SeaChange Reports Estimated and Unaudited Preliminary Fiscal Third Quarter and Nine Month Fiscal 2024 Financial Results

Board of Directors Authorizes Up To $2.25 Million Stock Repurchase Program

BOSTON, Nov. 20, 2023 (GLOBE NEWSWIRE) -- SeaChange International, Inc. (OTCPK: SEAC) (the “Company”), a leading provider of video delivery, advertising, streaming platforms, and emerging FAST (Free Ad-Supported Streaming TV services) products, has presented estimated and unaudited preliminary financial results for the three and nine months ended October 31, 2023.

Preliminary Fiscal Third Quarter 2024 Financial Highlights

• Total revenue of approximately $6.6 million
• GAAP net loss of approximately $0.1 million
• Adjusted EBITDA of approximately $0.2 million
• Approximately $16.0 million in cash and cash equivalents and marketable securities combined at quarter end

Preliminary Fiscal Nine Month 2024 Financial Highlights

• Total revenue of approximately $20.7 million
• GAAP net loss of approximately $2.1 million
• Adjusted EBITDA loss of approximately $0.3 million
  

Adjusted EBITDA Reconciliation (preliminary and unaudited)

To supplement the Company’s unaudited consolidated financial statements, which are prepared and presented in accordance with United States generally accepted accounting principles (“GAAP”), the Company uses certain non-GAAP measures, such as adjusted EBITDA. The Company defines non-GAAP loss from operations as GAAP net loss plus stock-based compensation expenses, severance and restructuring costs, transaction costs, other expense, net, and income tax provision, and adjusted EBITDA as non-GAAP loss from operations plus depreciation. The Company discusses non-GAAP loss from operations and adjusted EBITDA, as the Company believes non-GAAP operating loss from operations and adjusted EBITDA are important measures that are not calculated according to GAAP. The Company uses non-GAAP loss from operations and adjusted EBITDA in internal forecasts and models when establishing internal operating budgets, supplementing the financial results and forecasts reported to the board of directors (the “Board”) of the Company, determining a component of bonus compensation for Company executive officers and other key employees based on operating performance, and evaluating short-term and long-term operating trends in our operations. The Company believes that the non-GAAP loss from operations and adjusted EBITDA financial measures assist in providing an enhanced understanding of the Company’s underlying operational measures to manage the business, to evaluate performance compared to prior periods and the marketplace, and to establish operational goals. The Company believes that the non-GAAP financial adjustments are useful to investors because they allow investors to evaluate the effectiveness of the methodology and information used by management in our financial and operational decision-making.