UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, DC 20549
FORM 10-Q
(Mark One)
ý QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15 (d) OF THE SECURITIES EXCHANGE ACT OF 1934
For the quarterly period ended September 30, 2004
OR
o TRANSITION REPORT PURSUANT TO SECTION 13 OR 15 (d) OF THE SECURITIES EXCHANGE ACT OF 1934
For the transition period from to
Commission File Number 0-22871
OMTOOL, LTD.
(Exact Name of Registrant as Specified in Its Charter)
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Delaware |
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02-0447481 |
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(State
or Other Jurisdiction of |
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(I.R.S.
Employer |
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8A Industrial Way, Salem, NH |
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03079 |
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(Address of Principal Executive Offices) |
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(Zip Code) |
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(603) 898-8900 |
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(Registrant’s Telephone Number Including Area Code) |
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Indicate by check mark whether the Registrant has: (1) filed all reports required to be filed by Section 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 Securities Exchange Act of 1934).
Yes o No ý
There were 3,851,472 shares of the Company’s Common Stock, par value $0.01, outstanding on November 12, 2004.
OMTOOL, LTD. AND SUBSIDIARIES
FORM 10-Q
For the Quarter Ended September 30, 2004
CONTENTS
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Item Number |
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Consolidated Balance Sheets as of September 30, 2004 and December 31, 2003 (Unaudited) |
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Management’s Discussion and Analysis of Financial Condition and Results of Operations |
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Item 1. Consolidated Financial Statements
OMTOOL, LTD. AND SUBSIDIARIES
(Unaudited)
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September 30, |
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December 31, |
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ASSETS |
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Current assets: |
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Cash and cash equivalents |
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$ |
10,032,239 |
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$ |
8,242,067 |
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Accounts receivable, less reserves of $123,000 at September 30, 2004 and $367,000 at December 31, 2003 |
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1,269,652 |
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1,535,540 |
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Inventories |
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37,936 |
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37,632 |
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Prepaid expenses and other current assets |
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386,330 |
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268,112 |
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Total current assets |
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11,726,157 |
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10,083,351 |
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Property and equipment, net |
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242,128 |
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394,623 |
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Other assets |
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11,563 |
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13,962 |
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Total assets |
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$ |
11,979,848 |
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$ |
10,491,936 |
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LIABILITIES AND STOCKHOLDERS’ EQUITY |
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Current liabilities: |
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Accounts payable |
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$ |
790,039 |
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$ |
883,583 |
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Accrued liabilities |
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1,176,168 |
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1,202,359 |
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Accrued restructuring |
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— |
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443,830 |
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Accrued state sales tax |
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828,076 |
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1,010,496 |
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Deferred revenue, short term |
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2,833,599 |
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3,306,474 |
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Total current liabilities |
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5,627,882 |
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6,846,742 |
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Long term liabilities: |
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Deferred revenue, long-term |
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301,764 |
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205,967 |
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Total liabilities |
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5,929,646 |
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7,052,709 |
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Stockholders’ equity: |
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Preferred Stock, $0.01 par value — |
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Authorized — 2,000,000 shares; Issued and outstanding — none |
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— |
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— |
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Common Stock, $0.01 par value — |
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Authorized — 35,000,000 shares; Issued —
4,367,878 shares at September 30, 2004 and 3,716,878 shares at December 31,
2003; |
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43,678 |
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37,169 |
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Additional paid-in capital |
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35,259,708 |
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31,936,038 |
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Accumulated deficit |
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(26,565,955 |
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(27,617,599 |
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Treasury stock, at cost (516,406 shares at September 30, 2004 and 216,378 shares at December 31, 2003) |
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(2,649,757 |
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(877,934 |
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Accumulated other comprehensive loss |
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(37,472 |
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(38,447 |
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Total stockholders’ equity |
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6,050,202 |
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3,439,227 |
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Total liabilities and stockholders’ equity |
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$ |
11,979,848 |
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$ |
10,491,936 |
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The accompanying notes are an integral part of these unaudited consolidated financial statements.
1
OMTOOL, LTD. AND SUBSIDIARIES
Consolidated Statements of Operations
(Unaudited)
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Three months ended |
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Nine months ended |
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2004 |
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2003 |
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2004 |
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2003 |
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Revenues: |
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Software license |
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$ |
1,011,298 |
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$ |
983,595 |
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$ |
3,314,682 |
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$ |
2,971,873 |
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Hardware |
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696,715 |
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710,189 |
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2,312,461 |
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1,827,528 |
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Service and other |
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1,739,991 |
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1,856,348 |
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5,216,520 |
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5,064,671 |
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Total revenues |
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3,448,004 |
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3,550,132 |
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10,843,663 |
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9,864,072 |
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Cost of revenues: |
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Software license |
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32,659 |
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86,820 |
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150,833 |
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237,635 |
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Hardware |
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404,545 |
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432,000 |
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1,393,065 |
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1,231,520 |
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Service and other |
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676,073 |
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816,610 |
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2,067,721 |
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2,414,010 |
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