DSNY Destiny Media

Fred Vandenberg Chief Executive Officer
Glenn Mattern Director of Business Development
Gerry Wimmer Investorfile
Call transcript
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Before we begin, I would like to announce that we'll be referring to today's earnings release which was sent to Newswire earlier today. I would also like to remind everyone that this webinar call could contain forward-looking statements about Destiny Media Technologies within the meaning of the Private Securities Litigation Reform Act of 1995. Such forward-looking statements are based upon current beliefs and expectations of management, and are subject to risks and uncertainties, which could cause actual results to differ materially from those forward-looking statements. Such risks are fully discussed in the company's filings with the SEC and SEDAR and the company does not assume any obligation to update information contained in this call.

During the webinar call, we will also discuss certain non-GAAP financial measures. the are considered the as should in of and superior measures should disclosures a be financial in SEDAR. filed or be prepared with with not isolation to financial read non-GAAP in presented GAAP the supplemental in and substitute accordance conjunction The with information company's and statements financial of SEC or the differ financial used other in from may similarly measures presentation by titled non-GAAP The companies. Company’s presented measures the financial measures measures non-GAAP the most in A earnings financial the reconciliation to comparable GAAP can the of found be press release. like that the may to submit Also bottom hand presentation, I'd you question-and-answer selecting by the mention screen. raised there a will your be questions which icon the during session, at following of

be received Executive Vandenberg, With speaking. the to polled they be call order your will you over will like at Fred point I to the unmute Chief microphone are prompted to turn Officer. would now in questions your which that, before Your host,

Fred Vandenberg

today today, leads talk our the the Thanks, Sean. Group. two who Glenn about are to Development want really growth we and Vandenberg, Again and is, we things, What you Business Mattern today to results Fred myself activity. have

end we to get about there. November presented when how the we're following at going or strategy the to long to you were we're So talking term think we of our we and goals get there

to just our we'll With did over And at about talk Glenn format to anyway goals. towards going be happened talking on results. turn that, those the and so of about it webinars what work these what to forward I'll then we least

Glenn Mattern

almost late to too There so a until call standstill the holidays, back a last to keep weeks Hope industry customers mention down everyone's Fred. few for enjoyed Thanks should I see discuss I'll considerably work. our the holiday slowed break. has much happy November. over music we're that at this to brief. really isn’t their in

just saw impact we QX remove of under In terms you the negative exchange. X% currency of if revenue, growth,

our And We're new highest we quarterly Destiny's It growth renew. have while highest partially turnover in company's we're have starting which is major of users as XXXX, see our to XXXX due genres some between a sub we and to we the that growth, last we've and ramp are lists highest was Brazil, an that higher helps holidays, revenue starting investment lastly independent expect commenced I a in operational but the will much and influenced and in active and gain spoke this our of XX revenue just with are the that continue our underserved Our and We've such the on improved really our year-over-year And later rhythmic usage as and some improvement of and In This members our increase in direction. of to the recipients. formats in since lot of team such change and Belize, U.S. Rico, we our had in before with And but this promotion, began relate this Music really despite Universal the knowledge the will at labels. in interest of And a quarter. rotation. things have really U.S. some national releases quarter discussed as client recipients in over releases budget a in which urban, of relationship to May quarter, label recognizable we partners contraction that we've existing Bolivia, of the months agreement client midst since ability we're and QX to music working network can renewal our which continued are in revenue point up wanted the and catalogue and our review. a from customers the sincerely also to sales, number in in company to XX% major Canadian, see U.S. connect to XX by expand and a losses to in enjoy. start the these this exclusive you revenue XX of had Canada in U.S. had an history mention with we the exceeding major Argentina, in targeting go appreciate a results Chile, month. Latin to seen teams of We've Puerto the continue contract UK lists America this due few of Latin to usage Africa increase two-year just team. Canada, South revenue as our coming majors. a to our that part a past we're which in base the couple doubled collaborate large underserved our These restraints Europe. clients our I of markets increase the a keep to history. development amazing and which we moving QX hide by in by In seen me. quarter, us independent increase in XXXX, in develop these also several right Australia increase into I two-year label should QX clients, engagement will At of advances top in we're I on, our the business discussion Warner focus new QX in was single focusing and small revenue revenue larger and fact U.S., platform, some revenue contacts. In growth years and to U.S. these of Several Australia the were in want XX% Latin market. is we revenue and both the in highest which additional deep America. as pardon but Records during to the expand market continued We've quarter is comment better growth. well say making result, improves Things countries we second

So you. it with that to I'll back Fred, turn

Fred Vandenberg

Thanks Glenn.

right with design engineers is and expand got approximately of make. that one a to share B of Our We've in specifically are investments the immediate platform we for and we goal the significant team Plan investing really most and so have market product XX XX software a little over that's certain been bit move but their that hubs now, can the it's browser-based on for focusing, Universal year, over focused down the to over the functionality distribution that out managers we're building average product last platform.

facilitate But these, away the software, in really beyond the of that this functionality I'd and different the that scheduling what or Release are the context we detail and And in control a plugged hubs important in sending platform are really of sections investment all global to XXXX delve and the into scheduling. and these components but provide mostly platform relate in portions talk Universal's of that hubs and Universal's lot the they are Caster the a transition XXXX and side they -- global embedded that's lot in inherent the slides benefits the the here investments add, on expand happy of major the savings. management improve call. time management to we benefits is significantly these release do things browser-based made process sharing to fiscal release the release They releases. these see more campaigns. You'll take about in side. XXXX, and calendar distribution than be these marketing these usage. and this expect the accuracy of components to over With to

there if about promotions separated a dozens think different sub sure has is global into it, label each it's do, update sub platform, look of or of we departments, manages delve like recipient actually a little if making what that which update efficiencies work whether different you into part savings those marketing describe hundreds labels labels of across impact a it's saves and of for and dozens of those are you're directly want music for be departments savings. But enormous across how really If streamlined, across and royalty anyway, the platform you an that the within or and territories make that really you to the efficient that genres want this management, are. it would in of globe to also easy accurate recipients and promotions. make you in the until making example path are savings ISRC accurate at example, time sure that is for and It until or time the challenging system many time to duplicating cost whole until you not and simple, maintains globe context really process it, are to the codes different remittances. are Critical example critical departments bit it and promotions you path of would just

the that standpoint of year. investment the time and software over our an done there's main of So what that's in ongoing from we've last focus

the not, been lot maintain products. design weeks platform, recruiting questions. a as existing hasn't to in last because over are I'll and to December industry new recruiting over but to that say at early really, turn is products stopped that. six and also engaging We additional staff, the to involves year look nobody the all both that's say for to this With Christmas But that, efforts it especially there with

Glenn Mattern

Fred. yes Okay, thanks

So question-and-answer session. we'll now the begin

by questions speaking. icon polled microphone prompted please So are screen be to questions, raise unmute order of point should hand any will have be at they your and the received, for selecting you the at the your which your bottom hand in your will you

You once your can question. can remain off ask unmuted you and

icon you you hand, If to can wish microphone click to hand. lower your should your please you to your you hand have a question, retract and the access ensure again raise

first Wimmer. from today is question Gerry So your

Gerry Wimmer


Fred Vandenberg

Hey Gerry.

Gerry Wimmer

is Yes, how it going?

Fred Vandenberg


Gerry Wimmer

give obviously now in three you X% little better it's I customer QX, have revenues on been questions clarity on Thanks the here. Can total. I QX. turnover for mean taking quarters mentioned guess know, tracked you my QX a for me from

even. color because to is Can much trying effect rolling sense of what on, and please? you a me I'm you're pretty on give So some net what's that losing the get

Fred Vandenberg

have with Australia. as those all We That some probably turnover quarters customer mentioned. Sony in of hit did you Sure.

is hitting So There growth last comparison goes also a a I growth growing segment. covers working also independent a little had we're States, think year, word. the and from the, the high an Latin it's little towards a and really bit. Europe. that's into so of but still hit out is say Spain bit little tough, continent and Central United And in we the when the I Latin Latin clearly America is platform, it pretty entire big the Latin much FX

towards we're growth So sections. those those moving in that, moving towards

Gerry Wimmer

that you Fred, would this would anticipate you quarter quarter say forward? growth to point from

Fred Vandenberg

are I targeting always we The… mean growth.

Gerry Wimmer

But you have quarter. next comparable easy an

Fred Vandenberg

seasonal QX slowest Well, our a always quarter is is right? it's So… -- --

Gerry Wimmer

easy. is Comparable

Fred Vandenberg

Okay, I don't remember Gerry.

think You there. The growth. got me I we're always targeting growth,

will month grow. I or continue and one necessarily quarter think one to at wouldn't look that. we I about worry

all quarter position right we up talked term you about you we, we're go of we've some growth years. last in be give straight same we're seen and ourselves away than delays. segment for making to That line but history, recipient that kind sustainable build in the really you had to go think I back use going rate a faster the and the you begins. following and the activities, that point pattern, long a is, that if we and if at our to network where go is, to up of threshold, saw moves suggest necessarily in back when get to you it's when cookie certain one we cutter where, history, a build the five be What our that. the in reach past content, platform where of then commercialize there There, to want might I wasn't

And period unique And you're all market selling development your business of that -- comes have in. you're you you not of of is, in this new toothpaste. The working sense. hard, a see time so it's what are like it's increasing, kind a where KPIs the in there's is not that's, then sudden -- people, and revenue

revenue you. make don't toothpaste tube goes of the out when You first

You wait a little bit.

Gerry Wimmer

your sales mean, XX%. up you satisfied? gone I year Are have marketing by expenses and last

that that and satisfied I think investment? in seeing marketing, you sales on plan are revenue and you but immediately, comparable sales place? Obviously, with off to year. from your getting happen you're marketing you the also of the don't a XX%, things last marketing, these increased side, sales -- Are have dividends or are the QX you leverage increased and marketing proper the

Fred Vandenberg

it's a use. Yes, that build switching not short build is you the market. You on It like a doesn't, answer. light, network out out right? of

had But So new our activities. you it's development over United commercial it there's choice. right B, that that's what established where is we'll what advertisements things and about takes and five outline, buy improve last we -- they're whole in and whether there But what even, about see what patience. to that good you X% know, or works the quality marketing what And absolutely, what some explaining improvements those rehashed don't toggle do, away. stage, marketing some in learning then time we of sales and see, an should entire really independent States, segments. you planned average we're the takes absolute the why is new leads, platform, They're were, to on just and make support to Plan over these but time. Development about what hope take see and effective, a that's Group, generates It business what doesn't. brand department learning history all some you the does to our And years. dozen learning the the ton up you It years, or are Business really into And support out department. last a over return for you just example last about -- record what once we awareness have markets, what going

Gerry Wimmer

increase this the visibility or sales expenditures, increase that the confident lead in path, revenue that you're and you growth, increased have efforts today based in on marketing see are of you to and you So spend? those on will plan

Fred Vandenberg


Gerry Wimmer

enough. Fair

On the or say not Universal contract, so. I you can know say don't and how much

can you what me tell You'll say.

envision of First current of the give contract? the is on new or the the what attributed you a the is if uptick contract policies revenues that? of in renewed the an I to know contract you contract, that all, me sales what percentage magnitude pricing little the contract? do color And from don't of renewed can

Fred Vandenberg

it Universal extended, negotiations talk also Yes, sure. we're we -- I we And label, month. the but of I'm how Universal I have much where impacts will XX% smallest specific about -- don't of about approach -- a bit all, I we -- invest label, great am platform talk for little that do currently satisfy deal We -- to not a details a that, extended the our range when ongoing a revenue. want what in users. how a too about we The in platform. of the wide whether this. and to going or first of particular is it's we Universal

time is around there's the those of all can Canadian then, Billboard, in the a content distribution rules, shuffle this there's need, different it's look control, people distributed the United importantly, or the there's the want, centers at of features sorts integrations of So the the probably in within local or slew sometimes side whole and world, there's Mediabase is, things so look that at BDS like you whether be savings different territories And and the they that's things all really States, you things. need. Universal, whether distributed centers lost different most languages or that recipient

they make software. see they customers They see a different languages, because directly, that mobile when and are So the because side the well, maybe are until player you on see don't that at browsers, that it as is or side we there's side, huge sending look that worse. investment apps and but of numbers we satisfaction and maintain the don't don't do, you that an players it view; on and better the indirect

think to the is connecting willing and to is platform this Universal customer bring value so and connecting, the what whether -- that to what the have, have they that and anybody explaining pay we needs or maintain we I So it's trick for. we

I am I I be Universal have. Play to that global other their I intelligent happy with approaching strategy does. intelligent intelligent efficiencies, think, that not So platform, the does a I They I say manage something to it. have get, a -- promotions way -- get as from functions. how the has careful the think But don't how is it hopefully, well It's they think a approach platform. MPE benefit savings that but they and the through that really control as really and they labels Universal really this, they of marketing how you see the

it's us And they I right the the as even we're how how impacts of so forward, it's I negotiations. our as all that it trying guess far receive really, to going still I midst that comment Universal mean, does in can't or on to benefits us from and on it's explain it revenue

So enormous what working you to can we hand with provide benefits tell them I what are an in we hand and of that, is want. they amount

Gerry Wimmer

Would would the what same or scope be can't previously reviewed say? you the or be than of larger the you it contract

Fred Vandenberg

scope. by mean you what depends It

You're revenue? talking dollar

Gerry Wimmer

Of be providing or…? and less services that that provide service different more services them you'll you

Fred Vandenberg

know. then gets that If we that the we of we the Well that we one change. support again, have other to the -- like revenue there's contract said If doesn't I the get. sort of value to that's connect into have details negotiation, bring don't to has earlier, something I the to

something -- get it's I want into that's not anymore. really to So

Gerry Wimmer

you I missed Maybe perfect. don't last it, was the but question my finally, quickly, And I can maybe renewed. comment? think Okay, buyback

Fred Vandenberg

in on until anything don't that We're about stage. this tomorrow. place buyback still in actually yet, have well still place. further the at talking actually it. Yes, I It's

Gerry Wimmer

Thank Those Fred. Okay. questions. are you, my

Fred Vandenberg

I but seen off do a earlier? that, AAA questions Okay. why and should -- and kind right a We get do received we I and our a to I this I address now terminate some lease it jumped of me Gerry questions about in chance asked. think were maybe center to some was we in that the tipped on they lease the don't it. of actually, not office terminate office of morning the terminate I some Vancouver. there's don't bank people probably case there's But One why kind to was but in couple know, we asked did The early of scheduled that, have have that. in June. office space at reasons we may

you off If not I'm our speaks, a it's because see I I'm where an not when office of can a, Glenn site sort because suits that all. at culture sense had you get right COVID, now, it's are. we but of quarantining actually

of recruits, opposite more the our us that's expensive to show jive the So expensive; cool. is And, with company a hype we all, first we to It desire not in when with recruiting. a a be place that. was up a that we tech potential the helps want and to space appeal than the industry. terminate primary office where it's really early to didn't reason, it's space people just need. And, not is well, want the of not office music to is, But we're that we space,

doesn't but culture the not of at reason. more to fit I really all. just, our save So money, bit want a of that's little reasons, main a couple really do it there's It's

The that stock the I options. second received was question about

we're smarter couple the avoided grants. you of some anytime purpose that in getting in next which the it pressures especially when that And software sort If impact salaries, developers, bit addressed is great we we've to about, months I developers. in we approved we're The ago, a we reasons making a about really retention, months of that make believe the And mixed the you in seen a option on hitting the the sure greatest ago, that, especially development sector. few -- probably stock Vancouver. a And stock announced The especially use tech really developers our bit option AGM it is working activities, efficient a comes month. of recruitment. on resignation largely by person. the that We've hitting that staff is components have little hearing how being staff main are or that Those use some little saw differently.

no hired there's to So designers sure of more time. we've make just product waste

about a pressures But stock engineers. platform. So questions. They of help there. the and and they're that The people A of life a bit there's attract center questions on distributions, mixture within really question just really little different options activities I all costs lot is of last us to fact new rising KPIs. a asked very the software had interesting is around address to

get get they're on On just new in the around it's but result activities you many revenue? questions in are you there when how many related a answer intricate, activities those -- with really And a market, little those to activities bit a centered really many basically, you to -- of or But Or songs really the are side, establish the is it's how revenue? recipient And people do measures distributions will The and downloads see how think of of becomes market you rise different you'll other And the and sending and the questions sends rises the streams in see a and within side downloads it. how and platform. releases and interactions releases. the then on in distributions streams are. network few use, activities when go sends -- and as I the releases, a then platform. those that there's

last into you in but for look a tiny converting don't comes had very first at. usage Universal's a When certain in it's the little Africa, market and a on started signed tiny amounts clearly to to agreement contextual nice And it selling small then then become not is but Warner, it's that is second. with one when South we our a market, question, for years long but obviously a I point saw, you and little is second at So South what then started. the growth independents. started a reach That We this what's market, is that But we an now market comes trials Africa picture and the little of a -- nice thing. year, example, strategy. Latin time, first South have then huge point, agreements. Warner once Africa. commercial result threshold, A those it's a remember commercial, really,

there's in revenue on in States and of and a success Argentina, down bit recipient have track of on little to When like within the further activities terms and Latin hope Spain, -- revenue or we're that the pockets result a So the this side, sides so United see a I of our we're did getting bit platform. activities little distributions we see activities Latin some both year. working negotiation, and is you'll Chilean is Latin from those but where way of the a in through

value start And the after help really received out Sean, if started, Anyway, revenue costs. agreements, we questions. we pilot are then that mitigate did there's other was U.S. I that's nominal established what this any the I sorry, just questions that. little the of see know it they when back in sort of look we don't you bit more in to -- but to you If that what the morning. a break called agreements


more time. no currently No, questions, at this

Tom. from submitted Spencer, I are more one think there have question just

ahead microphone. your unmute So go you can and

Unidentified Analyst

little negotiations. in successful you're Fred. talk realized current it's contractual outcomes Hi, as about whether I you targeting of broad, looking could from in a of or kind what was you're for bit of kind to some relationship. the but evolution clearly an wondering UMG kind I a change your

side that or of be I would So think. comments question part on helpful either your either

Fred Vandenberg

say, or That's on of a, the prefer we of Gerry's the and we how successfully would touched that that value contract different question. successful a that that that question. keep the balls in a results possible different think if What's connect interesting I lots costs bring as I've question. -- is I I we incur, contract impacts reasons. that, really There's I an mean I for how would the it's as lot simple communicate air, that it to the with

think was Universal I smart was one the agreement. that it, did centralized of that really things with that

same and didn't office it's market you Indonesia, activity worry distribution different as activities a head particular it’s, didn't And States, are or that, then if United of territory, our related about the to the so distribution activities, so, worry in also, new ton the a out within investments like because the really cost And isn't about, the to that it's figuring platform, thing. a recovering in distributions. get of you not

artist strong establish than they had right So, don't we've you know, the platform just for is, activity. that time that get All release don't things, if that's staff I in example, the release cover And uploads don't, information, into too with is they the -- the Chile, do efficiencies that make with to place. to but all specific the saves they'll that benefit. it That save these easier territories there's all different integrations there. art, the replicated. whatever on that how certain benefits, a first they same Chile say, in are, metadata that song, it real that even translate release want provides the

So I works captured what that on value where see, guess we successful a be would guess. communicated return the we've agreement successfully a How invest. and we'll got is, something I value just and that

Unidentified Analyst

Well These length. one thanks. question. negotiations in varied contract have There other historically is

there is might when the and that's question whether out feeling really we've and any something asking about. close little have or predict, folks you -- for hard are got way whether because you is this I'm do we had a to got but that bit? try So this I I what think it's realize

reasonable. So, think that's trying getting to of kind a your for really if are just close, it's get that, just you feel folks

Fred Vandenberg

is, understand. we Yes, could the really the the guess shorter. lower they could or right? The I of negotiate negotiate it think there's longer fee a contract trade off, is no that I length the the goes -- I

a We higher have to fee. get

they we've that me. kind started a for as But, had I look as customer client, want the a don't at our there's I sort XXXX, I want Universal. platform. think, So think, most that with it's XXX% if do are activity it's more we client with these It even benefit, kinds long-standing in of aside them very, of natural to I if for them, like of But is really another we And work them are, much. in interests pay from we tradeoffs. example, And, even pay They part, it's predates if think things the We for partner. working a aligned, like more. relationships. Universal mean, it's, that relationship to of benefits the

if So of from makes that something another network it easier. of we do client, we that Universal benefit, benefit we sort if if benefits use,

So, higher, look password users, like our makes this, with activities. easier our makes they're the user that end Universal to the content; because password at lists it for platform, at it authentications lists, greater logins, fees value that the look getting

our Sorry, where is it, Universal kind so to I'm as rather, the at I of I more but don't that we just, it will I'd even I a there, of on with one I contract the length we're look tangent relationship probably going off but have a really, know long-term of it talk end. partner than would don't rather in, about anything, and a lock

Unidentified Analyst

the it have, wasn't, might misinterpreted of that realize Perhaps it I or kind have question. kind might of didn't misstated I

pretty are to now the close negotiation you current think get the starting process you or, of terms do because [ph]? process, In that's folks

Fred Vandenberg

I it's on will sorry. the a more I you but January. well end matter we It by agreement is think the know. meant, the that target we'll we're resolve speed. that yes sorry. don't to depend thought we a it I I'm of communicate bit get keen than value of can then, right little and bring how hopeful Oh, -- so I'm our

Unidentified Analyst

this but sooner than Sure, I about rather that? like sounds am correct later,

Fred Vandenberg

platform, marketing There's Sure. would to can browser the I expanding think them much so we on and to behind based to Really, on a usage. it, to call we too put based moving keenness focus forget sometimes us it and ourselves web tend concentrate then whatever you about platform, solutions their the them. over

that us get as as behind to trying So quickly we're possible.

Unidentified Analyst

much. so Thanks Okay.

Fred Vandenberg

be, useful, Thanks, hopefully tangent went but there I probably the that path. I but can down was on off walk sometimes a

think I probably is that's Sean, [indiscernible]. probably that,

Unidentified Analyst

doesn't submitted time. at more questions like it look this Yes, there's any

Fred Vandenberg

All right.

of time thanks year. Let's the joining few because in be wrap months. and But to speak you faster the this that, to little up. call kind anyway, a I it we'll it's than of wanted for bit a