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Juniper Content Reports 3Q 2008 Results(Wireless News Via Acquire Media NewsEdge) Juniper Content, a media and entertainment company, announced its financial results for the quarter ended September 30. Juniper Content reported that net sales for the third quarter of 2008 grew 8 percent to $675,764 as compared to net sales of $628,273 for the third quarter of 2007. Net loss for the quarter ended September 30, was $2.12 million, or $(0.38) per share, as compared to a net loss of $1.49 million, or $(0.27) per share for the quarter ended September 30, 2007. The increased loss was due primarily to a reduction in the benefit from income taxes of $604,348 and an increase in depreciation and amortization expense of $258,993 offset by a reduction in selling, general and administrative expenses of $405,136. Sorpresa!, the Company's 24/7 Spanish-language children's television network and digital community, had approximately 1.171 million subscribers as of August 31, the most recently reported data, a gain of 25 percent from August 2007. During the quarter, Sorpresa! experienced growth both in existing cable systems as well as new launches on more than 10 systems, including Austin, TX, San Francisco, CA, and Tampa, FL, for an average monthly subscriber growth rate of 2 percent. At the end of September 2008, however, Sorpresa! was moved from basic carriage to the Hispanic Tier in communities in Dayton and Kettering, Ohio, resulting in a reduction of approximately 145,000 subscribers, based on preliminary estimates. Sorpresa! is generally carried on Hispanic Tiers across America, and the cable operator in these systems concluded that the population of Hispanics in these two specific markets, approximately 1.85 percent, did not support continued digibasic distribution. The Company believes that there are no other markets where similar circumstances exist at this time. "We continue to make progress in establishing Sorpresa!, the nation's fastest growing Spanish-language children's network, as the leading brand for Hispanic kids and their families," said Stuart B. Rekant, Chairman and CEO of Juniper Content "We are pleased with the recently announced facility transactions that reduced our operating expenses, eliminated our debt, and enables management to focus our efforts on the continued growth of Sorpresa! and its digital community. We ended the third quarter with $1.6 million in cash, and, despite the current challenging capital market environment, continue to conduct active discussions to secure additional financing to fund our growth and operations and pursue other potential strategic alternatives. Sorpresa! remains a unique and expanding vehicle for advertisers to access the dynamic Hispanic youth market." Third quarter 2008 Television Network sales increased 40 percent from the third quarter of 2007, equaling $427,381, or 63 percent of total revenue. Advertising revenue increased 309 percent from the third quarter of 2007 and Sorpresa! subscription revenue increased 25 percent from the third quarter of 2007 through growth of the Company's subscriber base. Third quarter 2008 Network Operations revenue decreased approximately 26 percent from the third quarter of 2007 to $238,149, or 35 percent of revenues, due to the loss of a client that was not replaced in 2008. Production Services revenue, while only a minimal contributor to revenue, increased from last year's level due to efforts to enhance the facility's competitive position. Pursuant to the previously announced facility transactions, revenue associated with Network Operations and Production Services ceased as of November 1. Investors can review Juniper Content's detailed historical pro forma statements of operations and balance sheet information for periods ended June 30, and prior that exclude results of these lines of business in Juniper Content's Current Report on Form 8-K filed with the Securities and Exchange Commission on November 7. Non-GAAP Measures Since Juniper Content merged with privately held Firestone Communications, Inc. ("Firestone"), Juniper Content's historical results for the nine months ended September 30, 2007 do not include the results of operations of Firestone for the period preceding the January 19, 2007 acquisition date. As such, reported results for the nine months ended September 30, are not comparable with results for the nine months ended September 30, 2007. To provide a basis for comparison, in addition to reported results for the nine months ended September 30, Juniper Content is presenting unaudited Non-GAAP combined results for 2008 and 2007 as if the merger with Firestone had been consummated as of January 1, 2007. Non-GAAP combined information is the arithmetic combination of the historical results of Firestone and Juniper Content for the nine months ended September 30, 2007. ((Comments on this story may be sent to [email protected])) ((Distributed on behalf of 10Meters via M2 Communications Ltd - http://www.m2.com)) ((10Meters - http://www.10meters.com)) Copyright ? 2008 Wireless News |