LiveOne (NASDAQ:LVO) expects to launch what CEO and Chairman Rob Ellin described as its largest business-to-business partnership before year-end, as the company forecasts revenue of more than $100 million in fiscal 2028.
On the company’s fiscal second-quarter earnings call, Ellin said the unnamed partner has more than 50 million monthly paying subscribers. He declined to disclose whether the agreement includes a minimum financial commitment or whether the partner or consumers would pay for LiveOne subscriptions.
Ellin said the arrangement would include offerings ranging from freemium access to paid subscriptions. He compared the opportunity with LiveOne’s former Tesla partnership, while noting that the new partner’s customers are already spending regularly.
“You only need a tiny percentage to convert to have a way bigger number than we’ve had previously,” Ellin said. He added that the company expects to provide more information about the partnership soon.
First-Half Results and Outlook
LiveOne reported $37.3 million in revenue for the first half of fiscal 2027 and consolidated adjusted EBITDA of $7.8 million, which Ellin said was up 619% from a year earlier. He said adjusted EBITDA improved by more than $6.4 million from the prior-year period.
For fiscal 2027, the company expects revenue of $70 million to $75 million and more than $10 million in adjusted EBITDA. Ellin also forecast more than $250 million in revenue within 36 months, attributing the growth expectations to partner launches.
Ellin said the timing of the major partnership had shifted as the opportunity grew. He characterized the company’s audio business as profitable and said management was focused on the bottom line after cutting staff from about 350 people to roughly 80. The company has used artificial intelligence in multiple areas, he said.
Ellin also said LiveOne had bought back $7 million of stock and that he personally intended to buy a large block of shares after the major launch is completed.
Partnerships and Subscriber Growth
Ellin discussed LiveOne’s relationships with AT&T Mobility, Vizio, LG, Samsung, Amazon and Paramount. He said Amazon had grown into a $20 million multiyear partner, while Paramount had grown from a $1 million Pluto TV relationship into a partnership generating more than $25 million a year.
Ellin also said LiveOne had survived the loss of $55 million in revenue and $15 million in EBITDA associated with its Tesla partnership. He said the company still has more than 1 million users on Tesla.
During the question-and-answer session, Alliance Global Partners analyst Brian Kinstlinger asked about paid subscriber additions from smart-TV partnerships announced earlier in the year. Ellin said LiveOne had not disclosed subscriber figures and that the launches had only recently begun.
Ellin said the company relies on its partners to market the services to their audiences and plans to concentrate on relationships with the greatest potential to grow. In closing remarks, he said LiveOne was in deep discussions with more than 75 potential partners around the world, while cautioning that not every partnership would be successful.
Podcasting and Content Licensing
Ellin said PodcastOne had ranked among the top 10 for 12 straight months and was sixth in the most recent month, with record first-half revenue. Kinstlinger asked about an apparent decline in downloads and the outlook for advertising rates and volume. Ellin did not address those specific trends, instead reiterating the company’s revenue guidance and focus on profitability.
LiveOne has more than $10 million in potential deals in its pipeline to license audio and video content to large language model and AI businesses, Ellin said. He said those potential deals were not included in the company’s forecasts.
Ellin also said LiveOne expects to announce a new president by year-end as it prepares for its next phase of growth.
About LiveOne (NASDAQ:LVO)
LiveOne, Inc. (NASDAQ: LVO) is a digital media and entertainment company that develops and distributes music, podcasting, and live-event content. Its offerings are designed to provide consumers with access to streaming audio, original programming, digital radio, and interactive entertainment experiences across connected devices. The company operates the LiveOne platform, which features music and live entertainment programming, including livestreamed concerts, festivals, and other artist-focused events.
