Categories Earnings, LATEST, Leisure & Entertainment

It’s a flop show from Eros International in Q1

India-based media and entertainment company Eros International (NYSE: EROS) on Tuesday reported first-quarter results that missed analysts’ expectations, even as the global subscribers for its video-on-demand platform, Eros Now, more than doubled to 21.1 million.  

Net revenue for the quarter plunged 25% to $43.5 million, far below the Wall Street estimate of $66.74 million.

eros international earnings
Image courtesy: Eros International

Meanwhile, the company swung to a profit of 3 cents per share from a loss of 20 cents per share a year ago. Analysts had set the bottom-line target at 12 cents per share profit in Q1.

EROS stock fell 3.5% during pre-market trading hours. The stock has declined almost 80% since the beginning of this year.

The company said in a statement, “We are on the cusp of completing our transformation from the Film Studio model into a Digital-led OTT business with traditional Studio offerings and capabilities. While this will have an impact on near-term revenues, principally to our syndication business in the overseas markets, this will increase the premium nature of our content and ultimately increase ARPUs and loyalty of our customers.”

READ: NYU professor who predicted Amazon-Whole Foods deal forecasts death of Tesla, 4 others

For the full fiscal year 2020, Eros expects consolidated revenue in the range of $200 million-220 million, weaker than the Wall Street target.  Adjusted EBITDA is expected in the range of $80 million – $95 million and net debt in the range of $100 million – 110 million.

Eros plans to achieve at least 50 million paid monthly subscribers for Eros Now within the next three years.

 The company added that it has hired Citigroup to assist in reviewing strategic alternatives.  

Browse through our earnings calendar and get all scheduled earnings announcements, analyst/investor conference and much more!

Most Popular

INTU Earnings: Intuit Q1 2025 adj. profit rises on higher revenues

Financial technology company Intuit Inc. (NASDAQ: INTU) Thursday announced results for the first quarter of 2025, reporting a modest increase in adjusted earnings. The Mountain View-headquartered company’s first-quarter revenue came

Riding the AI wave, Nvidia looks set to stay on the high-growth path

After delivering strong results for the third quarter, Nvidia Corporation (NASDAQ: NVDA) this week said the launch of its new-generation Blackwell chip is on track. The company is thriving on

Target (TGT): A look at some of the challenges faced by the retailer in 3Q24

Shares of Target Corporation (NYSE: TGT) stayed green on Thursday, recovering from the stumble it took a day ago after delivering disappointing results for the third quarter of 2024 and

Add Comment
Loading...
Cancel
Viewing Highlight
Loading...
Highlight
Close
Top