Cinedigm Corp (NASDAQ:CIDM) stock Is All Set To Gap-Up After Earnings

Cinedigm Corp (NASDAQ:CIDM) stock is signaling a gap-up opening in Thursday’s trading as investors are impressed with the company’s preliminary fourth quarter fiscal 2021 results.

The company reported consolidated revenues were $8.3 million, with streaming channel revenues up 197% versus the prior year quarter and 39% sequentially over last quarter. Streaming/Digital revenues grew to 75% of the Company’s total revenues in the quarter versus 48% in the prior year quarter.

Ad-supported streaming channel (AVOD) revenues increased 331% over the prior year quarter and 23% sequentially over last quarter. Subscription streaming channel revenues increased 117% over the prior year quarter and 65% sequentially over last quarter.

As of March 31, 2021, the Company had cash and cash equivalents of $16.8 million compared to $14.3 million as of March 31, 2020, the end of the last fiscal year. Total debt was reduced by $37.3 million as of March 31, 2021, or 76%, to a balance of $11.9 million, from $49.1 million at March 31, 2020.

“We have now successfully completed the transition of Cinedigm from its legacy digital cinema equipment business to a high-growth, independent streaming entertainment channel and content company, underscored by the mix in our revenues this quarter, where streaming/digital revenues represented 75% of total revenues versus 48% in the fourth quarter last year. Now, driven by our technological capabilities, distribution muscle, broad portfolio of streaming channels and strong balance sheet, we will also continue to execute our streaming asset roll-up acquisition strategy that we believe will help drive revenues from our digital streaming businesses at an even more accelerated growth rate,” stated Chris McGurk, Chairman and CEO of Cinedigm. “

CIDM stock is up 18% in the pre-market session at $1.27.