The Louisville-based lifestyle media and fitness accessories company (Nasdaq: GAIA) said third-quarter revenue was a 22.8 percent increase from the $43 million in revenue reported for the same quarter a year earlier.
The company’s profit in the third quarter was a 19.1 percent increase compared with profit of $24.1 million for the same period a year earlier. Gaiam’s third-quarter earnings translated to 1 cent per diluted share, according to the press release.
Gaiam in October sold its nonbranded entertainment media distribution business, GVE, to Cinedigm Corp. for $51.5 million. Cinedigm Corp. (Nasdaq: CIDM) is a Los Angeles-based film distribution company. Gaiam’s third quarter financial results included GVE earnings, according to the press release.
The strong third-quarter results reflect the company’s success in making itself a leading brand in the areas of yoga, fitness and wellness, Lynn Powers, Gaiam’s chief executive, said in the press release.
In June, the company announced that it had sold $2 million worth of stock in Real Goods Solar Inc. (Nasdaq: RSOL), a solar-energy system installation company subsidiary also based in Louisville. At the time, Gaiam founder and chairman Jirka Rysavy resigned from his posts as chairman and director at Real Goods.
Gaiam executives have “a clear focus and the financial resources to continue to grow the Gaiam brand” inside the company and through strategic acquisitions, now that the company has sold GVE and some of the Real Goods Solar stock, Powers said in the press release.
Gaiam said one of its first strategic acquisitions is My Yoga Online, an online video streaming service in Vancouver, British Columbia, with 12-month revenue of $2.6 million. My Yoga Online was merged with Gaiam TV.
Richard Land, a spokesman for Gaiam investor relations, declined to provide details of the merger.
MyYogaOnline.com offers more than 1,000 yoga, Pilates and wellness video classes online. Gaiam TV has more than 5,000 videos available for online streaming.
In the future, subscribers will be able to pay $9.95 per month to access titles from both My Yoga Online and Gaiam TV in the areas of yoga, meditation, fitness, natural health, spirituality and alternative knowledge.