Vancouver, British Columbia--(Newsfile Corp. - November 14, 2022) - 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, 2022.
"The launch of Play MPE®'s browser based global distribution components was a major accomplishment for fiscal 2022," said Fred Vandenberg, President and CEO. "With this launch, we moved resources in the latter half of the year to advance new products and new functionality designed to accelerate revenue growth."
"While a devaluation of the Euro resulted in a small revenue decline for the year, we expect our increased investments in product and business development to impact 2023," continued Fred Vandenberg.
Fiscal 2022 Highlights
FX adjusted revenue increased by 1%; unadjusted revenue declined by 3%;
Renewal of Universal Music Group agreement with 10% increase in annual fees;
Warner Music Group revenue grew by 48% in the USA; 30% worldwide;
Latin market development continues with a 64% increase in active users; signing of first pilot agreement.
Launched Play MPE®'s global distribution infrastructure in browser platform; development staffing moving to new product development.
During the year under a normal course issuer bid, the Company repurchased and cancelled 143,100 shares for a total cost of $0.179M.
Fiscal 2022 Earnings Webinar
Destiny Media Technologies will hold a live webinar on Tuesday, November 15 at 2:00 p.m. Pacific Standard Time (5:00 p.m. Eastern Standard Time) to discuss financial results for its fiscal year ended August 31, 2022. The Company plans to release financial results for the year before market open on November 14, 2022.
The live webinar will include comments from President, Chief Executive Officer, Fred Vandenberg, and Director of Business Development, Allan Benedict.
Date: Tuesday, November 15, 2022 Time: 2:00 p.m. Pacific Standard Time (5:00 p.m. Eastern Standard Time) Attendees are encouraged to register prior to the scheduled time at the following:
Attendees viewing the webinar can voluntarily submit verbal questions during the live presentation. Attendee cameras will remain off throughout the presentation. Attendees' microphones will remain off unless the attendee voluntarily selects to engage in questions similar to the format available on traditional conference call format.
The webinar format will provide the Company an opportunity to present visual information and provide attendees an opportunity for written questions.
For those without internet access, the webinar can be accessed via the following dial in details:
Direct dial in: +1 312 626 6799 or +1 253 215 8782
Webinar ID: 860 4865 3403
Attendees participating via dial in will not have access the webinar video stream, and will not have access to question and answer functions.
As at August 31, (Expressed in United States dollars)
2022
2021
$
$
ASSETS
Current
Cash and cash equivalents
2,095,928
2,752,662
Accounts receivable, net of allowance for doubtful accounts of $39,518 [2021 - $19,743]
483,774
400,233
Other receivables
29,600
53,172
Prepaid expenses
83,242
103,463
Deposits
33,305
Total current assets
2,725,849
3,309,530
Deposits
35,556
Property and equipment, net
311,792
143,487
Intangible assets, net
529,717
187,622
Right of use assets
190,253
Total assets
3,567,358
3,866,448
LIABILITIES AND STOCKHOLDERS' EQUITY
Current
Accounts payable
116,290
202,722
Accrued liabilities
319,738
309,839
Deferred revenue
21,043
8,511
Operating lease liability
226,978
Total current liabilities
457,071
748,050
Operating lease liability, net of current portion
-
-
Total liabilities
457,071
748,050
Commitments and contingencies
Stockholders' equity
Common stock, par value $0.001 authorized: 20,000,000 shares Issued and outstanding: 10,122,261 shares [2021 - issued and outstanding 10,265,361 shares]
10,122
10,266
Additional paid-in capital
9,115,848
9,157,804
Accumulated deficit
(5,639,465)
(5,788,539)
Accumulated other comprehensive loss
(376,218)
(261,133)
Total stockholders' equity
3,110,287
3,118,398
Total liabilities and stockholders' equity
3,567,358
3,866,448
Destiny Media Technologies Inc.
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME
Years ended August 31, (Expressed in United States dollars)
2022
2021
Q4 2022
Q4 2021
$
$
$
$
Service revenue
4,023,910
4,172,473
994,057
1,033,810
Cost of revenue
Hosting costs
178,567
131,325
40,168
39,034
Internal engineering support
61,793
29,723
18,084
8,725
Customer support
350,161
168,428
102,476
49,439
Third party and transaction costs
66,278
64,449
17,592
16,711
656,799
393,925
178,320
113,909
Gross Margin
3,367,111
3,778,548
815,737
919,901
84%
91%
82%
89%
Operating expenses
General and administrative
980,381
666,485
180,208
139,663
Sales and marketing
1,011,199
1,433,232
239,036
428,394
Product development
1,099,618
1,194,976
154,677
233,046
Depreciation and amortization
142,662
105,357
52,603
27,969
3,233,860
3,400,050
626,524
829,072
Income from operations
133,251
378,498
189,213
90,829
Other income
Interest income
9,153
4,031
4,460
869
Gain on disposal of assets
11,018
-
0
-
Income before provision for income taxes
153,422
382,529
193,673
91,698
Income tax expense - deferred
(4,348)
-
-
-
Net income
149,074
382,529
193,673
91,698
Foreign currency translation adjustments
(115,085)
84,323
(106,446)
(127,573)
Total comprehensive income
33,989
466,852
44,542
(35,875)
Net income per common share, basic and diluted
0.01
0.04
0.01
0.01
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, 2022, which will be available on www.sedar.com or www.sec.gov.
Contact: Fred Vandenberg CEO, Destiny Media Technologies, Inc. 604 609 7736 x236
