UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, DC 20549
FORM 8-K
Current Report
Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934
Date of report (Date of earliest event reported): March 31, 2014
hopTo Inc.
(Exact Name of Registrant as Specified in Charter)
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Delaware |
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0-21683 |
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13-3899021 |
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(State or Other Jurisdiction of Incorporation) |
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Commission File Number |
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(IRS Employer Identification No.) |
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1919 S. Bascom Avenue, Suite 600 |
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95008 |
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Campbell, CA |
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(Address of Principal Executive Offices) |
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(Zip Code) |
Registrant's telephone number, including area code: (800) 472-7466
1901 S. Bascom Avenue, Suite 660, Campbell, CA 95008
(Former Address}
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instruction A.2. below):
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Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425) |
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Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12) |
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Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b)) |
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Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c)) |
Item 2.02.
Results of Operations and Financial Condition.
On March 31, 2014, we issued a press release announcing our financial results for the year ended December 31, 2013. A copy of the press release is being furnished as Exhibit 99.1 to this report and incorporated herein by reference. The information contained in this report on Form 8-K, including the Exhibit, shall not be deemed “filed” with the Securities and Exchange Commission nor incorporated by reference in any registration statement filed by HopTo Inc. under the Securities Act of 1933, as amended.
Item 9.01 Financial Statements and Exhibits
(d) Exhibits
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99.1 |
Press Release issued by the Registrant on March 31, 2014.
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SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized.
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hopTo Inc. | |
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Dated: March 31, 2014 |
By: |
/s/ Robert Dixon |
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Robert Dixon |
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Vice President of Finance, Secretary |
Exhibit 99.1
hopTo Inc. Announces Fiscal 2013 Highlights and Results
hopTo Prosumer Adds 350,000 Users in First Four Months
Company Expects to Launch SMB and Enterprise Editions in 2014
CAMPBELL, Calif., March 31, 2014 - hopTo Inc. (OTCQB/OTCBB: HPTO), developer of the most comprehensive mobile productivity platform, announced today its financial results for the year ended December 31, 2013.
Recent Highlights
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Launched hopTo Prosumer version in November 2013 |
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hopTo Prosumer has over 350,000 unique users and adding ~3,000 daily |
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Featured in articles on CNET, VentureBeat, Engadget and PC World |
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On September 10, 2013 the company changed its name to hopTo |
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5 patents applications have been allowed |
Results for Year Ended December 31, 2013:
“2013 was a pivotal year for the company as we continued to make progress on our unique mobile productivity platform. In 2013, the company renamed itself hopTo to better represent this new direction and reflect our plans for future innovations and expansions in the Mobile Productivity market,” said Eldad Eilam, hopTo’s President and Chief Executive Officer.
“Our hopTo product is transitioning from a pre-revenue stage to a cash flow positive stage as we launch the new offering for the SMB and Enterprise space, hopTo Work,” continued Mr. Eilam. “We recognized $5.9 million in revenues in 2013 from our legacy asset, Go-Global, an application access solution taking advantage of cross-platform remote access and Web-enabled access to users’ existing software applications. As we roll out the hopTo Work new SMB and Enterprise offering, we expect to see growth in our revenues from the hopTo product line in the latter part of 2014”.
“We launched the hopTo Prosumer edition in November 2013 to test the market and begin to build our customer base. Our app has over 350,000 new users and, with the positive feedback from Prosumer users, we see a great potential in the SMB and Enterprise space. As more and more people are finding the need to work and be productive on-the-go, we expect to tap into a $53 billion productivity market through our future offering of hopTo Work. We expect these advancements with our productivity platform and continued focus on the enterprise business will continue to push hopTo Inc. to sustainable, profitable, long-term growth.”
hopTo Inc. reported a net loss for the year ended December 31, 2013 of $3.7 million, or $.04 per share and the company’s total revenue for 2013 was $5.9 million. Selling, general and administrative expenses were $5.5 million and R&D expenses were $5.0 million. R&D expenses increased by $1.2 million from 2012 as the company is developing new productivity platforms to tap into the mobile productivity business market.
Conference Call
hopTo will host a conference call at 4:30 p.m. EDT on Monday, March 31st, to discuss its year ended December 31, 2013.To participate, please dial (855) 273-1827 and enter the conference call code: 15772743. The conference call will also be accessible live on the Investor Relations section of the hopTo website at hopto.com/investors.
A replay of the conference call will be available online at hopto.com beginning at 6:30 p.m. EDT on Monday, March 31st and continuing until Monday, June 30, 2014. A podcast of the conference call will also be available online at hopto.com beginning approximately 24 hours after the call.
About hopTo:
Founded in its current form in 2012, hopTo Inc. is an innovator of a unique mobile productivity workspace application. hopTo delivers a mobile experience that changes the way you work and live — empowering you to fully embrace a mobile lifestyle – without any compromises or boundaries. Search, Access, Aggregate, Create, Edit and Share your content from your mobile device, efficiently and effectively, by leveraging the power of your own “personal cloud.” The company is based in Campbell, CA.
For more information on hopTo, please visit: hopTo.com or facebook.com/hopTo.
FORWARD LOOKING STATEMENTS:
This press release contains statements that are forward looking as that term is defined by the United States Private Securities Litigation Reform Act of 1995. These statements include statements regarding future growth and the expected impact of our products on the marketplace. These statements are based on management's current expectations and are subject to a number of uncertainties and risks that could cause actual results to differ significantly from those described in the forward looking statements. Factors that may cause such a difference include the following: the success of our new products depends on a number of factors including market acceptance and our ability to manage the risks associated with new product introduction and developing and marketing new versions of the product; and other factors, including those set forth under Item 1A, "Risk Factors" in our Annual Report on Form 10-K for the year ended December 31, 2013, and in other documents we have filed with the SEC.
Investors:
Julie Silber
jsilber@kcsa.com
310.766.9760
Media:
Troy Mickle
press@hopto.com
408.688.2674 x5086
Anne Donohoe
adonohoe@kcsa.com
732.620.0033
hopTo Inc.
Consolidated Balance Sheets
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As of December 31, |
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2013 |
2012 |
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Cash |
$ | 2,430,700 | $ | 3,960,600 | ||||
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Accounts receivable, net |
811,700 | 865,900 | ||||||
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Prepaid expense and other current assets |
43,100 | 150,200 | ||||||
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Total current assets |
3,285,500 | 4,976,700 | ||||||
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Property and equipment, net |
302,100 | 358,900 | ||||||
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Capitalized software, net |
619,400 | 223,100 | ||||||
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Other assets |
139,900 | 46,900 | ||||||
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Total assets |
$ | 4,346,900 | $ | 5,605,600 | ||||
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Liabilities and stockholders' deficit |
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Accounts payable |
$ | 244,600 | $ | 159,600 | ||||
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Accrued expenses |
37,400 | 14,200 | ||||||
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Accrued wages |
562,100 | 565,300 | ||||||
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Severance Liability |
62,900 | 209,500 | ||||||
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Deferred rent |
31,200 | 26,700 | ||||||
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Deferred revenue |
2,772,900 | 2,921,600 | ||||||
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Total current liabilities |
3,711,100 | 3,896,900 | ||||||
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Warrants liability |
979,800 | 7,390,100 | ||||||
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Severance liability |
— | 52,900 | ||||||
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Deferred revenue |
476,200 | 570,400 | ||||||
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Deferred rent |
84,600 | 127,500 | ||||||
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Total liabilities |
5,251,700 | 12,037,800 | ||||||
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Preferred stock |
— | — | ||||||
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Common stock |
9,800 | 8,300 | ||||||
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Additional paid-in capital |
71,697,300 | 62,425,400 | ||||||
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Accumulated deficit |
(72,611,900 | ) | (68,865,900 | ) | ||||
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Stockholders' deficit |
(904,800 | ) | (6,432,200 | ) | ||||
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Total liabilities and stockholders' deficit |
$ | 4,346,900 | $ | 5,605,600 | ||||
hopTo Inc.
Consolidated Statements of Operations and Net Loss
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Year Ended December 31, |
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2013 |
2012 |
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Revenue |
$ | 5,889,000 | $ | 6,541,300 | ||||
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Cost of revenue |
508,600 | 601,500 | ||||||
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Gross profit |
5,380,400 | 5,939,800 | ||||||
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Operating expenses |
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Selling and marketing |
2,441,400 | 2,403,400 | ||||||
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General and administrative |
3,083,200 | 3,759,000 | ||||||
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Research and development |
4,999,900 | 3,870,900 | ||||||
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Total operating expenses |
10,524,500 | 10,033,300 | ||||||
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Loss from operations |
(5,144,100 | ) | (4,093,500 | ) | ||||
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Change in fair value of warrant liability |
1,406,000 | (3,616,600 | ) | |||||
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Interest & other income |
1,900 | 5,300 | ||||||
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Interest & other expense |
(2,000 | ) | — | |||||
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Loss from continuing operations before provision from income taxes |
(3,738,200 | ) | (7,704,800 | ) | ||||
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Provision for income taxes |
7,800 | 3,500 | ||||||
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Net loss from continuing operations |
(3,746,000 | ) | (7,708,300 | ) | ||||
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Loss from discontinued operations |
— | (468,400 | ) | |||||
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Net loss |
$ | (3,746,000 | ) | $ | (8,176,700 | ) | ||
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Loss per share |
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Continuing operations - basic and diluted |
$ | (0.04 | ) | $ | (0.09 | ) | ||
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Discontinued operations - basic and diluted |
$ | — | $ | (0.01 | ) | |||
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Loss per share - basic and diluted |
$ | (0.04 | ) | $ | (0.10 | ) | ||
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Weighted average shares outstanding - basic and diluted |
90,409,625 | 82,153,360 | ||||||