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Accelerize New Media, Inc. Reports Record Revenues & Profits in 2012

Company Achieves Full Year Profitability With Triple Digit Revenue Growth in FY 2012

NEWPORT BEACH, CA–(Marketwire – Mar 7, 2013) – Accelerize New Media Inc. ( OTCBB : ACLZ ), owner and operator of Cake Marketing(www.cakemarketing.com), a highly scalable SaaS (Software-as-a-Service) platform providing a comprehensive and complete online tracking solution for advertisers — from acquisition through conversion, today announced financial results for its fiscal year ended December 31, 2012.

“Growing industry demand for our innovative SaaS platform and capitalizing on the true power of our recurring revenue business model enabled Accelerize to achieve its first full year of profitability, with record revenues that grew 146% year over year,” said Accelerize New Media Inc. Chairman and CEO Brian Ross. “Given the increased number of new clients and greater usage among existing clients, we fully expect this momentum to continue through 2013 as we continue to scale our business both domestically and internationally.”

“Reaching profitability was an important milestone, providing validation for our business model and enabling us to prudently reinvest in R&D and build shareholder value,” added Mr. Ross. “With advertisers demanding a measurable return on investment for their marketing initiatives, we are confident that the R&D investments we have made and continue to make will result in ongoing and significant market share gains as the industry embraces performance-based marketing.”

Financial Highlights for FY 2012
Revenues: Total revenues increased 146% from $2,363,073 to $5,800,622 year over year, driven organically by a 117% increase in the average number of clients and a 13% increase in the average usage fees charged per client. We expect future revenues to be driven by ongoing organic growth, international expansion, and increased sales efforts.

Operating Income: Operating income reached $380,937, compared to an operating loss of $(853,881) year-over-year, due to higher revenues and contained expenses. We plan to continue managing our costs and scaling revenues to improve operating margins.
Net Income: Net income increased to $492,948, compared to a loss of $(1,177,095), during the prior year period, due to revenues that grew faster than expenses.

Cash Flow: Cash provided by operations increased to $166,059 compared to cash used in operations of $(648,137) a year ago. Approximately $933,034 was invested in research and development. We continued to increase our expenditures to support our additional customers and the scope of our activities, which increased our total operating expenses from $3,216,954 in 2011 to $5,419,685 in 2012. Free cash flow, which amounts to cash flows from operations less capital expenditures, totaled $124,289 for 2012.

About Accelerize New Media, Inc.
Accelerize New Media, Inc. owns and operates Cake Marketing, a highly scalable SaaS (Software-as-a-Service) platform providing a comprehensive and complete online tracking solution for advertisers — from acquisition through conversion. Easy-to-use wizards and real-time reporting guide users through every step of managing and optimizing campaigns. From traffic providers to advertisers, tracking to data distribution, Cake Marketing offers the most robust platform to manage your business and analyze the performance of your marketing relationships. Seamless integration with other services through a developed API eliminates bottlenecks while increasing ROI for advertisers.

Use of Forward-looking Statements
This press release may contain forward-looking statements from Accelerize New Media, Inc. within the meaning of the “safe harbor” provisions of the Private Securities Litigation Reform Act of 1995 and federal securities laws. For example, when we describe our momentum moving into 2013, industry demand for the Cake Marketing platform, our ongoing and significant market share gains, and our future revenues, we are using forward-looking statements. These forward-looking statements are based on the current expectations of the management of Accelerize New Media only, and are subject to a number of factors and uncertainties that could cause actual results to differ materially from those described in the forward-looking statements. The following factors, among others, could cause actual results to differ materially from those described in the forward-looking statements: changes in technology and market requirements; our technology may not be validated as we progress further; we may be unable to retain or attract key employees whose knowledge is essential to the development of our products and services; unforeseen market and technological difficulties may develop with our products and services; inability to timely develop and introduce new technologies, products and applications; loss of market share and pressure on pricing resulting from competition, which could cause the actual results or performance of Accelerize New Media to differ materially from those contemplated in such forward-looking statements. Except as otherwise required by law, Accelerize New Media undertakes no obligation to publicly release any revisions to these forward-looking statements to reflect events or circumstances after the date hereof or to reflect the occurrence of unanticipated events. For a more detailed description of the risk and uncertainties affecting Accelerize New Media, reference is made to Accelerize New Media’s reports filed from time to time with the Securities and Exchange Commission.

Penny Stocks – A Simple Definition for Beginners

Essentially, a penny stock is one that trades for pennies. It can be an extremely volatile market, as investors expect a large return for a small amount of input. These types of stocks lack liquidity, have limited following and disclosure, small capitalization and also have large bid-ask spreads. However if you do it right, you can reap the rewards and they tend to be traded over the counter, using pink sheets and OTCBB. Penny stocks are usually traded outside of the major market exchanges, due to the small amounts that they trade with and it takes a lot of research and education in the subject to really become knowledgeable about them.

In some countries, penny stocks are also known as cent stock. While there is really no definition of the penny stock that is accepted all over the world, the definition above is pretty standard. Many people put money into penny stocks, as well as other opportunities such as Bullion Vault. With any investment opportunity, it is important to make sure that you have as many facts as possible before making a decision. If you get it right, there can be good rewards, however it is definitely worth making sure that the opposite does not happen.

The OTCBB, or the OTC Bulletin Board provides over-the-counter equity securities and services to their members. To become a member, you must subscribe and then you can enjoy all the benefits that will be available to you. The equity securities that the OTCBB provides, are not available on the NASDAQ or national stock exchange, so are therefore unique to subscribing customers. Penny stocks tend to have limited listing requirements and not very many regulatory and fulling standards. They usually belong to small companies with speculative shares that are not liquid.

Destiny Media Q2 Revenues Grow 86% Over Prior Year

VANCOUVER, British Columbia, April 14 /PRNewswire-FirstCall/ — Destiny Media Technologies (OTC Bulletin Board:DSNY.obNews) is pleased to announce results for the quarter ended February 28, 2010. Q2 EBITDA was $193,398 on total revenue of $869,864.  During the sixth month period, the company generated net income of $449,849 and EBITDA of $528,109 on revenues of $1,917,392.

The company continues to grow revenue and income through expanded use of the Play MPE® system where revenue during the quarter showed a 106% increase over the same quarter in the prior year.  This growth has been seen across all segments including an increase in North American revenue of 40% and a 535% increase in international revenue. International revenue represents 41% of Play MPE® business for the quarter.

“The increase in our revenue is the result of the continued acceptance of the Play MPE® system which appears to be the system of choice in the industry.  After years of developing the system and network of users, we are very encouraged by the continued increase in Play MPE® revenue.  Each quarter our revenue continues to grow by approximately 100% over the previous year’s quarter.   Over the past three and half years, Play MPE® revenue has grown by an average of 135% higher over the previous year’s quarter and in twelve of those quarters Play MPE® revenue has grown by at least 90%,” said CFO Fred Vandenberg.

A share repurchase program began during the quarter and to date the company has repurchased a total of approximately 520,000 shares for cancellation.  In addition, the company has reduced the number of $0.22 warrants outstanding by 600,000 by way of an exchange  for 336,000 shares and repurchased 150,000 options with a strike price of $.25 for payment of $30,000.

9 Top China Plays

By Glen Bradford, GlenBradford.com

The financial crisis has sent the markets plummeting. For those who believe that companies that make more money than other companies should be priced higher than other companies, boy do I have some bargain bin deals for you. In the past 6 months, I’ve hand sorted through over 5000 companies. The steals are all in China.

1) China Architectural Engineering (NASDAQ: CAEI) specializes in high-end curtain wall systems (including glass, stone and metal curtain walls), roofing systems, steel construction systems, eco-energy saving building conservation systems and related products, for public works and commercial real estate projects.

The company just got added to the Halter USX China Index.

Trading at $37.24M with a book value of $78.2M for a company that does specialty construction projects looks like a steal, especially when they made $22.6M in the first 9 quarters of 2008.

They lowered their guidance for Q4/2008 and they are eating some cost overruns. Recent news includes that they were awarded two new contracts for projects valued at $80 million in Dubai and Singapore.

The company also reported that its project backlog has increased to a new record of $245M.

2) China Yongxin Pharmaceuticals (OTC BB: CYXN) has three segments: the wholesale of pharmaceuticals and other medical-related products, the operation of retail drugstores, and the cultivation, processing of ginseng.

Currently trading at $2.19M when they made $4.0M in the first 3 quarters of 2008 and $2.6M in the first 3 quarters of 2007 is absurd. Not to mention that the book value is $12.5M.

Yongxin also just put up a new, more flashy website. The investor message boards were very concerned when their old website went down. I sat by and let the people who don’t understand website development sell out. Same thing happened with New Dragon Asia (NWD) below.

3) New Dragon Asia (OTC BB: NWD) is engaged in the milling, sale and distribution of flour and related products, including instant noodles and soybean-derived products, to retail and wholesale customers throughout China. I find trading at $9.14M with a book value of $74M mildly entertaining. The company made $14.12M in 2008.

In my opinion, investors are shaky because their operating margins got squeezed by the ridiculous expansion in commodity prices. Good news, the whole bubble collapsed. As I see it, this is an opportunity for the company to make some huge numbers in 2009, not to mention that they’ve been religious about growing revenues over the past 5 years with high predictability.

Their website crashed about a month ago and the stock price hit the chopping block, getting cut by more than half. Look for the catalyst at $0.83 of the Halter USX China Index.

4) Gold Horse International (OTC BB: GHII) is principally engaged in three business sectors in China: construction, residential and commercial real estate development, and management and operation of the Inner Mongolia Jin Ma Hotel.

Top line revenue guidance for 2009 is $90M and the company is priced at $2.63M.

In 2008, they made $4.53M on revenues of $66.91M. The book value is about $25M. Gold Horse is located in Hohhot, China; a city that has been growing at 23.5% for the past 7 years.

Gold Horse has contracted to build a wind power manufacturing plant. This company is located in the middle of china, not on the outskirts where the exports have fallen and hurt the economy.

There are two issues that I see. The first is that their cash is low and they are burning through cash to maintain operations. The second is that there are some big shareholders that look to be slowly selling the stock down.

5) Orsus Xelent Technologies (AMEX: ORS) is engaged in the business of designing, manufacturing and distributing cellular phones for retail and wholesale distribution.

What we have here is a company trading at $7.44M that has a book value of $42.4M. In the last 9 months they made $6.34M.

According to their annuals, they are trying to advance along with technology into the 3G markets and are targeting China’s rural population. They grew 16% in 2008 even with the economic crisis slowing them down in the end of the year.

6) Lotus Pharmaceuticals (OTC BB: LTUS) manufactures branded drugs and distributes them along with products produced by third-party manufacturers throughout China. Lotus also just came out with a new website in the last week.

Trading at $8.06M with a book value of $38.3M and making $6.3M in the first 9-months of 2008 makes Lotus extremely attractive. There is downside for the risk-averse. Lotus East has historically funded its capital expenditures from their working capital and has advised us that they believe this capital is sufficient for their current needs.

Lotus East has contractual commitments for approximately $65.5 million related to a Technology Transfer Agreement and the construction of the new manufacturing facility. If Lotus East is not successful in obtaining all of the funding necessary to complete the construction of the new facility, it would lose the approximately $17,219,000 spent to date, including the $17,000,000 for the deposit on the land use rights which is non-refundable.

That said, it’s still trading below book value and has several huge projects in the works setting the stage for huge growth potential.

7) China Sun Group High Tech (OTC BB: CSGH) mainly engages in the production and sales of cobaltosic oxide and lithium cobalt oxide, both anode materials used in lithium ion rechargeable batteries in the People’s Republic of China.

Trading at $12.29M with a book value of $27.45M with a 2008 annual net income of $6.74M, I immediately started digging deeper into the growth potential of this company. Not to mention that every quarter in 2008 trounced the comparable quarter in 2007.

I don’t really mind reading headlines like: Quarterly Revenue Up 42% to $7.6 Million; Net Income Increases 145% to $1.8 Million. You can’t find headlines like those with your average run of the mill blue chip.

8.  Asia Cork (OTC BB: AKRK) is a rapidly growing leader in the development, manufacturing and marketing of cork-based building materials.

Asia Cork is currently valued at $4.64M, even though it has a book value of $17.1M and pulled down $2.54M of profit in the first 3 Quarters of 2008.

In my conversations with flooring experts, Cork seems to be trending back into fashion as a “green” alternative.

Another set of great headlines: Asia Cork Q3 ’08 Revenue Up 117% to $8.96M; Net Income Up 220% to $1.40M.

The issue here is the daily volumes are low and Asia Cork isn’t off it’s 52-week high as much as I’d like it to be.

9) China Kangtai Cactus Bio-Tech (OTC BB:CKGT) is principally engaged in the production, research and development (R&D), sales and marketing of products derived from cacti.

Again, I see a big deal here since the company is trading at $3.93M with a book value of $22.69M and a yearly net income of $2.1M including a -1.09M adjustment in Q1 2008.

The downside is that there are rumors that the market maker, NITE, has a lot of excess shares.

For the three months ended September 30, 2008, revenues increased by $2,229,213 or 56.4% to $6,184,685 from $3,955,472 in the corresponding period of the prior year. The increase in revenues was attributable to the fact that the company is continuing to expand its productions and distribution, and its products are better accepted by the Chinese market customers.

Bottom Line: In an environment like this, where game theory is prevailing, there’s no question in my mind that a lot of these companies are likely to become more attractive in the short term. The long term tradeoffs and value price tradeoffs warrant further investigation. Price is what you pay and value is what you get.

Disclaimer: I own NWD, GHII, CAEI, ORS, and LTUS in my accounts and the accounts I manage. I am working around Ameritrade to acquire exposure to CYXN and AKRK. I also plan on purchasing the other companies mentioned in this article.