Market Overview

Bingo.com Announces 2012 Year End and Profitable Q4 Results

ANGUILLA, BRITISH WEST INDIES--(Marketwire - Feb. 18, 2013) - Bingo.com, Ltd. (OTCQB:BNGOF), owner of the popular online gaming community www.bingo.com, today announced its unaudited financial results for the fourth quarter and the year ended December 31, 2012. All amounts are presented in United States dollars and in accordance with United States Generally Accepted Accounting Principles.

Recent Bingo.com highlights include:



-- Total revenue increased to $1,765,827 for the year ended December 31,
2012, an increase of 25% over revenue of $1,416,658 for the same period
in the prior year;

-- Total loss for the year ending December 31, 2012 was $46,235 compared to
a loss of $689,016 for the year ending 2011;

-- Total profit for the quarter ended December 31, 2012, was $38,606, an
improvement of 26% from profit of $30,638 for the same period in the
prior year and an increase of 33% from a profit of $29,002 in the third
quarter of 2012;

-- Total revenue for the quarter ended December 31, 2012, was $554,031, an
increase of 42% from revenue of $389,390 for the same period in the
prior year and an increase of 21% from revenue of $457,748 in the third
quarter of 2012;

-- Two separate financings in Q4 2012, of 1,000,000 common shares each,
both at $0.45 per share raising $900,000 in total.



"2012 was an excellent year for Bingo.com," said Jason Williams, the Company's CEO. "With our restructuring complete, we commenced an aggressive marketing strategy to increase revenue as quickly, and cost effectively, as possible. With each quarter in 2012 showing improved profitability we feel our strategy is working. We will continue this aggressive approach in existing markets, and expand into new territories in 2013."

"The financings," said Williams, "Were completed to fund our marketing efforts and the development of special internal projects. Bingo.com will be entering the social, free-to-play bingo market with an innovative multi-platform game. The game is scheduled to launch as a beta product early in the second quarter of this year. Bingo.com intends to continue investing in the strategies and areas that have the greatest potential for revenue growth and profits."

Total revenue increased to $1,765,827 for the year ended December 31, 2012, an increase of 25% over revenue of $1,416,658 for the same period in the prior year. Gaming revenue increased to $1,721,134 for the year ended December 31, 2012, an increase of 27% over gaming revenue of $1,349,953 for the same period in the prior year. This increase compared to the prior year is due to an increase in players to the website as a result of increased marketing. Advertising Revenue decreased to $44,693 for the year ended December 31, 2012, a decrease of 33% over revenue of $66,705 for the same period in the prior year.

Operating costs before interest, and depreciation expenses, including sales and marketing and general and administrative expenses increased to $513,491 in the fourth quarter of 2012, an increase of 44% over operating expenses of $356,521 in the fourth quarter of 2011 and an increase of 20% over operating costs of $427,773 in the third quarter of 2012. The increase in operating expenses compared to the fourth quarter of 2011 and the third quarter of 2012, is due an increase in sales and marketing expenses to increase player activity.

Sales and marketing expenses were $419,954 during the fourth quarter of 2012, an increase of 113% over expenses of $197,172 during the fourth quarter of 2011 and an increase of 35% over sales and marketing expenses of $310,712 in the third quarter of 2012. Selling and marketing expenses principally include Bingo.com marketing campaigns, affiliate commissions, Search Engine Optimization, and other promotional expenses intended to increase our player base and improve gaming revenue. The increase in sales and marketing expenses for the quarter ended December 31, 2012, compared to the fourth quarter of 2011, and the third quarter of 2012, is due to an increase in active marketing campaigns.

General and Administrative expenses consist of salaries, premises costs for our offices, legal and professional fees, and other general corporate and office expenses. General and administrative expenses were $50,155 during the fourth quarter of 2012, an increase of 5% from general and administrative expenses of $47,594, in the fourth quarter of 2011 and a decrease of 13% from expenses of $57,570 for the third quarter of 2012. General and administrative expenses have decreased since joining the Unibet Partner Program as it has enabled us to reduce many of our costs.

The net income after taxation for the three months ended December 31, 2012, amounted to $38,606, a gain of $0.00 per share, compared to a net loss of ($30,638) or ($0.00) per share in the fourth quarter of 2011 and an increase of 33% on a profits, of $29,002 or $0.00 per share in the third quarter of 2012.

The net loss after taxation for the twelve months ended December 31, 2012, amounted to $46,235, a loss of ($0.00) per share, compared to a net loss of ($689,016) or ($0.01) per share in the twelve months ending December 31st, 2011.

We had cash of $876,004 and working capital of $1,640,713 at December 31, 2012. This compares to cash of $787,524 and working capital of $1,058,631 at December 31, 2011, and cash of $574,787 and working capital of $980,660 at September 30, 2012.

For full details of the Companies operations and financial results, please refer to the Securities and Exchange Commission website at www.sec.gov or the Bingo.com website at www.bingo.com.

About Bingo.com

Bingo.com, Ltd. (OTCQB:BNGOF) is the parent company of the Bingo.com group of companies which own the popular online gaming community www.bingo.com. The Bingo.com website offers multiplayer bingo, slot machines, sweepstakes, and more. Players come together from around the world to chat, share, play and win at Bingo.com. The Bingo.com website has attracted millions of visitors from over 200 countries and is one of the most recognized and most visited bingo entertainment destinations on the Internet. Bingo.com operates its multi-language and multi-currency bingo and casino system as part of the Unibet partner program (www.unibet.com). Bingo.com, Ltd. (OTCQB:BNGOF) trades on the OTCQB, the venture marketplace for companies that are current in their reporting with a U.S. regulator. Investors can find real time quotes and market information for the Company at www.otcmarkets.com/stock/BNGOF/quote.

The Private Securities Litigation Reform Act of 1995 provides a "safe harbor" for forward-looking statements. Certain information included in this press release (as well as information included in oral statements or other written statements made or to be made by the company) contains statements that are forward-looking, such as statements relating to anticipated future success of the company. Such forward-looking information involves important risks and uncertainties that could significantly affect anticipated results in the future and, accordingly, such results may differ materially from those expressed in any forward-looking statements made by or on behalf of the company. For a description of additional risks and uncertainties, please refer to the company's filings with the Securities and Exchange Commission. Specifically, readers should read the Company's Annual Report on Form 10-K/A, filed with the SEC on August 9, 2012, and the prospectus filed under Rule 424(b) of the Securities Act on March 9, 2005 and the SB2 filed July 17, 2007, for a more thorough discussion of the Company's financial position and results of operations, together with a detailed discussion of the risk factors involved in an investment in Bingo.com, Ltd.



BINGO.COM, LTD.
Unaudited Consolidated Balance Sheets

----------------------------------------------------------------------------
December 31, 2012 2011
----------------------------------------------------------------------------
Assets
Current assets:
Cash $ 876,004 $ 787,524
Accounts receivable, less allowance for
doubtful accounts $150,000 (2010 - $150,000) 364,184 148,119
Prepaid expenses 506,133 219,279
----------------------------------------------------------------------------
Total Current Assets 1,746,321 1,154,922
Equipment, net 10,280 14,827
Other assets 348,212 11,977
Domain name rights and intangible assets 1,257,241 1,257,241
Deferred tax asset, less valuation allowance of
$143,944 (2011 - $141,699) - -
----------------------------------------------------------------------------
Total Assets $ 3,362,054 $ 2,438,967
----------------------------------------------------------------------------
----------------------------------------------------------------------------
Liabilities and Stockholders' Equity
Current liabilities:
Accounts payable $ 24,465 $ 13,261
Accrued liabilities 65,593 72,349
Accounts payable and accrued liabilities -
related party 15,550 10,681
----------------------------------------------------------------------------
Total Current Liabilities 105,608 96,291
----------------------------------------------------------------------------
Stockholders' equity :
Common stock, no par value, unlimited shares
authorized, 65,877,703 shares issued and
outstanding (December 31, 2011 - 63,877,703) 19,197,690 18,237,685
Accumulated deficit (15,965,824) (15,919,589)
Accumulated other comprehensive loss:
Foreign currency translation adjustment 24,580 24,580
----------------------------------------------------------------------------
Total Stockholders' Equity 3,256,446 2,342,676
----------------------------------------------------------------------------
Total Liabilities and Stockholders' Equity $ 3,462,054 $ 2,438,967
----------------------------------------------------------------------------
----------------------------------------------------------------------------


BINGO.COM, LTD.
Unaudited Consolidated Statements of Operations
For the periods ended December 31, 2012 and 2011

Three Three
Months Months
Year ended Year ended ended ended
December December December December
31, 31, 31, 31,
2012 2011 2012 2011
(Unaudited) (Unaudited) (Unaudited) (Unaudited)
----------------------------------------------------------------------------

Advertising revenue $ 44,693 $ 66,705 $ 4,927 $ 21,830
Gaming revenue 1,721,135 1,349,953 549,104 367,560
----------------------------------------------------------------------------
Total revenue 1,765,828 1,416,658 554,031 389,390

Operating expenses:
Depreciation and
amortization 4,755 7,774 1,192 1,691
Directors fees 11,500 11,500 2,500 2,500
General and
administrative 230,849 257,275 50,155 47,594
Loss on disposal
of equipment - 9,209 - -
Salaries, wages,
consultants and
benefits 339,943 733,581 48,933 90,013
Selling and
marketing 1,217,416 1,074,571 419,954 197,172
Stock-based
compensation 60,005 - - -
----------------------------------------------------------------------------
Total operating
expenses 1,864,468 2,093,910 522,734 338,970
----------------------------------------------------------------------------
(Loss) Income before
other income
(expense) and
income taxes (98,640) (677,252) 31,297 50,420
Other income
(expense):
Foreign exchange
gain (loss) 52,155 (10,959) 8,051 (19,242)
Interest and other
income 1,258 2,887 206 501
----------------------------------------------------------------------------
(Loss) Income before
income taxes (45,227) (685,324) 39,554 31,679
Income tax expense (1,008) (3,692) (948) (1,041)
----------------------------------------------------------------------------
Net (loss) income $ (46,235) $ (689,016) $ 38,606 $ 30,638
----------------------------------------------------------------------------
Net (loss) income
per common share,
basic $ (0.00) $ (0.01) $ 0.00 $ 0.00
Net (loss) income
per common share,
diluted $ (0.00) $ (0.01) $ 0.00 $ 0.00
----------------------------------------------------------------------------
Weighted average
common shares
outstanding, basic 64,156,392 63,877,703 64,986,399 63,877,703
Weighted average
common shares
outstanding,
diluted 65,877,703 63,877,703 65,877,703 63,877,703
----------------------------------------------------------------------------


BINGO.COM, LTD.
Unaudited Consolidated Statements of Stockholders' Equity
For the Year Ended December 31, 2012
(Unaudited)

----------------------------------------------------------------------------
Accumulated
Other
Comprehensive
Income
---------
Foreign
currency
trans- Total
lation Stock-
Common stock Accumulated adjust- holders'
Shares Amount Deficit ment Equity
----------------------------------------------------------------------------
Balance,
January 1,
2011 63,877,703 $ 18,233,440 $ (14,330,573) $ 24,580 $ 3,927,447
Issuance of
consultant
stock
Options - 4,245 - - 4,245
Net loss - - (688,561) - (688,561)
----------------------------------------------------------------------------
Balance,
December 31,
2011 63,877,703 $ 18,237,685 $ (15,019,134) $ 24,580 $ 3,243,131
Stock-based
compensation - 60,005 - - 60,005
Private
placement 1,000,000 450,000 - - 450,000
Private
placement 1,000,000 450,000 - - 450,000
Net loss - - (46,235) - (46,235)
----------------------------------------------------------------------------
Balance,
December 31,
2012 65,877,703 $ 19,197,690 $ (15,965,824) $ 24,580 $ 3,256,446
----------------------------------------------------------------------------


BINGO.COM, LTD.
Unaudited Consolidated Statements of Cash Flows
For Year Ended December 31, 2012 and 2011

Years ended December 31, 2012 2011
----------------------------------------------------------------------------
Cash flows from operating activities:
Net loss $ (46,235) $ (689,016)
Adjustments to reconcile net loss to net
cash used in operating activities:
Depreciation and amortization 4,755 7,774
Loss on disposal of equipment - 9,209
Issuance of consultant stock options - 4,245
Stock-based compensation 60,005 -
Changes in operating assets and liabilities:
Accounts receivable (216,065) (90,229)
Prepaid expenses (286,854) 187,278
Other assets (330) 8,032
Accounts payable and accrued liabilities 9,317 (41,146)
----------------------------------------------------------------------------
Net cash used in operating activities (475,407) (603,853)
Cash flows from investing activities:
Acquisition of equipment (208) (5,007)
Software development (335,905) -
----------------------------------------------------------------------------
Net cash (used in) provided by investing
activities (336,113) (5,007)
Cash flows from financing activities:
Private placement 900,000 -
----------------------------------------------------------------------------
Net cash provided by financing activities 900,000 -
----------------------------------------------------------------------------
Change in cash 88,480 (608,860)
Cash, beginning of year 787,524 1,396,384
----------------------------------------------------------------------------
Cash, end of year $ 876,004 $ 787,524
----------------------------------------------------------------------------
Supplementary information:
Interest paid $ - $ -
Income taxes paid $ 1,510 $ 5,380
----------------------------------------------------------------------------
Non-cash financing activity $ - $ -
Non-cash investing activity $ - $ -
----------------------------------------------------------------------------






FOR FURTHER INFORMATION PLEASE CONTACT:
Bingo.com, Ltd.
Henry Bromley
CFO
(246) 461-2646
ir@bingo.com
www.bingo.com

 

Around the Web, We're Loving...

Partner Network

Get Benzinga's News Delivered Free