-----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, Hb7HIEPBsj5CeQJvKucjpua7kiRtbGCzFYUMzaBSPzmWsY04tCu6gZCxQmIRiqIb LJ4aBVX3464+Zi6A6JOAPQ== 0001157523-03-006106.txt : 20031030 0001157523-03-006106.hdr.sgml : 20031030 20031030162355 ACCESSION NUMBER: 0001157523-03-006106 CONFORMED SUBMISSION TYPE: 8-K PUBLIC DOCUMENT COUNT: 2 CONFORMED PERIOD OF REPORT: 20031030 ITEM INFORMATION: Regulation FD Disclosure FILED AS OF DATE: 20031030 FILER: COMPANY DATA: COMPANY CONFORMED NAME: SONIC SOLUTIONS/CA/ CENTRAL INDEX KEY: 0000916235 STANDARD INDUSTRIAL CLASSIFICATION: SERVICES-COMPUTER INTEGRATED SYSTEMS DESIGN [7373] IRS NUMBER: 930925818 STATE OF INCORPORATION: CA FISCAL YEAR END: 0331 FILING VALUES: FORM TYPE: 8-K SEC ACT: 1934 Act SEC FILE NUMBER: 000-23190 FILM NUMBER: 03966990 BUSINESS ADDRESS: STREET 1: 101 ROWLAND WAY STREET 2: STE 110 CITY: NOVATO STATE: CA ZIP: 94945 BUSINESS PHONE: 4158938000 MAIL ADDRESS: STREET 1: 101 ROWLAND WAY STREET 2: STE 110 CITY: NOVATO STATE: CA ZIP: 94945 8-K 1 a4505849.txt SONIC SOLUTIONS 8-K UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 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 30, 2003 SONIC SOLUTIONS (Exact name of registrant as specified in its charter) California 72870 93-0925818 (State or other jurisdiction of (Commission File Number) (I.R.S. Employer organization) Identification No.) 101 Rowland Way, Suite 110 Novato, CA 94945 (Address of principal executive offices) (Zip Code) Registrant's telephone number, including area code: (415) 893-8000 Regulation FD Disclosure ITEM 9. REGULATION FD DISCLOSURE (the following discussion is furnished under "Item 12. Results of Operations and Financial Condition"). In accordance with the Securities and Exchange Commission Release No. 33-8216, the following information, required to be furnished under "Item 12. Results of Operations and Financial Conditions," is furnished under "Item 9. Regulation FD Disclosure." On October 30, 2003, Sonic Solutions issued a press release announcing the results of its second fiscal quarter ended September 30, 2003. The press release is attached hereto as Exhibit 99.1. The information in this Current Report is being furnished and shall not be deemed "filed" for the purposes of Section 18 of the Securities Exchange Act of 1934, or otherwise subject to the liabilities of that Section. The information in this Current Report shall not be incorporated by reference into any registration statement or other document filed pursuant to the Securities Act of 1933, except as shall be expressly set forth by specific reference in such a filing. EXHIBIT: The following document is filed as an exhibit to this report: Exhibit Description ------- ----------- 99.1 Press Release of Sonic Solutions dated October 30, 2003 EX-99 3 a4505849_991.txt SONIC SOLUTIONS EXHIBIT 99.1 Exhibit 99.1 Sonic Solutions Reports Results For Second Fiscal Quarter Ended September 30, 2003; Revenue Increase Drives Record Quarterly Profitability NOVATO, Calif.--(BUSINESS WIRE)--Oct. 30, 2003--Sonic Solutions (Nasdaq:SNIC) announced today results for the Company's second fiscal quarter ended September 30, 2003. Net revenue for the quarter was $12,695,000 compared to $7,488,000 for the same period in the prior fiscal year. Operating income for the quarter was $2,261,000 and net income per diluted share was $0.08 compared to operating income of $726,000 and net income per diluted share of $0.04 for the same period of the prior fiscal year. Net revenue for the six months ended September 30, 2003 was $24,717,000 compared to $14,872,000 for the same period in the prior fiscal year. Operating income for the six months was $4,284,000 and net income per diluted share was $0.16 compared to operating income of $1,308,000 and net income per diluted share of $0.07 for the same period of the prior fiscal year. "Sonic's revenues grew during the September quarter, as DVD recorder shipments continued to ramp and as our business expanded on several fronts," noted Bob Doris, president & CEO of Sonic Solutions. "The company's financial performance was excellent, on virtually all income statement and balance sheet metrics. We're very much looking forward to the last two quarters of our 2004 fiscal year, when we expect that growth will accelerate, taking Sonic to new levels of performance." Sonic will hold its fiscal second quarter 2004 earnings conference call on Thursday, October 30, 2003 at 1:30 p.m. (PT)/4:30 p.m. (ET). Investors are invited to listen to Sonic's quarterly conference call on the investor section of the Sonic Web site at www.sonic.com. A replay of the call will also be available via Webcast at www.sonic.com. Sonic Solutions Condensed Statement of Operations (in thousands, except per share amounts) (unaudited) Three Months Six Months Ended Ended September 30, September 30, 2003 2002 2003 2002 ------- ------- ------- ------- Net Revenue $12,695 $ 7,488 $24,717 $14,872 Cost of Revenue 1,653 1,789 3,401 3,696 ------- ------- ------- ------- Gross Profit 11,042 5,699 21,316 11,176 ------- ------- ------- ------- Operating expenses Marketing and sales 2,890 2,001 5,982 4,147 Research and development 4,840 2,250 9,021 4,142 General and administrative 1,051 722 2,029 1,579 ------- ------- ------- ------- Total operating expenses 8,781 4,973 17,032 9,868 ------- ------- ------- ------- Operating income 2,261 726 4,284 1,308 Other income, net 51 28 1 62 ------- ------- ------- ------- Income before income taxes 2,312 754 4,285 1,370 Provision for income taxes 414 18 745 58 ------- ------- ------- ------- Net income $ 1,898 736 3,540 1,312 ======= ======= ======= ======= Net income per share applicable to common Shareholders: Basic $ 0.09 $ 0.04 $ 0.18 $ 0.08 ======= ======= ======= ======= Diluted $ 0.08 $ 0.04 $ 0.16 $ 0.07 ======= ======= ======= ======= Shares used in computing net income per share: Basic 20,118 16,032 19,276 15,660 ======= ======= ======= ======= Diluted 23,462 19,138 22,620 18,767 ======= ======= ======= ======= Sonic Solutions Condensed Balance Sheets (in thousands) September 30, March 31, 2003 2003 * -------- -------- Assets (unaudited) Current assets: Cash, cash equivalents and investments $ 37,574 $ 9,708 Accounts receivable, net of allowance for returns and doubtful accounts of $411, at September 30, 2003 and March 31, 2003, respectively 4,489 5,823 Inventory 655 531 Prepaid expenses and other current assets 844 869 -------- -------- Total current assets 43,562 16,931 -------- -------- Fixed assets, net 2,381 1,745 Purchased and internally developed software costs, net 956 920 Acquired intangibles 1,077 1,345 Goodwill 6,715 6,715 Other assets 1,417 697 -------- -------- Total assets $ 56,108 $ 28,353 ======== ======== Liabilities and Shareholders' Equity Current liabilities: Accounts payable and accrued liabilities $ 7,054 $ 7,087 Deferred revenue and deposits 2,286 1,840 -------- -------- Total current liabilities 9,340 8,927 -------- -------- Shareholders' equity: Common stock 69,567 45,765 Preferred stock 0 0 Accumulated deficit (22,799) (26,339) -------- -------- Total shareholders' equity 46,768 19,426 -------- -------- Total liabilities and shareholders' equity $ 56,108 $ 28,353 ======== ======== * March 31, 2003 balances are derived from the audited financial statements included in the Company's 2003 Annual Report on Form 10-K. About Sonic Solutions (NASDAQ: SNIC - News) Based in Marin County, California, Sonic Solutions (http://www.sonic.com) is the world's leading supplier of DVD creation software for professional, industrial and consumer applications. The majority of major film releases on DVD have been produced on Sonic's professional DVD authoring systems in studios around the world. Sonic's MyDVD(R) and DVDit!(R) are the most widely used DVD creation applications by consumers and video enthusiasts and are the solutions of choice among the key PC and after-market drive suppliers. Sonic's RecordNow!(TM) is a leading solution for audio and data mastering. Sonic's AuthorScript(R), the DVD and CD formatting and burning engine that underlies Sonic's applications, is the most widely deployed DVD software engine and has been licensed by Adobe, Microsoft, Sony, and many others. Forward Looking Statements The above paragraphs of this press release may contain forward looking statements that are based upon current expectations. Actual results could differ materially from those projected in the forward looking statements as a result of various risks and uncertainties including, among others, the timely introduction and acceptance of new products, costs associated with new product introductions, the transition of products to new hardware configurations and platforms and other factors, including those discussed in the Company's annual and quarterly reports on file with the Securities and Exchange Commission. This press release should be read in conjunction with the Company's most recent annual report on Form 10-K, Form 10-Q and Registration Statement on file with the Securities and Exchange Commission, which contain a more detailed discussion of the Company's business including risks and uncertainties that may affect future results. The Company does not undertake to update any forward looking statements. Sonic, the Sonic logo, Backup MyPC, CinePlayer, DVD Producer, Edit-on-DVD, NoNoise, OpenDVD, Sonic PrimeTime, RecordNow! and Simple Backup are trademarks of Sonic Solutions. AuthorScript, AutoDVD, DVDit!, DVD Fusion, MyDVD, PrePlay, ReelDVD, Scenarist, Sonic DVD Creator and Sonic Solutions are registered trademarks of Sonic Solutions. All other company or product names are trademarks of their respective owners and, in some cases, are used by Sonic under license. Specifications, pricing and delivery schedules are subject to change without notice. Sonic Solutions -- 101 Rowland Way -- Novato, CA 94945 -- tel: 415.893.8000 -- fax: 415.893.8008 -- www.sonic.com CONTACT: Sonic Solutions A. Clay Leighton, 415-893-8000 Chief Financial Officer clay_leighton@sonic.com or Market Street Partners Carolyn Bass or Rob Hawkins, 415-321-2455 carolyn@marketstreetpartners.com rob@marketstreetpartners.com -----END PRIVACY-ENHANCED MESSAGE-----