x |
QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 |
¨ |
TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the Transition Period from
to |
| PART I. FINANCIAL INFORMATION |
||||||
| Item 1. |
Financial Statements |
|||||
| 3 | ||||||
| 4 | ||||||
| 5 | ||||||
| 6 | ||||||
| Item 2. |
15 | |||||
| Item 3. |
32 | |||||
| PART II. OTHER INFORMATION |
||||||
| Item 1. |
35 | |||||
| Item 2. |
36 | |||||
| Item 3. |
36 | |||||
| Item 4. |
36 | |||||
| Item 5. |
36 | |||||
| Item 6. |
37 | |||||
| 38 | ||||||
| June 30, 2002
|
March 31, 2002 |
|||||||
| ASSETS |
||||||||
| Current assets: |
||||||||
| Cash and cash equivalents |
$ |
96,250 |
|
$ |
66,874 |
| ||
| Short-term investments |
|
72,952 |
|
|
95,097 |
| ||
| |
|
|
|
|
| |||
| Total cash, cash equivalents and short-term investments |
|
169,202 |
|
|
161,971 |
| ||
| Accounts receivable, net |
|
38,304 |
|
|
24,181 |
| ||
| Prepaid expenses and other current assets |
|
27,268 |
|
|
30,545 |
| ||
| |
|
|
|
|
| |||
| Total current assets |
|
234,774 |
|
|
216,697 |
| ||
| Related party loans |
|
8,409 |
|
|
8,305 |
| ||
| Fixed assets, net |
|
46,727 |
|
|
49,189 |
| ||
| Intangible assets, net |
|
223,215 |
|
|
226,579 |
| ||
| Restricted cash |
|
10,922 |
|
|
11,409 |
| ||
| Other non-current assets |
|
4,751 |
|
|
5,659 |
| ||
| |
|
|
|
|
| |||
| Total assets |
$ |
528,798 |
|
$ |
517,838 |
| ||
| |
|
|
|
|
| |||
| LIABILITIES AND STOCKHOLDERS EQUITY |
||||||||
| Current liabilities: |
||||||||
| Accounts payable |
$ |
7,039 |
|
$ |
6,719 |
| ||
| Accrued liabilities |
|
59,611 |
|
|
56,082 |
| ||
| Accrued restructuring, current |
|
10,789 |
|
|
12,224 |
| ||
| Unearned revenues |
|
29,716 |
|
|
24,791 |
| ||
| |
|
|
|
|
| |||
| Total current liabilities |
|
107,155 |
|
|
99,816 |
| ||
| Accrued restructuring, non-current |
|
28,772 |
|
|
30,809 |
| ||
| Other non-current liabilities |
|
6,499 |
|
|
6,492 |
| ||
| |
|
|
|
|
| |||
| Total liabilities |
|
142,426 |
|
|
137,117 |
| ||
| |
|
|
|
|
| |||
| Stockholders equity: |
||||||||
| Common stock and additional paid-in capital, par value $0.001 per common share; 200,000 shares authorized; 61,601 and
60,987 shares issued at June 30, 2002 and March 31, 2002, respectively |
|
743,612 |
|
|
734,816 |
| ||
| Treasury stock at cost; 1,818 common shares at June 30, 2002 and March 31, 2002 |
|
(33,649 |
) |
|
(33,649 |
) | ||
| Deferred stock compensation |
|
(182 |
) |
|
(281 |
) | ||
| Accumulated other comprehensive loss |
|
(1,418 |
) |
|
(158 |
) | ||
| Accumulated deficit |
|
(321,991 |
) |
|
(320,007 |
) | ||
| |
|
|
|
|
| |||
| Total stockholders equity |
|
386,372 |
|
|
380,721 |
| ||
| |
|
|
|
|
| |||
| Total liabilities and stockholders equity |
$ |
528,798 |
|
$ |
517,838 |
| ||
| |
|
|
|
|
| |||
| Three Months Ended June 30, |
||||||||
| 2002 |
2001 |
|||||||
| Net revenues |
$ |
83,689 |
|
$ |
88,743 |
| ||
| Cost of revenues |
|
10,506 |
|
|
11,137 |
| ||
| |
|
|
|
|
| |||
| Gross profit |
|
73,183 |
|
|
77,606 |
| ||
| |
|
|
|
|
| |||
| Operating expenses: |
||||||||
| Sales and marketing |
|
37,378 |
|
|
48,621 |
| ||
| Research and development |
|
26,372 |
|
|
29,946 |
| ||
| General and administrative |
|
10,613 |
|
|
12,736 |
| ||
| Restructuring expenses |
|
|
|
|
39,539 |
| ||
| Amortization of intangible assets |
|
3,364 |
|
|
29,065 |
| ||
| |
|
|
|
|
| |||
| Total operating expenses |
|
77,727 |
|
|
159,907 |
| ||
| |
|
|
|
|
| |||
| Operating loss |
|
(4,544 |
) |
|
(82,301 |
) | ||
| |
|
|
|
|
| |||
| Other income (expense): |
||||||||
| Interest income and other, net |
|
1,148 |
|
|
2,826 |
| ||
| Loss on investments |
|
(803 |
) |
|
(6,683 |
) | ||
| Loss on equity affiliate |
|
|
|
|
(26,861 |
) | ||
| Litigation settlements |
|
2,822 |
|
|
|
| ||
| |
|
|
|
|
| |||
| Total other income (expense) |
|
3,167 |
|
|
(30,718 |
) | ||
| |
|
|
|
|
| |||
| Loss before income taxes |
|
(1,377 |
) |
|
(113,019 |
) | ||
| Provision (benefit) for income taxes |
|
607 |
|
|
(1,245 |
) | ||
| |
|
|
|
|
| |||
| Net loss |
$ |
(1,984 |
) |
$ |
(111,774 |
) | ||
| |
|
|
|
|
| |||
| Net loss per common share: |
||||||||
| Basic and diluted |
$ |
(0.03 |
) |
$ |
(1.94 |
) | ||
| Weighted average common shares outstanding used in calculating net loss per common share: |
||||||||
| Basic and diluted |
|
59,550 |
|
|
57,522 |
| ||
| Three Months Ended June 30, |
||||||||
| 2002 |
2001 |
|||||||
| Cash flows from operating activities: |
||||||||
| Net loss |
$ |
(1,984 |
) |
$ |
(111,774 |
) | ||
| Adjustments to reconcile net loss to net cash provided by (used in) operating activities: |
||||||||
| Depreciation and amortization |
|
7,974 |
|
|
41,801 |
| ||
| Deferred income taxes |
|
|
|
|
(2,198 |
) | ||
| Impairment of long-lived assets |
|
|
|
|
13,062 |
| ||
| Loss on investments |
|
803 |
|
|
6,683 |
| ||
| Loss on equity affiliate |
|
|
|
|
26,861 |
| ||
| Change in operating assets and liabilities: |
||||||||
| Accounts receivable, net |
|
(14,123 |
) |
|
7,358 |
| ||
| Prepaid expenses and other current assets |
|
3,742 |
|
|
1,853 |
| ||
| Accrued liabilities and payables |
|
2,558 |
|
|
(16,965 |
) | ||
| Accrued restructuring |
|
(3,472 |
) |
|
21,880 |
| ||
| Unearned revenues |
|
4,925 |
|
|
857 |
| ||
| |
|
|
|
|
| |||
| Net cash provided by (used in) operating activities |
|
423 |
|
|
(10,582 |
) | ||
| |
|
|
|
|
| |||
| Cash flows from investing activities: |
||||||||
| Capital expenditures |
|
(2,342 |
) |
|
(10,357 |
) | ||
| Purchases of available-for-sale short-term investments |
|
(13,566 |
) |
|
(26,057 |
) | ||
| Maturities and sales of available-for-sale short-term investments |
|
35,536 |
|
|
35,917 |
| ||
| Purchases of investments |
|
|
|
|
(2,995 |
) | ||
| Release (deposits) of restricted cash |
|
487 |
|
|
(2,207 |
) | ||
| Other, net |
|
43 |
|
|
(785 |
) | ||
| |
|
|
|
|
| |||
| Net cash provided by (used in) investing activities |
|
20,158 |
|
|
(6,484 |
) | ||
| |
|
|
|
|
| |||
| Cash flows from financing activities: |
||||||||
| Proceeds from issuance of common stock |
|
8,795 |
|
|
3,113 |
| ||
| |
|
|
|
|
| |||
| Net cash provided by financing activities |
|
8,795 |
|
|
3,113 |
| ||
| |
|
|
|
|
| |||
| Net increase (decrease) in cash and cash equivalents |
|
29,376 |
|
|
(13,953 |
) | ||
| Cash and cash equivalents, beginning of period |
|
66,874 |
|
|
116,507 |
| ||
| |
|
|
|
|
| |||
| Cash and cash equivalents, end of period |
$ |
96,250 |
|
$ |
102,554 |
| ||
| |
|
|
|
|
| |||