[8-K] Dolphin Entertainment, Inc. Reports Material Event
Filing Impact
Filing Sentiment
Form Type
8-K
Rhea-AI Filing Summary
Dolphin Entertainment reported first quarter 2026 revenue of $12.8 million, up 5.2% from $12.2 million a year earlier, reflecting modest top-line growth in what management describes as its seasonally lightest quarter.
The company posted an operating loss of $2.1 million versus a $1.8 million loss in Q1 2025, and a net loss of $2.7 million compared with $2.3 million. Basic and diluted loss per share was $(0.22) on 12,327,974 weighted average shares, slightly worse than $(0.21) on 11,162,026 shares in the prior-year period.
Management highlights non-GAAP Adjusted EBITDA loss of approximately $(467,000), an improvement of about 25% from $(625,000), helped by controlling recurring costs despite one-time items like a $0.7 million distribution guarantee and higher litigation expenses. They point to sizeable NOL carryforwards, upcoming bank debt maturity reducing roughly $2.2 million in annual payments, and anticipated lease savings of about $1 million annually after late 2027 as potential future support for free cash flow.
Positive
- None.
Negative
- None.
8-K Event Classification
2 items: 2.02, 9.01
2 items
Item 2.02
Results of Operations and Financial Condition
Financial
Disclosure of earnings results, typically an earnings press release or preliminary financials.
Item 9.01
Financial Statements and Exhibits
Exhibits
Financial statements, pro forma financial information, and exhibit attachments filed with this report.
Key Figures
Q1 2026 Revenue: $12,803,937
Q1 2025 Revenue: $12,169,711
Q1 2026 Net Loss: $2,692,034
+5 more
8 metrics
Q1 2026 Revenue
$12,803,937
Three months ended March 31, 2026; up 5.2% year-over-year
Q1 2025 Revenue
$12,169,711
Three months ended March 31, 2025 baseline for comparison
Q1 2026 Net Loss
$2,692,034
Three months ended March 31, 2026
Q1 2026 Loss per Share
$(0.22) basic and diluted
12,327,974 weighted average shares outstanding
Adjusted EBITDA Loss Q1 2026
$(467,261)
Non-GAAP; improved versus $(625,050) in Q1 2025
Total Assets
$53,268,172
Balance sheet as of March 31, 2026
Total Liabilities
$45,959,781
Balance sheet as of March 31, 2026
Stockholders’ Equity
$7,308,391
As of March 31, 2026
Key Terms
Adjusted EBITDA, non-GAAP financial measure, NOL carryforwards, forward-looking statements, +2 more
6 terms
Adjusted EBITDA financial
"Adjusted EBITDA loss for Q1 2026 of approximately $(467,000) improved by 25% compared to approximately $(625,000) in Q1 2025."
Adjusted EBITDA is a way companies measure how much money they make from their core operations, like running a business, by removing certain costs or income that aren’t part of regular business activities. It helps investors see how well a company is doing without distractions from unusual expenses or gains, making it easier to compare companies or track performance over time.
non-GAAP financial measure financial
"the financial results in this press release refer to a non-GAAP financial measure that involves adjustments to GAAP results."
A non-GAAP financial measure is a way companies present their financial results that excludes certain expenses or income to show how they believe their core business is performing. It matters because it can give a clearer picture of how the company is really doing, but it can also be used to make results look better than they actually are.
NOL carryforwards financial
"with rising profitability, modest capex requirements, and $127 million in NOL carryforwards, we remain confident in our ability to generate meaningful free cash flow"
Net operating loss (NOL) carryforwards are tax losses from prior years that a company is allowed to apply against future taxable profits, like a store credit that reduces the amount it owes later. They matter to investors because they can lower future tax bills, boost expected cash flow and reported earnings, and therefore affect a company’s valuation and how quickly it can turn losses into sustainable profits.
forward-looking statements regulatory
"This press release contains 'forward-looking statements' within the meaning of the Private Securities Litigation Reform Act."
Forward-looking statements are predictions or plans that companies share about what they expect to happen in the future, like estimating sales or profits. They matter because they help investors understand a company's outlook, but since they are based on guesses and assumptions, they can sometimes be wrong.
Private Securities Litigation Reform Act regulatory
"This press release contains 'forward-looking statements' within the meaning of the Private Securities Litigation Reform Act."
A federal law that changed how lawsuits by private investors against public companies over alleged securities fraud are started and handled. It requires plaintiffs to show specific facts about alleged wrongdoing up front, limits certain types of legal damages and stops lawyers from shopping for plaintiffs, so companies face fewer frivolous suits and investors know stronger cases move forward. Think of it as tightened screening at the courthouse to reduce baseless claims and clarify legal risk for investors.
Convertible notes payable financial
"Convertible notes payable, current portion 1,550,000 ... Convertible notes payable 5,900,000"
A convertible notes payable is a company loan recorded as debt that can later be exchanged for shares of the company instead of being repaid in cash. Investors care because it affects both the company’s obligations and ownership: it temporarily increases debt on the balance sheet but can dilute existing shareholders if converted, much like an IOU that can either be paid back or traded in for a slice of the business.
Earnings Snapshot
Revenue: $12,803,937 · Guidance included
Q1 2026
Revenue
$12,803,937
+5.2% year-over-year
Net loss
$2,692,034
Adjusted EBITDA
$(467,261)
improved 25% year-over-year
Guidance
Management highlights rising profitability, modest capex requirements, significant NOL carryforwards and expected debt and lease savings as support for generating meaningful free cash flow in future periods.
FAQ
How did Dolphin Entertainment (DLPN) perform in Q1 2026?
Dolphin Entertainment reported Q1 2026 revenue of $12.8 million, up 5.2% year-over-year. The company recorded a net loss of $2.7 million and an operating loss of $2.1 million, reflecting higher expenses including one-time and legal costs.
How did Dolphin Entertainment’s Adjusted EBITDA change in Q1 2026?
Dolphin Entertainment reported Q1 2026 Adjusted EBITDA loss of approximately $(467,000), improving from a $(625,000) loss in Q1 2025. The company attributes this 25% year-over-year improvement to underlying operations, excluding items like interest, taxes, depreciation, litigation and other one-time costs.
What were Dolphin Entertainment’s key operating expenses in Q1 2026?
Operating expenses in Q1 2026 totaled $14.9 million, up from $13.9 million in Q1 2025. They included $0.5 million of depreciation and amortization, a $0.7 million one-time distribution guarantee, and approximately $0.2 million of higher legal and professional fees tied to litigation.
What future cost savings does Dolphin Entertainment (DLPN) highlight?
Dolphin notes bank debt maturing in less than two and a half years, which it says will remove nearly $2.2 million in annual principal and interest payments. It also anticipates roughly $1 million in annualized lease savings after large New York and Los Angeles leases expire in the second half of 2027.
How strong is Dolphin Entertainment’s balance sheet at March 31, 2026?
As of March 31, 2026, Dolphin reported total assets of $53.3 million and total liabilities of $46.0 million. Stockholders’ equity was about $7.3 million, down from $9.7 million at December 31, 2025, reflecting the quarter’s net loss and balance sheet changes.