Destiny Media Technologies Inc. Announces Fiscal Year 2022 Results

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:

https://investors.dsny.com/investors/financials/

or directly on the REGISTRATION FORM by clicking here.

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.

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

Destiny Media Technologies Inc.

CONSOLIDATED BALANCE SHEETS

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

To view the source version of this press release, please visit https://www.newsfilecorp.com/release/144088

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