, contingent payments, as well as other contractual arrangements that have the potential to be economically significant. The evaluation of each of these factors in reaching a conclusion about the potential significance of our economic interests is a matter that requires the exercise of professional judgment. The Company continuously assesses whether it is the primary beneficiary of a variable interest entity as changes to existing relationships or future transactions may result in the Company consolidating its collaborators or partners.
Use of Estimates	Use of Estimates The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and the disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting periods.
Foreign Currency	Foreign Currency The Company considers the U.S. dollar to be its functional currency for its United States based operations. The Company considers the Canadian dollar to be its functional currency for its Canada based operations. Accordingly, the financial information is translated from the Canadian dollar to the U.S. dollar for inclusion in the Company’s consolidated financial statements. Revenue and expenses are translated at average exchange rates prevailing during the period, and assets and liabilities are translated at exchange rates in effect at the balance sheet date. Resulting translation adjustments are included as a component of accumulated other comprehensive income (loss), net in stockholders’ equity. Foreign exchange transaction gains and losses are included in other income (expense), net in the condensed consolidated statements of operations.
Cash and Cash Equivalents	Cash and Cash Equivalents The Company considers all highly liquid debt instruments with initial maturities of three months or less to be cash equivalents. As of June 30, 2022 and December 31, 2021, the Company had cash and cash equivalents of $ 7.8 2.1
Tax Credits Receivable	Tax Credits Receivable The Federal and certain Provincial governments in Canada provide programs that are designed to assist film and television production in the form of refundable tax credits or other incentives. Estimated amounts receivable in respect of refundable tax credits are recorded as an offset to the related production operating cost, or to investment in film and television programming when the conditions for eligibility of production assistance based on the government’s criteria are met, the qualifying expenditures are made and there is reasonable assurance of realization. Determination of when and if the conditions of eligibility have been met is based on management’s judgement, and the amount recognized is based on management’s estimates of qualifying expenditures. The ultimate collection of previously recorded estimates is subject to ordinary course audits from the Canada Revenue Agency (“CRA”) and Provincial agencies. Changes in administrative policies by the CRA or subsequent review of eligibility documentation may impact the collectability of these estimates. The Company continuously reviews the results of these audits to determine if any circumstances arise that in management’s judgement would result in a previously recognized amount to be considered no longer collectible. The Company classifies the tax credits receivable as current based on their normal operating cycle. Government assistance, in the form of refundable tax credits, is relied upon as a key component of production financing. These amounts are claimed from the CRA through the submission of income tax returns and can take up to 18 to 24 months from the date of the first tax credit dollar being earned to being received. As this financing is fundamental to the Company’s ability to produce animated productions and generate revenue in the normal course of business, the normal operating cycle for such assets is considered to be a 12-to-24-month period, or the time it takes for the CRA to assess and refund the tax credits earned. As of June 30, 2022, the Company had $ 25.9
Marketable Debt Securities	Marketable Debt Securities The Company purchases high quality, investment grade securities from diverse issuers. Management determines the appropriate classification of securities at the time of purchase and reevaluates such designation as of each balance sheet date. Currently, the Company classifies its investments in marketable securities as “available-for-sale” and records these investments at fair value. The securities are available to support current operations and, accordingly, the Company classifies the investments as current assets without regard to their contractual maturity. Unrealized gains or losses on available-for-sale securities for which the Company expects to fully recover the amortized cost basis are recognized in accumulated other comprehensive (loss) income, a component of stockholders’ equity. If the Company intends to sell a debt security, or it is more likely than not that it would be required to sell a debt security before the recovery of its amortized cost basis, the entire difference between the security's amortized cost basis and its fair value at the balance sheet date would be recognized as a loss in the condensed consolidated statements of operations. The Company reports accrued interest receivable separately from the available-for-sale securities and has elected not to measure an allowance for credit losses for accrued interest receivables. Uncollectible accrued interest is written off when the Company determines that no additional interest payments will be received. Approximately $ 0.4 Interest earned on investment securities is reported in interest income, net of applicable adjustments for accretion of discounts and amortization of premiums accounted for by the level yield method with no pre-payment anticipated.
Equity-Method Investments	Equity-Method Investments When the Company does not have a controlling financial interest in an entity but can exert significant influence over the entity’s operating and financial policies, the investment is accounted for either (i) under the equity method of accounting or (ii) at fair value by electing the fair value option available under U.S. GAAP. Significant influence generally exists when the firm owns 20% to 50% of the entity’s common stock or in-substance common stock. In general, the Company accounts for investments acquired at fair value. See Note 5 for further information about the Company’s investment in YFE’s equity securities accounted for under the fair value option.
Allowance for Doubtful Accounts	Allowance for Doubtful Accounts Accounts receivable are presented on the balance sheets net of estimated uncollectible amounts. The carrying amounts of trade accounts receivable and unbilled accounts receivable represents the maximum credit risk exposure of these assets. The Company evaluates its accounts receivable balances on a quarterly basis to determine collectability based on an assessment of past events, current economic conditions, and forecasts of future events. The Company records an allowance for estimated uncollectible accounts in an amount approximating anticipated losses. Individual uncollectible accounts are written off against the allowance when collection of the individual accounts appears doubtful. The Company limits its exposure to this credit risk through a credit approval process and credit monitoring procedures. In addition, Wow’s contracts with customers usually require upfront and milestone payments throughout the production process. The Company’s customer base is mainly comprised of major Canadian, American, and worldwide studios, distributors, broadcasters, toy companies and AVOD and SVOD platforms that have been customers for several years.
Property and Equipment	Property and Equipment Property and equipment are recorded at cost. Depreciation on property and equipment is computed using the straight-line method over the estimated useful lives of the assets, which range from two to seven years. Maintenance, repairs, and renewals, which neither materially add to the value of the assets nor appreciably prolong their lives, are charged to expense as incurred. Gains and losses from any dispositions of property and equipment are reflected in the consolidated statement of operations.
Right of Use Leased Assets	Right of Use Leased Assets The Company determines at contract inception whether the arrangement is a lease based on its ability to control a physically distinct asset and determines the classification of the lease as either operating or finance under FASB ASC 842, Leases (“ASC 842”) Operating lease ROU assets and liabilities are recognized at commencement date based on the present value of lease payments over the lease term. As the Company’s leases do not provide an implicit rate, the Company uses its incremental borrowing rate based on the information available at commencement date in determining the present value of lease payments. The Company estimates the incremental borrowing rate to reflect the profile of collateralized borrowing over the expected term of the leases based on the information available at the later of the initial date of adoption, or the lease commencement date. The operating lease ROU asset also includes any lease payments made prior to lease commencement date and excludes lease incentives. Lease terms may include options to extend or terminate the lease when the Company is reasonably certain that it will exercise the option. Lease expense is recognized on a straight-line basis over the lease term in the consolidated statement of operations. Lease incentives are recognized as a reduction to the lease expense on a straight-line basis over the underlying lease term.
Film and Television Costs	Film and Television Costs The Company capitalizes production costs for episodic series produced in accordance with FASB ASC 926-20, Entertainment-Films - Other Assets - Film Costs Due to the inherent uncertainties involved in making such estimates of ultimate revenues and expenses, these estimates have differed in the past from actual results and are likely to differ to some extent in the future from actual results. In addition, in the normal course of the Company’s business, some titles are more successful or less successful than anticipated. Management reviews its ultimate revenue for productions in development and cost estimates on a title-by-title basis, when an event or change in circumstances indicates that the fair value of the production may be less than its unamortized cost. This may result in a change in the rate of amortization of film costs and participations and/or a write-down of all or a portion of the unamortized costs of the film or television production to its estimated fair value. These write-downs are included in amortization expense within Direct Operating Expenses on the Company’s condensed consolidated statements of operations. There were no events or changes in circumstances that would indicate a change in fair value of productions and therefore the Company has not recorded any impairment charges during the three or six months ended June 30, 2022. The Company expenses all capitalized costs that exceed the initial market firm commitment revenue in the period of delivery of the episodes. Additionally, for episodic series, from time to time, the Company develops additional content, improved animation and bonus songs/features for its existing content. After the initial release of the episodic series, the costs of significant improvement to existing products are capitalized while routine and periodic alterations to existing products are expensed as incurred.
Goodwill and Intangible Assets	Goodwill and Intangible Assets Goodwill represents the excess of purchase price over the estimated fair value of net assets acquired in business combinations accounted for by the acquisition method. In accordance with FASB ASC 350, Intangibles Goodwill and Other Changes in future results, assumptions, and estimates after the measurement date may lead to an outcome where additional impairment charges would be required in future periods. Specifically, actual results may vary from the Company’s forecasts and such variations may be material and unfavorable, thereby triggering the need for future impairment tests where the conclusions may differ in reflection of prevailing market conditions. Further, continued adverse market conditions could result in the recognition of additional impairment if the Company determines that the fair values of its reporting units have fallen below their carrying values. Other intangible assets have been acquired, either individually or with a group of other assets, and were initially recognized and measured based on fair value. Annual amortization of these intangible assets is computed based on the straight-line method over the remaining economic life of the asset.
Debt and Attached Equity-Linked Instruments	Debt and Attached Equity-Linked Instruments The Company measures issued debt on an amortized cost basis, net of debt premium/discount and debt issuance costs amortized using the effective interest rate method or the straight-line method when the latter does not lead to materially different results. The Company analyzes freestanding equity-linked instruments including warrants attached to debt to conclude whether the instrument meets the definition of the derivative and whether it is considered indexed to the Company’s own stock. If the instrument is not considered indexed to the Company’s stock, it is classified as an asset or liability recorded at fair value. If the instrument is considered indexed to the Company’s stock, the Company analyzes additional equity classification requirements per FASB ASC 815-40, Contract’s in Entity’s Own Equity When required, the Company also considers the bifurcation guidance for embedded derivatives per ASC 815-15, Embedded Derivatives
Borrowing Costs	Borrowing Costs Borrowing costs related to the issuance of interim production financing are recorded as a reduction to the carrying amount of interim production financing and measured at amortized cost using the effective interest method. Borrowing costs are recognized as part of interest expense in the condensed consolidated statements operations or loss in the period in which they are incurred. Borrowing costs directly attributable to the acquisition or production of qualifying assets, which are assets that necessarily take a substantial period of time to get ready for their intended use or sale, are added to the cost of those assets, until such time the assets are substantially ready for their intended use or sale. The Company recorded $ 0.3
Revenue Recognition	Revenue Recognition The Company accounts for revenue according to standard FASB ASC 606, Revenue from Contracts with Customers (“ASC 606”) Revenue is measured based on the consideration specified in a contract with a customer. Revenue is recognized when a customer obtains control of the products or services in a contract. Judgement is required in determining the timing of whether the transfer of control occurs at a point in time or over time and is discussed below. The Company evaluates each contract to identify separate performance obligations as a contract with a customer may have one or more performance obligations. Consideration in a contract with multiple performance obligations is allocated to the separate performance obligations based on their stand-alone selling prices. If a stand-alone selling price is not determinable, the Company estimates the stand-alone selling price using an adjusted market assessment approach. The Company’s main sources of revenue are derived from animation production services provided to third parties, the sale of licenses for the distribution of films and television programs, advertising revenues, and merchandising and licensing sales. Gross versus Net Revenue Presentation The Company evaluates individual arrangements with third parties to determine whether the Company acts as principal or agent under the terms. To the extent that the Company acts as the principal in an arrangement, revenues are reported on a gross basis, resulting in revenues and expenses being classified in their respective financial statement line items. To the extent that the Company acts as the agent in an arrangement, revenues are reported on a net basis, resulting in revenues being presented net of any expenses incurred in providing agency services. Determining whether the Company acts as principal or agent is based on an evaluation of which party has substantial risks and rewards of ownership under the terms of an arrangement. The most significant factors that the Company considers include identification of the primary obligor, as well as which party has credit risk, general and inventory risk and the latitude or ability in establishing prices. The Company has identified the following material and distinct performance obligations. · Provide animation production services. · License rights to exploit Functional Intellectual Property (“Functional Intellectual Property” or “functional IP” is defined as intellectual property that has significant standalone functionality, such as the ability be played or aired. Functional Intellectual Property derives a substantial portion of its utility from its significant standalone functionality). · License rights to exploit Symbolic Intellectual Property (“Symbolic Intellectual Property” or “symbolic IP” is intellectual property that is not functional as it does not have significant standalone use and substantially all of the utility of symbolic IP is derived from its association with the entity’s past or ongoing activities, including its ordinary business activities, such as the Company’s licensing and merchandising programs associated with its animated content). · Provide media and advertising services to clients. · Fixed and variable fee advertising and subscription-based revenue generated from the Genius Brands Kartoon Channel! YouTube · Options to renew or extend a contract at fixed terms. (While this performance obligation is not significant for the Company’s current contracts, it could become significant in the future). · Options on future seasons of content at fixed terms. (While this performance obligation is not significant for the Company’s current contracts, it could become significant in the future). Production Services Animation Production Services For revenue from animation production services, the customer controls the output throughout the production process. Each production is made to an individual customer’s specifications and if the contract is terminated by the customer, the Company is entitled to be reimbursed for any costs incurred to date, and for any prepaid commitments made, plus the agreed contractual mark-up. Revenue and the associated costs of such contracts are recognized over time on a percentage of completion basis - i.e. as the project is being produced, prior to it being delivered to the customer. The percentage-of-completion is calculated based upon the proportion of costs incurred cumulatively to total expected costs. Changes in revenue recognized as a result of adjustments to total expected costs are recognized in profit or loss on a prospective basis. Invoices related to these projects are issued based on the achievement of milestones during the project or other contractual terms. The difference between contractual payments received and revenue recognized is recorded as deferred revenue when receipts exceed revenue. When revenue exceeds milestone billings, the Company recognizes this difference as unbilled accounts receivable. Unbilled accounts receivable is transferred to accounts receivable when the Company has an unconditional right to consideration. When the outcome of an arrangement cannot be estimated reliably, revenue is recognized only to the extent of the expenses incurred that are recoverable. Content Distribution Film and Television Licensing The Company recognizes revenue related to licensed rights to exploit functional IP in two ways; for minimum guarantees, the Company recognizes fixed revenue upon delivery of content and the start of the license period and for functional IP contracts with a variable component, the Company estimates revenue such that it is probable there will not be a material reversal of revenue in future periods. The Company recognizes revenue related to licensed rights to exploit symbolic IP substantially similarly to functional IP. Although it has a different recognition pattern from functional IP, the valuation method is substantially the same, depending on the nature of the license. Invoices related to these projects are issued based on the achievement of milestones during the project or other contractual terms. The difference between contractual payments received and revenue recognized is recorded as deferred revenue when receipts exceed revenue. When revenue exceeds milestone billings, the Company recognizes this difference as unbilled accounts receivable. Unbilled accounts receivables are transferred to accounts receivable when the Company has an unconditional right to consideration. Advertising revenues The Company sells advertising and subscriptions on its wholly-owned AVOD service, Kartoon Channel! Kartoon Channel! Kidaverse Ameba TV Upon the acquisition of Wow, the Company generates advertising revenue from Frederator’s owned and operated YouTube YouTube Licensing & Royalties Merchandising and licensing The Company enters into merchandising and licensing agreements that allow customers to produce merchandise utilizing certain of the Company’s intellectual property. For minimum guaranteed amounts that make up a contract, revenue is recognized over time, over the term of the license period commencing on the date at which the customer can use and benefit from the licensed content. Variable consideration in excess of non-refundable guaranteed amounts, such as royalties and other contractual payments are recognized as revenue when the amounts are known and become due provided collectability is reasonably assured. Invoices are issued based on the contractual terms of an agreement and are usually payable within 30-45 days. Product Sales The Company recognizes revenue related to product sales when the Company completes its performance obligation, which is when the goods are transferred to the buyer. Media Advisory & Advertising Services Media and Advertising Services The Company provides media and advertising services to clients. Revenue is recognized when the services are performed. When the Company purchases advertising for clients on linear and across digital and streaming platforms and receives a commission, the commissions are recognized as revenue in the month the advertising is displayed.
Direct Operating Costs	Direct Operating Costs Direct operating costs include costs of the Company’s product sales, non-capitalizable film costs, film and television cost amortization expense, impairment expenses related to film and television costs, and participation expense related to agreements with various animation studios, post-production studios, writers, directors, musicians or other creative talent with which the Company is obligated to share net profits of the properties on which they have rendered services. Upon the acquisition of Wow, the Company also includes salaries and related service production employee costs as part of its direct operating costs.
Share-Based Compensation	Share-Based Compensation The Company issues stock-based awards to employees and non-employees that are generally in the form of stock options or restricted stock units (“RSUs”). Share-based compensation cost is recorded for all options and awards of unvested stock based on the grant-date fair value of the award. The fair value of stock options is estimated at the date of grant using the Black-Scholes-Merton (“BSM”) option pricing model, which requires management to make assumptions with respect to the fair value on the grant date. The assumptions are as follows: (i) the expected term assumption of the award is based on the Company’s historical exercise and post-vesting behavior (ii) the expected volatility assumption is based on historical and implied volatilities of the Company’s common stock calculated based on a period of time generally commensurate with the expected term of the award; (iii) the risk-free interest rates are based on the implied yield available on U.S. treasury zero-coupon issues with an equivalent expected term; (iv) and the expected dividend yields of the Company’s stock are based on history and expectations of future dividends payable. In the case of RSUs the fair value is calculated based on the Company’s underlying common stock on the date of grant. The Company recognizes compensation expense over the requisite service period ratably, using the graded attribution method, which is in-substance, recognizing multiple awards based on the vesting schedule. The Company has elected to account for forfeitures when they occur. The Company issues authorized shares available for issuance under the Company’s 2015 Incentive Plan and the Company’s 2020 Incentive Plan upon employees’ exercise of their stock options.
Earnings Per Share	Earnings Per Share Basic earnings (loss) per share of common stock (“EPS”) is calculated by dividing net income (loss) applicable to common stockholders by the weighted average number of shares of common stock outstanding for the period. Diluted EPS is calculated by dividing net income (loss) applicable to common stockholders by the weighted average number of shares of common stock outstanding, plus the assumed exercise of all dilutive securities using the treasury stock or “as converted” method, as appropriate. During periods of net loss, all common stock equivalents are excluded from the diluted EPS calculation because they are antidilutive.
Income Taxes	Income Taxes Deferred income tax assets and liabilities are recognized based on differences between the financial statement and tax basis of assets and liabilities using presently enacted tax rates. At each balance sheet date, the Company evaluates the available evidence about future taxable income and other possible sources of realization of deferred tax assets and records a valuation allowance that reduces the deferred tax assets to an amount that represents management’s best estimate of the amount of such deferred tax assets that more likely than not will be realized.
Concentration of Risk	Concentration of Risk The Company maintains its cash in bank deposit accounts which, at times, may exceed the Federal Deposit Insurance Corporation’s (“FDIC”) or the Canadian Deposit Insurance Corporation’s (“CDIC”) insured amounts. Balances on interest bearing deposits at banks in the United States are insured by the FDIC up to $250,000 per account and deposits in banks in Canada are insured by the CDIC up to $100,000 CAD. As of June 30, 2022, the Company had six accounts with an uninsured balance in bank deposit accounts of $ 1.8 The Company has a managed account and a brokerage account with a financial institution. The managed account maintains the Company’s investments in marketable securities of $ 97.4 250,000 The Company’s investment portfolio consists of investment-grade securities diversified among security types, industries and issuers. The Company’s policy limits the amount of credit exposure to any one security issue or issuer and the Company believes no significant concentration of credit risk exists with respect to these investments. For the three months ended June 30, 2022, the Company had five customers, whose total revenue exceeded 10 81.25 For the six months ended June 30, 2022, the Company had five customers whose total revenue exceeded 10 76.3 10 65.04 For the three months ended June 30, 2021, the Company had one customer whose total revenue exceeded 10 47 For the six months ended June 30, 2021, the Company had one customer, whose total revenue exceeded 10 34 10 62 There is significant financial risk associated with a dependence upon a small number of customers. The Company periodically assesses the financial strength of these customers and establishes allowances for any anticipated bad debt. As of June 30, 2022 and December 31, 2021, the Company recorded an allowance for bad debt of $ 67,897 22,080
Fair value of Financial Instruments	Fair value of Financial Instruments Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. FASB ASC 820, Fair Value Measurement · Level 1 - Observable inputs such as quoted prices for identical instruments in active markets; · Level 2 - Inputs other than quoted prices in active markets that are either directly or indirectly observable such as quoted prices for similar instruments in active markets or quoted prices for identical or similar instruments in markets that are not active; and · Level 3 - Unobservable inputs in which little or no market data exists, therefore requiring an entity to develop its own assumptions, such as valuations derived from valuation techniques in which one or more significant inputs or significant value drivers are unobservable. Financial instruments that are not measured at fair value on the condensed consolidated statement of operations are represented by cash, receivables, payables, accrued liabilities, bank indebtedness, the Company’s margin loan and interim production financing. The carrying amounts of cash, restricted cash, receivables, payables, accrued liabilities, bank indebtedness and the Company’s margin loan approximate fair value due to the short-term nature of the instruments. The fair values of the Company’s liability-classified derivative warrants are revalued at the end of each reporting period determined using the BSM model (Level 2) with standard valuation inputs. Refer to Note 19 for additional details. The investment in YFE is also revalued at the end of each reporting period based on the trading price of YFE (Level 1). Refer to Note 5 for additional details. Upon acquisition of Wow, the Company assumed foreign currency forward contracts that are not traded in active markets. These are fair valued using observable forward exchange rates at the measurement dates and interest rates corresponding to the maturity of the contracts. The fair values of the available-for-sale securities are generally based on quoted market prices, where available. These fair values are obtained primarily from third-party pricing services, which generally use Level 1 or Level 2 inputs for the determination of fair value to facilitate fair value measurements and disclosures. Level 2 securities primarily include corporate securities, securities from states, municipalities and political subdivisions, mortgage-backed securities, United States Government securities, foreign government securities, and certain other asset-backed securities. For securities not actively traded, the pricing services may use quoted market prices of comparable instruments or a variety of valuation techniques, incorporating inputs that are currently observable in the markets for similar securities. The following table summarizes the marketable securities measured at fair value by level within the fair value hierarchy as of June 30, 2022 (in thousands): Schedule of marketable security measured at fair value Level 1 Level 2 Total Fair Value Marketable investments: Corporate Bonds $ 31,129 $ 11,897 $ 43,026 U.S. Treasury 23,194 – 23,194 Mortgage-Backed – 6,197 6,197 U.S. agency and government sponsored securities – 12,504 12,504 U.S. states and municipalities – 11,079 11,079 Asset-Backed – 1,428 1,428 Total $ 54,323 $ 43,105 $ 97,428 Fair values were determined for each individual security in the investment portfolio. The Company’s marketable securities are considered to be available-for-sale investments as defined under FASB ASC 320, Investments – Debt and Equity Securities Financial and nonfinancial assets and liabilities measured on a non-recurring basis are those that are adjusted to fair value when a significant event occurs and include the Company’s contingent earn-out liability, goodwill and film and television costs as of June 30, 2022. There were no significant events that occurred or circumstances that resulted in an adjustment to the fair value of those assets and liabilities measured on a non-recurring basis during the three months ended June 30, 2022.
Recent Accounting Pronouncements	Recent Accounting Pronouncements The Company reviewed all recently issued accounting pronouncements and concluded that they were not applicable or not expected to have a significant impact on the Company’s condensed consolidated financial statements.

Summary of Significant Accoun_3

Summary of Significant Accounting Policies (Tables)	6 Months Ended
	Jun. 30, 2022
Accounting Policies [Abstract]
Schedule of marketable security measured at fair value	Schedule of marketable security measured at fair value Level 1 Level 2 Total Fair Value Marketable investments: Corporate Bonds $ 31,129 $ 11,897 $ 43,026 U.S. Treasury 23,194 – 23,194 Mortgage-Backed – 6,197 6,197 U.S. agency and government sponsored securities – 12,504 12,504 U.S. states and municipalities – 11,079 11,079 Asset-Backed – 1,428 1,428 Total $ 54,323 $ 43,105 $ 97,428

Acquisitions (Tables)

Acquisitions (Tables)	6 Months Ended
	Jun. 30, 2022
Business Combination and Asset Acquisition [Abstract]
Schedule of Total purchase price consideration paid	Schedule of Total purchase price consideration paid Amount Cash $ 38,310 Genius Common Stock Issued 10,832 Shares Issued Exchangeable for Genius Common Stock 722 Stock Option Value of Replacement Options- Pre-Combination Vested Options 1,213 Severance Payments 1,044 Bonuses 529 Total $ 52,650
Schedule of fair value of the assets acquired and the liabilities assumed	Schedule of fair value of the assets acquired and the liabilities assumed Cash and cash equivalents $ 2,573 Accounts Receivable 34,237 Prepaid Expenses and Other 1,245 Property and Equipment 1,936 ROU Assets 10,311 IP (In-Process) 4,600 IP (Proprietary Productions) 5,684 Tradename 7,631 Customer Relationships 16,064 Networks and Platforms 803 Goodwill 21,399 Accounts Payable (1,547 ) Participations Payable (1,380 ) Bank Debt (1,475 ) Accrued Liabilities (3,825 ) Interim Production Facilities (16,930 ) Deferred Revenue (18,080 ) Lease Liabilities (10,614 ) Other Liabilities (60 ) Total Consideration $ 52,650
Total purchase price consideration paid	Total purchase price consideration paid Amount SPA cash consideration at closing $ 3,500 APA cash consideration at closing 300 Net working capital adjustment 269 Total $ 4,069
Assets acquired and liabilities assumed	Assets acquired and liabilities assumed Cash $ 176 Accounts Receivable 238 Prepaids Expenses 25 Trade Name 23 Digital Network 2,804 Technology 300 Goodwill 673 Accounts Payable and Accrued Expenses (140 ) Tax Liability (30 ) Total Consideration $ 4,069
Supplemental pro forma information	Supplemental pro forma information Three Months Ended Genius Brands Consolidated (including Wow and Ameba results) Wow Ameba June 30, 2022 June 30, 2021 June 30, 2021 (1) June 30, 2021 Total Revenues $ 22,124 $ 17,246 $ 14,732 $ 172 Net Income (Loss) $ (13,343 ) $ (6,933 ) $ 374 $ 87 Net Loss per Common Share (Basic and Diluted) $ (0.04 ) $ (0.02 ) $ – $ – Weighted Average Shares Outstanding (Basic and Diluted) 315,519,907 300,646,819 – – Six Months Ended Genius Brands Consolidated (including Wow and Ameba results) Wow Ameba Wow Ameba June 30, 2022 June 30, 2021 June 30, 2022 (1) June 30, 2022 June 30, 2021 (1) June 30, 2021 Total Revenues $ 41,667 $ 30,192 $ 35,810 $ 849 $ 26,453 $ 333 Net Income (Loss) $ (16,926 ) $ (82,070 ) $ 1,154 $ (32 ) $ 1,418 $ 165 Net Loss per Common Share (Basic and Diluted) $ (0.05 ) $ (0.28 ) $ – $ – $ – $ – Weighted Average Shares Outstanding (Basic and Diluted) 309,682,010 293,969,462 – – – – (1)

Marketable Securities (Tables)

Marketable Securities (Tables)	6 Months Ended
	Jun. 30, 2022
Marketable Securities
Summary of Investment in marketable security	Summary of Investment in marketable security Adjusted Cost Unrealized Gain/(Loss) Fair Value Corporate Bonds $ 45,446 $ (2,420 ) $ 43,026 U.S. Treasury 24,281 (1,087 ) 23,194 Mortgage-Backed 6,610 (413 ) 6,197 U.S. agency and government sponsored securities 13,529 (1,025 ) 12,504 U.S. states and municipalities 11,836 (757 ) 11,079 Asset-Backed 1,453 (25 ) 1,428 Total $ 103,155 $ (5,727 ) $ 97,428
Schedule of Unrealized losses and fair values of available for sale securities	Schedule of Unrealized losses and fair values of available for sale securities Gross Unrealized Loss Fair Value Corporate Bonds $ (1,328 ) $ 24,698 U.S. Treasury (823 ) 18,518 Mortgage-Backed (358 ) 4,604 U.S. agency and government sponsored securities (871 ) 10,717 U.S. states and municipalities (591 ) 8,341 Asset-Backed (24 ) 1,429 Total $ (3,995 ) $ 68,307
Summary of contractual maturity	Summary of contractual maturity Fair Value Due within 1 year $ 11,763 Due after 1 year through 5 years 73,413 Due after 5 years through 10 years 4,218 Due after 10 years 8,034 Total $ 97,428

Property and Equipment, Net (Ta

Property and Equipment, Net (Tables)	6 Months Ended
	Jun. 30, 2022
Property, Plant and Equipment [Abstract]
Schedule of property and equipment, net	Schedule of property and equipment, net June 30, 2022 December 31, 2021 Furniture and Equipment $ 199 $ 181 Computer Equipment 283 173 Leasehold Improvements 2,130 44 Software 235 177 Production Equipment 23 23 Property and Equipment, Gross 2,870 598 Less Accumulated Depreciation (306 ) (149 ) Property and Equipment, Net $ 2,564 $ 449

Right of Use Leased Assets (Tab

Right of Use Leased Assets (Tables)	6 Months Ended
	Jun. 30, 2022
Right Of Use Leased Assets
Schedule of right of use asset	Schedule of right of use asset June 30, 2022 December 31, 2021 Office Lease Assets $ 10,095 $ 3,351 Equipment Lease Assets 3,236 13 Right of Use Assets, Gross 13,331 3,364 Accumulated Amortization (1,317 ) (579 ) Right of Use Assets, Net $ 12,014 $ 2,785

Film and Television Costs, Net

Film and Television Costs, Net (Tables)	6 Months Ended
	Jun. 30, 2022
Other Industries [Abstract]
Schedule of film and television costs activity	Schedule of film and television costs activity Film and Television Costs, Net as of December 31, 2020 $ 11,828 Additions to Film and Television Costs 10,650 Film Amortization Expense (19,538 ) Film and Television Costs, Net as of December 31, 2021 2,940 Additions to Film and Television Costs 16,213 Film Amortization Expense (2,253 ) Film and Television Costs, Net as of June 30, 2022 $ 16,900

Intangible Assets, Net and Go_2

Intangible Assets, Net and Goodwill (Tables)	6 Months Ended
	Jun. 30, 2022
Goodwill and Intangible Assets Disclosure [Abstract]
Schedule of Intangible Asset	Schedule of Intangible Asset Weighted Average Remaining Amortization Period June 30, 2022 December 31, 2021 Customer Relationships 9 $ 22,205 $ 6,120 Digital Networks 17 3,607 – Trade names 69 11,654 4,000 Technology 3 300 – Non-Compete 2 60 60 Other Intangible Assets (a) 2 323 301 Intangible Assets, Gross 38,149 10,481 Foreign Currency Translation Adjustment (786 ) 24 Less Accumulated Amortization (1,702 ) (772 ) Intangible Assets, Net $ 35,661 $ 9,733 __________________ (a) Represents the remaining unamortized logo and website intangible assets related to the merger with A Squared.
Expected future intangible asset amortization	Expected future intangible asset amortization Fiscal Year: 2022 $ 1,427 2023 2,851 2024 2,827 2025 2,720 2026 2,712 Thereafter 23,124 Total $ 35,661
Schedule of Goodwill	Schedule of Goodwill Content Production & Distribution Media Advisory & Advertising Services Total Goodwill as of December 31, 2021 $ 10,366 $ 4,861 $ 15,227 Acquisition of Ameba 673 – 673 Acquisition of Wow 21,398 – 21,398 Foreign Currency Translation Adjustment (558 ) (20 ) (578 ) Goodwill as of June 30, 2022 $ 31,879 $ 4,841 $ 36,720

Supplemental Financial Statem_2

Supplemental Financial Statement Information (Tables)	6 Months Ended
	Jun. 30, 2022
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Schedule of Other Operating Cost and Expense, by Component	Schedule of Other Operating Cost and Expense, by Component Three Months Ended Six Months Ended June 30, 2022 June 30, 2021 June 30, 2022 June 30, 2021 Gain (Loss) on Warrant Revaluation (a) $ 227 $ 119 $ 269 $ (317 ) Loss on Foreign Exchange (b) (1,073 ) (5 ) (1,262 ) (7 ) Loss on Marketable Securities Investments (c) (44 ) – (123 ) – Gain (Loss) on Revaluation of Equity Investment in YFE(d) (2,494 ) – 2,901 – Interest Income (e) 253 75 501 122 Warrant Incentive Expense (f) – – – (69,139 ) Interest Expense (g) (418 ) (9 ) (473 ) (18 ) Net Other Income (Expense) $ (3,549 ) $ 180 $ 1,813 $ (69,359 ) (a) The gain (loss) on warrant revaluation is related to the change in fair value of outstanding warrants that were determined to be derivative liabilities attached to previously issued and converted convertible notes. (b) For the three and six months ended June 30, 2022 loss on foreign exchange primarily relates to the foreign exchange loss on the investment in YFE’s equity securities accounted for under the fair value option. For the three and six months ended June 30, 2021 loss on foreign exchange related to foreign currency denominated monetary transactions. (c) The Company started investing in marketable securities during the three months ended June 30, 2021. The net realized loss on marketable securities recognized during the three and six months ended June 30, 2022 reflects the loss in the investments in available-for-sale securities that will not be recovered due to prepayments of principals on certain mortgage-backed securities. The Company did not incur any realized losses on marketable securities during the three and six months ended June 30, 2021. (d) The gain (loss) on revaluation of the equity investment in YFE is the change in fair value recognized on the Company’s investments in YFE accounted for using the fair value option. The gain (loss) is a result of the change in YFE’s stock price at the end of the current reporting period. (e) Interest Income received during the three and six months ended June 30, 2022 and 2021 primarily consists of cash interest received on the investments in marketable securities, net amortization of premiums. (f) The Warrant Incentive Expense is related to the fair value of new warrants that were issued in 2021 to certain existing warrant holders in exchange for previously issued outstanding warrants. (g) Interest expense during the three and six months ended June 30, 2022 primarily consists of $0.2 million of interest incurred on the Company’s margin loan collateralized by its marketable security investments and $0.3 million of interest incurred on its production facilities loan and bank indebtedness assumed as part of the Wow Acquisition.

Stock Options (Tables)

Stock Options (Tables)	6 Months Ended
	Jun. 30, 2022
Share-Based Payment Arrangement [Abstract]
Schedule of assumptions used	Schedule of assumptions used 3/17/2022 Options 4/6/22 Replacement Options 6/23/22 Options Exercise Price $ 0.90 $ 0.51 1.66 $ 0.78 Dividend Yield 0 0 0 Volatility 104 114 123 113 Risk-free interest rate 0.41 2.67 2.70 3.14 Expected life of options 5.0 3.0 4.3 5.0
Schedule of stock option activity	Schedule of stock option activity Number of Shares Weighted- Average Remaining Contractual Life Weighted- Average Exercise Price Outstanding at December 31, 2021 10,197,312 7.96 $ 1.75 Granted 3,784,515 4.33 $ 1.11 Exercised – – $ – Forfeited/Cancelled (1,026,915 ) 3.30 $ 1.54 Expired – – $ – Outstanding at June 30, 2022 12,954,912 6.88 $ 1.55 Unvested at June 30, 2022 3,775,901 6.48 $ 1.43 Vested and exercisable at June 30, 2022 9,179,011 7.05 $ 1.61

Restricted Stock Units (Tables)

Restricted Stock Units (Tables)	6 Months Ended
	Jun. 30, 2022
Restricted Stock Units
Schedule of restricted stock units	Schedule of restricted stock units Restricted Stock Units Weighted- Average Remaining Contractual Life Weighted- Average Grant Date Fair Value per Share Unvested at December 31, 2021 15,383,234 4.34 $ 1.40 Granted 1,269,677 4.84 $ 0.74 Vested (3,371,311 ) 4.10 $ 1.29 Forfeited/Cancelled – – $ – Unvested at June 30, 2022 13,281,600 3.88 $ 1.36

Commitment and Contingencies (T

Commitment and Contingencies (Tables)	6 Months Ended
	Jun. 30, 2022
Commitments and Contingencies Disclosure [Abstract]
Schedule of future minimum lease payments	Schedule of future minimum lease payments 2022 2023 2024 2025 2026 Thereafter Total Operating/Capital Leases $ 1,849 $ 3,285 $ 2,242 $ 1,808 $ 1,825 $ 6,385 $ 17,394 Employment Contracts 3,283 2,189 794 427 – – 6,693 Consulting Contracts 1,656 503 – – – – 2,159 Debt 63,782 18,440 24 24 18 – 82,288 $ 70,570 $ 24,417 $ 3,060 $ 2,259 $ 1,843 $ 6,385 $ 108,534

Segment Reporting (Tables)

Segment Reporting (Tables)	6 Months Ended
	Jun. 30, 2022
Segment Reporting [Abstract]
Segment information by revenues and net earnings	Segment information by revenues and net earnings Three Months Ended Six Months Ended June 30, 2022 June 30, 2021 June 30, 2022 June 30, 2021 Total Revenues: Content Production & Distribution $ 21,042 $ 1,371 $ 21,496 $ 1,682 Media Advisory & Advertising Services 1,082 971 2,067 1,724 Total Revenue $ 22,124 $ 2,342 $ 23,563 $ 3,406 Net Loss: Content Production & Distribution (12,822 ) (6,851 ) (16,860 ) (82,840 ) Media Advisory & Advertising Services (520 ) (543 ) (1,012 ) (813 ) Total Net Operating Loss $ (13,342 ) $ (7,394 ) $ (17,872 ) $ (83,653 )
Schedule of segments by geographic area	Schedule of segments by geographic area Three Months Ended Six Months Ended June 30, 2022 June 30, 2021 June 30, 2022 June 30, 2021 Total Revenues: United States $ 15,441 $ 1,880 $ 15,993 $ 2,616 Canada 5,709 462 6,596 790 United Kingdom 974 – 974 – Total Revenue $ 22,124 $ 2,342 $ 23,563 $ 3,406

Organization and Business (Deta

Organization and Business (Details Narrative) $ in Thousands, $ in Thousands					1 Months Ended	3 Months Ended	6 Months Ended
	Apr. 06, 2022 USD ($) shares	Apr. 05, 2022 USD ($) shares	Mar. 09, 2022 USD ($) shares	Dec. 02, 2021 shares	Feb. 14, 2022 USD ($) shares	Jun. 30, 2022 USD ($)	Jun. 30, 2022 USD ($) shares	Jun. 30, 2022 CAD ($) shares	Jun. 30, 2022 CAD ($)
Consolidation, Less than Wholly Owned Subsidiary, Parent Ownership Interest, Effects of Changes, Net [Line Items]
Cash	$ 38,300
Number of shares issued | shares	11,057,000
Debt Conversion, Converted Instrument, Shares Issued | shares					304,631
Increase in outstanding shares | shares							6,857,132	6,857,132
[custom:CashAndCashEquivalentsPeriodIncreasesDecrease]							$ 2,200
Marketable Securities, Noncurrent						$ 97,400	97,400
[custom:DecreaseInMarketableSecurities]							15,100
Margin Deposit Assets						59,000	59,000
Repayment of margin loan							4,500
Additional borrowings						$ 3,200	$ 3,200
Federal Funds Purchased, Average Rate Paid							0.65%	0.65%
Weighted Average Interest Rate on Overdrawn Demand Deposit						1.23%	1.23%		1.23%
Margin loan balance						$ 55,700	$ 34,600
Weighted average interest rate							0.98%	0.98%
Interest Expense							$ 201,160
[custom:RevolvingDemandFacility]							3,900	$ 5,000
Property, Plant and Equipment, Other, Gross						6,200	6,200		$ 8,000
[custom:TreasuryRiskManagementFacility-0]						$ 400	$ 400		$ 500
Y E E [Member]
Consolidation, Less than Wholly Owned Subsidiary, Parent Ownership Interest, Effects of Changes, Net [Line Items]
Noncontrolling Interest, Ownership Percentage by Parent						49.20%	49.20%		49.20%
Y F E Common Stock [Member]
Consolidation, Less than Wholly Owned Subsidiary, Parent Ownership Interest, Effects of Changes, Net [Line Items]
Number of shares issued | shares		914,284		2,281,269	2,637,717
Stock Issued During Period, Value, New Issues		$ 2,700			$ 5,700
Debt Conversion, Converted Instrument, Shares Issued | shares			2,574,000
Debt Conversion, Converted Instrument, Amount			$ 600

Summary of Significant Accoun_4

Summary of Significant Accounting Policies (Details) $ in Thousands	Jun. 30, 2022 USD ($)
Net Investment Income [Line Items]
Marketable investments	$ 97,428
Fair Value, Inputs, Level 1 [Member]
Net Investment Income [Line Items]
Marketable investments	54,323
Fair Value, Inputs, Level 2 [Member]
Net Investment Income [Line Items]
Marketable investments	43,105
Corporate Bond Securities [Member]
Net Investment Income [Line Items]
Marketable investments	43,026
Corporate Bond Securities [Member] | Fair Value, Inputs, Level 1 [Member]
Net Investment Income [Line Items]
Marketable investments	31,129
Corporate Bond Securities [Member] | Fair Value, Inputs, Level 2 [Member]
Net Investment Income [Line Items]
Marketable investments	11,897
US Treasury Securities [Member]
Net Investment Income [Line Items]
Marketable investments	23,194
US Treasury Securities [Member] | Fair Value, Inputs, Level 1 [Member]
Net Investment Income [Line Items]
Marketable investments	23,194
US Treasury Securities [Member] | Fair Value, Inputs, Level 2 [Member]
Net Investment Income [Line Items]
Marketable investments	0
Collateralized Mortgage-Backed Securities [Member]
Net Investment Income [Line Items]
Marketable investments	6,197
Collateralized Mortgage-Backed Securities [Member] | Fair Value, Inputs, Level 1 [Member]
Net Investment Income [Line Items]
Marketable investments	0
Collateralized Mortgage-Backed Securities [Member] | Fair Value, Inputs, Level 2 [Member]
Net Investment Income [Line Items]
Marketable investments	6,197
U S Agency And Government Sponsored Securities [Member]
Net Investment Income [Line Items]
Marketable investments	12,504
U S Agency And Government Sponsored Securities [Member] | Fair Value, Inputs, Level 1 [Member]
Net Investment Income [Line Items]
Marketable investments	0
U S Agency And Government Sponsored Securities [Member] | Fair Value, Inputs, Level 2 [Member]
Net Investment Income [Line Items]
Marketable investments	12,504
US Treasury Notes Securities [Member]
Net Investment Income [Line Items]
Marketable investments	11,079
US Treasury Notes Securities [Member] | Fair Value, Inputs, Level 1 [Member]
Net Investment Income [Line Items]
Marketable investments	0
US Treasury Notes Securities [Member] | Fair Value, Inputs, Level 2 [Member]
Net Investment Income [Line Items]
Marketable investments	11,079
Asset-Backed Securities [Member]
Net Investment Income [Line Items]
Marketable investments	1,428
Asset-Backed Securities [Member] | Fair Value, Inputs, Level 1 [Member]
Net Investment Income [Line Items]
Marketable investments	0
Asset-Backed Securities [Member] | Fair Value, Inputs, Level 2 [Member]
Net Investment Income [Line Items]
Marketable investments	$ 1,428

Summary of Significant Accoun_5

Summary of Significant Accounting Policies (Details Narrative) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2022	Jun. 30, 2021	Jun. 30, 2022	Jun. 30, 2021	Apr. 06, 2022	Dec. 31, 2021
Product Information [Line Items]
Cash and Cash Equivalents	$ 7,800		$ 7,800			$ 2,100
Tax credit receivables	25,900		25,900
Production financing	300
Uninsured cash balances	1,800		1,800
Marketable securities	97,400		97,400
Cash					$ 38,300
Allowance for doubtful accounts	$ 67,897		$ 67,897			$ 22,080
Revenue Benchmark [Member] | Five Customer [Member] | Customer Concentration Risk [Member]
Product Information [Line Items]
Concentration risk percentage	10%		10%
Revenue Benchmark [Member] | Customer [Member] | Customer Concentration Risk [Member]
Product Information [Line Items]
Concentration risk percentage	81.25%	47%	76.30%	34%
Revenue Benchmark [Member] | One Customer [Member] | Customer Concentration Risk [Member]
Product Information [Line Items]
Concentration risk percentage		10%		10%
Accounts Receivable [Member] | Customer [Member] | Customer Concentration Risk [Member]
Product Information [Line Items]
Concentration risk percentage			65.04%	62%
Accounts Receivable [Member] | Four Customer [Member] | Customer Concentration Risk [Member]
Product Information [Line Items]
Concentration risk percentage			10%
Accounts Receivable [Member] | Two Customer [Member] | Customer Concentration Risk [Member]
Product Information [Line Items]
Concentration risk percentage				10%
S P I C [Member]
Product Information [Line Items]
Cash	$ 250,000		$ 250,000
Interest Income [Member]
Product Information [Line Items]
Interest income			400
Variable Interest Entities [Member]
Product Information [Line Items]
Investments and Cash	$ 800		$ 800

Acquisition (Details - Consider

Acquisition (Details - Consideration Paid) $ in Thousands	6 Months Ended
	Jun. 30, 2022 USD ($)
Business Combination and Asset Acquisition [Abstract]
Cash	$ 38,310
Genius Common Stock Issued	10,832
Shares Issued Exchangeable for Genius Common Stock	722
Stock Option Value of Replacement Options- Pre-Combination Vested Options	1,213
Severance Payments	1,044
Bonuses	529
Total	$ 52,650

Acquisition (Details - Assets A

Acquisition (Details - Assets Acquired Liabilities Consideration) - USD ($) $ in Thousands	Jun. 30, 2022	Apr. 07, 2022	Jan. 13, 2022
Acquired Finite-Lived Intangible Assets [Line Items]
Cash and cash equivalents		$ 2,573	$ 176
Accounts Receivable		34,237	238
Prepaid Expenses and Other		1,245	25
Property and Equipment		1,936
ROU Assets		10,311
IP (In-Process)		4,600
IP (Proprietary Productions)		5,684
Goodwill	$ 21,400	21,399	4,069
Accounts Payable		(1,547)	(140)
Participations Payable		(1,380)
Bank Debt		(1,475)
Accrued Liabilities		(3,825)
Interim Production Facilities		(16,930)
Deferred Revenue		(18,080)
Lease Liabilities		(10,614)
Other Liabilities		(60)
Total Consideration		52,650
Trade Names [Member]
Acquired Finite-Lived Intangible Assets [Line Items]
Identifiable intangible assets acquired		7,631	$ 23
Customer Relationships [Member]
Acquired Finite-Lived Intangible Assets [Line Items]
Identifiable intangible assets acquired		16,064
Networks And Platforms [Member]
Acquired Finite-Lived Intangible Assets [Line Items]
Identifiable intangible assets acquired		$ 803

Acquisition (Details - Purchase

Acquisition (Details - Purchase consideration) - USD ($) $ in Thousands			6 Months Ended
	Apr. 06, 2022	Jan. 13, 2022	Jun. 30, 2022
Business Acquisition [Line Items]
cash consideration at closing	$ 52,700	$ 4,100
Net working capital adjustment		269
Total			$ 52,650
Ameba Acquisition [Member]
Business Acquisition [Line Items]
Total		4,069
Stock Purchase Agreements [Member]
Business Acquisition [Line Items]
cash consideration at closing		3,500
Asset Purchase Agreement [Member]
Business Acquisition [Line Items]
cash consideration at closing		$ 300	$ 300

Acquisition (Details - Allocati

Acquisition (Details - Allocation of purchase consideration) - USD ($) $ in Thousands	Jun. 30, 2022	Apr. 07, 2022	Jan. 13, 2022	Dec. 31, 2021	Jun. 30, 2021
Acquired Finite-Lived Intangible Assets [Line Items]
Cash and Equivalents		$ 2,573	$ 176
Accounts Receivable		34,237	238
Prepaids Expenses		1,245	25
Goodwill	$ 36,720		673	$ 15,227	$ 10,400
Accounts Payable and Accrued Expenses		(1,547)	(140)
Tax Liability			(30)
Total Consideration	$ 21,400	21,399	4,069
Trade Names [Member]
Acquired Finite-Lived Intangible Assets [Line Items]
Identifiable intangible assets acquired		$ 7,631	23
Digital Network [Member]
Acquired Finite-Lived Intangible Assets [Line Items]
Identifiable intangible assets acquired			2,804
Technology [Member]
Acquired Finite-Lived Intangible Assets [Line Items]
Identifiable intangible assets acquired			$ 300

Acquisition (Details -Supplemen

Acquisition (Details -Supplemental pro forma information) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2022	Jun. 30, 2021	Jun. 30, 2022	Jun. 30, 2021
Business Acquisition [Line Items]
Total Revenues	$ 22,124	$ 17,246	$ 41,667	$ 30,192
Net Income (Loss)	$ (13,343)	$ (6,933)	$ (16,926)	$ (82,070)
Net Loss per Common Share (Basic and Diluted)	$ (0.04)	$ (0.02)	$ (0.05)	$ (0.28)
Weighted Average Shares Outstanding (Basic and Diluted)	315,519,907	300,646,819	309,682,010	293,969,462
Wow Acquisition [Member]
Business Acquisition [Line Items]
Total Revenues		$ 14,732	$ 35,810	$ 26,453
Net Income (Loss)		$ 374	$ 1,154	$ 1,418
Net Loss per Common Share (Basic and Diluted)		$ 0	$ 0	$ 0
Weighted Average Shares Outstanding (Basic and Diluted)		0	0	0
Ameba Acquisition [Member]
Business Acquisition [Line Items]
Total Revenues		$ 172	$ 849	$ 333
Net Income (Loss)		$ 87	$ (32)	$ 165
Net Loss per Common Share (Basic and Diluted)		$ 0	$ 0	$ 0
Weighted Average Shares Outstanding (Basic and Diluted)		0	0	0

Acquisitions (Details Narrative

Acquisitions (Details Narrative) - USD ($)					1 Months Ended	3 Months Ended	6 Months Ended
	Apr. 07, 2022	Apr. 06, 2022	Jan. 13, 2022	Apr. 06, 2021	Jan. 31, 2022	Jun. 30, 2022	Jun. 30, 2022	Jun. 30, 2021
Business Acquisition [Line Items]
Cash paid for acquisition, gross		$ 52,700,000	$ 4,100,000
Number of shares issued		11,057,000
Fair value of common stock		$ 11,600,000
Options granted							2,409,515
Fair value of vested options		1,200,000					$ 1,200,000
Fair value of future services		300,000
Severance cost							1,600,000
Cash acquired		50,100,000	3,900,000
General and administrative expenses		3,100,000			$ 100,000
Stock-based compensation		$ 300,000					8,736,000	$ 5,567,000
Net identifiable assets acquired	$ 34,800,000		$ 3,100,000
Useful life	8 years		18 years
Tradenames						$ 7,600,000	7,600,000
Goodwill acquisition	$ 21,399,000		$ 4,069,000			21,400,000	21,400,000
Net working capital						268,657
Stock Purchase Agreement [Member]
Business Acquisition [Line Items]
Cash paid for acquisition, gross			3,800,000
Asset Purchase Agreement [Member]
Business Acquisition [Line Items]
Cash paid for acquisition, gross			$ 300,000				300,000
Trade Names [Member]
Business Acquisition [Line Items]
Useful life	16 years		3 years
Technology [Member]
Business Acquisition [Line Items]
Useful life			3 years
Networks And Platforms [Member]
Business Acquisition [Line Items]
Tradenames						$ 800,000	$ 800,000
Wow Acquisition [Member]
Business Acquisition [Line Items]
Cash paid for acquisition, gross				$ 38,300,000
Number of shares issued				11,057,085

Variable Interest Entity (Detai

Variable Interest Entity (Details Narrative) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2022	Jun. 30, 2021	Jun. 30, 2022	Jun. 30, 2021	Dec. 31, 2021
Intangible asset to be amortized	$ 2,200	$ 1,900	$ 2,400	$ 1,900
Net Income (Loss) Attributable to Parent	(13,343)	$ (7,394)	(17,872)	(83,653)
[custom:DistributionsToNoncontrollingInterest]			1,200	$ 0
Investments	17,840		17,840		$ 6,695
Stan Lee Universe [Member]
Intangible Assets, Current	2,000		2,000
Acquisition cost			2,000
Intangible asset to be amortized			4,000
Net Income (Loss) Attributable to Parent	2,400
[custom:DistributionsToNoncontrollingInterest]	1,200
Proceeds from Limited Partnership Investments	1,200
Investments	$ 800		$ 800

Investment in Equity Interest (

Investment in Equity Interest (Details Narrative) - USD ($)					1 Months Ended	3 Months Ended	6 Months Ended
	Apr. 06, 2022	Apr. 05, 2022	Mar. 09, 2022	Dec. 02, 2021	Feb. 14, 2022	Jun. 30, 2022	Jun. 30, 2022	Dec. 31, 2021
Investment						$ 17,840,000	$ 17,840,000	$ 6,695,000
Number of shares issued	11,057,000
Debt Conversion, Converted Instrument, Shares Issued					304,631
Increase in outstanding shares							6,857,132
Foreign currency translation rate						1,100,000	$ 1,300,000
Ratchet Productions L L C [Member]
Investment						$ 0	0
Impairment of investment							$ 0
Y E E [Member]
Ownership percentage						49.20%	49.20%
Y F E Common Stock [Member]
Investment				$ 6,800,000
Cash				$ 3,400,000
Number of shares issued		914,284		2,281,269	2,637,717
Recived shares				3,000,000
Debt Conversion, Converted Instrument, Shares Issued			2,574,000
Stock Issued During Period, Value, New Issues		$ 2,700,000			$ 5,700,000
Other income loss						$ 2,500,000	$ 2,900,000

Marketable Securities (Details

Marketable Securities (Details - Marketable Securities) $ in Thousands	6 Months Ended
	Jun. 30, 2022 USD ($)
Net Investment Income [Line Items]
Adjusted Cost	$ 103,155
Unrealized Loss	(5,727)
Fair Value	97,428
Corporate Bond Securities [Member]
Net Investment Income [Line Items]
Adjusted Cost	45,446
Unrealized Loss	(2,420)
Fair Value	43,026
US Treasury Securities [Member]
Net Investment Income [Line Items]
Adjusted Cost	24,281
Unrealized Loss	(1,087)
Fair Value	23,194
Collateralized Mortgage-Backed Securities [Member]
Net Investment Income [Line Items]
Adjusted Cost	6,610
Unrealized Loss	(413)
Fair Value	6,197
U S Agency And Government Sponsored Securities [Member]
Net Investment Income [Line Items]
Adjusted Cost	13,529
Unrealized Loss	(1,025)
Fair Value	12,504
US Treasury Notes Securities [Member]
Net Investment Income [Line Items]
Adjusted Cost	11,836
Unrealized Loss	(757)
Fair Value	11,079
Asset-Backed Securities [Member]
Net Investment Income [Line Items]
Adjusted Cost	1,453
Unrealized Loss	(25)
Fair Value	$ 1,428

Marketable Securities (Detail_2

Marketable Securities (Details - Unrealized losses) $ in Thousands	6 Months Ended
	Jun. 30, 2022 USD ($)
Net Investment Income [Line Items]
Gross unrealized loss	$ (3,995)
Fair Value	68,307
Corporate Bond Securities [Member]
Net Investment Income [Line Items]
Gross unrealized loss	(1,328)
Fair Value	24,698
US Treasury Securities [Member]
Net Investment Income [Line Items]
Gross unrealized loss	(823)
Fair Value	18,518
Collateralized Mortgage-Backed Securities [Member]
Net Investment Income [Line Items]
Gross unrealized loss	(358)
Fair Value	4,604
U S Agency And Government Sponsored Securities [Member]
Net Investment Income [Line Items]
Gross unrealized loss	(871)
Fair Value	10,717
US Treasury Notes Securities [Member]
Net Investment Income [Line Items]
Gross unrealized loss	(591)
Fair Value	8,341
Asset-Backed Securities [Member]
Net Investment Income [Line Items]
Gross unrealized loss	(24)
Fair Value	$ 1,429

Marketable Securities (Detail_3

Marketable Securities (Details - Contractual maturities) $ in Thousands	Jun. 30, 2022 USD ($)
Net Investment Income [Line Items]
Fair Value	$ 97,428
Due After One Year Through Five Years [Member]
Net Investment Income [Line Items]
Fair Value	73,413
Due In One Years [Member]
Net Investment Income [Line Items]
Fair Value	11,763
Due After Five Years Through Ten Years [Member]
Net Investment Income [Line Items]
Fair Value	4,218
Due After Ten Years [Member]
Net Investment Income [Line Items]
Fair Value	$ 8,034

Property and Equipment, Net (De

Property and Equipment, Net (Details) - USD ($) $ in Thousands	Jun. 30, 2022	Dec. 31, 2021
Property, Plant and Equipment [Line Items]
Property and equipment, gross	$ 2,870	$ 598
Less Accumulated Depreciation	(306)	(149)
Property and Equipment, Net	2,564	449
Furniture and Fixtures [Member]
Property, Plant and Equipment [Line Items]
Property and equipment, gross	199	181
Computer Equipment [Member]
Property, Plant and Equipment [Line Items]
Property and equipment, gross	283	173
Leasehold Improvements [Member]
Property, Plant and Equipment [Line Items]
Property and equipment, gross	2,130	44
Software Development [Member]
Property, Plant and Equipment [Line Items]
Property and equipment, gross	235	177
Production Equipment [Member]
Property, Plant and Equipment [Line Items]
Property and equipment, gross	$ 23	$ 23

Property and Equipment, Net (_2

Property and Equipment, Net (Details Narrative) - USD ($)	3 Months Ended		6 Months Ended
	Jun. 30, 2022	Jun. 30, 2021	Jun. 30, 2022	Jun. 30, 2021
Property, Plant and Equipment [Abstract]
Depreciation expense	$ 200,000	$ 82,688	$ 200,000	$ 100,000

Right of Use Leased Asset (Deta

Right of Use Leased Asset (Details) - USD ($) $ in Thousands	Jun. 30, 2022	Dec. 31, 2021
Right of use asset, gross	$ 13,331	$ 3,364
Total accumulated amortization	(1,317)	(579)
Right of use asset, net	12,014	2,785
Office Lease [Member]
Right of use asset, gross	10,095	3,351
Equipment Lease Assets [Member]
Right of use asset, gross	$ 3,236	$ 13

Right of Use Leased Assets (Det

Right of Use Leased Assets (Details Narrative) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2022	Jun. 30, 2021	Jun. 30, 2022	Jun. 30, 2021
Right Of Use Leased Assets
Amortization expense	$ 700	$ 100	$ 600	$ 200

Film and Television Costs, Ne_2

Film and Television Costs, Net (Details) - USD ($) $ in Thousands	6 Months Ended	12 Months Ended
	Jun. 30, 2022	Dec. 31, 2021
Other Industries [Abstract]
Film and Television costs, beginning balance	$ 2,940	$ 11,828
Additions to Film and Television Costs	16,213	10,650
Film Amortization Expense	(2,253)	(19,538)
Film and Television Costs, ending balance	$ 16,900	$ 2,940

Film and Television Costs, Ne_3

Film and Television Costs, Net (Details Narrative) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2022	Jun. 30, 2021	Jun. 30, 2022	Jun. 30, 2021
Other Industries [Abstract]
Net of amortization expense			$ 14,000
Increase in film and television costs			4,500
Film amortization expense	$ 2,200	$ 1,900	$ 2,400	$ 1,900

Intangible Assets, Net and Go_3

Intangible Assets, Net and Goodwill (Details - Intangibles) - USD ($) $ in Thousands		6 Months Ended
		Jun. 30, 2022	Dec. 31, 2021
Indefinite-Lived Intangible Assets [Line Items]
Intangible assets		$ 38,149	$ 10,481
Foreign Currency Translation Adjustment		(786)	24
Less Accumulated Amortization		(1,702)	(772)
Net Intangible Assets		$ 35,661	9,733
Customer Relationships [Member]
Indefinite-Lived Intangible Assets [Line Items]
Weighted Average Remaining Amortization Period		9 years
Intangible assets		$ 22,205	6,120
Digital Networks [Member]
Indefinite-Lived Intangible Assets [Line Items]
Weighted Average Remaining Amortization Period		17 years
Intangible assets		$ 3,607	0
Trade Names [Member]
Indefinite-Lived Intangible Assets [Line Items]
Weighted Average Remaining Amortization Period		69 years
Intangible assets		$ 11,654	4,000
Technology [Member]
Indefinite-Lived Intangible Assets [Line Items]
Weighted Average Remaining Amortization Period		3 years
Intangible assets		$ 300	0
Noncompete Agreements [Member]
Indefinite-Lived Intangible Assets [Line Items]
Weighted Average Remaining Amortization Period		2 years
Intangible assets		$ 60	60
Other Intangible Assets [Member]
Indefinite-Lived Intangible Assets [Line Items]
Weighted Average Remaining Amortization Period	[1]	2 years
Intangible assets	[1]	$ 323	$ 301
[1]Represents the remaining unamortized logo and website intangible assets related to the merger with A Squared.

Intangible Assets, Net and Go_4

Intangible Assets, Net and Goodwill (Details - future amortization) $ in Thousands	Jun. 30, 2022 USD ($)
Goodwill and Intangible Assets Disclosure [Abstract]
2022	$ 1,427
2023	2,851
2024	2,827
2025	2,720
2026	2,712
Thereafter	23,124
Total	$ 35,661

Intangible Assets, Net and Go_5

Intangible Assets, Net and Goodwill (Details - Goodwill) $ in Thousands	6 Months Ended
	Jun. 30, 2022 USD ($)
Indefinite-Lived Intangible Assets [Line Items]
Goodwill at beginning	$ 15,227
Acquisition of Ameba	673
Acquisition of wow	21,398
Foreign Currency Translation Adjustment	(578)
Goodwill at end	36,720
Content Production Distribution [Member]
Indefinite-Lived Intangible Assets [Line Items]
Goodwill at beginning	10,366
Acquisition of Ameba	673
Acquisition of wow	21,398
Foreign Currency Translation Adjustment	(558)
Goodwill at end	31,879
Media Advertising Services [Member]
Indefinite-Lived Intangible Assets [Line Items]
Goodwill at beginning	4,861
Acquisition of Ameba	0
Acquisition of wow	0
Foreign Currency Translation Adjustment	(20)
Goodwill at end	$ 4,841

Intangible Assets, Net and Go_6

Intangible Assets, Net and Goodwill (Details Narrative) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2022	Jun. 30, 2021	Jun. 30, 2022	Jun. 30, 2021	Jan. 13, 2022	Dec. 31, 2021
Restructuring Cost and Reserve [Line Items]
Amortization expense	$ 900	$ 100	$ 700	$ 200
Goodwill	36,720	$ 10,400	36,720	$ 10,400	$ 673	$ 15,227
Impairment charge			4,800
Goodwill impairment			4,900
Beacon Media Group [Member]
Restructuring Cost and Reserve [Line Items]
Goodwill	9,600		9,600
Ameba Acquisition [Member]
Restructuring Cost and Reserve [Line Items]
Goodwill	700		700
Wow Acquisition [Member]
Restructuring Cost and Reserve [Line Items]
Goodwill	$ 21,400		$ 21,400

Deferred Revenue (Details Narra

Deferred Revenue (Details Narrative) - USD ($) $ in Thousands	Jun. 30, 2022	Dec. 31, 2021
Revenue from Contract with Customer [Abstract]
Deferred revenue, current	$ 18,000	$ 3,900
Deferred revenue, current	$ 13,100

Supplemental Financial Statem_3

Supplemental Financial Statement Information (Details) - USD ($) $ in Thousands		3 Months Ended		6 Months Ended
		Jun. 30, 2022	Jun. 30, 2021	Jun. 30, 2022	Jun. 30, 2021
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Gain (Loss) on Warrant Revaluation (a)		$ 227	$ 119	$ 269	$ (317)
Loss on Foreign Exchange (b)	[1]	(1,073)	(5)	(1,262)	(7)
Loss on Marketable Securities Investments (c)		(44)	0	(123)	0
Gain (Loss) on Revaluation of Equity Investment in YFE(d)		(2,494)	0	2,901	0
Interest Income (e)	[2]	253	75	501	122
Warrant Incentive Expense (f)	[3]	0	0	0	(69,139)
Interest Expense (g)	[4]	(418)	(9)	(473)	(18)
Net Other Income (Expense)		$ (3,549)	$ 180	$ 1,813	$ (69,359)
[1]For the three and six months ended June 30, 2022 loss on foreign exchange primarily relates to the foreign exchange loss on the investment in YFE’s equity securities accounted for under the fair value option. For the three and six months ended June 30, 2021 loss on foreign exchange related to foreign currency denominated monetary transactions.[2]Interest Income received during the three and six months ended June 30, 2022 and 2021 primarily consists of cash interest received on the investments in marketable securities, net amortization of premiums.[3]The Warrant Incentive Expense is related to the fair value of new warrants that were issued in 2021 to certain existing warrant holders in exchange for previously issued outstanding warrants.[4]Interest expense during the three and six months ended June 30, 2022 primarily consists of $0.2 million of interest incurred on the Company’s margin loan collateralized by its marketable security investments and $0.3 million of interest incurred on its production facilities loan and bank indebtedness assumed as part of the Wow Acquisition.

Margin Loan (Details Narrative)

Margin Loan (Details Narrative) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2022	Jun. 30, 2021	Jun. 30, 2022	Jun. 30, 2021	Dec. 31, 2021
Line of Credit Facility [Line Items]
Interest Expense, Debt	$ 418	$ 9	$ 473	$ 18
Margin Loan [Member]
Line of Credit Facility [Line Items]
Long-Term Line of Credit	$ 61,100		61,100		$ 54,700
Proceeds from Lines of Credit			59,000
Repayments of Lines of Credit			$ 4,500

Stockholders_ Equity (Details N

Stockholders’ Equity (Details Narrative) - USD ($)					1 Months Ended		6 Months Ended
	Apr. 07, 2022	Apr. 06, 2022	Mar. 02, 2022	Apr. 06, 2021	May 31, 2022	Feb. 24, 2021	Jun. 30, 2022	Dec. 31, 2021
Class of Stock [Line Items]
Shares authorized							400,000,000	400,000,000
Common stock outstanding							317,235,116	303,379,122
Number of shares issued, shares		11,057,000
Wow Acquisition [Member]
Class of Stock [Line Items]
Number of shares issued, shares				11,057,085
Common Stock [Member]
Class of Stock [Line Items]
Number of shares issued, shares	10,365,823		350,000		736,667	36,196	1,676,046
Number of shares issued, value	$ 10,800,000		$ 300,000		$ 400,000	$ 65,515	$ 1,400,000
Common Stock [Member] | Wow Acquisition [Member]
Class of Stock [Line Items]
Number of shares issued, shares	691,262
Number of shares issued, value	$ 700,000

Stock Options (Details - Assump

Stock Options (Details - Assumptions) - Share-Based Payment Arrangement, Option [Member] - $ / shares		1 Months Ended		4 Months Ended
	Apr. 06, 2022	Jun. 23, 2022	Mar. 17, 2022	Jun. 23, 2022	Jun. 30, 2022
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]
Exercise price		$ 0.78	$ 0.90	$ 0.78
Dividend yield	0%	0%	0%
Volatility		113%	104%
Risk-free interest rate			0.41%	3.14%
Expected life		5 years	5 years
Minimum [Member]
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]
Exercise price	$ 0.51
Volatility	114%
Risk-free interest rate	2.67%
Expected life	3 years
Maximum [Member]
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]
Exercise price					$ 1.66
Volatility	123%
Risk-free interest rate	2.70%
Expected life	4 years 3 months 18 days

Stock Options (Details-Option a

Stock Options (Details-Option activity)	6 Months Ended
	Jun. 30, 2022 $ / shares shares
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]
Number of Options, Granted	676,415
Equity Option [Member]
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]
Number of Options outstanding, beginning balance	10,197,312
Weighted Average Remaining Contractual Life, beginning balance	7 years 11 months 15 days
Weighted Average Exercise Price per Share, beginning balance | $ / shares	$ 1.75
Number of Options, Granted	3,784,515
Weighted average remaining contractual life, options granted	4 years 3 months 29 days
Weighted Average Exercise Price, Options Granted | $ / shares	$ 1.11
Number of Options, Exercised	0
Weighted Average Exercise Price, Options Exercised | $ / shares	$ 0
Number of Options, Forfeited	(1,026,915)
Weighted average remaining contractual life, options Forfeited	3 years 3 months 18 days
Weighted Average Exercise Price, Options Forfeited | $ / shares	$ 1.54
Number of Options, Expired	0
Weighted Average Exercise Price, Options Expired | $ / shares	$ 0
Number of Options outstanding, ending balance	12,954,912
Weighted Average Remaining Contractual Life, ending balance	6 years 10 months 17 days
Weighted Average Exercise Price per Share, ending balance | $ / shares	$ 1.55
Number of Options, Unvested	3,775,901
Weighted- Average Remaining Contractual Life, Unvested	6 years 5 months 23 days
Weighted Average Exercise Price per Share Unvested | $ / shares	$ 1.43
Number of Options, exercisable	9,179,011
Weighted- Average Remaining Contractual Life, Exercisable	7 years 18 days
Weighted Average Exercise Price per Share, Exercisable | $ / shares	$ 1.61

Stock Options (Details Narrativ

Stock Options (Details Narrative) - USD ($)		3 Months Ended		6 Months Ended
	Apr. 06, 2022	Jun. 30, 2022	Jun. 30, 2021	Jun. 30, 2022	Jun. 30, 2021	Aug. 27, 2020	Sep. 18, 2015
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]
Number of Options, Granted				2,409,515
Fair market value	$ 1,500,000
Number of Options, Granted				676,415
Number of Options, vested	1,200,000			$ 1,200,000
Number of vested shares				1,967,528
Share-based compensation	$ 300,000			$ 8,736,000	$ 5,567,000
Unvested share based compensation		$ 1,800,000		1,800,000
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Intrinsic Value		$ 159,311		$ 159,311
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Weighted Average Grant Date Fair Value				$ 0.64
Equity Option [Member]
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]
Number of Options, Granted		500,000
Number of Options, Granted				3,784,515
Number of Options, vested				$ 300,000
Share-based compensation		$ 400,000	$ 800,000	$ 800,000	$ 1,900,000
Equity Option [Member] | Employees [Member]
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]
Number of Options, Granted					875,000
Fair market value					$ 603,750
Options Held [Member]
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]
Number of Options, Granted				1,733,100
Plan 2015 [Member]
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]
Shares available for future issuance							2,167,667
Plan 2020 [Member]
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]
Shares available for future issuance						32,167,667

Restricted Stock Units (Details

Restricted Stock Units (Details - RSU Activity) - Restricted Stock Units (RSUs) [Member] - $ / shares	6 Months Ended	12 Months Ended
	Jun. 30, 2022	Dec. 31, 2021
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]
RSUs Outstanding shares, beginning	15,383,234
Weighted Average Remaining Contractual Life	3 years 10 months 17 days	4 years 4 months 2 days
Exercise Prices Per Share, beginning	$ 1.40
RSUs Granted	1,269,677
RSUs Granted	4 years 10 months 2 days
RSUs Granted	$ 0.74
RSUs Vested	(3,371,311)
RSUs Vested	4 years 1 month 6 days
RSUs Vested	$ 1.29
RSUs Forfeited	0
RSUs Forfeited	$ 0
RSUs Outstanding shares, ending	13,281,600	15,383,234
Weighted Average Exercise Price Per Share, ending	$ 1.36	$ 1.40

Restricted Stock Units (Detai_2

Restricted Stock Units (Details Narrative) - USD ($) $ in Thousands		3 Months Ended			6 Months Ended
	Apr. 06, 2022	Jun. 30, 2022	Mar. 31, 2022	Jun. 30, 2021	Jun. 30, 2022	Jun. 30, 2021
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]
Stock Issued During Period, Value, Restricted Stock Award, Gross
Share-based compensation	$ 300				$ 8,736	$ 5,567
Unvested share based compensation		1,800			1,800
Restricted Stock Units (RSUs) [Member]
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]
Share-based compensation		3,800		$ 800	7,900	$ 1,900
Unvested share based compensation		$ 2,900			$ 2,900
Restricted Stock Units (RSUs) [Member] | Certain Employees And Officers [Member]
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Grants in Period		469,677	300,000
Stock Issued During Period, Value, Restricted Stock Award, Gross		$ 286,806	$ 268,500
Restricted Stock Units (RSUs) [Member] | Former Employee [Member]
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Grants in Period		500,000
Stock Issued During Period, Value, Restricted Stock Award, Gross		$ 390,000

Warrants (Details Narrative)

Warrants (Details Narrative) - USD ($) $ / shares in Units, $ in Thousands	6 Months Ended
	Jun. 30, 2022	Dec. 31, 2021
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]
Warrant exercise price	$ 1.86
Warrants issued	892,857
Decrease in liability	$ 300
Warrant [Member]
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]
Warrants outstanding	45,511,965	45,511,965
Warrant outstanding, value	$ 74,200
Volatility	128%
Interest rate	2.97%

Commitment and Contingencies (D

Commitment and Contingencies (Details - Minimum lease commitments) $ in Thousands	Jun. 30, 2022 USD ($)
Employment Agreements [Member]
Other Commitments [Line Items]
Other commitment 2022	$ 3,283
Other commitment 2023	2,189
Other commitment 2024	794
Other commitment 2025	427
Other commitment 2026	0
Other commitment Thereafter	0
Total	6,693
Consulting Contracts [Member]
Other Commitments [Line Items]
Other commitment 2022	1,656
Other commitment 2023	503
Other commitment 2024	0
Other commitment 2025	0
Other commitment 2026	0
Other commitment Thereafter	0
Total	2,159
Debt [Member]
Other Commitments [Line Items]
Other commitment 2022	63,782
Other commitment 2023	18,440
Other commitment 2024	24
Other commitment 2025	24
Other commitment 2026	18
Other commitment Thereafter	0
Total	82,288
All Commitments [Member]
Other Commitments [Line Items]
Other commitment 2022	70,570
Other commitment 2023	24,417
Other commitment 2024	3,060
Other commitment 2025	2,259
Other commitment 2026	1,843
Other commitment Thereafter	6,385
Total	108,534
Operating Leases [Member]
Other Commitments [Line Items]
Operating lease 2022	1,849
Operating lease 2023	3,285
Operating lease 2024	2,242
Operating lease 2025	1,808
Operating lease 2026	1,825
Operating lease Thereafter	6,385
Total	$ 17,394

Commitment and Contingencies _2

Commitment and Contingencies (Details Narrative) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2022	Jun. 30, 2021	Jun. 30, 2022	Jun. 30, 2021	Apr. 06, 2022
Weighted-average discount rate	9.70%		9.70%
Lease obligations	$ 3,500		$ 3,500
Weighted-average lease term for operating leases	82 months		82 months
Rental expenses	$ 400	$ 100	$ 600	$ 200
Vancouver Lease [Member]
Weighted-average discount rate					11.50%
Operating Lease, Liability					$ 500

Related Party Transactions (Det

Related Party Transactions (Details Narrative) - USD ($)		6 Months Ended
	Sep. 30, 2021	Jun. 30, 2022
Related Party Transaction [Line Items]
Discretionary bonus		$ 55,000
Andy Heyward [Member]
Related Party Transaction [Line Items]
Producers fees		600,000
Andy Heyard Animation [Member]
Related Party Transaction [Line Items]
Royalty income		0
POW [Member]
Related Party Transaction [Line Items]
Loans payable	$ 1,250,000
Related Party Transaction, Rate	9%
Interest Receivable, Current		$ 52,442

Segment Reporting (Details - Se

Segment Reporting (Details - Segment Reporting) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2022	Jun. 30, 2021	Jun. 30, 2022	Jun. 30, 2021
Segment Reporting Information [Line Items]
Revenues	$ 22,124	$ 2,342	$ 23,563	$ 3,406
Total Operating Loss	(13,342)	(7,394)	(17,872)	(83,653)
Content Production Distribution [Member]
Segment Reporting Information [Line Items]
Revenues	21,042	1,371	21,496	1,682
Total Operating Loss	(12,822)	(6,851)	(16,860)	(82,840)
Media Advertising Services [Member]
Segment Reporting Information [Line Items]
Revenues	1,082	971	2,067	1,724
Total Operating Loss	$ (520)	$ (543)	$ (1,012)	$ (813)

Segment Reporting (Details - Di

Segment Reporting (Details - Disaggregated Revenue) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2022	Jun. 30, 2021	Jun. 30, 2022	Jun. 30, 2021
Revenues from External Customers and Long-Lived Assets [Line Items]
Revenues	$ 22,124	$ 2,342	$ 23,563	$ 3,406
UNITED STATES
Revenues from External Customers and Long-Lived Assets [Line Items]
Revenues	15,441	1,880	15,993	2,616
CANADA
Revenues from External Customers and Long-Lived Assets [Line Items]
Revenues	5,709	462	6,596	790
UNITED KINGDOM
Revenues from External Customers and Long-Lived Assets [Line Items]
Revenues	$ 974	$ 0	$ 974	$ 0