Wilhelmina(WHLM) - 2024 Q3 - Quarterly Report

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$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$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$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$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$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$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$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$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$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$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$11.686 million for the same period in 2023[71]