Angel Studios (ANGX) The 38th Annual Roth Conference summary

Business model and platform differentiation

• Operates a values-driven streaming platform where a 2.2 million-member audience guild votes on content selection, setting it apart from traditional Hollywood models.

• Achieves the highest audience scores on Rotten Tomatoes, with a 93 average, surpassing major competitors.

• Shares revenue upside with producing partners, unlike standard industry practices of fixed payments.

• Offers a broad content library spanning genres such as animation, thrillers, rom-coms, historical dramas, and faith-friendly adventures.

• Focuses on surfacing and distributing content rather than producing or owning most titles, with rare exceptions for strategic acquisitions.

Audience growth and market opportunity

• Grew from 8,000 to 2.2 million guild members since Q4 2023, with over 100 million app downloads and 1 billion annual views for flagship content.

• Targets the expanding global streaming market, projected to reach $865 billion by 2034, while currently prioritizing domestic growth.

• Attracts diverse audiences by expanding genres and featuring high-profile talent, aiming for mainstream scale comparable to leading platforms.

• Theatrical releases are key for member acquisition and filmmaker attraction, but not the main profit driver.

• Strategic goal is sustainable guild growth with a guided reduction in adjusted EBITDA loss to under $25 million in 2024 from $138 million in 2023.

Content selection and partnership strategy

• Guild members participate in content selection by voting and providing feedback through the app, ensuring only titles with high scores are released.

• Uses a 24/7 film festival model, leveraging audience feedback to de-risk titles and improve product-market fit before major marketing investments.

• Expanding library through third-party licensing, including deals with major studios like Lionsgate, Samuel Goldwyn Films, and StudioCanal.

• Paid out $228 million in cumulative royalties to filmmakers, creating a strong incentive for content partners.

• Most content is acquired via partnership agreements; direct ownership is reserved for proven, high-engagement titles and is not a long-term strategy.