TigerLogic Corporation Announces Results For The Second Quarter Ended September 30, 2013
IRVINE, Calif., Nov. 8, 2013 /PRNewswire/ -- TigerLogic Corporation (Nasdaq: TIGR) today announced financial results for the second quarter ended September 30, 2013. Net revenue increased $0.6 million to $3.8 million for the second quarter ended September 30, 2013, as compared to prior fiscal year second quarter net revenue of $3.2 million, primarily due to higher revenue from our social and mobile platform. Net loss was $1.2 million and $0.5 million for the second quarters ended September 30, 2013 and September 30, 2012, respectively. Net loss per share was $0.04 and $0.02 for the quarters ended September 30, 2013 and September 30, 2012, respectively. Cash balance was $4.9 million at September 30, 2013, as compared to $7.6 million at September 30, 2012.
Adjusted earnings before interest, taxes, depreciation, amortization, other income (expense)-net, and non-cash stock-based compensation expense ("Adjusted EBITDA") for the quarter ended September 30, 2013 was negative $0.7 million or negative 18% of net revenue, as compared to negative $0.2 million or negative 6% of net revenue for the same period in the prior fiscal year. The decrease in Adjusted EBITDA for the three months ended September 30, 2013 when compared to the same period in the prior year was a result of higher operating expenses primarily from the acquisition of Storycode that was completed on January 17, 2013, and higher professional services expenses relating to the pending asset sale of the Company's MDMS business, which is anticipated to be completed during the quarter ending December 31, 2013. The Company computes Adjusted EBITDA, as reflected in the table appearing at the end of this press release, by adding depreciation, amortization, non-cash stock-based compensation expense, interest (income) expense, other (income) expense, and income tax provision (benefit) to its GAAP reported net loss.
Earnings Call
On Monday, November 11, 2013 at 5:00 p.m. Eastern Time, TigerLogic's management will host a conference call to discuss the company's financial results for the second quarter of fiscal year 2014 and provide a general business update.
The call can be accessed by dialing 1-877-481-4996 (Domestic) or 1-518-444-5106 (International), and by providing the operator the conference ID number 97158966.
A taped rebroadcast of the call will be available approximately two hours after the call through November 18, 2013. To access the taped rebroadcast, dial 1-855-859-2056/1-800-585-8367 (Domestic) or 1-404-537-3406 (International), and enter security code 081213 and conference ID number 97158966.
The earnings call will also be archived for one year in the Earnings Releases section of TigerLogic's website at: http://www.tigerlogic.com/tigerlogic/company/press/earnings/index.jsp.
About TigerLogic Corporation
TigerLogic Corporation (Nasdaq: TIGR) is a global provider of application development solutions for enterprises that need to launch easy and cost-effective e-business initiatives. TigerLogic's offerings include cross-platform and mobile solutions for rapid application development, social media content aggregation, as well as search enhancement. More information about TigerLogic and its products can be found at http://www.tigerlogic.com.
Except for the historical statements contained herein, the foregoing release may contain forward-looking information. Any forward-looking statements are subject to risks and uncertainties, and actual results could differ materially due to several factors, including but not limited to the success of the Company's research and development efforts to develop new products and to penetrate new markets, the market acceptance of the Company's new products and updates, technical risks related to such products and updates, the Company's ability to maintain market share for its existing products, the availability of adequate liquidity and other risks and uncertainties. Please consult the various reports and documents filed by the Company with the U.S. Securities and Exchange Commission, including but not limited to the Company's most recent reports on Form 10-K and Form 10-Q for factors potentially affecting the Company's future financial results. All forward-looking statements are made as of the date hereof and the Company disclaims any responsibility to update or revise any forward-looking statement provided in this news release. The Company's results for the quarter ended September 30, 2013 are not necessarily indicative of the Company's operating results for any future periods.
TigerLogic, Postano, yolink, Raining Data, Pick, mvDesigner, D3, mvEnterprise, mvBase, Omnis, Omnis Studio, and Storycode are trademarks of TigerLogic Corporation. All other trademarks and registered trademarks are properties of their respective owners.
|
TIGERLOGIC CORPORATION AND SUBSIDIARIES | |||||
|
UNAUDITED CONDENSED CONSOLIDATED BALANCE SHEETS | |||||
|
(In thousands) | |||||
|
September 30, |
March 31, | ||||
|
2013 |
2013 | ||||
|
ASSETS |
|||||
|
Current assets: |
|||||
|
Cash |
$ 4,881 |
$ 6,465 | |||
|
Trade accounts receivable, less allowance for doubtful |
|||||
|
accounts of $24 and $24, respectively |
1,675 |
986 | |||
|
Other current assets |
527 |
561 | |||
|
Total current assets |
7,083 |
8,012 | |||
|
Property, furniture and equipment, net |
572 |
551 | |||
|
Goodwill |
31,656 |
31,656 | |||
|
Intangible assets, net |
551 |
593 | |||
|
Deferred tax assets |
229 |
228 | |||
|
Other assets |
86 |
111 | |||
|
Total assets |
$ 40,177 |
$ 41,151 | |||
|
LIABILITIES AND STOCKHOLDERS' EQUITY |
|||||
|
Current liabilities: |
|||||
|
Accounts payable |
$ 443 |
$ 388 | |||
|
Accrued liabilities |
1,658 |
1,294 | |||
|
Deferred revenue |
4,490 |
4,342 | |||
|
Total current liabilities |
6,591 |
6,024 | |||
|
Other long-term liabilities |
144 |
137 | |||
|
Total liabilities |
6,735 |
6,161 | |||
|
Commitments and contingencies |
|||||
|
Stockholders' equity: |
|||||
|
Preferred stock |
- |
- | |||
|
Common stock |
3,007 |
2,993 | |||
|
Additional paid-in-capital |
142,283 |
141,478 | |||
|
Accumulated other comprehensive income |
2,306 |
2,257 | |||
|
Accumulated deficit |
(114,154) |
(111,738) | |||
|
Total stockholders' equity |
33,442 |
34,990 | |||
|
Total liabilities and stockholders' equity |
$ 40,177 |
$ 41,151 | |||
|
TIGERLOGIC CORPORATION AND SUBSIDIARIES | ||||||||||
|
UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE LOSS | ||||||||||
|
(In thousands, except per share data) | ||||||||||
|
Three Months Ended |
Six Months Ended | |||||||||
|
September 30, |
September 30, | |||||||||
|
2013 |
2012 |
2013 |
2012 | |||||||
|
Net revenues: |
||||||||||
|
Licenses |
$ 1,357 |
$ 910 |
$ 2,655 |
$ 1,905 | ||||||
|
Services |
2,482 |
2,246 |
4,909 |
4,535 | ||||||
|
Total net revenues |
3,839 |
3,156 |
7,564 |
6,440 | ||||||
|
Operating expenses: |
||||||||||
|
Cost of license revenues |
66 |
2 |
84 |
4 | ||||||
|
Cost of revenue-amortization of |
||||||||||
|
intangible asset |
19 |
- |
38 |
- | ||||||
|
Cost of service revenues |
524 |
400 |
1,013 |
824 | ||||||
|
Selling and marketing |
1,505 |
1,056 |
3,103 |
2,113 | ||||||
|
Research and development |
1,528 |
1,264 |
2,976 |
2,499 | ||||||
|
General and administrative |
1,279 |
915 |
2,416 |
1,952 | ||||||
|
Acquisition related costs |
- |
- |
209 |
- | ||||||
|
Total operating expenses |
4,921 |
3,637 |
9,839 |
7,392 | ||||||
|
Operating loss |
(1,082) |
(481) |
(2,275) |
(952) | ||||||
|
Other expense: |
||||||||||
|
Interest expense-net |
(1) |
(1) |
(2) |
(4) | ||||||
|
Other expense-net |
(29) |
(11) |
(21) |
(27) | ||||||
|
Total other expense |
(30) |
(12) |
(23) |
(31) | ||||||
|
Loss before income taxes |
(1,112) |
(493) |
(2,298) |
(983) | ||||||
|
Income tax provision |
66 |
19 |
118 |
22 | ||||||
|
Net loss |
$ (1,178) |
$ (512) |
$ (2,416) |
$ (1,005) | ||||||
|
Other comprehensive loss: |
||||||||||
|
Foreign currency translation adjustments |
57 |
30 |
49 |
27 | ||||||
|
Total comprehensive loss |
$ (1,121) |
$ (482) |
$ (2,367) |
$ (978) | ||||||
|
Basic and diluted net loss per share |
$ (0.04) |
$ (0.02) |
$ (0.08) |
$ (0.04) | ||||||
|
Shares used in computing basic and |
||||||||||
|
diluted net loss per share |
30,042 |
28,210 |
29,997 |
28,200 | ||||||
|
TIGERLOGIC CORPORATION AND SUBSIDIARIES | |||||||
|
UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS | |||||||
|
(In thousands) | |||||||
|
Six Months Ended September 30, | |||||||
|
2013 |
2012 | ||||||
|
Cash flows from operating activities: |
|||||||
|
Net loss |
$ (2,416) |
$ (1,005) | |||||
|
Adjustments to reconcile net loss to net cash |
|||||||
|
used in operating activities: |
|||||||
|
Depreciation and amortization of long-lived assets |
94 |
66 | |||||
|
Recovery from bad debt |
- |
(7) | |||||
|
Stock-based compensation expense |
763 |
500 | |||||
|
Foreign currency exchange loss |
28 |
33 | |||||
|
Change in assets and liabilities: |
|||||||
|
Trade accounts receivable |
(645) |
(98) | |||||
|
Other current assets |
148 |
(15) | |||||
|
Accounts payable |
(38) |
(62) | |||||
|
Accrued liabilities |
333 |
(314) | |||||
|
Deferred revenue |
88 |
(419) | |||||
|
Net cash used in operating activities |
(1,645) |
(1,321) | |||||
|
Cash used in investing activities - purchase of property, |
|||||||
|
furniture and equipment |
(33) |
(27) | |||||
|
Cash from financing activities: |
|||||||
|
Proceeds from exercise of stock options |
32 |
24 | |||||
|
Proceeds from issuance of common stock |
24 |
23 | |||||
|
Net cash provided by financing activities |
56 |
47 | |||||
|
Effect of exchange rate changes on cash |
38 |
(26) | |||||
|
Net decrease in cash |
(1,584) |
(1,327) | |||||
|
Cash at beginning of the period |
6,465 |
8,918 | |||||
|
Cash at end of the period |
$ 4,881 |
$ 7,591 | |||||
Non-GAAP Financial Information
EBITDA or Adjusted EBITDA (each as defined below) should not be construed as a substitute for net income (loss) or as a better measure of liquidity than cash flow from operating activities determined in accordance with U.S. GAAP. EBITDA and Adjusted EBITDA exclude components that are significant in understanding and assessing our results of operations and cash flows. EBITDA or Adjusted EBITDA do not represent funds available for management's discretionary use and are not intended to represent cash flow from operations. In addition, EBITDA and Adjusted EBITDA are not terms defined by GAAP and as a result our measure of EBITDA and Adjusted EBITDA might not be comparable to similarly titled measures used by other companies.
However, EBITDA and Adjusted EBITDA are used by management to evaluate, assess and benchmark our operational results and the Company believes that EBITDA and Adjusted EBITDA are relevant and useful information widely used by analysts, investors and other interested parties in our industry. Accordingly, the Company is disclosing this information to permit a more comprehensive analysis of its operating performance, to provide an additional measure of performance and liquidity and to provide additional information with respect to the Company's ability to meet future capital expenditure and working capital requirements.
EBITDA is defined as net income (loss) with adjustments for depreciation and amortization, interest income (expense)-net, and income tax provision (benefit). Adjusted EBITDA used by the Company is defined as EBITDA plus adjustments for other income (expense)-net, and non-cash stock-based compensation expense.
The Company's Adjusted EBITDA financial information is comparable to net loss. The table below reconciles Adjusted EBITDA to the Company's GAAP reported net loss:
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TIGERLOGIC CORPORATION AND SUBSIDIARIES | ||||||||||
|
RECONCILIATION OF ADJUSTED EBITDA TO NET LOSS | ||||||||||
|
(In thousands) | ||||||||||
|
For the Three Months |
For the Six Months | |||||||||
|
Ended September 30, |
Ended September 30, | |||||||||
|
2013 |
2012 |
2013 |
2012 | |||||||
|
Reported net loss |
$ (1,178) |
$ (512) |
$ (2,416) |
$ (1,005) | ||||||
|
Depreciation and amortization |
45 |
31 |
94 |
66 | ||||||
|
Stock-based compensation |
364 |
276 |
763 |
500 | ||||||
|
Interest expense-net |
1 |
1 |
2 |
4 | ||||||
|
Other expense-net |
29 |
11 |
21 |
27 | ||||||
|
Income tax provision |
66 |
19 |
118 |
22 | ||||||
|
Adjusted EBITDA |
$ (673) |
$ (174) |
$ (1,418) |
$ (386) | ||||||
Our Adjusted EBITDA financial information can also be reconciled to net cash used in operating activities as follows:
|
TIGERLOGIC CORPORATION AND SUBSIDIARIES | ||||
|
RECONCILIATION OF ADJUSTED EBITDA TO NET CASH USED IN OPERATING ACTIVITIES | ||||
|
(In thousands) | ||||
|
For the Six Months Ended September 30, | ||||
|
2013 |
2012 | |||
|
Net cash used in operating activities |
$ (1,645) |
$ (1,321) | ||
|
Interest expense-net |
2 |
4 | ||
|
Other expense-net |
21 |
27 | ||
|
Income tax provision |
118 |
22 | ||
|
Change in trade accounts receivable |
645 |
98 | ||
|
Change in other current assets |
(148) |
15 | ||
|
Change in accounts payable |
38 |
62 | ||
|
Change in accrued liabilities |
(333) |
314 | ||
|
Change in deferred revenue |
(88) |
419 | ||
|
Foreign currency exchange loss |
(28) |
(33) | ||
|
Recovery from bad debt |
- |
7 | ||
|
Adjusted EBITDA |
$ (1,418) |
$ (386) | ||
SOURCE TigerLogic Corporation
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