TORONTO, Nov. 07, 2019 (GLOBE NEWSWIRE) -- YANGAROO Inc. (TSX-V: YOO, OTCBB: YOOIF), (“The Company, or “Yangaroo”) the leading secure digital media management and distribution company, today announced its results for the third quarter ended September 30, 2019. The full text of the Financial Statements and Management Discussion & Analysis is available at www.yangaroo.com and at www.sedar.com. Please note that all currency in this press release is denoted in Canadian dollars.
“Consolidated revenue for the third quarter of 2019 was up 13% on a year-over-year basis and was essentially flat compared to the second quarter of 2019. Advertising revenue was up 8% over the same period. The growth for Q3’19 reflected our continued customer acquisition efforts and new client signings in what is traditionally a slow period in the advertising industry,” said Gary Moss, President and CEO of Yangaroo. “We continue to reiterate our 15% exit annual run rate growth for 2019 in advertising revenue and are happy to announce that we have signed significant new advertising customers. We expect sales from these new customers will commence late in the fourth quarter of 2019 and continue to ramp up into 2020”.
Gary Moss further added, “We continue to invest in our business with sales-pipeline growth and platform upgrade initiatives. In 2020 we expect to release our new Clearance Platform which will help our advertising clients solve workflow issues and provide us with a key competitive advantage in the advertising delivery market. In conjunction with these initiatives the Company expects to further use its strong cash and working capital positions to help us realize growth in the US, Latin American, and Canadian markets. Our entertainment business continues to see steady revenues. New product offerings in music delivery have generated growth from direct artist distribution to radio and television offsetting challenging market conditions.
We expect to recommence our share buy-back program in early-November 2019 and to continue purchasing through to the end of the year subject to normal trading blackout restrictions. To date our share buy-back program has resulted in a total of 325,000 shares acquired and cancelled by the Company at a weighted average price of $0.13 / share. We intend to continue to buy-back shares opportunistically given the low share price range”.
As at November 6, 2019, the Company had a cash balance of approximately $1.8 million.
Working capital of $1.9M, as at September 30, 2019, was negatively impacted by the adoption of IFRS 16 in 2019, which resulted in an additional $0.2 million in current liabilities related to leased office space when compared to the previous year comparison periods.
Summary of operating results for the periods ended September 30th:
| $ CDN | Three Months | Nine Months | ||
| 2019 | 2018 | 2019 | 2018 | |
| Revenues | 1,959,865 | 1,735,291 | 5,580,655 | 5,482,305 |
| EBITDA (loss) | 254,240 | 125,979 | 350 | 282,078 |
| Normalized EBITDA (loss) | 318,514 | 204,301 | 349,666 | 432,232 |
| Net Income (loss) | 156,496 | 84,846 | (312,155) | 150,989 |
| Basic EPS | 0.00 | 0.00 | (0.01) | 0.00 |
| Diluted EPS | 0.00 | 0.00 | (0.01) | 0.00 |
| Working Capital | 1,845,366 | 2,317,519 | 1,845,366 | 2,317,519 |
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.