WildBrain Reports Q4 and Full Year 2026 Results

Fiscal 2026 Operational Highlights Completed the sale of the Company's interest in Peanuts, repaid all corporate debt and exited television broadcasting, repositioning WildBrain around its three core growth platforms: Franchise & Global Licensing, Content and WildBrain Network. The Company continued to execute its normal course issuer bid ("NCIB"), repurchasing and cancelling common shares for approximately $3.2 million since launching, reflecting its ongoing commitment to returning capital to shareholders alongside disciplined investment in the business. Subsequent to the quarter, the Company announced the acquisition of Personality AI, a kid-safe, scalable interactive character platform, adding proprietary generative AI capabilities to WildBrain's franchise ecosystem across toys, apps, games and platforms. Continued to build fan engagement and cultural relevance for our owned franchises, including the rollout of two new Strawberry Shortcake series on the WildBrain Network, plus the June opening of WildBrain Garden, a themed retail experience for Teletubbies and In the Night Garden within Magic World, one of Asia's largest international IP-themed entertainment destinations in China. Q4 Financial Highlights for Continuing Operations 1 Revenue from continuing operations was $55.0 million, down 29% year over year. Net income attributable to Shareholders of the Company from continuing operations was $4.5 million, compared with net income attributable to Shareholders of the Company of $6.2 million in Q4 2025. Adjusted EBITDA from continuing operations attributable to Shareholders of the Company ("Adjusted EBITDA") 2 was $(4.0) million, a decrease of $12.0 million. Q4 Consolidated Cash Flow Highlights Cash used in operating activities was $30.0 million, compared to cash used in operating activities of $2.0 million in Q4 2025. Free Cash Flow 2 was negative $19.6 million, compared to negative $17.3 million in Q4 2025. Fiscal 2026 Financial Highlights for Continuing Operations 1 Revenue from continuing operations was $245.7 million, down 10% year over year. Net loss attributable to Shareholders of the Company from continuing operations was $74.9 million, compared with net loss attributable to Shareholders of the Company of $121.6 million in FY2025. Adjusted EBITDA was $20.8 million, down 22% year over year. Fiscal 2026 Consolidated Cash Flow Highlights Cash provided by operating activities was $57.9 million, compared to cash provided by operating activities of $152.5 million in FY2025. Free Cash Flow was negative $30.5 million, compared to positive $49.5 million in FY2025. Toronto, Ontario--(Newsfile Corp. - September 23, 2026) - WildBrain Ltd. (TSX: WILD) ("WildBrain" or the "Company"), a global leader in family entertainment, today reported its fourth quarter ("Q4 2026") results for the period ended June 30, 2026. Josh Scherba, WildBrain President and CEO, said: "Fiscal 2026 was a transformative year for WildBrain. We completed the sale of our interest in Peanuts, exited the television business, and fully repaid our corporate debt, sharpening our focus on growth driven by our three business pillars: Franchise & Global Licensing, Content and WildBrain Network. "While our fourth quarter results were affected by several discrete items and strategic investments in our franchises, we are encouraged by the performance of core growth drivers. Franchise & Global Licensing revenue grew 27% for the year, led by continued growth in owned-brand royalties from Strawberry Shortcake, and direct advertising drove growth in WildBrain Network in the quarter. "We enter Fiscal 2027 with positive momentum across our owned franchises, including Strawberry Shortcake and Teletubbies, confidence in an expanding pipeline of content production and the continued build-out of our direct advertising business. With a strengthened balance sheet and significant financial flexibility, we are well positioned to invest further in our brands, technology, advertising capabilities and operating infrastructure to harness the opportunities ahead." Nick Gawne, WildBrain CFO, added: "Our Fiscal 2027 outlook reflects growth across all three operating segments and demonstrates our confidence in the underlying strength and earnings potential of the business. Fiscal 2027 will be a deliberate investment year with capital directed toward initiatives that we expect will strengthen our long-term earnings power by growing our franchises, expanding monetization opportunities and improving the scalability of our operating platform. While these investments are expected to affect near-term profitability and Free Cash Flow, we expect they will position the Company to deliver stronger revenue and Adjusted EBITDA growth and enhanced Free Cash Flow generation beyond Fiscal 2027." Fiscal Year 2027 Outlook For Fiscal 2027, the Company expects: Revenue of $270 million to $295 million, representing year-over-year growth of approximately 15% at the midpoi