2009

Cyberplex Announces Third Quarter Earnings Results

Cyberplex Announces Third Quarter Earnings Results

156% quarterly revenue growth year-over-year

 

TORONTO,  ON - (Marketwire - Tuesday November 10, 2009) Cyberplex Inc. (TSX:CX) a leader in online performance-based  advertising solutions, customer acquisition strategies and technology development, today announced its third quarter financial results for the period ended September 30th, 2009. 

 

§  Revenue of $28.2 million increased 156% from the same quarter in the previous year and 10% sequential growth quarter-over-quarter

§  Earnings before amortization, interest, taxes and foreign exchange of $2.7 million or 4 cents per share

§  Net cash balance of $21.4 million in addition to $7 million of available credit facilities

§  Working capital of $29 million

 

The Company has posted another strong quarter and continues to execute with its performance-based advertising model. "We have had great success breaking into the global advertising marketplace and expanding our international traffic.  As anticipated, our growing sales force continues to generate new revenues, and we are very pleased with this quarter's results" says Geoffrey Rotstein, President and Chief Executive Officer.

 

Cyberplex continued to attract and retain quality network partners, strengthen its key verticals, and deploy industry-leading online marketing solutions.  Geoffrey Rotstein added "We were able to achieve another quarter of strong performance by focusing on the quality of our distribution and increasing value for our advertisers in North America as well as internationally. The investments we have made in our network and people, will allow us to deploy new campaigns into new verticals and geographies more effectively, which we expect to benefit us in the upcoming  quarters."

 

2009 THIRD QUARTER HIGHLIGHTS

 

·         Recognized in the Deloitte Technology Fast 50TM as one of the 50 fastest growing technology companies in Canada

·         Expanded international markets substantially, with international revenue accounting for over 20% of total revenue this quarter

·         Selected by OgilvyOne Worldwide as the only pure CPA network partner to work with its marketing teams to develop and execute an American Express Canada small business card campaign

·         Worked with Steve Pagliuca, nominee for the Democratic Senate seat for State of Massachusetts, to provide mission critical marketing updates to his website and to initiate an online, performance-based marketing program to support his election campaign

·         Enhanced social media targeting capabilities, an important strategic initiative, with the launch of PokerFace - a Facebook casual gaming application which acquired over 325,000 targeted users in the first two weeks

 

Third quarter revenue of $28.2 million was an increase of 156% over the $11.0 million generated during the same period a year ago.  This growth resulted from the performance of the Web Advertising division and by focusing on key business verticals and through international market expansion. Gross margin this quarter was 28% compared to 30% last quarter and income before amortization, interest, taxes and foreign exchange, for the quarter increased to $2.7 million, up from $551,000 generated in the third quarter of 2008.  "Our financial model has continued to show leverage and provide a great foundation for growth.  We are very pleased with our results and will continue to invest in areas that position us well for the future" said Isaac Osiel, Chief Financial Officer.

 

 

CONFERENCE CALL DETAILS

 

Cyberplex will release its financial results for the third quarter of 2009, on Tuesday November 10th, 2009 after close of the market.  In conjunction with the release, Cyberplex will host a conference call on Tuesday November 10th, 2009 at 4:30 p.m. EST to discuss the financial results.

 

Geoffrey Rotstein, President and Chief Executive Officer, and Isaac Osiel, Chief Financial Officer, will discuss the results and the financial performance.  A question and answer session will be held at the end of the call.

 

The third quarter conference call is open to everyone and can be accessed by:

 

Phone: Dial in using the number below. Please call ten minutes in advance of the scheduled call.

 

Participant Dial-in Number:
Toll Free Number: 1-888-892-3255



Playback Instructions:

A replay of the conference call will be available as of 12:00 a.m. the same day, until midnight November 24th, 2009.

Toll Free Number: 1-800-937-6305

Playback Pass Code: 309643

 

 

CYBERPLEX

 

Cyberplex Inc. (www.cyberplex.com) is a leader in providing web advertising solutions, online customer acquisition strategies and technology development. The Company, through its subsidiaries, leverages its proprietary affiliate network, robust advertising relationships and experience, along with technology design, development and solutions specialists to develop and implement web-based programs and solutions that have a proven record in delivering results.

 

With over 15 years of experience serving Fortune 1000 clients including FTD, Xerox, Sony Canada, IAC, Atlantic Lottery Corporation, Vista Print, Aecon, Ontario Power Generation, Scotia Bank and the Royal Bank of Canada, Cyberplex is frequently the firm of choice for business leaders looking for effective and reliable online solutions. Cyberplex serves clients across Canada and the US and is headquartered in Toronto, Canada.

 

 

 

Forward-Looking Statements

 

This news release may contain forward-looking statements that are based on management's current expectations and are subject to known and unknown uncertainties and risks, which could cause actual results to differ materially from those contemplated or implied by such forward-looking statements.  Cyberplex is under no obligation to update any forward-looking statements contained herein should material facts change due to new information, future events or otherwise.

 

 

Alexzandria (Ali) Johnson, Marketing Manager

Cyberplex

1255 Bay Street, Suite 400| Toronto, Ontario |M5R 2A9

p: 416.260.4482  f: 416.597.2345

alexzandria.johnson@cyberplex.com

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