Overview

* Alliance Entertainment ( AENT ) Q4 adjusted EBITDA rises 480% yr/yr, beating estimates, per LSEG data

* Q4 revenue of $227.8 mln missed analyst expectations, per LSEG data

* Company's gross margin increased to 15.8% from 11.4% yr/yr

Outlook

* Company to scale high-margin channels in fiscal 2026

Result Drivers

* COLLECTIBLES EXPANSION - Expanded retail distribution and exclusive agreements, including Handmade by Robots and Master Replicas, drove growth

* PARAMOUNT PARTNERSHIP - Exclusive distribution agreement with Paramount Pictures bolstered physical movie sales

* DTC CHANNEL GROWTH - Direct to Consumer Fulfillment sales increased, representing 37% of FY25 gross revenue

Key Details

Metric Beat/Mis Actual Consensu

s s

Estimate

Q4 Miss $227.80 $238.80

Revenue mln mln (1

Analyst)

Q4 EPS $0.11

Q4 Net $5.80

Income mln

Q4 Beat $12.20 $7.57

Adjusted mln mln (1

EBITDA Analyst)

Q4 Gross 15.8%

Margin

Q4 Gross $36 mln

Profit

Analyst Coverage

* The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 2 "strong buy" or "buy", no "hold" and no "sell" or "strong sell"

* The average consensus recommendation for the electronic equipment & parts peer group is "buy"

* Wall Street's median 12-month price target for Alliance Entertainment Holding Corp ( AENT ) is $10.00, about 41% above its September 9 closing price of $5.90

Press Release:

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)