#USA #Santa Monica #Starz Entertainment #OTT Subscriber Growth #Third Quarter Results

Starz Entertainment Corp. Reports Third Quarter Results for 2025

Starz Entertainment Corp. has officially revealed its third-quarter financial results for the 2025 fiscal year, signaling both strides in operational performance and challenging financial metrics. Ending on September 30, 2025, the company has reported substantial earnings alongside notable shifts in its subscriber base.

Financial Overview

The reported total revenue for the quarter stands at $320.9 million, reflecting a decrease compared to the previous year. Notably, Starz also recorded an operating loss of $34.8 million and a net loss of $52.6 million, translating to a net loss per share of $3.15. Despite this financial setback, adjustments reveal a more favorable Adjusted OIBDA of $21.8 million, providing a glimpse into the operational health amidst the losses.

"This past quarter delivered operational strength while outlining our commitment to future growth," stated Jeffrey Hirsch, President and CEO of Starz. "With robust upcoming original content, we are set to attract underrepresented audiences and expand our market reach."

Subscriber Growth Insights

Starz has demonstrated an optimistic trajectory in subscriber growth, especially in the Over-The-Top (OTT) sector. The platform welcomed 520,000 new U.S. OTT subscribers year-to-date, culminating in a total of 12.3 million U.S. OTT subscribers. This figure represents a sequential increase of 110,000 during this quarter alone. Involving all segments, Starz's total U.S. subscriber count reached 17.5 million, though this marked a decline from the previous quarter, primarily influenced by pressures on linear subscriber figures.

The expansion in Canadian subscribers is noteworthy, showcasing a reversal of previously lost customers following a resolution of a carriage dispute. With 250,000 newly reinstated subscribers, the total North American subscriber count stands at 19.2 million, up 120,000 from the last reporting period. Moreover, engagement on the STARZ app peaked during this quarter, suggesting increased viewer interaction and retention.

Company Financial Position

As of the quarter’s end, Starz reported a total debt of $588.1 million. This comprises $300 million on its Term Loan A credit facility and $325.1 million in senior unsecured notes, alongside $37 million in cash reserves. The company's trailing twelve-month Adjusted OIBDA leverage ratio was noted at 3.4x, illustrating its financial standing concerning operational cash flow.

The management team remains steadfast in its previously provided outlook for 2025, emphasizing the strategic vision post-separation from Lionsgate's Studios Business. With an array of compelling content slotted for release, the leadership anticipates a thriving trajectory headed into 2026.

Concluding Remarks

Starz Entertainment Corp.'s recent quarterly results highlight a dynamic shift as the company strives to enhance its market position amid operational losses. Continued focus on content licensing and original programming is expected to bolster its revenue channels, ensuring that the brand expands its these unique offerings to resonate more deeply with its diverse viewer base. As Starz navigates its route to recovery and growth, it reaffirmed its commitment to capturing a larger share of the entertainment landscape while maintaining projections for sustainable financial health.