TORONTO, ONTARIO–(April 30, 2014) – Lingo Media Corporation (TSX VENTURE:LM)(OTCBB:LMDCF) (“Lingo Media” or the “Company“), an ESL industry acquisition company that is ‘Changing the way the world learns English’, announces its financial results for the fourth quarter and year ended December 31, 2013. All figures are reported in Canadian Dollars, and are in accordance with International Financial Reporting Standards unless otherwise noted.
Print-Based English Language Learning
- secured approval for balance of product revisions for PEP Primary English levels 7 and 8 of eight level program from China’s State Ministry of Education
- secured approval for balance of product revisions for Starting Line levels 9 thru 12 of twelve level program from China’s State Ministry of Education
- negotiated seven year renewals of co-publishing agreements for both recently approvedPEP Primary English and Starting Line programs with People’s Education Press and Peoples Education Electronic & Audiovisual Press, China’s State Ministry of Education’s publishing arm
Online English Language Learning
- completed the final stages of redesign of the product user interface, learning management system and the multi-browser delivery system for desktops and tablets for ELL Technologies’ suite of products including – Scholar, Business, Master, Kids, and Placement Test
- continued to advance the re-development of Speak2Me with Advancina LLC, our strategic partner, to enhance and update Speak2Me.cn’s product offering
- negotiated a one year extension to the term of the $880,000 loan outstanding for a further one year term to September 8, 2015
Financial Highlights for the Fourth Quarter Ended December 31, 2013
|</p> <p>[18px;bg#219cd1;c#ffffff]Fourth Quarter Ended December 31||2013||2012|
|Amortization, share-based payments, and depreciation||125,826||146,344|
|Finance charges, taxes, foreign exchange||114,686||66,902|
|Total Comprehensive Income||558,765||38,611</p> <p>|
- Revenue for the fourth quarter ended December 31, 2013 totalled $1,024,555 compared to $891,747 for the same period in 2012.
- Operating expenses for the quarter ended December 31, 2013 totalled $163,374 as compared to $561,944 in 2012.
- Net profit for the quarter was $620,669 as compared to $116,557 for the same period in 2012.
- Total comprehensive income for the fourth quarter was $558,765 or $0.028 earnings per share based on 21.2 million shares compared to a total comprehensive income of $38,611 or $0.002 earnings per share based on 20.9 million shares for the same period in 2012.
Financial Highlights for the Year Ended December 31, 2013
|</p> <p>[18px;bg#219cd1;c#ffffff]Year Ended December 31||2013||2012|
|Amortization, share–based payments, and depreciation||500,599||618,785|
|Finance charges, taxes, foreign exchange||347,738||365,710|
|Net profit (loss)||22,943||(1,362,526)|
|Total Comprehensive Loss||(56,311)||(1,364,737)</p> <p>|
- Revenue for the year ended December 31, 2013 totalled $2.00 million, as compared to $2.02 million in 2012.
- Operating expenses for the year ended December 31, 2013 totalled $1.14 million compared to $2.39 million in 2012.
- Profit from operations for the year ended December 31, 2013 was $370,681 as compared to a loss from operations of $(996,816) in 2012.
- Net profit for the year ended December 31, 2013 was $22,943 as compared to a net loss of $(1,362,526) for 2012. This improvement in profitability is primarily attributed to a reduction in selling, general and administrative expenses of $1.17 million.
- Total comprehensive loss for 2013 was $(56,331) or $0.00 loss per share based on 21.2 million shares compared to a total comprehensive loss of $(1.36 million) or $0.07 loss per share based on 20.9 million shares as at December 31, 2012.
The audited financial statements for the year ended December 31, 2013 and Management Discussion & Analysis are available atwww.sedar.com.
About Lingo Media (TSX VENTURE:LM)(OTCBB:LMDCF)
Lingo Media Corporation (www.lingomedia.com) is an ESL industry acquisition company that is ‘Changing the way the world learns English’, focused on English language learning (“ELL”) on an international scale through its four distinct business units: ELL Technologies; Parlo; Speak2Me; and Lingo Learning. ELL Technologies is a globally-established ELL multi-media and online training company (www.elltechnologies.com). Parlo is a fee-based online ELL training and assessment service. Speak2Me is a free-to-consumer advertising-based online ELL service in China. Lingo Learning is a print-based publisher of ELL programs in China. Lingo Media has formed successful relationships with key government and industry organizations, establishing a strong presence in China’s education market of more than 300 million students. The Company continues to expand its ELL offerings and is extending its reach globally.
Portions of this press release may include “forward-looking statements” within the meaning of securities laws. Forward-looking statements contained in this press release are made pursuant to the safe harbour provisions of the Private Securities Litigation Reform Act of 1995. These statements are based on management’s current expectations and involve certain risks and uncertainties. Actual results may vary materially from management’s expectations and projections and thus readers should not place undue reliance on forward-looking statements. Certain factors that can affect the Company’s ability to achieve projected results are described in the Company’s filings with the Canadian and United States securities regulators available on www.sedar.com or www.sec.gov/edgar.shtml.
NEITHER THE TSX VENTURE EXCHANGE NOR ITS REGULATION SERVICES PROVIDER (AS THAT TERM IS DEFINED IN THE POLICIES OF THE TSX VENTURE EXCHANGE) ACCEPTS RESPONSIBILITY FOR THE ADEQUACY OR ACCURACY OF THIS RELEASE.