Welcome!

.NET Authors: Lori MacVittie, Yeshim Deniz, Ivan Antsipau, Liz McMillan, Michael Bushong

News Feed Item

PNI Digital Media Reports Fiscal 2013 First Quarter Financial Results

VANCOUVER, BRITISH COLUMBIA -- (Marketwire) -- 02/14/13 -- PNI Digital Media (TSX:PN)(OTCBB:PNDMF) ("PNI" or the "Company"), the leading innovator in digital media solutions for retailers, reported financial results for the fiscal 2013 first quarter ended December 31st, 2012 and discussed key operational developments for the quarter.

"In this past quarter 26% of all orders over our platform were for greeting and photo cards within our customers sites," said Kyle Hall, Chief Executive Officer of PNI Digital Media. "Our stationery and photo markets are merging quickly and we are well positioned to take advantage of this evolving market for personalized content as it extends itself into higher value cards and invitations while leveraging our retailers' large existing consumer bases. Furthermore, we saw record transactions from mobile devices fueled by our investment in new apps for both smart phones and tablets. This investment in mobile not only enabled us to drive incremental transactions but is also opening entirely new channels for our retailers as consumer behavior shifts towards mobile. Lastly, by using our recently announced platform API, any qualified software developer can add their photo app or photo product to our platform on their own, giving our platform an almost limitless range of product innovation for our retailers, and further positioning our platform as they key venue for retailers who want to drive high value transactions from personalized products."

Fiscal 2013 First Quarter Operational Highlights


--  Processed a record 6.9 million transactions during the quarter, a 3%
    increase from the same period last year 
--  Processed $103.5 million in online transactions over our platform on
    behalf of our retail partners, a 2.2% increase compared to the same
    quarter in fiscal 2012 
--  Set a new peak day record for transactions, conducting 270,000
    transactions in a single day 
--  Successfully launched a new platform API portal, enabling third parties
    to submit orders over the Company's platform, creating incremental
    transactions on behalf of the Company's retail clients 
--  Launched an all-new Android OS mobile app on behalf of the Company's
    retail clients, further extending the Company's mobile apps and
    solutions for its retail clients. The first implementation was with
    Tesco PLC 
--  Announced a new partnership with Aperion Inc. for the provision of
    premium unique themes and designs available only to retailers using the
    Company's platform 
--  The Company adopted a majority voting policy for elections of Directors

Fiscal 2013 First Quarter Fiscal Highlights


--  Revenue for the quarter of $6.6 million compared to $6.9 million in the
    first quarter of fiscal 2012. The decrease in revenue was predominantly
    due to a $0.4 million decrease in transaction fees 
--  Working capital increased to $4.9 million at December 31, 2012 from $4.8
    million at September 30, 2012 
--  Generated IFRS loss for the quarter of $0.3 million compared to $1.0
    million in income in the first quarter of fiscal 2012 
--  Non-IFRS adjusted EBITDA1 was $0.3 million compared to a non-IFRS
    adjusted EBITDA of $1.7 million during the first quarter of fiscal 2012.
    The reduced adjusted EBITDA in the current period was due in part to a
    large amount of capitalized personnel costs associated with the
    development of internal use software in the first quarter of 2012. In
    comparison, no internal development costs met the criteria for
    capitalization as internal use software in the first quarter of 2013 
--  The Company ended the quarter with $3.7 million in cash and cash
    equivalents and no debt

Conference Call

The company will host a conference call on February 14th, 2013 at 4:30 p.m. ET (1:30 p.m. PT) to discuss these financial results. PNI Digital Media's Chief Executive Officer Kyle Hall and Chief Financial Officer Cameron Lawrence will host the presentation, followed by a question and answer period.


Dial-In Number:     (888) 241-0394      
International:      (647) 427-3413      
Conference ID#:     89825016            

Institutional investors and interested participants should dial the conference telephone number 5-10 minutes prior to the start time. An operator will register your name and organization.

PNI Digital Media will also provide a live webcast and slide presentation, which will be available on the Company's website at www.pnimedia.com/webcast. An archived replay of the webcast will be available for 45 days following the live event.


Consolidated Statements of Operations and Comprehensive Income (Loss)       
                                                                            
                                                    Three Months Ended      
                                                 December 31,   December 31,
                                                         2012           2011
                                              ------------------------------
                                                                            
Revenue                                           $ 6,555,984    $ 6,950,376
Cost of sales                                       2,923,203      2,591,569
                                              ------------------------------
Gross Profit (loss)                                 3,632,781      4,358,807
                                                                            
Expenses                                                                    
 Software development                               2,515,174      2,164,177
 General and administration                           973,695      1,093,029
 Sales and marketing                                  334,351        170,954
                                              ------------------------------
                                                                            
                                                    3,823,220      3,428,160
                                              ------------------------------
                                                                            
Profit (loss) from operations                       (190,439)        930,647
                                                                            
Foreign exchange gain (loss)                        (130,348)        105,286
Finance income                                          1,755            559
                                                                            
                                              ------------------------------
                                                                            
                                                    (128,593)        105,845
                                              ------------------------------
                                                                            
Profit (loss) before income tax                     (319,032)      1,036,492
                                                                            
Deferred income tax recovery (expense)                      -          3,731
                                              ------------------------------
Income tax recovery (expense)                               -          3,731
                                                                            
                                              ------------------------------
Profit (loss) for the period                        (319,032)      1,040,223
                                                                            
Other comprehensive gain (loss):                                            
                                                                            
 Cumulative translation adjustment                    182,263      (287,058)
                                              ------------------------------
                                                                            
Total comprehensive income (loss) for the                                   
 period                                           $ (136,769)      $ 753,165
                                              ------------------------------
                                              ------------------------------
                                                                            
Earnings (loss) per share                                                   
Basic                                                $ (0.01)         $ 0.03
Fully diluted                                        $ (0.01)         $ 0.03
                                                                            
                                                                            
Consolidated Balance Sheets                                                 
                                                                            
                                                                            
                                                 December 31,  September 30,
Assets                                                   2012           2012
                                              ------------------------------
                                                                            
Current assets                                                              
 Cash and cash equivalents                        $ 3,662,556    $ 4,611,824
 Accounts receivable                                5,192,134      4,253,541
 Prepaid expenses and other current assets            520,083        622,970
                                              ------------------------------
                                                                            
                                                    9,374,773      9,488,335
                                                                            
Property and equipment                              4,325,496      4,683,355
Deferred income tax asset                           5,252,291      5,222,603
Intangible assets                                      53,831          2,124
Goodwill                                              575,983        568,479
                                                                            
                                              ------------------------------
                                                                            
                                                 $ 19,582,374   $ 19,964,896
                                              ------------------------------
                                              ------------------------------
                                                                            
Liabilities                                                                 
                                                                            
Current liabilities                                                         
 Accounts payable and accrued liabilities         $ 4,063,083    $ 4,390,437
 Current portion of deferred revenue                  378,494        318,107
                                              ------------------------------
                                                                            
                                                    4,441,577      4,708,544
                                                                            
Deferred revenue                                      421,903        437,140
                                              ------------------------------
                                                  $ 4,863,480               
                                                   $4,863,480    $ 5,145,684
                                              ------------------------------
                                                                            
Shareholders' Equity                                                        
                                                                            
Share capital                                    $ 66,881,748   $ 66,817,352
Contributed surplus                                19,306,153     19,334,098
                                              ------------------------------
                                                   86,187,901     86,151,450
                                              ------------------------------
                                                                            
Deficit                                          (71,454,053)   (71,135,021)
                                                                            
Accumulated other comprehensive loss                 (14,954)      (197,217)
                                              ------------------------------
                                                                            
                                                 (71,469,007)   (71,332,238)
                                              ------------------------------
                                                                            
                                                   14,718,894     14,819,212
                                                                            
                                              ------------------------------
                                                 $ 19,582,374   $ 19,964,896
                                              ------------------------------
                                              ------------------------------
                                                                            
                                                                            
Non-IFRS Financial Measures                                                
                                                                           
                                                   Three Months Ended      
                                                December 31,   December 31,
                                                        2012           2011
                                             ------------------------------
                                                                           
Net profit (loss) in accordance with IFRS        $ (319,032)    $ 1,040,223
Amortization of property and equipment               381,842        404,775
Amortization of intangible assets                     17,542        265,331
Interest expense                                           -              -
Income taxes                                               -        (3,731)
Stock based compensation expense                      36,451         79,269
Unrealized foreign exchange loss (gain)              140,547       (95,672)
Loss on disposal of property and equipment               480              -
                                                                           
                                             ------------------------------
Adjusted EBITDA                                    $ 257,830    $ 1,690,195
                                             ------------------------------
                                             ------------------------------
                                                                           
Adjusted EBITDA per share - Basic                     $ 0.01         $ 0.05
Adjusted EBITDA per share - Fully Diluted             $ 0.01         $ 0.05
                                                                           
Weighted average shares outstanding - Basic       34,297,664     34,076,445
Weighted average shares outstanding - Fully                                
 Diluted                                          34,298,902     34,099,611

Notes:

1 - Non-IFRS Measures

The Company continues to provide all information required in accordance with IFRS, but believes evaluating its ongoing operating results may not be as useful if an investor is limited to reviewing only IFRS financial measures. Accordingly, the Company uses non-IFRS financial information to evaluate its ongoing operations and for internal planning and forecasting purposes. The primary non-IFRS financial measures utilized by the Company include adjusted EBITDA. Adjusted EBITDA is non-IFRS financial measure which the Company defines as net profit plus amortization, impairment, interest expense, tax expense, share-based compensation expense and unrealized foreign exchange loss (gain).

To supplement the Company's financial statements presented on an IFRS basis, we believe that these non-IFRS measures provide useful information about the Company's core operating results and thus are appropriate to enhance the overall understanding of the Company's past financial performance and its prospects for the future. These adjustments to the Company's IFRS results are made with the intent of providing both management and investors a more complete understanding of the Company's underlying operational results and trends and performance. Management uses these non-IFRS measures to evaluate the Company's financial results, develop budgets, manage expenditures, and determine employee compensation. The presentation of additional information is not meant to be considered in isolation or as a substitute for or superior to net (loss) earnings or net (loss) earnings per share determined in accordance with IFRS.

Currency:

All amounts are expressed in Canadian dollars. This notice is qualified in its entirety by reference to the Company's financial statements and accompanying Management Discussion and Analysis, which are accessible on the SEC'S website at www.sec.gov/edgar.shtml and on SEDAR at www.sedar.com.

About PNI Digital Media - Founded in 1995, PNI Digital Media operates the PNI Digital Media Platform, which provides transaction processing and order routing services for major retailers. The PNI Digital Media Platform connects consumer-ordered digital content, whether from online, in-store kiosks, desktop software or mobile phones, with retailers that have on-demand manufacturing capabilities for the production of personalized products such as photos, photo books and calendars, business cards and stationery. PNI Digital Media successfully generates millions of transactions each year for retailers and their thousands of locations worldwide.

Further information on our company can be found at www.pnimedia.com.

The statements that are not historical facts contained in this release are forward-looking statements that involve risks and uncertainties. PNI Digital Media's actual results could differ materially from those expressed or implied by such forward-looking statements. Factors that could cause or contribute to such differences include, but are not limited to, changes in technology, employee retention, inability to deliver on contracts, failure of customers to continue marketing the online solution, competition, general economic conditions, foreign exchange and other risks detailed in the Company's annual report and other filings. Additional information related to the Company can be found on SEDAR at www.sedar.com and on the SEC'S website at www.sec.gov/edgar.shtml. The information contained herein is subject to change without notice. PNI Digital Media shall not be liable for technical or editorial errors or omissions contained herein.

The TSX has neither approved nor disapproved the information contained in this release. PNI Digital Media relies upon litigation protection for "forward-looking" statements.

PNI Digital Media is a registered trademark of PNI Digital Media Inc. All other trademarks are property of their respective owners.

Neither TSX nor its Regulation Services Provider (as that term is defined in the policies of the TSX) accepts responsibility for the adequacy or accuracy of this release.

More Stories By Marketwired .

Copyright © 2009 Marketwired. All rights reserved. All the news releases provided by Marketwired are copyrighted. Any forms of copying other than an individual user's personal reference without express written permission is prohibited. Further distribution of these materials is strictly forbidden, including but not limited to, posting, emailing, faxing, archiving in a public database, redistributing via a computer network or in a printed form.

@ThingsExpo Stories
Software AG helps organizations transform into Digital Enterprises, so they can differentiate from competitors and better engage customers, partners and employees. Using the Software AG Suite, companies can close the gap between business and IT to create digital systems of differentiation that drive front-line agility. We offer four on-ramps to the Digital Enterprise: alignment through collaborative process analysis; transformation through portfolio management; agility through process automation and integration; and visibility through intelligent business operations and big data.
There will be 50 billion Internet connected devices by 2020. Today, every manufacturer has a propriety protocol and an app. How do we securely integrate these "things" into our lives and businesses in a way that we can easily control and manage? Even better, how do we integrate these "things" so that they control and manage each other so our lives become more convenient or our businesses become more profitable and/or safe? We have heard that the best interface is no interface. In his session at Internet of @ThingsExpo, Chris Matthieu, Co-Founder & CTO at Octoblu, Inc., will discuss how these devices generate enough data to learn our behaviors and simplify/improve our lives. What if we could connect everything to everything? I'm not only talking about connecting things to things but also systems, cloud services, and people. Add in a little machine learning and artificial intelligence and now we have something interesting...
Last week, while in San Francisco, I used the Uber app and service four times. All four experiences were great, although one of the drivers stopped for 30 seconds and then left as I was walking up to the car. He must have realized I was a blogger. None the less, the next car was just a minute away and I suffered no pain. In this article, my colleague, Ved Sen, Global Head, Advisory Services Social, Mobile and Sensors at Cognizant shares his experiences and insights.
We are reaching the end of the beginning with WebRTC and real systems using this technology have begun to appear. One challenge that faces every WebRTC deployment (in some form or another) is identity management. For example, if you have an existing service – possibly built on a variety of different PaaS/SaaS offerings – and you want to add real-time communications you are faced with a challenge relating to user management, authentication, authorization, and validation. Service providers will want to use their existing identities, but these will have credentials already that are (hopefully) irreversibly encoded. In his session at Internet of @ThingsExpo, Peter Dunkley, Technical Director at Acision, will look at how this identity problem can be solved and discuss ways to use existing web identities for real-time communication.
Can call centers hang up the phones for good? Intuitive Solutions did. WebRTC enabled this contact center provider to eliminate antiquated telephony and desktop phone infrastructure with a pure web-based solution, allowing them to expand beyond brick-and-mortar confines to a home-based agent model. It also ensured scalability and better service for customers, including MUY! Companies, one of the country's largest franchise restaurant companies with 232 Pizza Hut locations. This is one example of WebRTC adoption today, but the potential is limitless when powered by IoT. Attendees will learn real-world benefits of WebRTC and explore future possibilities, as WebRTC and IoT intersect to improve customer service.
From telemedicine to smart cars, digital homes and industrial monitoring, the explosive growth of IoT has created exciting new business opportunities for real time calls and messaging. In his session at Internet of @ThingsExpo, Ivelin Ivanov, CEO and Co-Founder of Telestax, will share some of the new revenue sources that IoT created for Restcomm – the open source telephony platform from Telestax. Ivelin Ivanov is a technology entrepreneur who founded Mobicents, an Open Source VoIP Platform, to help create, deploy, and manage applications integrating voice, video and data. He is the co-founder of TeleStax, an Open Source Cloud Communications company that helps the shift from legacy IN/SS7 telco networks to IP-based cloud comms. An early investor in multiple start-ups, he still finds time to code for his companies and contribute to open source projects.
The Internet of Things (IoT) promises to create new business models as significant as those that were inspired by the Internet and the smartphone 20 and 10 years ago. What business, social and practical implications will this phenomenon bring? That's the subject of "Monetizing the Internet of Things: Perspectives from the Front Lines," an e-book released today and available free of charge from Aria Systems, the leading innovator in recurring revenue management.
The Internet of Things will put IT to its ultimate test by creating infinite new opportunities to digitize products and services, generate and analyze new data to improve customer satisfaction, and discover new ways to gain a competitive advantage across nearly every industry. In order to help corporate business units to capitalize on the rapidly evolving IoT opportunities, IT must stand up to a new set of challenges.
There’s Big Data, then there’s really Big Data from the Internet of Things. IoT is evolving to include many data possibilities like new types of event, log and network data. The volumes are enormous, generating tens of billions of logs per day, which raise data challenges. Early IoT deployments are relying heavily on both the cloud and managed service providers to navigate these challenges. In her session at 6th Big Data Expo®, Hannah Smalltree, Director at Treasure Data, to discuss how IoT, Big Data and deployments are processing massive data volumes from wearables, utilities and other machines.
All major researchers estimate there will be tens of billions devices – computers, smartphones, tablets, and sensors – connected to the Internet by 2020. This number will continue to grow at a rapid pace for the next several decades. With major technology companies and startups seriously embracing IoT strategies, now is the perfect time to attend @ThingsExpo in Silicon Valley. Learn what is going on, contribute to the discussions, and ensure that your enterprise is as "IoT-Ready" as it can be!
P2P RTC will impact the landscape of communications, shifting from traditional telephony style communications models to OTT (Over-The-Top) cloud assisted & PaaS (Platform as a Service) communication services. The P2P shift will impact many areas of our lives, from mobile communication, human interactive web services, RTC and telephony infrastructure, user federation, security and privacy implications, business costs, and scalability. In his session at Internet of @ThingsExpo, Erik Lagerway, Co-founder of Hookflash, will walk through the shifting landscape of traditional telephone and voice services to the modern P2P RTC era of OTT cloud assisted services.
While great strides have been made relative to the video aspects of remote collaboration, audio technology has basically stagnated. Typically all audio is mixed to a single monaural stream and emanates from a single point, such as a speakerphone or a speaker associated with a video monitor. This leads to confusion and lack of understanding among participants especially regarding who is actually speaking. Spatial teleconferencing introduces the concept of acoustic spatial separation between conference participants in three dimensional space. This has been shown to significantly improve comprehension and conference efficiency.
The Internet of Things is tied together with a thin strand that is known as time. Coincidentally, at the core of nearly all data analytics is a timestamp. When working with time series data there are a few core principles that everyone should consider, especially across datasets where time is the common boundary. In his session at Internet of @ThingsExpo, Jim Scott, Director of Enterprise Strategy & Architecture at MapR Technologies, will discuss single-value, geo-spatial, and log time series data. By focusing on enterprise applications and the data center, he will use OpenTSDB as an example to explain some of these concepts including when to use different storage models.
SYS-CON Events announced today that Gridstore™, the leader in software-defined storage (SDS) purpose-built for Windows Servers and Hyper-V, will exhibit at SYS-CON's 15th International Cloud Expo®, which will take place on November 4–6, 2014, at the Santa Clara Convention Center in Santa Clara, CA. Gridstore™ is the leader in software-defined storage purpose built for virtualization that is designed to accelerate applications in virtualized environments. Using its patented Server-Side Virtual Controller™ Technology (SVCT) to eliminate the I/O blender effect and accelerate applications Gridstore delivers vmOptimized™ Storage that self-optimizes to each application or VM across both virtual and physical environments. Leveraging a grid architecture, Gridstore delivers the first end-to-end storage QoS to ensure the most important App or VM performance is never compromised. The storage grid, that uses Gridstore’s performance optimized nodes or capacity optimized nodes, starts with as few a...
The Transparent Cloud-computing Consortium (abbreviation: T-Cloud Consortium) will conduct research activities into changes in the computing model as a result of collaboration between "device" and "cloud" and the creation of new value and markets through organic data processing High speed and high quality networks, and dramatic improvements in computer processing capabilities, have greatly changed the nature of applications and made the storing and processing of data on the network commonplace. These technological reforms have not only changed computers and smartphones, but are also changing the data processing model for all information devices. In particular, in the area known as M2M (Machine-To-Machine), there are great expectations that information with a new type of value can be produced using a variety of devices and sensors saving/sharing data via the network and through large-scale cloud-type data processing. This consortium believes that attaching a huge number of devic...
Innodisk is a service-driven provider of industrial embedded flash and DRAM storage products and technologies, with a focus on the enterprise, industrial, aerospace, and defense industries. Innodisk is dedicated to serving their customers and business partners. Quality is vitally important when it comes to industrial embedded flash and DRAM storage products. That’s why Innodisk manufactures all of their products in their own purpose-built memory production facility. In fact, they designed and built their production center to maximize manufacturing efficiency and guarantee the highest quality of our products.
Can call centers hang up the phones for good? Intuitive Solutions did. WebRTC enabled this contact center provider to eliminate antiquated telephony and desktop phone infrastructure with a pure web-based solution, allowing them to expand beyond brick-and-mortar confines to a home-based agent model. Download Slide Deck: ▸ Here
All major researchers estimate there will be tens of billions devices - computers, smartphones, tablets, and sensors - connected to the Internet by 2020. This number will continue to grow at a rapid pace for the next several decades. Over the summer Gartner released its much anticipated annual Hype Cycle report and the big news is that Internet of Things has now replaced Big Data as the most hyped technology. Indeed, we're hearing more and more about this fascinating new technological paradigm. Every other IT news item seems to be about IoT and its implications on the future of digital business.
BSQUARE is a global leader of embedded software solutions. We enable smart connected systems at the device level and beyond that millions use every day and provide actionable data solutions for the growing Internet of Things (IoT) market. We empower our world-class customers with our products, services and solutions to achieve innovation and success. For more information, visit www.bsquare.com.
With the iCloud scandal seemingly in its past, Apple announced new iPhones, updates to iPad and MacBook as well as news on OSX Yosemite. Although consumers will have to wait to get their hands on some of that new stuff, what they can get is the latest release of iOS 8 that Apple made available for most in-market iPhones and iPads. Originally announced at WWDC (Apple’s annual developers conference) in June, iOS 8 seems to spearhead Apple’s newfound focus upon greater integration of their products into everyday tasks, cross-platform mobility and self-monitoring. Before you update your device, here is a look at some of the new features and things you may want to consider from a mobile security perspective.