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SITO Mobile Reports First Quarter Fiscal 2015 Financial Results

JERSEY CITY, N.J., Feb. 3, 2015 (GLOBE NEWSWIRE) -- SITO Mobile Ltd. (OTCQB:SITO), a leading mobile engagement platform provider, today announced results for its fiscal first quarter ended December 31, 2014. Total revenue was $3,847,346 for the quarter ended December 31, 2014, representing 28% sequential quarterly growth over the $3,003,672 in total revenue for the quarter ended September 30, 2014, led by a 131% sequential increase in media placement revenue that was $1,289,089 for the quarter ended December 31, 2014 as compared to $556,859 for the quarter ended September 30, 2014. Operating revenue, which excludes revenue from licensing and royalties, was $3,713,855 for the quarter ended December 31, 2014, representing a 72% increase over the $2,157,128 in operating revenue for the quarter ended December 31, 2013. Total revenues for the quarter ended December 31, 2013 were $2,907,128, which include $750,000 in one-time licensing revenue from Zoove Corporation.

"The results of this quarter only begin to indicate the size of the opportunity in front of us and our ability to quickly capture market share", said Jerry Hug, CEO of SITO Mobile. "Driven by the success of our Location-Based Ad Platform and specifically our Verified Walk-In product, we are now beginning to see the early results of our plan take shape. We remain focused on our goal to become a leading player in the Mobile Marketing and Advertising space."

Media placement revenue accounted for 34% of total revenue for quarter ended December 31, 2014 as compared to 19% of total revenue for quarter ended September 30, 2014 and 0.3% of total revenue for quarter ended December 31, 2013. SITO Mobile's growth in media placement revenue has come from sales of mobile advertising campaigns that leverage the geo-fencing and real time bidding technology acquired through the Company's July 2014 DoubleVision acquisition.

SITO Mobile's gross margin was 56% for quarter ended December 31, 2014 as compared to a 62% margin for quarter ended September 30, 2014. EBITDA was $69,871 for the quarter ended December 31, 2014 as compared to ($1,084,064) for the quarter ended September 30, 2014. SITO Mobile reported a net loss of ($536,251), or $0.00 per share, for the quarter ended December 31, 2014 as compared to a net loss of ($1,539,945), or $0.01 per share, for quarter ended September 30, 2014.

As of December 31, 2014, cash on hand was $5.5 million, a $4.9 million increase from September 30, 2014. SITO Mobile's October 2014 financing transaction with Fortress enabled the Company to repay all of its outstanding convertible debt and provided the Company with capital to grow operating revenues, make acquisitions and pursue new licensing and royalties revenue streams using its portfolio of 27 U.S. patents.

Conference call information:

Date: Tuesday, February 3, 2015
Time: 4:30 P.M. Eastern Time (ET)
Dial in Number for U.S. & Canadian Callers: 877-407-8629
Dial in Number for International Callers (Outside of the U.S. & Canada): 201-493-6715

Participating on the call will be SITO Mobile's Chief Executive Officer Jerry Hug and Chief Financial Officer Kurt Streams. To join the live conference call, please dial into the above referenced telephone numbers five to ten minutes prior to the scheduled conference call time. A live webcast and archive of the call will also be available on SITO Mobile's website at: http://sitomobile.equisolvewebcast.com/q1-2015.

A replay will be available for 2 weeks starting on February 3, 2015 at approximately 8:00 P.M. ET. To access the replay, please dial 877-660-6853 in the U.S. and 201-612-7415 for international callers. The conference ID# is 414392.

About SITO Mobile Ltd.

SITO Mobile provides a mobile engagement platform that enables brands to increase awareness, loyalty, and ultimately sales. For more information visit www.sitomobile.com.

Forward-Looking Statements

This press release contains "forward-looking statements" within the meaning of the safe harbor provisions of the U.S. Private Securities Litigation Reform Act of 1995. Forward-looking statements are neither historical facts nor assurances of future performance. Instead, they are based only on our current beliefs, expectations and assumptions regarding the future of our business, future plans and strategies, projections, anticipated events and trends, the economy and other future conditions. Because forward-looking statements relate to the future, they are subject to inherent uncertainties, risks and changes in circumstances that are difficult to predict and many of which are outside of our control. Our actual results and financial condition may differ materially from those indicated in the forward-looking statements. Therefore, you should not rely on any of these forward-looking statements. Important factors that could cause our actual results and financial condition to differ materially from those indicated in the forward-looking statements include, among others, our reliance on brand owners and wireless carriers, the possible need for additional capital as well other risks identified in our filings with the SEC. Any forward-looking statement made by us in this press release is based only on information currently available to us and speaks only as of the date on which it is made. We undertake no obligation to publicly update any forward-looking statement, whether written or oral, that may be made from time to time, whether as a result of new information, future developments or otherwise.

SITO Mobile, Ltd.
UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
For the Three Months
Ended
December 31,
2014 2013
Revenue
Wireless applications $ 2,424,766 $ 2,147,128
Licensing and royalties 133,581 750,000
Media placement 1,289,089 10,000
Total Revenue 3,847,436 2,907,128
Cost of Revenue 1,696,347 868,093
Gross Profit 2,151,089 2,039,035
Operating Expenses
General and administrative (including stock based compensation) 1,370,538 2,496,638
Sales and marketing (including stock based compensation) 700,364 227,560
Depreciation and amortization 188,744 149,757
Research and development 10,316 24,093
2,269,962 2,898,048
Loss from operations (118,873) (859,013)
Other Expenses
Interest expense (417,378) (192,720)
Net loss before income taxes (536,251) (1,051,733)
Provision for income taxes -- --
Net loss $ (536,251) $ (1,051,733)
Basic and diluted loss per share $ (0.00) $ (0.01)
Weighted average shares outstanding 153,262,747 140,815,604
Stock compensation expense
General and administrative $ 172,729 $ 841,706
Sales and marketing 8,085 --
Total $ 180,814 $ 841,705
SITO Mobile, Ltd.
UNAUDITED CONDENSED CONSOLIDATED BALANCE SHEETS
December September
31, 30,
2014 2014
Assets
Current assets
Cash and cash equivalents $ 5,488,672 $ 620,185
Accounts receivable, net - current portion 3,388,956 2,443,308
Prepaid consulting -- 81,547
Other prepaid expenses 84,916 151,994
Total current assets 8,962,544 3,297,034
Property and equipment, net 244,584 236,706
Other assets
Accounts receivable, net 225,000 450,000
Capitalized software development costs, net 762,661 639,416
Intangible assets:
Patents 425,420 447,427
Patent applications cost 709,060 609,010
Software license 831,000 831,000
Goodwill 4,482,884 3,482,884
Deferred loan costs, net 132,920 --
Other assets including security deposits 158,946 113,291
Total other assets 7,727,891 6,573,028
Total assets $ 16,935,019 $ 10,106,768
SITO Mobile, Ltd.
UNAUDITED CONDENSED CONSOLIDATED BALANCE SHEETS
December September
31, 30,
2014 2014
Liabilities and Stockholders' Equity
Current liabilities
Accounts payable $ 2,389,712 $ 1,651,805
Accrued expenses 547,176 501,122
Accrued compensation - related party 438,192 598,592
Deferred revenue 752,324 378,257
Current obligation under capital lease 19,715 16,661
Purchase price payable 1,000,000 --
Note payable 1,000,002 --
Convertible debenture - related party -- 643,973
Convertible debentures - unrelated parties -- 3,646,926
Total current liabilities 6,147,121 7,437,336
Long-term liabilities
Obligations under capital lease 17,900 12,718
Note payable 7,555,763 --
Total long-term liabilities 7,573,663 12,718
Total liabilities 13,720,784 7,450,054
Stockholders' Equity
Preferred stock, $.0001 par value, 5,000,000 shares authorized; none outstanding -- --
Common stock, $.001 par value; 300,000,000 shares authorized, 153,348,167 shares issued and outstanding as of December 31, 2014 and $.001 par value; 200,000,000 shares authorized, 150,728,628 shares issued and outstanding as of September 30, 2014 153,348 150,729
Additional paid-in capital 138,006,669 136,915,516
Accumulated deficit (134,945,782) (134,409,531)
Total stockholders' equity 3,214,235 2,656,714
Total liabilities and stockholders' equity $ 16,935,019 $ 10,106,768

CONTACT: Investor Relations: Robert Haag IRTH Communications sito@irthcommunications.com 866-976-4784Source:SITO Mobile, Ltd.