LVO - Earnings call transcript Q3 2025

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Operator

Ladies and gentlemen, thank you for standing by. My name is Abby, and I will be your conference operator today. At this time, I would like to welcome everyone to the LiveOne Inc.

Third Quarter Fiscal 2025 Financial Results and Business Update Webcast. [Operator Instructions]. like Financial the Officer. now Aaron over would Chief Sullivan, I to conference turn to And Mr. Sullivan, may you begin.

Aaron Sullivan

for current are quarter Thank statements to company forward-looking the would you. and and Presenting not made Ellin, and expectations, on and of call on CEO update risks These forecasts of some included Live that on based remind uncertainties. limited One's company's Good today's morning, me statements results business. financial of the include, and expected you financial various welcome today's involve call the call and results that future future performance regarding is assumptions. growth are XXXX. future Chairman December like the are expected XX, ended to with to, business the The and third Rob statements conference but I in LiveOne.

those statements. actual forward-looking materially XX, variety with refer for year this differ Actual and on call March discussed may for results differ filings. described SEC report the the a for which SEC those Form to about from subsequent information materially could results factors, cause Please to the reasons. ended its these company's from XX-K of XXXX, company's on on the annual including filings

company's You'll the website. which release, earnings on measures measures the to Investor of been Relations discussed find has non-GAAP reconciliations today most comparable in its financial posted GAAP

by investors that in its after the of obligation the to Relations undertake company being call the is your update making this The media section reflects contains investors periodically shortly the a February replay available The and to date not discussion, time-sensitive this call. date you I'd conclusion encourages on via website Investor of to to following does any as revise XXXX. website Except be to will call, view it important company and this or the questions, company of available is as and the of webcast, management's required XX, to recorded. following The law, call. highlight Relations like the for information Investor including responses visit content. information the

Additionally, this it the webcast the written or or any form the transmission any strictly company and of distribution, company's of call is prohibited. rebroadcast the expressed is in consent property without

Allen. Now to I call would like the to Rob CEO, over LiveOne's turn

Robert Ellin

$XX turn of history biggest Thank thank you, and first $XX Aaron. everyone, joining. everyone, record you, in the into the quarter. an order challenging extraordinary the million navigate revenues extraordinarily exciting team. LiveOne drive Thanks company. dedication achieved the the company. of months morning, and been has it of the challenge This and for X underscoring unwavering opportunity in We've million to Good the an and ability and for relentless plus our for to the

Our audio company X and EBITDA revenues radio the in pleased for report the $XX.X the adjusted PodcastOne, company, ] business, months. million history time for to of Slacker the I'm $XX of [ the first million in by prop

$XX $XX.X significant made in million last demonstrates days our pivot, partnerships XX adding partnerships, $XX the and deals to This revenues, survive We've conglomerate to five thrive. and strides the over especially in our XXX diversify in outstanding with performance signed ability with BXB million with diversify and business Fortune media including the million Amazon.

at year-end. two least partnerships close We more expect to by

of $X over stages trillion-dollar with is in robust XX billion partnerships BXB development pipeline to various companies. Our with

the lifetime. and the of Now for opportunity a challenge

$X.XX that label up being as partner from with for cars and signed car as a a connectivity. $X white Tesla changed in dramatically guarantee paid with long Tesla Tesla customer a month partnership Our from the owners

our branding front in amazing renewed Tesla. have part, Providing single time each the the logo, for is the of in with property ever, year We straight perpetuity. right first with front this now and the XXth for Tesla with our every contract car, our

and support using and the and and true to subscribers, of strategies car multiple help years the all AI owners With both used the marketing into convert free of Tesla over paid. company the has

first ever, we have time each our of multibillion-dollar is information of a This the For will data opportunity. subscribers.

now for of anyone part struggle you an been moon for that's going investor time. to that in move. For my companies the This shot and shoot some a the hits years, have a or over of period you're we revenues unique is take that

you this, you $X have month. as over the you to get is look But all of a can at believe future that

rents nothing partners. entire front XXX,XXX-plus real concept the the have of have cars but years, collaboration been flow all, to December, numbers at the These able a of staggering a exceeded any users. and XX% new all. weren't signed provides BXB going can short success over us So in up partnership the management, We of transformative. signing estate million now proof with reps been This of raise most of cash and speech have analysts of expectations pool you That's we believe has Since themselves. we help to XX the North America. of those that X tested our the

$XX to eyeballs. with partners $X Imagine billion million plus

you can and in a massive X% convert flywheel X% now Amex think any X Facebook Walmart,Microsoft, So XX%, more if or to eyeballs, X XX users. those last we deals. Amazon talking the get years [ proof we assign over BXB can as if ] those than million even billion I've of see been about This to whether about a and

We a have multibillion-dollar opportunity.

partnerships bases music BXB business As model, our deals. large and our we delivering and user we're forward, platform to our move pivoting leveraging

million pleased LiveOne stock reiterate to through a addition program. to that I'm buyback has growth, continued committed our In $XX

believers on of our $X.X confidence that and backing to have of company confidence remaining proof the our the management the concept million and show continue shows company. provide in will We the by company that currently that buy and future our and in are that and program we

market growth, revenue We terms are presence. continue our to committed both and of in

where million subsidiary, be couldn't off increased after and paying more almost shares to Bank, excited million $XX about podcasting the $X revenues. bought million XXx XXx with is Fox, Red I Sirius. Our O'Brian's of over for help The revenues Podcast cash presidency by to just East network PodcastOne. podcasting. to over was Conan $X Network of West acquiring XXX,XXX sold one for position going. our

deals Broad million, ] selling You're [ XXX. seeing for that list Kelcy for Smart $XXX

just a to and share $XX excited the first expect the for have the secured the revenues the expanded We become $XX.X podcasting. fully biggest positive deal substantial worth of traffic revenues and to our record we have a to in in achieved have number We've the one Amazon, to of partnership major has PodcastOne subsidiary networks continue going the quarter industry, largest the and guided quarter. year. has going forward for year. time, in network EBITDA I'm eighth million and that, the the X-year means that EBITDA, fourth be million Positive to year for for EBITDA is with

and unlock that forward everyone, employees, shareholders continued JPMorgan to further are demonstrate offers. And our delivering advertisers our working LiveOne enhance look quarter. growth. our thank high-quality about bankers, marketing steps to with Q&A. goals strengthening I'll open our achievements additional commitment including I forward we our I up to values. trusting for and our of The it Thank accelerate and aligns strategic partners, our our PodcastOne, to look the solutions partners. content, to audiences, innovative and of opportunities growth, can These continued and our business excited you, want we presence all following To support. the M&A to expanding multiple to explore We're future our and

Operator

[Operator line Kintslinger first your of Instructions]. question Global from comes And the Partners. with Brian Alliance

Brian Kinstlinger

$X.XX investors. website, So I ARPU today, year. look -- for the the we Is this want your from ARPU we most about forward. to Slacker per I It's $XX.XX the Radio into like it's on you understand looks going to question suggest think get try They month what most forward. the offer going for the

Robert Ellin

Yes.

dynamic and we'll a exactly. we prices. it's think challenging raising to recently, our I great think answer that But be did is say I question,

is found as to of happening, want and another aware raised substantially Spotify, have prices you're price is with with that announced we seen increase. is just a Tesla which opportunity found pricing change face buy raise there's for The they've As to we subscription, as They exceptional elasticity, this people a an year-long their is substantially. lot us. prices

having I XX So e-mails be an the has the top opportunity of those. is Rob expand Brian now and This out of and understanding a terms actually look and a company on. time so VIN we're far you that and think our over think having lowest pricing, that data real the a increase find industry, months. this there's prices data we're can and far the Ellin the the going names Kinstlinger we're by but XX is car, actually how the at would really I just number to cards to credit if industry, of not next yes, the and the [indiscernible] But we in huge opportunity in

Brian Kinstlinger

new I I how I'm Tesla if now? a free out were And time? testament Okay. attract a period for plays service me curious to buy just get do today, to some of

Robert Ellin

question. great a it's Yes,

have month. right, $X opportunity, be we December X, of remember that as dynamically, our can the On just contract contract a happened You X. And to right? December all renewed this guaranteed

ad-supported the on, getting health for you back on now our Now that right? car with that you ads. right, subscription, service time choose left-hand no test have days is you you or customer you we side, the opportunity either of opportunity to be to single right? the it, first a as or XX You button. can able have the at for the that click see you ever opportunity of if choose And year, the to could the car subscription look have on of upsell ago Or that your with every have turn you'll Tesla monthly logo

Brian Kinstlinger

Right.

have for have buy for That's I example, is have supported you time it so goes So car, that. away do buy. get I'm day I my have radio I and much -- then going [indiscernible] a Sirius I'm I and I get to to X or month select it to but ad then playing three the curious. start curious, what

Robert Ellin

Yes, question. great

don't and usage, people right, little for XXX,XXX free clunky, sign days Tattler complicated. We up years free supported ad we've subscription it's switched and signed the that spend, right? is and We time as launched ad-supported that didn't what subscribers. we've XX for yesterday, -- do and the risk we because said over we we XX a [ had the success it the and with our to want they decided of As to excitement, And right? have to take ] a ago, little that not shock yet

it. Well, I do to have

you up, sign You -- to to to in. got have a You bar code, right? information your you get got got put

for a credit can't subscriber give offer back get an You your our the day gave daily get to for the every going DJs in, and to next invite be. special a that you've this back a them put songs those we're figuring what got card and we terabit subscription. funnel, I them. X to to that right? in a that you'll been pot, to is sign into then out whether offering year You'll we XX ask favorite years, consumers well, you you learning get listen get will a you we easy up you when music, And X songs you turn your the way

forever. And some will of it free be

strategies offers, discounted best, be the with works here. and job Some and We're we'll on right? what come up learning will the

the mean, is that this so is many subscribers we've just signed I fact But substantial.

it's day. proof $XXX total $X million, out pool our love going I and really the of you amazing model million continue. seen cars. deliver of much not $X line. are to to whether part a it's going service sign supported how how where that's telltale people can that they're we're right, an of than I signed You've they of shows We can't service, And down the like a more month, times way right, using subscribers loyal or minutes, a imagine three even ad to sign and it for it of think more average the our allocated XX XX% be a will ever is It

Brian Kinstlinger

I've Last PodcastOne. related Okay. got to question

new You've talent. for number this added new a of quarters. in about talked We've shows

on revenue to to X as it revenue to streams. your X, anything months Maybe ago, what's delaying stabilize strategy? given affected onboarding XX increase months, start going are margin fast over start last up these all twice talk XX changed eventually the offset shows as gross new that drive [indiscernible] at the about costs would have would the dynamics, to as content. has And and revenue Your

Robert Ellin

you industry whether takes signing or XXX when money, XX right now in deals, Not advertisers is you The days. not, at some you're have them. to right? to what upfront it there's these all. pay onboard mean I like It time right,

public those And aggressive funnel land to So great the writing environment, and if people they're their right change to [indiscernible]. you a start once to you're going them, boom as got of that on you're company, now, got grab some that the revenue -- through right? right new I your challenging right? who It's Brian that are our it's margins now, and you have dynamic talking be of lower look And are even and So or right? worse, than see aren't believe about. also you You're right? audio talents for X it's streams and checks moving network us, them brand as to to sign network. get them, change you going even to right? right been sign grab months into see And all got And you've people you're right, you right? many eventually margins to there with grab, to as these, fit dynamically, can because into before. the will those at that You you now, That those going upfront, a contract over X

Brian Kinstlinger

that takes get we do start you Are the out? I XX%? we we about you months to Just the about maybe -- to follow-up think it get that. over see on mean, a margins When to XX senior that. reverse? significantly. you've when do do to cut time trend talk a how How year think Are back

Robert Ellin

You you so was I've talking the in Brian, right? the street watching today. doing you across sold the first deals. I doing many about the have revenues I we're They some are quarters. the the I'm of of right last they acquisition right? they we You the been One sorry, watch happening think that XXx it's X for doing now. sold billion from company, for wave, wildest and revenues. industries, were were bought revenues right? the million, So $XXX doing like same were same right? $XX

out right? And who smaller the Spotify, And there iHeart watched by Apple, are obviously out You terribly little there, Amazon Amazon, was own right? Apple, the companies with everybody struggling you with watch Sirius, then networks, there. issue, radio networks are their right?

Conan and to And big reality it's see Trump to the perspiration, how second where of When sell Red You're round around of for just see and all now got He you're come, that right? XXx moving to election starting it's changing go some of Media acquisitions. revenues, some he's sell is see the there probably to or because desperation and some he's see of podcasting he Rupert same, buy O'Brian has as yesterday, that it what revenues right? announced just of okay, talk, podcasting. starting is a right, XXx you world of amazingly podcasting, you the is from said television. some realized away back has had desperation podcast then well talent radio this losing for and all won the Head Murdoch

land we where world, under sit get we of micro-cap best we'll podcasters. start up, million podcasts. of true We So in million podcasts to $XX right, were the the world sit to sort in back as those of right, a one. guys big Maybe roll the the that $X

as come will in happen. back is the months. X X roll-up The form going a to better happen next change I the in again will then model acquisitions think pricing way these and dynamically to the

Operator

next line comes Your McGowan Partners. the question from Sean Roth Capital of with

Sean McGowan

questions A couple back the on of Tesla situation.

subscribers. supported of So running that? ad Are with up the yet any you and that you monetizing with Are advertising?

Robert Ellin

but service subscribers launched bit amazing got [indiscernible], We X, said, little may paid this right? take the then here, get you some X, a are not we we've of can a [indiscernible]. of an amount risk paid of will We to which all you -- just just the happened, December definitely right? because day subscribers, we signed touching

I So like sign of that in still it. of today we risk we knew in and still we'd subscribers. my X,XXX take $XXX,XXX to a adding couldn't tree, be adding bit would little we're wildest X,XXX day a believe ad-supported

this in So we the partnership world, advertising signed with programmatic biggest DAX, right? right company the

the some if But ago. the for just hoping you think they is okay? they There's that into farowners have just it. car, play, takes to software, Tesla technology Tesla to I really days upgrade coming We XX going Advertising they're relaunch and things right, sitting tell announced still in. today, have in kick their signed going paid of we XX if minimum these right? a you you'll that time, when XXX we're next to are a deal, ad start to free. days listen that beginning to see And opportunity, an realert, and I'm all it again

side. asked recently have $X just imagine do -- month way period traffic Spotify not they to can't I won't because can't be came to imagine long-term those XX-month convert was fully months, a more were building they on did in and were of XX% in and and then supported? within audience why they ad-supported, right, audience the be those answer that a asked we out paid of subscribers, just their that, And be more month ad higher X And I and they right? than an going to lock and to that we're advertisers. we'll X usage to expect understanding And traffic I able As and and of a $X be

to we're really building of year. into right, to have strongly. subscribers, explodes could revenues if I'm to our to back start then not quarter the Building hopefully convert we expecting going this base them and take guaranteed of off XX%. fourth is long-term and back that XX% XX%, second, But going third, advertising be that it

Sean McGowan

out with getting not are of not, gross isn't that even paying these it to and mean Is Like getting little to why might the Believe I was that of listening or more that the music labels actually a out are it. seeing your is, actually Okay. record how lower? revenue margin recorded? whack isn't surprising kind -- for right? what I actually why yet, listeners this you're be those the is question costs not really and sound

Robert Ellin

That some It's just it. have right? started. another yes, cost, right? some drive you're have is going element, before ad those that comes yet. but not some But cost, day you giant seeing We're pays XX So not that, you advertising going into supported days add until to in and absolutely for right? revenues, you're there you're to costs a really Every that

Sean McGowan

Okay.

So in yet bracing getting that margin but you see slacker period? performance in for pressure worse actually companies that because Like out not margin wouldn't myself you're the gross expect these record the revenue subscribers. to interim was for paying I a new

So the is paying levels just that to at much this are record -- not you very time?

Robert Ellin

XX not I the remember it's that. days No, ago. ad-supported

only right? you XX Yes. days it, have So of

last in So getting you're not that really quarter.

Sean McGowan

how of we revenue lot from a know that press lot made close we Last to a being Okay. to needle about You and that, like about close you How coffee, progress I saw a but than sources are other question. release around Slack moving? podcast? seeing talked are

Robert Ellin

a right? just be payday song know scissor so, #X us. publishing about would XXX% another but with a grew that don't our moving, exciting, business or got right? I for We big needle Publishing

better publishing know, to the get XXx own you to EBITDA value, know guys have as to are part anyone, These giant have don't revenues than in numbers. you huge Renaissance. [indiscernible], of you XXx You right,

with we publishing really see business. Split with Drummify. So our exciting Mine is It stuff happening and

first sold just launched couple in of a days Our ago. business, we day. the product our copies out We

is some would have to year a say this transformative I moves.

a to but No. take going to our dynamics to So going those the sold kind million, it trajectory, have to abilities television about absolutely. over our revenues? X this I going sold platform. ] but didn't it's on yes, be then next million? it it's the going talk think call, right, and major a on are we [ years, Vamamtown take $XX to of on we X up And streaming to be second we show, you our side, $XX Is

on So those that's that that sold now are three are sold.

extraordinary back and to mean, if of right? were television on XXX hit of risk, these shows, pure television the just tens to with risk dollars show those just increases of and for my fee the as tens you going I career they in You us. at right? have those, millions a really And going and be [indiscernible], they're hit If no movie royalty profit line deals. no bottom just

Operator

Mr. [Operator with time, will questions no call the turn Instructions]. at this closing for further And Ellin Robert to I back remarks.

Robert Ellin

probably So time radio thank you, I've for times everyone, but like them Again, here for has you exciting a a in right? in two decades as our some and Aaron dreams, in a this have of dreams, in this for better his ever team, partnerships, much management company, XX% we've award some is but product the that I and our much of no all of of been winning. never a There's I seen said call, time is wilder is in amazing few our joining transformative complicated part, mine this never wildest my as conversion. have BXB mean, thank Slack as one and a the guys an a sign telltale This reason seen been doing company how nobody the time,

have you XX to We're I survived the going fight live company do confidently came deals, thing of lost to out bigger them. these of them all next of months, years. our this. X business landing going to We're And them company first COVID, be stronger over ever. the looking is tell a and the struggle multibillion-dollar come X and out X to the here this bit. we They're pipeline. -- to We're through had We've BXB has little far. going to the in. a starting We're can same We if an in that X than announced opportunity you time so

landing the BXB and were built my And everyone of of say deals on turbine totally You BXB backs humbly. one companies keep deals. from [indiscernible], these I every digital this to

I've never had a $XX better. stock or to didn't go

gone If to or We they out know work I the market we very and really a you and back continue months. better. off market company the to multibillion-dollar never to This keep a is strikes. do. got when have We But see fight can different see want is us, through confident out we $XXX there. thanks time for when staying of and this world there. to lot over lightning that I take But XX We've times, is tell stock in I a and to Thank with everyone the a that shortly. thank here, you different buying just first XX the executing. focused, fight difficult us you'll joining next you. for stay If we'll this

Operator

and thank today's gentlemen, participation. for ladies and concludes this And we you call, your

You may disconnect. now

LiveOne (LVO) 14 Feb 252025 Q3 Earnings call transcript