Stingray Reports First Quarter 2019 Results

Strong Growth in the U.S. market of 74%

First Quarter Highlights

  • Agreement to acquire Newfoundland Capital Corporation (TSX: NCC.A; NCC.B)
  • Acquisition of Novramedia Inc., subsequent to the quarter
  • Revenues increased 16.1% to $34.5 million
  • Recurring revenues(1) of $30.8 million or 89.4% of total revenues, an increase of 20.8%
  • Overall organic growth of 6.5% or 9.3% excluding non-recurring equipment and installation sales related to digital signage and impact of foreign exchange
  • Adjusted EBITDA(2) up 21.9% to $11.2 million
  • Net income increased to $1.3 million or $0.02 per share (diluted) compared to $0.3 million or $0.01 per share (diluted) last year
  • Adjusted Net income(3) up 3.4% to $5.9 million or $0.10 per share (diluted) compared to last year
  • Cash flow from operating activities increased to $6.9 million
  • Adjusted free cash flow(4) of $6.2 million, a decrease of 14.4% mainly related to higher capital expenditures due to non-recurring leasehold improvements
  • Increased quarterly dividend by 20.0% to $0.06 per share compared to last year
  • Subscription video on demand (“SVOD”) subscribers down to 322,000 in first quarter, but revenues remained stable versus Q4 2018 due to increase in ARPU (average revenue per user)

Montreal, August 8, 2018 – Stingray Digital Group Inc. (TSX: RAY.A; RAY.B) (the “Corporation”; “Stingray”), a leading business-to-business multi-platform music and in-store media solutions provider, today announced its financial results for the first quarter ended June 30, 2018.

Read the complete press release