BRANCHEZ-VOUS! releases its financial results for 2008 and announces changes to management

    MONTREAL, April 24 /CNW Telbec/ - BRANCHEZ-VOUS! inc. (TSX Venture
Exchange: BZV) released its financial statements for the fiscal year ended
December 31, 2008. The year 2008 ended on a high note with the acquisition of
NetWorldMedia as at October 31, 2008. The consolidated financial statements of
BRANCHEZ-VOUS! for the financial year and the three-month periods ended
December 31, 2008 include financial results of NetWorldMedia for the months of
November and December 2008. "The acquisition of one of our main competitors
has transformed our corporation", says Patrick Pierra, Co-President and CEO of
BRANCHEZ-VOUS!. "As a stronger player with a deeper pool of expertise and a
wider range of solutions, we are much better positioned now to benefit from
the long-term growth of the Internet advertising market throughout Canada."
    For the financial year 2008, the corporation's revenues were above $ 5.7
million, compared to slightly more than $ 4.3 million in 2007. This increase
of 32% is due to the acquisition of NetWorldMedia. "The consolidation of two
competing yet very complementary organizations has given a tremendous boost to
the quality of our combined offering and is already translating into increased
sales", says Gino Coutu, Co-President and COO of BRANCHEZ-VOUS! and head of
its advertising network, BV! Media.
    Gross profit, corresponding to revenues net of royalties paid to
publishers represented by BRANCHEZ-VOUS!, increased by 34%, from $ 2.3 million
in 2007 to $ 3.1 million in 2008.
    Operating expenses increased by $ 1.75 million, or 88%, in 2008. This
increase is mostly due to increased expenses for content production and sales,
including expenses directly related to NetWorldMedia and to various web sites
acquired by BRANCHEZ-VOUS! in 2008, as well as to depreciation and
amortization costs for web sites acquired in 2008. In the first five months of
2008, BRANCHEZ-VOUS! had acquired five web sites for a total consideration of
approximately $ 1 million, of which $ 640,000 was paid in cash $ 365,000 was
paid in common shares of BRANCHEZ-VOUS!. BRANCHEZ-VOUS! registered an
impairment loss of $ 491,000 as at December 31, 2008 relating to these
purchases to reflect their fair market value in a weakened business
    Because of depreciation and impairment charges, the 2008 financial year
ended with a net loss of $ 315,000, compared to net earnings of $ 350,000 in
2007. Since the net loss was largely due to non-cash expenses, BRANCHEZ-VOUS!
registered positive Earnings before interest, taxes, depreciation and
amortization (EBITDA) of $ 210,000 and, excluding stock-based compensation,
Adjusted EBITDA of $ 275,000.
    The purchase of NetWorldMedia also contributed to increasing
BRANCHEZ-VOUS!'s shareholders equity, from almost $ 1.875 million - or
approximately 6 cents per share - as at December 31, 2007 to more than $ 6.3
million - or almost 11 cents per share - as at December 31, 2008.

    In the fourth quarter of 2008, ended on December 31, 2008:

    - Revenues increased by 141% year over year and by 147% compared to
      Q3 2008, due to the acquisition of NetWorldMedia.

    - Gross profit increased by 116% compared to Q4 2007 and by 97% compared
      to Q3 2008, due to the increase in sales.

    - Net loss of $ 233,000 in Q4 2008 compares to net earnings of $ 28,000
      in Q4 2007 and to a net loss of $ 57,000 in Q3 2008. The loss in Q4
      2008 is due to impairment charges for web sites acquired in 2008.

    - EBITDA increased by 199% compared to Q4 2007. On a sequential basis, it
      compares to a negative EBITDA of $ 11,000 in Q3 2008. This increase is
      due to the increase in gross profit.

    - Adjusted EBITDA increased by 149% compared to Q4 2007.

    Table summarizing the main financial results
                          Fiscal year  Fiscal year      Quarter      Quarter
                                ended        ended        ended        ended
                          December 31, December 31, December 31, December 31,
                                 2008         2007         2008         2007
    Revenues              $ 5,729,992  $ 4,330,626  $ 2,492,299  $ 1,033,112
    Gross profit          $ 3,107,941  $ 2,324,506  $ 1,213,137    $ 560,920
    Net earnings (loss)    ($ 315,053)   $ 349,547   ($ 232,564)    $ 28,299
      Interest                $ 2,453            -      $ 2,453            -
      Income tax (current)  ($ 33,439)           -    ($ 33,439)           -
      Income tax (future)  ($ 242,052)           -   ($ 242,052)           -
      Impairment            $ 562,449            -    $ 529,903            -
      Amortization          $ 235,327     $ 48,138    $ 122,933     $ 21,016
    EBITDA (*)              $ 209,686    $ 397,686    $ 147,233     $ 49,315
       compensation          $ 64,837     $ 56,859     $ 17,560     $ 17,857
    Adjusted EBITDA         $ 274,523    $ 454,545    $ 164,793     $ 67,172
    Basic and diluted
     earnings per share       ($ 0.01)      $ 0.01      ($ 0.00)      $ 0.00
    (*) : EBITDA is defined as earnings before interest, income taxes,
          depreciation and amortization, impairment of intangible assets and
          impairment of long-term investments. Adjusted EBITDA is defined as
          EBITDA to which the corporation adds stock-based compensation, as
          this expense does not result in any use of operating cash flows by
          the Corporation. EBITDA and Adjusted EBITDA are provided as a
          supplementary earnings measure to assist readers in determining the
          ability of BRANCHEZ-VOUS! to generate cash from operations and to
          cover financial charges. They are also widely used for business
          valuation purposes. These measures do not have a standardized
          meaning prescribed by Canadian generally accepted accounting
          principles and may not be comparable to similar measures presented
          by other companies.

    New Chief Financial Officer

    BRANCHEZ-VOUS! is pleased to announce the appointment of Tom Vorias,
currently Vice President, Finance and Administration, as Chief Financial
Officer of the Corporation, effective May 1st, 2009. Tom Vorias was Senior
Vice President of NetWorldMedia from June 2005 until October 2008, when
NetWorldMedia was acquired by BRANCHEZ-VOUS!. Prior to joining NetWorldMedia,
Tom worked as the Chief Operating Officer of OSTnet and as a financial analyst
at TD Newcrest and UBS Warburg in the financial services industry. While
there, he helped support key financing and strategic initiatives for multiple
telecom and media clients including Bell, Telus, Quebecor, Microcell and
others. Tom holds an MBA from the Ecole Supérieure de Commerce, Nice and a
Bachelor's Degree in Mechanical Engineering from McGill University.
    As Chief Financial Officer, Tom Vorias will replace Ramzy Metwalli. "Ramzy
was instrumental in planning and completing the acquisition of NetWorldMedia
and in the quick and seamless integration of the two companies after this
transaction, says André Bisson, Chairman of the board of BRANCHEZ-VOUS!. Now
that we shift our focus from integration to developing the new BRANCHEZ-VOUS!
as a strong publicly-listed media company, we're glad to name as CFO an
operating and finance professional with a deep knowledge of the investment

    Other change in management

    Sébastien Goulet, previously Vice-President, Strategic Development and
Media Innovation, has left the corporation to accept a senior sales position
in a new media company unrelated to the Internet field. "We thank Sébastien
for his tremendous contribution to BRANCHEZ-VOUS!'s growth over the past
eleven years and wish him the best in his new venture", says Patrick Pierra,
Co-President and CEO of BRANCHEZ-VOUS!. Michel Tardif, Vice President, Sales
and marketing, will now oversee media innovation as part of the overall sales

    About BRANCHEZ-VOUS! inc.

    BRANCHEZ-VOUS! is a leading Montreal-based Internet media company, active
in Internet content and advertising.
    The BV! Media division ( operates the leading Canadian
interactive advertising network, offering a large range of both contextual and
behavioral targeting capabilities on over 400 high quality sites that include,,,,,,,,,,, and Its services
include display advertising, rich media creativity, Pay-per-clic (PPC) text
ads, Search Engine Marketing (SEM) and Search Engine Optimization (SEO). The
BV! Media network reaches over 8 million unique users per month across Canada
(source: comScore MediaMetrix, December 2008).
    The BRANCHEZ-VOUS! Content division produces, publishes and commercializes
French-language Internet content. It operates
(, the largest independent information portal in Quebec,
whose main sections cover news, technology, business, sports (
and entertainment (
    BRANCHEZ-VOUS! is listed on the TSX Venture exchange under the symbol BZV
and has approximately 60.4 million shares outstanding. Additional information
on the Corporation can be obtained on SEDAR and at

    The TSX Venture exchange has neither approved nor disapproved the
    contents of this press release.

For further information:

For further information: Media: Patrick Pierra, Co-President and Chief
executive officer, (514) 842-3838 ext. 249,;
Analysts and investors: Tom Vorias, Vice President, Finance and
Administration, (514) 337-9065 ext. 223,

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