Company: DSNY
Filing Date: 2025-04-14
Form Type: 10-Q
Source: 0001062993-25-007398
Chunk: 60

Company: DESTINY MEDIA TECHNOLOGIES INC
Filing Date: 2025-04-14
Form: 10-Q
Item: Part I, Item 1
Chunk 60
---
98,377) (19.6%) 

Sales and marketing expenses declined as the Company restructured its business development group, leading to a reduction in overall staffing. Looking ahead, the Company expects to increase these expenditures, with a focus on marketing-related initiatives, as upcoming Play MPE® platform enhancements are anticipated to drive greater customer adoption.

  Six Months Ended       Product development expenses February 28,2025  February 29,2024  $ Change  % Change Wages and benefits$ 638,674 $577,417  61,257  10.6% Software services 52,515  49,820  2,695  5.4% Rent 36,455  36,076  379  1.1% Telecommunications 112,135  64,417  47,718  74.1% Product development expenses$839,779 $727,730  112,049   15.4% 

Product development costs increased as a result of a lower capitalization rate associated with software development.  This increase is partially offset by a reduction in overall staffing, as the Company prioritized increased productivity and operational efficiency. 

Depreciation and Amortization

Depreciation and amortization expense increased to $350,703 for the six months ended February 28, 2025 from $168,124 for the six months ended February 29, 2024, an increase of 108.6% due to depreciation of additionally capitalized software development costs associated with Play MPE® recipient player applications during the period.

Other Income

Interest income earned on the Company's investments was $14,901 for the six months ended February 28, 2025 (February 29, 2024 - $26,987).

18

Net Income (Loss)

During the three and six months ended February 28, 2025 the Company reported a net loss of $302,094 and net loss of $183,954, respectively (February 29, 2024 - net loss of $130,012 and net income of $119,504, respectively).

For the three and six months ended February 28, 2025, adjusted EBITDA was $(116,719) and $170,751, respectively (February 29, 2024 - $(47,792) and $285,101, respectively).