Destiny Media Technologies, Inc. Announces First Quarter Fiscal Year 2017 Results

 Return to profitability / 5% Year over Year Revenue Growth

VANCOUVER, Jan. 17, 2017 /CNW/ - Destiny Media Technologies (TSXV: DSY) (OTCQX: DSNY), the makers of Play MPE^®, a system for the secure distribution of pre-release music to radio and the developer of Clipstream^®, a cross-platform player-less video streaming format, today announced its financial results for its fiscal 2017 first quarter ended November 30, 2016.

Highlights

Highlights during and subsequent to the end of the first quarter include:

• Return to profitability with an overall margin of 12%
• Total revenue grew by 5% compared the prior year and prior quarter
• Fourth consecutive Q over Q revenue growth
• Strongest cash position since August 31, 2014

First Quarter Fiscal 2017 Results

Revenue for the quarter ended November 30, 2016 grew by 5% to $892,229.  The increase is the result of revenue growth in all major territories in which we operate.

Q1 2017 saw the company return to profitability with Net Income of $104,128.   

"We are excited to see positive results from allocation of resources to our profitable Play MPE enterprise," said Steve Vestergaard, Chief Executive Officer for Destiny Media Technologies. "We are currently working on adding increased accessibility to the Play MPE product which we expect to launch in Q4 of fiscal 2017."

First Quarter Fiscal 2017 Earnings Conference Call

Destiny Media Technologies will host a conference call at 5:00 p.m. ET (2:00pm PT) on Tuesday, January 17, 2017, to further discuss its first quarter fiscal year 2017 results. Investors and interested parties may participate in the call by dialing 416-764-8688 or 888-390-0546 and referring to conference ID # 34915777. A written transcript and archived stream will subsequently be made available on Destiny's corporate site at http://www.dsny.com in the Company's proprietary Clipstream^® format.

About Destiny Media Technologies, Inc. 

Destiny Media Technologies (DSY.V) (DSNY) provides services that enable content owners to securely display and distribute their audio and video content digitally through the internet. The Company's two major services are Clipstream^® and Play MPE^®. Clipstream^® (www.clipstream.com) is a video format that plays on any modern smart phone, tablet, internet, TV, or computer. Play MPE^® (www.plaympe.com) provides a standardized method to securely and cost effectively distribute pre-release music to radio stations and other music industry professionals, before it is ready for sale.  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 ending August 31, 2016, which is available on www.sedar.com or www.sec.gov.   

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE INCOME
(Expressed in United States dollars)
Unaudited
		Three months	Three months
		Ended	Ended
		November 30,	November 30,
		2016	2015
		$	$
Service Revenue		892,229	847,721
Operating expenses
General and administrative		178,906	235,383
Sales and marketing		247,406	350,598
Research and development		324,674	319,040
Depreciation and amortization		41,878	49,829
		792,864	954,850
Income (loss) from operations		99,365	(107,129)
Other income
Interest income		4,763	6,122
Net income (loss)		104,128	(101,007)
Other comprehensive loss, net of tax
Foreign currency translation adjustments		(33,369)	(17,756)
Total comprehensive income (loss)		70,759	(118,763)
Net income (loss) per common share,
	basic and diluted	0.00	(0.00)
Weighted average common shares outstanding:
	Basic	55,013,874	53,903,984
	Diluted	55,013,874	53,903,984

CONDENSED CONSOLIDATED BALANCE SHEETS
(Expressed in United States dollars)
Unaudited
As at
			November 30,	August 31,
			2016	2016
			$	$
ASSETS
Current
Cash and cash equivalents			961,706	662,743
Accounts receivable, net of allowance for
doubtful accounts of $2,645 [Aug 31, 2016 – $4,049]			483,393	628,135
Other receivables			26,071	15,051
Current portion of long term receivable			125,053	113,834
Prepaid expenses			43,685	61,525
Deposits			21,876	—
Total current assets			1,661,784	1,481,288
Deposits			552	22,978
Long term receivable			30,823	61,642
Property and equipment, net			154,374	174,951
Intangible assets, net			105,785	110,017
Total assets			1,953,318	1,850,876
LIABILITIES AND STOCKHOLDERS' EQUITY
Current
Accounts payable			179,753	108,157
Accrued liabilities			157,126	190,077
Deferred leasehold inducement			19,788	28,962
Deferred revenue			15,010	23,563
Obligation under capital lease – current portion			5,222	5,240
Total current liabilities			376,899	355,999
Obligation under capital lease – long term portion			4,853	6,472
Total liabilities			381,752	362,471
Stockholders' equity
Common stock, par value $0.001
	Authorized: 100,000,000 shares
	Issued and outstanding: 55,013,874 shares
		[Aug 31, 2016 – issued and outstanding 55,013,874 shares]	55,014	55,014
Additional paid-in capital			9,678,482	9,666,080
Accumulated deficit			(7,792,184)	(7,896,312)
Accumulated other comprehensive (loss)			(369,746)	(336,377)
Total stockholders' equity			1,571,566	1,488,405
Total liabilities and stockholders' equity			1,953,318	1,850,876

SOURCE Destiny Media Technologies, Inc.

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

Related Links

www.dsny.com