QYOU Media Inc.,(TSXV:QYOUOTCQB: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 preliminary unaudited financial results for the quarter ended December 31, 2021. Highlights include as follows:
- Record Breaking Quarterly Revenue: For the three months ended December 31, 2021 revenue was approximately $5.7M representing a year over year increase of nearly 500% and a quarter over quarter increase of over 20%. Original top end revenue guidance provided on May 31st 2021 for Q4 2021 had previously been disclosed as $4,500,000.
- Operating Business Units Reach Positive Adjusted EBITDA*: For the first time in company history the business units of both Q India and QYOU USA achieved positive Adjusted EBITDA results. Q India recorded revenues of $3,808,682 and Adjusted EBITDA of approximately $80,000. QYOU USA recorded revenue of $1,873,643 and Adjusted EBITDA of approximately $10,000.
- Net Income (loss): Net loss for the quarter is approximately $1,990,00 which includes a loss from operations of approximately $350,000 and non-cash losses from share based compensation, marketing credits and amortization of approximately $1,640,000.
- Use of Cash in the Quarter: Cash on hand as of December 31, 2021 was $6,406,476 as compared to $7,769,599 at September 30, 2021 representing a decrease of $1,363,123. The use of cash is primarily due to prepaying for channel distribution, investing in original content in India and increased Accounts Receivable tied to the revenue increase and costs for the operation of the public company operations which offsets the positive Adjusted EBITDA in the operating units.
- Recent Company Announcements: The company announced the launch of two new channels in Q1 2022. This includes the broadcast channel, The Q Marathi, and the digital channel The Q Kahaniya. In addition, both QYOU Media India Pvt. Ltd and QYOU USA Inc. recorded the highest revenue and net cash positive Adjusted EBITDA results for the first time in company history.
- Fiscal Year Change in 2022: The company has announced that it is transitioning to a calendar year end (December 31) fiscal year (previous year end of June 30) and will report official audited results for calendar Q3 and Q4, 2021 on or before April 29, 2022, All subsequent results will follow the new fiscal year calendar with FY Q1 2022 being reported on or before May 31, 2022.
QYOU Media CEO and Co-Founder, Curt Marvis commented, “We are thrilled to achieve our goal in Q4 2021 of building a solid financial foundation for growing our business and operating plan in 2022. We are well positioned to invest into driving greater growth across 2022 by leveraging our current success both in India and the US markets. We are beginning our transition from a single popular channel with varied broadcasting and digital outlets into a multi-tiered next generation digital media enterprise serving Young India audiences with top tier digital content and influencer talent. We are now better positioned for success than ever before.” PR Newswire