Destiny Media Technologies Announces Record Year End Results
VANCOUVER, Nov. 30, 2011 /PRNewswire/ - Destiny Media Technologies, Inc. (TSXV: DSY) (OTCQX: DSNY) is pleased to announce results for the year ended August 31, 2011.
Income before tax grew to $811,508 and revenues grew 6% to $4,007,230 over the prior year. Operating expenditures grew by 4%, reflecting both a 31% increase in R&D spending and a 27% reduction in G&A due to the settlement of litigation. The company cash position increased 252% to $1,238,173 despite an active share repurchase program. During the year, the company purchased 1,106,895 shares for cancellation at an average price of $.41.
According to company CEO, Steve Vestergaard "We are very pleased with our results as Play MPE® revenues increased organically while we focused on investing in R&D and developing international partnerships. We are setting the stage for new recipient types outside of radio and a roll out into new territories.
For our Play MPE® secure media distribution system, we have partnered with a subsidiary of Dentsu to represent us in Japan and we have lined up trials in a number of international markets which will go live when a major upgrade of our player software launches over the holidays. We are also in the final stages of integrating with scheduling and radio automation software from a subsidiary of the Clear Channel radio chain, which will add new radio recipients in territories all over the world.
Our Clipstream® playerless streaming media solution currently only generates 5% of our revenue, because of we have de-emphasized streaming licenses because of the ubiquity of the inexpensive Flash solution. The explosive growth in smart phones and Adobe's decision not to offer Flash for mobile has changed that dynamic as there are no competitors that can offer cross platform streaming. Our recently announced patent pending streaming video solution will allow publishers to create a single video which plays on almost all computers and mobile devices. This has the potential to reduce or eliminate transcoding, which is projected to cost the industry $1.6 billion by 2014. Besides direct licenses, we have three separate new Clipstream® offerings under development: high end internet radio, IP TV and a new cloud service."
| 2011 | 2010 | ||||
| $ | $ | ||||
| Service revenue | 4,007,230 | 3,771,382 | |||
| Operating expenses | |||||
| General and administrative | 763,872 | 1,049,368 | |||
| Sales and marketing | 823,729 | 786,228 | |||
| Research and development | 1,563,690 | 1,193,618 | |||
| Depreciation and amortization | 58,339 | 53,106 | |||
| 3,209,630 | 3,082,320 | ||||
| Income from operations | 797,600 | 689,062 | |||
| Other income (expenses) | |||||
| Interest income | 11,508 | 3,359 | |||
| Other income | 3,091 | 118,129 | |||
| Interest and other expense | (691) | (2,477) | |||
| Income before provision for income taxes | 811,508 | 808,073 | |||
| Deferred income tax recovery (expense) | (173,000) | 878,000 | |||
| Net income | 638,508 | 1,686,073 |
About Destiny Media Technologies, Inc.
Universal, EMI, Warner, Sony and one thousand other labels use Destiny's secure distribution service to deliver most of their pre-release music to radio, online retail, DJ's, sports stadiums, journalists and VIP. Destiny's instant play streaming includes internet radio, internet TV, online surveys and new cloud and mobile offerings. Patents include watermarking, peer to peer locking and pending cross platform streaming video for mobile.
SOURCE Destiny Media Technologies, Inc.
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