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

VANCOUVER, July 15, 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 third quarter ended May 31, 2016.

Highlights

Highlights during the third quarter include:

  • Quarterly revenue increase 9% (YOY) / 2nd consecutive quarterly YOY revenue increase
  • Quarterly expenditures drop by 14% (YOY)
  • Quarterly loss virtually eliminated (shrinks by 99% (YOY))
  • First positive quarterly EBITDA since Q3 – 2014
  • 2nd successive quarter of positive cash flow from operations and YOY revenue growth

Third Quarter Results

Play MPE® revenue grew in Europe and the USA for an overall increase in total revenue of 9% YOY.  Net loss for the third quarter is virtually eliminated as the company continues to grow revenue while eliminating unproductive costs resulting in the 5th consecutive quarter of decreasing loss from operations. 

"The company continues to grow revenue while reducing unproductive expenditures.  Following the migration to 3rd party hosting of the operations for Play MPE®, the company will now begin executing on his Play MPE® product development plan which should expand the use and marketability of the Play MPE® system." said Steve Vestergaard, Chief Executive Officer for Destiny Media Technologies.  "The company also added recipient lists in Sweden and Denmark to its distribution network and we saw positive impacts to revenue during the quarter as a result."

Third Quarter Fiscal 2016 Earnings Conference Call

Destiny Media Technologies will host a conference call at 5:00 p.m. ET (2:00pm PT) on July 15th, 2016, to further discuss its third 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 # 31997467. 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.

 

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE INCOME (LOSS)

(Expressed in United States dollars)

Unaudited









Three Months

Three Months

Nine Months

Nine months



Ended

Ended

Ended

Ended



May 31,

May 31,

May 31,

May 31,



2016

2015

2016

2015



$

$

$

$

Revenue 

875,502

803,409

2,487,120

2,501,672






Operating expenses 





General and administrative 

202,016

267,967

595,605

808,547

Sales and marketing

257,536

360,925

910,322

1,114,431

Research and development

362,920

348,680

1,013,682

1,123,931

Amortization

60,746

53,595

163,771

128,378


883,218

1,031,167

2,683,380

3,175,287

(Loss) from operations

(7,716)

(227,758)

(196,260)

(673,615)

Other income 





Other income

-

289

-

289

Interest income

4,903

9,040

17,057

34,131

Net (loss)

(2,813)

(218,429)

(179,203)

(639,195)






Other comprehensive income (loss)





Foreign currency translation adjustments

68,915

(1,824)

31,850

(267,611)






Total comprehensive income (loss)

66,102

(220,253)

(147,353)

(906,806)






Net (loss) per common share, 






basic and diluted

0.00

0.00

0.00

-0.01

Weighted average common shares outstanding:






 Basic

55,013,874

52,993,874

54,645,261

52,993,874


Diluted

55,013,874

52,993,874

54,645,261

52,993,874

 

 

CONDENSED CONSOLIDATED BALANCE SHEETS

(Expressed in United States dollars)

Unaudited

As at






May 31,

August 31,



2016

2015



$

$





ASSETS




Current




Cash and cash equivalents


756,402

387,316


Accounts receivable, net of allowance for




doubtful accounts of $9,304 [Aug 31, 2015 – $6,129] 

438,430

399,148


Other receivables

7,734

15,471


Current portion of long term receivable 

106,899

98,180

Prepaid expenses


32,395

36,042

Total current assets


1,341,860

936,157

Deposits


23,055

32,222


Long term receivable 

87,597

167,350


Property and equipment, net

399,153

401,461

Total assets


1,851,665

1,537,190






LIABILITIES AND STOCKHOLDERS' EQUITY



Current



Accounts payable

87,876

139,879

Accrued liabilities

199,360

189,672

Deferred leasehold inducement

37,777

63,217

Deferred revenue

24,887

24,712

Obligation under capital lease – current portion

5,151

5,205

Total current liabilities

355,051

422,685

Obligation under capital lease – long term portion 

7,967

12,071

Total liabilities

363,018

434,756






Stockholders' equity



Common stock, par value $0.001




Authorized: 100,000,000 shares





Issued and outstanding: 55,013,874 shares





[Aug 31, 2015 – issued and outstanding 52,993,874 shares]

55,014

52,994

Additional paid-in capital

9,653,678

9,122,132

Accumulated deficit

(7,887,264)

(7,708,061)

Accumulated other comprehensive (loss)

(332,781)

(364,631)

Total stockholders' equity 

1,488,647

1,102,434

Total liabilities and stockholders' equity

1,851,665

1,537,190

 

SOURCE Destiny Media Technologies, Inc.

Image with caption: "Destiny Media Technologies, Inc. (CNW Group/Destiny Media Technologies, Inc.)". Image available at: http://photos.newswire.ca/images/download/20160715_C5844_PHOTO_EN_735153.jpg

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

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