LiveOne Q4 Revenue Drops 6% Following Tesla Deal Adjustment, Explores B2B Growth
LiveOne has reported its Q4 2024 financial results, marking its first quarterly report since modifying its Tesla Premium Connectivity partnership. The company saw revenue decline to $29.45 million, representing a 5.8% year-over-year decrease.
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Key Financial Highlights:
- Total revenue: $29.45 million (down 5.8% YoY)
- Membership services: $14.29 million (down 15.2% YoY)
- Advertising revenue: $12.85 million (up 21.3% YoY)
- Net loss: $5.64 million (increased 150% YoY)
User Statistics:
- Total users: 860,000 (paid and ad-supported combined)
- Ad-supported users: approximately 450,000
- Direct-billed Premium subscribers: 78% increase
Tesla Partnership Changes:
- Previous arrangement: $3 per Premium Connectivity subscriber ($9.99 monthly package)
- New terms: Subsidy ended December 2024
- Exception: "Grandfathered" users continue receiving subsidized service
Future Outlook:
- Revised full-fiscal-year guidance: $112-120 million
- Potential price increases planned for next 12 months
- Current Premium subscription: $10.99 monthly
- Plus subscription: $3.33 monthly (annual plan)
Additional Updates:
- Extended SoundExchange settlement repayment to January 2027 ($4.1 million outstanding)
- Stock performance: 4% decline to $0.93 per share
- Company exploring new B2B partnerships
- CEO Robert Ellin views Tesla vehicle presence as "multibillion-dollar opportunity"
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