Legion M's 2023 Annual Report
Each year Legion M files an annual report with the SEC. This report includes financial statements that have been audited by an independent accounting firm. A few weeks ago we released our report for 2023, which is available on the SEC's website. You can find a link to it, along with links to all of our SEC filings, on Legion M’s Investor Relations page.
There’s a lot in these documents. The 2023 annual report is over 40 pages long with detailed discussions of Legion M’s business model, projects, plans, finances, team, and results. Our goal is to provide transparency -- and data that's been audited by an independent accounting firm -- that allows you to form educated opinions about Legion M. Please check it out – and let us know what you think!
Some highlights:
REVENUE IS UP. Legion M’s revenue increased 26% in 2023 to $816,510. It’s worth noting that in addition to this $816K in revenue, Legion M also generated an additional $200,000 in fees for our work producing the feature film My Dead Friend Zoe. If My Dead Friend Zoe had been owned by a 3rd party, these fees would have been considered revenue for Legion M. However, because Legion M owns the rights to the film (via a wholly owned subsidiary), these fees are considered an “intra-company transaction,” and as such are not included in our revenue.
COSTS ARE DOWN. Legion M’s operating expenses dropped by over $200K in 2023 to $2.78MM. This was due to an overall effort to reduce costs, as well as a reduction in expenses related to TV development. We’re doing everything we can to stay as lean and scrappy as possible while we’re in this stage of the company’s evolution.
SETTING THE STAGE FOR GROWTH. While revenue and costs are important metrics – and we’re pleased we were able to improve both in 2023 – we're not a profitable company yet, and we believe the short-term revenue opportunities available today are less important than cultivating long-term competitive advantages. Put shortly – we’re not focused on the nickels and dimes available today, but on building a business with the potential to generate $50’s and $100’s tomorrow. After all, our goal isn’t to grow a community of 50,000 and make independent films – it’s to build a community of 1,000,000 with potential to shape the future of Hollywood.
INFLECTION POINT. 2023 marks what we believe is a significant inflection point for the company. After many years earning our stripes playing small roles in other people’s projects, Legion M has leveled up to the point where we are now financing and producing films of our own, including William Shatner: You Can Call Me Bill and My Dead Friend Zoe which stars Sonequa Martin-Green, Natalie Morales, Ed Harris, and Morgan Freeman and recently won the Audience award at the 2024 SXSW Film Festival. We’ve written about this inflection point another update (Business Update: Leveling up to a Tipping Point) that’s worth checking out if you haven’t already.
Over the next few weeks we plan to issue additional updates that delve deeper into the various sections of this year’s annual report. We also plan to have an investor conference call where we’re happy to talk through the report and answer questions you may have. In the meantime, if you have a topic you’d like us to address in an update, just click here to submit a question.
Onward and Upward!
Investing in Legion M is speculative, illiquid, and involves a high degree of risk, including the possible loss of your entire investment. You should never invest more than you can afford to lose (not in Legion M or in ANY startup!). That said, if you can bear the risk and want to swing for the fences, we’d be honored to have you join our team!
Read the Offering Circular as well as the risks related to this offering before investing. This Reg A+ offering is made available through StartEngine Primary, LLC, member FINRA/SIPC.
This post may contain forward-looking statements and information relating to, among other things, the company, its business plan and strategy, and its industry. These forward-looking statements are based on the beliefs of, assumptions made by, and information currently available to the company’s management. When used in the post, the words “estimate,” “project,” “believe,” “anticipate,” “intend,” “expect” and similar expressions are intended to identify forward-looking statements. These statements reflect management’s current views with respect to future events and are subject to risks and uncertainties that could cause the company’s actual results to differ materially from those contained in the forward-looking statements. Investors are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date on which they are made. The company does not undertake any obligation to revise or update these forward-looking statements to reflect events or circumstances after such date or to reflect the occurrence of unanticipated events.