Fred Vandenberg, Destiny CFO, says, "Our largest area of growth continues to be revenue from our Play MPE® system, which is up at least 25% from Q3 and which grew for the 12th consecutive quarter.
"Every major customer group showed an increase in usage. Universal Music Group announced an expansion of their agreement with Destiny in June and an encouraging trend is the high revenue growth with labels that have recently gone to commercial usage. Revenue from EMI, Warner Music Group and Sony BMG grew more than 300%. Contracts signed with Major Label clients in Northern Europe and expanded use by existing major independent labels also contributed significantly to the over-all growth."
"What's encouraging about this increased revenue, is that operating costs continue to decrease as labels incorporate Play MPE® into their work flow," said company CEO, Steve Vestergaard. "Loss from operations has dropped by more than 40% from the prior quarter. The company is not seeking external financing and is looking forward to imminent profitability."
The company completely phased out all unpaid trials in the United States as of August 31. Three major labels have gone to paid agreement in northern Europe and this usage is continuing to expand. Trials continued in the rest of Europe and Latin America. 636 singles, 49 bundles and 1 album generated 95,000 transactions during the quarter in Australia and New Zealand.
Friday, September 19, 2008
Destiny Media Update
Destiny Media Technologies (OTCBB: DSNY.OB) released its fiscal year-end update this morning. Excerpts: