SENSIO Presents its 2013-2014 Third Quarter Financial Results

SENSIO Technologies Inc. ("SENSIO" or "the Company") (TSX VENTURE:SIO) presented
today its third quarter financial results for 2013-2014. After three quarters,
the Company's revenues had climbed to $596K from $316K in the same period last
year. Third quarter revenues were reported at $156K, up $43K or 38% compared to
the same quarter last year. 


For the third quarter, operational expenses amounted to $665K, a decrease of
$433K or 39.4% versus the same period last year. This is the direct result of
the cost-cutting program implemented by SENSIO. During the three-month period,
the Company recognized an impairment of $340K of advances on royalties that had
previously been paid to studios as part of 3DGO!(TM) operations. This
non-monetary expense was recognized to reflect the unrecoverable portion of
advance royalty payments based on the Company's assessment. That depreciation
included, losses for the quarter amounted to $896K, a drop of $85K compared to
last year's quarter. When we exclude the impairment expense, the loss amounted
to $555K. 


"As demonstrated by our results, the third quarter has been a turning point for
SENSIO, said Nicholas Routhier, President and Chief Executive Officer. "The
continuous growth of the number of 3DGO! users and rental revenue is
encouraging, and the upcoming deployment on Panasonic 3DTVs in the United States
will add a significant pool of potential new users in the near future. In
parallel, our cost-cutting program has allowed us to significantly reduce our
costs, and this has had a tangible impact during the first quarter. Moreover,
our renegotiation efforts with studios regarding content distribution rights
have already been fruitful, with the renewal of our deal with Disney, securing
access to quality 3D movies for our service, under terms that better reflect our
anticipated level of activity. Finally, the recent exercise of warrants combined
to those confirmed and in process have added an additional 1,515,600$ to the
cash position of the company, further solidifying our balance sheet. By taking
into account the progression of 3DGO!, our patent licensing activities, our cost
reduction efforts and the impact of our renegotiations with studios, we can say
that we are getting closer to our objective of reaching a break-even point in
regard to our treasury during the next financial year." 


Highlights of the third quarter ended February 28, 2014 



--  Revenues of $156,039 in the third quarter and $596,049 in the nine-month
    period compared to $112,792 in the third quarter and $316,089 in the
    comparative nine- month period; 
    
--  3DGO! revenues amounted to $37,938 up of 108.1% compared to previous
    quarter; 
    
--  Decrease in operating expenses, excluding the cost of sales, of 39.4%
    compared to the same quarter last year and of 20.4% over the nine-month
    period; 
    
--  Issuance of a Japanese patent related to frame rate conversion for
    3DTVs. 



Home consumer market 

In the third quarter of fiscal 2014, licence revenues of the Company remained
stable at $118,101 compared to $112,792 for the quarter ended February 28, 2013
an increase of $5,309. Royalty revenues received during the quarter from
licensing continued to progress but this increase was offset by a decrease in
revenues generated by the embedment of technologies in products. These ad-hoc
revenues are subject to fluctuations from quarter to quarter.


"We anticipate a gradual reduction of the sales of Vizio 3DTVs over the course
of the next year, following their decision not to produce any new models, which
will have a negative impact on our licensing fee revenues", has commented Mr.
Routhier. "We are focusing on the adoption of 3DGO! by more manufacturers, which
will allow us to stimulate the adoption of our SENSIO Hi-Fi 3D technology and
the payment of licensing fees related to the decoding of content in SENSIO Hi-Fi
3D. The Panasonic deployment represents a first step in that direction, and over
the course of the next quarters, we aim to add more manufacturers in order to
stimulate the growth of licensing revenues. We are therefore positive in regard
to the progression of technology revenues in the future."


Content rental: continue growth in number of users and rentals 

In the third quarter, revenues from movie rentals amounted to $37,938, an
important rise when compared to the previous two quarters of activity of the
service ($18,228 in the second quarter and $8,469 in the first quarter). In the
same period, the number of 3DGO! users climbed from 8,019 to 16,191, an increase
of 102%. At third quarter end, there were 6,425 active users, up from 2,693 at
the end of last quarter. In the third quarter, active users rented 6,583 paid
titles, compared to 2,877 in the previous quarter.


"The performance of 3DGO! over the course of the last quarter is extremely
encouraging and we are delighted of the progression of the number of users every
week," has declared Mr. Routhier. "Over the past few months, we have refined our
marketing approach and our understanding of the needs and consumption habits of
our users, which has been reflected in the activity rate of current users. We
are still on target to launch with Panasonic during the current quarter, and
thanks to our acquired experience with the Vizio launch, we are confident to be
able to significantly increase the number of users of our service. Over the next
quarters, our efforts will be concentrated on increasing our base of potential
users by adding new manufacturers, and potentially expanding to new territories.
We are very optimistic regarding the future progression of this important
commercial activity." 


Summary of Financial Results 

In the third quarter of fiscal 2014, the Corporation posted revenues of $156,039
compared to $112,792 for the quarter ended February 28, 2013, an increase of
$43,247 or 38.3%. The growth in 2014 revenue is mainly explainable by an
increase of $37,783 in royalty revenues received during the quarter reduced by a
decrease of $ 32,710 in revenues generated by the embedment of technologies in
products. The launch of the 3DGO!(TM) video-on-demand platform contributed to
$37,938 during the quarter ($0 in the comparative quarter). 


For the three months period ending February 28, 2014, the cost of sales amounted
to $372,455 in comparison to $2,052 for the compared quarter one year ago. This
increase of $370,403 is mainly attributable to the impairment of advance royalty
payments of $340,169 incurred and paid previously to studios for operations
related to 3DGO!(TM). This non-monetary expense is recognized to reflect the
advance on royalties that won't be recoverable according to the Corporation
estimation. These disbursements done in the past quarters gave credibility to
the 3DGO!(TM) platform and ultimately allowed the Corporation to sign agreements
with Vizio and Panasonic. The management is confident that other manufacturers
will follow in the coming quarters. 


If we exclude the cost of sales from the operating expenses for the quarter, the
operating expenses were reduced by $432,672 or 39.4% when compared to
corresponding quarter of the previous year. The selling expenses totalled
$378,737 compared to $552,706 in the corresponding quarter the previous year, a
decrease of $173,969 or 31.5%. Lower payroll, fees paid to consultants,
traveling fees and expenses for trade shows offset by higher costs for the
launch of 3DGO!(TM) in the three-month period explains the variance. 


The Company's research and development expenses amounted to $60,807 compared to
$147,049 in the third quarter of the previous year, a decrease of $86,242 or
58.6%. The decrease is explainable by a lower payroll and by a higher R&D tax
credit received compared to what was provisioned for last financial year. 


Finally, administrative expenses for the quarter ended February 28, 2014
amounted to $225,801 compared to $398,262 for the third quarter of the previous
year, a decrease of $172,461 or 43.3%. This decrease is mainly explainable by a
reduction in salaries, professional fees and of the depreciation assets expense.


SENSIO's net loss for the quarter ended February 28, 2014, amounted to $895,874
or $0.01 per share compared to $980,761 or $0.02 per share as at February 28,
2013, which represents a decrease of $84,887 or 8.7%.


Selected Financial information 



------------------------------------------------------
                          Fiscal year 2014            
               ---------------------------------------
                         Q3           Q2           Q1 
------------------------------------------------------
                                                      
                                                      
Revenues            156,039      129,522      310,479 
Net loss           (895,874)  (1,163,646)    (729,917)
Basic and                                             
 diluted loss                                         
 per share            (0.01)       (0.02)       (0.01)
Basic and                                             
 diluted                                              
 weighted                                             
 average number                                       
 of shares       89,719,342   76,971,787   63,019,342 
------------------------------------------------------

----------------------------------------------------------------------------
                                                                Fiscal year 
                               Fiscal year 2013                        2012 
               -------------------------------------------------------------
                        Q4          Q3          Q2          Q1           Q4 
----------------------------------------------------------------------------
                                                                            
                                                                            
Revenues            76,267     112,792      92,433     110,864       90,651 
Net loss          (976,170)   (980,761) (1,010,819)   (895,248)  (1,322,159)
Basic and                                                                   
 diluted loss                                                               
 per share           (0.02)      (0.02)      (0.02)      (0.02)       (0.03)
Basic and                                                                   
 diluted                                                                    
 weighted                                                                   
 average number                                                             
 of shares      63,019,342  63,019,342  60,696,110  52,512,544   52,487,797 
----------------------------------------------------------------------------



For more details, please see the Management Discussion and Analysis and the
Financial Statements for the reference period on the SENSIO Website:
www.sensio.tv.


About SENSIO Technologies Inc. (SENSIO): 

Founded in 1999, SENSIO Technologies Inc. (www.sensio.tv) is a pioneer in the 3D
industry. Its vision, expertise and state-of-the-art solutions, based on
diversified stereoscopic image-processing technologies, have been trusted by
some of the biggest names in the broadcasting and consumer electronics sectors,
as well as for live 3D events in cinemas, to power numerous industry firsts,
initiate new business models and generate immediate revenue with a distinctive
3D offering.


SENSIO enables its clients to deliver the best possible 3D experience for the
end-user through a broad portfolio of licensed products, based on quality,
content, usability and compatibility. These include its flagship, award-winning
technology, SENSIO(R) Hi-Fi 3D, the premium-quality frame-compatible format.


SENSIO's technologies are the object of patents and intellectual property
protection proceedings worldwide. SENSIO is listed on the Toronto TSX Venture
Exchange (SIO). 


Caution Concerning Forward-Looking Statements 

Certain statements made in this press release that are not historical facts are
forward-looking statements and are subject to important risks, uncertainties and
assumptions, both general and specific, which give rise to the possibility that
actual results or events could differ materially from our expectations expressed
in or implied by such forward-looking statements. As a result, we cannot
guarantee that any forward-looking statement will materialize and readers are
cautioned not to place undue reliance on these forward looking statements. For
more exhaustive information on these risks and uncertainties, the reader should
refer to the risk factors described in the management's discussion and analysis
of SENSIO for the quarter ended February 28, 2014. The forward-looking
statements contained in this press release represent our expectations as of the
date hereof. We disclaim any intention and assume no obligation to update or
revise any forward-looking statements. Forward-looking statements are presented
for the purpose of providing information about management's current expectations
and plans and allowing investors and others to obtain a better understanding of
our anticipated operating environment. Readers are cautioned that such
information may not be appropriate for other purposes. 


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.


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FOR FURTHER INFORMATION PLEASE CONTACT: 
SENSIO Technologies
Eric Choquette
Chief Financial Officer
[phone] x17
[e-mail]