Lingo Media Reports Q4 2020 & Fiscal 2020 Financial Results

TORONTO, April 30, 2021 /CNW/ - Lingo Media Corporation (TSXV: LM) (OTCQB: LMDCF) (FSE: LIMA) ("Lingo Media" or the "Company"), an EdTech company that is 'Changing the way the world learns languages' through innovative online and print-based technologies and solutions, announces its financial results for the fourth quarter and year ended December 31, 2020.  All figures are reported in Canadian Dollars and are in accordance with International Financial Reporting Standards unless otherwise noted.

Operational Highlights - 2020

• Online English Language Learning:
• entered into an agreement to sell English for Success to Liberty University
• entered into an agreement with one of the largest global language learning providers in Colombia to market its Campus program as a white label solution to their customers' base
• added advanced functionality for distributors to manage their clients' relationships through monitoring inventory of licenses and other key metrics
• signed new distributor in Costa Rica, Learning 506
• signed new distributor in Colombia, CAEÉ S.A.S.
• advanced development of its teaching methodology course
• enhanced reporting functionality and depth
• improved chat functionality
• continued development of its new mobile APP
• secured two sales contracts with a customer in Japan (first client in Japan)
• signed a new distributor in Brazil and two new distributors in Chile
• secured sales contracts with two universities in Colombia
• conducted a series of webinars in LATAM and Asia for teachers to help them deal with the COVID/remote teaching challenges with over 2,000 attendees
• in concert with the Canadian Embassy in Colombia, presented to key organizations on how to best teach online
• signed a new distributor in China
• Print-Based English Language Learning:
• expanded existing market for PEP Primary English program into one additional province in China

Financial Highlights for the Year Ended December 31, 2020

Year Ended December 31^st	2020		2019
Revenue	$	2,102,054	$	1,956,222
Operating and development expenses		669,979		1,406,071
Bad debt expense (recovery)		32,386		(85,491)
Income before amortization, share-based payments, depreciation, finance charges and taxes		1,399,689		635,642
Share-based payments and depreciation		54,336		195,454
Finance charges, taxes and foreign exchange		234,974		277,622
Net profit		1,110,379		162,566
Total comprehensive income		1,077,609		113,817
Earning per share (basic)	$	0.03	$	0.00
Earning per share (fully diluted)	$	0.02	$	0.00

• Revenue for the year ended December 31, 2020 totalled $2,102,054 as compared to $1,956,222 in 2019
• Operating and development expenses for the year ended December 31, 2020 totalled $669,979 compared to $1,406,071 in 2019. In 2020, the Company received an Ontario Interactive Digital Media Tax Credit ("OIDMTC") of $904,940 which was recorded as reduction of Selling, General and Administrative Expenses.
• Net profit for the year ended December 31, 2020 totalled $1,110,379 or $0.03 earnings per share (basic) based on 35.5 million shares and $0.03 earnings per share (fully diluted) based on 39.5 million shares as compared to a net profit of 162,566 for 2019 or $0.00 earnings per share (basic) based on 35.5 million shares and $0.00 earnings per share (fully diluted) based on 39.1 million shares.
• Income before amortization, share-based payments, depreciation, finance charges and taxes was $1,399,689 compared to $635,642 in 2019.

Financial Highlights for the Fourth Quarter Ended December 31, 2020

                                      

Fourth Quarter Ended December 31^st	2020		2019
Revenue	$	958,766	$	831,508
Operating and development expenses		294,644		485,186
Bad debt expense (recovery)		-		(85,491)
Income before amortization, share-based payments, depreciation, finance charges and taxes		664,122		431,814
Share-based payments, depreciation, finance charges, taxes and foreign exchange depreciation		(43,505)		43,194
Finance charges, taxes and foreign exchange		98,051		71,025
Net profit		609,576		338,619
Total comprehensive income		521,450		345,093
Earnings per share (basic)	$	0.02	$	0.01
Earning per share (fully diluted)	$	0.01	$	0.01

• Revenue for the fourth quarter ended December 31, 2020 totalled $958,766 compared to $831,508 for the same period in 2019.
• Operating and development expenses for the quarter ended December 31, 2020 totalled $294,644 as compared to $485,186 in 2019.
• Net profit for the quarter was $609,576 or $0.02 earnings per share (basic) based on 35.5 million shares and $0.01 earnings per share (fully diluted) based on 39.5 million shares as compared to $338,619 for the same period for 2019 or $0.01 earnings per share (basic) based on 35.5 million shares and $0.01 earnings per share (fully diluted) based on 39.1 million shares.
• Income before amortization, share-based payments, depreciation, finance charges and taxes was $664,122 compared to $431,814 in 2019.

"We expanded our sales and marketing team in 2020. These EdTech industry veterans helped identify new opportunities and market channels and enhanced our engagement with our existing distributors." said Gali Bar-Ziv, President & CEO of Lingo Media. "We are very encouraged with the increased adoption of remote and online learning and expect this trend to positively impact our 20201 results and beyond."

The audited financial statements for the year ended December 31, 2020 and Management Discussion & Analysis are available at www.sedar.com.

About Lingo Media (TSX-V: LM; OTCQB: LMDCF)

Lingo Media is a global EdTech company that is 'Changing the way the world learns language', developing and marketing products for learners of English through various life stages, from classroom to boardroom.  By integrating education and technology, the company empowers English language educators to easily transition from traditional teaching methods to digital learning.

Lingo Media provides both online and print-based solutions through two distinct business units: ELL Technologies and Lingo Learning.  ELL Technologies provides online training and assessment for language learning, while Lingo Learning is a print-based publisher of English language learning programs in China.

Lingo Media has formed successful relationships with key government and industry organizations internationally, with a particularly strong presence in Latin America and China and the US and continues to both extend its global reach and expand its product offerings.

Follow Lingo Media On:                                                                                   

Facebook: https://www.facebook.com/LingoMedia
Twitter:      @LingoMediaCorp
YouTube:  https://www.youtube.com/lingomedialm 
LinkedIn:   https://www.linkedin.com/company/lingo-media-corporation
RSS:         http://feeds.feedburner.com/LingoMedia                                                              

Portions of this press release may include "forward-looking statements" within the meaning of securities laws.  These statements are made in reliance upon Sections 21E and 27A of the
Securities Exchange Act of 1934, which involve known and unknown risks, uncertainties or other factors that could cause actual results to differ materially from the results, performance,
or expectations implied by these forward-looking statements. These statements are based on management's current expectations and involve certain risks and uncertainties.  Actual
results may vary materially from management's expectations and projections and thus readers should not place undue reliance on forward-looking statements.  Lingo Media has tried to
identify these forward-looking statements by using words such as "may," "should," "expect," "hope," "anticipate," "believe," "intend," "plan," "estimate" and similar expressions. Lingo
Media's expectations, among other things, are dependent upon general economic conditions, the continued and growth in demand for its products, retention of its key management and
operating personnel, its need for and availability of additional capital as well as other uncontrollable or unknown factors. No assurance can be given that the actual results will be
consistent with the forward-looking statements. Except as otherwise required by US Federal securities laws, Lingo Media undertakes no obligation to publicly update or revise any
forward-looking statements, whether as a result of new information, future events, changed circumstances or any other reason.  Certain factors that can affect the Company's ability to
achieve projected results are described in the Company's filings with the Canadian and United States securities regulators available on www.sedar.com or www.sec.gov/edgar.shtml.

NEITHER THE TSX VENTURE EXCHANGE NOR ITS REGULATION SERVICES PROVIDER (AS THAT TERM IS DEFINED IN THE POLICIES OF THE TSX VENTURE EXCHANGE)
ACCEPTS RESPONSIBILITY FOR THE ADEQUACY OR ACCURACY OF THIS RELEASE

SOURCE Lingo Media Corporation

Lingo Media, Khurram Qureshi, CFO, Tel: [phone], Email: [email protected] ; To learn more, visit us at www.lingomedia.com

Related Links

http://www.lingomedia.com