TORONTO, MUMBAI and LOS ANGELES, May 30, 2022 /PRNewswire/ - QYOU Media Inc., (TSXV: QYOU) ( OTCQB: QYOUF) a company operating in India and the United States producing and distributing content created by social media stars and digital content creators, is reporting final financial results for the quarter ended March 31, 2022. Highlights include as follows:
QYOU MEDIA REVENUE (CNW Group/QYOU Media Inc.)
Record Breaking Quarterly and YOY Revenue Growth: For the three months ended March 31, 2022 revenue was $5,234,680 representing a year over year increase of 2410% and the highest Q1 revenue mark in company history.
Guidance: The Company is formally providing guidance for Q2 2022 advising that revenue is expected to be an all time quarterly record
Seasonality: The Company's lines of business (primarily ad sales and influencer marketing) are subject to seasonality such that Q1 is typically the lowest revenue and Q4 the highest, all else being equal.
Improved Adjusted EBITDA*: For the three months ended March 31, 2022 compared to same period prior year, adjusted EBITDA loss was $662,270 representing a decrease of $981,074 or 60% driven by the revenue growth offset by higher operating expenses related to the growth of the business across all operating business units.
Net Loss: Net loss for the quarter is $2,308,200, a decrease of 10% or $244,689 driven by revenue growth across all business units. In addition to the EBITDA loss, the Net loss includes income tax provisions of $166,802 and non-cash losses from share based compensation, marketing credits and amortization of $1,479,128.
Cash Balance: The Company concluded the three months ended March 31, 2022 with cash of $5,082,637 (December 31, 2021 $6,548,890).
QYOU Media CEO and Co-Founder, Curt Marvis commented, "What a difference a year makes would be an apt description for the astounding difference in our year over year growth from 2021 to 2022. Revenue growth in the current quarter is expected to again be strongly positive on a quarter over quarter basis and even more significant again on a year over year basis. Q2 2022 is currently expected to break all previous quarterly revenue records for the company and we expect this trend to continue throughout 2022. I am super proud of what the entire team has achieved and as I always say…the best is yet to come."
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 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.
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SOURCE QYOU Media Inc.