VANCOUVER, BRITISH COLUMBIA -- (Marketwired) -- 05/14/13 -- PNI Digital Media (TSX: PN)(OTCBB: PNDMF) ("PNI" or the "Company"), the leading innovator in digital media solutions for retailers, reported financial results for the fiscal 2013 second quarter ended March 31st, 2013 and discussed key operational developments for the quarter.
"While our current period revenues are down due to previously disclosed customer contract changes in Q4 last year, we are pleased to report progress on our strategies to return to growth by successfully releasing the next generation of our platform with the new site launch of www.costcophotocenter.com. This site showcases leading edge HTML5 technologies to enable uploading from any device, integration with leading cloud media companies such as Facebook, Dropbox, Instagram and Google G-Drive, and next generation content management tools," said Kyle Hall, Chief Executive Officer of PNI Digital Media. "In addition, with the completion of the acquisition of Quarterhouse Software, we are now able to more efficiently reach smaller retailers and multi-location franchisees, such as AlphaGraphics of the Palm Beaches, which we recently signed and are deploying with the technology acquired from Quarterhouse."
Fiscal 2013 Second Quarter Operational Highlights
-- The photo industry continues to grow and PNI processed a record 3.8 million transactions during the quarter, a 1% increase from the same period last year.-- The dollar value of transactions over the PNI Digital Media Platform continues to increase as PNI processed $41.8 million in online transactions on behalf of our retail partners, a 3% increase compared to the same quarter in fiscal 2012.-- In April, PNI successfully released the first implementation of its next-generation platform, featuring a range of new technologies including HTML5 to facilitate uploading of images from any connected device, a new photo book builder to promote creativity, improved user experiences and workflows to help consumers find, create and order truly exceptional products, a new content management system, and cloud media integrations with leaders like Facebook, Dropbox and Google G-Drive, making all those files and images seamlessly available for printing. The first launch was with Costco, showcased in an all-new online photo center at www.costcophotocenter.com. This is the first in a series of major customer site upgrades with more revenue-driving features still to come.-- In April, to accelerate the Company's Business Printing initiative, PNI acquired all outstanding shares in privately-held QS Quarterhouse Software Inc. ("Quarterhouse"), an Austin, Texas based company that is a leading developer of web-based print on demand software for commercial printers and distributors.-- In April, using technology acquired from Quarterhouse, PNI announced a definitive agreement with AlphaGraphics of the Palm Beaches, a multi- outlet franchisee, whereby the extended PNI Digital Media Platform will enable an all-new online business printing service that directly connects to its in-store printing capabilities.-- PNI successfully launched the new PNI Photo Services API, including signing several new partners who will use the API to submit orders from mobile apps over the Company's platform, creating incremental transactions on behalf of the Company's retail clients.-- PNI launched an all-new Android OS app using adaptive design for Tesco. The new app enables transactions from both Android-powered smartphones and tablets and is now available for all PNI customers.-- PNI continues its aggressive development of new HTML5 product builders to lead the industry in omni-channel solutions for retailers that enable them to reach their consumers and conduct transactions across any tablet, mobile device, in-store kiosk and home computer. Using these new innovations, PNI will roll out all-new stationery solutions with select partners in time for the 2013 holiday season.