TORONTO, CANADA - YANGAROO Inc. (TSX-V: YOO, OTC: YOOIF), the industry's leading secure digital media distribution company, today announced its results for the year and fourth quarter ended December 31, 2012.
Revenue for the fiscal year 2012 was $2,690,214, 86% higher than in fiscal 2011. Revenue for the fourth quarter was $761,280, 67% higher than the revenue for the same period in 2011 and 1% higher than the previous quarter. The increase in revenue is primarily a result of greater use of YANGAROO Advertising to deliver SD and HD ads to television broadcasters, primarily in the United States. Growth continued for music video delivery by the major and independent record labels in the U.S. and Canada, and there was also significant growth from YANGAROO Awards, with the addition of The EMMYS and The Latin GRAMMYS. Overall, there was strong growth in all divisions and in all territories with U.S. revenues up 94% and revenues from Canada growing by 20%.
The company's fourth quarter revenue was significantly impacted by Hurricane Sandy. There was very little activity as many of the company's advertising- and music-industry clients, based in New York and New Jersey, were affected by the storm for up to two weeks.
Total operating expenses for the year ended December 31, 2012, was $594,345 lower than the previous year. The loss from operations for 2012 was $968,715, down from $2,803,383 in 2011. Excluding one-time charges and non-recurring expenses in 2011, the operating loss declined by $1,234,668 while revenue for the same period increased by $1,240,323. Total operating expenses for the fourth quarter of 2012 were 3% higher than the same period in fiscal 2011. The loss from operations was down 59% ($278,629) and revenue was up 67% ($305,524) for the fourth quarter of 2012 compared to the same period in 2011.
"We are very pleased with the continued growth in all areas of the business, throughout 2012. Despite the impact of Hurricane Sandy in Q4, weekly activity during the quarter increased over Q3, indicating continued double digit quarter to quarter growth, on a normalized basis. Excluding year-end adjustments for items such as vacation pay accruals, the quarterly cash burn continues to decline," said Gary Moss, President and CEO of YANGAROO Inc. "With our results in 2012, combined with the business and deal activity so far in 2013, we are confident of achieving our growth and profit goals for this year."
Summary of operating results for the years and fourth quarters ended December 31:
--------------------------------------------------------------------- |$CDN |Year |4th Quarter | |-------------------------------------------------------------------| | |2012 |2011 |2012 |2011 | |-------------------------------------------------------------------| |Revenue |2,690,214 |1,449,891 |761,280 |455,756 | |-------------------------------------------------------------------| |Adjusted EBITDA (loss) |(877,829) |(2,721,170)|(179,055)|(455,386)| |-------------------------------------------------------------------| |Net loss for the period|(2,235,052)|(4,613,295)|(400,579)|(298,312)| |-------------------------------------------------------------------| |Loss per share (basic &|(0.02) |(0.04) |(0.003) |(0.002) | |diluted) | | | | | ---------------------------------------------------------------------
The full text of the financial statements and Management Discussion & Analysis is available at www.yangaroo.com and at www.sedar.com.
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 standard and powers most of North America's major awards shows.
YANGAROO has offices in Toronto, New York, Los Angeles, and Dallas. 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.
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