Banzai International, Inc. (Banzai) reported its financial results for the quarter ended June 30, 2024. The company experienced a decrease in total revenue, reporting approximately $2.1 million, a 9.4% drop compared to the same period in 2023. This decline was primarily due to a shift in focus to its Demio product and a decision to phase out the Reach product, which was later reversed. Cost of revenue also decreased by 10.2%, resulting in a gross profit of approximately $1.4 million, an 8.9% decrease from the previous year. Operating expenses increased by 41.4%, driven by higher salaries, marketing expenses, and professional service costs. The company incurred a net loss of approximately $8.7 million, a 19.5% increase from the previous year's loss. Banzai's Adjusted EBITDA was a loss of approximately $3.4 million...Show More

Banzai International, Inc. (Banzai) reported its financial results for the quarter ended June 30, 2024. The company experienced a decrease in total revenue, reporting approximately $2.1 million, a 9.4% drop compared to the same period in 2023. This decline was primarily due to a shift in focus to its Demio product and a decision to phase out the Reach product, which was later reversed. Cost of revenue also decreased by 10.2%, resulting in a gross profit of approximately $1.4 million, an 8.9% decrease from the previous year. Operating expenses increased by 41.4%, driven by higher salaries, marketing expenses, and professional service costs. The company incurred a net loss of approximately $8.7 million, a 19.5% increase from the previous year's loss. Banzai's Adjusted EBITDA was a loss of approximately $3.4 million, reflecting a decrease in earnings of approximately $1.8 million compared to the previous year. The company's cash position was approximately $0.5 million, with a working capital deficit of approximately $34.0 million. Banzai has been financing its operations through the sales of redeemable convertible preferred stock, convertible promissory notes, and proceeds from senior secured loans. The company also entered into a securities purchase agreement, raising approximately $2.5 million in a registered direct offering. Banzai continues to evaluate its internal controls over financial reporting and is taking steps to remediate identified material weaknesses.