Return to profitability / 5% Year
over Year Revenue Growth
VANCOUVER, Jan. 17, 2017 /CNW/ - 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.