Gaia | 10-Q: FY2025 Q3 Revenue Misses Estimate at USD 24.98 M

Revenue: As of FY2025 Q3, the actual value is USD 24.98 M, missing the estimate of USD 25.23 M.

EPS: As of FY2025 Q3, the actual value is USD -0.05, missing the estimate of USD -0.0475.

Segment Revenue

• Revenues, net: For the three months ended September 30, 2025, revenues were $24.984 million, an increase from $22.028 million in the same period in 2024. For the nine months ended September 30, 2025, revenues were $73.456 million, up from $65.197 million in 2024.

Operational Metrics

• Gross Profit: For the three months ended September 30, 2025, gross profit was $21.574 million, compared to $18.957 million in 2024. For the nine months ended September 30, 2025, gross profit was $63.827 million, compared to $55.608 million in 2024.
• Operating Expenses: Total operating expenses for the three months ended September 30, 2025, were $22.815 million, compared to $20.119 million in 2024. For the nine months ended September 30, 2025, operating expenses were $68.276 million, compared to $59.617 million in 2024.
• Loss from Operations: For the three months ended September 30, 2025, the loss from operations was -$1.241 million, compared to -$1.162 million in 2024. For the nine months ended September 30, 2025, the loss from operations was -$4.449 million, compared to -$4.009 million in 2024.

Cash Flow

• Net Cash Provided by Operating Activities: For the nine months ended September 30, 2025, net cash provided by operating activities was $3.908 million, compared to $4.264 million in 2024.
• Net Cash Used in Investing Activities: For the nine months ended September 30, 2025, net cash used in investing activities was -$6.361 million, compared to -$13.881 million in 2024.
• Net Cash Provided by Financing Activities: For the nine months ended September 30, 2025, net cash provided by financing activities was $10.755 million, compared to $6.216 million in 2024.

Unique Metrics

• Average Revenue Per User (ARPU): The increase in revenues was primarily driven by improvements in ARPU due to the increase in subscription prices and an increase in member count.

Future Outlook and Strategy

• Core Business Focus: Gaia, Inc. plans to grow its subscription business both domestically and internationally by expanding its unique and exclusive content library, enhancing its user interface, and extending its streaming service to new internet-connected devices. The company aims to create a conscious community built around its content.
• Non-Core Business: The company completed an acquisition of UTV L.L.C. to acquire content, expand market presence, increase member base, and market to a core growth audience focused on conscious lifestyle.