Blue Ant Media (BAMI) investor relations material

Executive summary

• Q1 2026 marked the first full quarter post-reverse takeover and multiple acquisitions, expanding studio operations and global streaming presence.

• Revenue grew 65% year-over-year to $80.5 million, driven by strategic acquisitions and strong performance in production, distribution, and global channels.

• The business model now features diverse, recurring revenue streams, strong cash conversion, and a global footprint with content sold in over 100 countries.

• Maintained a strong cash position ($34 million at Q1 2026) and minimal debt, with five consecutive years of positive operating cash flow.

• Net loss of $6.8 million versus net income of $1.2 million in the prior year, mainly due to non-recurring RTO-related accounting items and acquisition costs.

Financial highlights

• Q1 2026 revenue reached $80.5 million, up 65% year-over-year from $48.7 million, driven by a 259% increase in Production & Distribution.

• Adjusted EBITDA was $5.0 million, down from $6.4 million in Q1 2025, impacted by non-operational items.

• Net loss of $6.8 million, impacted by a $3.1 million non-cash loss on VTB Note sale and $3.4 million in transaction/restructuring costs.

• Cash from operations was $5.2 million; cash on hand totaled $34 million at quarter-end.

• Significant repayment of $19.1 million to operating debt facility, reducing interest expenses.

Outlook and guidance

• Expects to receive a $34.7 million capital contribution from Fairfax by March 2026 if certain EBITDA targets are not met.

• Anticipates closing the Thunderbird acquisition in Q1 2026, with shareholder and court approvals scheduled for January.

• Management expects stronger performance in the second half of the fiscal year due to seasonality and post-acquisition synergies.

• Pipeline of M&A opportunities as sector consolidation continues.

• Expects continued growth in digital video consumption and ad spend, focusing on scaling streaming ad sales and expanding global brands.