WildBrain (WILD) Q3 2026 earnings summary

Executive summary

• Completed sale of Peanuts interest, using proceeds to fully repay corporate term debt, strengthening the balance sheet and enabling launch of NCIB share repurchase program.

• Strategic focus sharpened around franchise and global licensing, content, and WildBrain Network, with a new reporting structure to follow.

• Core franchises like Strawberry Shortcake and Teletubbies showed strong global momentum, with licensing, retail, and digital engagement growth.

• Expanded partnerships with major brands, including Dr. Seuss, Sega, and Rovio, reinforcing global licensing leadership.

• Launched new Strawberry Shortcake content and executed multiple fan engagement initiatives.

Financial highlights

• Revenue from continuing operations was CAD 61 million (or $61.2 million), down 16% year-over-year, due to lower production activity and digital platform revenue.

• Global Licensing revenue rose 35% to CAD 25 million (or $25.1 million), while Content Creation and Audience Engagement revenue fell 33% to CAD 36 million (or $36.1 million).

• Gross margin improved to 46% from 33% last year, driven by higher-margin licensing revenue.

• Adjusted EBITDA from continuing operations was CAD 6 million (or $5.8 million), up 38% year-over-year.

• Net loss from continuing operations was CAD 14 million (or $19.9 million), compared to CAD 19 million (or $18.6 million) in the prior year.

Outlook and guidance

• Guidance for fiscal 2026 remains paused due to recent transformation and Peanuts transaction; guidance expected to resume for fiscal 2027.

• Investments in organizational design, automation, and technology are expected to improve scalability and margins, with benefits anticipated from 2027 onward.

• Fiscal 2027 expected to benefit from new content projects, including a second season of a successful Netflix series.