Vancouver, British Columbia--(Newsfile Corp. - April 15, 2019) - Destiny Media Technologies (TSXV: DSY) (OTCQB: DSNY), the makers of Play MPE®, a cloud-based SaaS solution for digital asset management in the music industry, today announced financial results for its fiscal 2019 second quarter ended February 28, 2019.
Highlights
Highlights for the quarter include:
- Play MPE® currency adjusted revenue growth of 11.8%
- Play MPE® Revenue growth seen in all major territories through a currency adjusted increase in non-fixed fee income of 16.3%
- Integration with Nielsen's BDSradio expands Play MPE® network
Second Quarter Fiscal 2019 Results
Play MPE® currency adjusted revenue for the quarter ended February 28, 2019 grew by 11.8% over the comparable period in fiscal 2018. This increase in revenue includes an increase of 8.0% in fixed fee revenue and an increase in non-fixed fee revenue of 16.3%. In both cases, the increases were realized in the latter 2 months of the quarter. Foreign currency fluctuations negatively affected reported revenues by 3.9%, resulting in a net 7.9% increase to $879,364.
"During the latter half of Q2 we began to see the financial returns of our reinvestment in Play MPE and our increased investment in sales and marketing staffing." said Fred Vandenberg, Chief Executive Officer for Destiny Media Technologies. "We are very encouraged by the progress we see so far and look forward to the continued building of momentum through our targeted efforts. We are continuing to add to product development and business development resources."
For more information, please see our AGM address here.
Second Quarter Fiscal 2019 Earnings Conference Call
Destiny Media Technologies will host a conference call at 5:00 p.m. ET (2:00pm PT) on Monday, April 15, 2019, to further discuss its second quarter fiscal year 2019 results. Investors and interested parties may participate in the call by dialing 416-764-8688 or 888-390-0546 and referring to conference ID # 59948008. A written transcript and archived stream will subsequently be made available on Destiny's corporate site at http://www.dsny.com.
Destiny Media Technologies Inc.
| Three Months | Three Months | Six Months | Six Months | |
| Ended | Ended | Ended | Ended | |
| February 28, | February 28, | February 28, | February 28, | |
| 2019 | 2018 | 2019 | 2018 | |
| $ | $ | $ | $ | |
| Revenue [note 9] | 879,364 | 815,055 | 1,863,383 | 1,788,853 |
| Operating expenses | ||||
| General and administrative | 215,666 | 233,279 | 397,936 | 411,860 |
| Sales and marketing | 280,026 | 211,982 | 549,383 | 442,096 |
| Research and development | 289,764 | 278,639 | 587,776 | 583,078 |
| Depreciation and Amortization | 19,711 | 25,490 | 40,335 | 51,187 |
| 805,167 | 749,390 | 1,575,430 | 1,488,221 | |
| Income from operations | 74,197 | 65,665 | 287,953 | 300,632 |
| Other income | ||||
| Interest income | 6,522 | 1,704 | 12,921 | 4,029 |
| Other income (expense) | — | 7 | 35 | (3,795 |
| Net income | 80,719 | 67,376 | 300,909 | 300,866 |
| Other comprehensive income (loss) | ||||
| Foreign currency translation adjustments | 29,232 | 11,107 | (19,853 | (41,009 |
| Total comprehensive income | 109,951 | 78,483 | 281,056 | 259,857 |
| Net income per common share, basic and diluted | 0.00 | 0.00 | 0.01 | 0.00 |
| Weighted average common shares outstanding: | ||||
| Basic and diluted | 55,013,874 | 55,013,874 | 55,013,874 | 55,013,874 |
| February 28, | August 31, | |
| 2019 | 2018 | |
| $ | $ | |
| ASSETS | ||
| Current | ||
| Cash and cash equivalents | 1,458,931 | 1,097,434 |
| Short-term investments [note 3] | 1,154,643 | 1,151,952 |
| Accounts receivable, net of allowance for doubtful accounts of $9,566 [August 31, 2018 – $6,031] [note 9] | 369,001 | 403,801 |
| Other receivables | 12,161 | 15,902 |
| Prepaid expenses | 57,250 | 57,252 |
| Total current assets | 3,051,986 | 2,726,341 |
| Deposits | 34,040 | 34,336 |
| Property and equipment, net [note 4] | 192,874 | 160,273 |
| Intangible assets, net [note 4] | 31,131 | 41,472 |
| Total assets | 3,310,031 | 2,962,422 |
| LIABILITIES AND STOCKHOLDERS’ EQUITY | ||
| Current | ||
| Accounts payable | 189,983 | 141,273 |
| Accrued liabilities | 238,142 | 226,876 |
| Deferred leasehold inducement | 49,941 | 51,848 |
| Deferred revenue | 10,026 | 23,286 |
| Obligation under capital lease | — | 2,363 |
| Total liabilities | 488,092 | 445,646 |
| Commitments and contingencies [notes 6 and 7] | ||
| Stockholders’ equity | ||
| Common stock, par value $0.001 [note 5] Authorized: 100,000,000 shares Issued and outstanding: 55,013,874 shares [August 31, 2018 – issued and outstanding 55,013,874 shares] | 55,014 | 55,014 |
| Additional paid-in capital [note 5] | 9,790,772 | 9,766,665 |
| Accumulated deficit | (6,650,352 | (6,951,261 |
| Accumulated other comprehensive loss | (373, 495 | (353,642 |
| Total stockholders’ equity | 2,821,939 | 2,516,776 |
| Total liabilities and stockholders’ equity | 3,310,031 | 2,962,422 |
CEO, Destiny Media Technologies, Inc.
604 609 7736 x236