Stingray Group Shares Down on 1Q Profit Decline

By Adriano Marchese

Stingray Group shares slid as higher costs dragged first-quarter profit lower, overshadowing an acquisition-led rise revenue.

Shares fell 4.2% to 14.75 Canadian dollars ($10.58).

For the three months ended June 30, the Montreal-based connected streaming media company's net income fell to C$6.59 million, or C$0.10 a share, from C$16.8 million, or C$0.24 a share, in the prior-year period, largely due to higher acquisition costs, increased noncash depreciation and amortization, as well as an unrealized loss on the fair value of derivative financial instruments.

Adjusted earnings, which strips out exceptional items and other one-off costs, came to C$0.40 a share, missing expectations for C$0.45.

Adjusted earnings before interest, taxes, depreciation and amortization rose 49% to C$50.3 million.

Revenue in the quarter surged by 65% to C$158 million, topping expectations for a more modest rise to C$148.9 million, according to FactSet.

The company cited higher advertising revenue from the TuneIn acquisition and increased FAST channel sales, with most of the gains coming from the U.S. Chief Executive Eric Boyko said these contributed to overall growth of 65.2% and organic growth of 27.5% year-over-year.

Write to Adriano Marchese at adriano.marchese@wsj.com

(END) Dow Jones Newswires

August 10, 2026 10:33 ET (14:33 GMT)