Attached files
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| 8-K - CURENT REPORT ON FORM 8-K - Mecklermedia Corp | meckler_8k-081314.htm |
Exhibit 99.1
Mecklermedia Corporation Reports Financial Results
For Its Second Quarter Ended June 30, 2014
(New York, NY – August 13, 2014) – Mecklermedia Corporation (formerly known as Mediabistro, Inc., OTCQX: MBIS) today reported financial results for the three and six months ended June 30, 2014.
Financial results for the second quarter of 2014 include:
| · | Revenues for the second quarter of 2014 were $3.7 million compared to revenues of $4.0 million for the same period in 2013 and revenues of $6.8 million compared to revenues of $6.5 million for the six months ended June 30, 2014 and 2013, respectively. |
| · | Net loss, excluding the loss on the sale of some of our research products, for the second quarter of 2014 was $1.0 million, compared to a net loss of $406,000 for the same period of 2013. Net loss excluding the loss on the sale of some of our research products for the six months ended June 30, 2014 was $1.8 million compared to $1.3 million for the six months ended June 30, 2013. |
“Our financial results for the second quarter included two iterations of our trade shows in New York City, Inside 3D Printing Conference and Expo, as well as the Inside Bitcoin tradeshow, both of which took place in April. These trade shows were critically and financially successful and we are very excited about the growth possibilities of these event brands,” stated Alan M. Meckler, Chairman and CEO of Mecklermedia Corporation. “We also most recently completed our Inside 3D Printing Conference held in Melbourne, Australia in early July and we are eagerly anticipating our upcoming Fall, Inside 3D Printing Conference in California and our Inside Bitcoin tradeshow to take place in Las Vegas,” added Meckler.
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Mecklermedia Corporation
Unaudited Consolidated Condensed Statements of Operations
For the Three and Six Months Ended June 30, 2014 and 2013
(in thousands, except per share amounts)
| Three Months Ended June 30, | Six Months Ended June 30, | |||||||||||||||
| 2014 | 2013 | 2014 | 2013 | |||||||||||||
| Revenues | $ | 3,674 | $ | 3,963 | $ | 6,833 | $ | 6,483 | ||||||||
| Cost of revenues | 2,427 | 2,297 | 4,248 | 3,854 | ||||||||||||
| Advertising, promotion and selling | 859 | 713 | 1,434 | 1,189 | ||||||||||||
| General and administrative | 1,205 | 1,147 | 2,305 | 2,307 | ||||||||||||
| Depreciation | 36 | 41 | 73 | 105 | ||||||||||||
| Amortization | 69 | 105 | 165 | 214 | ||||||||||||
| Total operating expenses | 4,596 | 4,303 | 8,225 | 7,669 | ||||||||||||
| Operating loss | (922 | ) | (340 | ) | (1,392 | ) | (1,186 | ) | ||||||||
| Other income (loss), net | 26 | 8 | (110 | ) | 4 | |||||||||||
| Loss on disposition of assets | (363 | ) | – | (363 | ) | – | ||||||||||
| Impairment of goodwill | (3,717 | ) | – | (3,717 | ) | – | ||||||||||
| Interest income | – | 1 | – | 2 | ||||||||||||
| Interest expense | (132 | ) | (64 | ) | (259 | ) | (127 | ) | ||||||||
| Loss before income taxes | (5,108 | ) | (395 | ) | (5,841 | ) | (1,307 | ) | ||||||||
| Provision for income taxes | 15 | 11 | 28 | 23 | ||||||||||||
| Net loss | $ | (5,123 | ) | $ | (406 | ) | $ | (5,869 | ) | $ | (1,330 | ) | ||||
| Loss per share: | ||||||||||||||||
| Basic net loss | $ | (0.85 | ) | $ | (0.07 | ) | $ | (0.97 | ) | $ | (0.22 | ) | ||||
| Diluted net loss | $ | (0.85 | ) | $ | (0.07 | ) | $ | (0.97 | ) | $ | (0.22 | ) | ||||
| Weighted average shares used in computing loss per share: | ||||||||||||||||
| Basic | 6,058 | 6,022 | 6,058 | 6,023 | ||||||||||||
| Diluted | 6,058 | 6,022 | 6,058 | 6,023 | ||||||||||||
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Mecklermedia Corporation
Consolidated Condensed Balance Sheets
June 30, 2014 and December 31, 2013
(in thousands, except share and per share amounts)
| June 30, 2014 (Unaudited) | December 31, 2013 | |||||||
| ASSETS | ||||||||
| Current assets: | ||||||||
| Cash and cash equivalents | $ | 374 | $ | 1,232 | ||||
| Accounts receivable, net of allowances of $5 and $3, respectively | 605 | 557 | ||||||
| Prepaid expenses and other current assets | 1,009 | 769 | ||||||
| Total current assets | 1,988 | 2,558 | ||||||
| Property and equipment, net of accumulated depreciation of $1,561 and $1,530, respectively | 364 | 430 | ||||||
| Intangible assets, net of accumulated amortization of $435 and $1,208, respectively | 1,067 | 1,946 | ||||||
| Goodwill | 2,916 | 6,633 | ||||||
| Investments and other assets | 713 | 637 | ||||||
| Total assets | $ | 7,048 | $ | 12,204 | ||||
| LIABILITIES AND STOCKHOLDERS’ EQUITY (DEFICIT) | ||||||||
| Current liabilities: | ||||||||
| Accounts payable | $ | 528 | $ | 445 | ||||
| Accrued payroll and related expenses | 415 | 511 | ||||||
| Accrued expenses and other current liabilities | 1,027 | 1,092 | ||||||
| Deferred revenues | 1,159 | 1,120 | ||||||
| Total current liabilities | 3,129 | 3,168 | ||||||
| Loan from related party | 8,948 | 8,341 | ||||||
| Deferred revenues | 16 | 16 | ||||||
| Deferred income taxes | 507 | 481 | ||||||
| Total liabilities | 12,600 | 12,006 | ||||||
| Commitments and contingencies | ||||||||
| Stockholders’ equity (deficit): | ||||||||
| Preferred stock, $.01 par value, 4,000,000 shares authorized, 600,000 designated as Series A Junior participating preferred stock, no shares issued and outstanding | – | – | ||||||
| Common stock, $.01 par value, 18,750,000 shares authorized, 6,176,947 and 6,176,661 shares issued and 6,057,662 and 6,057,376 shares outstanding at June 30, 2014 and December 31, 2013, respectively | 62 | 62 | ||||||
| Additional paid-in capital | 290,739 | 290,620 | ||||||
| Accumulated deficit | (295,857 | ) | (289,988 | ) | ||||
| Treasury stock, 119,285 shares at cost | (496 | ) | (496 | ) | ||||
| Total stockholders’ equity (deficit) | (5,552 | ) | 198 | |||||
| Total liabilities and stockholders’ equity (deficit) | $ | 7,048 | $ | 12,204 | ||||
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Mecklermedia Corporation
Unaudited Consolidated Condensed Statements of Cash Flows
For the Six Months Ended June 30, 2014 and 2013
(in thousands)
| Six Months Ended June 30, | ||||||||
| 2014 | 2013 | |||||||
| Cash flows from operating activities: | ||||||||
| Net loss | $ | (5,869 | ) | $ | (1,330 | ) | ||
| Adjustments to reconcile net loss to net cash used in operating activities: | ||||||||
| Depreciation and amortization | 238 | 319 | ||||||
| Stock-based compensation | 108 | 159 | ||||||
| Provision for losses on accounts receivable | (4 | ) | 4 | |||||
| Amortization of debt issuance costs | 12 | 19 | ||||||
| Other loss, net | 120 | 12 | ||||||
| Loss on disposition of assets | 363 | – | ||||||
| Impairment of goodwill | 3,717 | – | ||||||
| Deferred income taxes | 26 | 18 | ||||||
| Changes in assets and liabilities: | ||||||||
| Accounts receivable, net | (44 | ) | (113 | ) | ||||
| Prepaid expenses and other assets | (276 | ) | (18 | ) | ||||
| Accounts payable, accrued expenses and other liabilities | (78 | ) | 379 | |||||
| Deferred revenues | 158 | 200 | ||||||
| Net cash used in operating activities | (1,529 | ) | (351 | ) | ||||
| Cash flows from investing activities: | ||||||||
| Purchases of property and equipment | (17 | ) | (33 | ) | ||||
| Proceeds from sale of assets | 190 | – | ||||||
| Purchases of intangible assets and other development costs | (102 | ) | (161 | ) | ||||
| Net cash provided by (used in) investing activities | 71 | (194 | ) | |||||
| Cash flows from financing activities: | ||||||||
| Borrowings from related party | 600 | – | ||||||
| Proceeds from exercise of stock options | – | 7 | ||||||
| Net cash provided by financing activities | 600 | 7 | ||||||
| Net decrease in cash and cash equivalents | (858 | ) | (538 | ) | ||||
| Cash and cash equivalents, beginning of period | 1,232 | 2,210 | ||||||
| Cash and cash equivalents, end of period | $ | 374 | $ | 1,672 | ||||
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About Mecklermedia Corporation
Mecklermedia Corporation (OTCQX: MBIS) is a leading Internet media company that provides services for social media, traditional media, and creative professionals. Mecklermedia is a leading producer of 3D printing and Bitcoin trade shows. Service offerings include an online job board, news and analysis, trade shows and events, online and in-person courses.
"Safe Harbor" Statement under the Private Securities Litigation Reform Act of 1995: Statements in this press release that are not historical facts are "forward-looking statements" under the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Such forward-looking statements involve risks and uncertainties that could cause actual results to differ materially from those described in the forward-looking statements. The potential risks and uncertainties address a variety of subjects including, for example: recent turmoil and trading platform closures in the Bitcoin market; the competitive environment in which Mecklermedia competes; and the unpredictability of Mecklermedia’s future revenues, expenses, cash flows and stock prices. For a more detailed discussion of such risks and uncertainties, refer to Mecklermedia’s reports filed with the Securities and Exchange Commission pursuant to the Securities Exchange Act of 1934. The forward-looking statements included herein are made as of the date of this press release, and Mecklermedia assumes no obligation to update the forward-looking statements after the date hereof, except as required by law.
All current Mecklermedia press releases can be found online at http://www.mecklermedia.com.
For press inquiries, please contact:
press@mecklermedia.com
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