Alliance Media Holdings Reports Financial Results for the Three and Nine Months Ended March 31, 2018

NEW YORK, July 16, 2018

Net revenues for the three months ended March 31, 2018 decreased 13% to $7.2 million from $8.2 million in the three months ended March 31, 2017.  Included in Operating Costs and Expenses for the three months ended March 31, 2108 is a $1.1 million provision for doubtful accounts on unpaid invoices for product shipped to Toys R Us. As a result, the Company lost approximately $1.8 million for the three months ended March 31, 2018 compared to a loss of $674,000 for the comparable period in 2017.

For the nine months ended March 31, 2018 net revenues decreased 11% to $27.9 million from $31.5 in the nine months ended March 31, 2017.  The Company lost approximately $2.2 million for the nine months ended March 31, 2017 compared to a loss of $836,000 for the comparable period in 2017. 

Jay Gelman, Chairman and Chief Executive Officer, said, "The Company's results for the quarter were adversely effected by the decline of the box game business and the bankruptcy of Toys R Us. The decline continues. During the fourth quarter ended June 30, 2018 we reduced our inventory to roughly $4 million. We are in default of our bank covenants but to date this has not affected our day to day banking activities. Our digital initiatives press ahead in full force."

About Alliance

Alliance Media Holdings Inc. (www.alliancemediaholdings.com) is a vertically integrated video game company. Its Alliance Distributors operating division is a full-service wholesale distributor of video games, hardware and accessories, with a special concentration in value video games.  Alliance is a licensed publisher for Sony Computer Entertainment of America, Microsoft and Nintendo, and as Alliance Digital Media® publishes both originally created and third party licensed games in console, mobile, and PC/Mac formats.  Alliance develops both original and third-party video games as Zachtronics.

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