G&A Expenses Fall Double Digits as Company Moves Toward Profitability in 2025

Kartoon Channel Streaming Service is Top Rated Children’s Streaming App in Apple App Store; FAST Views Jump 221% Year-Over-Year

Kartoon Channel SVOD Grows for 7th Consecutive Month; Wins Amazon Operational Excellence Award

Mainframe Studios Revenue Climbs 44% Year-Over-Year

First Showing of ‘Hundred Acre Wood/Winnie & Friends’ Set for December 24, 2025

BEVERLY HILLS, Calif., Aug. 14, 2025 (GLOBE NEWSWIRE) — Kartoon Studios (NYSE:TOON) today reported its fifth consecutive quarter of revenue growth, with Q2 revenue up 23% year-over-year, streaming viewership soaring triple digits, and double-digit cost reductions continue to move the Company towards profitability by year-end 2025.

Q2 2025 Financial Highlights:

  • Total Revenue: $10.3M, up 8.2% sequentially and 22.6% YoY, driving robust top-line growth
  • Production Services Revenue: +12% sequential, +44.4% YoY, fueled by expanded client demand
  • Operating Loss: narrowed 31% YoY, reflecting enhanced operational efficiency
  • G&A Expenses: down 10.1% YoY, showcasing disciplined cost control across the Company

Andy Heyward, Chairman and CEO, stated, “Kartoon Studios’ fifth consecutive quarter of revenue growth underscores the strength and scalability of our business model. Our operational discipline, expanding global footprint, and robust content pipeline are driving margin improvement and accelerating our path to sustained profitability. The impact of our gifted CFO, Brian Parisi, on implementing disciplined financial strategies to harness our assets cannot be overstated. We are executing on our strategy and delivering consistent, profitable improvements. These results underscore our growth trajectory, operational efficiency, and path toward profitability in 2025.”

Kartoon Channel!: #1 Rated Kids’ Streaming App; Viewership Expands

  • Kartoon Channel! remains the #1 rated kids’ streaming app in the Apple App Store, ahead of YouTube Kids, Netflix, and Disney+. Users have responded to the array of hit shows and movies, the highly curated safety of the channel, and the user experience.

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Kartoon Channel Performance Highlights:

  • FAST views grew 45% quarter-over-quarter and 221% year-over-year, driving significant audience expansion
  • Tubi watch hours increased 50% year-over-year, expanding engagement
  • Kartoon Channel app views climbed 26% quarter-over-quarter, boosting digital footprint and user retention
  • SVOD subscriptions increased for the seventh consecutive month through July 2025, highlighting strong subscription momentum
  • Kartoon Studios earned the Amazon Operational Excellence Award, validating its performance on Prime Video

Together, Frederator and the broader Toon Media Networks strengthen Kartoon Studios’ position as a leading global kids and family entertainment powerhouse, driving diversified revenue streams and maximizing audience engagement across multiple platforms.

  • Kartoon Channel’s Hit library now includes Super Mario Bros.™, PAC-MAN and the Ghostly Adventures, Roblox Rumble, and originals like Shaq’s Garage, and Stan Lee’s Superhero Kindergarten, starring Arnold Schwarzenegger.

IP Pipeline: Major Launches Set for 2nd Half 2025

  • Hundred Acre Woods’ Winnie and Friends: Executive produced by Linda Woolverton (The Lion King, Beauty and the Beast, Maleficent, Alice in Wonderland) and visual designer John Rivoli (Harry Potter, Batman, Wicked, SpongeBob). Sneak Peek of Christmas special coming December 24, 2025, commemorating 100-year anniversary of first publication of A.A. Milne’s Winnie-the-Pooh, as Company celebrates …

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