SOURCE: rVue Holdings, Inc.

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November 13, 2014 16:05 ET

rVue Reports 124% Increase in Core Revenue for Third Quarter of 2014

Core Revenue Reaches Highest Level To Date; Fourth Straight Quarter of Core Revenue Growth; Demand for Digital Place-Based Media Advertising Continues to Grow

CHICAGO, IL--(Marketwired - November 13, 2014) - rVue Holdings, Inc., (OTCBB: RVUE), a premier advertising technology platform for digital place-based media, announced its financial results for the third quarter and year-to-date for the period ended September 30, 2014.

Third Quarter Highlights

  • Third quarter core revenue increased 123.6% to its highest level to date -- $248,900 compared to $111,300 in the year-ago quarter. Core revenue increased 24.8% sequentially compared to the $199,500 in the second quarter of 2014.
  • Total revenue increased 90.5% to its highest level to date -- $280,400 from $147,200 in the prior-year third quarter. Sequentially, total revenue increased 21.4% compared to the $231,000 in the second quarter of 2014.
  • SG&A expenses increased 3.7% to $351,200 from $338,700 in the year-ago quarter, reflecting continued focus on controlling expense. Total expenses increased 37.2% to $570,500 from $415,900 due to higher network costs, which grew in parallel to revenue. Sequentially, SG&A expenses decreased 0.2% and total expenses increased 8.3% compared to the $527,500 for the second quarter of 2014.
  • Net loss for the third quarter was $(290,100), or less than one cent per share, an increase of 7.9% compared to a net loss of $(268,700), or less than one cent per share, in the third quarter last year.

Year-to-Date Highlights

  • Core revenue was $641,100 for the first nine months of 2014, up 79.3% from $357,600 in the year ago period. Core revenue for the first nine months of 2014 were 126.1% of core revenue for all of 2013.
  • Total revenue was $740,000 for the nine months ended September 30, 2014, up 51.8% from $487,600 in the first nine months of 2013.
  • SG&A expenses decreased 49.1% to $1.1 million from $2.1 million in the first nine months last year, while total expenses were $1.6 million year-to-date, down 30.8%, compared to $2.3 million a year ago.
  • Net loss for the first nine months of 2014 was $(886,000), or less than one cent per share, a narrowing of 52.4% compared to a net loss of $(1.9) million, or less than one cent per share in the year ago period.

"This was another quarter of progress for rVue, our fourth consecutive quarter of core revenue growth, demonstrating continued momentum for the company," commented Mark Pacchini, President and CEO of rVue Holdings, Inc. "We are gaining traction and this is bolstering our momentum. We are delivering a growing number of proposals, to an increasingly broad base of potential clients, and the proposals are for larger revenue opportunities. This progress is manifested in our improved revenue in the third quarter, and we believe additional near-term growth opportunities exist as we continue to execute and educate the marketplace."

"Traditional media continues to decline, and advertisers are seeking innovative alternatives to more effectively connect consumers with brands, particularly at the point of the buying decision," continued Mr. Pacchini. "Digital Place-Based Media (DPB Media) continues to demonstrate its effectiveness and as a result, advertisers are increasingly looking at this option. We are encouraged by our progress, but recognize we still have a great deal of work ahead of us. The industry is still in its infancy, but every day we are taking steps toward achieving our goals."

Steve Schildwachter, Chief Marketing Officer added: "New Business wins during the quarter include clients in the quick service restaurant, financial services and professional sports categories. As we expand into new verticals and add to our customer base, we are diversifying our revenue. The client base that contributed to our revenue in the third quarter included twice as many customers as in the second quarter. Our new Director of Sales, Tony Dailey, has made notable progress expanding our pipeline. In addition, we have been enhancing the talent within our organization, upgrading client-facing and market-facing leadership."

Eric Kristoff, Chief Technology Officer, commented: "We continue to focus on adding features and capabilities that enable the company to collaborate, sell, and create plans effectively. By adding more and better tools to help new sales and planning staff, and adding efficiency, we expect to ultimately drive sales growth."

Conference Call
Management will host a conference call to discuss its financial results at 4:30 p.m. ET today, November 13, 2014. Details are as follows:

About rVue
rVue Holdings, Inc. is an advertising technology company providing the digital distribution platform for the Digital Place-Based Advertising industry. The Company connects approximately one million digital screens across 190 networks delivering access to 250 million daily impressions in one simple platform. Backed by the industry's most intuitive and intelligent platform, rVue has the technology, data and expertise to connect brands and targeted consumers where and when it matters most. For more information, please visit http://www.rvue.com.

Forward Looking Statements
This press release contains "forward looking statements" within the meaning of the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. The statements contained in this press release that are not purely historical are forward-looking statements. Forward-looking statements give the Company's current expectations or forecasts of future events. Such statements are subject to risks and uncertainties that are often difficult to predict and beyond the Company's control, and could cause the Company's results to differ materially from those described. The Company is providing this information as of the date of this press release and does not undertake any obligation to update any forward looking statements contained in this press release as a result of new information, future events or otherwise. We have based these forward-looking statements largely on our current expectations and projections about future events and financial trends affecting the financial condition of our business. Forward looking statements should not be read as a guarantee of future performance or results, and will not necessarily be accurate indications of the times at, or by, which such performance or results will be achieved. Important factors that could cause such differences include, but are not limited to, the Risk Factors and other information set forth in the Company's Quarterly Report on Form 10-Q to be filed today and in our other filings with the Securities and Exchange Commission.

Contact Information

  • Company Contacts 
    Mark Pacchini
    President and CEO
    312-361-3368