MONTREAL - Stingray Group Inc. swung to a profit in the third quarter as revenues grew 15 per cent to $81.3 million.
The Montreal-based company, which provides advertising-free music service, says it earned $8.09 million for the period ended Dec. 31, compared with a loss of $18.05 million a year earlier.
Last year's loss included a $25.3 million non-recurring CRTC tangible benefits expense related to the acquisition of Newfoundland Capital Corporation Inc. and its ratio stations across Canada in October 2018.
Excluding one-time items, adjusted profits were $16.7 million or 22 cents per share. That's up from $12.4 million or 18 cents per share in the prior year.
Revenues were up from $70.8 million while recurring revenues increased 1.1 per cent to $33.7 million. The increase of revenues follows the acquisition of Newfoundland Capital Corporation Inc. and a 10 per cent increase in subscriptions to 392,000.
The company was expected to earn 23 cents per share in adjusted net income on $81.6 million of revenues, according to financial markets data firm Refinitiv.
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