Dolphin Entertainment Reports Record Revenue in Third Quarter 2026

Bill O'Dowd, CEO of Dolphin Entertainment

“Dolphin had an outstanding third quarter. Revenue for the quarter grew 8.3% year-over-year to $16.0 million, the highest quarterly revenue in Dolphin's history, even including Q1 2024 when we reported $3.4 million from Blue Angels. This is all organic growth, and actually would have been 9.7% excluding Always Alpha, which we spun-out in November 2025. For the first nine months, revenue grew 5.4% to $43.3 million, or 6.5% excluding Always Alpha. Last quarter, we said to expect a meaningful step up in profitability in the third quarter, and that is what we delivered. We reported net income of $0.2 million, compared to a net loss of $0.4 million a year ago, and adjusted EBITDA increased 42.9% to $1.6 million versus $1.1 million a year ago. For the first nine months, adjusted EBITDA increased 24% to $1.4 million versus $1.1 million a year ago. We believe that our large non-cash amortization expenses often obscure our cash flow results, which is why we prefer to measure ourselves using adjusted EBITDA versus net income. We built Dolphin to grow steadily and to grow profits faster than revenue, and this quarter shows it. Revenue grew more than 8%, well ahead of growth in our core operating costs. We expect continued improved operating results in the quarters ahead, especially as we get stronger each quarter in cross-selling services between our various agencies. We expect to continue to be able to leverage our horizontal scale across the major sectors of entertainment, and our vertical scale in the various disciplines of earned media. The free cash flow drivers we have discussed also remain on schedule. The largest of our New York and Los Angeles leases expire in the second half of 2027, from which we expect to save more than $1 million a year, and our primary bank term loan matures in September 2028, which will free up approximately $2.2 million a year in principal and interest payments. With approximately $127 million in NOL carryforwards, we expect most of these savings to flow directly to free cash flow. We also expect 2027 to be a big year for our ventures. We have identified our next two ventures and expect at least one to be in market in the first quarter of 2027, and we are on track for three more during the year, for a total of four in 2027. At Graviteur Studios, Kristen Brancaccio will direct our first feature, "Crush Party." Kristen directed Issa Rae's vertical series Screen Time, the most-watched English-language microdrama on TikTok, with more than 580 million views. Casting is underway, and production is slated to begin in the first half of 2027. Finally, I have continued to buy Dolphin stock every week under my 10b5-1 plan and now own over 5% of the common shares outstanding. Management remains closely aligned with shareholders in building long-term value.”