D-BOX Technologies Inc.

D-BOX Technologies Inc.

November 24, 2009 11:00 ET

D-BOX announces its second quarter results

LONGUEUIL, QC, Nov. 24 - D-BOX Technologies Inc. (DBO.A on the TSX venture exchange) announces revenues of $908,795 for the second quarter of its 2010 fiscal year which ended September 30, 2009 which compares to revenues of $1,004,910 for the second quarter of the 2009 fiscal year. The net loss for the quarter amounts to $1,553,403 ($0.0154 per share) which compares to a net loss of $1,484,603 ($0.0159 per share) for the corresponding quarter of last year. For the first six months of the 2010 fiscal year, D-BOX announces revenues of $2,097,574 which compares to revenues of $2,138,443 for the first six months of the 2009 fiscal year. The net loss for the six-month period amounts to $2,967,904 ($0.0305 per share) which compares to a net loss of $2,546,425 ($0.0275 per share) for the corresponding period of last year.

Recent highlights

    - D-BOX continues its breakthrough in the commercial theatre market;

         - Presentation of four new feature presentations in the months of
           September, October and November 2009

         - As at September 30,2009 over 30,000 people had assisted to a
           representation of a movie embedded with D-BOX technology

         - 69 new installations announced after the end of the quarter,
           bringing the total number of systems to 237 for a growth rate
           exceeding 40%;

              - "Cinéma Beloeil", (26 motion units)
              - Galaxy Cannery (Las Vegas), (11 motion units)
              - Wehrenberg (St-Louis), (22 motion units)
              - Emagine Entertainment (Canton), (12 motion units)

    - The Corporation completes after the end of the second quarter a
      financing for a gross amount of $3,500,000 consisting of the issuance
      of 8,750,000 common shares and 4,375,000 purchase warrants. Each
      purchase warrant entitles the holder to purchase one additional common
      share of D-BOX at a price of $0.65 for an eighteen-month period ending
      January 23, 2011.

Commenting the quarterly accomplishments, Mr. Claude Mc Master, President and Chief Executive Officer of D-BOX stated: "We are very enthusiastic about the significant progress achieved in the last few months, especially in regards to the growing interest expressed towards D-BOX by commercial theatre owners. We intend to continue our deployment in this new market while obtaining the best possible content from supporting studios."

Selected Financial Highlights

    For the three-month period
     ended September 30
     (in dollars, except
     loss per share)                     ------------------------------------
                                                  Q2/2010            Q2/2009
                                             September 30,      September 30,
                                                     2009               2008

    Revenues                                      908,795          1,004,910
    Net loss and comprehensive loss            (1,533,403)        (1,484,603)
    Basic and diluted loss per share             ($0.0154)          ($0.0159)

    Balance sheet data                              As at              As at
                                             September 30,          March 31,
                                                     2009               2009

    Cash and cash equivalents                   4,273,213          2,982,806
    Short-term investments                              -          1,614,677
    Total short-term liquidities                4,273,213          4,597,483

    Additional information in regards to the three and six-month periods
    ending September 30, 2009

The financial information in regards to the three and six-month periods ended September 30, 2009 should be read in conjunction with the Corporation's financial statements and interim management and discussion analysis dated November 23, 2009. These documents are available at www.sedar.com


In general, D-BOX will focus its development initiatives on three major areas: movie theatres, video games, and home theatre.

In the commercial theatre market, the Corporation intends to continue signing agreements with new exhibitors, to increase the number of motion units (MFX seats) installed at existing ones and to obtain additional content from movie studios. In regards to the home entertainment segment which includes the video gaming and home theatre markets, the Corporation aims to expand its distribution network mostly thru new OEM (Original Equipment Manufacturers) agreements aimed to complement direct sales efforts (Video Games). D-BOX believes that further tapping into these markets could drive significant revenues while boosting recognition of its technology.

About D-BOX

D-BOX Technologies designs and manufactures leading edge high-technology motion systems mainly suited to the needs of the entertainment industry. With its unique patented technology, D-BOX Motion Code(TM), it uses motion codes specifically programmed for each film, TV program or video game, which are sent to a motion generating system integrated within either a platform or a seat. The resulting motion is perfectly synchronised with all onscreen action, creating an unmatched realistic, immersive experience. To date, D-BOX Motion Code(TM) is available on over 850 titles. Accordingly, many prominent Hollywood studios have started embedding D-BOX Motion Code(TM) on selected high definition Blu-ray(TM) releases. By reaching agreements with the leaders of both the motion picture and gaming industries, D-BOX's award-winning motion technology is gradually proving itself as a new global standard in the entertainment world.

D-BOX is a publicly traded company listed on the TSX Venture exchange under the symbol DBO.A. For further information please see www.d-box.com.

D-BOX(R) is a registered trademark and D-BOX Motion Code is a trademark of D-BOX Technologies Inc. Other names are for informational purposes only and may be trademarks of their respective owners.

Disclaimer in regards to Forward-Looking Statements

Certain statements included herein, including those that express management's expectations or estimates of our future performance constitute "forward-looking statements" within the meaning of applicable securities laws. Forward-looking statements are necessarily based upon a number of estimates and assumptions that, while considered reasonable by management at this time, are inherently subject to significant business, economic and competitive uncertainties and contingencies. Investors are cautioned not to put undue reliance on forward looking statements. We disclaim any intent or obligation to update publicly these forward-looking statements, whether as a result of new information, future events or otherwise.

"Neither 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."

%SEDAR: 00012304EF

Contact Information

  • Mr. Luc Audet, Chief financial officer, D-BOX Technologies Inc., (450) 442-3003, extension: 296, laudet@d-box.com; Mr. Marc Jasmin CMA, Partner, Jasmin-Dumais Financial Communications Inc., (514) 231-2360, marc@comjamais.com