Golden Entertainment, a streaming video entertainment company owned by Jyp entertainment and its founder and CEO Jody Stephens, has posted a $1.7 billion loss and is expected to report its third-quarter earnings on Wednesday.
The stock fell more than 2% in after-hours trading on the New York Stock Exchange and is trading below $3.
Golden Entertainment is owned by Stephens and his family, but it also has investments in other media companies.
In the first quarter, Golden Entertainment reported revenue of $3 billion, a decline of $4.3 billion from the previous quarter.
The company also reported net loss of $6.2 billion, compared with $7.9 billion a year earlier.
The third-year revenue was up 2% compared with the same period a year ago.
The quarterly loss was $6 million.
Golden Entertainment also announced that it will not seek shareholder approval for a spinoff of its entertainment brands.
In an interview with CNBC on Tuesday, Stephens said that the company is exploring all options to spin off its entertainment assets.
Investors are watching the company closely, as it is a key component of the growth of digital video entertainment.
In the past, digital video has had limited success in the U.S., with few major streaming services operating in the country.