Courtside Group, Inc. Common Stock Price & Performance (PODC)

Please refer to PodcastOne filings with the SEC for information about factors which could cause the company's actual results to differ materially from these forward looking statements. Including those described in Podcast One's Form 10 ks for the year ended 03/31/2024, filed by the company with the SEC on 07/01/2024 and subsequent SEC filings made by the company. You will find reconciliations of non GAAP financial measures to the most comparable GAAP financial measures discussed today in the company's earnings release. Which is posted on its Investor Relations website. The company encourages you to periodically visit its Investor Relations website for important [indiscernible] The following discussion, including responses to your questions, contains time sensitive information reflects management's view as of the date of this call, 02/12/2025. And except as required by law, company does not undertake any obligation to update or revise this information after the date of this [indiscernible] I'd like to highlight to investors that this call is being recorded. Podcast One is making it available to investors and the media via webcast and a replay will be available on PodcastOne's IR website in the Events section shortly following the conclusion of the call. Additionally, it is the property of the company and any redistribution, retransmission or rebog of the call or the webcast in any form without the company's expressed written consent is strictly prohibited.

Now, would like to turn the call over to Podcast One's President, Kit Gray. Thank you, and welcome to our fiscal third quarter twenty twenty five earnings call. As a reminder, we are not on a calendar reporting year and our fiscal year 2025 ends on March 31. Today, we will provide a brief overview of PodcastOne and the continuously growing podcast market and highlight our most recent successes before passing on to Aaron for the financial results. After his comments, I will close with an update on our strategic initiatives including our recent partnership with R19, Amazon's PodcastOne hosting service, and what we are looking forward to in the quarter's comp.

Lastly, we will open it up for Q and A. Podcast One is a premier podcasting network that has played a key role in the evolution of the PodcastOne industry since its founding in 2012. As the only pure play publicly traded podcast company in The United States, Podcast One provides a platform for top tier content creators offering comprehensive support across production, marketing, sales and distribution. Podcasting has become one of the most trusted and engaging media formats with over 4,000,000 podcasts registered worldwide as of 2025. The industry continues to grow with advertisers projected to invest over $2,400,000,000 in podcast advertising this year.

Podcast One is a sales network of over 500 of the largest advertisers to reach core demographics effectively and efficiently. Podcast One and its 196 shows are positioned at the center of its growth capitalizing on both the increasing audience demand and the effectiveness of podcast advertising as a high ROI media channel. Podcast One has been ranked as a top 10 U. S. Podcast publisher for the second consecutive month by PodTrak. With Monthly Unique U. S. Audiences of five point two million and sixteen point two million U. S. Downloads and streams. Podcasting continues to be a cultural relevant medium shaping conversations around major events. Previously, we saw its impact during year selections and more recently, it played a role in covering the recent California wildfires. As an LA based company, we witnessed the devastation firsthand. Members of our own team saw their communities destroyed and lives upended in a matter of moments. While much of the country watched the tragedy unfold on television, others turned to podcasting for unfiltered perspectives. Podcast One host, Adam Krollo, was among those directly impacted Displaced from his home, he turned to his podcast to share his experience in almost real time.

Broadcasting from my hotel room, he recounted the timeline of events leading to his evacuation the uncertainty surrounding the status of his condo, and the mixed reports he received. Despite the circumstances, Corolla used his platform to provide a raw while blending his sharp observational and often sarcastic style of storytelling and social commentary into this situation. With millions of impressions, NizMoment reinforced podcasting's unique ability to inform, engage and mobilize audiences in real time. Turning personal stories into powerful conversations that drive awareness, empathy and action. With our industry leading platform, we empower PodcastOne to reach their full potential by providing comprehensive world class support Our three sixty degree marketing capabilities drive growth and exposure. Enabling talent to focus on what they do best creating great content. This support includes access to studio space, marketing, production, editing, distribution and public relations. Additionally, our experienced direct sales team leverages long standing relationships with advertisers and brands seeking To connect, with the highly engaged audience of PodcastOne our platform. As a result, during the quarter, we were thrilled to sign Stasse Schroeder to the Podcast One platform in a multi year 7 figure deal. Along with being a New York Times bestselling author, reality television personality, Stasse has a captivated podcast audience for over nine years consistently ranking among the highest rated PodcastOne across platforms.

The acquisition reinforces Podcast One's mission to As part of this collaboration, Stasi will also be integrated into the PodcastOne extensive promotional and marketing initiatives multiple genres with plans to expand into live shows merchandising and adaptations. The majority of our revenue continues to be generated via our direct [indiscernible] with advertisers who want access to the unique audiences that we can reach on our platform. In addition to our direct sales team and programmatic ads, this strategic partnership with Amazon's ART19 announced in January creates a third core revenue channel for the monetization of our library of shows.

More on ART19 in a moment. To complement our core revenue channels, we also diversified our emerging revenue streams that provide additional avenues for high margin growth, while diversifying our revenue mix and service offering to the entire Podcast One ecosystem. We officially launched Podcast One Pro in conjunction with our new state of the art PodcastOne production studio in Beverly Hills. We have seen great success from major brands such as Boost Mobile and Microsoft, who want to harness the power of podcasting and rely on our technology and talent to make it happen. Podcast One Pro offers customizable services with a la carte options to meet exact production needs or a full three sixty solution.

The new studio enables creators to seamlessly produce record and broadcast their shows with unmatched clarity and precision. Another way Podcast One and its talent generate additional revenue is through live shows. Stasse Schroeder was among the first to expand her podcast into a live event format in 2019, quickly selling out subsequent tours in 2020 and 2023. We look forward to supporting Stasse and our other hosts in exploring live show opportunities in 2025. Now before going further, I'd like to turn the call over to Aaron, our CFO, to walk through the financial results for the financial third quarter. Aaron, Thank you, Keith.

As Kit mentioned at the beginning of the call, want to remind listeners that our fiscal year ends on March 31. Revenue in the fiscal third quarter of twenty twenty five increased 2% to 12,700,000.0 compared to $10,400,000 in the same year ago quarter. Operating loss in the fiscal third quarter of twenty twenty five was $1,600,000 compared to an operating loss of $2,600,000 in the same year ago quarter. This was primarily driven by lower non cash stock compensation expense. Net loss in the fiscal third quarter of twenty twenty five was $1,600,000 or $0.06 a share per basic and diluted share compared to a net loss of $2,600,000 or $0.11 per basic and diluted share in the same year ago quarter. Adjusted EBITDA in the fiscal third quarter of twenty twenty five was negative 9,700,000.0 compared to adjusted EBITDA of negative $400,000 in the same year ago quarter. The change in adjusted EBITDA was primarily due to timing of content acquisition costs. We ended the fiscal third quarter with no debt on our balance sheet And $600,000 of cash and cash equivalents as of 12/31/2024.

As we look ahead, I'd like to also briefly touch on guidance. We're pleased with the progress this quarter and given the revenue generating deals that are currently in place for fiscal Q4, along with the equity based revenue share deals with certain podcast talent also starting to be effective in fiscal Q4, are comfortable reaffirming our fiscal twenty twenty five guidance. We expect revenues for the full year to be at least $51,000,000 representing an increase of at least 17% when compared to revenues of $43,300,000 in fiscal twenty twenty four. Given the continued strong double digit revenue growth, we also project positive adjusted EBITDA for the full year of fiscal twenty twenty five.

Now like to turn the call back to Kit for some additional comments on the quarter before wrapping up with questions from the audience.

Thanks, Aaron. As highlighted, the momentum we're building continues to drive meaningful financial results which is a direct result of our extremely scalable platform and One of the biggest strategic and financial partnerships took place in January with the move of our library of shows to Amazon's podcast hosting service [indiscernible] This move underscores our commitment to innovation and delivering exceptional value to our talent advertisers, listeners and shareholders. By partnering with Amazon's Art19, we are not only future proofing our hosting needs, but unlocking new growth opportunities by leveraging their cutting edge technology and advertising opportunities. For the listener, there will be no change. They will still be able to access PodcastOne hit shows wherever they choose, including Spotify, Apple PodcastOne or YouTube.

But for PodcastOne is a big change and I would like to review some of the key As an overview, Amazon has already invested heavily in podcasting acquiring both Wondery and R19 in the last few years. While Podcast One is now using R19's hosting service, ART19 is paying us for access to our library of shows. Secondly, there are operational and technological advantages. [indiscernible] advanced CMS content management system will improve efficiency, reducing the time, and resources spent on back end technology allowing us to sunset most of our technology used for hosting leading to cost effective savings and increased efficiency on our staff. ART19 can provide enhanced analytics, including geotargeting and audience insights and targeting. Amazon's ongoing investment in PodcastOne technology should bring future advancements to ART19's On top of that, we will see revenue growth and stability. Podcast One will receive a minimum guarantee revenue stream of $15,000,000 over three years and as PodcastOne scales its network and impressions, the minimum guarantee increases. Ensuring upside potential. This will allow us to better forecast the value it shows and improve cash flow predictability. ART19 acts as a complement to our current sales team and programmatic ad sales leading to an increased in revenue through R9 teams integration with Amazon's advertising ecosystem.

Amazon can package Podcast One's inventory with their premium ad offerings, across podcasts and Amazon Prime TV creating additional revenue streams beyond our reach [indiscernible] We also have a competitive edge and M and A potential. The deal strengthens Podcast One's position as a top 10 podcast network, aiding in talent acquisition by providing better monetization forecasting. It has the potential to open Podcast One up for future partnerships with Amazon, ecosystem as podcast hosts flock towards video towards watching their favorite hosts not just listening. Overall, the partnership with Amazon's R19 provides immediate financial multiple revenue growth opportunities, better technology and a stronger competitive position making it a significant milestone for PodcastOne all while aligning with Podcast One's long term growth strategy and reinforcing our leadership role in the evolving podcasting industry. In closing, we delivered a strong fiscal third calendar fourth quarter achieving double digit revenue growth once again. In fact, this was PodcastOne largest revenue result for the period. The momentum continued into the start of calendar twenty twenty five, marked by major accomplishments, including the collaboration with Amazon, the retention and extension of flagship PodcastOne from Adam Carolla, Brendan Schum and Caitlin Bristow. Podcast One now hosts 196 shows having added 64 new programs in 2024 and ten exciting new shows in last quarter alone.

Podcast One's talent roster continues to expand supported by a debt free balance sheet and a multiple accretive growth opportunities. We are actively evaluating M and A prospects not only to acquire top content networks, but also to enhance our platform with production sales and technology acquisitions that strengthen our offerings for hosts and advertisers. Podcast One remains the only pure play publicly traded podcast company in The U. S. Our expanding content portfolio, strategic partnerships and revenue diversification efforts continue to create long term shareholder value. Thank you for joining us. And at this time, I'd like to turn the call over to the Operator, Thank you. We will now begin the question and answer session. Your first question comes from the line of Sean McGowan from ROTH Capital Partners.

Good morning, guys. Can you hear me okay?

Yes. Hey, Sean. Good morning.

Aaron.

Yes, a couple of questions. So So you've talked in the past about cost of sales reflecting content acquisition costs.

So I gather from you reaffirming the guidance that you comfortable that that's going to go down a lot in the fourth quarter. So what drives that? Is it just simply the timing or is there something else behind that? [indiscernible] one, Kit. Yes, correct, Sean. It's timing. We had a few revenue deals we were expecting in Q3 that kind of moved into Q4. We had the kind of the content cost or the minimum guarantee in Q3 that we had to [indiscernible] pay to our talent without that revenue coming in the same quarter. So it's really a a timing thing.

Okay.

And then in G and A, the the level of G and A spending seen in the third quarter, is that what we should expect around that level to continue or were there unusual positives and negatives in the quarter there? We came in a little lower than we thought. It should be pretty consistent with that Sean. Okay. And maybe a couple of questions for Kit. So where and maybe you too, Aaron. So where in the P and L would we see the financial benefits of working with ART19 Is it multiple places or is it primarily in the cost side or where do you see that? I'll I can take this and you can yeah. Go ahead. Go ahead. Yeah. Go ahead.

Okay. Sorry. Yeah, you're going to see it with some cost efficiencies on our operational side of things, right? So there'll be less cost for our team to run tech and do some stuff there. So a lot of efficiencies there and I'll have our team be working on some other projects not as much on that, which will be great. And then you'll see like I mentioned in the call, revenue growth.

On a consistent basis. We'll have payments coming in from R19 based on that minimum guarantee audience threshold that we'll have. And then as we scale up, there'll be more revenues on that. So those are the I think you'll see that ancillary, which won't be as clear, I believe you'll see pressure on our CPMs for more demand, right? If we have effectively three units, our direct sales team the R19 Amazon team and the programmatic channels monetizing our impressions It all should work where all ships rise, right? So we'll see hopefully higher CPMs as we continue working with them. Aaron, I don't know if you want to add anything to that.

No, I think you covered it. Just maybe to clarify a little bit for you, Sean, there will be a small impact in sales and marketing, right, because that's where some of commission is. So Yes, obviously, that's a variable expense. If we've got more revenue flowing through there, you'll see a little bit more expense there. But on the G and A side where the kind of the hosting and operational costs are, you'll see A drop in that particular line, but exactly what Kit said.

Okay. And last question for you, Kit. So I think everybody looking into PodcastOne podcast world got a kind of an eyebrow raising positive surprise on the impact that podcasting seems to have had in these various events that you cited the election, the fires. How has that changed the competitive landscape? Are you seeing it seemed like last year this time last year, there was maybe a retreat by some of the major players diminishing their commitment or not renewing at the same levels, some of their content. Has that shifted now? And are you seeing competition kind of increase or get more aggressive No, I mean, this is Mac activities out there, right? Like I think if you read the news, Red Sea Ventures did deal [indiscernible] Over the last couple of days. So there's definitely still activity in the M and A space and we'll be a player in those type of deals as well moving forward.

So I don't you're not really seeing that. What you're seeing is just more people listening and the medium strengthening and more dollars being spent into it, more attention by advertisers, more attention to good brands Obviously Amazon, no one bigger than them. And investing in relationship with us and continuing their their commitment to PodcastOne, I think, is is huge. So I only think it's really helping everybody just keeping the medium exciting. Keeping advertisers in there and just getting better based on on using technology and working with great talents who not only do audio like we have for years, but the video aspect of things and social media and events and things like that as well.

Thank you very much. Appreciate that.

Good to hear from you, Sean. Talk to you later. Your next question comes from the line of Leo Carpio from Joseph Gunnar.

Your line is open.

Good morning, gentlemen.

Couple of questions regarding the quarter. Can you tell us about in terms of the quarter's revenues? It ad activity driven? Was there some sort of seasonality in thinking of the third quarter, people are going to be back from the beach?

There's new content being placed on the platform, And then how does that drive and think about for the fourth quarter in terms of the ARPU that you're projecting to hit your guidance?

I can tell you this. You always are going to see seasonality in terms of consumption, production and really ad spends, they're all a little different.

In November and December where people are taking some time off to be with their families. Maybe they're not as producing much content, but we can leave that advantage because we can bag content in advance.

But as far as advertisers, they go heavy because that's when people are spending money. So we had some good pickup in sales and some of our new shows like Stasse, as we mentioned, did really well. I'm looking at January and things are looking pretty good. We're we're fighting through January is always a little slow based on [indiscernible] numbers and nice direct sales on that front.

The transition to ART19, Amazon's ART19 is is taking place right now. So we're in we're in that phase and we'll see how that starts to roll out in this quarter, but like we mentioned, we should be we're pretty comfortable hitting those numbers that we quoted for the quarteryear. Okay. And speaking of Art Knight, when are we going to see the real financial impact of the transition? Will it be like the next I mean two quarters from now and the beginning of twenty twenty six, or more of summer twenty twenty five calendar effect.

No, you'll see it start to take place in the quarter that we're currently in.

To we're transitioning all our shows right now over to there, but there's guarantees to start up and they're pushing hard to already get that inventory out to their sales team and in their system as well. We talked to them almost on a daily basis, so that's ramping up nice [indiscernible] are staying and put too. So that should help. And as always, our direct sales team is doing their job Okay. And then sticking to the to the prior question regarding competitive environment for talent, how does ART19 enhance your physician versus say Spotify, Apple, does having Amazon and our team behind you helpful in negotiations going forward and Isahal? Yes, good question. It does help us because we're able to kind of forecast, like I mentioned, like three revenue generating channels [indiscernible] Rather than two. And we'll really have a more of a science on understanding the value of shows just based on pure numbers, right? How many downloads you have a month? We'll be able to kind of look at how that's valued from those three channels, right, not just two, which should help us calculate that. It should effectively make shows more valuable to us.

So in turn, that will help us hopefully get some more shows with better deals based on the ability to know we have cash coming in every month, we know the value better than we have before on what these shows could bring in. So that'll really help us on that front. As far as the technology and the The use of their ad serving technology it's great. I mean, the system that we were on currently was good too. This is comparable, if not better, But that's where you'll start to see some advancements with Amazon over the next couple years on their EMS and ad serving capabilities. There are cool things that they can do, like you can cap commercial loads to end users. You can You can switch out copies. So if they've heard it in things like that that we can offer advertisers.

So that'll take place over the next couple of months. But yes, we're excited about that. I mean, it's always easier saying you're hosted by a company like Amazon rather than your own thing. So that also will help. But we're excited about it. It's a huge deal. We as a company spent the better part of all last year analyzing all the major platforms and potential revenue generating cost saving aspects of the deal. And we really felt comfortable with Art 19 and Amazon's Art 19 and how they're structured, their team, their service their and how they're working with us. So a guy I did a deal with, Andy Slater, he's been a good friend of mine for twenty five years in the radio business. So he's great and it seems great and we're really excited about the deal.

Okay. And then last question, I don't know if you saw this [indiscernible] adding video content to their platform, a video podcast to their platform. Any sense in terms of how you might respond or too early to tell?

Well, they should have gotten into this a lot longer, while ago. If you look at all the video companies out there, YouTube is now the number one platform for consumption of PodcastOne listening, right? So Spotify is investing heavily in the video aspect as well. There are some issues with that, good and bad.

Discovery is great. Some of the ad dynamics are tough. That's hard to control.

But Netflix absolutely should be involved in this too.

The fact that they haven't gotten more into some of their shows having recap shows and if you look at some of the great podcasts out there where they're it's seventh on Apple, I mean, these are big podcasts.

Now that people watch the TV show and then want to get involved in the communities. So Amazon should be involved in that. They also would be involved in the IP side of things, right? It's a a very effective way to prove concept on a potential movie or television show and So they should definitely be involved in the podcasting space So I'm excited to see that they're in there and hopefully we have some good talks with them moving forward. But I did, yes, I saw that note just a day or two ago.

That's exciting.

All right. Well, thank you, gentlemen, and I'll go back in the queue. Thanks, Lia. Next question comes from the line of Tom White from D. A. Davidson.

Line is open.

Hey, this is Clyde Swanson on for Tom. Thanks for taking our questions.

Could you talk a little bit about how ARK19 helps to drive your programmatic advertising and maybe your expectations of how that ramps up over the next twelve to eighteen months?

Do you kind of expect programmatic adds to out pace direct sales or how should we think about that?

Good question.

Thanks for jumping on and appreciate the time. So no. Amazon really doesn't have anything to do with the the programmatic side of things. And it basically goes like this. So if you have three channels, right, how I mentioned our direct sales team, you've got Amazon's deal, their sales team basically and then you have the programmatic desk. It's kind of a waterfall, right? So we have access to our inventory like no one else does. We have that first. And typically that's because we know our CPMs on direct sales deals would be we're able to use the talent to voice ads, choose particular shows, particular programs, use the technology to get higher CPMs in terms of behavioral targeting or or geo targeting or gender targeting, whatever that might be. That's our primary area where we'll make most of our revenue. I still think that's where it's going to be. That's where for at least the next eighteen months for sure. That will still lead to lead the way and I believe that'll still lead the way no matter what. Amazon then will be the second funnel in terms of impressions they get to access And then after that, it will be the programmatic side of things.

Now Amazon will be, hopefully selling higher CPMs than programmatic. Programmatic revenues are are CPMs are typically in that $8 to $12 range. Amazon's hopefully would be higher than that.

Why it will increase to your question both on the Amazon side of things and programmatic and and even the digital side of our sales team revenue channel is because every episode that goes out It stays in list forever, right? So you can we're now monetizing [indiscernible] Annie's cold case files and you know, Kelsey and the lady gang are having another year. So we keep building our library and more and more people are finding out how great podcasting is and they're going back and consuming all these shows. So we'll have an advantage is as our library and impressions grow we'll be able to have those three channels in there funneling in as much money as possible.

That gave you kind of an answer on the on your question. Or helped you out.

Got it.

Yes. That's very helpful. I appreciate it. And then I just have one follow-up. Yes, program sorry, one programmatically, you're looking to see big money, I'm sorry, just to add to it, you're still going to see more money going in that space again big brands are really excited about the podcast end user. Right? And And I believe with the political change in our country, there's not going to be as much restrictions on who's saying what, where for these brands if they want to reach people. I think that'll help. I also think you're going to just see more and more in the audio space as as audio catches up with video banner network programmatic capabilities and that's what we're seeing. So I still think you'll see some great revenue growth on the programmatic channel as well.

Got it. That's helpful. I appreciate it. And then I just had one follow-up. I was reading about Launchpad one.

It seems like a really interesting way to discover new talent. As it relates to ART19, given that you're like sunsetting most tech used for hosting, Would you maybe expect an uplift in users joining Launchpad to host their podcasts or do they host through ARC 19 now or just how should I think about that?

Yes. We're still going to be working with our old company to still run Launchpad and DuraLaunchpad. And I agree with you, it's still a very exciting free ability to host podcasts and we'll be doing some things this year. A couple of years ago, we did kind of find your next great podcast show where some of our great podcasters PodcastOne great, some of the shows and so forth. We'll be doing some things like that to grow that. And expand on the tech there too, right? So that we don't have to spend as much time on all the other stuff that we're doing because ART19 is taking over some of it, we'll be able to still do those things. So, yeah, Launchpad is definitely on our radar today. Focus more of our time and efforts in moving forward. [indiscernible] Thank you very much.

Thank you.

And your final question today comes from the line of Barry Syne from Litchfield. Your line is open. [indiscernible] Guess.

I want to talk about the content Kit, maybe you can talk about what podcasts are really hot right now? What's up coming? What new podcasts have you added? That you're really excited about and what's on the runway or potentially give us a sneak preview of what you might be adding over the next month or two?

Yes, sure. I highlighted Sassi and Vanderpump actually starts up again shortly. Vanderpump is like a phenomenon. We've got two shows that are focused on that, soon to be three, based on a partnership ending and doing their own shows with [indiscernible] so that's really killing it. And Kale, [indiscernible] the killer network inside of podcast one, with current network of shows they're also launching another shows associated with that as well. So those are that's our wheelhouse. When we look at female programming, moms, that's still what people are always for in terms of advertising and the audience is really expanding there. So we will continue to focus our efforts on shows like that.

We have over 100 shows that we're talking to right now, many of them fit in that world as well as true crime. You know, a ton of true crime shows out there that are really exciting and fun and we've got a great true crime network that a lot of them will fit into. We just launched this past week A and E's Ancient Aliens. It's actually the History Channel, which is under the A and E umbrella. So we're part of that family now. We've worked with A and E for almost eight years.

Cold case file has survived and a couple others. But I'm really high on this show. I think that the alien phenomenon is tremendous. There's some great stories and everybody has an opinion on these things. And recently there's been some alien stuff coming up on the news. So I think that's a really good one. We've got the power of A and E and their TV. And so it's media behind that as well. Those are some of the ones we're really excited about. We're going to be continuing the path of the Farnam Towns of the world and owning IP and continuing to grow that that library and reaching out and trying to sell more of those shows to networks for second window type opportunities or great focus on our company on that as well. So those are a couple of them.

But we're really excited about the network and the opportunities coming forward and I think we're positioned really well. Okay. And just, elaborating on some of the things you said in terms of some of the female programming. I know, for example, Lady Gang has a three day weekend event coming up in September. I don't think you guys are actually running that, but presumably that has spillover effects in terms of popularity and advertising Anything on that and any other special events in addition to just podcasts you may have in the works?

Yes, we're going to be involved in that. That's actually you guys know where I live in Florida. It's maybe ten minutes from where I live.

Here in in Destin, Florida. And, yeah, we'll so we're going to be involved in that. I'm actually meeting with the Kelsey and I from Lady Gang next week about finalizing some deals and some ideas down here. That's a cool event and we'll be doing more of those types of things with our talent. If you notice on the roster, you'll see Caitlin Verso, AD Gang, and, Sassi.

Right?

So there's other great podcasts that aren't podcast one, PodcastOne Office Ladies and a couple others, but those are three of our biggest most powerful shows. All here. So we're going to do some fun things and be involved in that. It's cool. I mean, that's what you can do. When you have a podcast community or you have community, you can drive things like chat, where there's going to be a weekend of content, music, the graph is coming down, there's there's going to be eating and yoga and paddle boarding and really just kind of a fun event. So podcast one will be, you know, involved in that as well.

And turning to emerging monetization, things like movies and so on, Where are we in terms of a composition of revenue? I assume 95% or more of revenue is still traditional advertising sales. And that the emerging streams are not that significant. And then on a forward looking basis, are there any negotiations in process? I'm not asking specific which specifically, but what's the forward looking view on emerging monetization?

Yes. So I think when you look at advertising, it's still going to be a big, big part of what we do. It's 9095.

It's more [indiscernible] involved in that. With some you're hedging your bets a little bit if you look at that on financial side of things. So that protects us a little bit. Podcast One PodcastOne, is ramping up. I mentioned to which is I think I believe I saw they have a TV commercial around the Super Bowl as a growing brand.

We've got a great show with them Motor Trend continues. They're now going to be in their fourth season with us.

That's a really nice business. So we're focusing on that and that will help us with our margins quite a bit because we have the talent booking and the infrastructure in terms of producers, video, audio. So when we charge people for that, it's our margins would be really nice. So that will be something else that will continue in merch, shows, owning [indiscernible] doing stuff with a liquor brand and a coffee now. So we're going to be doing more of that for some of our partnerships in the in the talent space. So over the next year, year and a half, we'll start to see that change a little bit. But again, the advertising is really our Okay, great. Thank you.

Sure. It's Sakya. Thank you, Barry.

And that concludes our question and answer I will now turn the call back over to management for closing remarks.

Hey, guys. Thank you so much. I really One, we'll be at the Roth event in March and we'll be constantly updating everybody on things as they happen and we the quarter, Again, we appreciate your time and look forward to hearing from you guys soon. Take care.