VANCOUVER, Canada, August 20th, 2004 / Bingo.com, Inc. (OTC BB: BIGR),
operator of the Internets pre-eminent bingo portal, today announced its
financial results for the second quarter ending June 30th, 2004. All amounts
are presented in United States dollars and in accordance with United States
Generally Accepted Accounting Principles.
Revenue increased to $247,752 for the quarter ended June 30, 2004, an increase of 21% from revenue of $203,947 for the same period in the prior year and an increase of 1% from revenue of
$246,189 for the first quarter of 2004. The Company has increased its
advertising rates by approximately 10% overall from the prior year and
obtained a greater number of individual advertisers, thereby providing a
more diverse and increased revenue stream.
Operating costs before interest expenses were $133,605 for the quarter ended June 30, 2004, a decrease of 14.6% compared to costs of $156,461 for the same period in the prior year
and a decrease of 20.5% compared to costs of $168,090 for the first quarter
of 2004. The decrease in operating costs compared to the prior year were a
result of managements continued efforts to control operating costs,
especially legal and accounting costs. During the quarter end June 30, 2004,
the holders of the Convertible Debenture A converted the debenture and the
accrued interest thereon into common stock of the Company. In addition, the
Warrants issued in relation to the Convertible Debenture A expired
unexercised. On the expiration of the warrants the Company expensed the
unamortized portion of the Warrant Debenture Discount of $221,383.
Net loss for the three months ended June 30, 2004, amounted to $137,168, a loss of
$0.01 per share, compared to a loss of $48,837 or $0.00 per share for the
same period in 2003 and compared to a loss of $38,479 or $0.00 per share in
the first quarter of 2004. This increase in losses is largely due to the
write off of the unamortized portion of the Warrant Debenture Discount. This
is offset by the Companys managements continued efforts to control operating
costs and to increase revenue streams.
I am pleased to see the positive results that our revenue growth initiatives have achieved, remarked Tarrnie Williams, the Companys President and CEO. We intend to continue this trend
throughout 2004 and work towards achieving profitability. In addition on
July 2, 2004, the Convertible Debenture B of $145,000 and the accrued
interest thereon were converted into common stock of the Company at an
average price of $0.158 cents per share. This will reduce our interest
expense and increase our shareholders equity.