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YANGAROO reports record second quarter

^{Published on 2009-08-26 06:06:02, Last Modified on 2009-08-26 06:06:03 - Market Wire}
 

 Q2 Revenues Jump 48%; EBITDA Improves 35% TORONTO, Aug. 26 /CNW/ - YANGAROO Inc. (TSX-V: YOO, OTC: YOOIF), the industry's leading secure digital media distribution company, today announced record results for the second quarter ended June 30, 2009. Revenues for the second quarter of 2009 grew 48% over revenues for the second quarter of 2008. EBITDA (earnings before interest, taxes, depreciation and amortization) for the second quarter of 2009 improved by 35% over the same period in 2008. The loss for the second quarter of 2009 was 29% lower than for the second quarter of 2008. Revenues for the six months ended June 30, 2009 grew 46% over revenues for the first half of 2008. EBITDA for the first half of 2009 also improved by 35% over the same period in 2008. The loss for the first half of 2009 was 27% lower compared to the first half of 2008. Highlights from the second quarter of 2009 include the launch of the next generation of YANGAROO's Digital Media Distribution System - DMDS 5.0.; the grant of the company's third patent - United States patent No. 7,529,712 titled Content Distribution System and Method; followed by the filing of an infringement claim in the U.S. requesting the court issue an injunction against a competitor, Destiny Media Technologies Inc. (OTC:DSNY); the signing of a commercial agreement with a Fortune 500 company to use DMDS 5.0 in the production of its television shows; and subsequently the naming of YANGAROO to the Canadian Business "The Tech 100" 2009 list, an annual list ranking Canada's 100 leading technology companies. "With the new capabilities of our DMDS 5.0 platform, YANGAROO's markets have expanded to include secure digital distribution for music, music videos, television advertising, award shows, television production and beyond," said YANGAROO President & CEO John Heaven. "By leading through innovation we bring the best and most advanced solutions available to our customers. We expect our financial results will continue their upward trend as we move forward." Summary of operating results for the periods ended June 30: ------------------------------------------------------------------------- $CDN Six Months 2nd Quarter ------------------------------------------------------------------------- 2009 2008 2009 2008 ------------------------------------------------------------------------- Revenue 386,228 265,023 204,482 137,946 ------------------------------------------------------------------------- Interest income 9,099 93,096 2,103 37,708 ------------------------------------------------------------------------- EBITDA (1,086,519) (1,660,726) (599,305) (928,965) ------------------------------------------------------------------------- Net loss for the period (1,335,672) (1,827,915) (725,650) (1,020,724) ------------------------------------------------------------------------- Loss per share (basic & diluted) (0.02) (0.02) (0.01) (0.01) ------------------------------------------------------------------------- The increase in revenues, combined with a 22% decrease in total expenses, accounted for the 29% lower loss in the second quarter of 2009 compared to the second quarter of 2008. A 37% decrease in salaries and consulting expense accounted for most of the reduction in total expenses, with lower technology development and marketing and promotion expenses also contributing. General and administrative expense increased 6% in the second quarter, largely due to $159,000 of expenses related to the enforcement of the company's intellectual property rights in Canada and the filing of the infringement claim in the U.S. in the quarter. The full text of the financial statements and Management Discussion & Analysis is available at [ www.yangaroo.com ] and at [ www.sedar.com ]. About YANGAROO: YANGAROO's patented Digital Media Distribution System (DMDS) is a leading secure B2B digital delivery solution for the music and advertising industries. DMDS is a web-based delivery system that pioneers secure digital file distribution by incorporating biometrics, high-value encryption and watermarking. DMDS replaces the physical distribution of audio and video content for music, music videos, and advertising to television, radio, media, retailers and other authorized recipients with more accountable, effective, and far less costly digital delivery of broadcast quality media via the Internet. Named one of Canada's Top 100 Tech Companies for 2009 by Canadian Business, YANGAROO has offices in Toronto, New York, Los Angeles, and London, U.K. YANGAROO trades on the TSX Venture Exchange (TSX-V) under the symbol YOO and in the U.S. under OTCBB:YOOIF. For further information, please contact John Heaven at 905-763-3553 or visit [ www.yangaroo.com ]. The statements contained in this release that are not purely historical are forward-looking statements and are subject to risks and uncertainties that could cause such statements to differ materially from actual future events or results. Such forward-looking statements are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. The TSX Venture Exchange does not accept responsibility for the adequacy or accuracy of this release. %SEDAR: 00018809E 

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