TORONTO, Nov. 24, 2021 /CNW/ - Lingo Media
Corporation (TSX-V: LM) (OTCQB: LMDCF) (FSE: LIMA) ("Lingo Media" or the
"Company"), an EdTech company that is 'Building a
multilingual world' through innovative online technology and
solutions announces its financial results for the third quarter
ended September 30, 2021. All
figures are reported in Canadian Dollars and are in accordance with
International Financial Reporting Standards unless otherwise
noted.
Q3 2021 Operational Highlights
- Online English Language Learning:
-
- Released Level 1 of English Academy, a English learning program
aimed at primary school learners.
- Doubled the Portuguese course to cover learners up to B2 on the
Common European Framework of Reference.
- Entered into a distbitution agreement with partners in
Peru and Honduras.
- Grew its sales team by hiring personnel in Colombia and Peru.
- Conducted three webinars as part of ELL teacher development
series.
- Print-Based English Language Learning:
-
- Expanded existing market for PEP Primary English program
into one additional province in China.
- Initiated the development of content and material for its Grade
3 textbooks.
Q3 2021 Corporate Highlights
- November 6, 2021, the Company
announced the filing of Form 15F with the U.S. Securities and
Exchange Commission ("SEC") to terminate the registration under
Section 12(g) of the Securities Exchange Act of 1934, as amended
(the "Exchange Act"), as well as to terminate its reporting
obligations under the Exchange Act. As a result of filing the Form
15F, Lingo Media's obligations to file reports under the Exchange
Act will be suspended immediately and are expected to terminate 90
days after the filing, barring any objection by the SEC.
- On November 16, 2021, the
shareholders approved all matters at the Annual General
Meeting.
- On November 19, 2021, the Company
announced that the Board of Directors re-appointed Gali Bar-Ziv as President & CEO and
Khurram Qureshi as Chief Financial
Officer. In addition, the Board appointed Khurram Qureshi as a Director and Mr.
Michael Kraft notified the Company
of his intention to retire from the Company's Board of Directors
for personal reasons.
- Hon. Jerry Grafstein notified
the Company of his intention to retire from the Company's Board of
Directors for personal reasons, effective immediately. The Board of
Directors and management of Lingo Media would like to thank Mr.
Grafstein for his services and all of his contributions over the
years.
Q3 2021 Financial Highlights
|
Third Quarter
Ended September 30th
|
|
2021
|
|
2020
|
|
Revenue
|
$
|
163,493
|
$
|
68,775
|
|
Operating and
development expenses
|
|
433,209
|
|
404,377
|
|
Loss before
amortization,
share-based payments,
depreciation, finance charges
and taxes
|
|
(269,716)
|
|
(335,602)
|
|
Amortization,
share-based payments, and depreciation
|
|
961
|
|
32,147
|
|
Finance charges,
taxes, foreign exchange
|
|
11,418
|
|
(10,604)
|
|
Net loss
|
|
(282,095)
|
|
(357,145)
|
|
Total comprehensive
loss
|
|
(226,580)
|
|
(400,723)
|
|
Loss per share
(Basic)
|
$
|
(0.01)
|
$
|
(0.01)
|
- Revenue for the third quarter ended September 30, 2021 totalled $163,493 as compared to $68,775 in Q3 2020.
- Operating and development expenses for the quarter ended
September 30, 2021 totaled
$433,209 compared to the expenses of
$404,377 in Q3 2020. Included as a
reduction of selling, general and administrative expenses are
government grants of $55,000 relating
to the Company's publishing and software projects. The Company
applied for the Canada Emergency
Wage Subsidy and received $8,492
during the third quarter reflected as a reduction of General and
Administrative Expense.
- Net loss for the quarter ended September
30, 2021 was $282,095 or
$0.01 loss per share (basic) based on
35.5 million shares or $0.01 loss per
share (diluted) based on 38.5 million shares as compared to a net
loss of $357,145 for Q3 2020 or
$0.01 loss per share (basic) based on
35.5 million shares or $0.01 loss per
share (diluted) based on 39.8 million shares.
- Loss before amortization, share-based payments, depreciation,
finance charges and taxes was $269,716 in Q3 2021 compared to the loss of
$335,602 in Q3 2020.
Financial Highlights for the Nine-Month Period Ended
September 30, 2021
|
Nine Month Period
Ended September 30th
|
|
2020
|
|
2019
|
|
Revenue
|
$
|
1,343,091
|
$
|
1,143,288
|
|
Operating and
development expenses
|
|
1,229,772
|
|
407,721
|
|
Income before
amortization,
share-based payments,
depreciation, finance charges and
taxes
|
|
113,319
|
|
735,567
|
|
Amortization,
share-based payments and depreciation
|
|
23,053
|
|
97,841
|
|
Finance charges,
taxes and foreign exchange
|
|
84,477
|
|
136,923
|
|
Net profit
(loss)
|
|
5,789
|
|
500,803
|
|
Total comprehensive
income (loss)
|
$
|
(43,249)
|
$
|
556,159
|
|
Earnings (Loss) per
share (Basic)
|
|
$ 0.00
|
|
$ 0.02
|
- Revenue for the nine-month period ended September 30, 2021 totalled $1,343,091 compared to $1,143,288 for the same period in 2020.
- Operating and development expenses for the nine-month period
ended September 30, 2021 totaled
$1,229,772 as compared to
$407,721 for the same period in 2020.
The increase of selling, general and administrative expenses is
primarily due to the receipt of Ontario's Interactive Digital Media Tax Credit
("OIDMTC") in the amount of $904,940
was recorded as reduction of selling, general and administrative
expenses in 2020. OIDMTC is a refundable tax credit based on
eligible Ontario labour
expenditures in additional to eligible marketing and distribution
expenditures claimed by a qualifying corporation with respect to
interactive digital media products. In absence of OIDMTC grant and
related costs, the Company's selling, general and administrative
expenses for nine-month period ended September 30, 2020 would be $1,085,594.
- Net profit for the nine-month period was $5,789 as compared to net profit of $500,803 for the same period in 2020.
- Income before amortization, share-based payments, depreciation,
finance charges and taxes was $113,319, as compared to $735,567 for the same period in 2020. The
decrease of Income before amortization, share-based payments,
depreciation, finance charges and taxes is primarily due to the
receipt of OIDMTC in the amount of $904,940 in 2020. In absence of OIDMTC grant and
related costs, the Company's Income before amortization,
share-based payments, depreciation, finance charges and taxes for
nine-month period ended September 30,
2020 would be $57,694.
"We are very pleased with the addition of key distributors in
our core markets and the continued growth in our digital sales. We
have invested great efforts to cultivate key relationships and we
expect to see results in the coming months and years.," said
Gali Bar-Ziv, President & CEO of
Lingo Media.
The unaudited condensed interim financial statements for the
quarter ended September 30, 2021 and
Management Discussion & Analysis are available at
www.sedar.com.
About Lingo Media (TSX-V: LM; OTCQB: LMDCF)
Lingo Media is a global EdTech company that is 'Building a
multilingual world', developing and marketing products for learners
of new languages through various life stages, from classroom to
boardroom. By integrating education and technology, the company
empowers language educators to easily transition from traditional
teaching methods to digital learning.
Lingo Media provides both online and print-based solutions
through two distinct business units: ELL Technologies Ltd.,
d/b/a Everybody Loves Languages and Lingo Learning Inc.
Everybody Loves Languages provides online training and
assessment for language learning, while Lingo Learning is a
print-based publisher of English language
learning programs in China.
Lingo Media has established successful relationships with key
government and industry organizations internationally, with a
presence in Latin America,
China and the U.S., and continues
to both extend its global reach and expand its product
offerings.
Follow Lingo Media
On:
Facebook: https://www.facebook.com/LingoMedia
Twitter: @LingoMediaCorp
YouTube: https://www.youtube.com/lingomedialm
LinkedIn:
https://www.linkedin.com/company/lingo-media-corporation
RSS:
http://feeds.feedburner.com/LingoMedia
|
Portions of this
press release may include "forward-looking statements" within the
meaning of securities laws. These statements
are made in reliance upon Sections 21E and 27A of the Securities
Exchange Act of 1934, which involve known and unknown risks,
uncertainties or other factors that could cause actual results to
differ materially from the results, performance, or expectations
implied by these forward-looking statements. These statements are
based on management's current expectations and involve certain
risks and uncertainties. Actual results may vary materially
from management's expectations and projections and thus readers
should not place undue reliance on forward-looking
statements. Lingo Media has tried to identify these
forward-looking statements by using words such as "may," "should,"
"expect," "hope," "anticipate," "believe," "intend," "plan,"
"estimate" and similar expressions. Lingo Media's expectations,
among other things, are dependent upon general economic conditions,
the continued and growth in demand for its products, retention of
its key management and operating personnel, its need for and
availability of additional capital as well as other uncontrollable
or unknown factors. No assurance can be given that the
actual results will be consistent with the
forward-looking statements. Except as otherwise required by US
Federal securities laws, Lingo Media undertakes no obligation to
publicly update or revise any forward-looking statements, whether
as a result of new information, future events, changed
circumstances or any other reason. Certain
factors that can affect the Company's ability to achieve
projected results are described in the Company's filings with the
Canadian and United States securities regulators available on
www.sedar.com or www.sec.gov/edgar.shtml.
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___________________________________________________________________________________________________
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NEITHER THE TSX
VENTURE EXCHANGE NOR ITS REGULATION SERVICES PROVIDER (AS THAT TERM
IS DEFINED IN THE POLICIES OF THE TSX VENTURE EXCHANGE)
ACCEPTS RESPONSIBILITY FOR THE ADEQUACY OR ACCURACY OF THIS
RELEASE
|
SOURCE Lingo Media Corporation
