SOURCE: Augme Technologies, Inc.

Augme Technologies, Inc.

December 16, 2010 08:28 ET

Augme Technologies, Inc. Expects Third Quarter Revenues to Exceed $850,000

Recognizable and Deferred Sales to Exceed Second Quarter Levels by More Than 40% as Revenues From Company's AD LIFE™ Mobile Marketing Platform Continue to Exceed Expectations

NEW YORK, NY--(Marketwire - December 16, 2010) - Augme Technologies, Inc. (OTCBB: AUGT) the only patented and innovative end-to-end mobile marketing platform, today announced that it expects to report revenues in excess of $850,000 for its third fiscal quarter, which ended November 30, 2010. In addition, deferred revenue, which is recognized over the period of contract performance, increased to over $400,000 at the end of the third quarter, from less than $100,000 at the end of the previous quarter. This represents a sequential increase in recognizable revenues of approximately 20% relative to second quarter reported revenues of $718,717 and a sequential increase in deferred revenues of over 300% relative to deferred revenues of $99,071 on August 31, 2010. When combined, recognizable and deferred sales exceeded $1,150,000 in the most recent quarter, for an increase of over 40% when compared with recognizable and deferred sales of $817,788 in the second fiscal quarter.

"Our third quarter results reflect the traction in sales we continue to achieve with our major brand clients utilizing our AD LIFE™ (Augme Mobile) interactive mobile marketing services platform," stated Paul Arena, Chief Executive Officer of Augme Technologies, Inc. "Our ability to create, deliver, manage and evaluate interactive mobile marketing campaigns represents a powerful tool for manufacturers of national and regional brand-name products and their advertising agencies. This should allow high rates of sales growth to continue as the world's largest consumer product companies recognize the value of targeting consumers through their smartphones and other mobile devices at the time purchasing decisions are being made. Our goal remains to build AD LIFE™ into the premier mobile marketing solution for healthcare and consumer product companies as the platform is adopted for multiple brands under individual master contracts."

Business Outlook

The Company forecasts that recognizable revenues should exceed $12 million during the next twelve months, based on an estimate that approximately 50% of current bookings will convert into revenues within that period of time. The Company defines "current bookings" as the combination of signed agreements, initialed statement-of-work documents, indications of interest and commitments for AD LIFE™ services that have been received from, but not yet delivered to, approximately two-dozen Fortune 500 companies, many of which are Fortune 100 companies.

Intellectual Property Portfolio

Augme's solutions are supported by its intellectual property portfolio, and the Company now owns four patents and has additional patents pending with the United States Patent & Trademark Office ("USPTO"). The patents contain a broad range of claims covering the Company's proprietary technologies and products. Augme also owns four trademarks protecting the names of its products and identity in the marketplace.

Litigation Update

Tacoda, Inc., AOL, LLC, Time Warner, Inc., and Platform-A, Inc.

In 2007, Augme filed a lawsuit against Tacoda, Inc. in the U.S. District Court, Southern District of New York, alleging infringement of Augme-owned U.S. Patent Nos. 6,594,691 ("Method and System for Adding Function to a Web Page") and 7,269,636 ("Method and Code Module for Adding Function to a Web Page").

In Augme's case against Tacoda, Inc.; AOL, LLC; Time Warner, Inc. and Platform-A, Inc., Judge Robert W. Sweet endorsed a letter on August 26, 2010 that was dated August 17, 2010, requesting that the Court assign to Magistrate Judge Ronald L. Ellis the above action for settlement purposes. On October 28, 2010, a mediation hearing was held before Magistrate Judge Ronald L. Ellis. It was also ordered that all proceedings relating to the mediation hearing were to be held confidential, that all information disclosed between the parties would be subject to the strict confidentiality requirements of mediation hearing practices, and that this confidentiality would carry on subsequent to the meeting.

Yahoo! Inc.

On November 16, 2009, Augme filed a Complaint against Yahoo! Inc. for patent infringement relating to U.S. Patent Nos. 6,594,691 and 7,269,636, which patents relate to methods and systems for delivery of selected content from a network to a web page visitor. The matter is currently pending in the United States District Court for the Northern District of California, Case No. C-09-5386 EDL. The remedies available to Augme, if successful, include an injunction prohibiting any infringing actions, an award of damages adequate to compensate for the infringement, and costs of the action. 

On November 12, 2010, Yahoo! filed a motion for summary judgment with the United States District Court for the Northern District of California. On December 3, 2010, an order was issued by Magistrate Judge Joseph C. Spero denying the Yahoo! motion without prejudice. On December 3, 2010, Yahoo! filed a Notice of Motion and Motion for Leave to File Amended Answer with Additional Counterclaims and to join WorldTalk Radio, LLC as a Counterclaim Defendant. Augme denies that any merit exists with respect to these counterclaims and will continue to pursue the prosecution of Yahoo!'s infringement against the Company's patent claims.

About Augme Technologies, Inc.

Augme Technologies, Inc. (OTCBB: AUGT) is the technology and services leader in interactive media marketing platforms that enable marketers and agencies to seamlessly integrate brands, promotions, video and other digital content through the power of the Internet and mobile communications. Augme's intuitive new media marketing platforms allow companies to quickly create, deploy and measure rich-media, interactive marketing campaigns across all networks and devices. Campaigns built on Augme marketing platforms strengthen customer loyalty by delivering personalized brand experiences to customers where they work, play and live. By leveraging the power of its AD LIFE™ mobile marketing solution with complementary services such as video content delivery (BOOMBOX®) and ad network provisioning (AD SERVE™), Augme connects brands and content to consumers in a network of mobile and multimedia experiences that enables companies and their marketing agencies to build sales and monetize brand interactions. Augme is headquartered in New York City. For more information, visit www.augme.com.

Augme Technologies, Inc.™, Augme™, AD LIFE™, BOOMBOX®, AD SERVE™ and the Augme logo are trademarks of Augme Technologies, Inc. All rights reserved.

Forward-Looking Statements

This release includes forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. All statements regarding our expected future financial position, results of operations, cash flows, financing plans, business strategy, products and services, competitive positions, growth opportunities, plans and objectives of management for future operations, as well as statements that include words such as "anticipate," "if," "believe," "plan," "estimate," "expect," "intend," "may," "could," "should," "will," and other similar expressions are forward-looking statements. All forward-looking statements involve risks, uncertainties and contingencies, many of which are beyond our control, which may cause actual results, performance, or achievements to differ materially from anticipated results, performance, or achievements. Factors that may cause actual results to differ materially from those in the forward-looking statements include those set forth in our Form 10-K and other reports filed with the SEC. We are under no obligation to (and expressly disclaim any such obligation to) update or alter our forward-looking statements, whether as a result of new information, future events or otherwise.

Contact Information

  • Contact:
    For Augme Technologies, Inc.
    Investor Relations Contact:
    RJ Falkner & Company, Inc.
    Investor Relations Counsel
    (830) 693-4400
    info@rjfalkner.com or ir@augme.com

    Public Relations Contact:
    Rachel Carr, SVP
    DKC Public Relations
    (212) 981-5253
    rachel_carr@dkcnews.com