TORONTO, May 29, 2018 (GLOBE NEWSWIRE) -- YANGAROO Inc. (TSX-V:YOO) (OTC:YOOIF), the leading secure digital media management and distribution company, today announced its results for the first quarter ended March 31st, 2018.
Revenue for Q1 was $1,949,090, 12% higher than in the same period in 2017 and 2% higher than Q4 2017. Normalized EBITDA for Q1 of $179,566 increased by 49% over the same period in 2017 and increased by 19% over the previous quarter. Net income in Q1 was $84,971, 159% improvement over Q1 2017 and 4% decrease over Q4 2017.
Advertising revenue of $1,229,455 in Q1, marked a 20% increase over the same period in 2017 and 4% increase over the previous quarter. The increase in revenue was a result of continuous growth in new customers and increased sales volumes with existing customers.
Entertainment revenue remains flat. Revenue in Q1 2018 was $719,635, up 1% over Q1 2017 and down 1% over previous quarter. Higher awards management revenue was recorded in the quarter but offset by a general decline in volume of video delivery and subscription fees.
“Starting in the second quarter of last year, the Company initiated a change of leadership and rebuilding of the sales team in the Advertising business,” said Gary Moss, President and CEO of YANGAROO. “Additionally, the mandate of the team was adjusted to focus on larger customer opportunities and during the last half of 2017, the team started to build a pipeline of target deals. Closing sales to larger customers is a more lengthy process. During the first quarter, this new pipeline started to deliver meaningful new customer wins. The Company is confident that the flow of new customer wins from the team will continue into the future and will support the growth of Advertising revenues especially in the last half of 2018.”
Total operating expenses for the quarter ended March 31, 2018 was $1,901,097, 14% higher than the previous year and 5% higher than the previous quarter. Income from operations in Q1 was $47,993, 28% lower than the previous year and 53% lower than the previous quarter. The changes were primarily due to higher value of stock options granted and salary adjustments taken place in Q1 2018. Excluding the impact of non-cash and non-operating costs, the first quarter of 2018 had a normalized cash flow of $179,566.
Summary of operating results for first quarter ended March 31, 2018:
| First Quarter | ||
| $CDN | 2018 | 2017 |
| Revenue | 1,949,090 | 1,740,066 |
| EBITDA | 131,066 | 74,189 |
| Normalized EBITDA | 179,566 | 120,513 |
| Net income for the period | 84,971 | 32,849 |
| Income per share (basic & diluted) | 0.001 | 0.001 |
Please note, all currency in this press release is denoted in Canadian dollars.
The full text of the financial statements and Management Discussion & Analysis is available at www.yangaroo.com and at www.sedar.com.
About YANGAROO:
YANGAROO is a company dedicated to digital media management. YANGAROO’s patented Digital Media Distribution System (DMDS) is a leading secure B2B digital cloud-based solution focused on the music and advertising industries. The DMDS solution provides more accountable, effective, and far less costly digital management of broadcast quality media via the Internet. It replaces the physical, satellite and closed network distribution and management of audio and video content, for music, music videos, and advertising to television, radio, media, retailers, and other authorized recipients. The YANGAROO Awards platform is now the industry standard and powers most of North America’s major awards shows.
YANGAROO has offices in Toronto, New York, and Los Angeles. YANGAROO trades on the TSX Venture Exchange (TSX-V) under the symbol YOO and in the U.S. under OTCBB: YOOIF. For further information, please contact Gary Moss at 416-534-0607 ext.111 or visit www.yangaroo.com.
THE TSX VENTURE EXCHANGE HAS NOT REVIEWED AND DOES NOT ACCEPT RESPONSIBILITY FOR THE ADEQUACY OR ACCURACY OF THE CONTENT OF THIS NEWS RELEASE.
Cautionary Note Regarding Forward-looking Statements
This news release contains certain forward-looking statements and forward-looking information (collectively referred to herein as "forward-looking statements") within the meaning of applicable Canadian securities laws. All statements other than statements of present or historical fact are forward-looking statements. Forward-looking statements are often, but not always, identified by the use of words such as "anticipate", "achieve", "could", "believe", "plan", "intend", "objective", "continuous", "ongoing", "estimate", "outlook", "expect", "may", "will", "project", "should" or similar words, including negatives thereof, suggesting future outcomes.
Forward looking statements are subject to both known and unknown risks, uncertainties and other factors, many of which are beyond the control of YANGAROO, that may cause the actual results, level of activity, performance or achievements of YANGAROO to be materially different from those expressed or implied by such forward looking statements, including but not limited to: the use of proceeds of the offering, receipt of all necessary approvals of the offering, general business, economic, competitive, political and social uncertainties; negotiation uncertainties and other risks of the technology industry. Although YANGAROO has attempted to identify important factors that could cause actual results to differ materially from those contained in forward-looking statements, there may be other factors that cause results not to be as anticipated, estimated or intended.
Forward-looking statements are not a guarantee of future performance and involve a number of risks and uncertainties, some of which are described herein. Such forward-looking statements necessarily involve known and unknown risks and uncertainties, which may cause YANGAROO’s actual performance and results to differ materially from any projections of future performance or results expressed or implied by such forward-looking statements. Any forward-looking statements are made as of the date hereof and, except as required by law, neither YANGAROO assumes no obligation to publicly update or revise such statements to reflect new information, subsequent or otherwise.