Nevada
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001-34528
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20-2559624
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(State or other jurisdiction of incorporation)
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(Commission File Number)
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(I.R.S. Employer Identification No.)
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3855 South 500 West, Suite J
Salt Lake City, Utah
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84115
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(Address of principal executive offices)
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(Zip Code)
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___________________________________________________
(Former name or former address, if changed since last report)
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[ ]
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Written communications pursuant to Rule 425 under the Securities Act (17CFR 230.425)
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[ ]
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Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
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[ ]
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Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
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[ ]
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Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))
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Exhibit No. | Description | |
99.1
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Press Release Dated March 14, 2011
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ZAGG Incorporated
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Date: March 14, 2011
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By:
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/s/ BRANDON T. O’BRIEN | |
Brandon T. O’Brien
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Chief Financial Officer
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·
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Record revenue for the fourth quarter of $29.3 million, an increase of 157% year over year and up 27% sequentially.
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·
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Adjusted EBITDA for the fourth quarter was $6.6 million or $0.27 per share versus $1.7 million or $0.07 per share for Q4 2009, an increase of 281%.
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·
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Net income attributable to stockholders for the quarter was $3.4 million or $0.13 per diluted share for the fourth quarter 2010 versus $0.3 million or $0.01 for the fourth quarter 2009, an increase of $0.12 per share year-over-year.
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·
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For the full year, net income attributable to stockholders was $10.0 million versus $3.4 million in 2009, an increase of 195% year-over-year.
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December 31,
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||||||||
2010
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2009
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|||||||
ASSETS
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Current assets
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Cash
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$ | 2,373,293 | $ | 4,970,756 | ||||
Accounts receivable, net
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17,668,612 | 5,450,722 | ||||||
Inventories
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17,946,948 | 3,695,840 | ||||||
Prepaid expenses and other current assets
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2,620,308 | 1,909,835 | ||||||
Related party other asset
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3,899,910 | 1,152,500 | ||||||
Deferred income tax assets
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2,195,687 | 255,653 | ||||||
Total current assets
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46,704,758 | 17,435,306 | ||||||
Property and equipment, net
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1,496,532 | 887,705 | ||||||
Deferred income tax assets
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- | 446,154 | ||||||
Other assets
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63,310 | 9,688 | ||||||
Intangible assets, net
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9,167,466 | 119,627 | ||||||
Total assets
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$ | 57,432,066 | $ | 18,898,480 | ||||
LIABILITIES AND EQUITY
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Current liabilities
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Notes payable
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$ | 30,923 | $ | - | ||||
Accounts payable
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12,122,011 | 2,781,425 | ||||||
Accrued liabilities
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8,271,173 | 1,252,461 | ||||||
Accrued wages and wage related expenses
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302,965 | 164,495 | ||||||
Deferred revenue
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294,931 | 262,937 | ||||||
Sales returns liability
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2,067,671 | 550,201 | ||||||
Total current liabilities
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23,089,674 | 5,011,519 | ||||||
Deferred income tax liability
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1,561,465 | - | ||||||
Total liabilities
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24,651,139 | 5,011,519 | ||||||
Equity
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Stockholders' equity
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Common stock, $0.001 par value; 50,000,000 shares authorized;
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23,925,763 and 21,711,862 shares issued and outstanding, respectively
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23,926 | 21,712 | ||||||
Additional paid-in capital
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15,494,836 | 9,239,285 | ||||||
Cumulative translation adjustment
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(59,802 | ) | (112,039 | ) | ||||
Retained earnings
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14,701,074 | 4,738,003 | ||||||
Total stockholders' equity
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30,160,034 | 13,886,961 | ||||||
Noncontrolling interest
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2,620,893 | - | ||||||
Total equity
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32,780,927 | 13,886,961 | ||||||
Total liabilities and equity
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$ | 57,432,066 | $ | 18,898,480 | ||||
Three months ended
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Twelve months ended
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December 31, 2010
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December 31, 2009
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December 31, 2010
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December 31, 2009
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Net sales
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$ | 29,252,986 | $ | 11,397,588 | $ | 76,135,025 | $ | 38,361,747 | ||||||||
Cost of sales
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15,898,108 | 5,252,598 | 38,738,077 | 16,308,501 | ||||||||||||
Gross profit
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13,354,878 | 6,144,990 | 37,396,948 | 22,053,246 | ||||||||||||
Operating expenses:
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Advertising and marketing
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1,508,966 | 1,676,947 | 5,067,377 | 5,845,801 | ||||||||||||
Selling, general and administrative
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5,741,856 | 3,696,282 | 15,516,149 | 10,497,394 | ||||||||||||
Total operating expenses
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7,250,822 | 5,373,229 | 20,583,526 | 16,343,195 | ||||||||||||
Income from operations
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6,104,056 | 771,761 | 16,813,422 | 5,710,051 | ||||||||||||
Other income (expense):
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Interest expense
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- | (166,791 | ) | (242,617 | ) | (231,445 | ) | |||||||||
Interest and other income
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(11,106 | ) | (106,548 | ) | 6,593 | 34,833 | ||||||||||
Total other (expense) income
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(11,106 | ) | (273,339 | ) | (236,024 | ) | (196,612 | ) | ||||||||
Income before provision for income taxes
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6,092,950 | 498,422 | 16,577,398 | 5,513,439 | ||||||||||||
Income tax provision
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(2,726,500 | ) | (247,578 | ) | (6,649,740 | ) | (2,132,010 | ) | ||||||||
Net income
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3,366,450 | 250,844 | 9,927,658 | 3,381,429 | ||||||||||||
Net loss attributable to noncontrolling interest
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35,414 | - | 35,414 | - | ||||||||||||
Net income attributable to stockholders
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$ | 3,401,864 | $ | 250,844 | $ | 9,963,072 | $ | 3,381,429 | ||||||||
Earnings per share attributable to stockholders:
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Basic earnings per common share attributable to stockholders
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$ | 0.14 | $ | 0.01 | $ | 0.44 | $ | 0.16 | ||||||||
Diluted earnings per common share attributable to stockholders
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$ | 0.13 | $ | 0.01 | $ | 0.41 | $ | 0.15 | ||||||||
Weighted average number of shares outstanding - basic
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23,702,509 | 21,701,829 | 22,518,441 | 20,633,812 | ||||||||||||
Weighted average number of shares outstanding - diluted
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25,769,060 | 23,852,584 | 24,435,827 | 22,989,039 | ||||||||||||
Three months ended
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Twelve months ended
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December 31, 2010
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December 31, 2009
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December 31, 2010
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December 31, 2009
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Net income attributable to stockholders in accordance with GAAP
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$ | 3,401,864 | $ | 250,844 | $ | 9,963,072 | $ | 3,381,429 | ||||||||||||
Add/(less):
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a. |
Impairment of notes receivable and related interest
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- | 712,000 | - | 712,000 | |||||||||||||||
b. |
Stock based compensation expense
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316,639 | 166,011 | 993,476 | 664,792 | |||||||||||||||
c. |
Depreciation and amortization
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108,948 | 71,156 | 363,292 | 243,119 | |||||||||||||||
d. |
Provision for income taxes
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2,726,500 | 247,578 | 6,649,740 | 2,132,010 | |||||||||||||||
e. |
Other expense (income)
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11,106 | 273,339 | 236,024 | 196,612 | |||||||||||||||
Adjusted EBITDA
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$ | 6,565,057 | $ | 1,720,928 | $ | 18,205,604 | $ | 7,329,962 | ||||||||||||
Diluted Adjusted EBITDA per common share
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$ | 0.27 | $ | 0.07 | $ | 0.75 | $ | 0.32 | ||||||||||||
Weighted average number of shares outstanding - diluted
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24,584,992 | 23,852,584 | 24,435,827 | 22,989,039 | ||||||||||||||||