- Toronto-based education technology company has a suite of products designed to teach English to a global population
- Novel speech recognition technology allows users to analyze pronunciation and simulate real-life conversation scenarios
- Major strategic partnerships in South America and China, which are its main target markets
What Lingo Media does:
Lingo Media Corporation (CVE:LM) (OTCMKTS:LMDCF) is an education technology company which develops English language learning products to support learners through various life stages — from classroom to boardroom. The Toronto-based company publishes English language learning material in multiple media formats for international markets. It develops books, tapes, videos, compact discs, and online content.
With over 1.6 billion people globally learning the language, English-as-a-second language (ESL) products and services are an estimated $56 billion industry, according to data from Ambient Insight. What’s more, digital ESL applications are booming in both market value and popularity, democratizing access to the world’s most popular language.
Against this backdrop, Lingo has developed a software-as-a-service (SaaS) learning platform with a complete suite of products that seamlessly blends education and technology by way of two distinct business units: ELL Technologies and Lingo Learning.
ELL Technologies provides online training and assessment for English language learning, while Lingo Learning is a print-based publisher of English language learning programs in China, where Lingo Media has a particularly strong presence.
Lead product ELL Technologies is aimed squarely at academic institutions, governments and corporations offering lessons and teaching material.
A major differentiating feature of the product is Lingo’s speech recognition technology that allows users to analyze pronunciation and simulate real-life conversation scenarios. Users can record and compare themselves with native speakers to match their pronunciation.
How is it doing:
It has been a busy spell for Lingo. The edtech company recently.reported its third-quarter results to end September, a period in which it signed new distribution agreements in Ecuador and Mexico and expanded its Primary English program into a further province in China.
During the quarter, the company implemented a number of functionality and feature upgrades to its platform which provides greater flexibility and expanded offering to teachers and students.
For the third quarter, the company clocked up C$117,545 in revenue, compared to C$186,518 in the same period a year earlier. Operating and development expenses for the quarter totalled C$310,853, up from C$297,242 in the same quarter of 2018.
In December, the group said it hired a sales manager to expand sales in Latin America.
The edtech company’s business model is to establish blue-chip alliances with academic intuitions around the world.
A major multimillion-dollar contract is with Colombia’s National Training Service, SENA, where Lingo is developing a digital content library. The contract hit a number of major milestones for Lingo as a significant partnership with a leading government body in Latin America.
In September 2018, ELL Technologies secured a sales contract with FOCUS Your Mind Colombia to implement its new online English language learning program, one of several agreements in the country.
Nearby in Peru, the company has a distribution partnership with Telefonica Group, a dominant telecommunications firm in the region. It also has alliances with education publisher Gale Cengage and language assessment tool provider iTEP.
It also recently secured a new distribution partnership with JPH Consultoria Academica in Guatemala.
Lingo has also invested in a new Learning Management System (LMS) to include access to the full content library configured to individual client requirements through a chat functionality. It also completed development of a resource allocation functionality feature for the LMS for teachers.
Lingo Media should get terrific traction as it has implemented a number of functionality and feature upgrades to its platform. This provides the company with greater flexibility and an expanded offering for teachers and students.
The company has been working with its channel partners to renew existing contracts and to build new business. In addition, it has expanded its distribution network and expects the new relationships to drive sales contracts in 2020.
The recent investment in a new Learning Management System sets up its business unit ELL Technologies for growth.
Lingo can get a boost from its recently added sales personnel and expansion of its network of distributors and representatives with the focus on generating sales from large government level deals. These deals can have a longer sales contract completion cycle.
The company has also said it is evaluating M&A opportunities to position the company for accelerated growth.
What the boss says:
“We believe that our strategic assets, management team, and growing distribution channels will allow us to scale sales and growth to deliver value to shareholders,” Lingo Media CEO Gali Bar-Ziv said recently.
“The company is advancing strategic distribution initiatives for our suite of online training solutions and also pursuing M&A opportunities in the EdTech space,” he added.
Contact Uttara Choudhury at [email protected]
Follow her on Twitter: @UttaraProactive