ANGEL STUDIOS: A comprehensive financial & historical look at the business.

Overview of Angel Studios

Angel Studios, originally founded in 2013 as VidAngel by brothers Neal, Jeffrey, Daniel, and Jordan Harmon (members of the Church of Jesus Christ of Latter-day Saints), began as a family-oriented content filtering service for streaming platforms. It allowed users to skip or mute objectionable content in movies and TV shows. The company faced significant legal challenges, including a 2016 lawsuit from major Hollywood studios (Disney, Warner Bros., etc.) for copyright infringement, leading to a bankruptcy filing in 2017 and a $62 million settlement in 2020. This prompted a pivot: VidAngel sold its filtering business and rebranded as Angel Studios in 2021, focusing on producing and distributing original "values-based" (often faith-inspired or uplifting) content using equity crowdfunding. The model lets "Angel" investors (via the affiliated Angel Funding portal) fund projects, and the Angel Guild (a subscription-based community launched in 2023) votes on what gets greenlit, with members getting perks like early access and free tickets.

By late 2025, Angel Studios had become a publicly traded company (NYSE: ANGX) via a reverse merger with Southport Acquisition Corporation in early 2025, initially valued at approximately $1.6 billion. However, as of December 19, 2025, the company's market capitalization has declined to around $843 million to $889 million, based on recent stock prices fluctuating between $5.07 and $5.26 per share. This represents a significant drop of over 40% from its initial public valuation, influenced by factors such as quarterly net losses, content production costs, and market volatility in the entertainment sector. The company operates a free ad-supported streaming service (Angel.com and app), distributes films theatrically, and generates revenue from guild memberships, box office, licensing, merchandise, and crowdfunding campaigns. The studio has produced or distributed over 20 films and several TV series, with a focus on Christian-themed or family-friendly stories. Key successes include The Chosen (a crowdfunded series about Jesus' life) and Sound of Freedom (a 2023 anti-trafficking thriller). Total theatrical earnings across all releases exceed $500 million worldwide by late 2025, with additional revenue from streaming and merch pushing cumulative figures higher.

Audience demographics primarily consist of faith-based viewers, including evangelical Christians, conservatives, and families seeking "clean" or uplifting content. Sources indicate a core U.S. audience of older (35+) conservative Christians, but the studio resonates across ages, from Gen Z to Baby Boomers, with strong appeal among women and families. Internationally, it's expanding into more secular markets like Europe, though domestic U.S. evangelicals remain the base. About 80% of viewers are in the U.S., with high engagement from Protestant communities. Films like Sight earned A+ CinemaScores from under-24 audiences, showing broader demographic reach beyond just religious viewers.

Below, I'll list all known theatrical releases (movies, TV episode specials, and events), revenue breakdowns by year (where data is available; pre-2021 figures are limited due to the VidAngel era), highs/lows with factors, and non-theatrical revenue sources.

Theatrical Releases: Movies, TV Shows, and Special Events

Angel Studios focuses on films for theaters, but TV shows like The Chosen have had episodic specials released theatrically (e.g., as multi-part events). No standalone "special events" beyond these are documented, though some films include live components. Data on theaters, run duration (weeks in release), and earnings is compiled from box office reports; not all details are public for every title, especially smaller releases. Total domestic box office for Angel Studios films through 2025 is approximately $170-195 million, with worldwide totals higher. Here's a comprehensive list (chronological by release year; includes only those with confirmed theatrical runs):

The Chosen franchise theatrical totals: ~$140 million worldwide by mid-2025. Other TV shows like Tuttle Twins, Dry Bar Comedy, The Wingfeather Saga, and Homestead: The Series are primarily streaming, with no major theatrical components noted. Upcoming 2026 films include Animal Farm, Solo Mio, I Was a Stranger, Zero A.D. (no box office yet).

Revenue Breakdown by Year

Pre-2021 revenue (as VidAngel) focused on subscription-based filtering (~$10-50 million annually est., peaking pre-lawsuit), but exact figures are scarce due to legal issues. Post-rebrand, revenue sources include:

• Crowdfunding: Equity raises for projects (e.g., via Angel Funding; investors get shares/returns).
• Streaming/Guild: Membership fees ($9.99/month basic or $19.99/month premium; ~1.5 million members by 2025).
• Merchandise/DVDs: Sales tied to hits like The Chosen (e.g., apparel, books).
• Theatrical/Licensing: Box office shares, deals with Netflix/Amazon.
• Other: Sponsorships, "Pay It Forward" donations.

Annual breakdowns (figures are approximate/TTM where noted; total revenue grew from near-zero post-bankruptcy to $242M TTM in 2025):

• 2013-2016 (VidAngel Era): Est. $20-50M cumulative from filtering subs; no breakdowns. High growth until lawsuit.
• 2017-2020: Revenue dropped due to legal battles; est. <$10M/year. Crowdfunding started: $13M for The Chosen (2017), $10M company raise (2018).
• 2021: ~$50-80M (post-rebrand pivot); primarily from The Chosen licensing/merch (~$47M from merch model). Crowdfunding: Early Dry Bar Comedy expansions.
• 2022: $123M total. Crowdfunding: $100M+ invested in 12 titles by 50,000 people; $47M VC round (not pure crowdfunding). Streaming/merch: ~$50M (guild launch prep); theatrical minimal.
• 2023: ~$150-200M (500% growth claims). Crowdfunding: $10-20M for films like Sound of Freedom (P&A campaign returned 120% to 6,678 investors). Theatrical: $200M+ from hits; merch/streaming: ~$60M (The Chosen alone generated $281.9M cumulative by 2024, with $56.9M in merch costs implying higher revenue).
• 2024: $96.5M (down 52% YoY, per stock data; H1 $45M). Crowdfunding: ~$20-30M. Streaming/merch: ~$40M (guild growth to 1M members). Theatrical/licensing: ~$50M from releases.
• 2025 (through Q3): $206.3M nine-month (223% growth YoY); Q3 $76.5M (280% YoY). TTM $242.7M. Crowdfunding: $102M+ (Aug $55M company raise; total ~$75M Reg A+). Streaming/merch: ~$100M (1.5M guild members at ~$150 ARPU est.). Theatrical: ~$100M from King of Kings, Chosen events. Net loss $38.6M Q3 due to marketing/content spends.

Cumulative crowdfunding: ~$300M+ by 2025 (e.g., $13M Chosen, $10M 2018, $100M 2022 content, $102M 2025). The Chosen brand alone: $281.9M revenue (allocated: $116.3M to creators, $56.9M distribution/merch costs, $116.3M to Angel for ops).

Highs, Lows, Success Factors, and Challenges

Highs:

• 2023 Peak: Sound of Freedom ($250M box office) and The Chosen virality; revenue surged to $200M+; guild hit 1M members.
• 2025 Growth: Q3 revenue up 280%; public listing at $1.6B valuation; King of Kings success; total Chosen theatrical $140M.
• Success Factors: Crowdfunding model democratizes funding (e.g., 50,000 investors); grassroots marketing via guild/fans; faith-based niche fills Hollywood gap; viral hits like Dry Bar Comedy (2B views); global expansion (UK deals); high returns for investors (120% on Sound of Freedom P&A); free streaming with "Pay It Forward" boosts accessibility.

Lows:

• 2016-2020: Lawsuit/bankruptcy; near-collapse, $62M settlement.
• 2024 Dip: Revenue down 52% to $96.5M; net losses from spends; arbitration loss with The Chosen (shifted to Come and See Foundation).
• 2025 Challenges: $38.6M Q3 net loss; stock volatility; lawsuits (e.g., Slingshot over David, resolved via acquisition).
• Harming Factors: Controversies (Sound of Freedom tied to QAnon/Ballard scandals, alleged ticket inflation); niche limits broad appeal (e.g., progressive backlash); high failure risk in crowdfunding (not all projects profitable); competition from mainstream streamers; 2024 Chosen split harmed relations; pursuit of broader audiences risks alienating core evangelicals (e.g., "wine moms" critique). Volatility in stock/subscribers could hinder long-term liquidity.

Current Company Valuation

As of December 19, 2025, Angel Studios' market capitalization stands at approximately $843 million to $889 million, with shares trading around $5.07 to $5.26. This reflects a substantial decline from its initial $1.6 billion valuation at the time of its public listing in early 2025, representing a loss of over 40% in market value. Factors contributing to this depreciation include ongoing net losses (e.g., $38.6 million in Q3 2025), high content acquisition and marketing expenses, and broader market pressures on independent entertainment firms. The company's enterprise value is estimated at around $853 million, incorporating debt and cash positions. With 143 million shares outstanding, Angel Studios' stock has exhibited high volatility (beta of 3.59), making it sensitive to news events, content performance, and investor sentiment in the niche faith-based media sector.

Potential Business Risks from "Animal Farm: A Cautionary Tale"

"Animal Farm: A Cautionary Tale," an upcoming 2026 animated adaptation of George Orwell's 1945 novel directed by Andy Serkis and acquired by Angel Studios in December 2025, has generated significant negative feedback following the release of its trailer in mid-December 2025. The film reinterprets Orwell's anti-totalitarian allegory—originally a critique of Soviet communism—as a narrative blaming capitalism for societal ills, incorporating a happy ending and comedic elements. This shift has sparked widespread criticism for deviating from the source material's core message, with detractors arguing it inverts the novel's intent and aligns with progressive ideologies. Social media and online petitions have amplified the backlash, including calls for boycotts of the film and broader Angel Studios products.

From a business analytical perspective, this controversy poses material risks to Angel Studios, particularly given its reliance on a core demographic of conservative, faith-based audiences who value content aligned with traditional values. Recent X posts and semantic analysis reveal overwhelming negative sentiment, with users expressing disappointment, labeling the film as "Hollywood propaganda," and pledging to boycott not only "Animal Farm" but also concurrent releases like the animated "David" (opening December 19, 2025). Some investors and guild members have indicated intentions to cancel subscriptions or divest, citing a perceived betrayal of the studio's mission to produce "light-amplifying" content. The studio's response—defending the adaptation and suggesting audience biases—has further escalated tensions, potentially eroding trust in its community-driven model.

Quantitatively, sustained boycotts could impact multiple revenue streams: theatrical earnings (e.g., reduced ticket sales for "David," projected at $50M+), guild memberships (1.5 million members contributing ~$100M in 2025), and crowdfunding (critical for funding future projects). Historical precedents, such as Disney's stock dips amid cultural backlash (e.g., 2022-2023 content controversies leading to a 30%+ market cap decline), suggest that alienating a loyal base in a niche market can lead to 10-20% revenue shortfalls in the short term. For Angel Studios, with its already volatile stock and Q3 2025 net losses, this could exacerbate downward pressure on market cap, potentially dropping it below $800 million if sentiment worsens. However, the film might attract a broader, more secular audience, mitigating some losses through licensing deals, though this remains speculative given the studio's demographic profile. Overall, the controversy highlights the risks of content diversification in a polarized media landscape, where deviations from audience expectations can lead to reputational and financial harm.