May 01, 2023, 16:00 ET
Revenue of $27.2 Million Represents 107% YOY Growth
YOY Adjusted EBITDA Improves 24% With Record Quarterly Revenue of $7.8 Million
TORONTO, May. 1, 2023 /PRNewswire/ - QYOU Media Inc. (TSXV: QYOU) (OTCQB: QYOUF) ("QYOU" or the"Company"), a company operating in India and the United States producing and distributing content created by social media stars and digital content creators, is reporting financial results for the quarter ended December 31, 2022. Highlights include as follows:
Record Breaking Quarterly and YOY Revenue Growth: For the three months ended December 31, 2022 revenue was $7.8 million representing a year over year increase of 40% and the highest quarterly revenue mark in company history. Annual revenue for FY 2022 was $27.2 Million representing a 107% increase over FY 2021. As compared to the previous fiscal year end of June 30, 2021 the revenue increase was 550%.
Improved Adjusted EBITDA*: For the twelve months ended December 31, 2022 compared to the same period prior year, Adjusted EBITDA loss was $2,981,037 representing an EBITDA improvement of $938,650 or 24% driven by strong revenue growth offset by certain higher operating expenses related to the operation of four new channels .
Net Loss: Net Loss for the three months ended December 31, 2022, increased by $1,200,468 or 49%, driven by one time impairment of goodwill offset by gain on remeasurement of contingent consideration, revenue growth and expansion of all operating business units. When impairment of goodwill and gain on remeasurement of contingent consideration are normalized, net loss decreased by 43%.
Cash Balance: The Company concluded the twelve months ended December 31, 2022 with cash of $3,510,951 compared to December 31, 2021 cash of $6,548,890.
QYOU Media CEO and Co-Founder, Curt Marvis commented, “2022 was a year of spectacular growth for our business. Even while taking a more conservative approach in Q4 2022 to certain revenue growth and investment initiatives to help facilitate an accelerated push in 2023 to cash flow positive operations, we nevertheless delivered another record revenue quarter and over 100% annual revenue growth with over 50% Adjusted EBITDA improvement. 2023 is continuing on this path as we continue to work diligently on delivering increasingly strong topline and bottom line results moving forward. We remain confident that the public markets will ultimately recognize the strength of our business and over time reward us for the accomplishments to date and those expected throughout 2023.”
Note on Adjusted EBITDA:
To supplement our consolidated financial statements, which are prepared and presented in accordance with International Financial Reporting Standards (“IFRS”), we present Earnings Before Interest Tax Depreciation and Amortization (“Adjusted EBITDA”) which is a non-IFRS financial measure. The presentation of non-IFRS financial measurement are not intended to be considered in isolation from, or as a substitute for, or superior to, operating loss or net income (loss) or any other performance measures derived in accordance with IFRS or as an alternative to net
cash provided by operating activities or any other measures of cash flows or liquidity.
We define earnings before interest, taxes, depreciation and amortization (“Adjusted EBITDA") as revenue minus operating expenses excluding non-cash and or non-recurring operating expenses of stock-based compensation, marketing credits, depreciation and amortization (interest and taxes are not included in the Company's operating expenses). Adjusted EBITDA is used as an internal measure to evaluate the performance of our operating segments. We believe that information about this non-IFRS financial measure assists investors by allowing them to evaluate changes in operating results of our business separate from non-operational factors that affect operating income (loss) and net income (loss), thus providing insights into both operations and other factors that affect reported results. A limitation of the use of Adjusted EBITDA as a performance measure is that it does not reflect the periodic costs of certain amortizing assets used in generating revenue in our business. Furthermore, this measure may vary among companies; thus Adjusted EBITDA as presented herein may not be comparable to similarly titled measures of other companies.
This press release contains certain forward-looking statements within the meaning of applicable securities laws. Words such as "expects'', "anticipates" and "intends" or similar expressions are intended to identify forward-looking statements. The forward-looking statements contained herein may include, but are not limited to, information concerning the completion of future investments, the approval of the Exchange of the investments, the approval of the Reserve Bank of India of future investments, the expected use of proceeds from the investment, and statements relating to the business and future activities of QYOU. These forward-looking statements are based on QYOU’s current projections and expectations about future events and other factors management believes are appropriate. Although QYOU believes that the assumptions underlying these forward-looking statements are reasonable, they may prove to be incorrect, and readers cannot be assured that the offering and the closing thereof will be consistent with these forward-looking statements. Actual results could differ materially from those projected in the forward-looking statements as a result of numerous factors, including certain risk factors, many of which are beyond QYOU’s control. Additional risks and uncertainties regarding QYOU are described in its publicly-available disclosure documents, filed by QYOU on SEDAR (www.sedar.com) except as updated herein. The forward-looking statements contained in this news release represent QYOU's expectations as of the date of this news release, or as of the date they are otherwise stated to be made, and subsequent events may cause these expectations to change. QYOU undertakes no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as may be required by law.
Investor Relations Contact:
RedChip Companies Inc.
Source: QYOU Media Inc.
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