Lingo Media Corporation
OTC Bulletin Board : LMDCF

Lingo Media Corporation

November 30, 2007 19:43 ET

Lingo Media Reports Third Quarter Results and Business Update

Revenues Increase 783% & Losses Narrow Sharply

TORONTO, ONTARIO--(Marketwire - Nov. 30, 2007) - Lingo Media Corporation (TSX VENTURE:LM) (OTCBB:LMDCF) ("Lingo Media" or the "Company"), announces its financial results for the nine months ended September 30, 2007.

The summary of the financial results for the nine-month period ended September 30, 2007 compared with the same period in 2006, reported in Canadian dollars, is as follows:

Nine Months Ended September 30th
2007 2006
Revenue $ 2,533,504 $ 286,869
Net loss $ (587,442) $ (836,865)
Loss per share $ (0.02) $ (0.03)

In its complete unaudited interim financial statements for the third quarter and the nine months ended September 30, 2007, Lingo Media said today its year to date revenues increased 783% to $2,533,504 as compared to $286,869 for the same period in 2006. In its efforts of cost rationalization, the Company successfully reduced its losses from $836,865 to $587,442. More importantly as a percentage of revenue, the losses dramatically decreased from 291% of revenue to 23% of revenue. The Management Discussion & Analysis for the period, and the annual audited financial statements for the year ended December 31, 2006 are available at

Business Highlights:

- In October 2007, Lingo Media completed the acquisition of Speak2Me Inc. ("Speak2Me"), a new media company that has developed "cutting edge" software combining speech recognition and avatar technologies for the teaching and practice of spoken English.

- The Company plans to launch the Speak2Me software as an online social networking service for English language learners in China in Q1 2008.

- In China, Lingo Media continues to maintain its leading market position in the English language learning school publishing market, with more than 193 million copies of published titles to date,

- In Canada, Lingo Media continues to expand its revenues through A+ Child Development Ltd., , a subsidiary it acquired effective October 1, 2006, that distributes early childhood education materials. During the first nine months, the Company's revenue from this segment totalled $ 2,271,409.

- Subsequent to the end of the third quarter of 2007, the Company closed a private placement offering of subscription receipts for gross proceeds of $775,000 at $2.00 per share with a $6.00 warrant. The proceeds of the offering were used for debt retirement and general corporate and working capital purposes.

"We are excited about Lingo Media's acquisition of Speak2Me. Speak2Me is a natural extension of Lingo Media's business in China. It is the key to unlocking the substantial investment the Company has made in China over the past 6 years." noted Khurram Qureshi, Lingo Media's Chief Financial Officer.

About Lingo Media

Lingo Media is transitioning to a new media company focusing on English language learning for the world, market currently focused on deployment in China. As a publisher and distributor of educational programs in China since 2001, Lingo Media has an established presence in the Chinese educational market of more than 200 million English language students. To date, over 193 million units from Lingo Media's library of more than 300 program titles have been published and sold in China.

In Canada, Lingo Media specializes in the field of early childhood cognitive development, through its subsidiary A+ Child Development Ltd. ("A+"). A+ distributes educational materials along with its unique curriculum. A+ has been operating in Canada for over ten years through its five offices in Calgary, Edmonton, Vancouver, Mississauga and Toronto. Lingo Media plans to introduce A+'s learning system and products to parents of pre-school children in China.

Portions of this press release include "forward-looking statements", which may be understood as any statement other than a statement of historical fact. Forward-looking statements contained in this press release are made pursuant to the safe harbour provisions of the Private Securities Litigation Reform Act of 1995. These statements are based on management's current expectations and are subject to uncertainty and changes in circumstances. Actual results may vary materially from management's expectations and projections expressed in this press release. Certain factors that can affect the Company's ability to achieve projected results are described in the Company's Annual Report 20-F and other reports filed with the Securities and Exchange Commission.

The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this press release.

Contact Information

  • Lingo Media
    Michael Kraft
    President & CEO
    (416) 927-7000, ext. 23 or Toll Free: 1-866-927-7011
    (416) 927-1222 (FAX)
    Lingo Media (China)