Destiny Media Technologies, Inc. Announces Second Quarter Fiscal Year 2016 Results

VANCOUVER, April 14, 2016 /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 the second quarter ended February 29, 2016.

Highlights

Highlights during the second quarter include:

  • Quarterly revenue increase 3% (YOY)
  • Quarterly expenditures drop by 25% (YOY)
  • Quarterly loss shrinks by 79% (YOY)
  • Migration of Play MPE® system to a cloud computing platform

Second Quarter Results

Play MPE® revenue grew in Europe, USA and Australia for an overall increase of 1.4% or 8.5% after factoring in an unfavorable reduction in the Euro relative to the US dollar.  Clipstream began to see positive revenue increases.

Expenditures dropped by 25% due to a reduction in costs associated with restructuring, favorable exchange rates, and a reduction in director and officer compensation.

Net loss for the second quarter declined by 79% to ($75,383), or ($0.00) per share, versus a net loss of ($364,457), or ($0.01) during the prior year.  

"During the quarter we began to see the positive results from restructuring that took place in the prior year with revenues increasing and expenses declining. While Clipstream® is obviously at a very early commercial stage, the company saw progress in revenue in its hosted solution, enterprise plan, and market research clients, showing a 328% increase compared to the prior year's quarter," said Steve Vestergaard, Chief Executive Officer for Destiny Media Technologies.  "With the technology restructure completed in the quarter, the Company can move forward with product design enhancements to grow revenue."

Second Quarter Fiscal 2016 Earnings Conference Call
Destiny Media Technologies will host a conference call at 4:30 p.m. ET (1:30pm PT) on April 14th, 2016, to further discuss its second quarter fiscal 2016 results. Investors and interested parties may participate in the call by dialing 416-764-8688 or 888-390-0546 and referring to conference ID # 74540260. A written transcript and archived stream will subsequently be made available on Destiny's corporate site at http://www.dsny.com.

About Destiny Media Technologies, Inc. 
Destiny Media Technologies 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 an automated high availability self-serve video hosting service built around a proprietary Javascript playback system. This approach, which is protected by two dozen pending and granted patents is much more secure and flexible than standard video approaches. Play MPE® (www.plaympe.com) provides a standardized method to securely and cost effectively distributes pre-release music to radio stations and other music industry professionals, before it is ready for sale. It is protected by granted security and watermark patents. More information can be found at www.dsny.com.

 

CONSOLIDATED STATEMENTS OF COMPREHENSIVE (LOSS)









(Expressed in United States dollars)







Three Months

Three Months

Six Months

Six Months


Ended

Ended

Ended

Ended


February 29, 

February 28,

February 29, 

February 28,


2016

2015

2016

2015


$

$

$

$






Service revenue

763,897

743,193

1,611,618

1,698,263






Operating expenses





General and administrative

158,207

246,922

393,590

540,580

Sales and marketing

302,188

422,493

652,786

753,506

Research and development

331,722

411,282

650,762

775,251

Depreciation and amortization

53,196

38,998

103,025

74,783


845,313

1,119,695

1,800,163

2,144,120

Loss from operations

(81,416)

(376,502)

(188,545)

(445,857)

Other income (expenses)





Interest income

6,033

12,045

12,155

25,091






Net loss

(75,383)

(364,457)

(176,390)

(420,766)






Foreign currency translation adjustments

(19,309)

(164,827)

(37,065)

(265,787)






Total comprehensive loss

(94,692)

(529,284)

(213,455)

(686,553)






Net loss per common share, basic and diluted

(0.00)

(0.01)

(0.00)

(0.01)






CONSOLIDATED BALANCE SHEETS




As at

(Expressed in United States dollars)





February 29,

August 31,


2016

2015


$

$




ASSETS



Current



Cash and cash equivalents

673,008

387,316


Accounts receivable, net of allowance for




doubtful accounts of $7,018 [2015 – $6,129]

430,141

399,148


Other receivables

35,671

15,471


Current portion of long term receivable

102,830

98,180

Prepaid expenses

37,092

36,042

Total current assets

1,278,742

936,157

Deposits

22,241

32,222


Long term receivable

113,830

167,350


Property and equipment, net

403,126

401,461

Total assets

1,817,939

1,537,190




LIABILITIES AND STOCKHOLDERS' EQUITY



Current



Accounts payable

167,075

139,879

Accrued liabilities

176,748

189,672

Deferred leasehold inducement

44,852

63,217

Deferred revenue

5,179

24,712

Obligation under capital lease – current portion

4,867

5,205

Total current liabilities

398,721

422,685

Obligation under capital lease – long term portion

9,075

12,071

Total liabilities

407,796

434,756

Commitments and contingencies 



Stockholders' equity



Common stock, par value $0.001 




Authorized: 100,000,000 shares




Issued and outstanding: 55,013,874 shares




[2015 – issued and outstanding 52,993,874 shares]

55,014

52,994

Additional paid-in capital

9,641,276

9,122,132

Accumulated deficit

(7,884,451)

(7,708,061)

Accumulated other comprehensive loss

(401,696)

(364,631)

Total stockholders' equity 

1,410,143

1,102,434

Total liabilities and stockholders' equity

1,817,939

1,537,190




SOURCE Destiny Media Technologies, Inc.

For further information: Fred Vandenberg, CFO Destiny Media Technologies, Inc., 604 609 7736 x236

RELATED LINKS
www.dsny.com

Custom Packages

Browse our custom packages or build your own to meet your unique communications needs.

Start today.

CNW Membership

Fill out a CNW membership form or contact us at 1 (877) 269-7890

Learn about CNW services

Request more information about CNW products and services or call us at 1 (877) 269-7890