Multiplied Media Corporation
TSX VENTURE : MMC

Multiplied Media Corporation

April 21, 2010 21:06 ET

Multiplied Media Reports Year End 2009 Results

CALGARY, ALBERTA--(Marketwire - April 21, 2010) - Multiplied Media Corporation (TSX VENTURE:MMC), an award-winning, Calgary-based provider of mobile local search services, today reported results for its fourth quarter and year ended December 31, 2009.

Sales and licensing revenues for the year and quarter ended December 31, 2009 were $288,537 and $65,778 respectively compared to $69,768 and $15,314 for the same periods in 2008. The net loss for the year ended December 31, 2009 was $3,933,335, or $0.04 per basic share, compared to a net loss of $7,029,353, or $0.11 per basic share, in the same period of 2008.

Summary Results of Operations – For the Year Ended December 31
  2009 2008
Total Revenue $288,537 $69,768
Net loss from operations $(3,933,335) $(7,029,353)
Loss per share – Basic $(0.04) $(0.011)
Total assets $1,631,922 $653,780
Total liabilities $767,664 $754,060
Outstanding Shares – Basic 145,997,346 72,558,296
Outstanding Shares – Fully Diluted 176,744,384 81,093,994

The Company strengthened its balance sheet at December 31, 2009 with a net working capital surplus of $415,881 compared to December 31, 2008 net working capital deficit of $(637,606). The Company saw revenue growth of over 300% in 2009 and decreased expenditures by 41%.

The Poynt user base grew substantially throughout 2009.

Poynt quarterly user growth - 2009
Date User Count
January 1 35,199
March 31 106,898
June 30 545,194
September 30 1,099,041
December 31 1,648,896

Throughout the year, Poynt users performed 40M queries for businesses, people and movies. At March 30, 2010, active Poynt users were each performing an average of 13 queries per month.

Additional milestones achieved in the year-ended December 31, 2009 for the Poynt application including a standalone restaurant section, featuring the ability to make restaurant reservations using Open Table, the addition of a people search feature, the launch of Poynt for new BlackBerry smartphones such as the BlackBerry® Storm™, Poynt's presence on BlackBerry® App World when it launched and geographic expansion to Germany and the United Kingdom.

Poynt received international accolades including Most Innovative Consumer Application at GSMA's Mobile Innovation Grand Prix, EMEA Tournament; BlackBerry® Alliance Program's EMEA Innovation Awards 2009 in the 'Life on BlackBerry' category; Best Location Based Service at the Canadian New Media Awards (CNMAs); and, the 2009 Mobile Star Awards™ in the Navigation or Location Based Services Award in the category for Consumer Applications.

The Company commenced negotiations of, and received regulatory approval for, the proposed acquisition of UnoMobi Inc. ("UnoMobi"). A definitive agreement was signed on February 4, 2010 and the transaction closed on February 16, 2010. UnoMobi brought with it two distinct assets: first, a patent portfolio including two patents having priority to 1999 concerning pushing of commercial offers to users of GPS-equipped portable wireless devices who provided limited profile data; and second, an Email-to-SMS patent-pending technology that provides push email service to basic mobile phones. In addition to contracts UnoMobi currently has in place, it is expected that UnoMobi's technology will assist in providing the Company with greater distribution of the Poynt application.

A mobile distribution agreement with Idearc Media was signed, commercializing the Poynt application in the United States. An agreement was also signed with V-Enable to commercialize the restaurant section of the application through sponsored listings.

A further agreement was signed with V-Enable to deliver a version of Poynt for feature phone handsets to U.S. wireless carriers. This version will deliver feature-rich, smartphone-like functionality to feature phones, which accounted for 72% of new handset sales in the U.S. in Q2 2009.

Financing activities for the year consisted of a second closing on a non-brokered private placement resulting in gross proceeds of $498,200; a non-brokered private placement resulting in gross proceeds of $583,000; and a private placement led by Research Capital Corporation yielding gross proceeds of $2,918,623.

Marketing and public relations activities are being planned for May 2010 to support the launch of Poynt onto the iPhone platform as well as continued acquisition and retention strategies to ensure a strong user base.

Research and development surrounding the delivery of Poynt to additional mobile platforms continues, with plans being put forward for Android development. In addition to Android, further platforms such as Nokia and Windows Mobile are being reviewed for market opportunity.

About Multiplied Media Corporation

Multiplied Media (www.multiplied.com) develops and operates mobile applications that enhance the consumers' ability to connect with the people and businesses most important to them. Their multi-award-winning application Poynt (www.poynt.com) is a mobile local search service available over BlackBerry smartphones and iPhone and iPod Touch devices. Through agreements with directory and vertical content providers in Canada, the United States and Europe, Poynt simplifies finding and connecting with businesses, retailers and events wherever and whenever it is most convenient for the consumer. The MyInboxNow offering, from newly acquired UnoMobi (www.unomobi.com), enables low-end feature phones to behave like smartphones for email access. MyInboxNow is available to mobile operators as a private label solution. Headquartered in Calgary, AB, Canada, Multiplied Media trades on the TSX Venture Exchange under the symbol MMC.

Forward-looking Statements

This news release contains forward-looking statements relating to: the anticipated release of a new version of the Poynt application pursuant to the agreement signed with V-Enable, including the anticipated functionality and areas for geographic expansion; planned marketing and public relations activities to support the launch of Poynt onto the iPhone platform; development for additional mobile platforms including Android, Windows Mobile and Nokia; expectations around the integration of UnoMobi's technology providing greater distribution for the Poynt application; and other statements that are not historical facts. Such forward-looking statements are subject to important risks, uncertainties and assumptions. The results or events predicated in these forward-looking statements may differ materially from actual results or events. As a result, you are cautioned not to place undue reliance on these forward-looking statements.

These forward-looking statements are based on certain key assumptions regarding, among other things: future technological developments; the cost of expanding product lines; the impact of increasing competition; the continuity of existing business relationships; the successful development, implementation and execution of the Company's new Poynt application and the integration of UnoMobi's technology; conditions in general economic and financial markets; the ability to complete previously announced transactions; ability to obtain all necessary regulatory approvals; and our ability to obtain financing on acceptable terms. Material risk factors that could cause actual results to differ materially from the forward-looking information include, but are not limited to: the deteriorating economic and market conditions that could lead to reduced spending on information technology products; competition in our target markets; potential capital needs; management of future growth and expansion; the development, implementation and execution of the Company's strategic vision; risk of third-party claims of infringement; protection of proprietary information; customer acceptance of the Company's existing and newly introduced products; and the success of the Company's brand development efforts; risks associated with strategic alliances; reliance on distribution channels; product concentration; need to develop new and enhanced products; failure to obtain necessary regulatory approvals; potential product defects; our ability to hire and retain qualified employees and key management personnel; and risks associated with changes in domestic and international market conditions and the entry into and development of new markets for the Company's products.

The forward-looking statements contained in this press release are made as of the date of this press release. Except as required by law, the Company disclaims any intention and assumes no obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise. Additionally, the Company undertakes no obligation to comment on expectations of, or statements made by, third parties in respect of the forward-looking statements identified above.

The BlackBerry and RIM families of related marks, images and symbols are the exclusive properties and trademarks of Research In Motion Limited. Apple App Store and iPhone are trademarks of Apple Inc., registered in the U.S. and other countries. Windows is a registered trademark of Microsoft Corporation in the United States and other countries.

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.

Contact Information

  • Multiplied Media Corporation
    Andrew Osis
    CEO & Director
    403-444-4102
    andrew.osis(at)multiplied.com
    or
    Multiplied Media Corporation
    Margaret Glover-Campbell
    Vice President, Marketing & Public Relations
    403-444-4105
    margaret.glover-campbell(at)multiplied.com
    or
    Multiplied Media Corporation
    Raymond Ng
    Director, Investor Relations
    403-444-4113
    raymond.ng(at)multiplied.com
    www.multiplied.com