VANCOUVER, BC, June 16,
2022 /CNW/ - BBTV Holdings Inc. (TSX: BBTV) (OTCQX:
BBTVF) (Frankfurt: 64V) ("BBTV" or
the "Company"), the leading creator monetization company with a
mission to help creators become more successful, provides a
corporate update following the launch of a comprehensive cost
optimization initiative.
The Company's cost optimization plan has resulted in a workforce
reduction and a more focused resource allocation towards its key
high margin revenue drivers, specifically across Plus Solutions
including Content Management, Direct Advertising Sales and Mobile
Gaming Apps.
"This review has been focused on ensuring that our core
businesses deliver the best results," commented Shahrzad Rafati, Chairperson and CEO, BBTV. "We
have had to make some hard choices, but this is the right moment to
focus on the lines of business that create the greatest value for
our customers, shareholders, and ecosystem partners."
The cost optimizations reflect a reduction of total headcount by
approximately 14%. Shareholders can expect to see the
positive impact of these initiatives on performance starting from
Q3 2022 onwards.
Ben Groot, CFO of BBTV commented:
"The cost optimizations we've effected have been designed in such a
way as to not materially impact the Company's growth plans. The
Company continues to focus on generating higher margin revenues
which expedites BBTV's path to profitability and positive cash
flow."
The Company will continue to review the performance of its
operations for opportunities to operate more efficiently and
further close the gap to profitability and provide shareholders
with material updates thereto.
About BBTV
BBTV is a global media and technology company headquartered in
Vancouver, Canada. The Company's
mission is to help content creators become more successful. With
creators ranging from individuals to global media brands, BBTV
provides comprehensive, end-to-end Solutions to increase viewership
and drive revenue powered by its innovative technology, while
allowing creators to focus on their core competency – content
creation. In January 2022, BBTV had
the fourth most unique monthly viewers among digital platforms with
more than 600 million globally, who consumed more than 35 billion
minutes of video content [1]. (www.bbtv.com)
[1] Calculations and classifications made by BBTV based on data
from Comscore's "Top 12 Countries = January
2022 comScore Video Metrix Media Trend – Multi-Platform –
Top 100 Video Properties Report"; Top 12 countries represent ~50%
of world's digital population.
Forward Looking Statements
This press release contains "forward–looking information" and
"forward-looking statements" within the meaning of applicable
securities laws (collectively, "forward-looking information").
Forward-looking information is not information about historical
facts but instead represents the Company's intentions, beliefs,
plans, goals, objectives and strategies regarding future events and
results, and includes certain financial outlooks.
Financial outlooks, in particular, are provided to aid in
understanding management's goals and expectations regarding future
financial matters, and, for all the reasons set out below, may not
be achieved. Such financial outlooks may not be appropriate
for other purposes. Forward-looking information contained in this
press release includes statements that the Company's cost
optimization review has been focused on ensuring that its core
businesses deliver the best results; shareholders can expect to see
the positive impact of these initiatives on performance starting
from Q3 2022 onwards; the cost optimizations effected have been
designed in such a way as to not materially impact the Company's
growth plans; the Company continues to focus on generating higher
margin revenues which expedites BBTV's path to profitability and
positive cash flow; and the Company will continue to review the
performance of its operations for opportunities to operate more
efficiently and further close the gap to profitability and provide
shareholders with material updates thereto.
Forward-looking information is necessarily based on a number of
estimates and assumptions that the Company considered appropriate
and reasonable as of the date such information is given, including
but not limited to the Company's assumptions that its current
growth plans will not change in any material respect; that its
internal financial forecasts and models, including its estimates of
costs and revenue, are accurate; that the Company will enter into
an increasing number of both Base and Plus Solutions agreements on
terms at least as favourable to the Company as its existing
agreements; and that YouTube Shorts will be monetized soon.
Forward-looking information is subject to known and unknown risks,
uncertainties, and other factors, many of which are beyond the
Company's control, that may cause actual results, performance or
achievements to be materially different from those expressed or
implied by such forward-looking information, including but not
limited to the risk that the Company's assumptions on which its
forward-looking information is based may not be accurate; that the
Company's cost optimization program may fail to achieve expected
results or to show results by Q3 2022 or later; that the Company
has a history of losses and negative cash flow; that the Company's
agreements with platforms, creators or others may terminate early
or not be renewed either on similar terms or at all; that the
Company's Plus Solutions may not continue to be attractive to
creators and may not realize our expectations; the Company's need
for timely performance by its creators and strategic partners; the
Company's need for additional capital, which is not assured on a
timely basis or at all; the Company's significant reliance on its
relationship with one digital platform; and the impact of the
continuing COVID-19 pandemic; as well as the factors discussed
under "Risk Factors" in the Company's Annual Information Form dated
March 29, 2022 filed on SEDAR at
www.sedar.com and in the Company's other filings with the
Canadian securities regulatory authorities at www.sedar.com.
The Company does not undertake any obligation to update any
forward–looking information, whether as a result of new
information, future events or otherwise, except as expressly
required by applicable law.
Contacts:
Media Relations
Mark Funston
Head of Marketing and PR
778-288-4950
mfunston@bbtv.com
Investor Relations
ir@bbtv.com
Ron Shuttleworth
Partner
Oak Hill Financial Inc
(647)–500–7371
rshuttleworth@oakhillfinancial.ca
BBTV-C
View original content to download
multimedia:https://www.prnewswire.com/news-releases/bbtv-provides-update-following-cost-optimization-review-301569879.html
SOURCE BBTV Holdings Inc.