YANGAROO REPORTS 2015 ANNUAL AND FOURTH QUARTER RESULTS
Annual Revenues up 29% with Ad Revenues up 70%, Fourth Quarter Positive EBITDA $370,000
TORONTO, CANADA April 26, 2016 – YANGAROO Inc. (TSX-V: YOO, OTC: YOOIF), the leading secure digital media management and distribution company, today announced its results for the year and fourth quarter ended December 31, 2015.
Revenue for the fiscal year 2015 was $5,489,070, 29% higher than in fiscal 2014. Revenue for the fourth quarter was $1,610,115, 7% higher than the revenue for the same period in 2014 and 16% higher than the previous quarter with positive adjusted EBITDA of $370,266. Annual loss from operations was $945,225, a reduction of 42% over the previous year.
Advertising led the way with annual revenue of $2,747,371, up 70% over fiscal 2014. The increase in revenue is primarily the result of the use of YANGAROO Advertising by new customers and continued growth by existing customers. This combined with an element of seasonality in the fourth quarter, contributed to the record Q4 revenue and earnings.
Entertainment Division annual revenue was $2,741,699 up 4% over 2014. YANGAROO Awards, continues to grow, highlighted by the addition of The Golden Globes, one of the industry’s most iconic and influential awards shows for both film and television.
In the quarter ended December 31, 2015, the Company’s adjusted EBITDA income was $370,266 compared to $28,299 for the same period in 2014. The Company has carefully managed expenses during the year while continuing to drive growth primarily focused on the Advertising Division.
“2015’s revenue growth is a result of the team, infrastructure and brand building that was started in 2014,” said Gary Moss, President and CEO of YANGAROO. “Revenue grew by 29% year on year, with Advertising growing by 70%. The 4th quarter positive EBITDA was a record result for the company. Client acquisition continues to be robust, with 103 new advertising clients signed in 2015, and similar goals for 2016. Operating costs grew by 9% to support the sales growth, but this was partially offset by moving significant costs to Canada, taking advantage of a favourable exchange rate. Costs are expected to remain relatively stable in 2016. Revenue growth in 2016 is expected to come from the current core business, as well as the introduction of our long-form solution which targets the infomercial business. Several new, high profile awards shows are targeted as well.”
Total operating expense for the year ended December 31, 2015 was $6,434,295, 9% higher than the previous year, primarily related to the addition of developers plus sales and support staff focused on Advertising Division growth. The loss from operations for 2015 was $945,225, down from $1,629,504 in 2014, a 42% improvement. Excluding the impact of non-cash and non-operating costs, the fourth quarter of 2015 had positive normalized cash flow of $231,075.
Summary of operating results for the years and fourth quarters ended December 31:
|Adjusted EBITDA (loss)||(664,286)||(1,468,801)||370,266||28,299|
|Adjusted normalized EBITDA (loss)||(722,424)||(1,140,332)||231,075||21,401|
|Net gain (loss) for the period||(797,214)||(1,794,425)||331,986||1,660|
|Gain (loss) per share (basic & diluted)||(0.014)||(0.038)||0.006||0.000|
|Adjusted EBITDA (loss)||(664,286)||(1,468,801)|
|Adjusted normalized EBITDA (loss)||(722,424)||(1,140,332)|
|Net gain (loss) for the period||(797,214)||(1,794,425)|
|Gain (loss) per share (basic & diluted)||(0.014)||(0.038)|
|Adjusted EBITDA (loss)||370,266||28,299|
|Adjusted normalized EBITDA (loss)||231,075||21,401|
|Net gain (loss) for the period||331,986||1,660|
|Gain (loss) per share (basic & diluted)||0.006||0.000|
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 http://www.yangaroo.com and at http://www.sedar.com
YANGAROO is a company dedicated to digital media management. YANGAROO’s patented Digital Media Distribution System (DMDS) is a secure cloud-based platform that provides users the ability to leverage technology; automating dozens of steps to eliminate errors and streamline content delivery efficiently. Content, such as music, music videos, and advertising can be quickly distributed to a network of over 11,000 television, radio, media, retailers, and other authorized recipients. The YANGAROO Awards platform is 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.
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The statements contained in this release that are not purely historical are forward-looking statements and are subject to risks and uncertainties that could cause such statements to differ materially from actual future events or results. Such forward-looking statements are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. The TSX Venture Exchange does not accept responsibility for the adequacy or accuracy of this release.