# EDGAR Filing Document

**Accession Number:** 0001803914
**File Stem:** 0001628280-25-051608
**Filing Date:** 2025-11
**Character Count:** 32319
**Document Hash:** 703486e0752c2157e123ef703a7d93b8
**Contains OCR:** False
**Source Format:** 

## Filing Content

## Filing Summary
**0001628280-25-051608.hdr.sgml**: 20251112

**ACCESSION NUMBER**: 0001628280-25-051608

**CONFORMED SUBMISSION TYPE**: 8-K

**PUBLIC DOCUMENT COUNT**: 17

**CONFORMED PERIOD OF REPORT**: 20251112

**ITEM INFORMATION**: Results of Operations and Financial Condition

**ITEM INFORMATION**: Regulation FD Disclosure

**ITEM INFORMATION**: Financial Statements and Exhibits

**FILED AS OF DATE**: 20251112

**DATE AS OF CHANGE**: 20251112

**FILER**: 

**COMPANY DATA:**
- **COMPANY CONFORMED NAME:** Playboy, Inc.
- **CENTRAL INDEX KEY:** 0001803914
- **STANDARD INDUSTRIAL CLASSIFICATION:** RETAIL-MISCELLANEOUS RETAIL [5900]
- **ORGANIZATION NAME:** 07 Trade & Services
- **EIN:** 371958714
- **STATE OF INCORPORATION:** DE
- **FISCAL YEAR END:** 1231

**FILING VALUES:**
- **FORM TYPE:** 8-K
- **SEC ACT:** 1934 Act
- **SEC FILE NUMBER:** 001-39312
- **FILM NUMBER:** 251472900

**BUSINESS ADDRESS:**
- **STREET 1:** 10960 WILSHIRE BLVD
- **STREET 2:** SUITE 2200
- **CITY:** LOS ANGELES
- **STATE:** CA
- **ZIP:** 90024
- **BUSINESS PHONE:** 310-424-1800

**MAIL ADDRESS:**
- **STREET 1:** 10960 WILSHIRE BLVD
- **STREET 2:** SUITE 2200
- **CITY:** LOS ANGELES
- **STATE:** CA
- **ZIP:** 90024

**FORMER COMPANY:**
- **FORMER CONFORMED NAME:** PLBY Group, Inc.
- **DATE OF NAME CHANGE:** 20210211

**FORMER COMPANY:**
- **FORMER CONFORMED NAME:** Mountain Crest Acquisition Corp.
- **DATE OF NAME CHANGE:** 20200219

?xml version='1.0' encoding='ASCII'? ply-20251112

**UNITED STATES**

**SECURITIES AND EXCHANGE COMMISSION**

**Washington, D.C. 20549**

**FORM 8-K**

**CURRENT REPORT**

**Pursuant to Section 13 or 15(d)**

**of The Securities Exchange Act of 1934**

Date of Report (Date of earliest event reported): November 12, 2025

**PLAYBOY, INC.**

(Exact name of registrant as specified in its charter)

---

| | | |
|:---|:---|:---|
| **Delaware** | **001-39312** | **37-1958714** |
| (State or other jurisdiction<br>of incorporation) | (Commission<br>File Number) | (IRS Employer<br>Identification No.) |

---

---

| | |
|:---|:---|
| **10960 Wilshire Blvd., Suite 2200**<br>**Los Angeles, California**  | **90024** |
| (Address of principal executive offices) | (Zip Code) |

---

Registrant's telephone number, including area code: **(310) 424-1800**

**Not Applicable**

(Former name or former address, if changed since last report)

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:

☐ Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

☐ Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

☐ Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

☐ Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

Securities registered pursuant to Section 12(b) of the Act:

---

| | | |
|:---|:---|:---|
| **<u>Title of each class</u>**  | **<u>Trading Symbol(s)</u>**  | **<u>Name of each exchange on which registered</u>**  |
| Common Stock, par value $0.0001 per share | PLBY | Nasdaq Global Market |

---

Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).

Emerging growth company ☐

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐

------

**Item 2.02&nbsp;&nbsp;&nbsp;&nbsp;Results of Operations and Financial Condition.**

On November 12, 2025, Playboy, Inc. (the "Company") issued a press release announcing its financial results for the Company's third fiscal quarter of 2025 ended September 30, 2025. A copy of the press release is attached as Exhibit 99.1 to this Current Report on Form 8-K (this "Report") and is incorporated herein by reference.

**Item 7.01&nbsp;&nbsp;&nbsp;&nbsp;Regulation FD Disclosure.**

On November 12, 2025, the Company posted a letter to its stockholders on the investor relations section of its website (investors.playboy.com). A copy of the letter is attached as Exhibit 99.2 to this Report and is incorporated herein by reference. The Company announces material information to the public about the Company, its products and services, and other matters through a variety of means, including filings with the Securities and Exchange Commission, press releases, public conference calls, webcasts, and the investor relations section of its website (investors.playboy.com) in order to achieve broad, non-exclusionary distribution of information to the public and for complying with its disclosure obligations under Regulation FD.

The information in Item 2.02 and Item 7.01 of this Report, and Exhibit 99.1 and Exhibit 99.2 attached hereto, shall not be deemed "filed" for purposes of Section 18 of the Securities Exchange Act of 1934, as amended (the "Exchange Act"), or otherwise subject to the liabilities of that section, nor shall it be deemed incorporated by reference in any filing under the Securities Act of 1933, as amended, or the Exchange Act, except as shall be expressly set forth by specific reference in such a filing.

**Item 9.01&nbsp;&nbsp;&nbsp;&nbsp;Financial Statements and Exhibits.**

*(d)* *Exhibits*

---

| | |
|:---|:---|
| **Exhibit<br>No.** | **Description** |
| 99.1 | <u>[Press Release, dated](playboyq325earningsrelease.htm)[Nove](playboyq325earningsrelease.htm)[mber](playboyq325earningsrelease.htm)[12, 2025](playboyq325earningsrelease.htm)</u> |
| 99.2 | <u>[Letter to Stockholders, dated](ex992playboyq325stockholde.htm)[November](ex992playboyq325stockholde.htm)[12, 2025](ex992playboyq325stockholde.htm)</u> |
| 104 | Cover Page Interactive Data File (embedded within the Inline XBRL document) |

---

------

**SIGNATURE**

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

---

| | | |
|:---|:---|:---|
| Dated: November 12, 2025 | PLAYBOY, INC. | PLAYBOY, INC. |
|  | By: | */s/ Chris Riley* |
|  | Name: | Chris Riley |
|  | Title: | General Counsel and Secretary |

---

## Exhibit 99.1

**Exhibit 99.1**

![image_0.jpg](image_0.jpg)

**Playboy Reports Third Quarter 2025 Financial Results**

***Q3 Revenue of $29.0 Million;***

***Net Income of $0.5 Million, an Improvement of $34.2 Million;***

***Adjusted EBITDA of $4.1 Million, an Improvement of $4.7 Million;***

***Extends Maturity of Senior Debt to 2028***

**LOS ANGELES –** November 12, 2025 **(GLOBE NEWSWIRE) –** Playboy, Inc. (NASDAQ: PLBY) (the "Company" or "Playboy"), one of the most recognizable and iconic lifestyle brands in the world, today announced financial and operational results for its third fiscal quarter ended September 30, 2025.

**<u>Comments from Ben Kohn, Chief Executive Officer and President of Playboy</u>**

"The third quarter marks our third consecutive quarter of growing adjusted EBITDA and further demonstrates the potential of our high-margin, asset-light model. It's important to note that Q3 adjusted EBITDA was burdened by $2.5 million of litigation costs, and would've been $6.6 million without such expense. Adjusting for one-time revenue items in Q3 2024, revenue would have been up 4.2% for Q3 2025, and high-margin licensing revenue was up 61% year-over-year. Even with the impact of our litigation expenses, this quarter was our first quarter since going public to have net income. The improving profitability we have delivered throughout 2025 reflects the hard work our team has put into stabilizing the business."

"In addition, we ended the quarter with over $32 million in cash on our balance sheet, and also opportunistically amended our debt facility, extending the maturity until May 2028 and providing for interest rate reductions based on certain prepayments."

"With a healthier balance sheet, and a stable foundation now in place, we are focused on reigniting growth. Our strategy centers on three high-potential verticals: licensing, media and experiences, and hospitality. Each is designed to expand Playboy's global reach while generating recurring, high-margin revenue. The momentum we are seeing across initiatives like The Great Playmate Search, the re-launch of our magazine, and the planned Miami Beach membership club, all highlight the strength and versatility of the Playboy brand. We remain highly optimistic about the opportunities ahead for Playboy."

**<u>Third Quarter 2025 Results</u>**

**Total revenue** was $29.0 million, down slightly compared to $29.4 million in Q3 2024, reflecting significant growth in licensing revenue, offset by $1.3 million of one-time revenue in Q3 2024 that did not recur due to the outsourcing of our ecommerce business and $0.4 million of revenue related to the closing of seven stores at Honey Birdette since Q3 2024. Adjusting for these one-time revenue items in Q3 2024, revenue would have been up 4.2% for Q3 2025.

------

**Licensing revenue** was $12.0 million, compared to $7.4 million in Q3 2024, reflecting a year-over-year increase of $4.6 million, or 61%. The increase was due to $5.0 million in minimum guaranteed royalties from the licensing of the Company's digital business and larger overages from the Company's key licensees, partially offset by $1.3 million in revenue from an inventory sale to a licensing partner in prior year that did not recur. The Company signed six new licensing deals in Q3, bringing its total new deals for 2025 to 14. Additionally, the Company restructured its China partnership with a subsidiary of Li & Fung, moving them to a percentage of revenue structure to better align interests moving forward. The Company's prior year "Digital Subscriptions and Content" results were recast under "All Other" in the Company's financial statements.

**Direct-to-consumer revenue** was $16.4 million, compared to $16.6 million in Q3 2024, reflecting a year-over-year decrease of 1%. The decrease was due to a continued focus on full-price products and $0.4 million in Q3 2024 that did not recur due to the closing of seven stores at Honey Birdette. Honey Birdette gross margins increased from 54% to 61%. Comparable store sales were up 22% and full price sales were up 15% in a continued initiative to improve the perception of the brand.

**Net income** was $0.5 million, or breakeven per diluted share, compared to a net loss of $33.8 million, or a net loss of $0.45 per diluted share, in Q3 2024. The net income for Q3 2025 reflects $2.5 million in legal fees related to litigation against former licensees, and the prior-year third quarter included $21.7 million in impairment charges. In the aggregate, those costs impacted earnings per share by approximately $0.02 in Q3 2025 and $0.29 in Q3 2024.

**Adjusted EBITDA** was $4.1 million, compared to an adjusted EBITDA loss of $0.6 million in Q3 2024.

**<u>Webcast Details & Stockholder Letter</u>**

The Company will host a webcast at 5 p.m. Eastern Time today to discuss Q3 2025 financial results. Participants may access the live webcast on the Events & Presentations section of the Playboy Investor Relations website at https://investors.playboy.com/. Investors may also access the letter to Playboy stockholders that was posted today to the Events & Presentations section of the Playboy Investor Relations website.

**<u>About Playboy, Inc.</u>**

Playboy is one of the most recognizable brands in the world, synonymous with pleasure, leisure, style, and sophistication. In collaboration with leading licensees, Playboy connects consumers with products, content and experiences across approximately 180 countries. Our mission—to create a culture where all people can pursue pleasure—builds upon over 70 years of creating groundbreaking media and hospitality experiences and fighting for cultural progress rooted in the core values of equality, freedom of expression and the idea that pleasure is a fundamental human right. Learn more at https://investors.playboy.com/.

**<u>Forward-Looking Statements</u>**

This press release includes "forward-looking statements" within the meaning of the "safe harbor" provisions of the United States Private Securities Litigation Reform Act of 1995. The Company's actual results may differ from their expectations, estimates, and projections and, consequently, you should not rely on these forward-looking statements as predictions of future events. Words such as "expect", "estimate", "project", "budget", "forecast", "anticipate", "intend", "plan", "may", "will", "could", "should", "believes", "predicts", "potential", "continue", and similar expressions (or the negative versions of such words or expressions) are intended to identify such forward-looking statements. These forward-looking statements include, without limitation, the Company's expectations with respect to future performance, growth plans and anticipated financial impacts of its strategic opportunities and corporate transactions.

------

These forward-looking statements involve significant risks and uncertainties that could cause the actual results to differ materially from those discussed in the forward-looking statements. Factors that may cause such differences include, but are not limited to: (1) the inability to maintain the listing of the Company's shares of common stock on Nasdaq; (2) the risk that the Company's completed or proposed transactions disrupt the Company's current plans and/or operations, including the risk that the Company does not complete any such proposed transactions or achieve the expected benefits from any transactions; (3) the ability to recognize the anticipated benefits of corporate transactions, commercial collaborations, commercialization of digital assets, cost reduction initiatives and proposed transactions, which may be affected by, among other things, competition, the ability of the Company to grow and manage growth profitably, and the Company's ability to retain its key employees; (4) costs related to being a public company, corporate transactions, commercial collaborations and proposed transactions; (5) changes in applicable laws or regulations; (6) the possibility that the Company may be adversely affected by global hostilities, supply chain delays, inflation, interest rates, tariffs, foreign currency exchange rates or other economic, business, and/or competitive factors; (7) risks relating to the uncertainty of the projected financial information of the Company, including changes in the Company's estimates of cash flows and the fair value of certain of its intangible assets, including goodwill; (8) risks related to the organic and inorganic growth of the Company's businesses, and the timing of expected business milestones; (9) changing demand or shopping patterns for the Company's products and services; (10) failure of licensees, suppliers or other third-parties to fulfill their obligations to the Company; (11) the Company's ability to comply with the terms of its indebtedness and other obligations; (12) changes in financing markets or the inability of the Company to obtain financing on attractive terms; and (13) other risks and uncertainties indicated from time to time in the Company's annual report on Form 10-K, including those under "Risk Factors" therein, and in the Company's other filings with the Securities and Exchange Commission. The Company cautions that the foregoing list of factors is not exclusive, and readers should not place undue reliance upon any forward-looking statements, which speak only as of the date which they were made. The Company does not undertake any obligation to update or revise any forward-looking statements to reflect any change in its expectations or any change in events, conditions, or circumstances on which any such statement is based.

**Contact:**

Investors: FNK IR – Rob Fink / Matt Chesler, CFA – investors@playboy.com

Media: press@playboy.com

------

**Playboy, Inc.&nbsp;&nbsp;&nbsp;&nbsp;**

**Condensed Consolidated Statements of Operations**

***(Unaudited)***

***(in thousands, except share and per share amounts)***

---

| | | | | |
|:---|:---|:---|:---|:---|
| | **Three Months Ended<br>September 30,** | **Three Months Ended<br>September 30,** | **Nine Months Ended<br>September 30,** | **Nine Months Ended<br>September 30,** |
| | **2025** | **2024** | **2025** | **2024** |
| Net revenues | $28994 | $29438 | $86017 | $82642 |
| Costs and expenses: |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Cost of sales | (6954) | (11475) | (25746) | (32000) |
| &nbsp;&nbsp;&nbsp;&nbsp;Selling and administrative expenses | (20434) | (24521) | (68197) | (71863) |
| &nbsp;&nbsp;&nbsp;&nbsp;Impairments | (245) | (21706) | (2087) | (24722) |
| &nbsp;&nbsp;&nbsp;&nbsp;Other operating income (expense), net | 5 |  | (764) | (441) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total operating expense | (27628) | (57702) | (96794) | (129026) |
| Operating income (loss) | 1366 | (28264) | (10777) | (46384) |
| Nonoperating (expense) income: |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Interest expense, net | (1926) | (6666) | (5721) | (19681) |
| &nbsp;&nbsp;&nbsp;&nbsp;Other income, net | 460 | 1769 | 1662 | 1474 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total nonoperating expense, net | (1466) | (4897) | (4059) | (18207) |
| Loss before income taxes | (100) | (33161) | (14836) | (64591) |
| Benefit (expense) from income taxes | 560 | (594) | (1424) | (2263) |
| Net income (loss) | 460 | (33755) | (16260) | (66854) |
| Net income (loss) attributable to Playboy, Inc. | $460 | $(33755) | $(16260) | $(66854) |
| Net income (loss) per share, basic and diluted | $— | $(0.45) | $(0.17) | $(0.91) |
| Weighted-average shares outstanding, basic | 102503857 | 74589372 | 96558050 | 73438762 |
| Weighted-average shares outstanding, diluted | 112540226 | 74589372 | 96558050 | 73438762 |

---

------

**<u>EBITDA Reconciliation</u>**

This release presents the financial measure earnings (net income or loss) before interest, income tax expense or benefit, and depreciation and amortization ("EBITDA"). "Adjusted EBITDA" is defined as EBITDA adjusted for stock-based compensation and other special items determined by management. Adjusted EBITDA is intended as a supplemental measure of our performance that is neither required by, nor presented in accordance with, GAAP. We believe that the use of EBITDA and Adjusted EBITDA provides an additional tool for investors to use in evaluating ongoing operating results and trends and in comparing our financial measures with those of comparable companies, which may present similar non-GAAP financial measures to investors. However, investors should be aware that when evaluating EBITDA and Adjusted EBITDA, we may incur future expenses similar to those excluded when calculating these measures. In addition, our presentation of these measures should not be construed as an inference that our future results will be unaffected by unusual or nonrecurring items. Our computation of Adjusted EBITDA may not be comparable to other similarly titled measures computed by other companies, because not all companies may calculate Adjusted EBITDA in the same fashion.

In addition to adjusting for non-cash stock-based compensation, non-cash charges for the fair value remeasurements of certain liabilities, non-recurring non-cash impairments and asset write-downs, we typically adjust for non-operating expenses and income, such as nonrecurring special projects, including related consulting expenses, transition expenses, settlements, nonrecurring gain or loss on the sale of assets, expenses associated with financing activities, and reorganization and severance expenses that result from the elimination or rightsizing of specific business activities or operations.

Because of these limitations, EBITDA and Adjusted EBITDA should not be considered in isolation or as a substitute for performance measures calculated in accordance with GAAP. We compensate for these limitations by relying primarily on our GAAP results and using EBITDA and Adjusted EBITDA on a supplemental basis. Investors should review the reconciliation of net loss to EBITDA and Adjusted EBITDA below and not rely on any single financial measure to evaluate our business.

------

The following table reconciles the Company's net income (loss) to EBITDA and Adjusted EBITDA:

**GAAP Net Income (Loss) to Adjusted EBITDA Reconciliation**

***(in thousands)***

---

| | | | | |
|:---|:---|:---|:---|:---|
| | **Three Months Ended<br>September 30,** | **Three Months Ended<br>September 30,** | **Nine Months Ended<br>September 30,** | **Nine Months Ended<br>September 30,** |
| | **2025** | **2024** | **2025** | **2024** |
| **Net income (loss)** | $460 | $(33755) | $(16260) | $(66854) |
| **Adjusted for:** |  |  |  |  |
| &nbsp;&nbsp;&nbsp;Interest expense | 1926 | 6666 | 5721 | 19681 |
| &nbsp;&nbsp;&nbsp;(Benefit) expense from income taxes | (560) | 594 | 1424 | 2263 |
| &nbsp;&nbsp;&nbsp;Depreciation and amortization | 747 | 1861 | 2329 | 6172 |
| **EBITDA** | 2573 | (24634) | (6786) | (38738) |
| **Adjusted for:** |  |  |  |  |
| &nbsp;&nbsp;&nbsp;Licensing commissions settlement |  |  | 2400 |  |
| &nbsp;&nbsp;&nbsp;Transition expenses |  |  | 5000 |  |
| &nbsp;&nbsp;&nbsp;Severance | 116 | 141 | 2709 | 310 |
| &nbsp;&nbsp;&nbsp;Stock-based compensation | 1149 | 1502 | 3502 | 5341 |
| &nbsp;&nbsp;&nbsp;Impairments | 245 | 21706 | 2087 | 24722 |
| &nbsp;&nbsp;&nbsp;Adjustments | (18) | 647 | 1001 | 2242 |
| **Adjusted EBITDA** | $4065 | $(638) | $9913 | $(6123) |

---

## Exhibit 99.2

**Exhibit 99.2**

![image_0a.jpg](image_0a.jpg)

![image_1a.jpg](image_1a.jpg)

November 12, 2025

Dear Playboy Stockholders:

The past year's hard work in reorienting Playboy around a high-margin, asset-light model was further demonstrated in Q3. This marks our third consecutive quarter of positive adjusted EBITDA and our first quarter of net income since going public. The improvements delivered in the first nine months of 2025, generating almost $10 million of adjusted EBITDA (inclusive of $4.6 million of litigation expense, without which adjusted EBITDA would have been $14.6 million) versus more than $6 million of adjusted EBITDA loss during the same period last year, reflect the work we have done stabilizing the business around licensing and now positions us to focus on growth

Here are the financial highlights for Q3 2025:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Revenue was $29.0 million

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Net income was $0.5 million

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Adjusted EBITDA was $4.1 million, inclusive of $2.5 million of legal expenses, without which it would have been $6.6 million

Our underlying revenue trend is encouraging versus a year ago quarter. The third quarter of 2024 included $1.3 million of one-time revenue associated with the outsourcing of our ecommerce business and $0.4 million related to the closing of seven stores at Honey Birdette. Adjusting for those revenue items, revenue would have been up 4.2% for the quarter.

Q3 2025 saw a 61% increase in licensing revenue year-over-year. We signed six new licensing deals in Q3, bringing our total new deals for the year to 14. Additionally, we restructured our China partnership with a subsidiary of Li & Fung, moving them to a percentage of revenue structure to better align our interests moving forward.

As previously reported, we were awarded $81 million in damages in a Hong Kong arbitration against a former China licensee. We are taking all appropriate steps to obtain recovery of the award in full, including filing for recognition and enforcement of the award in the Chinese courts. However, it will take time to pursue the award through the Chinese legal system.

Honey Birdette delivered comparable same stores growth of 22%, and gross margins improved 700 basis points from 54% to 61%. We continued to intentionally reduce the number and depth of promotional events to improve the health of the brand. As a result, full priced sales increased by 15%.

------

Now let's talk about our go forward business model and associated growth, which we believe will be substantial over time and done in a measured way without significant investment.

The first step in returning to growth is clearly redefining how we want to leverage the Playboy brand. We have been doing comprehensive brand work with a third-party agency over the past four months. That work is nearing completion, and fully supports our growth plans centered around content. Playboy is returning to its roots as an aspirational men's lifestyle brand, with beautiful women at its core.

The future of the Playboy business begins with story-driven content. For over 70 years, compelling content has been the foundation of what makes Playboy one of the most iconic brands in the world. Content is our brand voice—it fuels our cultural relevance and drives every aspect of our business.

Looking ahead, our strategy and business model will be focused on three verticals: licensing, media and experiences, and hospitality.

First, our recurring and high-margin licensing business is the cornerstone of our visibility and profitability. The new content we are creating opens new doors for licensing opportunities, strengthening our brand presence across categories and geographies. The last time we invested in content we saw significant new licensing opportunities emerge, such as Pac Sun, and high-profile collaborations, such as Saint Laurent, Amiri and OVO. We expect our investment in content will lead to similar significant licensing and high-profile collaborations opportunities in the future.

Second, our media and experiential vertical will be driven by our new content and monetized through subscriptions, paid voting/community engagement, and brand sponsorships. We have begun testing new offerings with encouraging results, including the relaunch of *Playboy* magazine, for which we have seen meaningful demand, as well as the Great Playmate Search we launched on a trial basis. We had three goals with the contest: (1) begin to rebuild a database of creators, (2) expand our user database, and (3) generate revenue. We are thrilled with the results of this trial so far. Approximately 16,000 contestant registrations, with a combined follower count of over 200 million on just TikTok and Instagram, and over 100,000 voters who have cast over 1 million votes.

The Playmate competition is still in progress, and we plan to launch the next one in early 2026. Equally as important is that we have learned a lot from the initial trial competition, and we expect to deliver even better results in future contests. We believe paid voting will be a multi-million-dollar annual business for us.

The Winter 2025-26 issue of *Playboy* magazine hit newsstands yesterday, and is featured in all Barnes & Noble and Books-a-Million locations, in addition to distribution across Europe. The magazine is an impressive 240 pages, features 12 Playmates of the Month, and showcases iconic images of Jane Birkin from our archives.

Building on this momentum, we plan to bundle a mix of our existing offerings into a subscription package. This is expected to create a more engaged and loyal audience. Subscribers will not only receive four quarterly issues of our magazine, but also the Playmate calendar, exclusive new content, access to seven decades of content from our archives, and early access to new Playmate photo shoots. Although the magazine will be published quarterly, we plan to debut a new Playmate each month behind a paywall, accessible only to subscribers. Additional benefits will include subscriber-only "ask me anything" interviews with the Playmate of the Month and exclusive voting for Playmate of the Year.

Beyond subscriptions, we also expect to generate incremental revenue through a modern entertainment and media strategy that consists of podcasts, social media and executive producer fees from television and film projects. In support of this strategy, we have already signed two term sheets: one with Cooper Hefner to license certain IP for an original feature film called *Dead After Dark*, and another with Propagate Content to develop *The Great Playmate Search* into a reality TV show. Both of these deals are structured similarly to licensing deals, including a share of related profits.

------

In the longer term, we plan to incorporate unique experiences into our subscription offerings, reviving some of the exclusive things that have historically resonated with our community, such as golf outings and poker tournaments hosted by our Playmates.

Third, our hospitality vertical will focus on membership. As previously announced, we are planning to launch a Playboy Club in Miami Beach as part of our relocation to the city. Over the past few months, we have made substantial progress laying the groundwork for this initiative. To that end, we have signed a non-binding term sheet with a group of local Miami investors to invest $25 million into Playboy hospitality, and we have made substantial progress toward selecting our future operating partner. We envision this vertical to be similar to licensing, with Playboy contributing the IP and the investors contributing capital. We believe hospitality represents a significant growth opportunity and a powerful extension of the Playboy brand.

Honey Birdette continues to perform on both the top and bottom lines, as we have been working to keep the brand elevated and aspirational, concentrating on healthy full-price sales at high margins rather than deeply discounted sales at low margins. Moving forward, we plan to focus on ecommerce and our U.S. and flagship brick-and-mortar stores. We recently redesigned and rebuilt our website with the following goals in mind: increase conversion and average order value (AOV), launch loyalty, and add more language translations. To that end, we have seen AOVs increase 9%, we are turning on an integrated loyalty program in two weeks, and we are adding another two language translations next month, on top of the eight we have in place today. With ecommerce leading the way, we will begin our expansion into the Middle East and Asia-Pacific regions. From a brick-and-mortar perspective, we are committed to our U.S. and flagship stores, while evaluating the stores that aren't performing in line with our expectations. Sales growth at our U.S. and flagship stores is significantly outpacing the broader store base and carry four-wall margins in excess of 30%. We are also exploring the potential to raise capital at Honey Birdette to allow us to invest further in accelerating Honey Birdette's growth without diverting resources from our strategy to expand the Playboy-branded business.

As we close out the year and move into 2026, we are excited to begin rolling out our new brand positioning for Playboy. You will start to see this coming to life across our digital presence—from enhanced website functionality and the introduction of subscription offerings, to premium content behind a paywall as part of our broader digital strategy. These initiatives will culminate in a redesigned *Playboy.com*. We are taking the necessary steps to ensure strong cash flow to support the growth of our business.

We had over $32 million in cash on the balance sheet as of the end of Q3. We have also amended our debt facility, extending maturity until May 2028 and providing for interest rate reductions based on certain prepayments.

With our brand evolution nearing completion, a clear vision in place, and a business plan designed to balance downside protection with meaningful growth potential, we remain highly optimistic about the opportunities ahead for Playboy.

Stay Playful!

Ben

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