• Completed the sale of the Company’s interest in Peanuts, repaid all corporate debt and exited television broadcasting, repositioning WildBrain around its three core growth platforms: Franchise & Global Licensing, Content and WildBrain Network.
• The Company continued to execute its normal course issuer bid (“NCIB”), repurchasing and cancelling common shares for approximately $3.2 million since launching, reflecting its ongoing commitment to returning capital to shareholders alongside disciplined investment in the business.
• Subsequent to the quarter, the Company announced the acquisition of Personality AI, a kid-safe, scalable interactive character platform, adding proprietary generative AI capabilities to WildBrain’s franchise ecosystem across toys, apps, games and platforms.
• Continued to build fan engagement and cultural relevance for our owned franchises, including the rollout of two new Strawberry Shortcake series on the WildBrain Network, plus the June opening of WildBrain Garden, a themed retail experience for Teletubbies and In the Night Garden within Magic World, one of Asia’s largest international IP-themed entertainment destinations in China.

Q4 Financial Highlights for Continuing Operations1

• Revenue from continuing operations was $55.0 million, down 29% year over year.
• Net income attributable to Shareholders of the Company from continuing operations was $4.5 million, compared with net income attributable to Shareholders of the Company of $6.2 million in Q4 2025.
• Adjusted EBITDA from continuing operations attributable to Shareholders of the Company (“Adjusted EBITDA”)2 was $(4.0) million, a decrease of $12.0 million.

Q4 Consolidated Cash Flow Highlights

• Cash used in operating activities was $30.0 million, compared to cash used in operating activities of $2.0 million in Q4 2025.
• Free Cash Flow2 was negative $19.6 million, compared to negative $17.3 million in Q4 2025.

Fiscal 2026 Financial Highlights for Continuing Operations1

• Revenue from continuing operations was $245.7 million, down 10% year over year.
• Net loss attributable to Shareholders of the Company from continuing operations was $74.9 million, compared with net loss attributable to Shareholders of the Company of $121.6 million in FY2025.
• Adjusted EBITDA was $20.8 million, down 22% year over year.

Fiscal 2026 Consolidated Cash Flow Highlights

• Cash provided by operating activities was $57.9 million, compared to cash provided by operating activities of $152.5 million in FY2025.
• Free Cash Flow was negative $30.5 million, compared to positive $49.5 million in FY2025.

Toronto, Ontario— WildBrain Ltd. reported its fourth quarter results for the period ended June 30, 2026.

Josh Scherba, WildBrain President and CEO, said: “Fiscal 2026 was a transformative year for WildBrain. We completed the sale of our interest in Peanuts, exited the television business, and fully repaid our corporate debt, sharpening our focus on growth driven by our three business pillars: Franchise & Global Licensing, Content and WildBrain Network.

“While our fourth quarter results were affected by several discrete items and strategic investments in our franchises, we are encouraged by the performance of core growth drivers. Franchise & Global Licensing revenue grew 27% for the year, led by continued growth in owned-brand royalties from Strawberry Shortcake, and direct advertising drove growth in WildBrain Network in the quarter.

“We enter Fiscal 2027 with positive momentum across our owned franchises, including Strawberry Shortcake and Teletubbies, confidence in an expanding pipeline of content production and the continued build-out of our direct advertising business. With a strengthened balance sheet and significant financial flexibility, we are well positioned to invest further in our brands, technology, advertising capabilities and operating infrastructure to harness the opportunities ahead.”

Nick Gawne, WildBrain CFO, added: “Our Fiscal 2027 outlook reflects growth across all three operating segments and demonstrates our confidence in the underlying strength and earnings potential of the business. Fiscal 2027 will be a deliberate investment year with capital directed toward initiatives that we expect will strengthen our long-term earnings power by growing our franchises, expanding monetization opportunities and improving the scalability of our operating platform. While these investments are expected to affect near-term profitability and Free Cash Flow, we expect they will position the Company to deliver stronger revenue and Adjusted EBITDA growth and enhanced Free Cash Flow generation beyond Fiscal 2027.”

Fiscal Year 2027 Outlook

For Fiscal 2027, the Company expects:

• Revenue of $270 million to $295 million, representing year-over-year growth of approximately 15% at the midpoint; and
• Adjusted EBITDA of $28 million to $32 million, representing year-over-year growth of approximately 44% at the midpoint.

Growth is expected across all operating segments.

Medium Term Outlook

Following Fiscal 2027, the Company expects:

• Adjusted EBITDA to approximately double from the midpoint of its Fiscal 2027 outlook by the end of Fiscal 2029.

The expected growth is supported by increased owned-brand licensing and advertising revenue, improved operating leverage and a moderation of Fiscal 2027 investment spending. Management also expects Free Cash Flow generation to improve as Adjusted EBITDA grows and the investment program moderates.

Q4 2026 Financial Highlights from Continuing Operations1

In Q4 2026, revenue from continuing operations decreased 29% to $55.0 million, compared to $77.4 million in Q4 2025.

Franchise & Global Licensing revenue decreased 16% to $15.6 million in Q4 2026, compared to $18.5 million in Q4 2025. Revenue in the quarter was driven by lower licensing agency revenues at WildBrain CPLG, reflecting timing differences and the impact of changes in certain partner relationships, partially offset by continued growth in owned-brand royalties led by Strawberry Shortcake.

Content revenue was $29.2 million in Q4 2026, a decrease of 40%, compared to $48.7 million in Q4 2025. The decrease in Q4 2026 revenue was driven by lower live-action production activity, with no equivalent to the live-action series in production in the prior year, and lower distribution revenue, as the prior year quarter benefited from a significant content delivery.

WildBrain Network revenue was $11.5 million in Q4 2026, an increase of 6%, compared to $10.8 million in Q4 2025. The increase in Q4 2026 revenue was driven by higher direct advertising revenue.

Gross Margin2 for Q4 2026 was 39%, compared to Gross Margin2 of 41% in Q4 2025. Gross Margin for Q4 2026 was $21.2 million, a decrease of $10.4 million, compared to $31.6 million for Q4 2025, reflecting lower distribution and licensing revenues and increased franchise marketing investment.

Q4 2026 net income from continuing operations attributable to Shareholders of the Company was $4.5 million, compared to net income of $6.2 million in Q4 2025.

Adjusted EBITDA was $(4.0) million in Q4 2026, compared with $8.1 million in Q4 2025, a decrease of $12.0 million.

Other Financial Highlights

Cash used in operating activities, which is presented on a consolidated basis, was $30.0 million, compared to cash used in operating activities of $2.0 million in Q4 2025. The change in cash was driven by working capital timing on productions in Q4 2026 compared to the prior year quarter.

Free Cash Flow, which is presented on a consolidated basis, was negative $19.6 million, compared to negative $17.3 million in Q4 2025. The current quarter result primarily reflected production working-capital outflows, partly offset by an increase in interim production financing.

1 Following the closure of WildBrain Television and the sale of the Company’s 41% interest in Peanuts Holdings LLC, the historical results of these businesses are presented as discontinued operations. Revenue and expenses from Peanuts-related licensing-agency, content-production and content-distribution services provided under post-closing arrangements are included in continuing operations.

2 Free Cash Flow, Gross Margin, Adjusted EBITDA, and Adjusted EBITDA from continuing operations attributable to Shareholders of the Company are non-GAAP financial measures. See below for further details.

Reconciliation of Quarterly Results to Gross Margin from Continuing Operations

The following table reconciles revenue from continuing operations less content, distribution, marketing and other costs from continuing operations to gross margin from continuing operations, as follows:

Reconciliation of Quarterly Operating Cash Flow to Free Cash Flow

The following table reconciles cash flow from operating activities to Free Cash Flow, as follows: