TORONTO,ON & NEW YORK, NY /ACCESSWIRE / March 3, 2015 / Intertainment Media Inc. (TSXV: INT) (PINKSHEETS: ITMTF) (FSE: I4T) ("Intertainment" or "Company") is pleased to announce that it is reporting a net profit for the Quarter ended December 31, 2015.
Revenue for the Quarter was $282,625 as compared to $105,135 for Q2 2014 representing an increase of 169%. Gross profit for the Quarter was $195,722 as compared to $35,053 for Q2 2014 representing an increase of 458%. In conjunction with the realization of the sale of assets, net income attributed to common shareholders was $197,161 for Q2 2014 compared to a net loss of ($2,492,341) for Q2 2014 or an improvement of $2,689,502 as compared with the same period for the previous year.
Positive highlights for the Quarter include the following:
The Company has made significant strides in the first two quarters of Fiscal 2015 including the divestiture of all directly controlled assets in the non-new media advertising and language space. In the last 18 months, the Company has divested controlling interest in Itibiti, Ad Taffy, Poynt and Magnum. With the sale of Magnum, the Company transitioned, other than new media employees, over 90% of the staff to the buyer of that division. Intertainment is positioned to receive a significant portion of cash flow in Fiscal 2015 from the various divestitures.
During the second quarter, a number of other asset returns were realized including the sale of Shiny Ads providing a total return of $570,000 CAD to the Company from its original investment of $250,000 CAD. Intertainment also negotiated an amendment to the sale of Itibiti. The Company previously received $250,000 CAD during 2013 against the original note however the amendment finalized during the second quarter now provides for regular payments of $100,000 CAD monthly over 14 months, along with $250,000 CAD on closing which has been received. The Company retains its liquidity rights in the event of a sale or change in control of Itibiti.
Intertainment continues to maintain its portfolio of investments including TranzActive, CapThat, theAudience, Lexifone and Yappn Corp and will look to further pursue opportunities to divest remaining investments at opportune times to best benefit the Company and maximizes shareholder value.
The Company owns 85 million shares in Yappn Corp., which is publicly traded on the OTCBB under the symbol "YPPN". Yappn announced on December 1, 2014 a multi-year deal with Digital Widget Factory which expects to potentially generate revenues estimated at $3 Million USD during the first year of the contract with opportunities to accelerate those revenues in addition to its other business opportunities. As part of the negotiated program, Intertainment's division TranzActive, will receive a dividend of 20% of the net profit of the Digital Widget Factory program for its technology services.
"Our Second Quarter during this Fiscal Year has produced a very positive result for Intertainment which continues to show the commitment the Company has to generating increased revenue and building value for our Shareholders," said Anthony R. Pearlman, COO. "We continue to focus on the path we've set for ourselves to move the Company forward."
Intertainment continues to make advancements in reducing overall expenses and debts without further dilution while focusing its efforts on the programs for both TranzActive and Yappn, working towards further revenue gains as we continue to accelerate through the commercialization stage. The Company has made significant changes in its operations during the last two quarters which has provided substantial improvement to its income statement and resulted in major improvements over previous quarters.
For more detailed information, please review the Company's Interim Condensed Consolidated Financial Statements for the three and six month periods ended December 31, 2014 and 2013 as well as the Management's Discussion and Analysis for the three and six month periods ended December 31, 2014 filed on www.sedar.com.
About TranzActive - www.tranzactive.com
Formerly branded as Ortsbo Inc., TranzActive is the Language Service Technology arm of Intertainment Media Inc. TranzActive provides its global licensed language services technology to facilitate the expansion into new markets for start-ups, high growth and emerging corporate online enterprises. TranzActive's business model is partner based, allowing organizations to grow their global presence without the burden of a significant addition of resources.
TranzActive is actively partnering with developers, agencies and companies to create global engagement. Based on a review of opportunity, TranzActive offers its technologies on an equity and fee for license basis to create value for the Intertainment Media organization.
TranzActive also partners with Yappn Corp. to offer professional services, product development, online marketing initiatives and other services on a best practices basis.
About Intertainment - www.intertainmentmedia.com
Intertainment is one of Canada's leading technology incubators and is focused on developing, nurturing and investing in both North American and global technologies and companies that provide technology solutions for brands and consumers alike. Intertainment also owns and operates a number of key properties and has investments in leading edge technologies and social media platforms, including TranzActive, CapThat, theAudience, Lexifone and Yappn Corp (www.yappn.com) (OTCQB:YPPN). For more information on Intertainment and its properties, please visit www.intertainmentmedia.com.
Intertainment is headquartered in the Toronto, Canada region, with offices in New York and Los Angeles, CA and is listed on the TSX Venture Exchange under the symbol "INT" (TSXV: INT) and in the US under the symbol "ITMTF". Intertainment is also traded in Europe on the Open Market (Regulate Unofficial Market) of the Frankfurt Exchange under the symbol "I4T".
Contact
Mr. Anthony R. Pearlman, COO
info@intertainmentmedia.com
Forward Looking Information
This news release contains certain "forward-looking information" within the meaning of such statements under applicable securities law, including statements relating to the expected use of proceeds of the Offering.
Forward-looking information is frequently characterized by words such as "plan", "expect", "project," "intend," "believe," "anticipate," "estimate," "may," "will," "potential," "proposed," and other similar words, or statements that certain events or conditions "may" or "will" occur. These statements are only predictions. Forward-looking information is based on the opinions and estimates of management at the date the statements are made, and are subject to a variety of risks and uncertainties and other factors that could cause actual events or results to differ materially from those projected in the forward-looking statements. Actual timelines associated may vary from those anticipated in this news release and such variations may be material. Actual results could differ materially because of factors discussed in the management discussion and analysis section of our interim and most recent annual financial statements or other reports and filings with the TSX Venture Exchange and applicable Canadian securities regulators. The Company undertakes no obligation to update forward-looking statements if circumstances or management's estimates or opinions should change, unless required by law. The reader is cautioned not to place undue reliance on this forward-looking information.
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.
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SOURCE: Intertainment Media Inc.