Starz Entertainment Q3 revenue rises year-over-year

Overview

• US premium entertainment firm's Q3 revenue and OTT revenue grew both sequentially and yr/yr

• Adjusted OIBDA for Q3 more than doubled yr/yr, despite an operating loss

• Company reaffirmed all 2026 financial targets, including OIBDA and free cash flow

Outlook

• Company reiterates outlook for positive year-over-year OTT revenue growth in 2026

• Company maintains 2026 Adjusted OIBDA outlook of mid-single-digit percentage growth

• Company reaffirms 2026 Unlevered Free Cash Flow outlook of $100 mln to $120 mln

Result Drivers

• PROGRAMMING PORTFOLIO - Co said its portfolio approach to programming is driving a more durable revenue base

• CONTENT COST STRUCTURE - Co undertook actions to rationalize its content portfolio and right-size content cost structure in response to industry changes

Company press release:

Key Details

Analyst Coverage

• The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 6 "strong buy" or "buy", 4 "hold" and no "sell" or "strong sell"

• Wall Street's median 12-month price target for Starz Entertainment Corp. is $37.00, about 64.4% above its October 28 closing price of $22.50

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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)