BRANCHEZ-VOUS! increases sales by 160% year-over-year in the three-month period ended March 31, 2009
Wed May 27, 8:30 AMMONTREAL, May 27 /CNW Telbec/ - BRANCHEZ-VOUS! inc. (TSX Venture Exchange: BZV) released its interim financial statements for the three-month period ended March 31, 2009 ("Q1 2009"). This was the first three-month period fully integrating the results of the acquired NetWorldmedia operations, which were combined into the BV! Media network following the closing of the transaction on October 31, 2008.
Compared to the three-month period ended March 31, 2008 ("Q1 2008"), revenues increased by 160 % to close to $ 2.5 millions and gross profit increased by 138 %, fuelled largely by the acquisition of NetWorldMedia. Operating expenses increased by a larger amount than the increase in gross profit, resulting in a loss of $63,956. Since this loss resulted mostly from non-cash expenses, EBITDA remained positive at $40,729 - or over four times the EBITDA reported in Q1 2008, while Adjusted EBITDA, which excludes the effect of stock-based compensation, was $70,318 - an increase of 156% as compared to the adjusted EBITDA of Q1 2008. Loss per share remained nil.
"With the effects of the global economic recession reverberating throughout the advertising market in Canada, we're proud of our continued ability to generate strong growth in revenues and EBITDA", says Tom Vorias, Chief Financial Officer of BRANCHEZ-VOUS!.
Table summarizing the main financial results
All figures are in $.
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For three-month period ended: March 31, 2009 March 31, 2008
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Revenues 2,473,910 949,795
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Gross profit 1,255,333 526,741
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Net earnings (loss) (63,956) (7,613)
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Interest - -
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Provision for income taxes (23,535) -
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Future income taxes - -
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Depreciation and amortization 106,530 17,247
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Impairment of intangible assets - -
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Loss on disposal of fixed assets 22,343 -
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Loss (gain) on disposal of investment (653) -
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EBITDA* 40,729 9,634
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Stock-based compensation 29,589 17,857
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Adjusted EBITDA* 70,318 27,491
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Basic and diluted earnings (loss) per share (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 BRANCHEZ-VOUS! 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.
About BRANCHEZ-VOUS! inc.
BRANCHEZ-VOUS! is a leading Montreal-based Internet media company, active in Internet content and advertising.
The BV! Media division (www.bvmedia.ca) operates the leading Canadian interactive advertising network, offering a large range of both contextual and behavioral targeting capabilities on over 400 high quality sites that include AirCanadaVacations.com, Canada411.ca, Cinoche.com, CommentCaMarche.net, Guardian.co.uk, JeuxVideo.com, LeDevoir.com, Linternaute.com, NASDAQ.com, TagTele.com, Telegraph.co.uk and TorontoPlus.ca. Its services include display advertising, rich media creativity, Pay-per-clic (PPC) text ads, Search Engine Marketing (SEM) and Search Engine Optimization (SEO). The BV! Media network reaches approximately 12 million unique users per month across Canada (source: comScore MediaMetrix, March 2009).
The BRANCHEZ-VOUS! Content division produces, publishes and commercializes French-language Internet content. It operates BRANCHEZ-VOUS.com (www.branchez-vous.com), the largest independent information portal in Quebec, whose main sections cover news, technology, business, sports (Fanatique.ca) and entertainment (Showbizz.net).
BRANCHEZ-VOUS! is listed on the TSX Venture exchange under the symbol BZV and has approximately 60.4 million shares outstanding. Additional information on the Corporation can be obtained on SEDAR and at www.branchez-vous.com/inc/english.
The TSX Venture exchange has neither approved nor disapproved the
contents of this press release.
ContactsMedia: Patrick PierraCo-President and Chief Executive Officer
(514) 842-3838
ext. 249
patrick.pierra@branchez-vous.com Analysts and investors: Tom Vorias
Chief Financial Officer
(514) 337-9065
ext. 223
tvorias@bvmedia.ca
