Executive Summary

Q3 2024 marked the first meaningful revenue quarter: revenue was $0.10M and gross profit $0.05M, with net loss improving year over year to $(0.36)M versus $(0.72)M in Q3 2023, reflecting lower derivative liability impacts and early monetization of Maybacks advertising .
Sequentially, revenue accelerated versus Q2 2024 ($0.03M → $0.10M), while operating expenses rose modestly; Q3 net loss of $(0.36)M contrasted with a one-time derivative-driven Q2 net income of $0.92M, highlighting volatility tied to fair-value changes on convertible note derivatives .
Management highlighted commercialization momentum: iDreamCTV app reached 91,000 active users, channel count expanded to 31+, and Whale TV VAST-tag partnership was approved in December (post quarter) with global reach to 41M homes, positioning Q4’24/Q1’25 for stronger digital ad monetization .
Balance sheet remains highly constrained: cash was $125, current liabilities $5.39M, derivative liabilities $1.25M, and several notes were in default—raising substantial doubt about going concern absent fresh capital and continued growth in ad revenues .
No formal financial guidance or Street consensus was available; comparison vs estimates is not possible this quarter. S&P Global consensus data was unavailable at time of request.

What Went Well and What Went Wrong

What Went Well

Initial revenue traction: “We earned revenue of $97,096 for the three months ended September 30, 2024… We expect that revenue will increase in future quarters as Maybacks continues to enter into agreements” .
Platform and distribution build-out: “Maybacks doubled its channel count… from 14 to over 31 channels” and iDreamCTV launched with 91,000 active users; Whale TV partnership approved for VAST tags, expanding global reach .
Management optimism on digital ad monetization: “We are extremely excited by the potential that exists with Whale TV… could very well dwarf anything we can do in the insert ad arena and with OTA” .

What Went Wrong

Liquidity and going concern: “Accumulated deficit of $38.6M… working capital deficit of $4.7M… minimal cash resources… substantial doubt about the Company's ability to continue as a going concern” .
Debt defaults and financing costs: At Q3, convertible notes in default with face value $1.05M, plus secured, related-party, and self-liquidating notes also in default, keeping interest burden and risk of acceleration high .
Operating expense growth and derivative volatility: Q3 operating expenses rose to $0.22M; other expense of $(0.19)M includes derivative liability fair-value loss, contributing to reported net loss despite revenue growth .

Financial Results

Income Statement (Three Months) — Comparisons (oldest → newest)

Metric	Q3 2023	Q2 2024	Q3 2024
Revenue ($USD)	$0	$27,332	$97,096
Cost of Revenues ($USD)	$0	$(11,500)	$(42,675)
Gross Profit ($USD)	$0	$15,832	$54,421
Total Operating Expenses ($USD)	$84,654	$206,368	$222,366
Income (Loss) from Operations ($USD)	$(84,654)	$(190,536)	$(167,945)
Total Other Income/(Expense) ($USD)	$(635,247)	$1,110,626	$(193,048)
Net Income (Loss) ($USD)	$(719,901)	$920,090	$(360,993)
EPS (Basic/Diluted) ($USD)	$(0.00)	$0.00	$(0.00)
Weighted Avg Shares	1,970,198,093	2,152,684,652	2,247,546,547

Balance Sheet Snapshot

Metric	Dec 31, 2023	Q2 2024	Q3 2024
Cash and Cash Equivalents ($USD)	$0	$0	$125
Accounts Receivable ($USD)	$0	$0	$33,527
Intangible Assets ($USD)	$4,771,322	$4,520,098	$4,394,233
Total Assets ($USD)	$5,418,043	$5,145,252	$5,052,885
Total Current Liabilities ($USD)	$5,623,581	$5,201,208	$5,386,834
Derivative Liabilities ($USD)	$1,633,052	$1,119,849	$1,248,041
Convertible Notes + Interest (net of discount) ($USD)	$1,320,858	$1,430,243	$1,450,522
Working Capital Deficit ($USD)	$(4,998,581)	$(4,576,208)	$(4,728,182)

KPIs and Operating Metrics

KPI	Q2 2024	Q3 2024	Notes/Trend
Maybacks Channel Count	28+	31+	Expansion supports ad inventory growth
iDreamCTV App Users	25,000 initial downloads (launch)	91,000 active users	Engagement building
Household Reach	41M	41M	Stable footprint; Whale TV expands global reach
Sales Channel Mix	n/a	80% via agent YTD	Agent-led monetization
AR Concentration	n/a	Top 3 customers = 78% AR	Concentration risk
OTA Ad Revenue Post-Q3	n/a	Oct–Nov cash collected $36,195; Bauza booked $99,821; Dec wk1 booked $82,209	Indicates Q4 momentum

Guidance Changes

Metric	Period	Previous Guidance	Current Guidance/Commentary	Change
Revenue/EPS	Q4 2024 / FY 2024	None disclosed	No formal ranges; management expects revenue to increase in future quarters	Maintained: no formal guidance
Digital Ads (VAST Tags)	Q4 2024	None disclosed	Whale TV VAST-tag program approved Dec 3, 2024; global OS footprint; revenue share 70/30 to Maybacks	Introduced new monetization channel
OTA Ad Sales	Q4 2024	None disclosed	October–November collections and bookings disclosed; December bookings underway	Introduced quantitative update
VIDAA (Hisense) On-Ramping	Q1 2025	None disclosed	Expected January 2025 on-ramping; similar program to Whale TV	Introduced future activation

Earnings Call Themes & Trends

Note: No Q3 2024 earnings call transcript was found in the document catalog; themes are drawn from 10-Q MD&A and 8-K filings.

Topic	Previous Mentions (Q2 2024)	Current Period (Q3 2024)	Trend
Digital ads/VAST tags	Exploring monetization, tokenization roadmap; app launched, initial downloads	Whale TV approved; management expects VAST-tag opportunity to “dwarf” OTA; VIDAA on-ramping planned	Accelerating commercialization
Product/App performance	iDreamCTV launched; 25,000 initial downloads	91,000 active users; 31+ channels	Improving engagement footprint
Competitive landscape	Acknowledged larger rivals (Sling TV, DISH) and resource constraints	Reiterated competition and low-cost strategy; global OS partnerships as offset	Stable narrative; partnerships as mitigation
Regional reach	41M households, 40+ markets	41M households; Whale TV provides global access (China, India, SE Asia, EU, LatAm)	Broader global potential
Regulatory/legal	Three small litigation matters; limited cash for counsel	Same matters outstanding; amounts ~$26.6k, ~$15k, ~$40k	Unchanged/ongoing
R&D/NFT platform	Building landing platform; tokenization plan	R&D minimal; focus on monetization; NFT platform rebuild continuing	Pivot from build to monetize

Management Commentary

“We earned revenue of $97,096 for the three months ended September 30, 2024… We expect that revenue will increase in future quarters” .
“Maybacks doubled its channel count in the last 12 months from 14 to over 31 channels under the brand iDreamCTV… active users of the app are 91,000” .
“Whale TV… approved for on-ramping and launch… Whale will be placing a banner ad introducing iDreamCTV on the ‘Home Screen’ of every Smart TV… which serve over 41 million homes globally” .
“We are extremely excited by the potential that exists with Whale TV… could very well dwarf anything we can do in the insert ad arena and with OTA” .
“The relationship with Whale TV gives Maybacks access to a global market including China, India, SE Asia, Australia, South America and Western Europe” .

Q&A Highlights

No Q3 2024 earnings call transcript was available in the document catalog; therefore Q&A highlights and analyst clarifications are not available this quarter.

Estimates Context

Wall Street consensus (S&P Global/Capital IQ) was unavailable at time of request; therefore, we cannot provide revenue/EPS beat/miss analysis versus estimates for Q3 2024. S&P Global consensus data was unavailable.

Key Takeaways for Investors

Early monetization is visible but nascent: Q3 revenue reached ~$0.10M with sequential growth, indicating initial traction in insert ads and direct-billed agency sales .
Derivative liability fair-value swings materially affect reported results; Q2’s net income and Q3’s net loss reflect non-operating volatility rather than fundamental earnings power .
Distribution scale is building: 31+ channels, 91k active app users, and Whale TV/VIDAA partnerships expand addressable audience and ad inventory potential into Q4/Q1 .
Liquidity is the binding constraint: $125 cash, heavy current liabilities ($5.39M), multiple notes in default—execution depends on sustained ad cash collections and fresh capital raising .
Near-term trading catalyst: December Whale TV VAST-tag launch and disclosed Q4 OTA ad bookings may drive revenue headlines; watch for actual collections to translate into cash and receivables .
Medium-term thesis hinges on scaling digital ads globally and stabilizing the capital structure to reduce derivative/interest drag; customer concentration (78% of AR in 3 customers) is a risk to monitor .
No formal guidance or Street estimates: focus on sequential operational KPIs (ad bookings, collections, app engagement) and balance-sheet repair signals rather than EPS beats/misses this quarter .

Authentic Holdings, Inc. (AHRO)·Q3 2024 Earnings Summary