SECURITIES AND EXCHANGE COMMISSION
Washington, DC 20549
FORM 10-Q
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QUARTERLY
REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES |
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For the quarterly period ended September 30, 2003 |
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Or |
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TRANSITION
REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES |
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For the transition period from to |
Commission file number 0-26083
INSWEB CORPORATION
(Exact name of Registrant as specified in its charter)
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Delaware |
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94-3220749 |
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(State
or other jurisdiction of |
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(IRS
Employer |
11290 Pyrites Way, Suite 200
Gold River, California 95670
(Address of principal executive offices)
(916) 853-3300
(Registrant’s telephone number, including area code)
Indicate by check mark whether the Registrant (1) has filed all reports required to be filed by Sections 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the Registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. Yes ý No o
Indicate by check mark whether the Registrant is an accelerated filer (as defined in Rule 12b-2 of the Exchange Act). Yes o No ý
The number of outstanding shares of the Registrant’s Common Stock, par value $0.001 per share, on October 31, 2003 were 4,683,819 shares.
FORM 10-Q
INSWEB CORPORATION
INDEX
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Condensed Consolidated Balance Sheets as of September 30, 2003 and December 31, 2002 |
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Management’s Discussion and Analysis of Financial Condition and Results of Operations |
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INSWEB CORPORATION AND SUBSIDIARIES
CONDENSED CONSOLIDATED BALANCE SHEETS
(in thousands)
(unaudited)
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September 30, |
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December 31, |
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Assets |
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Current assets: |
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Cash and cash equivalents |
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$ |
11,681 |
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$ |
12,382 |
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Short-term investments |
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9,764 |
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16,541 |
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Other available for sale securities – Finance All K.K. |
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3,941 |
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— |
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Accounts receivable, net |
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2,097 |
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2,236 |
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Prepaid expenses and other current assets |
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955 |
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1,232 |
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Total current assets |
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28,438 |
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32,391 |
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Property and equipment, net |
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1,595 |
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2,197 |
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Other assets |
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949 |
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3,104 |
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Total assets |
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$ |
30,982 |
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$ |
37,692 |
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Liabilities and stockholders’ equity |
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Current liabilities: |
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Accounts payable |
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$ |
1,133 |
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$ |
888 |
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Accrued expenses |
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5,245 |
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5,605 |
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Deferred revenue |
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344 |
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575 |
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Marketing commitment |
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311 |
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2,306 |
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Note payable to stockholder |
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1,230 |
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Total current liabilities |
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7,033 |
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10,604 |
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Commitments and contingencies |
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Stockholders’ equity: |
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Common stock |
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7 |
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7 |
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Paid-in capital, less treasury stock |
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198,096 |
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202,051 |
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Accumulated other comprehensive income (loss) |
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3,178 |
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(208 |
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Accumulated deficit |
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(177,332 |
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(174,762 |
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Total stockholders’ equity |
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23,949 |
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27,088 |
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Total liabilities and stockholders’ equity |
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$ |
30,982 |
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$ |
37,692 |
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See accompanying notes.
3
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(in thousands, except per share amounts)
(unaudited)
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Three Months |
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Nine Months |
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2003 |
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2002 |
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2003 |
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2002 |
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Revenues: |
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Transaction fees |
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$ |
5,931 |
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$ |
5,734 |
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$ |
19,253 |
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$ |
18,012 |
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Development and maintenance fees |
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255 |
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282 |
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738 |
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1,157 |
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Total revenues |
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6,186 |
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6,016 |
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19,991 |
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19,169 |
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Operating expenses: |
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Technology |
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2,091 |
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2,338 |
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6,762 |
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7,956 |
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Sales and marketing |
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4,327 |
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4,376 |
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13,116 |
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13,801 |
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General and administrative |
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1,249 |
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1,725 |
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4,481 |
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5,489 |
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Total operating expenses |
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7,667 |
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8,439 |
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24,359 |
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27,246 |
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Loss from operations |
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(1,481 |
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(2,423 |
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(4,368 |
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(8,077 |
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Interest expense |
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(21 |
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(67 |
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(84 |
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(414 |
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Interest income |
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58 |
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169 |
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224 |
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522 |
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Other income |
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849 |
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12 |
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1,658 |
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9,422 |
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Net (loss) income |
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$ |
(595 |
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$ |
(2,309 |
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$ |
(2,570 |
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$ |
1,453 |
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Net (loss) income per share-basic and diluted |
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