DESTINY MEDIA TECHNOLOGIES INC. Return to profitability / 5% Year over Year Revenue Growth
VANCOUVER, Jan. 17, 2017 /PRNewswire/ - Destiny Media Technologies (TSXV: DSY) (OTCQX: DSNY), the makers of Play MPE(®), a system for the secure distribution of pre-release music to radio and the developer of Clipstream(®), a cross-platform player-less video streaming format, today announced its financial results for its fiscal 2017 first quarter ended November 30, 2016.
Highlights
Highlights during and subsequent to the end of the first quarter include:
-- Return to profitability with an overall margin of 12%
-- Total revenue grew by 5% compared the prior year and prior quarter
-- Fourth consecutive Q over Q revenue growth
-- Strongest cash position since August 31, 2014
First Quarter Fiscal 2017 Results
Revenue for the quarter ended November 30, 2016 grew by 5% to $892,229. The increase is the result of revenue growth in all major territories in which we operate.
Q1 2017 saw the company return to profitability with Net Income of $104,128.
"We are excited to see positive results from allocation of resources to our profitable Play MPE enterprise," said Steve Vestergaard, Chief Executive Officer for Destiny Media Technologies. "We are currently working on adding increased accessibility to the Play MPE product which we expect to launch in Q4 of fiscal 2017."
First Quarter Fiscal 2017 Earnings Conference Call
Destiny Media Technologies will host a conference call at 5:00 p.m. ET (2:00pm PT) on Tuesday, January 17, 2017, to further discuss its first quarter fiscal year 2017 results. Investors and interested parties may participate in the call by dialing 416-764-8688 or 888-390-0546 and referring to conference ID # 34915777. A written transcript and archived stream will subsequently be made available on Destiny's corporate site at http://www.dsny.com in the Company's proprietary Clipstream(®) format.
About Destiny Media Technologies, Inc.
Destiny Media Technologies (DSY.V) (DSNY) provides services that enable content owners to securely display and distribute their audio and video content digitally through the internet. The Company's two major services are Clipstream(®) and Play MPE(®). Clipstream(®) (www.clipstream.com) is a video format that plays on any modern smart phone, tablet, internet, TV, or computer. Play MPE(®) (www.plaympe.com) provides a standardized method to securely and cost effectively distribute pre-release music to radio stations and other music industry professionals, before it is ready for sale. More information can be found at www.dsny.com.
Forward-Looking Statements
This release contains forward-looking statements that reflect current views with respect to future events and operating performance. Any such statements are subject to risks and uncertainties that could cause actual results to differ materially from those projected in these forward-looking statements. Destiny Media Technologies is not obligated to update these statements in the future. For more information on the Company's risks and uncertainties relating to those forward-looking statements, please refer to the Risk Factors section in our Annual Form 10-K ending August 31, 2016, which is available on www.sedar.com or www.sec.gov.
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE INCOME
(Expressed in United States dollars)
Unaudited
Three months Three months
Ended Ended
November 30, November 30,
2016 2015
$ $
--- ---
Service Revenue 892,229 847,721
--------------- ------- -------
Operating expenses
General and administrative 178,906 235,383
Sales and marketing 247,406 350,598
Research and development 324,674 319,040
Depreciation and amortization 41,878 49,829
----------------------------- ------ ------
792,864 954,850
------- -------
Income (loss) from operations 99,365 (107,129)
Other income
Interest income 4,763 6,122
--------------- ----- -----
Net income (loss) 104,128 (101,007)
---------------- ------- --------
Other comprehensive loss, net of tax
Foreign currency translation
adjustments (33,369) (17,756)
---------------------------- ------- -------
Total comprehensive income (loss) 70,759 (118,763)
-------------------------------- ------ --------
Net income (loss) per common share,
basic and diluted 0.00 (0.00)
================= ==== =====
Weighted average common shares outstanding:
Basic 55,013,874 53,903,984
Diluted 55,013,874 53,903,984
======= ========== ==========
CONDENSED CONSOLIDATED BALANCE SHEETS
(Expressed in United States dollars)
Unaudited
As at
November 30, August 31,
2016 2016
$ $
--- ---
ASSETS
Current
Cash and cash equivalents 961,706 662,743
Accounts receivable, net of allowance for
doubtful accounts of $2,645 [Aug
31, 2016 - $4,049] 483,393 628,135
Other receivables 26,071 15,051
Current portion of long term
receivable 125,053 113,834
Prepaid expenses 43,685 61,525
Deposits 21,876 -
-------- ------ ---
Total current assets 1,661,784 1,481,288
Deposits 552 22,978
Long term receivable 30,823 61,642
Property and equipment, net 154,374 174,951
Intangible assets, net 105,785 110,017
---------------------- ------- -------
Total assets 1,953,318 1,850,876
============ ========= =========
LIABILITIES AND STOCKHOLDERS' EQUITY
Current
Accounts payable 179,753 108,157
Accrued liabilities 157,126 190,077
Deferred leasehold inducement 19,788 28,962
Deferred revenue 15,010 23,563
Obligation under capital lease -
current portion 5,222 5,240
-------------------------------- ----- -----
Total current liabilities 376,899 355,999
------------------------- ------- -------
Obligation under capital lease -
long term portion 4,853 6,472
-------------------------------- ----- -----
Total liabilities 381,752 362,471
================= ======= =======
Stockholders' equity
Common stock, par value $0.001
Authorized:
100,000,000
shares
Issued and
outstanding:
55,013,874
shares
[Aug 31, 2016 - issued and
outstanding 55,013,874
shares] 55,014 55,014
Additional paid-in capital 9,678,482 9,666,080
Accumulated deficit (7,792,184) (7,896,312)
Accumulated other comprehensive
(loss) (369,746) (336,377)
------------------------------- -------- --------
Total stockholders' equity 1,571,566 1,488,405
-------------------------- --------- ---------
Total liabilities and
stockholders' equity 1,953,318 1,850,876
===================== ========= =========
SOURCE Destiny Media Technologies, Inc.
