Pixman Nomadic Media Inc.

Pixman Nomadic Media Inc.

November 26, 2007 08:45 ET

Pixman Nomadic Media Releases First Quarter Financial Results

The Company achieves 112% year-over-year revenue growth

MONTREAL, QUEBEC--(Marketwire - Nov. 26, 2007) - Pixman Nomadic Media Inc. (TSX VENTURE:PMN) announced today results for its first quarter of fiscal year 2008 confirming strong performance: 112% year-over-year total revenue growth.

For the three months ended September 30, 2007 ("Q1 2008"), the Company registered total revenue of $703,734 compared to total revenue of $331,849 for the corresponding period last year. This represents a growth of 112%. Moreover, Q1 2008 results already represent over 50% of total revenue in fiscal year 2007. The strong Q1 2008 performance was led by the Nomadic Media business segment where total revenue was of $633,806 representing an increase of 232.7% versus the same period last year. The main contributor to this year-on-year growth was sales realized through the Corporation's newly implemented "value added reseller" (VAR) business model in Europe. In addition, some significant media campaigns were executed in North America including one involving 100 Pixman Systems deployed simultaneously in a major retail chain across Canada. Total licensing revenue for the first quarter of fiscal 2008 was $59,098 versus $141,357 for the same period last year. The prior year period's revenue included approximately $100,000 of sales of Pixman Systems to international licensees. "The reduction in revenue in the licensing business segment reflects the Company's strategic priority to focus on Nomadic Media and implementation the VAR business model both in North America and internationally," explained Philippe Gribeauval, the new President of Pixman Nomadic Media. "The VAR model is proving to be very effective in terms of reducing variable operating expenses and improving the profitability of media event execution," Mr. Gribeauval added.

"We have now reported two successive quarters with total revenue well above the prior year periods confirming that our previously announced VAR business model is starting to make traction, particularly in Europe," said Daniel Langlois, Chairman of the Board and Chief Executive Officer of the Company. "We have taken steps to reduce our operating expenses and reviewed our organizational structure in order to be better positioned to execute the VAR business model in North America based on the successful implementation in Europe," he added.

"We expect more VAR agreements to be signed in North America within the next months which should accelerate our revenue growth in the coming quarters," Mr. Gribeauval said.

Pixman Nomadic Media recorded a net loss of $658,080 or $0.02 per common share. This compares to a net loss of $372,531 or $0.03 per common share for the comparable period last year. The higher net loss is mainly attributable to higher business development and operating expenses incurred by the Company over the period both for building of the sale and marketing organization and higher general and administrative expenses related to becoming a public company.

About Pixman Nomadic Media Inc.

Pixman Nomadic Media Inc. (www.pixman.com) is a Montreal-based tactical marketing company. The foundation of Pixman's business, through its wholly-owned subsidiaries Pixman Corporation, Pixman Europe S.L. and Pixman U.S.A. Inc., is the Pixman® patented wearable multimedia system worn by brand ambassadors. Pixman creates innovative technology-based marketing experiences that bring new ways to promote brands, products and services. Pixman provides turnkey media services throughout North America and Europe, and licenses its products to partners active in over 25 countries around the world. Pixman is listed on the TSX Venture Stock Exchange (www.tsx.com) under the symbol "PMN".

Forward Looking Statements

This news release contains forward-looking information. These statements relate to future events or future performance and reflect management's current expectations and assumptions. Such forward-looking statements reflect management's current beliefs and are based on information currently available to management of Pixman Nomadic Media Inc. A number of factors could cause actual events, performance or results to differ materially from the events, performance and results discussed in the forward-looking statements. These forward-looking statements are made as of the date hereof and Pixman Nomadic Media Inc does not assume any obligation to update or revise them to reflect new events or circumstances.

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

Contact Information

  • Pixman Nomadic Media Inc.
    Jake Michael Chadwick, CFO
    +1-514-845-9669, ext. 224
    Toll free: 1-877-PIXMAN-1
    Investor Relations:
    Evolution Group Inc.
    Sylvain Archambault
    Toll free: 1-866-703-4887