theScore Reports F2018 Q3 Results

TORONTO, July 11, 2018 /CNW/ - theScore, Inc. (TSX Venture: SCR) ("theScore") today announced the financial results for the three and nine months ended May 31, 2018 in accordance with International Financial Reporting Standards ("IFRS").

Revenue for the quarter grew to $7.2 million compared to $6.4 million in the same period in F2017. Revenue for the first nine months of F2018 grew to $22.6 million compared to $21.6 million for the same period in F2017. Q3 F2018 revenue growth was accomplished thanks to strong performances from theScore's Canadian direct sales and US programmatic businesses.

EBITDA loss for the three months ended May 31, 2018 improved to $44K, compared to a loss of $2.2 million for the same period the previous year. EBITDA loss for the first nine months of F2018 improved to $30K compared to a loss of $4.0 million for the same period the previous year. EBITDA loss for the three and nine months ended May 31, 2017 included an impairment loss on the disposal of a non-core investment of $0.8 million.

Average monthly active users of theScore app on iOS in Q3 F2018 were up 9% compared to the same period the previous year, including growth in May of more than 12% year-over-year. iOS growth was offset by lower monthly active users of theScore app on Android. As a result, total average monthly active users of theScore mobile app in Q3 F2018 were 3.9 million, consistent with the same period the previous year. Average monthly app sessions-per-user were 93 versus 96 for Q3 F2017.

"It's been an exciting period for theScore," said John Levy, CEO and Founder of theScore. "We've seen continued strong app user growth on our iOS platform, a new monthly record of more than 50 million sports fans reached on our social and emerging platforms, and last week's launch of theScore on Bixby to increase our presence on Android devices.

"This quarter also saw the legalization of sports betting in the United States, which presents an exciting opportunity for us. The state-by-state roll-out of this, and the different models being explored within each individual state, means the US sports betting landscape remains a fluid one. theScore is uniquely positioned to capitalize on this opportunity thanks to our mobile sports expertise, combined with our large and highly-engaged audience. We look forward to sharing more on our plans in due course."

theScore will be hosting a conference call at 4:30pm EST on Wednesday, July 11. Management will review the Company's Q3 F2018 results, followed by a question and answer session.

To participate, please call into the conference approximately five minutes prior to it beginning.

Conference Call Dial-In
Toronto: ([phone]
Toll Free North America: ([phone]

The conference call will also be webcast live. Register now here.

A replay of the call will also be available post-event at:

Instant Replay
Toronto: ([phone]
Toll Free: North America ([phone]
Playback Passcode: 328842 #

Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

About theScore Inc.
theScore's mission is to create highly-engaging digital products and content that empower the sports fan's experience. Its flagship mobile app 'theScore' is one of the most popular multi-sport news and data apps in North America, serving millions of fans a month. The Company also creates innovative digital sports experiences through its web, social and esports platforms.

Forward-looking (safe harbour) statement
Statements made in this news release that relate to future plans, events or performances are forward-looking statements.  Any statement containing words such as "may", "would", "could", "will",  "believes", "plans", "anticipates", "estimates", "expects" or "intends" and other similar statements which are not historical facts contained in this release are forward-looking, and these statements involve risks and uncertainties and are based on current expectations. Such statements reflect theScore's current views with respect to future events and are subject to certain risks, uncertainties and assumptions. Many factors could cause the Company's actual results, performance or achievements to be materially different from any future results, performance or achievements that may be expressed or implied by such forward looking statements, including among other things, those which are discussed under the heading "Risk Factors" in the Company's Annual Information Form and Short-form Prospectus as filed with the TSX Venture Exchange and available on SEDAR at www.sedar.com and elsewhere in documents that theScore files from time to time with securities regulatory authorities. Should one or more of these risks or uncertainties materialize, or should assumptions underlying the forward-looking statements prove incorrect, actual results could differ materially from the expectations expressed in these forward-looking statements. The Company does not intend, and does not assume any obligation, to update these forward-looking statements except as required by applicable law or regulatory requirements.

theScore, Inc.
Condensed Consolidated Interim Statements of Financial Position
(in thousands of Canadian dollars)
(unaudited)
		As at
		May 31,			August 31,
		2018		2017
ASSETS
Current assets:
	Cash and cash equivalents	$	7,896		$	10,114
	Accounts receivable	7,268			5,578
	Prepaid expenses and deposits	886			1,238
		16,050			16,930
Non-current assets:
	Property and equipment	1,529			1,789
	Intangible assets	5,956			6,292
	Tax credits recoverable	1,616			1,616
		9,101			9,697
Total assets		$	25,151		$	26,627
LIABILITIES AND SHAREHOLDERS' EQUITY
Current liabilities:
	Accounts payable and accrued liabilities	$	3,633		$	2,801
Non-current liabilities:
	Deferred lease obligation	436			490
Shareholders' equity		21,082			23,336
Commitments
Total liabilities and shareholders' equity		$	25,151		$	26,627

 

theScore, Inc.
Condensed Consolidated Interim Statements of Comprehensive Loss
Three and nine months ended May 31, 2018 and 2017
(in thousands of Canadian dollars, except per share amounts)
(unaudited)
		Three months ended,					Nine months ended,
		May 31, 2018			May 31, 2017		May 31, 2018			May 31, 2017
Revenue		$	7,194		$	6,357	$	22,645		$	21,596
Operating expenses:
	Personnel	4,044			4,084		12,649			13,222
	Content	367			391		1,292			1,394
	Technology	795			610		2,237			1,889
	Facilities, administrative and other	1,307			1,566		4,158			4,741
	Marketing	560			1,000		1,927			2,954
	Depreciation of property and equipment	105			121		311			358
	Amortization of intangible assets	855			799		2,643			1,786
	Stock based compensation	165			192		412			656
		8,198			8,763		25,629			27,000
Operating loss		(1,004)			(2,406)		(2,984)			(5,405)
Finance income, net		110			239		206			346
Impairment of investment		-			(760)		-			(760)
Net and comprehensive loss		$	(894)		$	(2,927)	$	(2,778)		$	(5,819)
Loss per share - basic and diluted		$	0.00		$	(0.01)	$	(0.01)		$	(0.02)

 

theScore, Inc.
Condensed Consolidated Interim Statements of Cash Flows
(in thousands of Canadian dollars)
(unaudited)
			Nine months ended May 31,
			2018		2017
Cash flows used in operating activities
		Net and comprehensive loss	$	(2,778)	$	(5,819)
	Adjustments for:
		Depreciation and amortization	2,954		2,144
		Stock based compensation	412		656
		Loss on investment	-		760
			588		(2,259)
	Change in non-cash operating assets and liabilities:
		Accounts receivable	(1,690)		(1,385)
		Tax credits recoverable	-		3,061
		Prepaid expenses and deposits	352		(104)
		Accounts payable and accrued liabilities	832		(2,042)
		Deferred lease obligation	(54)		4
			(560)		(466)
Net cash from (used) in operating activities			28		(2,725)
Cash flows from financing activities
	Exercise of stock options		112		47
Net cash from financing activities			112		47
Cash flows used in investing activities
	Additions to property and equipment		(51)		(109)
	Additions to intangible assets		(2,307)		(2,210)
	Tax credits recoverable		-		2,131
Net cash used in investing activities			(2,358)		(188)
Decrease in cash and cash equivalents			(2,218)		(2,866)
Cash and cash equivalents, beginning of period			10,114		15,554
Cash and cash equivalents, end of period			$	7,896	$	12,688

 

The Following reconciles to EBITDA
			Three months ended					Nine months ended
			May 31, 2018			May 31, 2017		May 31, 2018			May 31, 2017
Net and comprehensive loss for the period			$	(894)		$	(2,927)	$	(2,778)		$	(5,819)
Adjustments:
	Depreciation and amortization		960			919		2,954			2,144
	Finance expense (income), net		(110)			(239)		(206)			(346)
EBITDA (loss)			$	(44)		$	(2,246)	$	(30)		$	(4,021)

 

View original content with multimedia:http://www.prnewswire.com/news-releases/thescore-reports-f2018-q3-results-300679662.html

SOURCE theScore, Inc.

Copyright 2018 Canada NewsWire