Delaware
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001-11460
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31-1103425
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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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5966 La Place Court
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Carlsbad, California
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92008
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(Address of Principal Executive Offices)
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(Zip Code)
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o
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Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
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o
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Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
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o
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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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o
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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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99.1
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Press Release of NTN Buzztime, Inc. dated November 10, 2011 (financial results for the three and nine months ended September 30, 2011).
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NTN BUZZTIME, INC.
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Date: November 10, 2011
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By: /s/ Kendra Berger
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Kendra Berger
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Chief Financial Officer
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Exhibit No.
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Document
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99.1
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Press Release of NTN Buzztime, Inc. dated November 10, 2011 (financial results for the three and nine months ended September 30, 2011).
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FOR IMMEDIATE RELEASE
November 10, 2011
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![]() |
Total site counts
and churn percentages
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Q3
2011
|
Q3
2010
|
Increase
(Decrease)
|
||
Site Count – Beginning of Quarter
|
3,904
|
4,009
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(105)
|
||
Q3 Installations
|
220
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274
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(54)
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||
Q3Terminations
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(214)
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(268)
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(54)
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||
Site Count - End of Quarter
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3,910
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4,015
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(105)
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||
Churn Percentage
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5.5%
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6.7%
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(1.2)
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September 30,
2011
|
December 31,
2010
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|||||||
ASSETS
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(unaudited)
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|||||||
Current Assets:
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||||||||
Cash and cash equivalents
|
$ | 2,462 | $ | 3,906 | ||||
Accounts receivable, net
|
516 | 549 | ||||||
Investment available-for-sale
|
— | 184 | ||||||
Prepaid expenses and other current assets
|
506 | 588 | ||||||
Total current assets
|
3,484 | 5,227 | ||||||
Broadcast equipment and fixed assets, net
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4,250 | 3,638 | ||||||
Software development costs, net
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1,262 | 1,094 | ||||||
Deferred costs
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1,171 | 839 | ||||||
Goodwill
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1,221 | 1,261 | ||||||
Intangible assets, net
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720 | 1,025 | ||||||
Other assets
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89 | 41 | ||||||
Total assets
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$ | 12,197 | $ | 13,125 | ||||
LIABILITIES AND SHAREHOLDERS’ EQUITY
|
||||||||
Current Liabilities:
|
||||||||
Accounts payable and accrued expenses
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$ | 1,211 | $ | 874 | ||||
Accrued compensation
|
990 | 628 | ||||||
Sales tax payable
|
752 | 856 | ||||||
Income tax payable
|
4 | 8 | ||||||
Obligations under capital leases—current portion
|
303 | 376 | ||||||
Deferred revenue
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537 | 520 | ||||||
Other current liabilities
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47 | 74 | ||||||
Total current liabilities
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3,844 | 3,336 | ||||||
Obligations under capital leases, excluding current portion
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148 | 105 | ||||||
Deferred revenue, excluding current portion
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173 | 124 | ||||||
Deferred rent
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645 | — | ||||||
Other liabilities
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112 | 99 | ||||||
Total liabilities
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4,922 | 3,664 | ||||||
Commitments and contingencies
|
||||||||
Shareholders’ equity:
|
||||||||
Series A 10% cumulative convertible preferred stock, $.005 par value, $161 liquidation preference, 5,000 shares authorized; 161 shares issued and outstanding
|
1 | 1 | ||||||
Common stock, $.005 par value, 84,000 shares authorized; 60,907 and 60,751 shares issued and outstanding at September 30, 2011 and December 31, 2010, respectively
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304 | 304 | ||||||
Treasury stock, at cost, 503 shares at September 30, 2011 and December 31, 2010
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(456 | ) | (456 | ) | ||||
Additional paid-in capital
|
116,399 | 116,114 | ||||||
Accumulated deficit
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(109,672 | ) | (107,284 | ) | ||||
Accumulated other comprehensive income
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699 | 782 | ||||||
Total shareholders’ equity
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7,275 | 9,461 | ||||||
Total liabilities and shareholders’ equity
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$ | 12,197 | $ | 13,125 |
Three Months Ended
September 30,
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Nine Months Ended
September 30,
|
|||||||||||||||
2011
|
2010
|
2011
|
2010
|
|||||||||||||
Revenues
|
$ | 5,872 | $ | 6,505 | $ | 17,766 | $ | 18,967 | ||||||||
Operating expenses:
|
||||||||||||||||
Direct operating costs (includes depreciation and amortization)
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1,312 | 1,522 | 4,244 | 4,589 | ||||||||||||
Selling, general and administrative
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5,180 | 4,665 | 15,386 | 14,481 | ||||||||||||
Depreciation and amortization (excluding depreciation and amortization included in direct costs)
|
175 | 163 | 504 | 508 | ||||||||||||
Total operating expenses
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6,667 | 6,350 | 20,134 | 19,578 | ||||||||||||
Operating (loss) income
|
(795 | ) | 155 | (2,368 | ) | (611 | ) | |||||||||
Other (expense) income, net
|
(5 | ) | (16 | ) | 36 | (73 | ) | |||||||||
(Loss) income before income taxes
|
(800 | ) | 139 | (2,332 | ) | (684 | ) | |||||||||
Provision for income taxes
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(37 | ) | (15 | ) | (48 | ) | (38 | ) | ||||||||
Net (loss) income
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$ | (837 | ) | $ | 124 | (2,380 | ) | $ | (722 | ) | ||||||
Net (loss) income per common share – basic
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$ | (0.01 | ) | $ | 0.00 | $ | (0.04 | ) | $ | (0.01 | ) | |||||
Net (loss) income per common share –diluted
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$ | (0.01 | ) | $ | 0.00 | $ | (0.04 | ) | $ | (0.01 | ) | |||||
Weighted average shares outstanding – basic
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60,404 | 60,209 | 60,394 | 60,100 | ||||||||||||
Weighted average shares outstanding –diluted
|
60,404 | 60,849 | 60,394 | 60,100 |
Nine months ended
September 30,
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||||||||
2011
|
2010
|
|||||||
Cash flows provided by operating activities:
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||||||||
Net loss
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$ | (2,380 | ) | $ | (722 | ) | ||
Adjustments to reconcile net loss to net cash provided by operating activities:
|
||||||||
Depreciation and amortization
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2,313 | 2,406 | ||||||
Provision for doubtful accounts
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(16 | ) | 232 | |||||
Gain on contract termination
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— | (11 | ) | |||||
Stock-based compensation
|
242 | 209 | ||||||
Loss on sales of securities available-for-sale
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30 | — | ||||||
Loss from disposition of equipment and capitalized software
|
164 | 265 | ||||||
Changes in assets and liabilities:
|
||||||||
Accounts receivable
|
51 | (76 | ) | |||||
Prepaid expenses and other assets
|
32 | (4 | ) | |||||
Accounts payable and accrued expenses
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461 | (421 | ) | |||||
Income taxes payable
|
(5 | ) | (12 | ) | ||||
Deferred costs
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(333 | ) | 176 | |||||
Deferred revenue
|
66 | 161 | ||||||
Deferred rent
|
76 | — | ||||||
Net cash provided by operating activities
|
701 | 2,203 | ||||||
Cash flows used in investing activities:
|
||||||||
Capital expenditures
|
(1,302 | ) | (992 | ) | ||||
Software development expenditures
|
(760 | ) | (707 | ) | ||||
Proceeds from sales of securities available-for-sale
|
134 | — | ||||||
Trademark license
|
— | (35 | ) | |||||
Net cash used in investing activities
|
(1,928 | ) | (1,734 | ) | ||||
Cash flows used in financing activities:
|
||||||||
Proceeds from note payable
|
123 | — | ||||||
Principal payments on note payable
|
(4 | ) | — | |||||
Principal payments on capital leases
|
(336 | ) | (302 | ) | ||||
Proceeds from exercise of stock options
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36 | 61 | ||||||
Net cash used in financing activities
|
(181 | ) | (241 | ) | ||||
Net (decrease) increase in cash and cash equivalents
|
(1,408 | ) | 228 | |||||
Effect of exchange rate on cash
|
(36 | ) | (10 | ) | ||||
Cash and cash equivalents at beginning of period
|
3,906 | 3,637 | ||||||
Cash and cash equivalents at end of period
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$ | 2,462 | $ | 3,855 |