BV! Media announces its financial results for the three-month period ended September 30, 2009 and decides not to proceed with a previously announced proposed acquisition
MONTREAL, Nov. 25, 2009 (Canada NewsWire via COMTEX) --
BV! Media inc. (TSX Venture Exchange: BVM) released its interim financial statements for the three-month period ended September 30, 2009 ("Q3 2009"). Compared to the three-month period ended September 30, 2008 ("Q3 2008"), revenues increased by 141% to over $2.4 million and gross profit increased by 98%. BV! Media posted net earnings of $82,465 in Q3 2009, compared to a loss of $56,377 in Q3 2008. EBITDA was $227,502, while Adjusted EBITDA, which excludes the effect of stock-based compensation, was $243,780.
"We have been consistently improving our profit margins since the beginning of the year", says Tom Vorias, Chief Financial Officer of BV! Media. "Despite being in a seasonally slow quarter, our EBITDA, at 9% of sales in Q3 2009, continues to improve over the previous quarters and we expect this trend to continue in Q4 2009."
Table summarizing the main financial results
All figures are in thousand $, except earnings per share, in $.
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Three Three Nine Nine
months months months months
ended ended ended ended
September September September September
30, 2009 30, 2008 30, 2009 30, 2008
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Revenues 2,431 1,007 7,890 3,222
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Cost of sales 1,210 390 3,938 1,341
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Gross profit 1,220 617 3,953 1,881
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Operating expenses 1,101 674 3,801 1,995
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Net earnings 82 (56) 104 (82)
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Interest - - 2 -
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Income taxes 37 - 47 -
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Depreciation and
amortization 108 45 321 112
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Loss / Impairment - - 22 33
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EBITDA* 228 (11) 496 63
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Stock-based compensation 16 12 65 47
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Adjusted EBITDA* 244 1 561 110
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Earnings per share 0.00 (0.00) 0.00 (0.00)
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*: EBITDA is defined as earnings before interest, income taxes, depreciation and, amortization, impairment of intangible assets, and impairment or loss on sale of investments and fixed assets. Adjusted EBITDA is defined as EBITDA to which the Corporation adds stock-based compensation, as this expense does not result in any use of operating cash flows by the Corporation. EBITDA and Adjusted EBITDA are provided as a supplementary earnings measure to assist readers in determining the ability of the Corporation to generate cash from operations and to cover financial charges. They are also widely used for business valuation purposes. These measures do not have a standardized meaning prescribed by Canadian generally accepted accounting principles and may not be comparable to similar measures presented by other companies.
The Corporation decides not to proceed with a previously announced proposed acquisition
On October 2, 2009, BV! Media announced a proposed acquisition of all the shares of an e-mail marketing corporation. This proposed transaction was conditional, among other things, upon due diligence review and upon financing. After completing the review of the transaction and available financing terms, the Board of Directors of BV! Media decided that it is not in the best interests of the Corporation to proceed with the acquisition at this time.
About BV! Media inc.
BV! Media is a leading Canadian Internet media company, active in Internet content and advertising.
BV! Media operates the leading Canadian interactive advertising network with over 400 high quality sites. The BV! Media network reaches 12 million unique users per month across Canada (source: comScore, September 2009).
BRANCHEZ-VOUS!, the content division of BV! Media, produces and commercializes French-language Internet content. It operates BRANCHEZ-VOUS.com, a news/tech portal, and Showbizz.net, an entertainment news site.
BV! Media is listed on the TSX Venture exchange under the symbol BVM and has approximately 60.4 million shares outstanding. Additional information on the Corporation can be obtained on SEDAR and at www.bvmedia.ca
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The TSX Venture exchange has neither approved nor disapproved the
contents of this press release.
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SOURCE: BV! MEDIA INC.
Media: Patrick Pierra, Co-President and Co-Chief Executive Officer, (514) 337-9065 ext. 249, ppierra@bvmedia.ca; Analysts and investors: Tom Vorias, Chief Financial Officer, (514) 337-9065 ext. 223, tvorias@bvmedia.ca
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