 Alternative media company Gaia GAIA, which offers everything from yoga videos to meditation series, has delivered impressive second quarter earning results, exceeding both top and bottom-line estimates.Specifically, Q2 GAAP EPS of -0.13 beat Street estimates by 0.01 while revenue of 16.15M beat by 0.34M- and represented strong year-over-year growth of 22.7. That was thanks to growth in paying members and an increase in average revenue per member. Paying members increased to 663,400 as of June 30, 2020 with net member additions for the quarter of 58,300.Gross profit in the second quarter increased 24 to 14.1M compared to 11.4M in the year-ago quarter. Gross margin was also up at 87.1 versus 86.4 last year, with total operating expenses up 4 to 16.3M, primarily due to a one-off 0.7M share-based expense related to the acquisition Gaia completed in June 2019.Customer acquisition costs as a percentage of revenue were 52 for the second quarter, an improvement from 57 in the year-ago quarter. As of June 30, 2020, Gaia had 8.5M in cash- with the company adding that it intends to generate positive net income and free cash flow in the third quarter.The results for the second quarter represent 18 months of disciplined execution to drive operating efficiencies across the business while balancing growth initiatives and spend discipline, said Paul Tarell, Gaias CFO.We have continued to benefit from higher member growth due to the success of our exclusive content, smart marketing spend and improved retention, which has allowed Gaia to transition to positive earnings and free cash flows starting in July he added.Following the results B Riley FBR analyst Eric Wold reiterated his buy rating on GAIA with a price target of 17 70 upside potential. Shares in Gaia are up 25 year-to-date.According to Wold, Gaia benefited from a stay-at-home mentality during the COVID-19 pandemic that drove stronger subscriber counts along with a healthier paid subscriber base, increased content engagement and reduced churn levels.He notes that management reaffirmed guidance for positive FCF in 3Q20which he believes can be sustainable and drive improvements from the trough cash balance that would have been experienced in 2Q20.We continue to believe this improved cash flow outlook should help drive a noticeable re-rating for the shares and are increasing our 20202021 estimates along with reiterating our Buy rating and 17 PT the analyst concluded. See GAIA stock analysis on TipRanksOverall the stock shows a cautiously optimistic Moderate Buy analyst consensus alongside an average analyst price target of 15 50 upside potential.Related News: Ring Central Falls After-Hours Despite Stellar Q2 Results Five9 Continues Winning Streak With Strong Q2 Earnings Mosaic Rises 7 In After-Market As 2Q Earnings Top Estimates More recent articles from Smarter Analyst: TikTok Parent ByteDance Accuses Facebook Of Plagiarism And Smear McKesson Beats 2Q Estimates, UBS Lifts PT Cheggs 2Q Profit Soars 61 On Strong Demand Clorox 4Q Tops Estimates; Names New CEO 