Destiny Media Technologies Inc. Announces Fiscal 2022 Third Quarter Results

July 12, 2022 7:00 AM EDT | Source: Destiny Media Technologies, Inc.

Vancouver, British Columbia--(Newsfile Corp. - July 12, 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 2022 third quarter ended May 31, 2022.

"During our third quarter, we continued to grow our product development capacity as we address specific opportunities that we identified in order to expand addressable markets and market conversion," said Fred Vandenberg, President and CEO. "We continue to see growing user activity and revenue in our developing markets with many positive signs for future growth."

Q3 2022 Financial Results

Highlights for Q3 2022 include (all figures are USD, and comparisons are to Q3 2021):

  • Currency adjusted Play MPE® revenue down 2.3%
  • Currency adjusted European revenue grew by 5.5%
  • USA revenue up 1.1%
  • Capitalized software development costs of $0.18 million

Nine Months Ended May 31, 2022 Financial Results

Highlights for the nine months ended May 31, 2022 include (all figures are USD, and comparisons are to the nine months ended May 31, 2021):

  • Currency adjusted Play MPE® revenue up 0.3%
  • Currency adjusted Canadian revenue grew by 27.6%
  • Currency adjusted European revenue grew by 3.5%
  • USA revenue up 2.1%
  • Capitalized software development costs of $0.33 million

During the nine months ended May 31, 2022, under a normal course issuer bid, the Company repurchased 143,100 shares for a total cost of $0.18 million.

Fiscal 2022 Third Quarter Earnings Webinar

Destiny Media Technologies will hold a live webinar on Tuesday, July 12, 2022 at 2:00 p.m. Pacific Standard Time (5:00 p.m. Eastern Standard Time) to discuss financial results for its third quarter ended May 31, 2022. The live webinar will include comments from President and Chief Executive Officer, Fred Vandenberg, and Director of Business Development, Allan Benedict.

Date: Tuesday, July 12, 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:
https://investors.dsny.com/investors/financials/ or by clicking on the Webinar Registration Form.

Attendees viewing the webinar can voluntarily submit 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 verbal questions similar to the format available on traditional conference call format.

The webinar format will provide the Company an opportunity to present visual information.

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: 823 7596 4271

Attendees participating via dial in will not have access the webinar video stream and will not have access to question and answer functions.

A recording of the webinar will be available after the event on https://investors.dsny.com/investors/financials/

DESTINY MEDIA TECHNOLOGIES, INC.
Condensed Consolidated Balance Sheets
 
 
 
  
 
 
 
 
 May 31,
2022 		  
August 31, 2021 
ASSETS





Cash and cash equivalents$1,953,454
$2,752,662
Accounts receivable, net of allowance for doubtful accounts of $24,844 (August 31, 2021 - $19,743)
800,847

400,233
Other receivables
23,278

53,172
Prepaid expenses
54,937

103,463
Deposits 
45,269  
- 
Total current assets
2,877,785

3,309,530
 
 
 
  
 
 
Deposits
-

35,556
Property and equipment, net
359,490

143,487
Intangible assets, net
254,489

187,622
Right-of-use assets
-

190,253
Total assets$3,491,764 $3,866,448 
 
 
 

 
LIABILITIES AND STOCKHOLDERS' EQUITY
 

 
Current
 

 
Accounts payable$116,158
$202,722
Accrued liabilities
301,394

309,839
Deferred revenue
25,523

8,511
Current portion of operating lease liability 
-  
226,978 
Total current liabilities 
443,075  
748,050 
Total liabilities 
443,075  
748,050 
 
 
 

 
Contingencies
-

-
 
 
 

 
Stockholders' equity
 

 
Common stock, par value $0.001, authorized 20,000,000 shares.
Issued and outstanding - 10,122,261 shares
(August 31, 2021 - 10,265,361 shares)
10,122

10,266
Additional paid-in capital
9,137,129

9,157,804
Accumulated deficit
(5,828,790)
(5,788,539)
Accumulated other comprehensive loss 
(269,772) 
(261,133)
Total stockholders' equity 
3,048,689  
3,118,398 
Total liabilities and stockholders' equity$3,491,764 
$3,866,448 

 

DESTINY MEDIA TECHNOLOGIES, INC.
Condensed Consolidated Statements of Comprehensive Income (Loss)
(Unaudited)
 
 
 












Three Months Ended May 31,

Nine Months Ended May 31,
 
 
2022  
2021  
2022  
2021 
 












Service revenue$999,282
$1,083,987
$3,029,853
$3,138,663
 

 

 

 

 
Cost of revenue
 

 

 

 
Hosting costs
50,604

32,582

138,399

92,291
Internal engineering support
21,497

7,375

43,709

20,998
Customer support
121,816

41,794

247,685

118,989
Third-party and transactions costs 
15,688  
16,053  
48,686  
47,738 
 
 
209,605  
97,804  
478,479  
280,016 


 

 

 

 
Gross margin
789,677

986,183

2,551,374

2,858,647


 


 

 

 
Operating expenses
 

 

 

 
General and administrative
318,995

202,878

800,173

526,822
Sales and marketing
113,172

361,411

772,163

1,004,839
Product development
326,125

326,450

944,941

961,930
Depreciation and amortization 
36,313 

26,673  
90,059  
77,388 
 
 
794,605  
917,412
 
 
2,607,336  
2,570,979 
 
 
 

 

 

 
Income (loss) from operations
(4,928)
68,771

(55,962)
287,668
 
 
 


 

 

 
Other income
 

 

 

 
Interest and other income
1,686

823

4,693

3,162
Gain on disposal of assets
 
-  
-  
11,018  
- 
Net income (loss)$(3,242)$69,594
$(40,251)$290,830
 

 

 

 

 
Foreign currency translation adjustments
28,168

149,774

(8,639)
211,897
 
 
 
  
 
  
 
  
 
 
Total comprehensive income (loss)$24,926
$219,368
$(48,890)$502,727
 

 

 

 

 
Net income (loss) per common share

 

 

 
Basic$(0.00)$0.01
$(0.00)$0.03
Diluted$(0.00)$0.01 $(0.00)$0.03 
 

 

 

 

 
Weighted average common shares outstanding:

 

 

 
Basic
10,122,261

10,426,961

10,185,320

10,428,809
Diluted 
10,122,261  
10,531,708  
10,185,320  
10,543,442 

 
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, 2021, which is available on www.sedar.com or www.sec.gov.

Contact:

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

To view the source version of this press release, please visit https://www.newsfilecorp.com/release/130611

info