There were 1,826 press releases posted in the last 24 hours and 397,701 in the last 365 days.

FG Group Holdings Reports Fourth Quarter and Full Year 2022 Operating Results

- 2022 Revenues Grow 53% to $41.2 Million -

Charlotte, NC, March 15, 2023 (GLOBE NEWSWIRE) -- FG Group Holdings Inc. (NYSE American: FGH) (the “Company” or “FG Group Holdings”) today announced operating results for the fourth quarter and full year ended December 31, 2022.

Operational Highlights

  Strong Entertainment annual revenues increased 54% from 2021. Quarterly revenue returned to pre-Covid levels with increasing demand from cinema customers. Favorable industry outlook for 2023 with robust studio release schedule and accelerating laser projection upgrades.
     
  Strong Studios successfully launched during 2022. First revenue producing project, Inside the Black Box, delivered in fourth quarter. Completed production on first major series, Safehaven, and expecting to complete postproduction and deliver in 2023.
     
  Equity holdings continue to execute their business plans in attractive markets. FG Financial Group, Inc (“FG Financial”) launched a merchant banking platform and closed several transactions. Firefly continues to execute on its growth plans, both organically and through acquisition. GreenFirst Forest Products Inc (“GreenFirst”) is well positioned as pure-play lumber producer in Canada and continues to strengthen its balance sheet, monetizing non-core assets and increasing its focus on its Ontario operations.
     
  Registration statement filed publicly with the Securities and Exchange Commission for initial public offering of the Strong Entertainment business.
     
  Completed name change to FG Group Holdings Inc. in fourth quarter to better reflect the company’s success executing its holding company strategy.
     

Mark Roberson, Chief Executive Officer, commented, “Our Strong Entertainment operating business continues to strengthen its market position, securing new exclusive relationships and increasing market share. The transition from xenon projection to laser will continue to drive industry demand, and with the studio release schedule returning to pre-pandemic levels, we are exciting about the next several years for our screen and services business.

“We are also very excited about the opportunity to scale our entertainment business and create long-term value in the content area. With the launch of Strong Studios, we are positioned squarely at the forefront of a streaming and exhibition industry that is rapidly evolving.”

Kyle Cerminara, Chairman of the Board, commented, “We believe we are building a valuable portfolio of businesses at FG Group Holdings. We remain focused on driving long-term value for our shareholders.”

Fourth Quarter 2022 Financial Review (Compared to Three Months Ended December 31, 2021)

  Revenue increased 17.4% to $11.8 million from $10.0 million. Revenue benefited from the continuing recovery in the cinema industry with our services business serving as the primary driver of the revenue increase from the prior year. We have increased the scope of our services to better support our customers and to increase market share in cinema services. Product revenue also increased as higher cinema screen sales during the quarter more than offset a large digital equipment order in the fourth quarter of 2021 that didn’t repeat in 2022. We also recognized revenue of $0.9 million from our first project in our new Strong Studios business during the fourth quarter of 2022.
     
  Gross profit increased 51.8% to $3.2 million in 2022 from $2.1 million in 2021. Gross profit margins were 27.5% as compared to 21.3%. The increase in gross profit was due to increased demand and revenue from our entertainment customers and favorable trends in product mix.
     
  Loss from operations was $0.4 million as compared to $1.3 million in the prior year. Operating results improved as a direct result of the rebound in revenues and gross margin in our Strong Entertainment business. Those improvements were partially offset by increases in operating expenses related to the launch of the new Strong Studios business.
     
  Net income from continuing operations was $1.4 million, or $0.07 per basic and diluted share, as compared to net loss from continuing operations of $0.4 million, or $0.03 per basic and diluted share, in the prior year. The improvement in results from continuing operations, was primarily the result of improved results of operations from our Strong entertainment group and more favorable gains from our equity holdings.
     
  Adjusted EBITDA improved to $0.6 million as compared to negative $0.7 million in the prior year.


Full Year 2022 Financial Review (Compared to Twelve Months Ended December 31, 2021)

  Revenue increased 52.6% to $41.2 million from $27.0 million. The recovery in the cinema industry progressed throughout 2022, which resulted in increases in both product and services revenue. In addition, increases in our market share for screens and services, and expansion of our product offerings also contributed to the increase. Exhibitors are in the early stages of a multi-year upgrade cycle, transitioning their auditoriums from xenon projection to laser projection, which helps drive demand for our products and services. We have also increased the scope of our services to better support our customers and to increase market share in cinema services. We expect the upgrades from xenon to laser to accelerate in 2023 and continue for at least the next several years. We also recognized revenue of $0.9 million from our first project in our new Strong Studios business during 2022.
     
  Gross profit increased 33.0% to $10.9 million in 2022 from $8.2 million in 2021. Gross profit margins were 26.5% as compared to 30.4%. Excluding the impact of employee retention credits, which favorably impacted the prior year period, gross profit would have been 25.7% as compared to 26.5% in the current period. The increase in gross profit, excluding the employee retention credits, was due to increased demand and revenue from our entertainment customers.
     
  Loss from operations was $2.4 million as compared to $3.1 million in the prior year. Excluding the impact of employee retention credits, which favorably impacted the prior year period, loss from operations during 2021 would have been $5.1 million. Operating results improved as a direct result of the rebound in revenues and gross margin in our Strong Entertainment business. Those improvements were partially offset by increases in operating expenses related to the launch of the new Strong Studios business.
     
  Net loss from continuing operations was $7.2 million, or $0.37 per basic and diluted share, as compared to net income from continuing operations of $3.4 million, or $0.19 per basic and diluted share in the prior year. The increase in net loss from continuing operations, despite the improvements in results from Strong Entertainment’s operations, was primarily the result of recognition of unrealized losses on our equity holdings in the current period while the prior year period benefited from employee retention credits and gains on equity holdings.
     
  Adjusted EBITDA, which excludes the impact of losses on our equity holdings and employee retention credits, among other things, improved to $0.2 million as compared to negative $2.7 million in the prior year.


Conference Call

A conference call to discuss the Company’s 2022 fourth quarter and full year financial results will be held on Wednesday, March 15, 2023 at 5:00 pm Eastern Time. Interested parties can listen to the call via live webcast or by phone. To access the webcast, visit the Company's website at https://fg.group/investor-relations/ or use following link: FGH Webcast Link. To access the conference call by phone, dial (888) 506-0062 (domestic) or (973) 528-0011 (international) and use participant code 405126. Please access the webcast or dial in at least five minutes before the start of the call to register.

A replay of the webcast will be available following the conclusion of the live broadcast and accessible on the Company's website at https://fg.group/investor-relations/.

About FG Group Holdings Inc.

FG Group Holdings Inc. (https://fg.group/) is a diversified holding company with operations and holdings across a broad range of industries. The Company’s Strong Entertainment segment is the largest premium screen supplier in North America, provides technical support services and related products and services to the cinema exhibition industry, and recently launched its studio operations to produce content for streaming and other entertainment outlets. FG Group Holdings also holds equity stakes in Firefly Systems, Inc., GreenFirst Forest Products Inc. (TSX: GFP), and FG Financial Group, Inc. (Nasdaq: FGF), as well as real estate through its Digital Ignition operating business.

About Fundamental Global®

Fundamental Global® is a private partnership focused on long-term strategic holdings. Fundamental Global® was co-founded by former T. Rowe Price, Point72 and Tiger Cub portfolio manager Kyle Cerminara and former Chairman and CEO of TD Ameritrade, Joe Moglia. Its current holdings include FG Financial Group Inc. (Nasdaq:FGF), (NASDAQ: FGFPP), FG Group Holdings Inc. (NYSE American:FGH), BK Technologies Corp. (NYSE American:BKTI), GreenFirst Forest Products, Inc. (TSX:GFP), FG Merger Corp. (Nasdaq:FGMC), FG Acquisition Corp. (TSX:FGAA), OppFi Inc., Hagerty Inc., and FG Communities, Inc.

The FG® logo is a registered trademark of Fundamental Global®.

Use of Non-GAAP Measures

FG Group Holdings prepares its consolidated financial statements in accordance with United States generally accepted accounting principles (“GAAP”). In addition to disclosing financial results prepared in accordance with GAAP, the Company discloses information regarding Adjusted EBITDA (“Adjusted EBITDA”), which differs from the commonly used EBITDA (“EBITDA”). Adjusted EBITDA both adjusts net income (loss) to exclude income taxes, interest, and depreciation and amortization, and excludes discontinued operations, share-based compensation, impairment charges, equity method income (loss), fair value adjustments, severance, foreign currency transaction gains (losses), transactional gains and expenses, gains on insurance recoveries, certain tax credits and other cash and non-cash charges and gains.

EBITDA and Adjusted EBITDA are not measures of performance defined in accordance with GAAP. However, Adjusted EBITDA is used internally in planning and evaluating the Company’s operating performance. Accordingly, management believes that disclosure of these metrics offers investors, bankers and other stakeholders an additional view of the Company’s operations that, when coupled with the GAAP results, provides a more complete understanding of the Company’s financial results.

EBITDA and Adjusted EBITDA should not be considered as an alternative to net income (loss) or to net cash from operating activities as measures of operating results or liquidity. The Company’s calculation of EBITDA and Adjusted EBITDA may not be comparable to similarly titled measures used by other companies, and the measures exclude financial information that some may consider important in evaluating the Company’s performance.

EBITDA and Adjusted EBITDA have limitations as analytical tools, and you should not consider them in isolation, or as substitutes for analysis of the Company’s results as reported under GAAP. Some of these limitations are: (i) they do not reflect the Company’s cash expenditures, or future requirements for capital expenditures or contractual commitments, (ii) they do not reflect changes in, or cash requirements for, the Company’s working capital needs, (iii) EBITDA and Adjusted EBITDA do not reflect interest expense, or the cash requirements necessary to service interest or principal payments, on the Company’s debt, (iv) although depreciation and amortization are non-cash charges, the assets being depreciated and amortized will often have to be replaced in the future, and EBITDA and Adjusted EBITDA do not reflect any cash requirements for such replacements, (v) they do not adjust for all non-cash income or expense items that are reflected in the Company’s statements of cash flows, (vi) they do not reflect the impact of earnings or charges resulting from matters management considers not to be indicative of the Company’s ongoing operations, and (vii) other companies in the Company’s industry may calculate these measures differently than the Company does, limiting their usefulness as comparative measures.

Management believes EBITDA and Adjusted EBITDA facilitate operating performance comparisons from period to period by isolating the effects of some items that vary from period to period without any correlation to core operating performance or that vary widely among similar companies. These potential differences may be caused by variations in capital structures (affecting interest expense), tax positions (such as the impact on periods or companies of changes in effective tax rates or net operating losses) and the age and book depreciation of facilities and equipment (affecting relative depreciation expense). The Company also presents EBITDA and Adjusted EBITDA because (i) management believes these measures are frequently used by securities analysts, investors and other interested parties to evaluate companies in the Company’s industry, (ii) management believes investors will find these measures useful in assessing the Company’s ability to service or incur indebtedness, and (iii) management uses EBITDA and Adjusted EBITDA internally as benchmarks to evaluate the Company’s operating performance or compare the Company’s performance to that of its competitors.

Forward-Looking Statements

In addition to the historical information included herein, this press release includes forward-looking statements, such as management’s expectations regarding its portfolio companies, the Company’s intent to pursue an initial public offering and separate listing of its Strong Entertainment business, as well as future sales and financial performance, and the production and release of content by our Strong Studios division, which involve a number of risks and uncertainties, including but not limited to those discussed in the “Risk Factors” section contained in Item 1A in the Company’s Annual Report on Form 10-K for the year ended December 31, 2022 to be filed with the SEC on or about March 16, 2023, and the following risks and uncertainties: the Company’s ability to maintain and expand its revenue streams to compensate for the lower demand for the Company’s digital cinema products and installation services; potential interruptions of supplier relationships or higher prices charged by suppliers; the Company’s ability to successfully compete and introduce enhancements and new features that achieve market acceptance and that keep pace with technological developments; the Company’s ability to successfully execute its capital allocation strategy or achieve the returns it expects from these holdings; the Company’s ability to maintain its brand and reputation and retain or replace its significant customers; challenges associated with the Company’s long sales cycles; the impact of a challenging global economic environment or a downturn in the markets; the effects of economic, public health, and political conditions that impact business and consumer confidence and spending, including rising interest rates, periods of heightened inflation and market instability, the outbreak of any highly infectious or contagious diseases, such as COVID-19 and its variants or other health epidemics or pandemics, and armed conflicts, such as the ongoing military conflict in Ukraine and related sanctions; economic and political risks of selling products in foreign countries (including tariffs); risks of non-compliance with U.S. and foreign laws and regulations, potential sales tax collections and claims for uncollected amounts; cybersecurity risks and risks of damage and interruptions of information technology systems; the Company’s ability to retain key members of management and successfully integrate new executives; the Company’s ability to complete acquisitions, strategic investments, entry into new lines of business, divestitures, mergers or other transactions on acceptable terms, or at all; the impact of economic, public health and political conditions  on the companies in which the Company holds equity stakes; the Company’s ability to utilize or assert its intellectual property rights, the impact of natural disasters and other catastrophic events, whether natural, man-made, or otherwise (such as the outbreak of any highly infectious or contagious diseases, or armed conflict); the adequacy of the Company’s insurance; the impact of having a controlling stockholder and vulnerability to fluctuation in the Company’s stock price. Given the risks and uncertainties, readers should not place undue reliance on any forward-looking statement and should recognize that the statements are predictions of future results which may not occur as anticipated. Many of the risks listed above have been, and may further be, exacerbated by the impact of economic, public health (such as a resurgence of the COVID-19 pandemic) and political conditions (such as the military conflict in Ukraine) that impact consumer confidence and spending, particularly in the cinema, entertainment, and other industries in which the Company and the companies in which the Company holds an equity stake operate, and the worsening economic environment.  Actual results could differ materially from those anticipated in the forward-looking statements and from historical results, due to the risks and uncertainties described herein, as well as others not now anticipated. New risk factors emerge from time to time and it is not possible for management to predict all such risk factors, nor can it assess the impact of all such factors on our business or the extent to which any factor, or combination of factors, may cause actual results to differ materially from those contained in any forward-looking statements. Except where required by law, the Company assumes no obligation to update forward-looking statements to reflect actual results or changes in factors or assumptions affecting such forward-looking statements.

Investor Relations Contacts  
   
Mark Roberson John Nesbett / Jennifer Belodeau
FG Group Holdings Inc. - Chief Executive Officer IMS Investor Relations
(704) 994-8279 (203) 972-9200
IR@fg.group fggroup@imsinvestorrelations.com


FG Group Holdings Inc. and Subsidiaries
Consolidated Balance Sheets
(In thousands, except par values)
       
  December 31, 2022   December 31, 2021
       
Assets      
Current assets:      
Cash and cash equivalents $ 3,789     $ 8,731  
Restricted cash   -       150  
Accounts receivable, net   6,167       4,631  
Inventories, net   3,389       3,271  
Other current assets   4,871       4,992  
Total current assets   18,216       21,775  
Property, plant and equipment, net   12,649       6,226  
Operating lease right-of-use assets   310       3,975  
Finance lease right-of-use assets   666       -  
Note receivable, net of current portion   -       1,667  
Equity holdings   37,522       41,133  
Intangible assets, net   5       69  
Film and television programming rights, net   1,501       -  
Goodwill   882       942  
Other assets   2       22  
Total assets $ 71,753     $ 75,809  
       
Liabilities and Stockholders' Equity      
Current liabilities:      
Accounts payable $ 4,375     $ 4,245  
Accrued expenses   5,167       2,994  
Short-term debt   2,510       2,998  
Current portion of long-term debt   216       23  
Current portion of operating lease obligations   116       577  
Current portion of finance lease obligations   117       -  
Deferred revenue and customer deposits   1,787       3,292  
Total current liabilities   14,288       14,129  
Operating lease obligations, net of current portion   257       3,586  
Finance lease obligations, net of current portion   550       -  
Long-term debt, net of current portion   5,004       105  
Deferred income taxes   4,851       5,594  
Other long-term liabilities   105       118  
Total liabilities   25,055       23,532  
       
Commitments, contingencies and concentrations      
       
Stockholders' equity:      
Preferred stock   -       -  
Common stock   223       213  
Additional paid-in capital   53,882       50,807  
Retained earnings   16,437       23,591  
Treasury stock   (18,586 )     (18,586 )
Accumulated other comprehensive loss   (5,258 )     (3,748 )
Total stockholders' equity   46,698       52,277  
Total liabilities and stockholders' equity $ 71,753     $ 75,809  


FG Group Holdings Inc. and Subsidiaries
Consolidated Statements of Operations
(In thousands, except per share amounts)
 
  Three Months Ended December 31,   Years Ended December 31,
    2022       2021       2022       2021  
Net product sales $ 8,043     $ 7,820     $ 30,119     $ 19,631  
Net service revenues   3,751       2,229       11,118       7,399  
Total net revenues   11,794       10,049       41,237       27,030  
Cost of products sold   5,812       6,247       22,729       14,078  
Cost of services   2,737       1,664       7,592       4,742  
Total cost of revenues   8,549       7,911       30,321       18,820  
Gross profit   3,245       2,138       10,916       8,210  
Selling and administrative expenses:              
Selling   537       625       2,261       1,783  
Administrative   2,655       2,753       10,541       9,527  
Total selling and administrative expenses   3,192       3,378       12,802       11,310  
Loss on disposal of assets   (474 )     (38 )     (474 )     (38 )
Loss from operations   (421 )     (1,278 )     (2,360 )     (3,138 )
Other income (expense):              
Interest income   -       21       7       75  
Interest expense   (109 )     (24 )     (347 )     (308 )
Foreign currency transaction (loss) income   (118 )     (10 )     264       (67 )
(Loss) gain on equity holdings   (716 )     2,208       (4,468 )     12,273  
Other income (loss), net   7       (15 )     (180 )     143  
Total other (loss) income   (936 )     2,180       (4,724 )     12,116  
(Loss) income from continuing operations before income taxes and equity method holdings income (loss)   (1,357 )     902       (7,084 )     8,978  
Income tax expense   (181 )     (448 )     (473 )     (3,236 )
Equity method holding income (loss)   2,981       (903 )     403       (2,371 )
Net income (loss) from continuing operations   1,443       (449 )     (7,154 )     3,371  
Net (loss) income from discontinued operations   -       (83 )     -       14,566  
Net income (loss) $ 1,443     $ (532 )   $ (7,154 )   $ 17,937  
               
Basic net income (loss) per share              
Continuing operations $ 0.07     $ (0.03 )   $ (0.37 )   $ 0.19  
Discontinued operations   -       -       -       0.81  
Basic net income (loss) per share $ 0.07     $ (0.03 )   $ (0.37 )   $ 1.00  
               
Diluted net income (loss) per share              
Continuing operations $ 0.07     $ (0.03 )   $ (0.37 )   $ 0.19  
Discontinued operations   -       -       -       0.80  
Diluted net income (loss) per share $ 0.07     $ (0.03 )   $ (0.37 )   $ 0.99  


FG Group Holdings Inc. and Subsidiaries
Condensed Consolidated Statements of Cash Flows
(In thousands)
(Unaudited)
       
  Years Ended December 31,
    2022       2021  
Cash flows from operating activities:      
Net (loss) income from continuing operations $ (7,154 )   $ 3,371  
Adjustments to reconcile net (loss) income from continuing operations to net cash (used in) provided by operating activities:      
Recovery of doubtful accounts   (30 )     (263 )
Provision for obsolete inventory   49       95  
Provision for warranty   303       140  
Depreciation and amortization   1,397       1,306  
Amortization and accretion of operating leases   195       828  
Equity method holding (income) loss   (403 )     2,371  
Loss (gain) on equity holdings   4,468       (10,584 )
Adjustment to SageNet promissory note in connection with prepayment   202       -  
Loss on disposal of assets   474       38  
Deferred income taxes   (653 )     2,511  
Stock-based compensation expense   652       892  
Changes in operating assets and liabilities:      
Accounts receivable   (1,614 )     1,126  
Inventories   (309 )     (1,095 )
Current income taxes   329       38  
Other assets   2,245       (2,072 )
Accounts payable and accrued expenses   (2,054 )     2,095  
Deferred revenue and customer deposits   (1,476 )     1,637  
Operating lease obligations   (193 )     (822 )
Net cash (used in) provided by operating activities from continuing operations   (3,572 )     1,612  
Net cash provided by operating activities from discontinued operations   -       427  
Net cash (used in) provided by operating activities   (3,572 )     2,039  
       
Cash flows from investing activities:      
Capital expenditures   (915 )     (1,527 )
Acquisition of programming rights   (459 )     -  
Sale of equity holdings   498      
Purchase of common shares of FG Financial Group, Inc.   (2,000 )     -  
Receipt of SageNet promissory note   2,300      
Exercise of GreenFirst Forest Products, Inc. rights   -       (9,981 )
Exercise of FG Financial Group, Inc. rights   -       (2,400 )
Net cash used in investing activities from continuing operations   (576 )     (13,908 )
Net cash provided by investing activities from discontinued operations   -       12,761  
Net cash used in investing activities   (576 )     (1,147 )
       
Cash flows from financing activities:      
Principal payments on short-term debt   (697 )     (728 )
Principal payments on long-term debt   (164 )     -  
Proceeds from stock issuance, net of costs   -       6,310  
Payments of withholding taxes related to net share settlement of equity awards   (27 )     (80 )
Proceeds from exercise of stock options   -       9  
Payments on capital lease obligations   (36 )     (2,106 )
Net cash (used in) provided by financing activities from continuing operations   (924 )     3,405  
Net cash used in financing activities from discontinued operations   -       (155 )
Net cash (used in) provided by financing activities   (924 )     3,250  
Effect of exchange rate changes on cash and cash equivalents   (20 )     (48 )
Net decrease in cash and cash equivalents and restricted cash from continuing operations   (5,092 )     (8,939 )
Net increase in cash and cash equivalents and restricted cash from discontinued operations   -       13,033  
Net (decrease) increase in cash and cash equivalents and restricted cash   (5,092 )     4,094  
Cash and cash equivalents and restricted cash at beginning of year   8,881       4,787  
Cash and cash equivalents and restricted cash at end of year $ 3,789     $ 8,881  


FG Group Holdings Inc. and Subsidiaries
Summary by Business Segments
(In thousands)
(Unaudited)
               
    Three Months Ended December 31, Years Ended December 31,
      2022       2021     2022       2021  
               
Strong Entertainment              
Revenue   $ 11,421     $ 9,766   $ 39,867     $ 25,886  
Gross profit     2,872       1,855     9,546       7,283  
Operating income     1,238       61     2,761       2,211  
Adjusted EBITDA     1,345       189     3,184       1,245  
               
Corporate and Other              
Revenue   $ 373     $ 283   $ 1,370     $ 1,144  
Gross profit     373       283     1,370       927  
Operating loss     (1,659 )     (1,339 )   (5,121 )     (5,349 )
Adjusted EBITDA     (784 )     (913 )   (2,978 )     (3,957 )
               
Consolidated              
Revenue   $ 11,794     $ 10,049   $ 41,237     $ 27,030  
Gross profit     3,245       2,138     10,916       8,210  
Operating loss     (421 )     (1,278 )   (2,360 )     (3,138 )
Adjusted EBITDA     561       (724 )   206       (2,712 )


FG Group Holdings Inc. and Subsidiaries
Reconciliation of Net Income (Loss) to Adjusted EBITDA
(In thousands)
(Unaudited)
                   
  Three Months Ended December 31,
    2022       2021  
                   
  Strong Entertainment Corporate and Other Discontinued Operations Consolidated   Strong Entertainment Corporate and Other Discontinued Operations Consolidated
Net income (loss) $ 424 $ 1,020   $ - $ 1,444     $ 773   $ (1,222 ) $ (83 ) $ (532 )
Net loss from discontinued operations   -   -     -   -       -     -     83     83  
Net income (loss) from continuing operations   424   1,020     -   1,444       773     (1,222 )   -     (449 )
Interest expense (income), net   53   56     -   109       23     (20 )   -     3  
Income tax expense   127   54     -   181       350     98     -     448  
Depreciation and amortization   176   182     -   358       223     103     -     326  
EBITDA   780   1,312     -   2,092       1,369     (1,041 )   -     328  
Stock-based compensation expense   -   142     -   142       -     205     -     205  
Equity method holdings (income) loss   -   (2,981 )   -   (2,981 )     -     903     -     903  
Loss (gain) on equity holdings   447   269     -   716       (1,190 )   (1,018 )   -     (2,208 )
Loss on disposal of assets and impairment charges   -   474     -   474       -     38       38  
Foreign currency transaction loss   118   -     -   118       10     -     -     10  
Adjusted EBITDA $ 1,345 $ (784 ) $ - $ 561     $ 189   $ (913 ) $ -   $ (724 )


  Years Ended Ended December 31,
    2022       2021  
                   
  Strong Entertainment Corporate and Other Discontinued Operations Consolidated   Strong Entertainment Corporate and Other Discontinued Operations Consolidated
Net income (loss) $ 98   $ (7,252 ) $ - $ (7,154 )   $ 8,492   $ (5,121 ) $ 14,566   $ 17,937  
Net income from discontinued operations   -     -     -   -       -     -     (14,566 )   (14,566 )
Net income (loss) from continuing operations   98     (7,252 )   -   (7,154 )     8,492     (5,121 )   -     3,371  
Interest expense, net   143     197     -   340       107     126     -     233  
Income tax expense   369     104     -   473       2,755     481     -     3,236  
Depreciation and amortization   697     700     -   1,397       910     401     -     1,311  
EBITDA   1,307     (6,251 )   -   (4,944 )     12,264     (4,113 )   -     8,151  
Stock-based compensation expense   -     652     -   652       -     892     -     892  
Equity method holdings (income) loss   -     (403 )   -   (403 )     1,150     1,221     -     2,371  
Employee retention credit   -     -     -   -       (1,576 )   (336 )   -     (1,912 )
Loss (gain) on equity holdings   2,142     2,326     -   4,468       (10,527 )   (1,746 )   -     (12,273 )
Loss on disposal of assets and impairment charges   -     474     -   474       -     38       38  
Foreign currency transaction (income) loss   (265 )   1     -   (264 )     67     -     -     67  
Gain on property and casualty insurance recoveries   -     -     -   -       (148 )   -     -     (148 )
Severance and other   -     222     -   222       15     87     -     102  
Adjusted EBITDA $ 3,184   $ (2,978 ) $ - $ 205     $ 1,245   $ (3,957 ) $ -   $ (2,712 )


Primary Logo