BRANCHEZ-VOUS! increased its revenues by 43 % and its net earnings by 298% in the quarter ended September 30, 2005
Montréal, November 29, 2005 -- BRANCHEZ-VOUS! inc. (TSX Venture: BZV) obtained very good financial results in its third quarter, ended September 30, 2005. Compared to the same quarter of the previous year, revenue increased by 43%, gross profit increased by 45% and net earnings almost quadrupled. In the first nine months of 2005, compared to the first nine months of 2004, BRANCHEZ-VOUS!. revenues increased by 45%, gross profit by 45% and net earnings, by 225%. Compared to the second quarter of 2005, ended June 30, 2005, revenues decreased by 19%, gross profit decreased by 18% and net earnings decreased by 52%.| Three months ended Sept. 30, 2005 Three months ended Sept. 30, 2004 | Nine months ended Sept. 30, 2005 | Nine months ended Sept. 30, 2004 | |
| Revenues | $600,919 $420,471 | $1,769,932 | $1,217,162 |
| Gross profit | $396,479 $274,209 | $1,194,968 | $824,864 |
| Earnings before other elements | $100,370 $75,325 | $383,204 | $267,673 |
| Net earnings | $100,370 $25,207 | $383,204 | $117,764 |
| Basic and diluted earnings per share | $0.00 $0.00 | $0.01 | $0.00 |
The increase in revenues over 2004 is due to the growth of Internet advertising expenditures in Québec. BRANCHEZ-VOUS! focuses on selling advertising on Quebec-based and Canadian French-language web sites.
The increase in gross profit and earnings before other elements directly flows from the increase in sales. The increase in net earnings is mostly due to the increase in earnings before other elements, but also to the absence, in 2005, of charges that the corporation had registered in 2004 . namely, share of the loss of a company subject to significant influence (the corporation.s stake in this company has been sold in April 2005 at its accounting value) and corporate fees related to a projected reorganization (this project has been cancelled in December, 2004). .We enjoyed a very fast growth of the Internet advertising market in the third quarter of 2005, explains Patrick Pierra, CEO of BRANCHEZ-VOUS!. While slightly less buoyant than in the previous quarter, it allowed us to maintain a strong profitability.. .The recent launch of our two web video portals, BRANCHEZ-VOUS.tv and BV2.tv, and the increase, as a proportion, in sales on represented sites versus our own sites, will put some pressure on our profit margin in the coming quarters. But the sustained growth of the Internet advertising market should allow us to maintain net earnings at decent levels..
As at September 30, 2005, the shareholders. equity was $ 966,401. BRANCHEZ-VOUS! has approximately 29.1 million shares outstanding.
About BRANCHEZ-VOUS! inc.
BRANCHEZ-VOUS! inc. is a leading Montreal-based Internet media company. It owns and operates BRANCHEZ-VOUS.com (www.branchez-vous.com), the largest independent portal in Quebec, which primarily targets an audience of active adult users working in and/or interested by technology; and it operates the BRANCHEZ-VOUS! Network, the largest French-language Internet advertising network, comprised of approximately 50 web sites - including ten sites owned and operated by Astral Media. The BRANCHEZ-VOUS! Network reaches approximately 2 million French Canadians every month. Additional information on the Corporation can be obtained on SEDAR (www.sedar.com) and at www.branchez-vous.com/inc/english The TSX Venture exchange has neither approved nor disapproved the contents of this press release.
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Contact:
Patrick PierraPresident and CEOPhone: 514-842-3838 ext. 249
http://www.branchez-vous.com/contacts/
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