LiveOne (Nasdaq: LVO) Subsidiary CPS Expects $3.5M+ in Revenue and $700K+ in Cash Flow Following Restructuring
Rhea-AI Summary
LiveOne (Nasdaq:LVO) announced that subsidiary CPS projects more than $3.5 million in annual revenue and over $700,000 in annual cash flow after completing restructuring.
All subsidiaries are expected to generate positive Adjusted EBITDA in fiscal 2027, CPS is refocusing on Celebrity Brands, LiveOne is fielding M&A interest in this division, and reports its strongest balance sheet to date.
Positive
- CPS projects over $3.5 million annual revenue post-restructuring
- CPS projects over $700,000 annual cash flow after restructuring
- All subsidiaries expected to generate positive Adjusted EBITDA in fiscal 2027
- CPS rebranded and refocused on Celebrity Brands growth
- Company and bankers are fielding M&A interest in Celebrity Brand Division
- LiveOne reports the strongest balance sheet in its history
Negative
- Disclosure of risks to LiveOne’s ability to continue as a going concern
- Reliance on largest OEM customer for substantial portion of revenue
- Risks related to indebtedness and debt covenant compliance
- Exposure to legal proceedings and potential payment obligations
- Significant regulatory and market risks tied to digital asset strategy
News Market Reaction – LVO
In the May 18 session, LVO gained 17.80%, reflecting a significant positive market reaction. Argus tracked a peak move of +19.2% during that session. Our momentum scanner triggered 21 alerts that day, indicating elevated trading interest and price volatility. Trading volume was elevated at 2.1x the daily average, suggesting notable buying interest.
Data tracked by StockTitan Argus on the day of publication.
Key Figures
Historical Context
| Date | Event | Sentiment | 24h Move | Catalyst |
|---|---|---|---|---|
| May 12 | Subsidiary cash inflow | Positive | +0.4% | PodcastOne receives $5.5M from warrant exercises to fund growth initiatives. |
| May 11 | AI partnership expansion | Positive | -4.4% | Expanded Gotavi AI partnership to boost investor awareness and highlight valuation. |
| May 05 | Conference appearance | Positive | +4.3% | Selection to present at 2026 Sohn Conference, showcasing PodcastOne scale. |
| Apr 30 | AI product launch | Positive | +4.3% | Launch of PodcastOneAI to monetize 200,000+ hours of content in AI markets. |
| Apr 30 | Guidance correction | Positive | +4.3% | Fiscal 2027 guidance set at $82M–$90M revenue and $5M–$10M Adjusted EBITDA*. |
24h Move is the share-price change in the day after each event; other market factors may also have contributed.
Recent LVO news has more often seen price gains on positive announcements, with one notable selloff on an AI-partnership headline.
Over the past few weeks, LiveOne has issued a series of growth- and capital-focused updates. These include a $5.5M warrant exercise at PodcastOne, expansion of an AI-driven investor awareness partnership, and selection to present at the May 12, 2026 Sohn Investment Conference. The company also launched PodcastOneAI targeting large AI and data markets and corrected Fiscal 2027 guidance to $82M–$90M revenue with $5M–$10M Adjusted EBITDA*. The current CPS restructuring projections build on that broader profitability and restructuring narrative.
Key Terms
adjusted ebitda financial
non-gaap financial measures financial
gaap financial
contribution margin (loss) financial
AI-generated analysis. How Rhea-AI works. Not financial advice.
- All subsidiaries expected to achieve positive Adjusted EBITDA* in fiscal year 2027
- CPS rebranding and refocusing growth around Celebrity Brands
- Company and bankers are actively fielding M&A interest in Celebrity Brand Division
- LiveOne now boasts their strongest balance sheet in Company history
LOS ANGELES, May 18, 2026 (GLOBE NEWSWIRE) -- LiveOne, Inc. (Nasdaq: LVO), an award-winning, creator-first music, entertainment, and technology platform, today announced that its subsidiary CPS is projecting more than
“Following our restructuring efforts, CPS is now positioned to operate more efficiently while capitalizing on our highly engaged audience and expanding creator network,” said Robert Ellin, Chairman and CEO of LiveOne. “We remain focused on driving sustainable profitability, accelerating monetization, and exploring strategic opportunities that support long-term growth and shareholder value.”
About LiveOne
Headquartered in Los Angeles, CA, LiveOne (Nasdaq: LVO) is an award-winning, creator-first, music, entertainment, and technology platform focused on delivering premium experiences and content worldwide and live and virtual events. LiveOne's subsidiaries include Slacker, PodcastOne (Nasdaq: PODC), PPVOne, Custom Personalization Solutions, LiveXLive and DayOne Music Publishing. LiveOne is available on iOS, Android, Roku, Apple TV, Spotify, Samsung, Amazon Fire, Android TV, and through STIRR's OTT applications. For more information, visit liveone.com and follow us on Facebook, Instagram, TikTok, YouTube and Twitter at @liveone. For more investor information, please visit ir.liveone.com.
Forward-Looking Statements
All statements other than statements of historical facts contained in this press release are “forward-looking statements,” which may often, but not always, be identified by the use of such words as “may,” “might,” “will,” “will likely result,” “would,” “should,” “estimate,” “plan,” “project,” “forecast,” “intend,” “expect,” “anticipate,” “could,” “believe,” “seek,” “continue,” “contemplate,” “predict,” “potential,” “target” or the negative of such terms or other similar expressions. These statements involve known and unknown risks, uncertainties and other factors, which may cause actual results, performance or achievements to differ materially from those expressed or implied by such statements, including: LiveOne’s reliance on its largest OEM customer for a substantial percentage of its revenue; LiveOne’s ability to consummate any proposed financing, acquisition, spin-out, special dividend, merger, distribution or transaction, the timing of the consummation of any such proposed event, including the risks that a condition to the consummation of any such event would not be satisfied within the expected timeframe or at all, or that the consummation of any proposed financing, acquisition, spin-out, merger, special dividend, distribution or transaction will not occur or whether any such event will enhance stockholder value; LiveOne’s ability to continue as a going concern; LiveOne’s ability to attract, maintain and increase the number of its users and paid members; LiveOne identifying, acquiring, securing and developing content; LiveOne’s ability to implement its announced digital asset treasury strategy and/or purchase digital assets from time to time pursuant to such strategy, including for the maximum announced amount, and other risks related to such strategy; LiveOne’s intent to repurchase shares of its and/or PodcastOne’s common stock from time to time under LiveOne’s announced stock repurchase program and the timing, price, and quantity of repurchases, if any, under the program; LiveOne’s ability to maintain compliance with certain financial and other debt covenants; LiveOne successfully implementing its growth strategy, including relating to its technology platforms and applications; management’s relationships with industry stakeholders; LiveOne’s ability to repay its indebtedness when due; LiveOne’s ability to satisfy the conditions for closing on its announced additional convertible debentures financing; uncertain and unfavorable outcomes in legal proceedings and/or LiveOne’s ability to pay any amounts due in connection with any such legal proceedings; significant legal, commercial, regulatory and technical uncertainty and risks related to digital assets; regulatory developments related to digital assets and digital asset markets; changes in economic conditions; competition; risks and uncertainties applicable to the businesses of LiveOne’s subsidiaries; and other risks, uncertainties and factors including, but not limited to, those described in LiveOne’s Annual Report on Form 10-K for the fiscal year ended March 31, 2025, filed with the U.S. Securities and Exchange Commission (the “SEC”) on July 15, 2025, Quarterly Report on Form 10-Q for the quarter ended December 31, 2025, filed with the SEC on February 13, 2025, and in LiveOne’s other filings and submissions with the SEC. These forward-looking statements speak only as of the date hereof, and LiveOne disclaims any obligation to update these statements, except as may be required by law. LiveOne intends that all forward-looking statements be subject to the safe-harbor provisions of the Private Securities Litigation Reform Act of 1995.
* About Non-GAAP Financial Measures
To supplement our consolidated financial statements, which are prepared and presented in accordance with the accounting principles generally accepted in the United States of America (“GAAP”), we present Contribution Margin (Loss) and Adjusted Earnings Before Interest Tax Depreciation and Amortization (“Adjusted EBITDA”), which are non-GAAP financial measures, as measures of our performance. The presentation of these non-GAAP financial measures is not intended to be considered in isolation from, or as a substitute for, or superior to, operating loss and or net income (loss) or any other performance measures derived in accordance with GAAP or as an alternative to net cash provided by operating activities or any other measures of our cash flows or liquidity.
We use Contribution Margin (Loss) and Adjusted EBITDA to evaluate the performance of our operating segments. We believe that information about these non-GAAP financial measures assists investors by allowing them to evaluate changes in the operating results of our business separate from non-operational factors that affect operating income (loss) and net income (loss), thus providing insights into both operations and the other factors that affect reported results. Adjusted EBITDA is not calculated or presented in accordance with GAAP. A limitation of the use of Adjusted EBITDA as a performance measure is that it does not reflect the periodic costs of certain amortizing assets used in generating revenue in our business. Accordingly, Adjusted EBITDA should be considered in addition to, and not as a substitute for operating income (loss), net income (loss), and other measures of financial performance reported in accordance with GAAP. Furthermore, this measure may vary among other companies; thus, Adjusted EBITDA as presented herein may not be comparable to similarly titled measures of other companies.
Contribution Margin (Loss) is defined as Revenue less Cost of Sales before (a) Cost of Sales share-based compensation expense, (b) depreciation, and (c) amortization of developed technology. Adjusted EBITDA is defined as earnings before interest, other (income) expense, income tax expense, depreciation and amortization and before (a) non-cash GAAP purchase accounting adjustments for certain deferred revenue and costs, (b) legal, accounting and other professional fees directly attributable to acquisition activity, (c) employee severance payments and third party professional fees directly attributable to acquisition or corporate realignment activities, (d) certain non-recurring expenses associated with legal settlements or reserves for legal settlements in the period that pertain to historical matters that existed at acquired companies prior to their purchase date and a one-time minimum guarantee to effectively terminate a live events distribution agreement post COVID-19, and (e) certain stock-based compensation expense. Management does not consider these costs to be indicative of our core operating results.
With respect to projected quarter, nine-month and full Fiscal 2027 Adjusted EBITDA, a quantitative reconciliation is not available without unreasonable efforts due to the high variability, complexity and low visibility with respect to purchase accounting adjustments, acquisition-related charges and legal settlement reserves excluded from Adjusted EBITDA. We expect that the variability of these items to have a potentially unpredictable, and potentially significant, impact on our future GAAP financial results.
LiveOne Press Contact:
press@liveone.com
Follow LiveOne on social media: Facebook, Instagram, TikTok, YouTube, and X at @liveone.
