MONTREAL - Stingray Group Inc. (RAYa.TO) says its revenues and profits soared in the first quarter of its fiscal year thanks largely to the acquisition of Newfoundland Capital Corporation Inc.

The Montreal-based company, which provides advertising-free music service, says net revenues were $80.4 million while recurring broadcasting and commercial music revenues increased 10.3 per cent to $34 million from $30.8 million a year earlier.

Radio accounted for 53.6 per cent of total revenues at $43.1 million. Revenues in Canada surged to $56.1 million and accounted to 70 per cent of the company's total primarily due to the acquisition of NCC and Novramedia. U.S. revenues rose 11.7 per cent to $9.1 million and international revenues were up 20.3 per cent to $15.2 million.

Stingray says it earned $9.18 million or 12 cents per diluted share for the three months ended June 30, compared with $1.35 million or two cents per share in the first quarter of 2019.

Excluding one-time items, adjusted net earnings nearly tripled to $15.8 million or 21 cents per share, up from $5.9 million or 10 cents per share a year earlier.

The company increased its quarterly dividend 16.7 per cent to seven cents per share, payable around Sept. 13 to shareholders of record as of Aug. 31.

Stingray was expected to earn 21 cents in adjusted earnings on $80.8 million in revenues, according to financial markets data firm Refinitiv.

Stingray acquired Newfoundland Capital and its radio stations across Canada in October, in a deal valued at $506 million, including $112 million of debt.