-----BEGIN PRIVACY-ENHANCED MESSAGE----- Proc-Type: 2001,MIC-CLEAR Originator-Name: webmaster@www.sec.gov Originator-Key-Asymmetric: MFgwCgYEVQgBAQICAf8DSgAwRwJAW2sNKK9AVtBzYZmr6aGjlWyK3XmZv3dTINen TWSM7vrzLADbmYQaionwg5sDW3P6oaM5D3tdezXMm7z1T+B+twIDAQAB MIC-Info: RSA-MD5,RSA, J9VU63ZW+jOAjA2mmDcJHaw1rnjbfrTLs5ow26HWEAbPlV0CuVSGMdGaM+tzzIr1 nM8YUaBWLABz/ILmp9V6pg== 0000950117-03-002067.txt : 20030513 0000950117-03-002067.hdr.sgml : 20030513 20030513163129 ACCESSION NUMBER: 0000950117-03-002067 CONFORMED SUBMISSION TYPE: 8-K PUBLIC DOCUMENT COUNT: 2 CONFORMED PERIOD OF REPORT: 20030513 ITEM INFORMATION: Financial statements and exhibits ITEM INFORMATION: Regulation FD Disclosure FILED AS OF DATE: 20030513 FILER: COMPANY DATA: COMPANY CONFORMED NAME: KNOT INC CENTRAL INDEX KEY: 0001062292 STANDARD INDUSTRIAL CLASSIFICATION: PERIODICALS: PUBLISHING OR PUBLISHING AND PRINTING [2721] IRS NUMBER: 133895178 STATE OF INCORPORATION: DE FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: 8-K SEC ACT: 1934 Act SEC FILE NUMBER: 000-28271 FILM NUMBER: 03695924 BUSINESS ADDRESS: STREET 1: 462 BROADWAY 6TH FLOOR CITY: NEW YORK STATE: NY ZIP: 10013 BUSINESS PHONE: 2122198555 MAIL ADDRESS: STREET 1: 462 BROADWAY, 6TH FLOOR CITY: NEW YORK STATE: NY ZIP: 10013 8-K 1 a35283.txt THE KNOT, INC. ================================================================================ 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): May 13, 2003 THE KNOT, INC. (Exact name of registrant as specified in its charter) Delaware 13-3895178 (State or other jurisdiction of incorporation) (I.R.S. Employer Identification Number)
0-28271 (Commission File Number) 462 Broadway, 6th Floor, New York, New York 10013 (Address of Principal Executive Offices) (Zip Code) (212) 219-8555 (Registrant's telephone number, including area code) ================================================================================ Item 7. Financial Statements and Exhibits. (a) Not applicable. (b) Not applicable. (c) Exhibits 99.1 Press Release dated May 13, 2003 regarding The Knot's announcement of its financial results as of and for the quarter ended March 31, 2003. Item 9. Regulation FD Disclosure (information furnished under Item 12, "Results of Operations and Financial Condition"). The information contained in this Current Report is intended to be furnished under Item 12, "Results of Operations and Financial Condition," and is provided under Item 9 pursuant to interim guidance issued by the Securities and Exchange Commission in Release Nos. 33-8216 and 34-47583. As such, the information hereunder shall not be deemed to be "filed" for the purposes of Section 18 of the Securities Exchange Act of 1934, as amended (the "Exchange Act"), or otherwise subject to the liabilities of that section, nor shall it be incorporated by reference into a filing under the Securities Act of 1933, as amended, or the Exchange Act, except as shall be expressly set forth by specific reference in such a filing. On May 13, 2003, The Knot, Inc. ("The Knot") issued a press release announcing its financial results as of and for the quarter ended March 31, 2003. A copy of The Knot's press release announcing these financial results is attached as Exhibit 99.1 hereto and is incorporated by reference into this report. 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 hereunto duly authorized. THE KNOT, INC. (Registrant) Date: May 13, 2003 By: /s/ Richard Szefc ____________________ Richard Szefc Chief Financial Officer EXHIBIT INDEX Exhibits - -------- 99.1 Press Release dated May 13, 2003 regarding The Knot, Inc.'s announcement of its financial results as of and for the quarter ended March 31, 2003. EX-99 3 ex99-1.txt EXHIBIT 99-1 EXHIBIT 99.1 FOR IMMEDIATE RELEASE THE KNOT REPORTS FIRST QUARTER 2003 FINANCIAL RESULTS Revenue grows by 41% and net loss is reduced by 92% compared to 2002. NEW YORK, NY (May 13, 2003) - The Knot, Inc. (OTCBB:KNOT.OB, www.theknot.com), the nation's leading wedding resource, today reported financial results for its first quarter ended March 31, 2003. FIRST QUARTER 2003 RESULTS The Knot reported net revenues of $8.7 million for the first quarter of 2003, an increase of 41% from net revenues of $6.1 million for the comparable prior year quarter. National and local online advertising more than doubled to $2.9 million, and merchandise and publishing revenue increased by 23% and 15%, respectively. The Knot also reported a net loss for the first quarter of 2003 of $195,000, or $0.01 per basic and diluted share, as compared to a net loss of $2.5 million, or $0.15 per basic and diluted share, in the first quarter of 2002. Total operating expenses for the first quarter were $5.9 million, a slight decrease from the $6.2 million incurred in the prior year. "The pattern of performance and growth that we established last year continues into 2003 with an emphasis on expanding The Knot brand and increasing the products and services that we offer", said David Liu, CEO of The Knot. "Our results this quarter reflect the strength of our business model, and we look forward to the balance of 2003 with confidence in our ability to further enhance our leadership position in the bridal market". THE KNOT'S RECENT HIGHLIGHTS The Knot began 2003 with two significant announcements - the extension of its agreement with MSN and the extension of its longstanding relationship with America Online, Inc. With long-term presence through these leading online distribution partners solidly in place, The Knot can continue to focus its efforts on offline avenues for brand distribution. In April, The Knot announced that it teamed up with "The View," ABC Daytime's popular talk and entertainment program, to bring to life the fantasy weddings of the show's famed co-hosts: Barbara Walters, Meredith Vieira, Star Jones, and Joy Behar. Every Thursday from April 24 through May 15, Carley Roney, co-founder and Editor-in-Chief of The Knot, walked them through their very own fantasy weddings, from the engagement rings to the wedding cakes of their dreams. In addition, The Knot continues to leverage its existing technology and creative talents with the launch of Prom Spot (www.promspot.com), the first and only all-in-one prom and party-planning site of its kind on the World Wide Web. Just in time for prom-planning season, the nation's millions of potential prom-goers can now turn to PromSpot.com for the biggest prom dress finder, prom planning to-dos and how-tos, savvy articles, message boards, plus fun quizzes and polls on all things prom. ABOUT THE KNOT INC. The Knot Inc. (OTCBB: KNOT; www.theknot.com; AOL keyword: weddings) is one of the world's leading wedding media and services companies, providing today's to-be-weds with comprehensive wedding planning information, interactive tools, and resources. Its award-winning website, TheKnot.com, is the leading online wedding destination and wedding content provider to America Online, MSN and Yahoo!. The Knot also offers a diverse collection of wedding-planning print publications. The Knot produces a national publication, The Knot Magazine, and, through its subsidiary Weddingpages, Inc., publishes WEDDINGPAGES, regional wedding magazines covering more than 20 U.S. markets. In addition, the Company publishes a wedding-planning book trilogy with Random House's Broadway Books and a gift book series with Chronicle Books. The Knot is based in New York and has several other offices across the country. This release may contain projections or other forward-looking statements regarding future events or the future financial performance of The Knot. These statements are only predictions and reflect the current beliefs and expectations of The Knot. Actual events or results may differ materially from those contained in the projections or forward-looking statements. It is routine for internal projections and expectations to change as the quarter progresses, and therefore it should be clearly understood that the internal projection and beliefs upon which The Knot bases its expectations may change prior to the end of the quarter. Although these expectations may change, The Knot will not necessarily inform you if they do. The Knot's policy is to provide its expectations not more than once per quarter, and not to update that information until the next quarter. Some of the factors that could cause actual results to differ materially from the forward-looking statements contained herein include, without limitation, (i) The Knot's unproven business model and limited operating history, (ii) The Knot's history of losses (iii) the significant fluctuation to which The Knot's quarterly revenues and operating results are subject, (iv) the seasonality of the wedding industry and (v) other factors detailed in documents The Knot files from time to time with the Securities and Exchange Commission, including its recent filings on Forms 10-K and 10-Q. Forward-looking statements in this release are made pursuant to the safe harbor provisions contained in the Private Securities Litigation Reform Act of 1995. IR Contact: Heidi Dillmann The Knot Inc. 212-219-8555 x. 1128 ir@theknot.com - --------------- The Knot Inc. Consolidated Balance Sheets (in thousands)
March 31, December 31, 2003 2002 ------------------------------------------------- (Unaudited) (Audited) Assets Current assets: Cash and cash equivalents $9,413 $9,306 Restricted cash 253 252 Accounts receivable, net 3,771 4,791 Inventories 1,493 1,292 Deferred production and marketing costs 206 444 Other current assets 741 556 ----------------------------------- Total current assets 15,877 16,641 Property and equipment, net 1,974 1,948 Intangible assets, net 8,809 8,834 Other assets 347 352 ----------------------------------- Total assets $27,007 $27,775 =================================== Liabilities and stockholders' equity Current liabilities: Accounts payable and accrued expenses $4,883 $5,113 Notes payable - - Deferred revenue 5,489 5,827 Current portion of long-term debt 76 138 ----------------------------------- Total current liabilities 10,448 11,078 Long term debt 235 235 Other liabilities 474 445 ----------------------------------- Total liabilities 11,157 11,758 Stockholders' equity: Common stock 184 184 Additional paid-in-capital 64,400 64,400 Deferred compensation (27) (55) Accumulated deficit (48,707) (48,512) ----------------------------------- Total stockholders' equity 15,850 16,017 ----------------------------------- Total liabilities and stockholders' equity $27,007 $27,775 ===================================
The Knot Inc. Consolidated Statements of Operations (in thousands, except per share amounts)
Three months ended March 31, --------------------------------------- 2003 2002 --------------------------------------- (Unaudited) (Unaudited) Net revenues: Sponsorship and advertising $2,859 $1,313 Merchandise 3,777 3,061 Publishing and other 2,029 1,758 -------------------------------- Total net revenues 8,665 6,132 Cost of revenues 2,930 2,392 -------------------------------- Gross profit 5,735 3,740 Operating expenses: Product and content development 1,072 1,034 Sales and marketing 2,862 2,615 General and administrative 1,739 2,038 Non-cash compensation 20 54 Non-cash sales and marketing - 163 Depreciation and amortization 253 342 --------------------------------- Total operating expenses 5,946 6,246 Loss from operations (211) (2,506) Interest income, net 16 15 --------------------------------- Net loss ($195) ($2,491) ================================= Loss per share - basic and diluted: ($0.01) ($0.15) ================================= Weighted average number of shares used in calculating basic and diluted loss per share 18,394,233 16,540,836 =================================
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