Kartoon Studios, Inc.

Snapshot

Kartoon Studios is a small entertainment company facing a severe liquidity crisis. The business reported $39.4 million in revenue for FY 2025, up 20.7% from the prior year, but it lost $24.5 million in net income. The company burned $11.6 million in free cash flow during the fiscal year and ended with only $6.9 million in cash against $17.7 million in debt. This leaves a cash runway of just 2.8 months at current burn rates.

What's Happening Right Now

• Wed 17th Jun '26 · Litigation Settlement: Kartoon Studios announced it secured approximately $78.5 million in litigation settlements from the Augenbaum v. Anson Investments case, a major cash infusion intended to fund content production and licensing.
• Fri 15th May '26 · Earnings Warning: Q1 2026 results showed a net loss of $6.4 million and revenue down 24% year-over-year, with management disclosing substantial doubt about the company's ability to continue as a going concern.
• Fri 15th May '26 · New Licensing: The company secured a licensing deal with Mattel for Masters of the Universe and American Girl animated series for its Kartoon Channel streaming service.