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SUMMARY
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MARCH 31, 2007 MARCH 31, 2006
3 months 3 months
Unaudited Unaudited
GROSS SALES $842,218 $986,935
OPERATING COSTS $468,822 $511,626
EBITDA ($182,396) $98,493
NET GAIN (LOSS) ($467,828) $36,880
NET GAIN (LOSS) PER SHARE ($0.011) $0.002
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LONGUEUIL, QC, May 30 /CNW Telbec/ - SECTION ROUGE MEDIA INC. (TSX: SRO) published its results for the first quarter of 2007 today.
The Company's gross sales totalled $842,218, versus $986,935 for the first quarter ended on March 31, 2006 - a 3% drop. This translates to a net loss of $467,828 for the Company during this period, compared to a gain of $36,880 last year. The loss per share came in at $0.011, versus a gain of $0.002 per share for the first quarter of 2006.
Sales for the quarter achieved by the company's magazine publishing operation were down 15% over the same period last year, for a net loss of $271,640. Projects launched by the Company's Movie/Television Division have not yet begun generating revenues, resulting in a $253,066 loss for this sector.
"We are disappointed with this quarter's results. The Company has already begun contemplating action steps that can be taken to improve the situation in the very near future," stated Richard Desmarais, President and Chief Executive Officer of Section Rouge Media Inc. He specified that the Company's cash position and current long-term-debt-free status would facilitate management's efforts to rectify the situation.
The company also indicated that it is pursuing other opportunities and expects to make at least one more significant acquisition in the media industry.
The TSX Venture Exchange has neither approved nor disapproved the
contents of this press release.
%SEDAR: 00008697EF