Destiny Media Technologies Inc. Announces Fiscal Year 2019 Results

Vancouver, British Columbia--(Newsfile Corp. - November 18, 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 year ended August 31, 2019.

Highlights

Highlights for the year include:

• Play MPE® currency adjusted revenue growth of 9.1%;

• Total unadjusted revenue growth of 5.6%;

• Renewal and expanded agreement with Universal Music Group;

• Expanded staffing dedicated to longer term revenue growth and product development including new Director of Product Management, and Director of Engineering.

Fiscal 2019 Results

Play MPE® currency adjusted revenue for the year ended August 31, 2019 grew by 9.1% over fiscal 2018. Increases in revenue were driven by expanded Major Record label use in Europe and the USA and expanded independent label use in the USA and Australia. Foreign currency fluctuations reduced the overall positive impact to our Play MPE ® revenues by 3.0%, resulting in a net 6.1% increase in reported Play MPE ® revenue and a total unadjusted revenue increase of 5.6%.

"2019 was a year of many exciting changes for Play MPE® and for the company" said Fred Vandenberg, Chief Executive Officer for Destiny Media Technologies. "We have made several significant key additions to the team and expanded our ability to innovate and grow the Play MPE business leading to early positive returns."

The company commenced a stock repurchase program in September 2019, resulting in market purchases to November 14, 2019 of 186,000 shares (representing 1.7% of shares outstanding as of August 31, 2019) for a total cost of $175,800 USD.

Fiscal 2019 Earnings Conference Call

Destiny Media Technologies will host a conference call at 5:00 p.m. ET (2:00pm PT) on Monday, November 18, 2019, to further discuss its fiscal year 2019 results. Investors and interested parties may participate in the call by dialing 1-416-764-8688 or 1-888-390-0546 and referring to conference ID # 12819862. A written transcript and archived stream will subsequently be made available on Destiny's corporate site at http://www.dsny.com.

CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE INCOME
(Expressed in United States dollars)
	Year	Year
	ended	ended
	August 31,	August 31,
	2019	2018
	$	$
Revenue	3,809,092	3,606,471
Cost of revenue
Hosting costs	107,434	125,631
Internal engineering support	28,441	24,437
Customer support	126,317	111,301
Third party and transaction costs	47,840	37,039
	310,032	298,408
Gross Margin	3,499,060	3,308,063
Operating expenses
General and administrative	770,758	801,866
Sales and marketing	908,951	657,474
Research and development	1,141,380	1,093,448
Depreciation and amortization	96,846	105,869
	2,917,935	2,658,657
Income from operations	581,125	649,406
Other income
Interest income	27,188	10,597
Other income (expense)	2,465	(3,733)
Net income	610,778	656,270
Other comprehensive income (loss)
Foreign currency translation adjustments	(38,217)	(86,751)
Total comprehensive income	572,561	569,519
Net income per common share,
basic and diluted	0.06	0.06
Weighted average common shares outstanding:
Basic and diluted	11,002,599	11,002,786

 

CONSOLIDATED BALANCE SHEETS
(Expressed in United States dollars)
As at August 31,
	2019	2018
	$	$
ASSETS
Current
Cash and cash equivalents	2,512,138	1,097,434
Short-term investments	380,056	1,151,952
Accounts receivable, net of allowance for
doubtful accounts of $10,106 [2018 - $6,031]	332,271	403,801
Other receivables	14,240	15,902
Prepaid expenses	77,067	57,252
Total current assets	3,315,772	2,726,341
Deposits	33,716	34,336
Property and equipment, net	260,907	160,273
Intangible assets, net	24,695	41,472
Total assets	3,635,090	2,962,422
LIABILITIES AND STOCKHOLDERS' EQUITY
Current
Accounts payable	132,451	141,273
Accrued liabilities	303,470	226,876
Deferred leasehold inducement	46,774	51,848
Deferred revenue	23,388	23,286
Obligation under capital lease	-	2,363
Total current liabilities	506,083	445,646
Total liabilities	506,083	445,646
Stockholders' equity
Common stock, par value $0.001
Authorized: 20,000,000 shares
Issued and outstanding: 11,000,786 shares
[2018 - issued and outstanding 11,002,786 shares]	11,001	11,003
Additional paid-in capital	9,850,348	9,810,676
Accumulated deficit	(6,340,483)	(6,951,261)
Accumulated other comprehensive (loss)	(391,859)	(353,642)
Total stockholders' equity	3,129,007	2,516,776
Total liabilities and stockholders' equity	3,635,090	2,962,422

 

About Destiny Media Technologies Inc.

Destiny Media Technologies ("Destiny") provides software as service (SaaS) solutions to businesses in the music industry solving critical problems in distribution and promotion. The core service, Play MPE® (www.plaympe.com), provides promotional music marketing to engaged networks of decision makers in radio, film, TV, and beyond. More information can be found at www.dsny.com.

Forward-Looking Statements

This release contains forward-looking statements that reflect current views with respect to future events and operating performance. Any such statements are subject to risks and uncertainties that could cause actual results to differ materially from those projected in these forward-looking statements. Destiny Media Technologies is not obligated to update these statements in the future. For more information on the Company's risks and uncertainties relating to those forward-looking statements, please refer to the Risk Factors section in our Annual Form 10-K for the fiscal year ended August 31, 2019, which will be available on www.sedar.com or www.sec.gov.

Contact:

Fred Vandenberg
CEO, Destiny Media Technologies, Inc.
604 609 7736 x236

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