Record Q1 Revenue of $84.1m; up 153% from prior year
Record Q1 Adjusted EBITDA of $21.6m; up 181% from prior year
TORONTO, May 11, 2012 /CNW/ - Mood Media Corporation (ISIN: CA61534J1057) (TSX:MM / LSE AIM:MM) ("Mood Media" or the "Company"), one of the world's leading in-store media solution providers, announced today its results for the three months ended March 31, 2012.
Lorne Abony, Chairman and CEO of Mood Media Corporation, comments:
"In the first quarter of 2012, Mood Media cemented its position as the global in-store media leader. Mood Media's enormous year-over-year leap forward in Revenue and EBITDA reflects our aggressive growth strategy complemented by disciplined management of our existing business. In Q1, Recurring Revenue grew to 76% of Mood Media's overall Revenue, while we maintained strong Average Monthly Revenue of $60 per location. Churn improved year-over-year from 10.3% to 9.2%.
Even more exciting than the Q1 financial results is the rapid expansion of Mood Media's sales pipeline, driven by an acceleration of Mood Media's visual business. Visual installations increased by 109% year-over-year, faster than anticipated. As of today, approximately 4,500 locations are contracted to take our visual offering with the potential for an additional 10,000 sites with the same customers, including such well-known brands as H&R Block, UPS, Clear Channel, and Quicksilver. Over time, Management expects the increase in short-term installation revenue that has accompanied the growth of the visual business to decrease but shift towards a larger, more sustained and profitable recurring revenue base, along with a higher level of growth-related capital expenditure.
In Q1, Mood Media further grew its offerings through its acquisition of DMX Holdings Inc ("DMX"); DMX is a leading provider of brand-enhancing in-store media services, delivering services to over 100,000 locations worldwide. The DMX suite of services includes music services, strategies, promotions, music licensing, video and digital signage, audio/visual system design, as well as scent marketing, and mobile and audio messaging solutions.
Our progress has not gone unnoticed: in April, Mood Media's corporate credit rating outlook was upgraded by Moody's and Standard and Poor from stable to positive, and its liquidity outlook was upgraded by Moody's from adequate to good.
We are proud of the accomplishments we are announcing today, and even more excited about Mood Media's future."
About Mood Media Corporation
Mood Media Corporation (TSX:MM/ LSE AIM:MM), named Canada's fastest growing company by PROFIT Magazine is a leading in-store media specialist that helps its clients communicate with consumers with a view to driving incremental sales at the point-of-purchase.
Operating through its two principal divisions; In-Store Media and Retail Point-of-Purchase; Mood Media Corporation works with 580,000 commercial locations in over 40 countries throughout North America, Europe, Asia and Australia.
Through its subsidiaries, Mood Media Corporation's products and services reach 100 million people every day in a broad client base including more than 850 U.S. and international brands in diverse market sectors that include: retail, from fashion to financial services; hospitality, from hotels to health spas; and food retail, including restaurants, bars, quick-serve and fast casual dining.
For further information about Mood Media, please visit www.moodmedia.com.
Cautionary Statement Regarding Forward-Looking Statements
This press release contains forward-looking statements. The words "believe", "expect", "anticipate", "estimate", "intend", "may", "will", "would" and similar expressions and the negative of such expressions are intended to identify forward-looking statements, although not all forward-looking statements contain these identifying words. These forward-looking statements are subject to important assumptions. While Mood Media considers these factors and assumptions to be reasonable based on information currently available, they may prove to be incorrect.
Known and unknown factors could cause actual results to differ materially from those projected in the forward-looking statements. Such factors include, but are not limited to: the impact of general market, industry, credit and economic conditions, currency fluctuations as well as the risk factors identified in Mood Media's management discussion and analysis dated March 11, 2012 and Mood Media's annual information form dated March 30, 2012, both of which are available on www.sedar.com.
Given these uncertainties, readers are cautioned not to place undue reliance on such forward-looking statements. All of the forward-looking statements made in this press release are qualified by these cautionary statements and other cautionary statements or factors contained herein, and there can be no assurance that the actual results or developments will be realized or, even if substantially realized, that they will have the expected consequences to, or effects on, Mood Media.
Forward-looking statements are given only as at the date hereof and Mood Media disclaims any obligation to update or revise the forward-looking statements, whether as a result of new information, future events or otherwise, except as required by applicable laws.
Mood Media Corporation presents EBITDA information as a supplemental figure because management believes it provides useful information regarding operating performance. EBITDA is not a recognized measure under International Financial Reporting Standards ("IFRS"), does not have standardized meaning, and is unlikely to be comparable to similar measures used by other companies. Accordingly, investors are cautioned that EBITDA should not be construed as an alternative to net earnings or (loss) determined in accordance with IFRS as an indicator of the financial performance of Mood Media or as a measure of Mood Media's liquidity and cash flows.
For further information:
CEO & Chairman
+1 905 761 4300
+44 207 459 3600