Cinedigm filed its annual report for its fiscal year after a delay that drew a warning about being possibly delisted by the Nasdaq stock exchange.

The company said its fourth-quarter loss was 4 cents a share, compared to 8 cents a year ago.

Also Read: Cinedigm Building a Streaming Channel Around Real Madrid

Revenue was $8.3 million, with streaming channel revenue up 197% from a year ago. 

For the fiscal year ended March 31, the company reported a net loss of $63.2 million, or 49 cents a share, compared to a loss of $15.1 million, or 34 cents a share, the previous year.

The company has been launching new streaming channels and expanding into new digital businesses.

Earlier this month, Cinedigm announced the launch of the Elvis Presley Channel as an ad-supported VOD and linear streaming service.

Full-year revenue fell to $31.4 million from $39.3 million. 

"We reached a key inflection point during the fourth quarter, where we generated huge growth in our streaming business," said chairman and CEO Chris McGurk. "Our streaming/digital business was 75% of our total revenues during the quarter and we expect that percentage will continue to increase as we grow the business both organically and through our streaming acquisition rollup strategy. In addition, we reduced our debt significantly and recently announced we now have zero debt and our strongest ever overall balance sheet position. Clearly, we have great forward momentum and are set up for continued rapid growth in fiscal year 2022."

Cinedigm said it received notice from the Nasdaq Stock Market that it was not in compliance with the exchange's listing rules and could be delisted because it failed to file its annual report in a timely manner.

Before being delisted, Cinedigm is required to submit a plan to regain compliance within 60 days from the date of the notice, which was July 20. If the plan is accepted by Nasdaq, the exchange can give the company up to 180 days from the notice to regain compliance.

Also Read: YouTube TV Launches Cinedigm Channels as $4.99 Add-Ons

Cinedigm said it intends to file the annual report--Form 10-K--as soon as possible and within the next few days. Filing the form would satisfy Nasdaq rules.

The company has been launching new streaming channels and expanding into new digital businesses.

Earlier this month, Cinedigm announced the launch of the Elvis Presley Channel as an ad-supported VOD and linear streaming service.

Cinedigm reported preliminary results on July 14. The company said it doesn’t expect any changes to be made to the preliminary results.

The stock market’s crazy COVID-19 swings have wreaked havoc with share prices for many companies, wrenching through an extended, excruciating roller coaster. But few companies have seen the kind of bouncing that’s hit Roku, despite what should be its perfect pandemic positioning. 

A quick look at the company’s share prices the past year can induce vertigo, lurching from a high of more than $176 a share last fall to a bottom in mid-March, days after the United States began locking down, of barely $58, a nauseating 3X swing. 

Amid what should be good news for the company’s markets and opportunities, Roku shares since then have only partially recovered previous heights. Over the past month, prices mostly oscillated between $114 and $137 or so. 

One example of Roku’s ups and downs: May 14, when the market rallied strongly despite difficult news on unemployment numbers and China trade fights. The Dow rose 377 points; Nasdaq 80. 

But alone amid major media and tech stocks, Roku dropped 96 cents a share, nearly 1%, to less than $117. The proximate cause: Roku said it will issue up to 4 million more shares, diluting existing owners’ holdings. 

Also read: Roku Sees 80% April Streaming Hour Surge, Q1 Revenue Up 55% to $321M

There’s certainly plenty to celebrate for the company, given its heavy use by millions of suddenly self-isolating households in the United States and some other markets.  

During the first three months of 2020, Roku said users streamed a record 13.2 billion hours, up nearly 50% from a year ago. Viewing in April, the first full month of lockdown, was up 80%.

Active Roku user accounts increased by 2.9 million in the first quarter, reaching 39.8 million.Revenue for Roku’s ad-driven “platform” business increased 73% year over year to $232.6 million. Revenue for the hardware side of the business spiked 22% to $88.2 million. 

Two-thirds of analysts following the company rate it a buy, and even moderate skeptics such as Guggenheim’s Michael Morris say the company is well positioned. At the same time, however, Morris downgraded the stock to neutral (at a $120 target) and noted its sector-topping 53X multiple on projected 2023 earnings. For comparison, Netflix, where Roku founder Anthony Wood developed his first streaming device, is trading at 5X, and enjoying record share prices.

"We expect advertisers and investors will view (connected TV) as a secular growth business for an extended period as linear-television ratings continue to erode, and more ad-supported content is made available via streaming,” Morris wrote. "Given Roku’s significant, direct exposure to this business, we expect investors to view the company as a secular winner.”

By that, he means Roku almost can’t help succeeding, given its strong position in the U.S. market in sectors destined to thrive. But Roku is having to share that opportunity with an increasing number of deep-pocketed competitors.

At CES 2020, Amazon reported that it had 40 million Fire TV users, just slightly ahead of Roku’s reported numbers. Together, their roughly 80 million U.S. households represent 70% of the U.S. connected device market. 

But there are reasons for concern about Roku’s growth prospects.

First up is the list of competitors selling stand-alone streaming devices, “sticks,” and operating interfaces for smart TV.  The list includes Amazon, Apple, Google and Samsung, which all have valuations that dwarf Roku. 

In turn, that competition limits Roku’s international prospects. Kagan says Amazon Fire outsold Roku in overseas sales, 3.9 million to 2.6 million devices. While Roku is available in several major international markets, it has nothing close to the global reach of Amazon or Apple. 

And while Roku has relationships with value-priced connected-TV makers Hisense and TCL, it’s unlikely to significantly penetrate China’s giant market, given that government’s preference for homegrown media-distribution solutions. 

Add to the competitor list Comcast, which just announced that it has given away 1 million of its Xfinity Flex streaming devices to new broadband customers since announcing the product last fall. The giveaway is worth it for Comcast, because it can now market to those users products and services such as its Peacock streaming network (which debuted last month for all of its cable broadband subscribers ahead of a broader July 15 launch).  

Perhaps just as significantly, while Roku devices are optimized for a sleek and friendly video-streaming experience, they aren’t as capable when it comes to a rash of new use cases, from managing smart home devices to playing games, virtual reality experiences and more. Apple, for instance, touts its $4.99/month Arcade game subscription for use on Apple TV as much as iPads, iPhones and Macs. 

Google and Amazon are also getting into gaming in a big way, and lead the smart home/smart assistant race too. Roku has no part of any of that. 

There are even reasons to question the company’s success with its free Roku Channel, a big strategic focus given the significant ad  and subscription revenue it generates. 

Like the other free, ad-supported TV services out there (Tubi, Xumo, Pluto, IMDb TV), the Roku Channel features thousands of hours of shows you may have seen before somewhere else, from The Waterboy to Driving Miss Daisy, and My Favorite Martian to Duck Dynasty. It also enables the company to showcase and sell premium channels such as HBO Now and Showtime, for which it takes a cut. 

Roku’s generated $528 million in ad revenue in 2019, up 82% from the previous year. But in the company’s latest earnings call, executives said the general weakness in ad markets is affecting Roku, too. 

The channel store faces more subtle challenges. HBO Max, for instance, is set to debut on May 27. Much attention has been paid to comments made by AT&T’s soon-to-be CEO, John Stankey, that HBO Max won’t launch on Amazon Fire TV. 

But notably, AT&T hasn’t announced an app for Roku, either. 

Also read: AT&T Doesn’t Want Amazon to ‘Disaggregate’ HBO Max into Prime Channels, Analyst Says

This is possibly because AT&T/Warner Media wants to drive viewers to its standalone app, where it can keep to itself all the audience data, relationships and other valuable assets, as ,

“Will Roku allow HBO Max to offer an app on Roku devices, if HBO Max does not allow its Max exclusive content to be part of the Roku Channel…” LightShed analyst Richard Greenfield wrote. “For channel platforms, allowing HBO to effectively exit channel stores essentially spells the beginning of the end to a one-stop destination for streaming content…That’s a problem for Roku, given that its channels are a big part of the one-stop shopping appeal of the Roku Channel.”

And—this is important—Roku still isn’t making money, despite all the audience usage. It reported a net loss of $54.6 million in Q1, on $321 million in revenues. The good news is revenues rose 55% compared to 2019, and exceeded analyst expectations. 

Roku executives said they are in good position to get to profitability, especially when the economy recovers and ad spending kicks back in. But even now, Roku says buyers will shift increasing amounts of ad spend to streaming platforms as they look for value in a bad economy. 

“While advertisers are spending less, reduced budgets mean marketers are looking for ways to invest more effectively and this should accelerate the shift to streaming ad buys,” Roku CEO Wood said.

It may be that, long term, Roku can find a sustainable perch as a niche player riding demand for good video-streaming experiences that aren’t integrated into one of its giant competitors. But Roku shareholders likely will continue to face a wild ride as the company competes amid giants in an uncertain new world. 

The Nasdaq Composite Index fell 1.6% Thursday, edging close to bear market territory as the three three major exchanges flirt with bringing and end to the bull market run that began after the 2009 financial crisis.

The tech-heavy Nasdaq is also home to many cable stocks, which seemed to weather the decline, with a few exceptions. The Nasdaq finished the day at 6,528, down about 19.5% from its high of 8,109 on Aug. 29. A bear market is defined as a 20% decline from a peak.

Other exchanges didn’t fare much better. The Dow Jones Industrial Average closed down more than 464 points on Thursday, its third straight day of triple-digit declines. And the S&P 500 was down 1.6%. Both exchanges are at their lowest points since the fall of 2017.

Cable stocks were mixed, with some big declines at Altice USA (3.7%), Dish (5.4%), AT&T (3.9%) and Discovery Inc. (3.9%), while others like Comcast, Charter and Disney managed to keep their losses between 1% and 2% for the day.

The so-called FAANG stocks were mixed, with Amazon dipping 2.3% and Netflix off 2.2%, while Apple and Google were down 2.5% and 1.3%, respectively. Facebook was relatively stable, down just 2 cents per share (0.02%) to $133.22 each. 

Home shopping channel Evine Live said in a Securities and Exchange Commission filing that it is back in compliance with the NASDAQ National Market System after having traded above $1 per share for 10 consecutive days.

Evine received a warning from the stock exchange on March 21 that its shares were in danger of being delisted because its stock had sunk below the $1 per share threshold for 30 consecutive trading days. Evine has undergone some management changes in the past several months, most notably the resignation of CEO Mark Bozek.

The company had 180 days from its notification to get back into compliance. Accordnig to the filing, after achieving the 10-day milestone, NASDAQ considers the matter closed. Evine shares closed at $1.23 each (up 2 cents) on April 13.

Scripps Networks Interactive said it will change its common stock listing from the New York Stock Exchange to the NASDAQ Global Select Market later this month.

According to the company, SNI expects its common stock to cease trading on the NYSE effective at the market close on March 14 and to begin trading on the NASDAQ exchange on March 15. The company will retain its current ticker symbol “SNI.”

“We are excited to join the world’s most innovative companies listed on Nasdaq,” said SNI chairman and CEO Ken Lowe in a statement. “Nasdaq provides the deepest pool of liquidity in the U.S. market and a comprehensive suite of trading, visibility and corporate solutions powered by cutting-edge technology. We look forward to our partnership to further reach investors and customers worldwide.”

“Nasdaq is proud to be the listing venue of choice for Scripps Networks Interactive and a dedicated business partner for the company and its shareholders,” said NASDAQ chief operating officer Adena Friedman in a statement. “As the media industry evolves, Nasdaq remains committed to supporting innovators like Scripps Networks Interactive as they transform our entertainment experiences and continue to deliver captivating lifestyle content to their audiences in the U.S. and abroad.”

Madison Square Garden Co. said Tuesday that it plans to transfer the listing of its Class A common stock to the New York Stock Exchange (NYSE) from the NASDAQ Global Market, beginning on July 27.

The stock will trade on the NYSE under its current symbol “MSG” and will continue to trade on the NASDAQ Exchange until the transfer is complete.

 “We are pleased to be joining the NYSE’s lineup of world-class companies as we continue to pursue opportunities to generate value for our shareholders,” said MSG chief financial officer Dnna Coleman in a statement. “This includes our proposed spin-off of our sports and entertainment businesses from our media business, which we expect to complete in 2015.”

MSG plans to spin off its sports businesses –including the New York Knicks, the New York Rangers, the New York Liberty, Westchester Knicks (NBADL) and the Hartford Wolf Pack (AHL) – and its entertainment assets – including Madison Square Garden Arena, Radio City Music Hall, The Beacon Theater, The LA Forum and others – from its media assets MSG Networks and MSG-Plus. The spin is expected to be completed later this year.  

 “We look forward to a long-term relationship with The Madison Square Garden Company,” said NYSE president Tom Farley in a statement. “With a portfolio of legendary brands and a reputation for creating world-class experiences, MSG is a great addition to our community of leading companies and we welcome the opportunity to support MSG’s continued growth.”

Liberty Media said its Class C common stock will begin trading on the NASDAQ Global Select Market under the symbol “LMCKV” on a “when-issued” basis from July 8 to July 23.

Liberty, headed by cabvle legend John Malone, first announced in May  it would issue two shares of Series C stock for each share of its Class A and Class B common stock on July 7 as a dividend.

However, Liberty said in a statement that because NASDAQ has established July 24 as the ex-dividend date for the dividend, and as a result of related “due bill” trading procedures, persons acquiring shares of Liberty’s Series A common stock and Series B common stock in the market through July 23, 2014 will still receive shares of Series C common stock in the Dividend. Liberty currently anticipates that the payment date for the Dividend will be 5 p.m., New York City time, on July 23. Liberty expects that the Series C common stock will begin trading in the regular way on the NASDAQ Global Select Market under the symbol “LMCK” beginning on July 24.