Devine Entertainment Reports First Quarter 2006 Results and Announces Development of Production Slate.TORONTO -- Devine Entertainment Corporation (CUB cub the newborn of a number of animal species as diverse as lion, fox and bear. :DVNN, NASD NASD See: National Association of Securities Dealers NASD See National Association of Securities Dealers (NASD). OTC OTC See: Over-the-counter. OTC See over-the-counter market (OTC). PK:DVNNF) today reported results for the first quarter ended March 31, 2006. All amounts are in Canadian dollars Noun 1. Canadian dollar - the basic unit of money in Canada; "the Canadian dollar has the image of loon on one side of the coin" loonie dollar - the basic monetary unit in many countries; equal to 100 cents . The Company's first quarter activities were focused on preparing its new production slate for 2006 and 2007, specifically the new primetime mystery series for ChumCity Television, Across the River to Motor City It may contain non-definitive information based on commercials, a website or interviews. and the Canada-France co-production of The Writers' Specials. As expected, $163,860 in revenues from the Company's proprietary film library were lower than for the same period in 2005. Contributing to lower revenues was the completion of the first sales cycle which generated over $6.1 million in revenues in 2004 and 2005. Overall, the Company reported a modest net loss of $150,577 or ($0.00) per share in the three months ended March 31, 2006 that reflected increased operating costs operating costs npl → gastos mpl operacionales due to the initial expenses incurred to prepare its new production slate for 2006 and 2007. $79,004 of the Company's revenue was derived from DVD DVD: see digital versatile disc. DVD in full digital video disc or digital versatile disc Type of optical disc. The DVD represents the second generation of compact-disc (CD) technology. , video and ancillary publishing sales in North America North America, third largest continent (1990 est. pop. 365,000,000), c.9,400,000 sq mi (24,346,000 sq km), the northern of the two continents of the Western Hemisphere. , $68,723 from a broadcast sale to France 5 and $16,133 from sales of distribution rights in the former Yugoslavia and Brazil of Bailey's Billion$. DVD, video and ancillary publishing revenues generated by the Company's library of proprietary films decreased by approximately 47% to $79,004 in the three months ended March 31, 2006 as compared to $150,299 for the same period in 2005. In the three months ended March 31, 2006 revenues from Bailey's Billion$ distribution rights decreased by 94% to $16,133 as compared to $293,000 for the same period in 2005. President and CEO (1) (Chief Executive Officer) The highest individual in command of an organization. Typically the president of the company, the CEO reports to the Chairman of the Board. David Devine noted, "The Company is optimistic op·ti·mist n. 1. One who usually expects a favorable outcome. 2. A believer in philosophical optimism. op about its renewed production for 2006 and 2007. Budgeted at $8,100,000, with commitments in hand from CHUM Television and other Canadian funding sources, the Company expects to begin production of the first six episodes of the new primetime series, Across the River to Motor City, later this year. In addition, pre-sale commitments from broadcasters France 5, TPS (1) (Transactions Per Second) The number of transactions processed within one second. TPS is a better rating for the performance of hardware and software than the common MHz and GHz rating of the computer. Jeunesse, TVOntario and Knowledge Network for the Company's new Writers' Specials series support the Company's expectation that at least one other major production will commence in the next 12 months." Five-time Emmy Award-winning Devine Entertainment Corporation develops, produces and distributes children's and family entertainment for the theatrical motion picture, television and Video/DVD marketplace worldwide. Their film series on landmark Composers', Inventors' and Artists' are critically acclaimed and broadcast in over 50 countries. The Company recently completed its first feature film for theatrical release, Bailey's Billion$, which was released in North America on August 5, 2005 and is currently being distributed worldwide. Headquartered in Toronto, the Company's common shares trade under the symbol DVNN on the Canadian Unlisted Board (CUB) and on the NASD OTC PK market in the U.S. under the symbol DVNNF. The Company's corporate website is www.devine-ent.com .
CONSOLIDATED STATEMENTS OF OPERATIONS
(Unaudited)
(in Canadian dollars)
Three months ended March 31
2006 2005
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REVENUE $163,860 $478,236
Operating Expenses: 232,377 175,044
NET INCOME/(LOSS) for the period (150,577) 22,477
NET INCOME/(LOSS) PER COMMON SHARE ($ 0.00) $0.00
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WEIGHTED AVERAGE SHARES - (BASIC) 35,353,508 32,758,008
This press release may contain forward-looking statements forward-looking statement A projected financial statement based on management expectations. A forward-looking statement involves risks with regard to the accuracy of assumptions underlying the projections. relating to relating to relate prep → concernant relating to relate prep → bezüglich +gen, mit Bezug auf +acc the future performance of Devine Entertainment Corporation. Forward-looking statements, specifically those concerning future performance and the achievement of operating profitability are subject to certain risks and uncertainties, and actual results may differ materially. These risks and uncertainties include the market acceptance of the Company's products and services; competition within the film and entertainment industry and the introduction of new entrants and/or products in the Company's markets; adverse changes in governmental regulations and policies affecting the film and entertainment industry; product development risks and risks of technological change; the risk of unanticipated expenses; and other risks and uncertainties all as described in the disclosure documents filed with securities regulatory authorities Noun 1. regulatory authority - a governmental agency that regulates businesses in the public interest regulatory agency administrative body, administrative unit - a unit with administrative responsibilities in accordance with applicable securities laws. Readers are cautioned that the foregoing list of factors is not exhaustive. Although the Company believes that the expectations conveyed by the forward-looking statements are reasonable based on information available to it on the date such forward-looking statements are made, no assurances can be given as to future results, levels of activity and achievements. All subsequent forward-looking statements, whether written or oral, attributable to the Company or persons acting on its behalf are expressly qualified in their entirety by these cautionary statements. The Company assumes no obligation to update forward-looking statements should circumstances or management's estimates or opinions change. |
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