Business
RLJ Entertainment reports financial results for Q3 ending September 30, 2013
Robert L. Johnson, Founder and Chairman of The RLJ Companies
RLJ Entertainment Inc., has released the results for the third quarter ending September 30, 2013. Full detail of the financial results as well as Management Discussion and Analysis, or MD&A, can be found in the Company’s Form 10-Q filed with the Securities Exchange Commission (SEC).
RLJ Entertainment (which is part of the RLJ Companies) is a leading creator, owner and distributor of media content across digital, broadcast and physical platforms. The company leverages its branding expertise, access to content and direct to consumer skills to optimize the value of its programs for distinct audiences. RLJ Entertainment was formed in October 2012 through the business combination of RLJ Acquisition, Inc., Image Entertainment, Inc. and Acorn Media Group, Inc.
RLJ Entertainment is focused on driving growth through the development of interest-based entertainment services for targeted audiences in niche genres including British drama and mystery, urban, action/thriller, and fitness, by using new technologies to deliver that content to consumers.
Robert L. Johnson, Chairman of RLJ Entertainment stated, “The business continued to perform on plan this quarter and I am pleased to see the results of management’s focus on driving greater efficiencies across all areas of the business. With a capital reallocation strategy that will more effectively maximize the Company’s cash flow combined with strategic cost savings, the business is well positioned to execute on its strategic growth plan and to build shareholder value.”
Generally Accepted Accounting Principles (GAAP) Financial Results
The financial results for the three and nine months ended September 30, 2013 reflect the operating activities of RLJ Entertainment and its subsidiaries (referred to as the “successor” period). The results for the three and nine months ended September 30, 2012 reflect the operations of only the Acorn Media and its subsidiaries (referred to as the “predecessor” period). The comparative discussion below for these periods is based on Generally Accepted Accounting Principles in the United States (or U.S. GAAP) and the results for the 2012 predecessor periods are not indicative of, or comparable to, results for the 2013 successor periods.
The company has included in this release an extensive discussion and presentation of pro forma information in order to assist investors’ understanding of the Company’s ability to generate cash and grow and meet its financial commitments. The Company will not necessarily present this same level of disclosure on an ongoing basis.
GAAP Financial Results
Based on the consolidated financial statements as presented in the company’s Form 10-Q for the three months ended September 30, 2013, net revenue increased US$12.2 million to US$32.7 million. Net revenue for the nine months ended September 30, 2013 increased US$49.9 million to US$107.3 million.
