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Saudi Gazette
5 days ago
- Business
- Saudi Gazette
Fakeeh group delivers 1H 2025 revenue of SR1.51 billion, up 13% year-on-year
Dr Soliman Abdel Kader Fakeeh Hospital Company and its Subsidiaries ('Fakeeh Care Group', 'FCG', 'Fakeeh Care', the 'Company' or the 'Group'), a leading fully integrated academic healthcare provider listed on TASI (SYMBOL: 4017 and ISIN code SA562GSHUOH7), announced its financial results[1] for the second quarter ended 30 June 2025. Growth during the quarter was supported by higher patient volumes and a richer case‑mix as activity normalized post‑Ramadan. The total number of patients served reached 465 thousand+ in 2Q‑2025 (+16% YoY), taking 1H‑2025 volumes to ~900 thousand (+8% YoY). Outpatient and inpatient volumes grew 15% and 16%, respectively, in the quarter translating into combined revenue growth of 18%. Pricing and case‑mix tailwinds added support to the average revenue per outpatient visit and inpatient admission contributing 3% YTD on a consolidated revenue level. Jeddah's double‑digit growth was central driver, complemented by accelerating throughput in Riyadh and early activity in Madinah. At the headline level, the Group delivered 2Q‑2025 revenue of SR812 million (+24% YoY) and Net Profit after Zakat of SR68 million (+59% YoY); 1H‑2025 revenue was SR1.51 billion (+13% YoY). Commenting on the Group's performance, FCG's President Dr. Mazen Soliman Fakeeh said: 'In the second quarter of the year, Fakeeh Care Group revenues reached to SR812 million, posting a solid 24% year on year growth thanks to a 16% year‑on‑year growth of patients served and a richer case mix. Jeddah's year-on-year expansion in census and revenue continues to demonstrate the strength of our brand and clinical depth, while Riyadh's disciplined ramp‑up continues to progress—together with the recently opened DSFH Madinah—our geographic reach continues to broaden. Our platform remained a robust earnings engine with Attributable to Shareholders profits reaching SR154 million in the first half (SR82M in 2Q25) or 28% up year-on-year, after absorbing the anticipated start‑up operating losses from ramping facilities—investments that are underpinning our multi‑year growth trajectory. In Riyadh, operational beds increased to 102 (from 71 a year earlier), supporting mid‑30% growth in outpatient and inpatient volumes and a sharp rise in surgical throughput as higher‑complexity services scale. In Madinah, the Group admitted its first patients in the initial 48 beds (of 200 beds) under a disciplined, quality‑first ramp that is expected to build steadily. In Jeddah, the flagship network remained the primary revenue center, sustaining double‑digit volume growth and strong pull‑through across service lines. The Group broke ground on DSFMC Al Zahraa in Jeddah—developed in partnership with Yasser Yousef Naghi Investment Company—a key spoke in the hub‑and‑spoke strategy. The center will bring comprehensive, high‑quality care closer to the community via one‑day surgical suites, a 24/7 emergency department, an integrated diagnostic hub, and key medical specializations. Dr. Mazen Soliman Fakeeh added: 'Our integrated ecosystem—with tertiary hospitals, medical centers, home healthcare, emergency medical services, medical education, technology and retail medical offerings that complete our service continuum—continues to differentiate Fakeeh Care. We continue to invest in our digital infrastructure, embedding tools that optimize patient journeys, enhance resource utilization, and reinforce our value-based care model, elevating patient reported outcomes.' 'Looking ahead, our priorities are clear: drive utilization across our ramping facilities with strategic case mix refinement in Jeddah and Riyadh; execute a disciplined, quality first ramp in Madinah; advance milestones across our growth agenda; and continue embedding digital and data driven workflows that unlock efficiency while elevating care standards. We aim to further broaden our preventative medicine and early intervention offerings, strengthening longitudinal patient engagement. Throughout, we remain disciplined in capital deployment—preserving a conservative balance sheet as we fund expansion and cement the foundation for a highly scalable and sustainably profitable healthcare ecosystem. With a resilient mature platform, a scalable operating model, and a deepening role in the Kingdom's healthcare transformation, we are well positioned to create enduring value for patients, staff, students, shareholders and the broader community.' he concluded. During the quarter, the Group achieved JCI Enterprise Accreditation, becoming the first private healthcare group in the Kingdom to earn system‑wide endorsement—validating governance, safety culture, standardized clinical pathways and enterprise risk systems, and ensuring the quality DNA of the flagship facilities scales consistently as the network grows. In parallel, Fakeeh Emergency Medical Services (MedE) supported the Kingdom's Hajj operations through the mobilization of ambulatory teams and ambulances and the CSR operation of Namira Hospital at peak demand, deepening the Group's partnership with national health authorities and reinforcing its role in serving broader societal needs. Fakeeh Care Group's complete 2Q-2025 Earnings Release with management's analysis of the Company's performance is available for download on
Yahoo
18-07-2025
- Science
- Yahoo
Safer, long-lasting lithium battery built with breakthrough method to boost EV efficiency
Scientists have developed a novel approach that can help create safer and long-lasting lithium-ion batteries. Combined with an automated reactor system, the mathematical x-framework allows unlimited customization of full concentration gradient (FCGs) with independent parameter control, leading to lithium-ion batteries (LIBs) with enhanced safety and stability."Unlike conventional methods, where adjusting one parameter affects the others, our approach allows independent and precise control over multiple descriptors, including average composition, slope, and curvature," said Hyun Deog Yoo, Associate Professor from the Department of Chemistry and the Institute for Future Earth at Pusan National University, Korea. Enhanced performance of lithium-ion batteries At a time when the demand for electric vehicles is on the rise, researchers are working to enhance the performance of lithium-ion batteries (LIBs).The performance and stability of LIBs largely depend on the cathode material, which can account for nearly 40–45% of the total battery cost. Among cutting-edge technologies, high-nickel cathodes stand out for their high energy density and cost efficiency. However, increasing the nickel content also intensifies side reactions, severely compromising interfacial robustness and mechanical integrity—factors that limit large-scale applications, according to researchers. Promising solution Scientists revealed that a promising solution is the use of full concentration gradient (FCG) or core–shell pointed out that traditionally, FCG cathodes are synthesized via a coprecipitation method involving two tanks of metal precursor first tank, rich in nickel (Ni), feeds directly into the reactor. The second tank, containing cobalt (Co) and manganese (Mn), is mixed into the first to reduce the Ni concentration over time. In conventional systems, the flow rate of this second tank is fixed, meaning only one specific gradient can be achieved for a given average composition, according to a press release. In the study, researchers revealed that they overcame this limitation by expressing the flow rate of the second tank as a time-dependent mathematical function. This innovation allows independent tuning of the average composition, slope, and curvature—enabling the generation of a virtually unlimited range of concentration gradients using just two tanks. Integrating approach with an automated reactor system By integrating this approach with an automated reactor system, the team successfully synthesized five FCG Ni0.8Co0.1Mn0.1(OH)2 precursors with finely tuned gradients, verified through two- and three-dimensional elemental mapping, according to the experiment. "For this purpose, we assembled an outstanding international research team, collaborating with laboratories at the University of Illinois Chicago, Argonne National Laboratory, and several institutes across Korea and the United States," said Dr. Yoo. "My lab focused on designing and synthesizing FCG cathodes, while most of the 2D and 3D imaging analyses were conducted by the groups of Prof. Jordi Cabana and Prof. Robert F. Klie. We feel truly privileged to have been part of such a remarkable collaboration." Solve the daily Crossword
Yahoo
21-05-2025
- Business
- Yahoo
Should You Invest in the First Trust Natural Gas ETF (FCG)?
The First Trust Natural Gas ETF (FCG) was launched on 05/08/2007, and is a passively managed exchange traded fund designed to offer broad exposure to the Energy - Natural Gas segment of the equity market. An increasingly popular option among retail and institutional investors, passively managed ETFs offer low costs, transparency, flexibility, and tax efficiency; they are also excellent vehicles for long term investors. Investor-friendly, sector ETFs provide many options to gain low risk and diversified exposure to a broad group of companies in particular sectors. Energy - Natural Gas is one of the 16 broad Zacks sectors within the Zacks Industry classification. It is currently ranked 16, placing it in bottom 0%. The fund is sponsored by First Trust Advisors. It has amassed assets over $336.35 million, making it one of the larger ETFs attempting to match the performance of the Energy - Natural Gas segment of the equity market. FCG seeks to match the performance of the ISE-REVERE Natural Gas Index before fees and expenses. The ISE-Revere Natural Gas Index is an equal-weighted index comprised of exchange-listed companies that derive a substantial portion of their revenues from the exploration and production of natural gas. Cost is an important factor in selecting the right ETF, and cheaper funds can significantly outperform their more expensive counterparts if all other fundamentals are the same. Annual operating expenses for this ETF are 0.60%, making it on par with most peer products in the space. It has a 12-month trailing dividend yield of 3.54%. While ETFs offer diversified exposure, which minimizes single stock risk, a deep look into a fund's holdings is a valuable exercise. And, most ETFs are very transparent products that disclose their holdings on a daily basis. This ETF has heaviest allocation in the Energy sector--about 97.50% of the portfolio. Looking at individual holdings, Eqt Corporation (EQT) accounts for about 4.95% of total assets, followed by Conocophillips (COP) and Expand Energy Corporation (EXE). The top 10 holdings account for about 43.65% of total assets under management. The ETF has lost about -7.36% so far this year and is down about -15.47% in the last one year (as of 05/21/2025). In that past 52-week period, it has traded between $19.37 and $27.63. The ETF has a beta of 0.87 and standard deviation of 32.30% for the trailing three-year period, making it a high risk choice in the space. With about 42 holdings, it has more concentrated exposure than peers. First Trust Natural Gas ETF carries a Zacks ETF Rank of 3 (Hold), which is based on expected asset class return, expense ratio, and momentum, among other factors. Thus, FCG is a reasonable option for those seeking exposure to the Energy ETFs area of the market. Investors might also want to consider some other ETF options in the space. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report First Trust Natural Gas ETF (FCG): ETF Research Reports ConocoPhillips (COP) : Free Stock Analysis Report EQT Corporation (EQT) : Free Stock Analysis Report Expand Energy Corporation (EXE) : Free Stock Analysis Report This article originally published on Zacks Investment Research ( Zacks Investment Research Sign in to access your portfolio
Yahoo
15-05-2025
- Business
- Yahoo
Falcon's Beyond Reports First Quarter 2025 Financial Results
Company Reports Consolidated Revenue of $1.7 Million Company's Unconsolidated Subsidiary, Falcon's Creative Group generated Q1 Revenue of $6.3 Million Company's Unconsolidated Joint Venture, Producciones de Parques, generated Q1 revenue of $7.2 Million ORLANDO, Fla., May 15, 2025--(BUSINESS WIRE)--Falcon's Beyond Global, Inc. (Nasdaq: FBYD) ("Falcon's Beyond", "Falcon's" or the "Company"), a visionary leader in innovative and immersive storytelling through its divisions Falcon's Creative Group ("FCG"), Falcon's Beyond Destinations ("FBD"), and Falcon's Beyond Brands ("FBB") today reported its financial results for the first quarter of fiscal year 2025 ended March 31, 2025. First Quarter 2025 Financial Results Revenue: Falcon's Beyond generated consolidated revenues of $1.7 million for the three months ended March 31, 2025, representing fees for corporate and shared services earned from its FCG division, management fees from its Producciones de Parques, S.L. ("PDP") 50:50 joint venture with Melia Hotels Int'l, and attraction maintenance service fees from its Falcon's Beyond Brands division. FCG recorded revenues of $6.3 million in the three months ended March 31, 2025, representing a decrease of $8.6 million, or 57.7%, over the corresponding period of 2024 primarily due to timing of projects. FCG recorded an operating loss of ($2.8) million and a net loss of ($3.0) million in the three months ended March 31, 2025, compared with an operating income of $1.6 million and net income of $1.8 million for the corresponding 2024 period. After the Qiddiya Investment Company (QIC) preferred return and amortization of basis difference, Falcon's Beyond's share of net loss from FCG was $(4.6) million in the three months ended March 31, 2025. PDP recognized revenues of $7.2 million in the three months ended March 31, 2025, a $0.2 million decrease over the corresponding period of 2024, primarily due to the impact of foreign currency translation of the results of the European joint venture. Income from operations increased $0.3 million to $1.6 million for the three months ended March 31, 2025, compared with operating income of $1.3 million for the corresponding period of 2025. Net income was flat at $1.0 million for the three months ended March 31, 2025, and March 31, 2024. Falcon's Beyond's share of income was $0.5 million from PDP for three months ended March 31, 2025. Net Income: Falcon's Beyond's consolidated net loss of $ (8.1) million for the three months ended March 31, 2025, decreased $122.1 million compared with the corresponding 2024 period, primarily driven by a $118.6 million quarter-over-quarter change in the fair value of earnout liabilities, $1.5 million of transaction expenses related to the Company's S-1 filings in 2025, a $5.2 million increase in share of losses from equity method investments, and a $1.1 million increase in interest expense, partially offset by a $2.7 million quarter-over-quarter change in fair value of warrant liabilities, $1.1 million increase in unrealized foreign currency transactional gains and $0.5 million decrease in other expenses. EBITDA: Falcon's Beyond's adjusted EBITDA(1) loss increased $3.6 million to $(8.1) million loss for the three months ended March 31, 2025, compared with $(4.5) million loss for the corresponding 2024 period. Adjusted EBITDA loss for the three months ended March 31, 2024, was primarily driven by a $5.2 million increase in in share of losses from equity method investments, partially offset by a $1.1 million increase in unrealized foreign currency transactional gains and $0.5 million decrease in other expenses. (1) Adjusted EBITDA is a non-GAAP financial measure. See "Use and Definition of Non-GAAP Financial Measure" below for more information and a reconciliation to the most directly comparable GAAP measure. Other Business Highlights Warrant Agreement Amendment and Exchange: This initiative simplified the Company's capital structure by providing Warrant holders conversion of their holdings into equity in Falcon's Beyond at a fixed exchange rate. The mandatory exchange of Warrants takes place on October 6, 2028 (the "Exchange Date") for shares of the Company's Class A common stock, par value $0.0001 per share ("Class A Common Stock") at an exchange ratio of 0.25 shares of Class A Common Stock per Warrant (the "Exchange Ratio"). The mandatory exchange was pursuant to an amendment which became effective on January 14, 2025, authorized by holders of more than 50% of the Warrants. After the effectiveness of the Warrant Agreement Amendment and until the Exchange Date, the warrants, as amended by the Warrant Agreement Amendment, will not be exercisable and the holders of the warrants will have no further rights except to receive shares of Class A Common Stock at the Exchange Ratio on the Exchange Date. Oceaneering Entertainment Systems ("OES") Transaction: On May 9, 2025, The Company acquired key assets of Oceaneering Entertainment System ("OES"), a division of Oceaneering International Inc. ("OII"). In the transaction, the Company purchased certain tangible assets, OES's portfolio of intellectual property, including patented technologies, proprietary engineering and manufacturing processes, and assumed the lease for a 106,000+ square-foot facility in Orlando, FL to be utilized by the Falcon's Beyond Brands division to bolster Falcon's research, development, manufacturing, and attraction integration services, in addition to hiring key members of OES' highly experienced team in February 2025. The Company has an option to acquire certain OES vehicle inventory exercisable on or before July 23, 2025. The transaction follows a letter of intent previously announced on November 19, 2024, with Falcon's, rather than Infinite Acquisitions Partners LLC, making the purchase. "At Falcon's Beyond, our mission is to push the boundaries of immersive storytelling across every dimension of the global experience economy, from media and IP development to destination attractions and consumer products. The acquisition of Oceaneering Entertainment Systems is an exciting step that enhances just one aspect of our broader strategy. With the addition of cutting-edge ride technologies, advanced manufacturing capabilities, and a world-class team, we're expanding our toolbox for innovation. But this is only part of the story. As we continue to diversify our offerings, deepen our IP portfolio, and forge new strategic partnerships, we remain focused on building an enduring platform that delivers exceptional value to our audiences and shareholders alike," said Simon Philips, President of Falcon's Beyond. About Falcon's Beyond Falcon's Beyond is a visionary innovator in immersive storytelling, sitting at the intersection of three potential high growth business opportunities: content, technology, and experiences. Falcon's Beyond propels intellectual property (IP) activations concurrently across physical and digital experiences through three core business units: Falcon's Creative Group creates master plans, designs attractions and experiential entertainment, and produces content, interactives, and software. Falcon's Beyond Destinations develops a diverse range of entertainment experiences using both Falcon's Beyond owned and third party licensed intellectual property, spanning location-based entertainment, dining, and retail. Falcon's Beyond Brands endeavors to bring brands and intellectual property to life through animation, movies, licensing and merchandising, gaming as well as ride and technology sales. Falcon's Beyond also invents immersive rides, attractions, and technologies for entertainment destinations around the world. FALCON'S BEYOND and its related trademarks are owned by Falcon's Beyond. Falcon's is headquartered in Orlando, Fla. Learn more at Falcon's Beyond may use its website as a distribution channel of material Company information. Financial and other important information regarding the Company is routinely accessed through and posted on our website at In addition, you may automatically receive email alerts and other information about Falcon's when you enroll your email address by visiting the Email Alerts section at Cautionary Note Regarding Forward-Looking Statements This press release contains statements that are "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. When used in this press release, words such as "will," "would", "aim", enhances", "expanding", "diversify", "deepen", "forge", "building", "delivers", "exceptional" and similar expressions identify forward-looking statements, but the absence of these words does not mean that a statement is not forward-looking. Forward-looking statements are subject to risks and uncertainties that could cause actual results to differ from those expressed in or implied by the forward-looking statements, including (1) any failure to realize the anticipated benefits of the acquisition of OES, (2) risks related to legacy OES products and our ability to service such products, (3) the risk that the OES acquisition, integration of the OES personnel we hired, and efforts to grow Falcon's Attractions disrupts our other operations, (4) our ability to grow current and future potential customer relationships (5) our ability to sustain our growth, effectively manage our anticipated future growth, and implement our business strategies to achieve the results we anticipate, (6) our current liquidity resources raise substantial doubt about our ability to continue as a going concern (7) impairments of our intangible assets and equity method investment in our joint ventures, (8) our ability to raise additional capital, (9) the closure of Katmandu Park DR and the repositioning and rebranding of our FBD business, (6) the success of our growth plans in FCG, (10) our customer concentration in FCG, (11) the risk that contractual restrictions relating to the Strategic Investment may affect our ability to access the public markets and expand our business, (12) the risks of doing business internationally, including in the Kingdom of Saudi Arabia, (13) our indebtedness, (14) our dependence on strategic relationships with local partners in order to offer and market our products and services in certain jurisdictions, (15) our reliance on our senior management and key employees, and our ability to hire, train, retain, and motivate qualified personnel, (16) our reliance on our senior management and key employees, and our ability to hire, train, retain, and motivate qualified personnel, (17) cybersecurity-related risks, (18) our ability to protect our intellectual property, including the intellectual property purchased from OES, (19) our ability to remediate identified material weaknesses in our internal controls over financial reporting, (20) the concentration of share ownership and the significant influence of the Demerau Family and Cecil D. Magpuri, (21) the outcome of pending, threatened and future legal proceedings, (22) our continued compliance with Nasdaq continued listing standards, (23) risks related to our Up-C entity structure and the fact that we may be required to make substantial payments to certain unitholders under our Tax Receivable Agreement, and (24) the risks disclosed under the caption "Risk Factors" in the Company's most recent Annual Report on Form 10-K, and the Company's other filings with the Securities and Exchange Commission. The forward-looking statements herein speak only as of the date of this press release, and the Company undertakes no obligation to publicly update or revise any forward-looking statement as a result of new information, future events or otherwise, except as otherwise required by law. Use and Definition of Non-GAAP Financial Measure We prepare our consolidated financial statements in accordance with US GAAP. In addition to disclosing financial results prepared in accordance with US GAAP, we disclose information regarding Adjusted EBITDA which is a non-GAAP measure. We define Adjusted EBITDA as net income (loss), determined in accordance with US GAAP, for the period presented, before net interest and expense, income tax expense, depreciation and amortization, transaction expenses related to the business combination, credit loss expense related to the closure of the Sierra Parima Katmandu Park, share of equity method investee's impairment of fixed assets, impairment of equity method investments, change in fair value of warrant liabilities, change in fair value of earnout liabilities, intangible asset impairment loss, and gain on deconsolidation of FCG. We believe that Adjusted EBITDA is useful to investors as it eliminates the non-cash depreciation and amortization expense that results from our capital investments and intangible assets recognized in any business combination and improves comparability by eliminating the interest expense associated with our debt facilities, and eliminating the change in fair value of warrant and earnout liabilities, which may not be comparable with other companies based on our structure. Adjusted EBITDA has limitations as an analytical tool, and you should not consider it in isolation, or as a substitute for analysis of our results as reported under US GAAP. Some of these limitations are (i) it does not reflect our cash expenditures, or future requirements for capital expenditures or contractual commitments, (ii) it does not reflect changes in, or cash requirements for, our working capital needs, (iii) it does not reflect interest expense, or the cash requirements necessary to service interest or principal payments, on our debt, (iv) although depreciation and amortization are non-cash charges, the assets being depreciated and amortized will often have to be replaced in the future, and Adjusted EBITDA does not reflect any cash requirements for such replacements, (v) it does not adjust for all non-cash income or expense items that are reflected in our statements of cash flows, and (vi) other companies in our industry may calculate these measures differently than we do, limiting their usefulness as comparative measures. BEYOND GLOBAL, INC. AND SUBSIDIARIES CONDENSED CONSOLIDATED BALANCE SHEETS (UNAUDITED) (in thousands of U.S. dollars, except share and per share data) As ofMarch 31,2025 As ofDecember 31,2024 Assets Current assets: Cash and cash equivalents $ 1,108 $ 825 Accounts receivable 628 1,716 Other current assets 834 1,593 Total current assets 2,656 4,134 Investments and advances to equity method investments 53,454 56,560 Property and equipment, net 110 24 Other non-current assets 500 513 Total assets $ 56,720 $ 61,231 Liabilities and stockholders' equity (deficit) Current liabilities: Accounts payable $ 9,519 $ 9,540 Accrued expenses and other current liabilities 32,195 25,870 Short term debt 8,471 8,471 Current portion of long-term debt 1,917 1,759 Total current liabilities 52,102 45,640 Long-term debt, net of current portion 30,565 30,977 Warrant liabilities — 4,711 Total liabilities 82,667 81,328 Commitments and contingencies – Note 10 Stockholders' equity (deficit) Deficit attributable to common stockholders (11,597 ) (8,965 ) Non-controlling interest (14,350 ) (11,132 ) Total deficit (25,947 ) (20,097 ) Total liabilities and equity $ 56,720 $ 61,231 FALCON'S BEYOND GLOBAL, INC. AND SUBSIDIARIES CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (UNAUDITED) (in thousands of U.S. dollars, except share and per share data) Three months ended March 31,2025 March 31,2024 Revenue $ 1,708 $ 1,516 Operating expenses: Project design and build expense 106 — Selling, general and administrative expense 6,298 6,793 Transaction expenses 1,521 7 Credit loss expense — 12 Research and development expense 118 16 Depreciation and amortization expense 4 1 Total operating expenses 8,047 6,829 Loss from operations (6,339 ) (5,313 ) Share of (loss) gain from equity method investments (4,063 ) 1,154 Interest expense (1,332 ) (269 ) Interest income 3 3 Change in fair value of warrant liabilities 2,886 208 Change in fair value of earnout liabilities — 118,615 Foreign exchange transaction gain (loss) 752 (375 ) Net (loss) income before taxes $ (8,093 ) $ 114,023 Income tax benefit 1 1 Net (loss) income $ (8,092 ) $ 114,024 Net (loss) income attributable to noncontrolling interest (4,477 ) 96,855 Net (loss) income attributable to common stockholders (3,615 ) 17,169 Net (loss) income per share Net (loss) income per share, basic (0.10 ) 1.59 Net (loss) income per share, diluted (0.13 ) 1.27 Weighted average shares outstanding, basic 37,322,177 10,825,824 Weighted average shares outstanding, diluted 37,509,127 11,050,824 FALCON'S BEYOND GLOBAL, INC. AND SUBSIDIARIES CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (UNAUDITED) (in thousands of U.S. dollars) Three months ended March 31,2025 March 31,2024 Cash flows from operating activities Net (loss) income $ (8,092 ) $ 114,024 Adjustments to reconcile net (loss) income to net cash provided by (used in) operating activities: Depreciation and amortization 4 1 Foreign exchange transaction (gain) loss (752 ) 375 Share of loss (gain) from equity method investments 4,063 (1,154 ) Change in deferred tax assets — — Credit loss expense - 12 Change in fair value of earnouts - (118,615 ) Change in fair value of warrants (2,886 ) (208 ) Share based compensation expense 531 346 Loss on sale of equipment — 2 Changes in assets and liabilities: Accounts receivable 1,098 (1,133 ) Contract assets (86 ) — Deferred transaction costs 588 — Other current assets 172 73 Other non-current assets 13 (58 ) Accounts payable (30 ) 2,669 Accrued expenses and other current liabilities 6,322 (102 ) Net cash provided by (used in) operating activities 945 (3,768 ) Cash flows from investing activities Purchase of property and equipment (92 ) (4 ) Proceeds from sale of equipment 2 2 Investments and advances to unconsolidated joint ventures — (2,094 ) Net cash used in investing activities (90 ) (2,096 ) Cash flows from financing activities Proceeds from debt – related party — 7,221 Proceeds from debt – third party — 1,250 Repayment of debt – related party — (1,182 ) Repayment of debt – third party (393 ) (427 ) Proceeds from related party credit facilities 1,248 4,650 Repayment of related party credit facilities (1,257 ) (5,392 ) Proceeds from exercised warrants — 111 Proceeds from RSUs issued to affiliates 198 — Settlement of RSUs (397 ) — Net cash (used in) provided by financing activities (601 ) 6,231 Net increase in cash and cash equivalents 254 367 Foreign exchange impact on cash 29 11 Cash and cash equivalents – beginning of period 825 672 Cash and cash equivalents at end of period $ 1,108 $ 1,050 Reconciliation of Non-GAAP Financial Measure The following table sets forth reconciliations of net income (loss) under US GAAP to Adjusted EBITDA for the following periods: (Unaudited) Three months ended March 31,2025 March 31,2024 Net (loss) income $ (8,092 ) $ 114,024 Interest expense 1,332 269 Interest income (3 ) (3 ) Income tax benefit (1 ) (1 ) Depreciation and amortization expense 4 1 EBITDA (6,760 ) 114,290 Transaction expenses 1,521 7 Credit loss expense related to the closure of the Sierra Parima Katmandu Park — 12 Change in fair value of warrant liabilities (2,886 ) (208 ) Change in fair value of earnout liabilities — (118,615 ) Adjusted EBITDA $ (8,125 ) $ (4,514 ) View source version on Contacts Media Relations: Kathleen Prihoda, Falcon's Beyond: kprihoda@ Investor Relations: ir@
Business Wire
15-05-2025
- Business
- Business Wire
Falcon's Beyond Reports First Quarter 2025 Financial Results
ORLANDO, Fla.--(BUSINESS WIRE)--Falcon's Beyond Global, Inc. (Nasdaq: FBYD) ('Falcon's Beyond', 'Falcon's' or the 'Company'), a visionary leader in innovative and immersive storytelling through its divisions Falcon's Creative Group ('FCG'), Falcon's Beyond Destinations ('FBD'), and Falcon's Beyond Brands ('FBB') today reported its financial results for the first quarter of fiscal year 2025 ended March 31, 2025. First Quarter 2025 Financial Results Revenue: Falcon's Beyond generated consolidated revenues of $1.7 million for the three months ended March 31, 2025, representing fees for corporate and shared services earned from its FCG division, management fees from its Producciones de Parques, S.L. ('PDP') 50:50 joint venture with Melia Hotels Int'l, and attraction maintenance service fees from its Falcon's Beyond Brands division. FCG recorded revenues of $6.3 million in the three months ended March 31, 2025, representing a decrease of $8.6 million, or 57.7%, over the corresponding period of 2024 primarily due to timing of projects. FCG recorded an operating loss of ($2.8) million and a net loss of ($3.0) million in the three months ended March 31, 2025, compared with an operating income of $1.6 million and net income of $1.8 million for the corresponding 2024 period. After the Qiddiya Investment Company (QIC) preferred return and amortization of basis difference, Falcon's Beyond's share of net loss from FCG was $(4.6) million in the three months ended March 31, 2025. PDP recognized revenues of $7.2 million in the three months ended March 31, 2025, a $0.2 million decrease over the corresponding period of 2024, primarily due to the impact of foreign currency translation of the results of the European joint venture. Income from operations increased $0.3 million to $1.6 million for the three months ended March 31, 2025, compared with operating income of $1.3 million for the corresponding period of 2025. Net income was flat at $1.0 million for the three months ended March 31, 2025, and March 31, 2024. Falcon's Beyond's share of income was $0.5 million from PDP for three months ended March 31, 2025. Net Income: Falcon's Beyond's consolidated net loss of $ (8.1) million for the three months ended March 31, 2025, decreased $122.1 million compared with the corresponding 2024 period, primarily driven by a $118.6 million quarter-over-quarter change in the fair value of earnout liabilities, $1.5 million of transaction expenses related to the Company's S-1 filings in 2025, a $5.2 million increase in share of losses from equity method investments, and a $1.1 million increase in interest expense, partially offset by a $2.7 million quarter-over-quarter change in fair value of warrant liabilities, $1.1 million increase in unrealized foreign currency transactional gains and $0.5 million decrease in other expenses. EBITDA: Falcon's Beyond's adjusted EBITDA(1) loss increased $3.6 million to $(8.1) million loss for the three months ended March 31, 2025, compared with $(4.5) million loss for the corresponding 2024 period. Adjusted EBITDA loss for the three months ended March 31, 2024, was primarily driven by a $5.2 million increase in in share of losses from equity method investments, partially offset by a $1.1 million increase in unrealized foreign currency transactional gains and $0.5 million decrease in other expenses. (1) Adjusted EBITDA is a non-GAAP financial measure. See 'Use and Definition of Non-GAAP Financial Measure" below for more information and a reconciliation to the most directly comparable GAAP measure. Expand Other Business Highlights Warrant Agreement Amendment and Exchange: This initiative simplified the Company's capital structure by providing Warrant holders conversion of their holdings into equity in Falcon's Beyond at a fixed exchange rate. The mandatory exchange of Warrants takes place on October 6, 2028 (the 'Exchange Date') for shares of the Company's Class A common stock, par value $0.0001 per share ('Class A Common Stock') at an exchange ratio of 0.25 shares of Class A Common Stock per Warrant (the 'Exchange Ratio'). The mandatory exchange was pursuant to an amendment which became effective on January 14, 2025, authorized by holders of more than 50% of the Warrants. After the effectiveness of the Warrant Agreement Amendment and until the Exchange Date, the warrants, as amended by the Warrant Agreement Amendment, will not be exercisable and the holders of the warrants will have no further rights except to receive shares of Class A Common Stock at the Exchange Ratio on the Exchange Date. This initiative simplified the Company's capital structure by providing Warrant holders conversion of their holdings into equity in Falcon's Beyond at a fixed exchange rate. The mandatory exchange of Warrants takes place on October 6, 2028 (the 'Exchange Date') for shares of the Company's Class A common stock, par value $0.0001 per share ('Class A Common Stock') at an exchange ratio of 0.25 shares of Class A Common Stock per Warrant (the 'Exchange Ratio'). The mandatory exchange was pursuant to an amendment which became effective on January 14, 2025, authorized by holders of more than 50% of the Warrants. After the effectiveness of the Warrant Agreement Amendment and until the Exchange Date, the warrants, as amended by the Warrant Agreement Amendment, will not be exercisable and the holders of the warrants will have no further rights except to receive shares of Class A Common Stock at the Exchange Ratio on the Exchange Date. Oceaneering Entertainment Systems ("OES") Transaction: On May 9, 2025, The Company acquired key assets of Oceaneering Entertainment System ('OES'), a division of Oceaneering International Inc. ('OII'). In the transaction, the Company purchased certain tangible assets, OES's portfolio of intellectual property, including patented technologies, proprietary engineering and manufacturing processes, and assumed the lease for a 106,000+ square-foot facility in Orlando, FL to be utilized by the Falcon's Beyond Brands division to bolster Falcon's research, development, manufacturing, and attraction integration services, in addition to hiring key members of OES' highly experienced team in February 2025. The Company has an option to acquire certain OES vehicle inventory exercisable on or before July 23, 2025. The transaction follows a letter of intent previously announced on November 19, 2024, with Falcon's, rather than Infinite Acquisitions Partners LLC, making the purchase. 'At Falcon's Beyond, our mission is to push the boundaries of immersive storytelling across every dimension of the global experience economy, from media and IP development to destination attractions and consumer products. The acquisition of Oceaneering Entertainment Systems is an exciting step that enhances just one aspect of our broader strategy. With the addition of cutting-edge ride technologies, advanced manufacturing capabilities, and a world-class team, we're expanding our toolbox for innovation. But this is only part of the story. As we continue to diversify our offerings, deepen our IP portfolio, and forge new strategic partnerships, we remain focused on building an enduring platform that delivers exceptional value to our audiences and shareholders alike,' said Simon Philips, President of Falcon's Beyond. About Falcon's Beyond Falcon's Beyond is a visionary innovator in immersive storytelling, sitting at the intersection of three potential high growth business opportunities: content, technology, and experiences. Falcon's Beyond propels intellectual property (IP) activations concurrently across physical and digital experiences through three core business units: Falcon's Creative Group creates master plans, designs attractions and experiential entertainment, and produces content, interactives, and software. creates master plans, designs attractions and experiential entertainment, and produces content, interactives, and software. Falcon's Beyond Destinations develops a diverse range of entertainment experiences using both Falcon's Beyond owned and third party licensed intellectual property, spanning location-based entertainment, dining, and retail. develops a diverse range of entertainment experiences using both Falcon's Beyond owned and third party licensed intellectual property, spanning location-based entertainment, dining, and retail. Falcon's Beyond Brands endeavors to bring brands and intellectual property to life through animation, movies, licensing and merchandising, gaming as well as ride and technology sales. Falcon's Beyond also invents immersive rides, attractions, and technologies for entertainment destinations around the world. FALCON'S BEYOND and its related trademarks are owned by Falcon's Beyond. Falcon's is headquartered in Orlando, Fla. Learn more at Falcon's Beyond may use its website as a distribution channel of material Company information. Financial and other important information regarding the Company is routinely accessed through and posted on our website at In addition, you may automatically receive email alerts and other information about Falcon's when you enroll your email address by visiting the Email Alerts section at Cautionary Note Regarding Forward-Looking Statements This press release contains statements that are 'forward-looking statements' within the meaning of the Private Securities Litigation Reform Act of 1995. When used in this press release, words such as 'will,' 'would', "aim", enhances', 'expanding', 'diversify', 'deepen', 'forge', 'building', 'delivers', 'exceptional' and similar expressions identify forward-looking statements, but the absence of these words does not mean that a statement is not forward-looking. Forward-looking statements are subject to risks and uncertainties that could cause actual results to differ from those expressed in or implied by the forward-looking statements, including (1) any failure to realize the anticipated benefits of the acquisition of OES, (2) risks related to legacy OES products and our ability to service such products, (3) the risk that the OES acquisition, integration of the OES personnel we hired, and efforts to grow Falcon's Attractions disrupts our other operations, (4) our ability to grow current and future potential customer relationships (5) our ability to sustain our growth, effectively manage our anticipated future growth, and implement our business strategies to achieve the results we anticipate, (6) our current liquidity resources raise substantial doubt about our ability to continue as a going concern (7) impairments of our intangible assets and equity method investment in our joint ventures, (8) our ability to raise additional capital, (9) the closure of Katmandu Park DR and the repositioning and rebranding of our FBD business, (6) the success of our growth plans in FCG, (10) our customer concentration in FCG, (11) the risk that contractual restrictions relating to the Strategic Investment may affect our ability to access the public markets and expand our business, (12) the risks of doing business internationally, including in the Kingdom of Saudi Arabia, (13) our indebtedness, (14) our dependence on strategic relationships with local partners in order to offer and market our products and services in certain jurisdictions, (15) our reliance on our senior management and key employees, and our ability to hire, train, retain, and motivate qualified personnel, (16) our reliance on our senior management and key employees, and our ability to hire, train, retain, and motivate qualified personnel, (17) cybersecurity-related risks, (18) our ability to protect our intellectual property, including the intellectual property purchased from OES, (19) our ability to remediate identified material weaknesses in our internal controls over financial reporting, (20) the concentration of share ownership and the significant influence of the Demerau Family and Cecil D. Magpuri, (21) the outcome of pending, threatened and future legal proceedings, (22) our continued compliance with Nasdaq continued listing standards, (23) risks related to our Up-C entity structure and the fact that we may be required to make substantial payments to certain unitholders under our Tax Receivable Agreement, and (24) the risks disclosed under the caption 'Risk Factors' in the Company's most recent Annual Report on Form 10-K, and the Company's other filings with the Securities and Exchange Commission. The forward-looking statements herein speak only as of the date of this press release, and the Company undertakes no obligation to publicly update or revise any forward-looking statement as a result of new information, future events or otherwise, except as otherwise required by law. Use and Definition of Non-GAAP Financial Measure We prepare our consolidated financial statements in accordance with US GAAP. In addition to disclosing financial results prepared in accordance with US GAAP, we disclose information regarding Adjusted EBITDA which is a non-GAAP measure. We define Adjusted EBITDA as net income (loss), determined in accordance with US GAAP, for the period presented, before net interest and expense, income tax expense, depreciation and amortization, transaction expenses related to the business combination, credit loss expense related to the closure of the Sierra Parima Katmandu Park, share of equity method investee's impairment of fixed assets, impairment of equity method investments, change in fair value of warrant liabilities, change in fair value of earnout liabilities, intangible asset impairment loss, and gain on deconsolidation of FCG. We believe that Adjusted EBITDA is useful to investors as it eliminates the non-cash depreciation and amortization expense that results from our capital investments and intangible assets recognized in any business combination and improves comparability by eliminating the interest expense associated with our debt facilities, and eliminating the change in fair value of warrant and earnout liabilities, which may not be comparable with other companies based on our structure. Adjusted EBITDA has limitations as an analytical tool, and you should not consider it in isolation, or as a substitute for analysis of our results as reported under US GAAP. Some of these limitations are (i) it does not reflect our cash expenditures, or future requirements for capital expenditures or contractual commitments, (ii) it does not reflect changes in, or cash requirements for, our working capital needs, (iii) it does not reflect interest expense, or the cash requirements necessary to service interest or principal payments, on our debt, (iv) although depreciation and amortization are non-cash charges, the assets being depreciated and amortized will often have to be replaced in the future, and Adjusted EBITDA does not reflect any cash requirements for such replacements, (v) it does not adjust for all non-cash income or expense items that are reflected in our statements of cash flows, and (vi) other companies in our industry may calculate these measures differently than we do, limiting their usefulness as comparative measures. BEYOND GLOBAL, INC. AND SUBSIDIARIES CONDENSED CONSOLIDATED BALANCE SHEETS (UNAUDITED) (in thousands of U.S. dollars, except share and per share data) As of March 31, 2025 As of December 31, 2024 Assets Current assets: Cash and cash equivalents $ 1,108 $ 825 Accounts receivable 628 1,716 Other current assets 834 1,593 Total current assets 2,656 4,134 Investments and advances to equity method investments 53,454 56,560 Property and equipment, net 110 24 Other non-current assets 500 513 Total assets $ 56,720 $ 61,231 Liabilities and stockholders' equity (deficit) Current liabilities: Accounts payable $ 9,519 $ 9,540 Accrued expenses and other current liabilities 32,195 25,870 Short term debt 8,471 8,471 Current portion of long-term debt 1,917 1,759 Total current liabilities 52,102 45,640 Long-term debt, net of current portion 30,565 30,977 Warrant liabilities — 4,711 Total liabilities 82,667 81,328 Commitments and contingencies – Note 10 Stockholders' equity (deficit) Deficit attributable to common stockholders (11,597 ) (8,965 ) Non-controlling interest (14,350 ) (11,132 ) Total deficit (25,947 ) (20,097 ) Total liabilities and equity $ 56,720 $ 61,231 Expand FALCON'S BEYOND GLOBAL, INC. AND SUBSIDIARIES CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (UNAUDITED) (in thousands of U.S. dollars, except share and per share data) Three months ended March 31, 2025 March 31, 2024 Revenue $ 1,708 $ 1,516 Operating expenses: Project design and build expense 106 — Selling, general and administrative expense 6,298 6,793 Transaction expenses 1,521 7 Credit loss expense — 12 Research and development expense 118 16 Depreciation and amortization expense 4 1 Total operating expenses 8,047 6,829 Loss from operations (6,339 ) (5,313 ) Share of (loss) gain from equity method investments (4,063 ) 1,154 Interest expense (1,332 ) (269 ) Interest income 3 3 Change in fair value of warrant liabilities 2,886 208 Change in fair value of earnout liabilities — 118,615 Foreign exchange transaction gain (loss) 752 (375 ) Net (loss) income before taxes $ (8,093 ) $ 114,023 Income tax benefit 1 1 Net (loss) income $ (8,092 ) $ 114,024 Net (loss) income attributable to noncontrolling interest (4,477 ) 96,855 Net (loss) income attributable to common stockholders (3,615 ) 17,169 Net (loss) income per share Net (loss) income per share, basic (0.10 ) 1.59 Net (loss) income per share, diluted (0.13 ) 1.27 Weighted average shares outstanding, basic 37,322,177 10,825,824 Weighted average shares outstanding, diluted 37,509,127 11,050,824 Expand FALCON'S BEYOND GLOBAL, INC. AND SUBSIDIARIES CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (UNAUDITED) (in thousands of U.S. dollars) Three months ended March 31, 2025 March 31, 2024 Cash flows from operating activities Net (loss) income $ (8,092 ) $ 114,024 Adjustments to reconcile net (loss) income to net cash provided by (used in) operating activities: Depreciation and amortization 4 1 Foreign exchange transaction (gain) loss (752 ) 375 Share of loss (gain) from equity method investments 4,063 (1,154 ) Change in deferred tax assets — — Credit loss expense - 12 Change in fair value of earnouts - (118,615 ) Change in fair value of warrants (2,886 ) (208 ) Share based compensation expense 531 346 Loss on sale of equipment — 2 Changes in assets and liabilities: Accounts receivable 1,098 (1,133 ) Contract assets (86 ) — Deferred transaction costs 588 — Other current assets 172 73 Other non-current assets 13 (58 ) Accounts payable (30 ) 2,669 Accrued expenses and other current liabilities 6,322 (102 ) Net cash provided by (used in) operating activities 945 (3,768 ) Cash flows from investing activities Purchase of property and equipment (92 ) (4 ) Proceeds from sale of equipment 2 2 Investments and advances to unconsolidated joint ventures — (2,094 ) Net cash used in investing activities (90 ) (2,096 ) Cash flows from financing activities Proceeds from debt – related party — 7,221 Proceeds from debt – third party — 1,250 Repayment of debt – related party — (1,182 ) Repayment of debt – third party (393 ) (427 ) Proceeds from related party credit facilities 1,248 4,650 Repayment of related party credit facilities (1,257 ) (5,392 ) Proceeds from exercised warrants — 111 Proceeds from RSUs issued to affiliates 198 — Settlement of RSUs (397 ) — Net cash (used in) provided by financing activities (601 ) 6,231 Net increase in cash and cash equivalents 254 367 Foreign exchange impact on cash 29 11 Cash and cash equivalents – beginning of period 825 672 Cash and cash equivalents at end of period $ 1,108 $ 1,050 Expand Reconciliation of Non-GAAP Financial Measure The following table sets forth reconciliations of net income (loss) under US GAAP to Adjusted EBITDA for the following periods: (Unaudited) Three months ended March 31, 2025 March 31, 2024 Net (loss) income $ (8,092 ) $ 114,024 Interest expense 1,332 269 Interest income (3 ) (3 ) Income tax benefit (1 ) (1 ) Depreciation and amortization expense 4 1 EBITDA (6,760 ) 114,290 Transaction expenses 1,521 7 Credit loss expense related to the closure of the Sierra Parima Katmandu Park — 12 Change in fair value of warrant liabilities (2,886 ) (208 ) Change in fair value of earnout liabilities — (118,615 ) Adjusted EBITDA $ (8,125 ) $ (4,514 ) Expand
