MoviePass is reportedly burning through its funding, even as it continues to grow. An independent auditor for MoviePass’s owner, Helios and Matheson Analytics, said it had “substantial doubt” about the company’s ability to remain in business, according to a report from Business Insider.
In Helios and Matheson’s annual report, the auditor writes that MoviePass has “negative cash flows from operating activities,” according to BI. While it’s very common for startups to operate at a loss, the concerns dampen MoviePass CEO Mitch Lowe’s earlier predictions that the company would be “cash-flow positive” by 2019.
Helios and Matheson CEO Ted Farnsworth told BI that MoviePass needs to raise more money to remain in business, which MoviePass has...
