MONTREAL, Aug. 26 /CNW Telbec/ - Kangaroo Media Inc. (TSX: KTV.V)
announced today results for its 2nd quarter 2009.
- Revenues totaled $1.8 million compared to $1.4 million in Q2 last year.
- Gross margin improved significantly and totaled $885,000 compared to
$(1.4 million), in Q2 of 2008.
- Quarterly operating expenses were substantially reduced to 1.3 million
from 3.2 million in the corresponding quarter a year earlier
- Net earnings (loss) improved and totaled $(354,000) million compared to
$(4.6) million in Q2 2008; on a per share basis, ($0.01) versus ($0.13)
in Q2 2008
- Company increased its liquidity and short term investments position to
$5.9 million in at the end of the quarter, from 4.7 million at the end
of Q1 2009
For the quarter ended June 30, 2009, operating revenues totaled
$1,756,000 up 28% from $1,369,000 in Q2 2008. The increase is attributable to
greater NASCAR and golf revenues, offset by slightly lower F1 revenues owing
mainly to a reduction in non-cash sponsorship revenue.
The gross margin for Q2 2009 improved by $2.3 million, to $885,000
compared to negative gross margin of ($1.4) million in Q2 2008. This
significant improvement is due mainly to increased efficiencies in NASCAR,
cost reductions in F1 and "24 Heures du Mans", positive margin in golf and a
reduction of production and manufacturing costs.
The strong quarterly performance was also reflected in the significant
reduction in net loss, which went from $(4.6 million) for Q2 in 2008 to
$(354,000) for the second quarter ended June 30th 2009.
"Typically one of our most active quarters, this year's second quarter
performance was further lifted as a result of actions taken in late 2008 and
early 2009 to cut costs and redefine the business plan and strategy. During
the second quarter, we continued our sales and business development efforts
and we are making sound progress in engaging prospective clients on the basis
of a more sustainable and profitable model. For corporate clients willing to
leverage professional sports, a fan experience enhancement program adds
significant value to their marketing and customer loyalty building objectives,
as demonstrated by the sponsors of our most recent USGA and PGA of America
initiatives," explained Robert Mimeault, Kangaroo' s President and Chief
An analyst conference call on the Q2 Fiscal 2009 results will take place
on August 27th, 2009 at 8:30 A.M (Eastern). To participate or listen to the
conference call, dial 1 800 731 6941 approximately 10 minutes prior to the
start of the call. A replay of the conference call will be available until end
of day September 10, 2009, commencing at 11:30 A.M. the day of the call. The
instant replay number is 1-877-289-8525, passcode 21313631#.
About Kangaroo Media Inc.
Kangaroo Media Inc. is a market leader in enhancing the in-venue sports
fan experience. The company develops and commercializes hand-held wireless
audiovisual multi-functional entertainment systems that enable users to expand
and tailor their on-site viewing experience of sporting events. Kangaroo
Media's technology delivers real-time video, audio and data content to each
fan's hand-held Kangaroo TV device. It gives fans the ability to create their
own tailor-made live-action sporting event on-site. Kangaroo Media,
headquartered near Montreal, Canada, is listed on the TSX Venture Exchange as
KTV.V. For more information, visit www.kangaroo.tv.
This news release contains forward-looking information. These statements
relate to future events or future performance and reflect management's current
expectations and assumptions. Such forward-looking statements reflect
management's current beliefs and are based on information currently available
to management of Kangaroo. A number of factors such as the benefit of the
Agreement, the leveraging of the intellectual property it creates and the
increased intellectual property protection it provides could cause actual
events, performance or results to differ materially from the events,
performance and results discussed in the forward-looking statements. These
forward-looking statements are made as of the date hereof and unless required
by law Kangaroo does not assume any obligation to update or revise them to
reflect new events or circumstances.
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.
For further information:
For further information: Robert Mimeault, President & CEO, Kangaroo
Media, (450) 595-2000, firstname.lastname@example.org