Meow Wolf files its finances
Documents show arts group’s 2015, 2016 earnings, losses
Meow Wolf, which valued itself at $62.3 million for the arts group’s ongoing and so far hyper-successful investor campaign, has opened a window on its finances in public documents filed with the federal Securities and Exchange Commission in connection with the effort to attract investors.
Despite reporting earnings of $5.5 million for 2016 — part of the $7 million said to have been taken in during the first 12 months after Meow Wolf’s “House of Eternal Return” opened in March of last year — the June SEC filings shows the company had a net annual income of only about $39,000.
Meow Wolf CFO Drew Tulchin told the Journal the large difference between revenue and income was part of being a startup: paying off early debts, salaries for a growing employee list and depreciation.
The SEC report also showed a $400,000 expense for “costs of goods sold” during 2016, representing the amount put into souvenirs or other items sold at its hit interactive art installation on Rufina Street.
For 2015, prior to the installation’s opening, the report says that Meow Wolf made approximately $220,000 and had a net loss of about $255,000.
As for as whether net revenue is expected to increase for 2017 now that the company is more established, Tulchin said he is unable to say for sure, but that Meow Wolf continues to grow and receive local support. The city and state governments are close to providing Meow Wolf with $1 million in economic development funding.
Tulchin described Meow Wolf as two business entities, a local operation, as well as Meow Wolf Inc., the startup part of the company that plans to expand, with Denver, Austin and Las Vegas, Nev., under consideration for new installations. He said both entities are exceeding expectations.
“What’s going to happen, we don’t know, but we do know that people keep visiting,” he said.
Meow Wolf’s total assets for 2016 were reported at about $3.2 million, an increase from $1.9 million in 2015, says the SEC document.
Regarding the business’s “pre-money valuation” of $62.3 million it set for its campaign to attract investors, Tulchin called that amount what the “market supports us at,” adding that it’s an optimistic, “forwardlooking” figure based on what’s currently been accomplished in Santa Fe and the company’s planned growth.
Meow Wolf’s investor WeFunder.com campaign that began last week sold more than $1 million in company shares in about 48 hours.