BEVERLY HILLS, CA - LiveOne, Inc., a company specializing in retail eating places, has secured a significant agreement with a Fortune 500 media conglomerate, expected to generate over $25 million in revenue for the 2025 calendar year. This deal represents nearly 20% of the company's current annual revenue of $127.8 million. The subsidiary of LiveOne entered into this agreement in December 2024, as reported in a recent 8-K filing with the Securities and Exchange Commission.
The deal marks a substantial financial event for LiveOne, which has been known under different names in the past, including LiveXLive Media (NASDAQ:LVO), Inc. and LOTON, CORP. The company, headquartered in Beverly Hills, California, is listed on The NASDAQ Capital Market under the trading symbol LVO. According to InvestingPro data, LiveOne has demonstrated strong revenue growth with a 5-year CAGR of 29%, though the stock has experienced a sharp 13% decline over the past week.
While the details of the agreement are not fully disclosed, the company's statement indicates optimism about the potential revenue boost. However, it is important to note that this forward-looking information involves risks and uncertainties, and there is no guarantee that the expected revenues will be realized.
InvestingPro analysis reveals several challenges, including weak gross profit margins of 24.7% and current short-term obligations exceeding liquid assets. For detailed insights and 8 additional key ProTips about LiveOne's financial health, subscribers can access the comprehensive Pro Research Report. Actual results could differ from these projections.
The financial information provided by LiveOne has not been audited or reviewed by an independent registered public accounting firm. Therefore, no form of assurance can be provided by Macias Gini & O’Connell LLP, the company's accounting firm, regarding these forward-looking statements.
Investors are reminded that forward-looking statements are subject to various risks, including the company's ability to maintain and grow its user base, secure content, and implement its growth strategy effectively. Legal proceedings and the company's continued compliance with financial covenants also present uncertainties.
This announcement comes as part of LiveOne's regular reporting obligations and does not represent any form of promotional material. The information is based on a press release statement from LiveOne, Inc. and reflects the company's current expectations and projections about future events as of the date of the report, January 10, 2025.
In other recent news, LiveOne Inc., a retail eating places company, is grappling with a potential Nasdaq delisting due to non-compliance with the minimum bid price requirement. Nasdaq has given LiveOne a 180-day period to regain compliance, and the company is actively exploring options to resolve this issue.
LiveOne recently reported Q1 fiscal 2025 revenues of $31.9 million and adjusted EBITDA of $5.1 million for its Audio Division, forecasting strong revenues of $130 million to $140 million and adjusted EBITDA between $20 million to $25 million for the same division in the upcoming fiscal year.
In other developments, board member Craig Foster has resigned to focus on other professional commitments. Notably, LiveOne has expanded its partnership with Tesla (NASDAQ:TSLA), integrating its streaming service into Tesla vehicles, and launched a new platform version, LiveOne 2.0, which could potentially triple the company's Average Revenue Per User (ARPU).
LiveOne has also entered into a multi-year partnership with TextNow and extended the maturity date for its promissory note tied to an asset-backed loan credit facility with East West Bank.
In an effort to support continuous product innovation and enhanced content experiences, LiveOne has increased the prices of its subscription plans. The company is also expanding its B2B partnerships and membership base, and plans to close partnerships with companies ranging from $1 billion to $1 trillion market cap by year-end. These are the recent developments for LiveOne.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.