Thunderbird Entertainment Group (TBRD) Q4 2024 earnings summary

Executive summary

• Fiscal 2024 ended with three consecutive profitable quarters, exceeding forecasted targets and returning to profitability despite industry headwinds.

• Q4 revenue rose 37% year-over-year to CAD 51.8 million; full-year revenue slightly declined 1% to CAD 165.3 million.

• Strategic review concluded with a decision to pursue internal growth plans, remain a standalone public company, and explore uplisting to the TSX for increased visibility and liquidity.

• Robust content pipeline and strong industry relationships position the company for future value creation.

• Cost-saving measures delivered over CAD 3 million in savings, reducing the fixed cost base.

Financial highlights

• Q4 revenue was CAD 51.8 million, up 37% year-over-year, driven by strong licensing, distribution, and production services.

• Full-year revenue was CAD 165.3 million, slightly below last year but ahead of guidance.

• Q4 net income was CAD 2.5 million, compared to a loss of CAD 2.6 million in the prior year; full-year net income reached CAD 2.4 million, reversing a net loss of CAD 5 million last year.

• Adjusted EBITDA for Q4 was CAD 7 million (vs. CAD 0.7 million last year); full-year Adjusted EBITDA rose 30% to CAD 16.7 million.

• Free cash flow for the year was CAD 6.6 million, up from CAD 4.3 million last year.

Outlook and guidance

• Targeting 20% revenue growth and over 10% Adjusted EBITDA growth for fiscal 2025, supported by a strong content pipeline and stabilizing market.

• Adjusted EBITDA margin expected to grow more slowly than revenue due to a higher mix of lower-margin service work.

• Ongoing cost discipline and efficiency initiatives to continue in fiscal 2025.

• Free cash flow expected to improve in fiscal 2025.

• Revenue growth expected to be weighted toward the second half of fiscal 2025.