0000950168-01-500988.txt : 20011029 0000950168-01-500988.hdr.sgml : 20011029 ACCESSION NUMBER: 0000950168-01-500988 CONFORMED SUBMISSION TYPE: 8-K PUBLIC DOCUMENT COUNT: 2 CONFORMED PERIOD OF REPORT: 20011022 ITEM INFORMATION: Other events ITEM INFORMATION: Financial statements and exhibits FILED AS OF DATE: 20011023 FILER: COMPANY DATA: COMPANY CONFORMED NAME: J2 GLOBAL COMMUNICATIONS INC CENTRAL INDEX KEY: 0001084048 STANDARD INDUSTRIAL CLASSIFICATION: TELEGRAPH & OTHER MESSAGE COMMUNICATIONS [4822] IRS NUMBER: 510371142 STATE OF INCORPORATION: DE FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: 8-K SEC ACT: 1934 Act SEC FILE NUMBER: 000-25965 FILM NUMBER: 1764466 BUSINESS ADDRESS: STREET 1: 6922 HOLLYWOOD BLVD STREET 2: SUITE 900 CITY: LOS ANGELES STATE: CA ZIP: 90028 BUSINESS PHONE: 3238609200 MAIL ADDRESS: STREET 1: 6922 HOLLYWOOD BLVD STREET 2: SUITE 900 CITY: LOS ANGELES STATE: CA ZIP: 90028 FORMER COMPANY: FORMER CONFORMED NAME: JFAX COM INC DATE OF NAME CHANGE: 19990413 8-K 1 d8k.txt FORM 8-K 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) October 22, 2001 j2 Global Communications, Inc. (Exact name of registrant as specified in its charter) Delaware 0-25965 51-0371142 (State or other jurisdiction (Commission (IRS Employer of incorporation File Number) Identification No.) 6922 Hollywood Blvd. Suite 800 Los Angeles, California 90028 (Address of principal executive offices) (323) 860-9200 (Registrant's telephone number, including area code) (Former name or former address, if changed since last report) ITEM 5. OTHER EVENTS On October 22, 2001, j2 Global Communications, Inc., a Delaware corporation ("j2"), announced its financial results for the fiscal quarter ended September 30, 2001. A copy of j2's press release announcing these financial results is attached to this report as Exhibit 99.1 and is incorporate herein by reference. The press release filed as an exhibit to this report includes "safe harbor" language pursuant to the Private Securities Litigation Reform Act of 1995, as amended, indicating that certain statements about j2's business contained in the press release are "forward-looking" rather than "historic." The press release also states that a more thorough discussion of certain factors which may affect j2's operating results is included in j2's Amended Annual Report on Form 10-K/A for the fiscal year ended December 31, 2000 and j2's Quarterly Report on Form 10-Q for the period ended June 30, 2001 which are on file with the Securities and Exchange Commission and available at the Securities and Exchange Commission's website (http://www.sec.gov), and will also be included in j2's Quarterly Report on Form 10-Q for the fiscal quarter ended September 30, 2001 to be filed with the Securities and Exchange Commission in the near future. ITEM 7. FINANCIAL STATEMENTS, PRO FORMA FINANCIAL INFORMATION AND EXHIBITS (c) EXHIBITS The following exhibit is filed as part of this report: Exhibit Number Description ------- ----------- 99.1 Press Release issued October 22, 2001. 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. j2 Global Communications, Inc. (Registrant) By: /s/ Jeffrey D. Adelman ------------------------------- Date: October 22, 2001 Jeffrey D. Adelman Vice President, General Counsel and Secretary INDEX TO EXHIBITS Exhibit Number Description ------- ----------- 99.1 Press Release issued October 22, 2001. EX-99.1 3 dex991.txt PRESS RELEASE EXHIBIT 99.1 Media Contact At j2 Global Communications ------------- --------------------------- Jenni Benzaquen/Steven Greene Jeff Adelman or Scott Turicchi Sperling Greene Associates j2 Global Communications, Inc. 310-548-5493/201-871-0856 (323) 372-3617 jenni benzaquen@hotmail.com investorinfo@j2.com ---------------------------- ------------------- j2 Global Communications, Inc. Reports Q3 2001 Revenues Increased 163% from Q3 2000 EBITDA Grew to a Positive $883,000, Marking j2's Sixth Consecutive Quarter of EBITDA Improvement HOLLYWOOD, California, October 22, 2001 -- j2 Global Communications, Inc. (NASDAQ: JCOM), a pioneer in unified messaging and communications services, today reported financial results for the third quarter ended September 30, 2001. Third quarter revenues for the Company rose 163% vs. last year and revenues grew 9.3% vs this year's second quarter. EBITDA was $883,000 vs. prior year $(4,658,000) and rose 51.9% vs. the second quarter of this year. In addition, earnings (before amortization of goodwill and intangibles) were $270,000 vs. prior year $(4,767,000) and rose more than ten fold vs. the second quarter of this year. Key financial results for the quarter and comparisons versus the year-ago quarter are as follows:
Quarter Quarter ended ended Q3 '01 Q3 '00 ------------ ------------- Revenues $8.6 million $3.3 million Gross Profit $5.2 million $1.6 million EBITDA (Loss) $0.9 million ($4.7 million) Earnings (Loss) $0.3 million ($4.8 million) (Before amortization of goodwill and intangibles) Earnings (Loss) Per Share $0.02 ($0.53) (Before amortization of goodwill and intangibles)
The financial results set forth above are inclusive of eFax.com from November 29, 2000, the date j2 acquired eFax.com. "Our excellent third quarter results confirm again the strength of our company," said Richard Ressler, j2's Chairman. "In the second quarter our revenue grew to a level resulting in $25,000 of earnings before amortization of goodwill and intangibles. In the third quarter those economies of scale, combined with our seventeenth consecutive quarter of revenue growth, resulted in a more than ten-fold increase in earnings before amortization of goodwill and intangibles. These results demonstrate the power of our business model, as over 41% and 33%, respectively, of our quarter-to-quarter revenue increase fell right to the EBITDA and Earnings (before amortization of goodwill and intangibles) lines." "We are extremely pleased with our third quarter financial performance, especially in light of the parade of negative economic news that has followed the tragic events of September 11th," said Scott Jarus, President of j2. "Even more important, we continued to solidify our position as the premier provider of easy to use, cost effective and secure unified messaging and communications solutions." j2's third quarter conference call will be broadcast live over the Internet on October 22, 2001 at 4:30 p.m. Eastern. During the call, the Company will review its presentation for investors, which will be posted on the Company's Website at www.j2.com and filed with the Securities and Exchange Commission pursuant to ---------- Regulation FD. What: j2 Global Communications, Inc. Third Quarter Earnings Release When: October 22, 2001, 4:30 p.m. Eastern Where: http://www.videonewswire.com/event.asp?id=1551 ---------------------------------------------- How: Live over the Internet -- Simply log on to the Web at the address above Contact: Scott Turicchi at investorinfo@j2.com ------------------- Questions for the call will be taken via email at investorinfo@j2.com, and can ------------------- be sent at anytime prior to or during the Webcast. If you are unable to participate during the live Webcast, the call and the presentation will be archived at http://www.videonewswire.com/event.asp?id=1551. ---------------------------------------------- (Minimum Requirements to listen to broadcast: The Windows Media Player software, downloadable free from www.microsoft.com/windows/windowsmedia/EN/default.asp, ----------------------------------------------------- and at least a 28.8Kbps connection to the Internet. If you experience problems listening to the broadcast, send an email to isproducers@prnewswire.com.) -------------------------- "Safe Harbor" Statement Under the Private Securities Litigation Reform Act of 1995: This press release contains forward-looking statements relating to future events or future financial performance that involve risks and uncertainties. Such statements can be identified by terminology such as "may," "will," "is confident," "should," "expects," "plans," "anticipates," "believes," "estimates," "predicts," "potential" or "continue" or the negative of such terms or comparable terms. These statements are only predictions and actual results could differ materially from those anticipated in these statements based upon a number of factors including final adjustments made in closing the quarter and those identified in the Company's filings with the SEC. About j2 Global Communications Founded in 1995, j2 Global Communications, Inc. is a leading provider of enhanced value-added messaging and communications services with over 4.6 million customers around the world. j2's access network spans 550 cities in 14 countries on 4 continents. The Company sells its patented services through three distinct sales channels: Web, Corporate and Licensed Services; and markets those services under the eFax(R) and jConnect(TM) brands. j2's industry accolades include the Deloitte & Touche Fast 50 Award, Forbes Best of the Web Award, PC Magazine's Top 100 Websites Award, British Telecom's Tech Award and many others. For more information about j2, please visit www.j2.com. ---------- j2 GLOBAL COMMUNICATIONS, INC. Condensed Consolidated Statement of Operations (Unaudited) (in thousands, except per share amounts)
Three months ended Nine months ended September 30, September 30, ------------------------- ------------------------- 2001 2000 2001 2000 ---------- --------- ---------- --------- Revenues Subscriber $ 8,329 $ 3,266 $ 22,034 9,139 Hardware -- -- 742 -- Other 268 -- 896 -- ---------- --------- ---------- --------- Total revenue 8,597 3,266 23,672 9,139 Cost of revenue Subscriber 3,387 1,709 9,504 4,747 Other -- -- 450 -- ---------- --------- ---------- --------- Total cost of revenue 3,387 1,709 9,954 4,747 Gross profit 5,210 1,557 13,718 4,392 Operating expenses: Sales and marketing 1,125 2,549 3,313 7,167 Research and development 709 767 1,890 2,120 General and administrative 3,381 3,711 10,600 11,483 Amortization of goodwill and other intangibles 1,727 1,141 5,197 2,942 ---------- --------- ---------- --------- Total operating expenses 6,942 8,168 21,000 23,712 Operating Loss (1,732) (6,611) (7,282) (19,320) Other income (expense), net 275 703 1,076 2,178 Net Loss (1,457) (5,908) (6,206) (17,142) ---------- --------- ---------- --------- Net loss attributable to common stockholders $ (1,457) $ (5,908) $ (6,206) (17,142) ========== ========= ========== ========= Basic and diluted net loss per common share: Loss before acquisition related amortization of goodwill and other intangibles $ 0.02 $ (0.53) $ (0.09) (1.60) Loss from amortization of goodwill and other intangibles (0.15) (0.13) (0.47) (0.32) ---------- --------- ---------- --------- Net Loss Per Share $ (0.13) $ (0.66) $ (0.56) $ (1.92) ========== ========= ========== ========= Weighted average shares outstanding 11,239,198 9,005,895 11,126,514 8,897,921 ========== ========= ========== =========
j2 GLOBAL COMMUNICATIONS, INC. Condensed Consolidated Balance Sheets (Unaudited) (in thousands)
ASSETS September 30, 2001 December 31, 2000 ------------------ ----------------- Cash and cash equivalents $ 22,816 $ 23,824 Short-term investments 0 1,963 Accounts receivable, net 2,865 2,443 Prepaid expenses and other 2,273 2,047 ------------------ ----------------- Total current assets 27,954 30,277 Furniture, fixtures and equipment, net 5,629 6,214 Goodwill, net 16,857 20,759 Other purchased intangibles, net 1,771 2,945 Long-term investments 0 2,320 Other assets 1,835 2,790 ------------------ ----------------- Total assets $ 54,046 $ 65,305 ================== ================= LIABILITIES AND STOCKHOLDERS' EQUITY Accounts payable and accrued expenses $ 3,440 $ 5,298 Accrued exit costs 1,098 2,106 Deferred revenue 1,117 1,485 Current portion of capital lease payable 390 295 Current portion of long-term debt 761 1,285 Other 282 132 ------------------ ----------------- Total current liabilities 7,088 10,601 Capital lease obligations 0 168 Long-term debt 0 416 ------------------ ----------------- Total liabilities 7,088 11,185 Redeemable common stock 0 7,065 Common stock subject to put option 998 998 Total stockholders' equity 45,960 $ 46,057 ------------------ ----------------- Total liabilities and stockholders' equity $ 54,046 $ 65,305 ================== =================