TORONTO, ONTARIO -- (Marketwire) -- 05/30/11 -- ZoomerMedia Limited (TSX VENTURE: ZUM) ("Company"), a leader in serving the interests of the 45+ "Zoomer" market, today announced its financial results for the third quarter and nine months ended March 31, 2011.
For the three months ended March 31, 2011, the Company had revenues of $13.6 million and expenses of $13.1 million resulting in income before depreciation, amortization and interest of $504,244. The net loss for the quarter was $886,782. For the comparable quarter ended March 31, 2010, the Company had revenues of $2.0 million and expenses of $3.0 million with a loss before depreciation, amortization and interest of $985,964. Net loss for the comparable quarter last year was $1.4 million.
For the nine months ended March 31 2011, the Company had revenues of $44.8 million and expenses of $40.4 million resulting in income before depreciation, amortization and interest of $4.4 million. Net income for the period was $531,356. For the comparable nine month period in the previous year, the Company had revenues of $7.1 million and expenses of $9.1 million for a loss before depreciation, amortization, interest and a tax recovery of $1.9 million. The net loss for the comparable period last year was $3.1 million.
During the quarter, the Company acquired the remaining 52.78% of the shares of ONE: the Body, Mind and Spirit Channel Inc. ("ONE") that it did not already own from the other minority shareholders. The Company initially acquired 47.22% of ONE when it acquired Vision TV and its related businesses on June 28, 2010. At the time of the initial acquisition of ONE the Company exercised control over the operations of ONE through a shareholder agreement and voting trust agreement. As a result of the acquisition of the remaining 52.78% of the shares of ONE, the Company has adopted CICA Handbook Section 1582, "Business Combinations", Section 1601 "Consolidated Financial Statements" and Section 1602 "Non- controlling Interests". The adoption of these sections is retroactive to the beginning of the Company's fiscal year. As a result, the Company has filed today amended financial statements and managements' discussion and analysis with the appropriate regulatory authorities for the quarters ending September 30, 2010 and December 31, 2010. The adoption of these accounting policies did not have a material impact on the financial statements of the Company. For the three months ended September 30, 2010 the Company has reclassified non-controlling interest of $496,016 from liabilities to equity on the balance sheet and non- controlling interest of $131,570 from the income statement to equity on the balance sheet. The net impact increased net income by $131,570 for the three months ended September 30, 2010. For the six months ended December 31, 2010 the Company has reclassified non-controlling interest of $651,539 from liabilities to equity on the balance sheet and non-controlling interest of $287,094 from the income statement to equity on the balance sheet. The net impact increased net income by $287,094 for the six months ended December 31, 2010. The loss per share for both periods was not affected.
Detailed financial information and Management's Discussion and Analysis for the third quarter ended March 31, 2011 can be found on SEDAR's website at www.sedar.com. The financial information included in this release is qualified in its entirety and should be read together with the audited consolidated financial statements for the year ended June 30, 2010, including the notes thereto.
About ZoomerMedia Limited
ZoomerMedia is a multimedia company that serves the 45plus "Zoomer" demographic through television, radio, magazine, internet and trade shows. ZoomerMedia's television properties include; Vision TV, Canada's only multi-faith specialty television service; ONE: the Body, Mind & Spirit Channel, offering programs on exercise, meditation, yoga, natural health and living a planet-friendly lifestyle; Joytv 10 in Vancouver and Joytv 11 in Winnipeg, two over the air conventional stations, available over the air and on cable in their respective markets. ZoomerMedia's radio properties include CFMZ-FM Toronto - The New Classical 96.3FM, CFMX-FM Cobourg - The New Classical 103.1FM, Canada's only commercial classical music radio stations serving the Greater Toronto Area (GTA) and eastern Ontario, and CFZM- AM 740 Toronto - The New AM740 Zoomer Radio, the last music service left on the AM dial in the GTA. ZoomerMedia also publishes Zoomer Magazine, the largest paid circulation magazine in Canada for the mature market. ZoomerMedia is Canada's leading provider of online content targeting the 45plus age group through many properties, the key one being www.50plus.com. ZoomerMedia also has a trade show division that conducts annual consumer shows directed to the 45plus age group and owns ideaCity, an annual Canadian conference also known as "Canada's Premiere Meeting of the Minds".
Cautionary note on forward looking statements
Certain statements made in this report are 'forward-looking statements' which may include, without limitation, any statement that may predict, forecast, indicate or imply future results, performance or achievements, and may contain the words 'believe', 'anticipate', 'expect', 'estimate', 'project', 'will be', 'will continue', 'will likely result' or similar words or phrases. Forward- looking statements involve risks and uncertainties, which may cause actual results to differ materially from the forward-looking statements. The risks and uncertainties are detailed from time to time in filings by ZoomerMedia Limited with provincial securities commissions. New risk factors emerge from time to time and it is not possible for management to predict all such risk factors, nor can it assess the impact of all such risk factors on the Company's business or the extent to which any factor, or combination of factors, may cause actual results to differ materially from those contained in any forward-looking statements. Such risks, uncertainties and other factors include, but are not limited to, the following:
-- the risks inherent in magazine publishing; -- the risks inherent in the operation of Internet media properties; -- the risks inherent in the operation of television broadcast properties -- the risks inherent in the operation of radio broadcast properties -- the competition within the media industry for the baby boom generation's business; -- the risks associated with governmental regulation of the publishing, internet, radio broadcasting and television broadcasting businesses; -- the results of legal claims made by or against the Company; -- the risk of managing the current revenue growth rate; -- the dependence of the business on the continuing operation of its computer systems; and -- the dependence on key personnel.
Given these risks, and uncertainties, investors should not place undue reliance on forward-looking statements as a prediction of actual results. ZoomerMedia Limited does not intend and does not assume any obligation to update these forward-looking statements.
The TSX Venture Exchange does not accept responsibility for the adequacy or accuracy of this release. No stock exchange, securities commission or other regulatory authority has approved or disapproved the information contained herein.