Gaia Q3 revenue falls 12% but beats analyst expectations
GAIA•Gaia's third-quarter revenue fell 12% year over year to $22.03 million, above the $21.50 million analyst consensus. Its net loss widened to $3.0 million, and the company expects to return to positive free cash flow in the fourth quarter.
1. Revenue and loss
Gaia reported third-quarter revenue of $22.03 million, down 12% year over year and above the $21.50 million analyst consensus. The company posted a net loss of $3.0 million and a pretax loss of $3.08 million.
2. Business outlook
Gaia said the revenue decline reflected reduced acquisition of lower-ARPU members and a focus on direct subscribers. It said revenue has stabilized at a quarterly run rate of $21.0 million, member churn improved by more than 20% from the first to the third quarter, and it expects to return to positive free cash flow in the fourth quarter.
