10-Q

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 10-Q

☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934.

For the quarterly period ended: March 31, 2015

OR

☐ 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:     0-22945       

HELIOS AND MATHESON ANALYTICS INC.

 (Exact Name of Registrant as Specified in Its Charter)

Delaware (State or other jurisdiction of incorporation or organization)	13-3169913 (I.R.S. Employer Identification No.)
Empire State Building, 350 5th Avenue, New York, New York 10118 (Address of Principal Executive Offices)	(212) 979-8228 (Registrant’s Telephone Number, Including Area Code)

Indicate by check mark whether the registrant: (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the past 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 ☒ No ☐

Indicate by check mark whether the registrant has submitted electronically and posted on its corporate Web site, if any, every Interactive Data File required to be submitted and posted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit and post such files). Yes ☒ No ☐

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, or a smaller reporting company. See the definitions of “large accelerated filer,” “accelerated filer” and “smaller reporting company” in Rule 12b-2 of the Exchange Act.

Large accelerated filer ☐	Accelerated filer ☐	Non-accelerated filer ☐	Smaller reporting company ☒
	(Do not check if a smaller reporting company)

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act) Yes ☐ No ☒

As of May 1, 2015, there were 2,330,438 shares of common stock, with $.01 par value per share, outstanding.

HELIOS AND MATHESON ANALYTICS INC.

INDEX

PART I. FINANCIAL INFORMATION		1
	ITEM 1. FINANCIAL STATEMENTS	1
	Consolidated Balance Sheets as of March 31, 2015 (unaudited) and December 31, 2014	1
	Consolidated Statement of Operations and Comprehensive Income/(loss) for the three months ended March 31, 2015 (unaudited) and 2014	2
	Consolidated Statement of Cash Flows for the three months ended March 31, 2015 and 2014 (unaudited)	3
	Notes to Consolidated Financial Statements	4
	ITEM 2. MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS...	8
	ITEM 3. QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK	11
	ITEM 4. CONTROLS AND PROCEDURES	11
PART II. OTHER INFORMATION		11
	ITEM 1. LEGAL PROCEEDINGS	11
	ITEM 1A. RISK FACTORS	11
	ITEM 2. UNREGISTERED SALES OF EQUITY SECURITIES AND USE OF PROCEEDS	11
	ITEM 3. DEFAULTS UPON SENIOR SECURITIES	11
	ITEM 4. MINE SAFETY DISCLOSURE	11
	ITEM 5. OTHER INFORMATION	11
	ITEM 6. EXHIBITS	12
SIGNATURES		13

 i

Part I. Financial Information 

Item 1. Financial Statements 

HELIOS AND MATHESON ANALYTICS INC.

CONSOLIDATED BALANCE SHEETS

	March 31,			December 31,
	2015			2014
ASSETS	(unaudited)
Current Assets:
Cash and cash equivalents	$	890,176		$	1,225,518
Accounts receivable- less allowance for doubtful accounts of $45,070 at March 31, 2015, and $34,212 at December 31, 2014		1,570,010			1,082,088
Unbilled receivables		45,152			81,311
Prepaid expenses and other current assets		160,688			133,045
Total current assets		2,666,026			2,521,962
Property and equipment, net		50,357			53,422
Security Deposit		2,000,000			2,000,000
Deposits and other assets		52,347			52,347
Total assets	$	4,768,730		$	4,627,731
LIABILITIES AND SHAREHOLDERS' EQUITY
Current Liabilities:
Accounts payable and accrued expenses	$	708,020		$	618,181
Total current liabilities		708,020			618,181
Commitments and Contingencies		-			-
Shareholders' equity:
Preferred stock, $.01 par value; 2,000,000 shares authorized; no shares issued and outstanding as of March 31, 2015, and December 31, 2014		-			-
Common stock, $.01 par value; 30,000,000 shares authorized; 2,330,438 issued and outstanding as of March 31, 2015 and December 31, 2014		23,304			23,304
Paid-in capital		37,855,740			37,855,740
Accumulated other comprehensive loss - foreign currency translation		(103,195	)		(99,265	)
Accumulated deficit		(33,715,139	)		(33,770,229	)
Total shareholders' equity		4,060,710			4,009,550
Total liabilities and shareholders' equity	$	4,768,730		$	4,627,731

See accompanying notes to consolidated financial statements.

1

HELIOS AND MATHESON ANALYTICS INC.

CONSOLIDATED STATEMENT OF OPERATIONS AND COMPREHENSIVE INCOME/(LOSS)

	Three Months Ended
	March 31,
	2015			2014
	(unaudited)			(unaudited)
Revenues	$	2,493,512		$	2,934,386
Cost of revenues		1,872,261			2,398,905
Gross profit		621,251			535,481
Operating expenses:
Selling, general & administrative		562,913			618,540
Depreciation & amortization		3,065			2,250
		565,978			620,790
(Loss)/income from operations		55,273			(85,309	)
Other income(expense):
Interest income-net		2,817			2,838
		2,817			2,838
(Loss)/income before income taxes		58,090			(82,471	)
Provision for income taxes		3,000			3,000
Net (Loss)/income		55,090			(85,471	)
Other comprehensive Income - foreign currency adjustment		(3,930	)		4,577
Comprehensive Income/(loss)	$	51,160		$	(80,894	)
Net income/(Loss) per share
Basic & Diluted	$	0.02		$	(0.04	)
Dividend per share	$	-		$	0.08

See accompanying notes to consolidated financial statements.

2

HELIOS AND MATHESON ANALYTICS INC.

CONSOLIDATED STATEMENT OF CASH FLOWS

	Three Months Ended March 31,
	2015			2014
	(unaudited)			(unaudited)
Cash flows from operating activities:
Net income/(loss)	$	55,090		$	(85,471	)
Adjustments to reconcile net income/(loss) to net cash provided by/(used in) operating activities
Depreciation and amortization		3,065			2,250
Provision for doubtful accounts		(10,858	)		(6,000	)
Loss on sale of fixed assets					39
Changes in operating assets and liabilities:
Accounts receivable		(477,064	)		619,025
Unbilled receivables		36,159			(49,562	)
Prepaid expenses and other assets		(27,643	)		(38,032	)
Accounts payable and accrued expenses		89,839			(7,989	)
Net cash flows (used in)/provided by operating activities		(331,412	)		434,260
Cash flows from investing activities:
Purchase of Property and Equipment (net of sales)		-			7
Net cash flows provided by financing activities		-			7
Cash flows from financing activities:
Dividend Paid		-			(186,435	)
Net cash flows used in financing activities		-			(186,435	)
Effect of foreign currency exchange rate changes on cash and cash equivalents		(3,930	)		4,577
Net increase/(decrease) in cash and cash equivalents		(335,342	)		252,409
Cash and cash equivalents at beginning of period		1,225,518			660,278
Cash and cash equivalents at end of period	$	890,176		$	912,687
Supplemental disclosure of cash flow information:
Cash paid during the period for income taxes - net of refunds	$	971		$	4,252

See accompanying notes to consolidated financial statements

3

HELIOS AND MATHESON ANALYTICS INC.

Notes to Consolidated Financial Statements

(Unaudited)

1)     GENERAL:

These financial statements should be read in conjunction with the financial statements contained in Helios and Matheson Analytics Inc.’s (“Helios and Matheson” or the “Company”) Form 10-K for the year ended December 31, 2014 filed with the Securities and Exchange Commission (“SEC”) and the accompanying financial statements and related notes thereto. The accounting policies used in preparing these financial statements are the same as those described in the Company's Form 10-K for the year ended December 31, 2014.

2)     CONTROLLED COMPANY:

The Board of Directors has determined that Helios and Matheson meets the definition of a “Controlled Company” as defined by Rule 5615(c) of the NASDAQ Listing Rules. A “Controlled Company” is defined in Rule 5615(c) as a company of which more than 50% of the voting power for the election of directors is held by an individual, group or another company. Certain NASDAQ requirements do not apply to a “Controlled Company”, including requirements that: (i) a majority of its Board of Directors must be comprised of “independent” directors as defined in NASDAQ’s rules; and (ii) the compensation of officers and the nomination of directors be determined in accordance with specific rules, generally requiring determinations by committees comprised solely of independent directors or in meetings at which only the independent directors are present.

3)     INTERIM FINANCIAL STATEMENTS:

In the opinion of management, the accompanying unaudited consolidated financial statements contain all the adjustments (consisting only of normal recurring accruals) necessary to present fairly the consolidated financial position as of March 31, 2015, the consolidated results of operations for the three month periods ended March 31, 2015 and 2014 and cash flows for the three month periods ended March 31, 2015 and 2014.

The consolidated balance sheet at December 31, 2014 has been derived from the audited financial statements at that date, but certain information and notes normally included in financial statements prepared in accordance with accounting principles generally accepted in the United States have been condensed or omitted from these financial statements pursuant to the SEC’s rules and regulations. For further information, refer to the audited consolidated financial statements and footnotes thereto included in the Form 10-K filed by the Company for the year ended December 31, 2014.

For the three month period ended March 31, 2015, the Company reported a net income of approximately $55,000 and for the three month period ended March 31, 2014, the Company reported net loss of approximately ($85,000). The Company continues to focus on revenue growth by expanding its existing client market share and its client base and by providing a Flexible Delivery Model to clients, which allows for dynamically configurable “right shoring” of service delivery based on client needs. The Company also keeps a tight rein on discretionary expenditures and SG&A to enhance its competitiveness.

In management's opinion, cash flows from operations combined with cash on hand will provide adequate flexibility for funding the Company's working capital obligations for the next twelve months.

4)     STOCK BASED COMPENSATION:

The Company has a stock based compensation plan, which is described as follows:

On March 3, 2014, the Board of Directors terminated the Company’s 1997 Stock Option and Award Plan and approved and adopted the Helios and Matheson Analytics Inc. 2014 Equity Incentive Plan (the “2014 Plan”). There were no shares outstanding under the 1997 Stock Option and Award Plan. The 2014 Plan sets aside and reserves 400,000 shares of the Company’s common stock for grant and issuance in accordance with its terms and conditions. Persons eligible to receive awards from the 2014 Plan include employees (including officers and directors) of the Company and its affiliates, consultants who provide significant services to the Company or its affiliates and directors who are not employees of the Company or its affiliates (the “Participants”). The 2014 Plan permits the Company to issue to Participants qualified and/or non-qualified options to purchase the Company’s common stock, restricted common stock, performance units and performance shares. The 2014 Plan will terminate on March 3, 2024. The Compensation Committee of the Company’s Board of Directors has been appointed as the committee responsible for administration of the 2014 Plan and has the sole discretion to determine which Participants will be granted awards and the terms and conditions of the awards granted. Through the date of filing of this Form 10-Q awards have been granted under the 2014 Plan.

4

5)     NET INCOME/(LOSS) PER SHARE:

The following table sets forth the computation of basic and diluted net income/(loss) per share for the three months ended March 31, 2015 and 2014:

	Three Months Ended
	March 31,
	2015		2014
Numerator for basic net income/(loss) per share
Net income/(loss) available to common stockholders	$	55,090	$	(85,471	)
Numerator for diluted net income/(loss) per share
Net income/(loss) available to common stockholders & assumed conversion	$	55,090	$	(85,471	)
Denominator:
Denominator for basic and diluted income/(loss) per share - weighted-average shares		2,330,438		2,330,438
Basic and diluted income/(loss) per share:
Net income/(loss) per share	$	0.02	$	(0.04	)

6)     CONCENTRATION OF CREDIT RISK:

The revenues of the Company’s top four customers represented approximately 91.4% of the revenues for the three month period ended March 31, 2015. The revenues of the Company’s top three customers represented approximately 85.2% of revenues for the same period in 2014. No other customer represented greater than 10% of the Company’s revenues for such periods. The Company continues its effort to broaden its customer base in order to mitigate this risk.

7)     CONTRACTUAL OBLIGATIONS AND COMMITMENTS:

The Company’s commitments at March 31, 2015, are comprised of the following:

	Payments Due by Period
Contractual Obligations	Total		Less Than 1 Year		1 - 3 Years		3 - 5 Years		More Than 5 Years
Operating Lease Obligations
Rent (1)	$	327,167	$	157,040	$	170,127	$	-	$	-
Total	$	327,167	$	157,040	$	170,127	$	-	$	-

⁽¹⁾ The Company has a New York facility with a lease term expiring April 30, 2017.

As of March 31, 2015, the Company does not have any “Off Balance Sheet Arrangements”.

8) PROVISION FOR INCOME TAXES

The provision for income taxes as reflected in the consolidated statement of operations and comprehensive income/(loss) varies from the expected statutory rate primarily due to a provision for minimum state taxes and the recording of adjustments to the valuation allowance against deferred tax assets. Internal Revenue Code Section 382 (the “Code”) places a limitation on the utilization of Federal net operating loss and other credit carry-forwards when an ownership change, as defined by the tax law, occurs. Generally, this occurs when a greater than 50 percent change in ownership occurs. During 2006, Helios and Matheson Information Technology Ltd. (“Helios and Matheson Parent”) acquired a greater than 50 percent ownership of the Company. Accordingly, the actual utilization of the net operating loss carry-forwards for tax purposes are limited annually under the Code to a percentage (currently about four and a half percent) of the fair market value of the Company at the date of this ownership change. The Company maintains a valuation allowance against additional deferred tax assets arising from net operating loss carry-forwards since, in the opinion of management; it is more likely than not that some portion or all of the deferred tax assets will not be realized.

5

9) TRANSACTIONS WITH RELATED PERSONS

In September 2010, the Company entered into a Memorandum of Understanding with Helios and Matheson Parent (the “HMIT MOU”) pursuant to which Helios and Matheson Parent has agreed to make available to the Company facilities of dedicated Off-shore Development Centers (“ODCs”) and also render services by way of support in technology, client engagement, management and operating the ODCs for the Company. The Company has furnished Helios and Matheson Parent a security deposit of $2 million, classified as a non-current asset on the balance sheet, to cover any expenses, claims or damages that Helios and Matheson Parent may incur while discharging its obligation under the HMIT MOU and also to cover the Company’s payable to Helios and Matheson Parent. Helios and Matheson Parent was providing recruitment services to Helios and Matheson Analytics Inc. during 2014 and did not charge a fee for these services. For the purpose of strengthening our client relationships, Helios and Matheson Parent also provides knowledge transition free of cost to clients. The amount payable to Helios and Matheson Parent for services rendered under the HMIT MOU was $0 and $12,096 for the three months ended March 31, 2015 and 2014, respectively and is included as a component of cost of revenue. All payments to Helios and Matheson Parent under the MOU are made after collections are received from clients. No amount was paid to Helios and Matheson Parent for services rendered under the HMIT MOU for the three months ended March 31, 2015 and 2014. As of March 31, 2015, the Company has a receivable from Helios and Matheson Parent in the amount of $182,626 which represents the amount paid by the Company on behalf of Helios and Matheson Parent. As of March 31, 2015, the amount paid on behalf of Helios and Matheson Parent is reported as an offset to accounts payable to Helios and Matheson Parent.

In August 2014, the Company entered into a Professional Service Agreement with Helios and Matheson Parent (the “HMIT PSA”), which documented ongoing services provided by Helios and Matheson Parent from February 24, 2014. Pursuant to the HMIT PSA Helios and Matheson Parent hires employees in India and provides infrastructure services for those employees to facilitate the operations of those of the Company’s clients who need offshore support for their business. For the services the Company pays the cost incurred by Helios and Matheson Parent for the employee it hires to provide the services and a fixed fee for infrastructure support. Beginning October 2014, all employees were transferred to the payroll of the Company’s subsidiary, Helios and Matheson Global Services Pvt. Ltd., and Helios and Matheson Parent was paid only for the infrastructure support they are providing. For the three months ended March 31, 2015 and 2014, the Company’s revenue from services provided with offshore support was approximately $574,000 and $0 respectively. The amount payable to Helios and Matheson Parent for services rendered under the HMIT PSA was $58,000 for the three months ended March 31, 2015 and is included as component of cost of revenue. The amount paid to Helios and Matheson Parent for services rendered, including prepayment of certain expenses, under the HMIT PSA for the three months ended March 31, 2015 was $82,000.

10)      LEGAL PROCEEDINGS

None.

11) DIVIDEND PAID

On February 3, 2014 the Company’s Board of Directors declared a dividend of $0.08 per share on the Company's common stock, amounting to a total payout of $186,435. This amount represents approximately 50% of the net profits of the Company for the year ended December 31, 2013. The dividend was paid on March 5, 2014 to shareholders of record on February 18, 2014. There can be no assurance that we will pay dividends in the future.

12) SUBSEQUENT EVENTS

 Management completed an analysis of all subsequent events occurring after March 31, 2015, the balance sheet date, through May 14, 2015, the date upon which the quarter-end consolidated financial statements were issued, and determined that all necessary disclosures have been disclosed elsewhere in these financial statements.

6

Forward-Looking Statements

This report contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934 throughout and in particular in the discussion at Item 2 titled “Management’s Discussion and Analysis of Financial Condition and Results of Operations”. These are statements regarding financial and operating performance results and other statements that are not historical facts. The words “expect,” “project,” “estimate,” “believe,” “anticipate,” “intend,” “plan,” “forecast,” and similar expressions are intended to identify forward-looking statements. Certain important risks, including those discussed in the risk factors set forth in Item 1A of the Company’s Annual Report on Form 10-K for the year ended December 31, 2014 which have been incorporated into this report by reference, could cause results to differ materially from those anticipated by some of the forward-looking statements. Some, but not all, of these risks include, among other things:

● our capital requirements and whether or not we will be able to raise capital when we need it;

● changes in local, state or federal regulations that will adversely affect our business;

● our ability to sell our products;

● whether we will continue to receive the services of certain officers and directors;

● our ability to protect our intellectual property and operate our business without infringing upon the intellectual property rights of others; and

● other uncertainties, all of which are difficult to predict and many of which are beyond our control.

We do not intend to update forward-looking statements. You should refer to and carefully review the information in future documents we file with the Securities and Exchange Commission.

7

Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations 

The following discussion and analysis of significant factors affecting the Company's operating results and liquidity and capital resources should be read in conjunction with the accompanying Consolidated Financial Statements and related Notes.

Overview

Helios and Matheson provides a wide range of high quality information technology (“IT”) consulting solutions, custom application development and analytics services to Fortune 1000 companies and other large organizations. The Company is headquartered in New York, New York and has a subsidiary in Bangalore, India.

For the three months ended March 31, 2015, approximately 93.4% of the Company's consulting services revenues were generated from clients under time and materials engagements, as compared to approximately 91% for the three months ended March 31, 2014, with the remainder generated under fixed-price engagements and recruitment process outsourcing (RPO). The Company has established standard-billing guidelines for consulting services based on the types of services offered. Actual billing rates are established on a project-by-project basis and may vary from the standard guidelines. The Company typically bills its clients for time and materials services on a weekly and monthly basis. Arrangements for fixed-price engagements are made on a case-by-case basis. Consulting services revenues generated under time and materials engagements are recognized as those services are provided. Revenues from fixed fee contracts are recorded when work is performed on the basis of the proportionate performance method, which is based on costs incurred to date relative to total estimated costs.

The Company's most significant operating cost is its personnel cost, which is included in cost of revenues. For the three months ended March 31, 2015 and 2014, gross margin was 24.9% and 18.3% respectively.

The Company actively manages its personnel utilization rates by monitoring project requirements and timetables. The Company’s utilization rate for the three months ending March 31, 2015 was approximately 96% as compared to 94% for the three months ending March 31, 2014. As projects are completed, consultants either are re-deployed to new projects at the current client site or to new projects at another client site or are encouraged to participate in the Company’s training programs in order to expand their technical skill sets.

Investments by Helios and Matheson Parent

On March 30, 2006, Helios and Matheson Parent, an IT services organization with its corporate headquarters in Chennai, India, purchased 409,879 shares of the Company’s common stock from Mr. Shmuel BenTov, the Company’s former Chairman, Chief Executive Officer and President and his family members, which represented approximately 43% of the Company’s outstanding common stock. In 2006, 2007, 2008, 2009 and 2010 Helios and Matheson Parent purchased additional shares of the Company’s common stock. Helios and Matheson Parent owns 1,743,040 shares of common stock, representing approximately 75% of the shares of the common stock currently outstanding. Helios and Matheson Parent is a publicly listed company on three stock exchanges in India, the National Stock Exchange (NSE), the Stock Exchange, Mumbai (BSE) and the Madras Stock Exchange (MSE).

Critical Accounting Policies

The methods, estimates and judgments the Company uses in applying its most critical accounting policies have a significant impact on the results the Company reports in its consolidated financial statements. The Company evaluates its estimates and judgments on an on-going basis. Estimates are based on historical experience and on assumptions that the Company believes to be reasonable under the circumstances. The Company’s experience and assumptions form the basis for its judgments about the carrying value of assets and liabilities that are not readily apparent from other sources. Actual results may vary from what is anticipated and different assumptions or estimates about the future could change reported results. The Company believes the following accounting policies are the most critical to it, in that they are important to the portrayal of its financial statements and they require the most difficult, subjective or complex judgments in the preparation of the consolidated financial statements.

Revenue Recognition

Consulting revenues are recognized as services are provided. The Company primarily provides consulting services under time and material contracts, whereby revenue is recognized as hours and costs are incurred. Customers for consulting revenues are billed on a weekly, semi-monthly or monthly basis. Revenues from fixed fee contracts are recorded when work is performed on the basis of the proportionate performance method, which is based on costs incurred to date relative to total estimated costs. Any anticipated contract losses are estimated and accrued at the time they become known and estimable. Revenues from RPO services are recorded when service is performed. Unbilled accounts receivables represent amounts recognized as revenue based on services performed in advance of customer billings. Revenue from sales of software licenses is recognized upon delivery of the software to a customer because future obligations associated with such revenue are insignificant.

8

Allowance for Doubtful Accounts

The Company monitors its accounts receivable balances on a monthly basis to ensure that they are collectible. On a quarterly basis, the Company uses its historical experience to accurately determine its accounts receivable reserve. The Company’s allowance for doubtful accounts is an estimate based on specifically identified accounts as well as general reserves. The Company evaluates specific accounts where it has information that the customer may have an inability to meet its financial obligations. In these cases, management uses its judgment, based on the best available facts and circumstances, and records a specific reserve for that customer, against amounts due, to reduce the receivable to the amount that is expected to be collected. These specific reserves are re-evaluated and adjusted as additional information is received that impacts the amount reserved. The Company also establishes a general reserve for all customers based on a range of percentages applied to aging categories. These percentages are based on historical collection and write-off experience. If circumstances change, the Company’s estimate of the recoverability of amounts due the Company could be reduced or increased by a material amount. Such a change in estimated recoverability would be accounted for in the period in which the facts that give rise to the change become known.

Valuation of Deferred Tax Assets

Deferred tax assets are reduced by a valuation allowance when, in the opinion of the Company, it is more likely than not that some portion or all of the deferred tax assets will not be realized. The Company assesses the recoverability of deferred tax assets at least annually based upon the Company’s ability to generate sufficient future taxable income and the availability of effective tax planning strategies.

Results of Operations

The following table sets forth the percentage of revenues of certain items included in the Company’s Statements of Operations:

	Three Months Ended
	March 31,
	2015			2014
Revenues		100.0	%		100.0	%
Cost of revenues		75.1	%		81.7	%
Gross profit		24.9	%		18.3	%
Operating expenses		22.7	%		21.2	%
(Loss)/Income from operations		2.2	%		( 2.9	)%
Net (Loss)/Income		2.2	%		( 2.9	)%

Comparison of the Three Months Ended March 31, 2015 to the Three Months Ended March 31, 2014

Revenues. Revenues for the three months ended March 31, 2015 were $2.5 million compared to $2.9 million for the three months ended March 31, 2014. The decrease was primarily attributable to a decrease in the number of onshore consultants, who are billed at a higher hourly rate, offset by an increase in offshore consultants, who are billed at a lower hourly rate.

Gross Profit. The resulting gross profit for the three months ended March 31, 2015 was $621,000 as compared to $535,000 for the three months ended March 31, 2014. As a percentage of total revenues, gross margin for the three months ended March 31, 2015 was 24.9% compared to 18.3% for the three months ended March 31, 2014. The increase in gross margin is due to a decrease in low margin consulting revenue offset with an increase in high margin consulting and fixed price project revenue.

Operating Expenses. Operating expenses are comprised of selling, general and administrative (“SG&A”) expenses and depreciation and amortization. Operating expenses for the three months ended March 31, 2015 were $566,000 as compared to the 2014 period of $621,000.

Taxes. Tax provision for the three months ended March 31, 2015 and March 31, 2014 was at $3,000 for each period.

9

Net Income/(Loss). As a result of the above, the Company had a net income of $55,000 or $0.02 per basic and diluted share for the three months ended March 31, 2015 as compared to a net loss of ($85,000) or ($0.04) per basic and diluted share for the three months ended March 31, 2014.

Liquidity and Capital Resources

During the three months ended March 31, 2015 the Company’s revenues declined by approximately 15% and the Company reported a net income of $55,000 as compared to net loss of ($85,000) during the same period in 2014. The net income resulted primarily from a decrease in low margin consulting revenue offset with an increase in high margin consulting and fixed price project revenue.

The Company's cash balances were approximately $890,000 at March 31, 2015 and $1.2 million at December 31, 2014. Net cash used by operating activities for the three months ended March 31, 2015 was approximately $331,000 compared to net cash provided by operating activities of approximately $434,000 for the three months ended March 31, 2014.

The Company's accounts receivable, less allowance for doubtful accounts, at March 31, 2015 and at December 31, 2014 were approximately $1.6 million and $1.1 million, respectively, representing 57 days and 47 days of sales outstanding (“DSO”) respectively. The increase in DSO at March 31, 2015 was temporary and the overdue amounts have already been collected. The Company has provided an allowance for doubtful accounts at the end of each of the period presented. After giving effect to this allowance, the Company does not anticipate any difficulty in collecting amounts due.

For the three month period ended March 31, 2015 cash from investing activities was $0 as compared to $7 of cash from investing activities for the three months March 31, 2014.

For the three month period ended March 31, 2015, cash used by financing activities was $0 as compared to $186,000 for the three months ended March 31, 2014. On February 3, 2014 the Company’s Board of Directors declared a dividend of $0.08 per share on the Company's common stock, amounting to a payout of $186,435. Cash used in financing activities in 2014 consisted of the dividends paid to shareholders.

In management's opinion, cash flows from operations combined with cash on hand will provide adequate flexibility for funding the Company's working capital obligations for the next twelve months.

Off Balance Sheet Arrangements

As of March 31, 2015, the Company does not have any off balance sheet arrangements.

Contractual Obligations and Commitments

The Company’s commitments at March 31, 2015 are reflected and further detailed in the Contractual Obligation table located in Part I, Item 1, Note 7 of this Form 10-Q.

Inflation

The Company has not suffered material adverse affects from inflation in the past. However, a substantial increase in the inflation rate in the future may adversely affect customers’ purchasing decisions, may increase the costs of borrowing or may have an adverse impact on the Company’s margins and overall cost structure.

Recent Accounting Pronouncements

On May 28, 2014, the FASB issued Accounting Standards Update (“ASU”) 2014-09, Revenue from Contracts with Customers (Topic 606) (“ASU 2014-09”). ASU 2014-09 provides a robust framework for addressing revenue recognition issues and, upon its effective date, replaces almost all existing revenue recognition guidance, including industry-specific guidance, in current U.S. generally accepted accounting principles. ASU 2014-09 is effective beginning with the calendar year ended December 31, 2017. The Company has not yet assessed the impact ASU 2014-09 will have upon adoption on its financial position, results of operations or cash flows.

In August 2014, the FASB issued ASU 2014-15, Presentation of Financial Statements – Going Concern (Subtopic 205-40): Disclosure of Uncertainties about an Entity’s Ability to Continue as a Going Concern. ASU 2014-15 requires that an entity’s management evaluate whether there are conditions or events, considered in the aggregate, that raise substantial doubt about the entity’s ability to continue as a going concern within one year after the date that the financial statements are issued. Substantial doubt about an entity’s ability to continue as a going concern exists when relevant conditions and events, considered in the aggregate, indicate that it is probable that the entity will be unable to meet its obligations as they become due within one year after the date that the financial statements are issued. Certain disclosures are necessary in the footnotes to the financial statements in the event that conditions or events raise substantial doubt about an entity’s ability to continue as a going concern. ASU 2014-15 is effective for the annual period ending after December 15, 2016, and for annual periods and interim periods thereafter and early application is permitted. The Company has not yet assessed the impact ASU 2014-15 will have upon adoption.

10

Item 3. Quantitative and Qualitative Disclosures about Market Risk

Not Required.

Item 4. Controls and Procedures

Evaluation of disclosure controls and procedures. As of March 31, 2015, we carried out an evaluation, under the supervision of and with the participation of our Principal Executive Officer and our Principal Financial Officer, of the effectiveness of the design and operation of our disclosure controls and procedures (as defined in Rules 13a-15(e) and 15d-15(e) of the Securities Exchange Act of 1934, as amended (the “Exchange Act”)). Disclosure controls and procedures are designed to ensure that information required to be disclosed in the reports we file or submit under the Exchange Act is recorded, processed, summarized and reported within the time periods specified in the SEC’s rules and forms, and that such information is accumulated and communicated to our management, including our Principal Executive Officer and Principal Financial Officer, to allow timely decisions regarding required disclosures. Based on that evaluation, our Principal Executive Officer and Principal Financial Officer have concluded that, as of March 31, 2015, our disclosure controls and procedures were effective.

Changes in internal control. During the quarter covered by this report, there was no change in our internal control over financial reporting (as defined in Rule 13a-15(f) of the Exchange Act) that has materially affected, or is reasonably likely to materially affect our internal control over financial reporting.

Part II. Other Information

Item 1. Legal Proceedings

None 

Item 1A. Risk Factors

We incorporate herein by reference the risk factors included under Item 1A. of our Annual Report on Form 10-K that was filed with the Securities and Exchange Commission on March 3, 2015.

Item 2. Unregistered Sales of Equity Securities and Use of Proceeds 

None.

Item 3. Defaults Upon Senior Securities 

None.

Item 4. Mine Safety Disclosure 

Not Applicable.

Item 5. Other Information 

None.

11

Item 6. Exhibits

(a)     Exhibits

3.1 Certificate of Incorporation of the Registrant, incorporated by reference to Exhibit 3.1 to the form 10-K, as previously filed with SEC on March 31, 2010.

3.1.1 Certificate of Amendment to Certificate of Incorporation of the Registrant, incorporated by reference to Exhibit 3.3 to the Form 10-Q for the period ended March 31, 2011 as filed with the SEC on May 13, 2011.

3.1.2 Certificate of Amendment to Certificate of Incorporation of the Registrant, incorporated by reference to Exhibit 3.4 to the Form 10-Q for the period ended June 30, 2011 as filed with the SEC on August 15, 2011.

3.2 Bylaws of Helios and Matheson Analytics Inc., incorporated by reference to Exhibit 3.2 to the form 10-K, as filed with SEC on March 31, 2010.

31.1 Certification of Principal Executive Officer pursuant to Section 302 of Sarbanes-Oxley Act of 2002.

31.2 Certification of Principal Financial Officer pursuant to Section 302 of Sarbanes-Oxley Act of 2002.

32.1 Certification of the Principal Executive Officer, pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002.

32.2 Certification of the Principal Financial Officer, pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002.

101 The following financial statements from the Registrant’s Quarterly Report on Form 10-Q for the quarter ended March 31, 2015 formatted in Extensive Business Reporting Language (XBRL): (i) consolidated balance sheets; (ii) consolidated statements of Operations and Comprehensive income/(loss); (iii) consolidated statements of cash flows; and (iv) the notes to the financial statements.

12

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.

	HELIOS AND MATHESON ANALYTICS INC.
	By:	/s/ Divya Ramachandran
Date: May 14, 2015		Divya Ramachandran
		Chief Executive Officer and President

	By:	/s/ Umesh Ahuja
Date: May 14, 2015		Umesh Ahuja
		Chief Financial Officer and Secretary

13

EX-31.1

Exhibit 31.1

CERTIFICATION OF PRINCIPAL EXECUTIVE OFFICER

I, Divya Ramachandran, certify that:

1. I have reviewed this quarterly report on Form 10-Q of Helios and Matheson Analytics Inc., the registrant;

2. Based on my knowledge, this quarterly report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this quarterly report;

3. Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

4. The registrant’s other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15 (f)) for the registrant and have:

a) designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

b) designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

c) evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

d) disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and

5. The registrant’s other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions):

a) all significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and

b) any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.

Date: May 14, 2015	/s/ Divya Ramachandran
	Name:  Divya Ramachandran
	Title:  President and Chief Executive Officer
	(Principal Executive Officer)

EX-31.2

Exhibit 31.2

CERTIFICATION OF PRINCIPAL FINANCIAL OFFICER

I, Umesh Ahuja, certify that:

1. I have reviewed this quarterly report on Form 10-Q of Helios and Matheson Analytics Inc., the registrant;

2. Based on my knowledge, this quarterly report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

3. Based on my knowledge, the financial statements, and other financial information included in this quarterly report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

4. The registrant’s other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15 (f)) for the registrant and have:

a) designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

b) designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

c) evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

d) disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and

5. The registrant’s other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions):

a) all significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and

b)     any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.

Date: May 14, 2015	/s/ Umesh Ahuja
	Name: Umesh Ahuja
	Title: Chief Financial Officer
	(Principal Financial Officer)

EX-32.1

Exhibit 32.1

CERTIFICATION OF PRINCIPAL EXECUTIVE OFFICER

PURSUANT TO 18 U.S.C. SECTION 1350

In connection with the accompanying Quarterly Report on Form 10-Q of Helios and Matheson Analytics Inc. for the three month period ending March 31, 2015, I, Divya Ramachandran, the Principal Executive Officer of Helios and Matheson Analytics Inc., hereby certify, pursuant to 18 U.S.C. § 1350, as adopted pursuant to §906 of the Sarbanes-Oxley Act of 2002, that:

(1) such Quarterly Report on Form 10-Q for the three month period ending March 31, 2015 fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934; and

(2) the information contained in such Quarterly Report on Form 10-Q for the three month period ending March 31, 2015 fairly presents, in all material respects, the financial condition and results of operations of Helios and Matheson Analytics Inc., on a consolidated basis.

Date: May 14, 2015	/s/ Divya Ramachandran
	Name: Divya Ramachandran
	Title: President and Chief Executive Officer
	(Principal Executive Officer)

A signed original of this written statement required by §906 has been provided to the Company and will be retained by the Company and furnished to the Securities and Exchange Commission or its staff upon request.

The foregoing certification is being furnished solely pursuant to section 906 of the Sarbanes-Oxley Act of 2002 (subsections (a) and (b) of section 1350, chapter 63 of title 18, United States Code) and is not being filed as part of the Form 10-Q or as a separate disclosure document

EX-32.2

Exhibit 32.2

CERTIFICATION OF PRINCIPAL FINANCIAL OFFICER

PURSUANT TO 18 U.S.C. SECTION 1350

In connection with the accompanying Quarterly Report on Form 10-Q of Helios and Matheson Analytics Inc. for the three month period ending March 31, 2015, I, Umesh Ahuja, the Principal Financial Officer of Helios and Matheson Analytics Inc., hereby certify, pursuant to 18 U.S.C. § 1350, as adopted pursuant to §906 of the Sarbanes-Oxley Act of 2002, that:

(1) such Quarterly Report on Form 10-Q for the three month period ending March 31, 2015 fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934; and

(2) the information contained in such Quarterly Report on Form 10-Q for the three month period ending March 31, 2015 fairly presents, in all material respects, the financial condition and results of operations of Helios and Matheson Analytics Inc., on a consolidated basis.

Date: May 14, 2015	/s/ Umesh Ahuja
	Name: Umesh Ahuja
	Title: Chief Financial Officer
	(Principal Financial Officer)

A signed original of this written statement required by §906 has been provided to the Company and will be retained by the Company and furnished to the Securities and Exchange Commission or its staff upon request. 

The foregoing certification is being furnished solely pursuant to section 906 of the Sarbanes-Oxley Act of 2002 (subsections (a) and (b) of section 1350, chapter 63 of title 18, United States Code) and is not being filed as part of the Form 10-Q or as a separate disclosure document

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Note 9 - Transactions With Related Persons (Details Textual) (USD $)	3 Months Ended
	Mar. 31, 2015	Mar. 31, 2014
Related Party Transaction [Line Items]
Related Party Transaction, Amounts of Transaction	$ 0	$ 0
Accounts Receivable, Related Parties	0	12,096
Security Deposits [Member] | Helios and Matheson Parent [Member]
Related Party Transaction [Line Items]
Due from Related Parties	2,000,000
Helios and Matheson Parent [Member]
Related Party Transaction [Line Items]
Related Party Transaction, Amounts of Transaction	82,000
Accounts Receivable, Related Parties	182,626
Revenue from Related Parties	574,000	0
Related Party Transaction, Expenses from Transactions with Related Party	$ 58,000

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Note 4 - Stock Based Compensation

3 Months Ended

Mar. 31, 2015

Notes to Financial Statements

Disclosure of Compensation Related Costs, Share-based Payments [Text Block]

4)     STOCK BASED COMPENSATION:

The Company has a stock based compensation plan, which is described as follows:

On March 3, 2014, the Board of Directors terminated the Company’s 1997 Stock Option and Award Plan and

approved and adopted the Helios and Matheson Analytics Inc. 2014 Equity Incentive Plan (the “2014 Plan”). There were no shares outstanding under the 1997 Stock Option and Award Plan. The 2014 Plan sets aside and reserves 400,000 shares of the Company’s common stock for grant and issuance in accordance with its terms and conditions. Persons eligible to receive awards from the 2014 Plan include employees (including officers and directors) of the Company and its affiliates, consultants who provide significant services to the Company or its affiliates and directors who are not employees of the Company or its affiliates (the “Participants”). The 2014 Plan permits the Company to issue to Participants qualified and/or non-qualified options to purchase the Company’s common stock, restricted common stock, performance units and performance shares. The 2014 Plan will terminate on March 3, 2024. The Compensation Committee of the Company’s Board of Directors has been appointed as the committee responsible for administration of the 2014 Plan and has the sole discretion to determine which Participants will be granted awards and the terms and conditions of the awards granted. Through the date of filing of this Form 10-Q awards have been granted under the 2014 Plan.

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Note 3 - Interim Financial Statements

3 Months Ended

Mar. 31, 2015

Notes to Financial Statements

Quarterly Financial Information [Text Block]

3)     INTERIM FINANCIAL STATEMENTS:

In the opinion of management, the accompanying unaudited consolidated financial statements contain all the adjustments (consisting only of normal recurring accruals) necessary to present fairly the consolidated financial position as of March 31, 2015, the consolidated results of operations for the three month periods ended March 31, 2015 and 2014 and cash flows for the three month periods ended March 31, 2015 and 2014.

The consolidated balance sheet at December 31, 2014 has been derived from the audited financial statements at that date, but certain information and notes normally included in financial statements prepared in accordance with accounting principles generally accepted in the United States have been condensed or omitted from these financial statements pursuant to the SEC’s rules and regulations. For further information, refer to the audited consolidated financial statements and footnotes thereto included in the Form 10-K filed by the Company for the year ended December 31, 2014.

For the three month period ended March 31, 2015, the Company reported a net income of approximately $55,000 and for the three month period ended March 31, 2014, the Company reported net loss of approximately ($85,000). The Company continues to focus on revenue growth by expanding its existing client market share and its client base and by

providing a Flexible Delivery Model to clients, which allows for dynamically configurable “right shoring” of service delivery based on client needs. The Company also keeps a tight rein on discretionary expenditures and SG&A to enhance its competitiveness.

In management's opinion, cash flows from operations combined with cash on hand will provide adequate flexibility for funding the Company's working capital obligations for the next twelve months.

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Consolidated Balance Sheet (Current Period Unaudited) (USD $)	Mar. 31, 2015	Dec. 31, 2014
Current Assets:
Cash and cash equivalents	$ 890,176	$ 1,225,518
Accounts receivable- less allowance for doubtful accounts of $45,070 at March 31, 2015, and $34,212 at December 31, 2014	1,570,010	1,082,088
Unbilled receivables	45,152	81,311
Prepaid expenses and other current assets	160,688	133,045
Total current assets	2,666,026	2,521,962
Property and equipment, net	50,357	53,422
Security Deposit	2,000,000	2,000,000
Deposits and other assets	52,347	52,347
Total assets	4,768,730	4,627,731
Current Liabilities:
Accounts payable and accrued expenses	708,020	618,181
Total current liabilities	708,020	618,181
Commitments and Contingencies
Shareholders' equity:
Preferred stock, $.01 par value; 2,000,000 shares authorized; no shares issued and outstanding as of March 31, 2015, and December 31, 2014
Common stock, $.01 par value; 30,000,000 shares authorized; 2,330,438 issued and outstanding as of March 31, 2015 and December 31, 2014	23,304	23,304
Paid-in capital	37,855,740	37,855,740
Accumulated other comprehensive loss - foreign currency translation	(103,195)	(99,265)
Accumulated deficit	(33,715,139)	(33,770,229)
Total shareholders' equity	4,060,710	4,009,550
Total liabilities and shareholders' equity	$ 4,768,730	$ 4,627,731

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Note 1 - General

3 Months Ended

Mar. 31, 2015

Notes to Financial Statements

Basis of Accounting [Text Block]

1)     GENERAL:

These financial statements should be read in conjunction with the financial statements contained in

Helios and Matheson Analytics Inc.’s (“Helios and Matheson” or the “Company”) Form 10-K for the year ended December 31, 2014 filed with the Securities and Exchange Commission (“SEC”) and the accompanying financial statements and related notes thereto. The accounting policies used in preparing these financial statements are the same as those described in the Company's Form 10-K for the year ended December 31, 2014.

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Note 5 - Net (Loss)/Income Per Share - Basic EPS Numerator and Denominator (Details) (USD $)	3 Months Ended
	Mar. 31, 2015	Mar. 31, 2014
Numerator for basic net income/(loss) per share
Net income/(loss)	$ 55,090	$ (85,471)
Numerator for diluted net income/(loss) per share
Net income/(loss) available to common stockholders & assumed conversion	$ 55,090	$ (85,471)
Denominator:
Denominator for basic and diluted income/(loss) per share - weighted-average shares (in shares)	2,330,438	2,330,438
Basic and diluted income/(loss) per share:
Net income/(loss) per share (in dollars per share)	$ 0.02	$ (0.04)

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Note 7 - Contractual Obligations and Commitments - Contractual Obligations and Commitments (Details) (USD $)	Mar. 31, 2015
Total	$ 327,167	[1]
Less Than 1 Year	157,040	[1]
1 - 3 Years	$ 170,127	[1]

[1] The Company has a New York facility with a lease term expiring April 30, 2017.

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Note 2 - Controlled Company

3 Months Ended

Mar. 31, 2015

Notes to Financial Statements

Organization, Consolidation, Basis of Presentation, Business Description and Accounting Policies [Text Block]

2)     CONTROLLED COMPANY:

The Board of Directors has determined that Helios and Matheson meets the definition of a “Controlled Company” as defined by Rule 5615(c) of the NASDAQ Listing Rules. A “Controlled Company” is defined in Rule 5615(c) as a company of which more than 50% of the voting power for the election of directors is held by an individual, group or another company. Certain NASDAQ requirements do not apply to a “Controlled Company”, including requirements that: (i) a majority of its Board of Directors must be comprised of “independent” directors as defined in NASDAQ’s rules; and (ii) the compensation of officers and the nomination of directors be determined in accordance with specific rules, generally requiring determinations by committees comprised solely of independent directors or in meetings at which only the independent directors are present.

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Consolidated Balance Sheet (Current Period Unaudited) (Parentheticals) (USD $)	Mar. 31, 2015	Dec. 31, 2014
Allowance for doubtful accounts	$ 45,070	$ 34,212
Preferred stock, par value (in dollars per share)	$ 0.01	$ 0.01
Preferred stock, shares authorized (in shares)	2,000,000	2,000,000
Preferred stock, shares issued (in shares)	0	0
Preferred stock, shares outstanding (in shares)	0	0
Common stock, par value (in dollars per share)	$ 0.01	$ 0.01
Common stock, shares authorized (in shares)	30,000,000	30,000,000
Common stock, issued (in shares)	2,330,438	2,330,438
Common stock, outstanding (in shares)	2,330,438	2,330,438

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Note 12 - Subsequent Events

3 Months Ended

Mar. 31, 2015

Notes to Financial Statements

Subsequent Events [Text Block]

12) SUBSEQUENT EVENTS

Management completed an analysis of all subsequent events occurring after March 31, 2015, the balance sheet date, through May 14, 2015, the date upon which the quarter-end consolidated financial statements were issued, and determined that all necessary disclosures have been disclosed elsewhere in these financial statements.

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Document And Entity Information	3 Months Ended
	Mar. 31, 2015	May 01, 2015
Entity Registrant Name	Helios & Matheson Analytics Inc.
Entity Central Index Key	0001040792
Current Fiscal Year End Date	--12-31
Entity Filer Category	Smaller Reporting Company
Entity Current Reporting Status	Yes
Entity Voluntary Filers	No
Entity Well-known Seasoned Issuer	No
Entity Common Stock, Shares Outstanding (in shares)		2,330,438
Document Type	10-Q
Document Period End Date	Mar. 31, 2015
Document Fiscal Year Focus	2015
Document Fiscal Period Focus	Q1
Amendment Flag	false

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Note 5 - Net Income/(Loss) Per Share (Tables)

3 Months Ended

Mar. 31, 2015

Notes Tables

Schedule of Earnings Per Share, Basic and Diluted [Table Text Block]

	Three Months Ended
	March 31,
	2015		2014
Numerator for basic net income/(loss) per share
Net income/(loss) available to common stockholders	$	55,090	$	(85,471	)
Numerator for diluted net income/(loss) per share
Net income/(loss) available to common stockholders & assumed conversion	$	55,090	$	(85,471	)
Denominator:
Denominator for basic and diluted income/(loss) per share - weighted-average shares		2,330,438		2,330,438
Basic and diluted income/(loss) per share:
Net income/(loss) per share	$	0.02	$	(0.04	)

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Consolidated Statement of Operations and Comprehensive Income/(Loss) (Unaudited) (USD $)	3 Months Ended
	Mar. 31, 2015	Mar. 31, 2014
Revenues	$ 2,493,512	$ 2,934,386
Cost of revenues	1,872,261	2,398,905
Gross profit	621,251	535,481
Operating expenses:
Selling, general & administrative	562,913	618,540
Depreciation & amortization	3,065	2,250
	565,978	620,790
(Loss)/income from operations	55,273	(85,309)
Other income(expense):
Interest income-net	2,817	2,838
	2,817	2,838
(Loss)/income before income taxes	58,090	(82,471)
Provision for income taxes	3,000	3,000
Net (Loss)/income	55,090	(85,471)
Other comprehensive Income - foreign currency adjustment	(3,930)	4,577
Comprehensive Income/(loss)	$ 51,160	$ (80,894)
Net income/(Loss) per share
Basic & Diluted (in dollars per share)	$ 0.02	$ (0.04)
Dividend per share (in dollars per share)		$ 0.08

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Note 7 - Contractual Obligations and Commitments

3 Months Ended

Mar. 31, 2015

Notes to Financial Statements

Commitments Disclosure [Text Block]

7)     CONTRACTUAL OBLIGATIONS AND COMMITMENTS:

The Company’s commitments at March 31, 2015, are comprised of the following:

	Payments Due by Period
Contractual Obligations	Total		Less Than 1 Year		1 - 3 Years		3 - 5 Years		More Than 5 Years
Operating Lease Obligations
Rent (1)	$	327,167	$	157,040	$	170,127	$	-	$	-
Total	$	327,167	$	157,040	$	170,127	$	-	$	-

(1)

The Company has a New York facility with a lease term expiring April 30, 2017.

As of March 31, 2015, the Company does not have any “Off Balance Sheet Arrangements”.

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Note 6 - Concentration of Credit Risk

3 Months Ended

Mar. 31, 2015

Notes to Financial Statements

Concentration Risk Disclosure [Text Block]

6)     CONCENTRATION OF CREDIT RISK:

The revenues of the Company’s top four customers represented approximately 91.4% of the revenues for the three month period ended March 31, 2015. The revenues of the Company’s top three customers represented approximately 85.2% of revenues for the same period in 2014. No other customer represented greater than 10% of the Company’s revenues for such periods. The Company continues its effort to broaden its customer base in order to mitigate this risk.

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Note 6 - Concentration of Credit Risk (Details Textual) (Customer Concentration Risk [Member], Sales Revenue, Services, Net [Member])	3 Months Ended
	Mar. 31, 2015	Mar. 31, 2014
Customer Concentration Risk [Member] | Sales Revenue, Services, Net [Member]
Concentration Risk Number of Major Customers	4	3
Concentration Risk, Percentage	91.40%	85.20%

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Note 7 - Contractual Obligations and Commitments (Tables)

3 Months Ended

Mar. 31, 2015

Notes Tables

Contractual Obligation, Fiscal Year Maturity Schedule [Table Text Block]

	Payments Due by Period
Contractual Obligations	Total		Less Than 1 Year		1 - 3 Years		3 - 5 Years		More Than 5 Years
Operating Lease Obligations
Rent (1)	$	327,167	$	157,040	$	170,127	$	-	$	-
Total	$	327,167	$	157,040	$	170,127	$	-	$	-

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Note 10 - Legal Proceedings

3 Months Ended

Mar. 31, 2015

Notes to Financial Statements

Legal Matters and Contingencies [Text Block]

10)      LEGAL PROCEEDINGS

None.

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Note 8 - Provision for Income Taxes

3 Months Ended

Mar. 31, 2015

Notes to Financial Statements

Income Tax Disclosure [Text Block]

8) PROVISION FOR INCOME TAXES

The provision for income taxes as reflected in the consolidated statement of operations and comprehensive income/(loss) varies from the expected statutory rate primarily due to a provision for minimum state taxes and the recording of adjustments to the valuation allowance against deferred tax assets. Internal Revenue Code Section 382 (the “Code”) places a limitation on the utilization of Federal net operating loss and other credit carry-forwards when an ownership change, as defined by the tax law, occurs. Generally, this occurs when a greater than 50 percent change in ownership occurs. During 2006, Helios and Matheson Information Technology Ltd. (“Helios and Matheson Parent”) acquired a greater than 50 percent ownership of the Company. Accordingly, the actual utilization of the net operating loss carry-forwards for tax purposes are limited annually under the Code to a percentage (currently about four and a half percent) of the fair market value of the Company at the date of this ownership change. The Company maintains a valuation allowance against additional deferred tax assets arising from net operating loss carry-forwards since, in the opinion of management; it is more likely than not that some portion or all of the deferred tax assets will not be realized.

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Note 9 - Transactions With Related Persons

3 Months Ended

Mar. 31, 2015

Notes to Financial Statements

Related Party Transactions Disclosure [Text Block]

9) TRANSACTIONS WITH RELATED PERSONS

In September 2010, the Company entered into a Memorandum of Understanding with Helios and Matheson Parent (the “HMIT MOU”) pursuant to which Helios and Matheson Parent has agreed to make available to the Company facilities of dedicated Off-shore Development Centers (“ODCs”) and also render services by way of support in technology, client engagement, management and operating the ODCs for the Company. The Company has furnished Helios and Matheson Parent a security deposit of $2 million, classified as a non-current asset on the balance sheet, to cover any expenses, claims or damages that Helios and Matheson Parent may incur while discharging its obligation under the HMIT MOU and also to cover the Company’s payable to Helios and Matheson Parent. Helios and Matheson Parent was providing recruitment services to Helios and Matheson Analytics Inc. during 2014 and did not charge a fee for these services. For the purpose of strengthening our client relationships, Helios and Matheson Parent also provides knowledge transition free of cost to clients. The amount payable to Helios and Matheson Parent for services rendered under the HMIT MOU was $0 and $12,096 for the three months ended March 31, 2015 and 2014, respectively and is included as a component of cost of revenue. All payments to Helios and Matheson Parent under the MOU are made after collections are received from clients. No amount was paid to Helios and Matheson Parent for services rendered under the HMIT MOU for the three months ended March 31, 2015 and 2014. As of March 31, 2015, the Company has a receivable from Helios and Matheson Parent in the amount of $182,626 which represents the amount paid by the Company on behalf of Helios and Matheson Parent. As of March 31, 2015, the amount paid on behalf of Helios and Matheson Parent is reported as an offset to accounts payable to Helios and Matheson Parent.

In August 2014, the Company entered into a Professional Service Agreement with Helios and Matheson Parent (the “HMIT PSA”), which documented ongoing services provided by Helios and Matheson Parent from February 24, 2014. Pursuant to the HMIT PSA Helios and Matheson Parent hires employees in India and provides infrastructure services for those employees to facilitate the operations of those of the Company’s clients who need offshore support for their business. For the services the Company pays the cost incurred by Helios and Matheson Parent for the employee it hires to provide the services and a fixed fee for infrastructure support. Beginning October 2014, all employees were transferred to the payroll of the Company’s subsidiary, Helios and Matheson Global Services Pvt. Ltd., and Helios and Matheson Parent was paid only for the infrastructure support they are providing. For the three months ended March 31, 2015 and 2014, the Company’s revenue from services provided with offshore support was approximately $574,000 and $0 respectively. The amount payable to Helios and Matheson Parent for services rendered under the HMIT PSA was $58,000 for the three months ended March 31, 2015 and is included as component of cost of revenue. The amount paid to Helios and Matheson Parent for services rendered, including prepayment of certain expenses, under the HMIT PSA for the three months ended March 31, 2015 was $82,000.

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Note 11 - Dividend Paid

3 Months Ended

Mar. 31, 2015

Notes to Financial Statements

Stockholders' Equity Note Disclosure [Text Block]

11) DIVIDEND PAID

On February 3, 2014 the Company’s Board of Directors declared a dividend of $0.08 per share on the Company's common stock, amounting to a total payout of $186,435. This amount represents approximately 50% of the net profits of the Company for the year ended December 31, 2013. The dividend was paid on March 5, 2014 to shareholders of record on February 18, 2014. There can be no assurance that we will pay dividends in the future.

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Note 4 - Stock Based Compensation (Details Textual)	3 Months Ended
	Mar. 31, 2015
Share-based Compensation Arrangement by Share-based Payment Award, Options, Exercisable, Number	0
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Gross	0
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Authorized	400,000

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Note 11 - Dividend Paid (Details Textual) (USD $)	0 Months Ended
	Feb. 03, 2014
Common Stock, Dividends, Per Share, Cash Paid	$ 0.08
Dividends, Common Stock, Cash	$ 186,435
Percentage of Dividend to Net Profits	50.00%

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Consolidated Statement of Cash Flows (Unaudited) (USD $)	3 Months Ended
	Mar. 31, 2015	Mar. 31, 2014
Cash flows from operating activities:
Net income/(loss)	$ 55,090	$ (85,471)
Adjustments to reconcile net income/(loss) to net cash provided by/(used in) operating activities
Depreciation and amortization	3,065	2,250
Provision for doubtful accounts	(10,858)	(6,000)
Loss on sale of fixed assets		(39)
Changes in operating assets and liabilities:
Accounts receivable	(477,064)	619,025
Unbilled receivables	36,159	(49,562)
Prepaid expenses and other assets	(27,643)	(38,032)
Accounts payable and accrued expenses	89,839	(7,989)
Net cash flows (used in)/provided by operating activities	(331,412)	434,260
Cash flows from investing activities:
Purchase of Property and Equipment (net of sales)		7
Net cash flows provided by financing activities		7
Cash flows from financing activities:
Dividend Paid		(186,435)
Net cash flows used in financing activities		(186,435)
Effect of foreign currency exchange rate changes on cash and cash equivalents	(3,930)	4,577
Net increase/(decrease) in cash and cash equivalents	(335,342)	252,409
Cash and cash equivalents at beginning of period	1,225,518	660,278
Cash and cash equivalents at end of period	890,176	912,687
Supplemental disclosure of cash flow information:
Cash paid during the period for income taxes - net of refunds	$ 971	$ 4,252

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Note 5 - Net Income/(Loss) Per Share

3 Months Ended

Mar. 31, 2015

Notes to Financial Statements

Earnings Per Share [Text Block]

5)     NET INCOME

/(LOSS)

PER SHARE

:

The following table sets forth the computation of basic and diluted net income/(loss) per share for the three months ended March 31, 2015 and 2014:

	Three Months Ended
	March 31,
	2015		2014
Numerator for basic net income/(loss) per share
Net income/(loss) available to common stockholders	$	55,090	$	(85,471	)
Numerator for diluted net income/(loss) per share
Net income/(loss) available to common stockholders & assumed conversion	$	55,090	$	(85,471	)
Denominator:
Denominator for basic and diluted income/(loss) per share - weighted-average shares		2,330,438		2,330,438
Basic and diluted income/(loss) per share:
Net income/(loss) per share	$	0.02	$	(0.04	)

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Note 3 - Interim Financial Statements (Details Textual) (USD $)	3 Months Ended
	Mar. 31, 2015	Mar. 31, 2014
Net Income (Loss), Including Portion Attributable to Noncontrolling Interest	$ 55,090	$ (85,471)
Approximation [Member]
Net Income (Loss), Including Portion Attributable to Noncontrolling Interest	$ 55,000	$ (85,000)