Alliance Entertainment, based in Plantation, Florida, announced on November 12, 2025, a remarkable 11% year-over-year increase in revenue for the quarter ending on September 30, reaching $254 million. The company’s net income also saw a significant rise to $4.9 million from $397,000 in the same quarter last year, with gross profit climbing 46% to $37.2 million.

Notably, sales of physical movies, including DVDs, Blu-ray Discs, and Ultra HD formats, surged by nearly 59% to $84 million from $52.9 million in the corresponding period of 2024. This growth was driven by a 2.5% rise in average unit selling price and increased unit shipments.

Alliance attributed this strong performance to a consistent flow of theatrical releases and sustained consumer interest in premium formats like 4K Ultra HD and collectible Steelbooks. CEO Jeff Walker highlighted the company’s exclusive agreement with Paramount and the growing popularity of premium formats as key drivers of success.

Walker also mentioned the expansion of the company’s collectibles brands, with ‘Handmade by Robots’ and ‘Master Replicas’ exceeding expectations. He emphasized the importance of the consumer direct fulfillment channel in their business model, enhancing sales efficiency and customer responsiveness.

Additionally, Alliance noted a 32% growth in collectibles revenue, reaching $6.4 million, despite a decline in unit volume, offset by an increase in average selling price. Electronics revenue decreased to $1.9 million from $2.4 million, mainly due to lower average selling prices.

In the gaming sector, revenue dropped by 20.2% to $45.6 million, reflecting a broader industry slowdown. Despite challenges like reduced average selling prices and delays in major game releases, Alliance remains optimistic about strong market demand for next-generation consoles.

The company continues to adapt its offerings to align with consumer trends and maximize profitability while monitoring potential supply challenges in the market.

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