CHICAGO, IL--(Marketwired - August 13, 2014) - rVue Holdings, Inc. (OTCQB: RVUE), a premier advertising technology platform for digital place-based media, announced its financial results for the second quarter and year-to-date for the period ended June 30, 2014.
Second Quarter Highlights
- Second quarter core revenue increased 19.5% to a record $199,500, up from $167,000 in the year ago quarter, its highest to date. Core revenue increased 3.5% sequentially compared to $192,700 for the first quarter of 2014.
- Total revenue increased 13.8% to $231,000 from $203,000 in the second quarter last year. Sequentially, total revenue increased 1% compared to the $228,600 for the first quarter of 2014.
- Total expenses decreased 3.2% to $527,000 from $544,300, reflecting continued focus on controlling expense. Sequentially, total expenses were essentially flat compared to $528,600 in the first quarter of 2014, despite revenue growth. This was a result of upgrades to the organization (hired a new Director of Sales and Director of Media), a website re-launch and fees related to securing patent(s).
- Net loss for the second quarter was $(296,000), or less than one cent per share, a narrowing of 13.3% compared to a net loss of $(341,300), or $(0.01) per share, in the second quarter last year.
- Core revenue was $392,200 for the first six months of 2014, up 59.2% from $246,300 in the year ago period. Core revenue for the first six months of 2014 were 76.6% of core revenue for all of 2013.
- Total revenue was $459,600 for the six months ended June 30, 2014, up 35% from $340,500 in the first six months of 2013.
- Total expenses were $1.1 million year-to-date, down 45.4%, compared to $1.9 million a year ago.
- Net loss for the first six months of 2014 was $595,900, or $(0.01) per share, a narrowing of 62.6% compared to a net loss of $1.6 million, or $(0.01) per share in the year ago period.
"We continue to gain momentum, bolster our leadership position within this emerging category by building both our team and roster of clients," commented Mark Pacchini, President and CEO of rVue Holdings, Inc. "We posted our highest core revenue to date in the second quarter, our third quarter in a row for both year-over-year and sequential core revenue growth. Our progress is being driven by both incremental sales from existing customers, as well as new client wins. As the use of traditional media continues to decline and on-line advertising fails to meet expectations, advertisers and their agencies are forced to seek new ways to connect consumers with their brands. As a result, Digital Place-Based Media's (DPB Media) popularity has increased due to its effectiveness. Our new Director of Sales, Tony Dailey, brings significant and relevant industry experience to rVue. And since joining,
Tony has introduced rVue to new prospective clients who spend money on out-of-home media but may not be using DPB Media yet. This effort has more than doubled our pipeline of current and potential clients with whom we engage on a regular basis. We have proposals out to approximately 50 potential clients, and are confident this growing pipeline and expanding list of active proposals will help drive revenue growth in the near-term.
"We're able to handle this increased workload," Pacchini continued, "thanks to our new Director of Media, Sue Frejlich, who ensures the smartest and fastest response. Sue brings ample experience in all media, including digital, out-of-home and digital place-based media, building client business with every initiative."
Steve Schildwachter, Chief Marketing Officer, added: "Among the new clients we added this quarter was our first from a large ad agency holding company, demonstrating that the mainstream advertising industry continues to recognize the value of DPB Media. Our platform makes it easy for advertisers to utilize DPB Media, and this helps to fuel adoption. The record number of proposals we are submitting is indicative of the marketplace demand for the offerings in our core business model. We want to meet the growing demands of the digital place-based media industry."
Eric Kristoff, Chief Technology Officer, commented, "We made important progress on several fronts in Technology during the second quarter. Two updates to the proprietary platform were released in Q2, including productivity enhancements for media planning, campaign management and advertiser year-ahead planning. Network partners on our Technology Council have welcomed rVue's efforts to address long-lingering industry gaps. Collaboration is already under way on potential industry standards to improve operational efficiency for networks, and enhance advertiser assurance of ideal ad placement. Our IP strategy is increasing the alignment between day-to-day development and strategic IP management. We have successfully deployed an enterprise CRM solution, under budget and ahead of schedule, thanks to close coordination between Technology and Marketing."
Management will host a conference call to discuss its financial results at 4:30 p.m. ET today, August 13, 2014. Details are as follows:
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.