A Canadian multimedia company that targets consumers over the age of 45 earned less money in the first nine months of its fiscal year compared with the same period for the previous year, according to an analysis of its most recent financial statement.

ZoomerMedia’s net income for the nine-month period covered by the financial statement was $48,160 — 99 per cent less than the same period of time for the previous year.

The company’s operating expenses continue to eat into its revenues.

Zoomer Media by mckied on TradingView.com

The company’s stock prices been decreasing.

From 2012 to 2016 the company’s operating expenses comprised more than 85 per cent of  revenues, according to an analysis of previous annual reports. “That’s actually pretty typical for a media company.” Said Dr. Richard Nason, finance Professor at Dalhousie University.

During the first nine months of the company’s current fiscal year that situation hasn’t changed;  operating expenses make up 96 per cent of its revenue.

Television is the company’s division with the highest operating expenses. This area experienced an increase of 18 per cent in operating expenses, compared to the same period during the previous year.

According  to the company’s Management Discussion and Analysis (MD&A) for the nine months ended May 2017, was increase is attributable to higher programming and transmission costs, as well as employee salaries.

The company spent $ 12.4 million on salaries and wages, 34 per cent of its total operating expenses, according to an analysis of the nine months ended May 2017.

ZoomerMedia which did not respond to repeated requests for an interview, claims to be “Canada’s only diversified media company uniquely devoted to creating content, services and experiences for people aged 45-plus,” according to its website. For Dr. Nason this is “a strong niche.”

“I don’t know if they’ll be around in 40 years but I think for the next ten years they’re looking pretty good simply because of their target market”.  Dr. Nason said.