Attached files
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| 8-K - FORM 8-K - HOLLYWOOD MEDIA CORP | v313435_8k.htm |
Exhibit 99.1
HOLLYWOOD MEDIA CORP. REPORTS 2012 FIRST QUARTER RESULTS
~ Expects to Receive $7 Million Earnout Payment in 2012 Related to Sale of Broadway Ticketing Business ~
BOCA RATON, Fla., May 15, 2012 – Hollywood Media Corp. (Nasdaq: HOLL) today reported financial results for the first quarter ended March 31, 2012.
On a continuing operations basis which includes the contribution from the Ad Sales and Intellectual Property divisions, net revenues for the 2012 first quarter were $0.7 million compared to $1.0 million in the prior-year period.
Loss from continuing operations for the 2012 first quarter was $0.6 million, or $0.03 per share, compared to a loss from continuing operations last year of $1.7 million, or $0.06 per share.
Net loss, which includes discontinued operations, was $0.4 million or $0.02 per share, in the 2012 first quarter, compared to a net loss of $1.6 million or $0.06 per share in the prior year period.
The Company had approximately 23.2 million weighted average shares outstanding in the 2012 first quarter compared to 28.1 million weighted average shares outstanding in the prior-year period. The reduction in share count principally relates to an 8.0 million share tender offer completed in the first quarter of 2011.
At March 31, 2012, the Company had cash and cash equivalents of $3.4 million and no debt as compared to cash and cash equivalents of $3.7 million and no debt at December 31, 2011.
Subsequent to the quarter close and as disclosed in an 8-K filing with the SEC on May 7, 2012 and as amended in an 8-K/A filing with the SEC on May 15, 2012, the Company sold its U.K.-based CinemasOnline business. Additionally, in a separate 8-K filing on April 25, 2012, Hollywood Media Corp. announced that as part of an amendment related to the completed sale of its Broadway Ticketing Business (“Theatre Direct”) to Key Brand Entertainment Inc., Key Brand agreed to pay the first $7 million earnout amount to Hollywood Media Corp. on or before October 1, 2012 regardless of the actual revenues of Theatre Direct and its subsidiaries for Key Brand’s current fiscal year ending June 30, 2012.
About Hollywood Media Corp.
Hollywood Media Corp. is comprised primarily of an Ad Sales division, an Intellectual Property division, and various financial assets.
Note on Forward-Looking Statements
Statements in this press release may be “forward-looking statements” within the meaning of federal securities laws. The matters discussed herein that are forward-looking statements are based on current management expectations that involve risks and uncertainties that may result in such expectations not being realized. Actual outcomes and results may differ materially from what is expressed or forecasted in such forward-looking statements due to numerous potential risks and uncertainties, including, but not limited to, the need to manage our growth, our ability to realize anticipated revenues and cost efficiencies, the impact of potential future dispositions or other strategic transactions by Hollywood Media, our ability to develop and maintain strategic relationships, technology risks, the volatility of our stock price, and other risks and factors described in Hollywood Media Corp.’s filings with the Securities and Exchange Commission including our Form 10-K for 2011. Such forward-looking statements speak only as of the date on which they are made.
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Attached are the following financial tables:
CONSOLIDATED BALANCE SHEETS
CONSOLIDATED STATEMENTS OF OPERATIONS
Contact:
Investor Relations Department
Hollywood Media Corp.
L. Melheim
ir@hollywoodmedia.com
561-998-8000
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HOLLYWOOD MEDIA CORP. AND SUBSIDIARIES
CONDENSED CONSOLIDATED BALANCE SHEETS
| March 31, | December 31, | |||||||
| 2012 | 2011 | |||||||
| (unaudited) | ||||||||
| ASSETS | ||||||||
| CURRENT ASSETS: | ||||||||
| Cash and cash equivalents | $ | 3,359,481 | $ | 3,717,599 | ||||
| Receivables, net | 300,753 | 229,365 | ||||||
| Prepaid expenses | 490,585 | 594,370 | ||||||
| Other receivables | 25,227 | 24,848 | ||||||
| Related party receivable | 518,734 | 521,497 | ||||||
| Current portion of deferred compensation | 430,000 | 430,000 | ||||||
| Total current assets | 5,124,780 | 5,517,679 | ||||||
| PROPERTY AND EQUIPMENT, net | 288,264 | 307,390 | ||||||
| INVESTMENTS IN AND ADVANCES TO UNCONSOLIDATED INVESTEES | 1,514,438 | 1,573,325 | ||||||
| INTANGIBLE ASSETS, net | 15,008 | 17,116 | ||||||
| GOODWILL | 9,800,000 | 9,800,000 | ||||||
| OTHER ASSETS | 58,428 | 58,628 | ||||||
| DEFERRED COMPENSATION, less current portion | 841,151 | 948,651 | ||||||
| TOTAL ASSETS | $ | 17,642,069 | $ | 18,222,789 | ||||
| LIABILITIES AND SHAREHOLDERS' EQUITY | ||||||||
| CURRENT LIABILITIES: | ||||||||
| Accounts payable | $ | 461,515 | $ | 403,743 | ||||
| Accrued expenses and other | 785,981 | 890,881 | ||||||
| Deferred revenue | 620,623 | 706,432 | ||||||
| Customer deposits | 428,523 | 427,331 | ||||||
| Current portion of capital lease obligations | 19,506 | 21,829 | ||||||
| Total current liabilities | 2,316,148 | 2,450,216 | ||||||
| CAPITAL LEASE OBLIGATIONS, less current portion | 14,282 | 16,203 | ||||||
| OTHER DEFERRED LIABILITY | 37,058 | 42,514 | ||||||
| DEFERRED REVENUE | 21,622 | 48,358 | ||||||
| DERIVATIVE LIABILITIES | 1,090,000 | 1,090,000 | ||||||
| COMMITMENTS AND CONTINGENCIES | ||||||||
| SHAREHOLDERS' EQUITY: | ||||||||
| Preferred Stock, $.01 par value, 1,000,000 shares authorized; none outstanding | - | - | ||||||
| Common stock, $.01 par value, 100,000,000 shares authorized; 23,179,066 shares issued and outstanding at March 31, 2012 and December 31, 2011, respectively | 231,791 | 231,791 | ||||||
| Additional paid-in capital | 293,616,319 | 293,616,319 | ||||||
| Accumulated deficit | (279,685,151 | ) | (279,272,612 | ) | ||||
| Total shareholders' equity | 14,162,959 | 14,575,498 | ||||||
| TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY | $ | 17,642,069 | $ | 18,222,789 | ||||
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HOLLYWOOD MEDIA CORP. AND SUBSIDIARIES
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(unaudited)
| THREE MONTHS ENDED March 31, | ||||||||
| 2012 | 2011 | |||||||
| NET REVENUES | $ | 709,875 | $ | 970,873 | ||||
| OPERATING COSTS AND EXPENSES | ||||||||
| Editorial, production, development and technology | 448,821 | 626,416 | ||||||
| Selling, general and administrative | 642,892 | 1,300,870 | ||||||
| Payroll and benefits | 551,147 | 1,016,991 | ||||||
| Depreciation and amortization | 42,637 | 74,806 | ||||||
| Total operating costs and expenses | 1,685,497 | 3,019,083 | ||||||
| Loss from operations | (975,622 | ) | (2,048,210 | ) | ||||
| EARNINGS OF UNCONSOLIDATED INVESTEES | 71,797 | 64,101 | ||||||
| OTHER INCOME | ||||||||
| Interest, net | 253,037 | 269,101 | ||||||
| Other, net | 40,732 | 1,709 | ||||||
| Loss from continuing operations | (610,056 | ) | (1,713,299 | ) | ||||
| Income from discontinued operations | 197,517 | 109,442 | ||||||
| Net loss | (412,539 | ) | (1,603,857 | ) | ||||
| NET INCOME ATTRIBUTABLE TO NON-CONTROLLING INTEREST | - | (7,071 | ) | |||||
| Net loss attributable to Hollywood Media Corp | $ | (412,539 | ) | $ | (1,610,928 | ) | ||
| Basic and diluted income (loss) per common share | ||||||||
| Continuing operations | $ | (0.03 | ) | $ | (0.06 | ) | ||
| Discontinued operations | 0.01 | 0.00 | ||||||
| Total basic and diluted net loss per share | $ | (0.02 | ) | $ | (0.06 | ) | ||
| Weighted average common and common equivalent shares outstanding - basic and diluted | 23,179,066 | 28,067,957 | ||||||
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