PodcastOne Q1 2026 EPS beats estimates but shares drop on weak outlook

PodcastOne Inc. reported first-quarter 2026 earnings per share that exceeded analyst expectations, though its stock fell as investors focused on a cautious outlook.

The Los Angeles-based audio content provider said adjusted net income rose to $8.2 million in the three months ended March 31, up from $5.7 million a year earlier. Earnings per share came in at 3 cents, beating the 1-cent estimate from Refinitiv IBES. Revenue increased 12% to $32.4 million, driven by higher advertising and subscription revenue.

Despite the earnings beat, shares of PodcastOne fell as much as 8% in after-hours trading. The decline reflected management’s guidance for softer demand in the second half of the year, citing macroeconomic headwinds and elevated marketing costs. PodcastOne forecast second-quarter revenue between $30 million and $32 million, below the $33.1 million consensus estimate.

Chief Executive Officer Dave Landau acknowledged the challenges in a statement, noting that while the company remains on track with its strategic initiatives, near-term pressures from inflation and competitive pricing are expected to weigh on margins. Landau added that PodcastOne is prioritizing cost discipline and operational efficiency to mitigate the impact.

Analysts at Lake Street Capital Markets reiterated a Market Perform rating on PodcastOne, citing the earnings beat but tempering expectations due to the weaker guidance. The stock closed at $2.15 on Friday, down 6% for the week.

PodcastOne, which operates under the brand name PodcastOne Network, focuses on original podcast content and advertising solutions for brands.