Dolphin Entertainment, Inc. reported its financial results for the nine months ended September 30, 2024, showing significant changes in revenue, expenses, and overall financial health compared to the previous fiscal period. The company generated revenues of $39.4 million for the nine months, up from $31.1 million in the same period of 2023, marking an increase of approximately 26.5%. This growth was primarily driven by contributions from its subsidiaries, particularly 42West, and the inclusion of $3.2 million from the acquisitions of Special Projects and Elle Communications.

For the three months ended September 30, 2024, revenues reached $12.7 million, compared to $10.2 million in the prior year, reflecting a 24.6% increase. The content production segment also saw a boost, with revenues rising by approximately $3.4 million due to the release of the documentary "The Blue Angels."

Despite the revenue growth, total expenses surged to $48.5 million for the nine months, up from $43.2 million in 2023. The increase in expenses was attributed to higher payroll and benefits costs, which rose by approximately $2.2 million, largely due to the integration of new acquisitions. Additionally, the company recorded a goodwill impairment of $6.5 million in Q3 2024, linked to declines in market capitalization and ongoing net losses.

Dolphin Entertainment reported a net loss of $10.6 million for the nine months ended September 30, 2024, an improvement from a net loss of $14.8 million in the same period of 2023. The loss per share for the nine months was $1.07, compared to $2.22 in the prior year. For the third quarter alone, the net loss was approximately $8.7 million, compared to $3.9 million in Q3 2023.

The company’s cash and cash equivalents decreased to $5.7 million as of September 30, 2024, down from $6.4 million at the end of 2023. Cash used in operating activities also improved, with a net cash outflow of $1.0 million for the nine months, a significant reduction from $4.9 million in the previous year.

Strategically, Dolphin Entertainment completed the acquisition of Elle Communications in July 2024 for approximately $4.8 million and Special Projects in October 2023 for about $10.4 million. The company also ceased operations of Viewpoint Computer Animation during the reporting period. A reverse stock split of 1-for-2 was executed effective October 16, 2024, aimed at enhancing the stock's marketability.

Overall, Dolphin Entertainment's financial performance reflects a mix of growth in revenues and strategic acquisitions, alongside challenges in managing expenses and operational adjustments.