Loop Media Inc.‘s fiscal fourth-quarter financial results showed an increase in revenue and a widening of its net loss.
The Glendale-based short form-video distributor reported earlier this month a net loss of $14.6 million (-28 cents a share) for the quarter ending Sept. 30, compared to a net loss of $13.1 million (-31 cents) in the same period a year earlier. Revenue increased by 400 percent over the prior year to $12.2 million.
The company attributed the revenue increase to more Loop Players deployed into the market, as well as the benefit from Loop’s Partner Platform business that was launched in May, according to a release.
Jon Niermann, chief executive of Loop, said that this was a transformative year for the company as it accelerated into its next phase of growth, capping off 2022 with a successful public offering and uplist to the NYSE American.
Most key financial metrics, including revenue and gross margin, have expanded significantly, and the firm’s growth this year has been exceptional due to increased penetration of Loop Players into the market, as well as the ramp of its Partner Platform business launched in May, Niermann said.
“There are more than 32 million small- and medium-sized businesses that can leverage our Loop players, compared to the 18,000 currently in circulation, which we believe positions us for continued revenue growth, margin expansion, and turning adjusted EBITDA positive in fiscal 2023,” Niermann added in a statement.
Adjusted EBITDA in the fourth quarter remained relatively flat at $ -2.7 million compared to the same period in 2021, the company’s release said.
The company’s content, which includes music videos, movie trailers, sports highlights, lifestyle and travel videos and viral videos, is available on the Loop Player in all of Loop’s out-of-home sites, which include restaurants, bars, casinos, cruise ships and other public venues.