An anonymous director reports
LINGO MEDIA REPORTS SECOND QUARTER RESULTS
Lingo Media Corp. has released its financial results for the second quarter ended June 30, 2012. All figures are reported in Canadian dollars and are in accordance with international financial reporting standards unless otherwise noted.
Print-based English language learning:
- Completed product revisions for the third and fourth levels of PEP
primary English program;
- Secured approval for product revisions from China's State Ministry
- Negotiating international distribution agreements for the Quartet
- On-line English language learning:
- Completed development of the beta version of the company's new English
proficiency assessment platform;
- Launched newly designed Q Kids Online English program;
- Secured first sale of new Q Kids Online of 5,000 licences in Turkey;
- Advanced development of a new product feature set for Speak2Me;
- Negotiating development partnerships for Speak2Me.
Continued to seek ESL and other education assets for acquisition and mergers and acquisitions
Second quarter ended June 30,
Revenue $ 737,163 $ 455,740
Operating expenses 645,172 487,433
Amortization, share-based payments and depreciation 109,587 801,212
Interest, foreign exchange and other comprehensive
income 67,078 332,440
Total expenses 821,839 1,621,510
Total comprehensive (loss) $ (84,676) $(1,165,770)
Further corporate highlights:
- Revenue for the second quarter totalled $737,163 compared with $455,740
for the same period in 2011, an increase of 62 per cent. The increase in
revenues in the second quarter of the current year is mainly
attributable to higher revenues from on-line training contracts as
compared with the second quarter of the previous year.
- Total expenses for the quarter totalled $821,839, as compared with $1,621,510 in 2011, due to the benefits of cost rationalization and a
reduction in share-based payment and in amortization of intangibles.
- Total comprehensive loss totalled $84,676 or 0.4 cent per share based on
20.5 million shares outstanding compared with a total comprehensive loss
of $1,165,770 or six cents per share based on 20.5 million shares
The company also announces that its application has been approved by the TSX Venture Exchange to extend the term of the 3,658,668 warrants issued by the corporation on March 4, 2011, and the 1,875,000 warrants issued by the corporation on May 11, 2011. The terms of the warrants have each been extended for a period of 18 months. The warrants were scheduled to expire on Sept. 4, 2012, and Nov. 11, 2012, respectively, but will now expire on March 4, 2014, and May 11, 2014, respectively.
The warrants were issued as part of private placement offerings by the company, which were completed on March 4, 2011, and May 11, 2011. For further information on the original issuance of the warrants, please refer to the press releases of the company dated March 4, 2011, and May 11, 2011, filed on SEDAR.
Warrantholders are advised that replacement warrant certificates will not be issued and that the original warrant certificates must be presented to the company to affect the exercise or transfer of such warrants.
The financial statements for the six months ended June 30, 2012, and accompanying management's discussion and analysis are available at SEDAR.
We seek Safe Harbor.