Minnesota
(State or other jurisdiction of in corporation)
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0-20243
(Commission File Number)
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41-1673770
(IRS Employer Identification No.)
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6740 Shady Oak Road
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Eden Prairie, Minnesota
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55344-3433
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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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Exhibit Number
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Exhibit Title
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99
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Press Release dated November 16, 2011.
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Date: November 16, 2011
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VALUEVISION MEDIA, INC.
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By:
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/s/ Teresa Dery
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Teresa Dery
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||
General Counsel
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No.
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Description
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99
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Press Release dated November 16, 2011
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§
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Net sales increased 2% to $135M
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§
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Gross profit rose 6.8% to $50M
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§
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Gross margin rose 160 basis points to 37.2%
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§
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Internet sales penetration rose 360 basis points to 44.1%
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§
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Average homes rose 5% to 80.7M
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Three months ended
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Nine months ended
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|||||||||||||||||||||||
10/29/11
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10/30/10
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10/29/011
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10/30/10
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|||||||||||||||||||||
Q3 '11
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Q3 '10
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Change
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YTD
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YTD
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Change
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|||||||||||||||||||
Net Sales
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$ | 135.2 | $ | 132.3 | 2.2 | % | $ | 410.9 | $ | 383.4 | 7.2 | % | ||||||||||||
Gross Profit
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$ | 50.2 | $ | 47.0 | 6.8 | % | $ | 154.9 | $ | 139.9 | 10.7 | % | ||||||||||||
EBITDA, as adjusted
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$ | (0.5 | ) | $ | 0.6 | $ | (1.1 | ) | $ | 3.7 | $ | (5.7 | ) | $ | 9.4 | |||||||||
Loss Before Debt Extinguishment
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$ | (6.3 | ) | $ | (5.8 | ) | $ | (0.5 | ) | $ | (14.1 | ) | $ | (24.5 | ) | $ | 10.4 | |||||||
Debt Extinguishment*
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$ | - | $ | - | $ | - | $ | (25.7 | ) | $ | - | n/a | ||||||||||||
Net Loss
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$ | (6.3 | ) | $ | (5.8 | ) | $ | (0.5 | ) | $ | (39.7 | ) | $ | (24.5 | ) | $ | (15.3 | ) | ||||||
Homes (Average 000s)
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80,728 | 76,768 | 5.2 | % | 79,366 | 76,032 | 4.4 | % | ||||||||||||||||
Net Shipped Units (000s)
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1,188 | 1,317 | -9.8 | % | 3,480 | 3,590 | -3.1 | % | ||||||||||||||||
Average Price Point
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$ | 105 | $ | 93 | 12.9 | % | $ | 108 | $ | 99 | 9.1 | % | ||||||||||||
Return Rate %
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24.6 | % | 20.8 | % |
+380 bps
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22.8 | % | 20.2 | % |
+260 bps
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||||||||||||||
Gross Margin %
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37.2 | % | 35.6 | % |
+160 bps
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37.7 | % | 36.5 | % |
+120 bps
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||||||||||||||
Internet Sales as a % of Total Sales
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44.1 | % | 40.5 | % |
+360 bps
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45.0 | % | 39.8 | % |
+520 bps
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Webcast/Replay:
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http://www.media-server.com/m/p/d86zj5dm
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Telephone:
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866-510-0705; Passcode: 57151307
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Contact:
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Investor / Media Relations:
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Investors:
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Anthony Giombetti
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Norberto Aja, David Collins, Jennifer Neuman
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ValueVision Media, Inc.
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Jaffoni & Collins
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agiombetti@shopnbc.com
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vvtv@jcir.com
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(612) 308-1190
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(212) 835-8500
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October 29,
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January 29,
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|||||||
2011
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2011
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|||||||
(Unaudited)
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||||||||
ASSETS
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||||||||
Current assets:
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||||||||
Cash and cash equivalents
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$ | 27,742 | $ | 46,471 | ||||
Restricted cash and investments
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4,961 | 4,961 | ||||||
Accounts receivable, net
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87,520 | 90,183 | ||||||
Inventories
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55,681 | 39,800 | ||||||
Prepaid expenses and other
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4,787 | 3,942 | ||||||
Total current assets
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180,691 | 185,357 | ||||||
Property and equipment, net
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28,700 | 25,775 | ||||||
FCC broadcasting license
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23,111 | 23,111 | ||||||
NBC Trademark License Agreement, net
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2,256 | 928 | ||||||
Other Assets
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2,778 | 3,188 | ||||||
$ | 237,536 | $ | 238,359 | |||||
LIABILITIES AND SHAREHOLDERS' EQUITY
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||||||||
Current liabilities:
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||||||||
Accounts payable
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$ | 56,201 | $ | 58,310 | ||||
Accrued liabilities
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47,198 | 43,405 | ||||||
Current portion of accrued dividends
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- | 1,355 | ||||||
Deferred revenue
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606 | 728 | ||||||
Total current liabilities
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104,005 | 103,798 | ||||||
Deferred revenue
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- | 425 | ||||||
Long Term Payable
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- | 4,894 | ||||||
Term Loan
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25,000 | 25,000 | ||||||
Accrued Dividends - Series B Preferred Stock
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- | 6,491 | ||||||
Series B Mandatorily Redeemable Preferred Stock
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- | 14,599 | ||||||
$.01 par value; 0 and 4,929,266 shares issued and outstanding
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||||||||
Total liabilities
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129,005 | 155,207 | ||||||
Commitments and Contingencies
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||||||||
Shareholders' equity:
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||||||||
Common stock, $.01 par value, 100,000,000 shares authorized; 48,472,205 and 37,781,688 shares issued and outstanding
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485 | 378 | ||||||
Warrants to purchase 6,014,744 shares of common stock
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602 | 602 | ||||||
Additional paid-in capital
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402,429 | 337,421 | ||||||
Accumulated deficit
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(294,985 | ) | (255,249 | ) | ||||
Total shareholders' equity
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108,531 | 83,152 | ||||||
$ | 237,536 | $ | 238,359 |
For the Three Month Periods Ended
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For the Nine Month Periods Ended
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|||||||||||||||
October 29,
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October 30,
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October 29,
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October 30,
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|||||||||||||
2011
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2010
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2011
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2010
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|||||||||||||
Net sales
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135,187 | $ | 132,283 | $ | 410,857 | $ | 383,437 | |||||||||
Cost of sales
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84,945 | 85,234 | 255,955 | 243,495 | ||||||||||||
Gross profit
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50,242 | 47,049 | 154,902 | 139,942 | ||||||||||||
Margin %
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37.2 | % | 35.6 | % | 37.7 | % | 36.5 | % | ||||||||
Operating expense:
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||||||||||||||||
Distribution and selling
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47,577 | 42,752 | 140,366 | 133,815 | ||||||||||||
General and administrative
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4,824 | 4,445 | 14,796 | 14,007 | ||||||||||||
Depreciation and amortization
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3,210 | 2,997 | 9,278 | 10,215 | ||||||||||||
Restructuring costs
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- | 451 | - | 877 | ||||||||||||
Total operating expense
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55,611 | 50,645 | 164,440 | 158,914 | ||||||||||||
Operating loss
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(5,369 | ) | (3,596 | ) | (9,538 | ) | (18,972 | ) | ||||||||
Other income (expense):
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||||||||||||||||
Interest income
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17 | - | 61 | 51 | ||||||||||||
Interest expense
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(982 | ) | (2,203 | ) | (4,528 | ) | (6,148 | ) | ||||||||
Debt extinguishment
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- | - | (25,679 | ) | - | |||||||||||
Total other expense
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(965 | ) | (2,203 | ) | (30,146 | ) | (6,097 | ) | ||||||||
Loss before income taxes
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(6,334 | ) | (5,799 | ) | (39,684 | ) | (25,069 | ) | ||||||||
Income tax (provision) benefit
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(16 | ) | (15 | ) | (52 | ) | 591 | |||||||||
Net loss
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$ | (6,350 | ) | $ | (5,814 | ) | $ | (39,736 | ) | $ | (24,478 | ) | ||||
Net loss per common share
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$ | (0.13 | ) | $ | (0.18 | ) | $ | (0.87 | ) | $ | (0.75 | ) | ||||
Net loss per common share
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||||||||||||||||
---assuming dilution
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$ | (0.13 | ) | $ | (0.18 | ) | $ | (0.87 | ) | $ | (0.75 | ) | ||||
Weighted average number of common shares outstanding:
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||||||||||||||||
Basic
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48,472,205 | 32,781,462 | 45,752,867 | 32,721,377 | ||||||||||||
Diluted
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48,472,205 | 32,781,462 | 45,752,867 | 32,721,377 |
VALUEVISION MEDIA, INC.
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||||||||||||||||
AND SUBSIDIARIES
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||||||||||||||||
Reconciliation of Adjusted EBITDA to Net Loss:
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||||||||||||||||
For the Three Month Periods Ended
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For the Nine Month Periods Ended
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|||||||||||||||
October 29,
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October 30,
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October 29,
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October 30,
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|||||||||||||
2011
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2010
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2011
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2010
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|||||||||||||
Adjusted EBITDA (000's)
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$ | (537 | ) | $ | 578 | $ | 3,677 | $ | (5,656 | ) | ||||||
Less:
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||||||||||||||||
Debt extinguishment
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- | - | (25,679 | ) | - | |||||||||||
Restructuring costs
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- | (451 | ) | - | (877 | ) | ||||||||||
Non-cash share-based compensation
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(1,561 | ) | (616 | ) | (3,737 | ) | (2,114 | ) | ||||||||
EBITDA (as defined) (a)
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(2,098 | ) | (489 | ) | (25,739 | ) | (8,647 | ) | ||||||||
A reconciliation of EBITDA to net loss is as follows:
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||||||||||||||||
EBITDA (as defined) (a)
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(2,098 | ) | (489 | ) | (25,739 | ) | (8,647 | ) | ||||||||
Adjustments:
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||||||||||||||||
Depreciation and amortization
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(3,271 | ) | (3,107 | ) | (9,478 | ) | (10,325 | ) | ||||||||
Interest income
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17 | - | 61 | 51 | ||||||||||||
Interest expense
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(982 | ) | (2,203 | ) | (4,528 | ) | (6,148 | ) | ||||||||
Income taxes
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(16 | ) | (15 | ) | (52 | ) | 591 | |||||||||
Net loss
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$ | (6,350 | ) | $ | (5,814 | ) | $ | (39,736 | ) | $ | (24,478 | ) |