Revenue Growth - Service revenues increased by 11.0% to $4,619 thousand for the three months ended March 31, 2025, compared to $4,163 thousand for the same period in 2024[46] - Total revenues rose by 10.9% to $4,627 thousand for the three months ended March 31, 2025, from $4,171 thousand in the prior year[46] - Total revenues for the three months ended March 31, 2025, were $4,627,000, an increase of 11.2% from $4,163,000 for the same period in 2024[67] Profitability - Operating income surged by 109.6% to $153 thousand for the three months ended March 31, 2025, compared to $73 thousand in the same period of 2024[54] - Net income increased by 72.5% to $157 thousand for the three months ended March 31, 2025, up from $91 thousand in 2024[59] - Net income for the three months ended March 31, 2025, was $157,000, compared to $91,000 for the same period in 2024, reflecting a 72.5% increase[69] - EBITDA improved by 81.8% to $200 thousand for the three months ended March 31, 2025, from $110 thousand in 2024[60] - Adjusted EBITDA for the three months ended March 31, 2025, was $198,000, an increase of 56% from $127,000 in the same period of 2024[69] - Pre-Corporate EBITDA for the three months ended March 31, 2025, was $424,000, compared to $380,000 for the same period in 2024, representing an increase of 11.6%[69] Expenses - Salaries and service costs increased by 9.1% to $3,235 thousand for the three months ended March 31, 2025, compared to $2,966 thousand in 2024[46] - Office and general expenses rose by 15.9% to $968 thousand for the three months ended March 31, 2025, from $835 thousand in the same period of 2024[51] - Model costs for the three months ended March 31, 2025, were $13,162,000, an increase of 12.9% from $11,653,000 in the prior year[67] Cash and Tax - Cash balance decreased to $5.5 million at March 31, 2025, from $8.5 million at December 31, 2024[61] - The effective tax rate decreased to 30.2% for the three months ended March 31, 2025, down from 38.9% in the prior year[58] Revenue Recognition - The company recognizes revenue primarily from fashion model bookings and representation of social media influencers, with performance obligations satisfied at a point in time[72] - The company has adopted ASC 606 for revenue recognition, which reflects the expected consideration received for goods or services[71] Accounts Receivable and Impairment - Accounts receivable are recorded at gross amounts billed to customers, inclusive of model costs, leading to large relative balances[81] - The company performs annual impairment testing for goodwill and intangible assets, recognizing impairment losses when carrying amounts exceed fair values[82] Gross Billings - Gross billings grew by 12.5% to $17,789 thousand for the three months ended March 31, 2025, compared to $15,816 thousand in the previous year[60] - Gross Billings for the three months ended March 31, 2025, were $17,789,000, up 12.4% from $15,816,000 in the prior year[67]

Revenue and Income - Service revenues increased by 2.3% to $17.58 million in 2024 from $17.18 million in 2023, primarily due to increased commissions from model bookings[67][68] - Total revenues rose to $17.61 million in 2024, up from $17.21 million in 2023, reflecting a growth of 2.3%[67] - Net income rose to $0.61 million in 2024, compared to $0.43 million in 2023, driven by increased interest income[80] - Gross billings increased by 2.0% to $67.22 million in 2024 from $65.94 million in 2023, attributed to higher Core model bookings[81] Expenses and Costs - Salaries and service costs increased by 5.7% to $12.14 million in 2024 from $11.48 million in 2023, mainly due to personnel hires and payroll adjustments[70] - Corporate overhead expenses decreased by 8.8% to $0.88 million in 2024, compared to $0.97 million in 2023, due to cost savings from auditor changes[73] Profitability Metrics - Operating income decreased slightly to $0.7 million in 2024, with an operating margin of 4.0%, down from 4.2% in 2023[74] - EBITDA improved to $0.87 million in 2024, up from $0.83 million in 2023[89] Cash and Assets - Cash balance increased to $8.5 million at December 31, 2024, from $6.1 million at December 31, 2023, primarily due to net cash provided by operating activities[82] - Cash and cash equivalents include cash on hand and short-term investments with maturities of three months or less[103] Taxation - The effective tax rate increased to 40.2% in 2024 from 37.3% in 2023, reflecting higher tax expenses[78] - The company is subject to income taxes in multiple jurisdictions, including the United States and the United Kingdom[100] Revenue Recognition and Accounting Policies - The company recognizes revenue when performance obligations are satisfied, typically on the day of the event, with fees agreed in advance[96] - Service revenues are reported on a net basis, reflecting gross amounts billed minus amounts owed to talent and related costs[97] - Accounts receivable are recorded at gross amounts billed to customers, leading to large balances relative to total revenue[98] - Share-based compensation expense is estimated at grant date and recognized over the requisite service period, influenced by stock price and various assumptions[99] - Deferred tax assets are recognized for unused tax losses and credits, with a valuation allowance established if future taxable income is uncertain[101] - The company performs annual impairment testing for goodwill and intangible assets, recognizing losses if carrying amounts exceed fair values[107] - Indefinite lived intangible assets are evaluated for impairment using the relief from royalty method, requiring various assumptions about future revenues and rates[109] - The company maintains an allowance for doubtful accounts to account for estimated losses from uncollectible accounts receivable[105]

Revenue Performance - Service revenues for the three months ended September 30, 2024, increased by 2.2% to $4.562 million compared to $4.465 million in the same period of 2023, while revenues for the nine months decreased by 0.9% to $13.309 million from $13.427 million[46] - Total revenues for the three months ended September 30, 2024, were $4.569 million, a 2.2% increase from $4.472 million in 2023, and for the nine months, total revenues decreased by 0.9% to $13.331 million from $13.449 million[46] - Gross billings for the three months ended September 30, 2024, increased by 12.4% to $18.168 million compared to $16.158 million in 2023, while for the nine months, gross billings decreased by 0.6% to $50.966 million from $51.286 million[47] - Gross Billings for the three months ended September 30, 2024, was $18.168 million, an increase of 12.4% compared to $16.158 million for the same period in 2023[71] - Total Revenues for the three months ended September 30, 2024, were $4.569 million, a rise of 2.2% from $4.472 million for the same period in 2023[71] Income and Expenses - Salaries and service costs rose by 9.0% to $3.099 million for the three months and by 4.7% to $9.112 million for the nine months ended September 30, 2024, compared to the same periods in 2023[51] - Operating income for the three months ended September 30, 2024, was $0.335 million, down 28.3% from $0.467 million in 2023, while for the nine months, operating income decreased by 4.7% to $0.805 million from $0.845 million[56] - The operating margin decreased to 7.3% for the three months and 6.0% for the nine months ended September 30, 2024, compared to 10.4% and 6.3% in 2023, respectively[56] - Net income for the three months ended September 30, 2024, was $0.310 million, a decrease of 13.4% from $0.359 million in 2023, while for the nine months, net income increased by 28.6% to $0.648 million from $0.504 million[46] - Net income for the three months ended September 30, 2024, was $310 thousand, a decrease of 13.6% compared to $359 thousand for the same period in 2023[62] - Net income for the nine months ended September 30, 2024, increased to $648 thousand, up 28.6% from $504 thousand for the same period in 2023, primarily due to interest income from short-term investments[62] - EBITDA for the three months ended September 30, 2024, was $376 thousand, a decrease of 30.4% compared to $540 thousand for the same period in 2023[72] - Adjusted EBITDA for the three months ended September 30, 2024, was $380 thousand, down 30.5% from $547 thousand for the same period in 2023[72] - The Company had an income tax expense of $0.1 million for the three months ended September 30, 2024, consistent with the same period in 2023[61] Cash and Liquidity - Cash balance increased to $6.5 million at September 30, 2024, from $6.1 million at December 31, 2023, reflecting a net cash provided by operating activities of $0.3 million[64] - The Company believes it has sufficient liquidity to meet its projected operational expenses and capital expenditure requirements for the next twelve months and beyond[66] Foreign Exchange and Interest Income - The company experienced a foreign exchange loss of $4 thousand for the three months and $18 thousand for the nine months ended September 30, 2024, compared to a gain of $18 thousand and a loss of $61 thousand in the same periods of 2023[57] - Interest income for the three months ended September 30, 2024, was $90 thousand, compared to $0 thousand in 2023, while for the nine months, interest income was $263 thousand compared to $0 thousand in 2023[59] Strategic Initiatives - The company plans to expand its brand awareness, women's high-end fashion board, and representation of celebrities and social media influencers as part of its long-term strategy[42] Model Costs - Model costs for the three months ended September 30, 2024, were $13.599 million, an increase of 16.3% compared to $11.686 million for the same period in 2023[71]

Revenue Performance - Service revenues for Q2 2024 increased by 2.2% to $4.584 million compared to $4.486 million in Q2 2023, while revenues for the first half of 2024 decreased by 2.4% to $8.747 million from $8.962 million in the same period last year [40]. - Total revenues for the first half of 2024 were $8.762 million, down 2.4% from $8.977 million in the same period of 2023 [40]. - Gross Billings for the three months ended June 30, 2024, were $16.976 million, a decrease of 3.2% from $17.541 million in the same period of 2023 [60]. - The Company reported total revenues of $4.591 million for the three months ended June 30, 2024, compared to $4.493 million for the same period in 2023, reflecting a modest growth [60]. Profitability - Operating income for Q2 2024 was $397 thousand, a significant increase of 166.4% compared to $149 thousand in Q2 2023, resulting in an operating margin of 2.3% versus 0.8% in the prior year [40]. - Net income for Q2 2024 reached $247 thousand, a remarkable increase of 1864.3% from a net loss of $14 thousand in Q2 2023 [40]. - EBITDA for Q2 2024 was $434 thousand, representing a 201.4% increase from $144 thousand in Q2 2023 [41]. - EBITDA for the three months ended June 30, 2024, was $434 thousand, compared to $144 thousand for the same period in 2023, reflecting a substantial increase in operational efficiency [62]. - Adjusted EBITDA for the six months ended June 30, 2024, was $569 thousand, up from $534 thousand for the same period in 2023, indicating stable performance [62]. Expenses - Salaries and service costs increased by 2.3% in Q2 2024 to $3.047 million, and by 2.6% for the first half of 2024 to $6.013 million, primarily due to personnel hires [45]. - Office and general expenses decreased by 18.2% in Q2 2024 to $870 thousand, and by 20.4% for the first half of 2024 to $1.705 million, mainly due to reduced legal and office expenses [46]. - Model costs for the three months ended June 30, 2024, were $12.385 million, down from $13.048 million in the same period of 2023, showing a reduction in costs [60]. Tax and Liquidity - The effective tax rate improved to 47.9% in Q2 2024 from 115.9% in Q2 2023, reflecting a decrease in deferred tax expenses [40]. - The Company believes it has sufficient liquidity to meet projected operational expenses and capital expenditure requirements for the next twelve months [55]. - The Company’s primary liquidity needs are for working capital associated with performing services under client contracts, with significant operating expenses incurred [55]. - Cash balance decreased to $5.7 million at June 30, 2024, down from $6.1 million at December 31, 2023, primarily due to $0.8 million net cash used in operating activities [54]. Strategic Initiatives - The company plans to expand its women's high-end fashion board and increase brand awareness among advertisers and potential talent as part of its long-term strategy [37]. - The Company reported a foreign exchange loss of $7 thousand in Q2 2024, significantly lower than the $61 thousand loss in Q2 2023 [50]. - The Company calculates Gross Billings as total revenue plus model costs, which includes amounts owed to talent and related costs [58].

Financial Performance - Total revenues for Q1 2024 were $4.171 million, a decrease of 7.0% compared to $4.484 million in Q1 2023[1][2] - Net income for Q1 2024 was $0.091 million, down 42.8% from $0.159 million in Q1 2023, resulting in earnings of $0.02 per fully diluted share[3][14] - Gross billings for Q1 2024 were $15.824 million, a decline of 10.0% from $17.587 million in Q1 2023[1][5] - Operating income decreased by 68.1% to $0.073 million in Q1 2024 from $0.229 million in Q1 2023[1][14] - Pre-Corporate EBITDA for Q1 2024 was $0.381 million, down 30.5% from $0.548 million in Q1 2023[1][9] - Net income for the three months ended March 31, 2024, was $91 million, a decrease of 42.8% compared to $159 million in the same period of 2023[18] Cash Flow and Assets - Cash and cash equivalents as of March 31, 2024, were $4.734 million, down from $6.117 million at the end of 2023[12] - Total assets decreased to $40.251 million as of March 31, 2024, from $41.665 million at the end of 2023[12] - Operating cash flows showed a net cash used of $1,316 million, compared to $1,135 million in the prior year, indicating a decline in cash flow performance[18] - Cash and cash equivalents at the end of the period were $4,734 million, down from $10,861 million at the end of the same period last year[18] - The company reported a foreign currency effect on cash flows of $(30) million, contrasting with a positive effect of $86 million in the previous year[18] Expenses and Costs - Salaries and service costs increased by 3.0% in Q1 2024, primarily due to personnel hires and payroll adjustments[10] - Office and general expenses decreased by 22.7% in Q1 2024, attributed to reduced legal and computer expenses[10] Shareholder Equity - Total shareholders' equity increased slightly to $24.968 million as of March 31, 2024, compared to $24.896 million at the end of 2023[12] Future Outlook and Strategy - The company anticipates future gross billing levels and revenue growth, but actual results may vary due to business and economic risks[22] - The company continues to focus on its planning and budgeting processes using key operating metrics to monitor financial and operational results[22] Company Profile - Wilhelmina International, Inc. operates in multiple locations including New York, Los Angeles, Miami, and London, indicating a broad market presence[23] - The company is publicly traded on the Nasdaq Capital Market under the symbol WHLM, providing transparency and access to investors[23] Non-GAAP Measures - Gross Billings, EBITDA, Adjusted EBITDA, and Pre-Corporate EBITDA are key non-GAAP financial measures used by the company to assess performance, although specific figures for these measures were not disclosed in the provided content[19] - The company has no significant non-recurring items affecting Adjusted EBITDA for the three months ended March 31, 2024, and 2023[19]

Revenue Performance - Service revenues for the three months ended March 31, 2024, decreased by 7.0% to $4.163 million compared to $4.476 million for the same period in 2023[48] - Total revenues for the three months ended March 31, 2024, were $4.171 million, down 7.0% from $4.484 million in the prior year[48] - Total revenues for the three months ended March 31, 2024, were $4,171,000, a decrease of 7% compared to $4,484,000 for the same period in 2023[72] Income and Profitability - Operating income fell to $73 thousand for the three months ended March 31, 2024, a decrease of 68.1% from $229 thousand in the same period of 2023[56] - Net income for the three months ended March 31, 2024, was $91 thousand, down 42.8% from $159 thousand in the prior year[63] - EBITDA for the three months ended March 31, 2024, was $110,000, a decline of 58% from $262,000 in the prior year[74] - Adjusted EBITDA decreased to $128,000, down 58% from $304,000 for the same period in 2023[74] - Pre-Corporate EBITDA was $381,000, a decrease of 31% compared to $548,000 in the same quarter of the previous year[74] - The company reported a net income of $91,000 for the three months ended March 31, 2024, compared to $159,000 for the same period in 2023[74] Expenses - Salaries and service costs increased by 3.0% to $2.966 million for the three months ended March 31, 2024, compared to $2.880 million in 2023[52] - Office and general expenses decreased by 22.7% to $835 thousand for the three months ended March 31, 2024, from $1.080 million in the prior year[53] - Model costs for the three months ended March 31, 2024, were $11,653,000, a decrease of 11% from $13,103,000 in the prior year[72] - Corporate overhead expenses increased to $253,000, compared to $244,000 in the same quarter of the previous year[74] - Share-based payment expense was $11,000, down from $24,000 year-over-year[74] Cash Flow and Financial Position - Cash balance decreased to $4.7 million at March 31, 2024, from $6.1 million at December 31, 2023[65] - The company incurred $1.3 million net cash used in operating activities for the three months ended March 31, 2024[67] Other Financial Metrics - Gross billings decreased by 10.1% to $15.824 million for the three months ended March 31, 2024, compared to $17.587 million in 2023[64] - Gross Billings for the same period were $15,824,000, down 10% from $17,587,000 year-over-year[72] - The effective tax rate increased to 38.9% for the three months ended March 31, 2024, compared to 24.3% in the same period of 2023[62] - Foreign exchange loss for the quarter was $7,000, compared to a loss of $18,000 in the previous year[74]

Financial Performance - Total revenues decreased by 3.2% to $17.212 million in 2023 from $17.780 million in 2022, primarily due to decreased commissions from model bookings[68][70]. - Operating income fell to $0.728 million in 2023, down from $2.419 million in 2022, resulting in an operating margin decline from 13.6% to 4.2%[68][76]. - Net income decreased significantly to $0.433 million in 2023 compared to $3.529 million in 2022, attributed to lower operating income and a prior year tax benefit[82]. - EBITDA dropped to $0.830 million in 2023 from $2.776 million in 2022, while Adjusted EBITDA decreased to $1.020 million from $2.802 million[69][91]. Expenses - Salaries and service costs increased by 5.3% to $11.481 million in 2023, driven by personnel hires and payroll adjustments[68][72]. - Office and general expenses rose by 20.9% to $3.830 million in 2023, mainly due to increased legal, rent, and utility expenses[68][73]. - Corporate overhead expenses decreased by 11.7% to $0.965 million in 2023, primarily due to the absence of costs related to SEC filings from the previous year[68][75]. Revenue Sources - Revenues are primarily derived from fashion model bookings and representation of social media influencers and actors for commercials, film, and television[96]. - Service revenues are reported on a net basis, which represents gross amounts billed net of amounts owed to talent, including taxes and commissions[98]. Accounts and Taxes - Accounts receivable are recorded at the gross amounts billed to customers, leading to large accounts receivable and amounts due to models relative to total revenue[99]. - The effective tax rate increased to 37.3% in 2023 from a tax benefit in 2022, reflecting higher foreign and state taxes[80][82]. - The company is subject to income taxes in the United States, the United Kingdom, and various local jurisdictions[101]. Cash and Investments - The cash balance decreased to $6.1 million at December 31, 2023, down from $12.0 million at the end of 2022, primarily due to cash used in investing activities[84][85]. - Cash and cash equivalents include cash on hand, cash in banks, and short-term investments with maturities of three months or less[104]. Asset Management - Share-based compensation expense is estimated at the grant date based on the award's fair value and recognized over the requisite service period[100]. - Deferred tax assets are recognized for unused tax losses and credits, with a valuation allowance established if future taxable income is uncertain[102]. - The company performs impairment testing for goodwill and intangible assets at least annually, recognizing impairment losses when carrying amounts exceed fair values[108]. - The company evaluates indefinite lived trademark and trade name intangible assets for impairment using the relief from royalty method, updating projections annually[110]. - The company maintains an allowance for doubtful accounts for estimated losses from uncollectible accounts receivable[106].

Financial Performance - Total revenues for Q4 2023 were $3.763 million, an 8.0% decrease from $4.091 million in Q4 2022[2] - For the fiscal year 2023, total revenues were $17.212 million, down 3.2% from $17.780 million in 2022[3] - The net loss for Q4 2023 was $71 thousand, compared to a net loss of $18 thousand in Q4 2022, representing a 294.4% increase in loss[5] - Annual net income for 2023 was $0.433 million, a significant decline of 87.7% from $3.529 million in 2022[3] - Gross billings for 2023 totaled $65.936 million, a decrease of 1.1% from $66.686 million in 2022[7] - EBITDA for Q4 2023 was a loss of $0.116 million, compared to a loss of $0.168 million in Q4 2022[6] - Adjusted EBITDA for the fiscal year 2023 was $1.020 million, down 63.6% from $2.802 million in 2022[6] - Operating income for the year ended December 31, 2023, was $728,000, a significant decrease of 69.9% from $2,419,000 in 2022[14] - Net income for the year ended December 31, 2023, was $433,000, down 87.7% from $3,529,000 in 2022[14] - Basic net loss per common share for Q4 2023 was $(0.01), compared to $0.00 in Q4 2022[14] Cash and Investments - The company reported $12.7 million in combined cash and cash equivalents and short-term investments at the end of 2023, the highest total in its history[7] - Cash and cash equivalents at the end of 2023 were $6,117,000, a decrease of 49.1% from $11,998,000 at the end of 2022[19] - Net cash provided by operating activities for the year ended December 31, 2023, was $705,000, down from $2,519,000 in 2022[19] Operating Expenses - Total operating expenses for the year ended December 31, 2023, were $16,484,000, an increase of 7.3% from $15,361,000 in 2022[14] - Salaries and service costs for the fiscal year 2023 increased by 5.3% due to personnel hires and payroll adjustments[12] - Corporate overhead decreased by 38.6% in Q4 2023 compared to the same period in 2022, primarily due to non-recurring costs from SEC filings[12] Foreign Exchange and Adjustments - The company incurred a foreign exchange loss of $106,000 for the year ended December 31, 2023, compared to a gain of $(164,000) in 2022[19] - The company reported a foreign currency translation adjustment of $168,000 for the year ended December 31, 2023[14] Company Overview - Wilhelmina International, Inc. is a leading fashion model and talent management company, established in 1967, and is publicly traded on Nasdaq under the symbol WHLM[26] - The company operates in major markets including New York, Los Angeles, Miami, and London, indicating a strong geographical presence[26] - Wilhelmina owns Aperture, a talent and commercial agency located in New York and Los Angeles, expanding its service offerings[26] - The company specializes in representing models, celebrities, artists, photographers, athletes, and content creators, showcasing a diverse talent portfolio[26] - Wilhelmina has grown to become one of the oldest and largest fashion model management companies globally, highlighting its industry leadership[26] - The company emphasizes its full-service capabilities in fashion model and talent management, which may enhance client retention and acquisition[26] - Wilhelmina's strategic focus on both traditional and digital talent management positions it well in the evolving market landscape[26] - The company is committed to innovation in talent representation, which may drive future growth opportunities[26] - Wilhelmina's headquarters in New York serves as a central hub for its operations, reinforcing its brand presence[26] - The company actively engages with investors and stakeholders through its investor relations contact[27]

Revenue Performance - Service revenues for the three months ended September 30, 2023, increased by 0.7% to $4.465 million compared to $4.434 million in the same period of 2022, while revenues for the nine months decreased by 1.7% to $13.427 million from $13.666 million [47]. - Total revenues for the three months ended September 30, 2023, were $4.472 million, a slight increase of 0.7% compared to $4.442 million in the same period of 2022, while total revenues for the nine months decreased by 1.8% to $13.449 million from $13.689 million [47]. - Gross Billings decreased by 0.7% to $16.158 million for the three months ended September 30, 2023, compared to $16.264 million in the same period of 2022 [60]. - For the nine months ended September 30, 2023, Gross Billings increased by 1.5% to $51.286 million compared to $50.513 million for the same period in 2022 [60]. Income and Profitability - Operating income for the three months ended September 30, 2023, was $0.467 million, a decrease of 30.4% from $0.671 million in the same period of 2022, and for the nine months, it decreased by 67.3% to $0.845 million from $2.585 million [54]. - Net income for the three months ended September 30, 2023, was $0.359 million, down 81.0% from $1.887 million in the same period of 2022, and for the nine months, it decreased by 85.8% to $0.504 million from $3.547 million [47]. - EBITDA for the three months ended September 30, 2023, was $0.540 million, down from $0.820 million for the same period in 2022, a decrease of approximately 34.1% [69]. - Adjusted EBITDA for the nine months ended September 30, 2023, was $1.081 million, compared to $2.898 million for the same period in 2022, indicating a decline of approximately 62.7% [69]. - The Company reported a net income of $0.4 million for the three months ended September 30, 2023, down from $1.9 million for the same period in 2022, representing a decrease of approximately 78.9% [59]. Expenses - Salaries and service costs increased by 3.3% to $2.843 million for the three months ended September 30, 2023, and by 7.4% to $8.702 million for the nine months compared to the same periods in 2022 [50]. - Office and general expenses rose by 17.8% to $0.859 million for the three months ended September 30, 2023, and by 40.9% to $3.002 million for the nine months compared to the same periods in 2022 [51]. - Model costs for the three months ended September 30, 2023, were $11.686 million, slightly down from $11.822 million in the same period of 2022 [68]. Cash Flow and Liquidity - The Company's cash balance decreased to $10.9 million as of September 30, 2023, from $12.0 million at December 31, 2022, reflecting a net cash usage of $0.7 million in operating activities [61]. - Net cash used in operating activities of $0.7 million was primarily due to increases in accounts receivable and prepaid expenses [62]. - The Company believes it has sufficient liquidity to meet its projected operational expenses and capital expenditure requirements for the next twelve months [63]. Tax and Foreign Exchange - The effective tax rate for the three months ended September 30, 2023, was 26.0%, compared to an effective tax rate of (143.2%) in the same period of 2022 [57]. - The Company reported a foreign exchange gain of $18 thousand for the three months ended September 30, 2023, compared to a gain of $107 thousand in the same period of 2022 [55]. Strategic Initiatives - The Company plans to expand its women's high-end fashion board and increase brand awareness among advertisers and potential talent as part of its long-term strategy [44]. - The Company has made significant investments in technology and infrastructure to support its clients and talent, aiming to enhance its operational efficiency [44]. Other Financial Metrics - The Company calculates Pre-Corporate EBITDA as $0.795 million for the three months ended September 30, 2023, compared to $1.015 million for the same period in 2022, a decrease of approximately 21.7% [69].

Financial Performance - Total revenues for Q2 2023 were $4.493 million, a decrease of 4.4% compared to $4.699 million in Q2 2022[10] - Service revenues for the first half of 2023 were $8.962 million, down 2.9% from $9.232 million in the same period of 2022[10] - Operating income for Q2 2023 was $149 thousand, a significant decline from $1.040 million in Q2 2022[10] - Net loss for Q2 2023 was $14 thousand, compared to a net income of $921 thousand in Q2 2022[10] - Basic net income per common share for the first half of 2023 was $0.03, down from $0.32 in the same period of 2022[10] - For the six months ended June 30, 2023, the net income decreased to $145 million from $1,660 million in the same period of 2022, representing a decline of approximately 91.3%[14] - Operating expenses for the three months ended June 30, 2023, totaled $4,344,000, an increase of 18.7% from $3,659,000 in the prior year[10] Assets and Liabilities - Total assets as of June 30, 2023, were $41.314 million, a decrease from $41.992 million as of December 31, 2022[8] - Total liabilities decreased to $16.711 million as of June 30, 2023, from $17.781 million at the end of 2022[8] - Shareholders' equity increased to $24.603 million as of June 30, 2023, compared to $24.211 million at the end of 2022[8] - Cash and cash equivalents decreased to $10.943 million as of June 30, 2023, from $11.998 million at the end of 2022[8] Cash Flow - Net cash used in operating activities was $(1,112) million, compared to $(477) million for the same period in 2022, indicating a significant increase in cash outflow[14] - Cash and cash equivalents at the end of the period were $10,943 million, up from $9,311 million at the end of June 30, 2022, reflecting an increase of approximately 17.5%[14] - The company reported a net change in cash and cash equivalents of $(1,055) million, compared to $(940) million in the prior year[14] - The company incurred $49 million in cash paid for income taxes during the first half of 2023, compared to $5 million in the same period of 2022[14] Share Repurchase - The company has repurchased a total of 1,314,694 shares of common stock at an average price of approximately $4.85 per share, totaling approximately $6.4 million in repurchases since 2012[31] - No shares were repurchased under the stock repurchase program during the first six months of 2023[31] Tax and Valuation - The company had no federal income tax loss carryforwards as of June 30, 2023[29] - The company released a full valuation allowance against its deferred tax assets in 2022, resulting in no valuation allowance as of June 30, 2023[28] Legal Proceedings - The company is engaged in various legal proceedings, including the Shanklin and Pressley litigations, which are believed to be without merit but could have a reasonably possible adverse outcome[24]