Cinedigm Corp. (NASDAQ:CIDM) Q1 2019 Earnings Conference Call - Final Transcript
Aug 14, 2018 • 04:30 pm ET
Good day, ladies and gentlemen, and thank you for your patience. You joined the Cinedigm Corp. Fiscal 2019 First Quarter Earnings Call.
As a reminder, this conference may be recorded.
I'd now like to turn the call over to your host, Executive Vice President, Jill Calcaterra. Ma'am, you may begin.
Thank you, Atif. Good afternoon, and thank you for joining us today for our first quarter fiscal 2018 earnings conference call -- I'm sorry, 2019, I apologize. Participating in today's call are Cinedigm's Chairman and Chief Executive Officer, Chris McGurk; Chief Financial Officer, Jeffrey Edell; and our General Counsel and Head of Digital Cinema, Gary Loffredo.
(Forward-Looking Cautionary Statements)
In addition, certain financial information presented in this call represents non-GAAP financial measures.
I'd now like to turn the call over to Chris McGurk.
Thanks, Jill, and thanks everyone for joining us on the call today. We're going to keep this brief today since we just held our last call eight weeks ago and announced many of the initiatives and accomplishments from the first quarter at that time.
Overall, we generated strong results during the first quarter, which exceeded our internal expectations, particularly the 31% adjusted EBITDA growth in our overall content and distribution business, our progress with OTT channel launches and new deal flow in our streaming business, and continued China business developments.
During the first quarter, we made significant progress advancing our OTT growth agenda to build the foundation for a high-margin streaming revenue flow from our nearly 30,000 titles of digital programming, our nine digital-first linear networks and our three direct-to-consumer OTT services.
Our first key effort has been to expand our base of rights in content partners. We added three new digital network partners in Gatherer, CombatGo and HallyPop, diversifying our channels in right space into the lifestyle, sports and music arenas and adding rights for several thousand hours of additional streaming content.
Our next key effort has been to expand our base of distribution in OTT footprint, which is critical in order to fully service and capitalize on the widespread sea-change consumer migration to OTT services. We grew our OTT platform to 95 partners, up 33% over the prior year and 19% from last quarter.
Key deals included a multi-year agreement with DISH Networks and Sling TV, as well as signed agreements with a market-leading streaming OEM manufacturer, two of the top 5 scaled ad-supported OTT platforms and another top 3 MVPD, all of which we will announce upon launch. Due to the significant growth in the industry, we currently have more than 30 additional OTT distribution deals at various stages of negotiation.
Our current addressable footprint covers more than 435 million connected devices, and we expect that, that reach, which increased by 19 million this quarter, to continue to grow considerably in the near future.
Our third key effort has been to leverage our OTT digital supply chain and partner footprint as a unique competitive advantage. As the global footprint of OTT services and