GlobeNewswire

Bright Mountain Media Reports Financial Results for the 2nd Quarter and 6 months ended June 30, 2022; Revenues up 135% and 90%, respectively over the same periods.

Boca Raton, FL, Aug. 16, 2022 (GLOBE NEWSWIRE) -- Bright Mountain Media, Inc. (OTC Pink: BMTM), an end-to-end digital media and advertising services platform, today announced unaudited financial results for the second quarter and six months ended June 30, 2022.

Financial highlights:

  • 2nd Quarter 2022 revenue of $5.7M compared to $2.4M for the comparable prior period.
  • 6 months ended June 30, 2022 revenue of $9.2M compared to $4.8M for the comparable prior period.
  • Gross margins improved 25% for the 2nd Quarter 2022 compared to the comparable prior period; or from 39.3% to 49.3%.
  • Gross margins improved 21% for the six months ended June 30, 2022 compared to the prior period; or from 41.2% to 50.0%.
  • On an Adjusted Ebitda basis for the 2nd Quarter 2022, the Company earned $0.3M and for the six months ended June 30, 2022, the Company is essentially break-even.

“I am enthusiastic about the progress we have made as a company. We embarked on an aggressive plan for 2022 to reduce our costs while organically increasing both our audience and our revenue and we’ve achieved both of those objectives in a short time period.” said Matt Drinkwater, Chief Executive Officer of Bright Mountain Media. “Our investment into Mom Index, our first party data product, is paying dividends, both informing our editorial decisions and attracting advertisers. There is strong interest on the part of brands and agencies to connect with our powerful audience of Moms and household decision makers, evidenced by strong organic revenue growth.

“Looking ahead, we continue to seek potential acquisition candidates that fit our highly selective requirements, are accretive, reasonably valued and complementary to our core business. With a robust pipeline of product launches, the onboarding of multiple strategic partners, and the organic growth we are already experiencing, we are well positioned to drive our business forward for the remainder of 2022 and beyond,” concluded Drinkwater.

About Bright Mountain Media

Bright Mountain Media, Inc. (OTC Pink: BMTM) is an end-to-end digital media and advertising services platform, efficiently connecting brands with targeted consumer demographics through the removal of middlemen in the advertising services process. The Company’s publishing division, led by Wild Sky Media, offers significant global reach through engaging content and multicultural audiences, telling unique stories of our most diverse generation. The Company’s robust portfolio of websites includes Mom.com, CafeMom, LittleThings, MamásLatinas and many more. For more information, please visit www.brightmountainmedia.com.

Forward-Looking Statements for Bright Mountain Media, Inc.

This press release contains certain forward-looking statements that are based upon current expectations and involve certain risks and uncertainties. Such forward-looking statements can be identified by the use of words such as “should,” “may,” “intends,” “anticipates,” “believes,” “estimates,” “projects,” “forecasts,” “expects,” “plans,” and “proposes, ” and similar words. These forward-looking statements are not guarantees of future performance and are subject to risks, uncertainties, and other factors, some of which are beyond our control and difficult to predict and could cause actual results to differ materially from those expressed or forecasted in the forward-looking statements, including, without limitation, statements made with respect to expectations of our ability to successfully integrate acquisitions., and the realization of any expected benefits from such acquisitions You are urged to carefully review and consider any cautionary statements and other disclosures, including the statements made under the heading “Risk Factors” in Bright Mountain Media, Inc.’s Annual Report on Form 10-K for the fiscal year ended December 31, 2021 as filed with the Securities and Exchange Commission on June 13, 2022 and our other filings with the SEC. Bright Mountain Media, Inc. does not undertake any duty to update any forward-looking statements except as may be required by law.

Contact:
Bright Mountain Media, Inc
(561) 998-2440, ext 1012
Maria Montiglio
Maria@brightmountainmedia.com
www.brightmountainmedia.com

BRIGHT MOUNTAIN MEDIA, INC. AND SUBSIDIARIES
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE LOSS
(unaudited)

                 
  Three Months Ended  Six Months Ended 
  June 30, 2022  June 30, 2021  June 30, 2022  June 30, 2021 
             
Revenues                
Advertising $5,716,779  $2,433,415  $9,175,943  $4,833,135 
                 
Cost of revenue                
Advertising  2,899,290   1,476,108   4,589,905   2,842,951 
Gross profit  2,817,489   957,307   4,586,038   1,990,184 
                 
Selling, general and administrative expenses  3,443,199   4,749,835   7,330,558   9,024,269 
                 
Loss from operations  (625,710)  (3,792,528)  (2,744,520)  (7,034,085)
                 
Other income (expense)                
Gain on forgiveness of PPP loan  295,600   -   1,137,140   1,706,735 
Other income (expense)  39,059   (82,357)  38,902   39,473 
Interest expense  (722)  (75,211)  (735)  (336,206)
Interest expense - related party  (895,745)  (539,215)  (1,735,162)  (574,503)
Total other income (expense)  (561,808)  (696,783)  (559,855)  835,499 
                 
Net loss before tax  (1,187,518)  (4,489,311)  (3,304,375)  (6,198,586)
                 
Income tax expense            
                 
Net loss  (1,187,518)  (4,489,311)  (3,304,375)  (6,198,586)
                 
Preferred stock dividends                
Series A, Series E, and Series F preferred stock  (1,247)  (89,958)  (2,480)  (178,936)
                 
Net loss attributable to common shareholders $(1,188,765) $(4,579,269) $(3,306,855) $(6,377,522)
                 
Other comprehensive income (loss) $16,709  $(82,324) $16,790  $(113,613)
                 
Comprehensive loss $(1,172,056) $(4,661,593) $(3,290,065) $(6,491,135)
                 
Basic and diluted net loss per share $(0.01) $(0.04) $(0.02) $(0.05)
Weighted average shares outstanding - basic and diluted  149,159,461   120,353,074   149,130,579   119,652,844 

Non-GAAP financial measure

We report adjusted EBITDA as a supplemental measure to U.S. generally accepted accounting principles (“GAAP”). This measure is one of the primary metrics by which we evaluate the performance of our business, on which our internal budgets are based. We believe that investors have access to, and we are obligated to provide, the same set of tools that we use in analyzing our results. This non-GAAP measure should be considered in addition to results prepared in accordance with GAAP but should not be considered a substitute for or superior to GAAP results. We endeavor to compensate for the limitations of the non-GAAP measure presented by providing the comparable GAAP measure with equal or greater prominence and description of the reconciling items, including quantifying such items to derive the non-GAAP measure. We encourage investors to examine the reconciling adjustments between the GAAP and non-GAAP measure.

Our adjusted EBITDA is defined as operating income/loss excluding:

 non-cash stock option compensation expense;
 depreciation;
 non-restructuring severance expenses
 Non-recurring professional fees;
 acquisition-related items consisting of amortization expense and impairment expense;
 interest; and
 amortization on debt discount.

We believe this measure is useful for analysts and investors as this measure allows a more meaningful year-to-year comparison of our performance. Moreover, our management uses this measure internally to evaluate the performance of our business as a whole. The above items are excluded from adjusted EBITDA measure because these items are non-cash in nature, and we believe that by excluding these items, adjusted EBITDA corresponds more closely to the cash operating income/loss generated from our business. Adjusted EBITDA has certain limitations in that it does not take into account the impact to our statement of operations and comprehensive loss of certain expenses.

The following is an unaudited reconciliation of net loss to adjusted net loss and Adjusted EBITDA for the periods presented:

  For the Three Months Ended June 30,  For the Six Months Ended June 30, 
  2022  2021  2022  2021 
             
Net loss before tax $(1,187,518) $(4,489,311) $(3,304,375) $(6,198,586)
plus:                
Stock compensation expense  30,115   128,342   175,780   298,390 
Depreciation expense  8,468   16,487   11,853   34,534 
Amortization expense  389,741   396,267   786,007   792,533 
Nonrecurring professional fees  164,465   115,409   307,749   160,409 
Amortization on debt discount  333,177   141,992   613,155   145,444 
Bad debt (recovery)  (49,076)  (147,166)  222,279   (141,070)
Non-restructuring severance expense  29,313   -   29,313   - 
Interest expense, net  722   75,211   735   336,206 
Interest expense – related party  562,568   393,772   1,122,007   429,060 
Adjusted EBITDA $281,975  $(3,368,997) $(35,497) $(4,143,080)

For the three and six months ended June 30, 2022 and 2021, to disclose an adjusted EBITDA that accurately represents actual operations, we have excluded the PPP loan forgiveness from the calculation.


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