Starz posted a mixed first quarter as it celebrated one year as a standalone company after separating from Lionsgate. It continues to juggle OTT and linear as it fine tunes programming including with new owned originals.

The stock has surged this year. It popped after the numbers, up more than 3% in late trading at $20.80.

Starz, following Netflix and others, is no longer reporting quarterly subscriber numbers.

“As we mark the one-year anniversary of our separation today, I’m proud to report that Starz is a structurally stronger company than when we separated,” said CEO Jeffrey Hirsch.

Total revenue fell 7% to $307 million but was slightly ahead of forecasts on higher than anticipated OTT revenue of $211 million (from $225 million). Linear revenue fell to $96 million (from $105 million).

Net losses widened to $165 million from $154 million.

Higher adjusted ebitda (earnings before interest, taxes, depreciation and amortization) of $58 million and equity free cash flow of $69 million, surpassed Wall Street forecasts. Starz also pulled forward its guidance of 20% margins by a year (to 2027 from 2028).

“Over the past year,” said Hirsch, “we have executed with discipline against our strategic and financial priorities to position the company for long-term value creation, and we delivered a strong start to the year, meeting or exceeding all of our key financial targets. Given our progress and one of our strongest content lineups we’ve had in years, we are increasingly confident in our ability to drive OTT revenue growth, reduce leverage, expand margins, and generate sustainable free cash flow in the years ahead.”

The home of Raising Kanan, Outlander: Blood of My Blood and P-Valley, recently announced a July 31 premiere date for its first owned original series, Fightland. It is moving ahead with a second, an untitled Black rodeo show.

Management is hosting a call at 5 pm ET.

More to come