An independent auditor has raised “substantial doubt” about MoviePass’s ability to continue operating as “a going concern” in financial documents made public by Helios & Matheson Analytics, the subscription service’s parent company.In addition, Helios & Matheson revealed that it has lost $150.8 million in 2017, which it ascribed to its acquisition of MoviePass.
Helios & Matheson CEO Ted Farnsworth told Business Insider that $110 million of the loss is non-cash.
It’s still a much bigger number than the loss of $7.4 million that the company reported before it acquired MoviePass.Revenues for the company were approximately $10.4 million, up from roughly $6.8 million for 2016.
As of December, Helios & Matheson said there was $54.4 million of deferred revenue related to MoviePass subscriptions.Helios & Matheson said that MoviePass will have a need for additional funding and will have net losses for the foreseeable future.
In a recent interview with Variety, MoviePass CEO Mitch Lowe predicted that the company
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