Company Extends YOY Quarterly Growth Record
for a 10th Consecutive Quarter
TORONTO, MUMBAI and LOS
ANGELES, Nov. 29, 2023 /CNW/ - QYOU Media Inc.,
(TSXV: QYOU) (OTCQB:QYOUF) a company operating in
India and the United States producing and distributing
content created by social media stars and digital content creators,
is reporting financial results for the quarter ended September 30, 2023. Highlights include as
follows:
- Records 10th Consecutive Quarterly YOY Revenue Growth: For the
three months ended September 30, 2023
revenue was $7,279,874 marking the
10th consecutive quarter of YOY revenue growth.
- Adjusted EBITDA*: For the three months ended September 30, 2023, the Adjusted EBITDA loss
increased by 29% compared to the prior quarter ended September 30, 2022 to $910,507 driven primarily by the decrease in US
revenue attributable to the actors and writers strike in Q3 2023
combined with larger investment into growth initiatives in the
direct to consumer gaming business.
- Improved Net Loss: Net Loss for the three months ended
September 30, 2023, decreased and
improved by $193,311 or 9%.
- Cash Balance: The Company concluded the period ended
September 30, 2023 with cash of
$1,701,511 as compared to
September 30, 2022 cash of
$3,077,769.
QYOU Media CEO and Co-Founder, Curt
Marvis commented, "We keep moving the ball forward in what
has clearly continued to be a really tough public markets
environment, particularly for small and micro cap issuers. In
addition, in the US, the actors and writers strike took a larger
toll on Q3 revenues than we expected and it will continue to be
somewhat of an issue for us in Q4 2023 as the slow recovery from
those strikes begins to take hold. We know this is a very temporary
and unpredictable setback and the silver lining is that it also
spawned a significant and exciting amount of growth for us with new
gaming partners like Activision and Ubisoft.
The impact of the strike on the US business was combined with
our predetermined move to push forward on our direct to consumer
initiatives in India. Our
strategic move to launch a Direct-to-Consumer gaming offering in
India has, in part, been driven to
optimally leverage our massive channel viewership audience
alongside our strong in-country influencer marketing capabilities;
both requisites of our Direct-to-Consumer business plans.
We remain confident that investors will soon see the impact of
these moves in fiscal 2024 and beyond. We are particularly excited
about Q GamesMela, our recently launched free and real money gaming
app which has shown exciting momentum in the earliest stages of its
release. While we continue to exercise as much financial
restraint as possible in the face of a lengthy and tough financial
environment, we remain more bullish than ever that the type of
growth we experienced in 2021 and 2022 will return in 2024 as a
result of the work put in this year."
*Note on Adjusted EBITDA:
To supplement our consolidated financial statements, which are
prepared and presented in accordance with International Financial
Reporting Standards ("IFRS"), we present Earnings Before Interest
Tax Depreciation and Amortization ("Adjusted EBITDA") which is a
non-IFRS financial measure. The presentation of non-IFRS financial
measurement are not intended to be considered in isolation from, or
as a substitute for, or superior to, operating loss or net income
(loss) or any other performance measures derived in accordance with
IFRS or as an alternative to net
cash provided by operating activities or any other measures of
cash flows or liquidity.
We define earnings before interest, taxes, depreciation and
amortization ("Adjusted EBITDA") as revenue minus operating
expenses excluding non-cash and or non-recurring operating expenses
of stock-based compensation, marketing credits, depreciation and
amortization (interest and taxes are not included in the Company's
operating expenses). Adjusted EBITDA is used as an internal measure
to evaluate the performance of our operating segments. We believe
that information about this non-IFRS financial measure assists
investors by allowing them to evaluate changes in operating results
of our business separate from non-operational factors that affect
operating income (loss) and net income (loss), thus providing
insights into both operations and other factors that affect
reported results. A limitation of the use of Adjusted EBITDA as a
performance measure is that it does not reflect the periodic costs
of certain amortizing assets used in generating revenue in our
business. Furthermore, this measure may vary among companies; thus
Adjusted EBITDA as presented herein may not be comparable to
similarly titled measures of other companies.
In connection with the closing of the Company's private
placement of units for aggregate gross proceeds of $2,100,000, as announced on October 20, 2023, the Company paid an aggregate
of approximately $55,040 and issued
finder's warrants to acquire up to an aggregate of 1,695,561 common
shares at a price of $0.10 per share
for twenty-four months as finder's fees to certain persons who
assisted the Company in connection with the offering.
Forward-Looking Statements
This press release contains certain forward-looking statements
within the meaning of applicable securities laws. Words such as
"expects'', "anticipates" and "intends" or similar expressions are
intended to identify forward-looking statements. The
forward-looking statements contained herein may include, but are
not limited to, information concerning the completion of future
investments, the approval of the Exchange of the investments, the
approval of the Reserve Bank of India of future investments, the expected use
of proceeds from the investment, and statements relating to the
business and future activities of QYOU. These forward-looking
statements are based on QYOU's current projections and expectations
about future events and other factors management believes are
appropriate. Although QYOU believes that the assumptions underlying
these forward-looking statements are reasonable, they may prove to
be incorrect, and readers cannot be assured that the offering and
the closing thereof will be consistent with these forward-looking
statements. Actual results could differ materially from those
projected in the forward-looking statements as a result of numerous
factors, including certain risk factors, many of which are beyond
QYOU's control. Additional risks and uncertainties regarding QYOU
are described in its publicly-available disclosure documents, filed
by QYOU on SEDAR (www.sedar.com) except as updated herein. The
forward-looking statements contained in this news release represent
QYOU's expectations as of the date of this news release, or as of
the date they are otherwise stated to be made, and subsequent
events may cause these expectations to change. QYOU undertakes no
obligation to publicly update or revise any forward-looking
statements, whether as a result of new information, future events
or otherwise, except as may be required by law.
About QYOU Media
One of the fastest growing creator-media companies, QYOU Media
operates in India and the United States producing, distributing and
monetizing content created by social media influencers and digital
content stars. In India, via our
flagship , The Q and on channels Q Kahaniyan, Q GameX, Q
Comedistaan, Sadhguru TV and Bollywood Hungama we
curate, produce and distribute premium content across television
networks, VOD and OTT platforms, mobile phones, smart TV's and
app-based platforms. In addition, QYOU has numerous additional
content destinations, apps and gaming platforms engaging over 125
million Indian households weekly. Our influencer marketing company,
Chtrbox, has been a pioneer in India's creator economy, leveraging data to
connect brands to the right social media influencers.
QGamesMela is a recently launched casual mobile gaming
business leveraging access to the large audience enjoyed by Q India
products. In the United States, we
power major film studios, game publishers and brands to create
content and market via creators and influencers. Founded and
created by industry veterans from Lionsgate, MTV, Disney and Sony,
QYOU Media's millennial and Gen Z-focused content reaches more than
one billion consumers around the world every month.
Experience our work at www.qyoumedia.com
Source: QYOU Media Inc.
Contact: Doug Barker
213-564-0007
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.
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SOURCE QYOU Media Inc.