Unwired Planet, Inc. Announces Fourth Quarter and Fiscal End 2013 Financial Results
RENO, Nev.--(BUSINESS WIRE)-- Unwired Planet, Inc. (UPIP) today announced financial results for the fourth quarter and fiscal end 2013.
"This past quarter we continued to build on our licensing efforts and have made significant progress in expanding the number of discussions underway," said Eric Vetter, president and chief administrative officer of Unwired Planet. "In addition, at the end of June we executed a capital raise and in July we completed the transformation of our board of directors, both intended to support our long term IP strategy. With these changes in place, we believe we have fully transitioned the company to a licensing business."
Simultaneously, Unwired Planet today announced the initiation of its Rights Offering, which will commence on Monday, August 19, 2013. Shareholders of record as of 5:00 p.m., New York time, on July 8, 2013, will receive the Rights Offering prospectus and related materials from the company's information agent, Georgeson. Under the Rights Offering, each shareholder of record has the option to purchase their proportionate share of the approximately 7.5M shares being offered at $1.66 per share. The Rights Offering period will be open until 5:00 p.m., New York time, on Monday, September 9, 2013, unless we extend such period.
For more information on recent developments at Unwired Planet, please see our blog update posted today that can be found on the company's website.
On a GAAP basis, net loss for the fourth fiscal quarter ended June 30, 2013 was $8.7 million, or $0.09 per share, compared with a net loss of $12.2 million, or $0.13 per share, in the prior quarter, and with a net income of $31.8 million, or $0.36 per diluted share, in the June quarter of the preceding year. Net loss for the fiscal year ended June 30, 2013 was $47.6 million, or $0.53 per share, compared with a net income of $14.6 million, or $0.17 per diluted share in the previous year.
On a non-GAAP basis, net loss for the fourth fiscal quarter ended June 30, 2013 was $6.5 million, or $0.07 per share, compared with a net loss of $5.8 million, or $0.06 per share, in the prior quarter, and with a net loss of $6.3 million, or $0.07 per share, in the June quarter of the preceding year. Net loss for the fiscal year ended June 30, 2013 was $26.4 million, or $0.29 per share, compared with a net loss of $4.3 million, or $0.05 per share in the previous year. Non-GAAP net loss excludes restructuring, stock-based compensation, strategic costs, discontinued operations, and the tax impact of these items.
A reconciliation between net income (loss) and net income (loss) per share on a GAAP basis and a non-GAAP basis is provided below in a table immediately following the Condensed Consolidated Statements of Operations.
Conference Call Information
Unwired Planet has scheduled a conference call for 5:00 p.m. eastern daylight time today to discuss its financial results for its fourth quarter and fiscal end 2013. Interested parties may access the conference call over the Internet through the company's website at www.unwiredplanet.com or by telephone at 877-941-1429 or 480-629-9857 (international). A replay of the conference call will be available for three weeks (September 5, 2013), beginning at 5:00 p.m. PT on August 15, 2013 by calling 800-406-7325. The replay can be accessed internationally by calling 303-590-3030, access code: 4631190#.
A live webcast of the call, together with supplemental financial information, will also be available on the Investors section of Unwired Planet's website at http://www.unwiredplant.com/investors. A replay will be available on the website for at least three months.
About Unwired Planet
Unwired Planet, Inc. (NAS: UPIP) is the inventor of the Mobile Internet and a premier intellectual property company focused exclusively on the mobile industry. The company's patent portfolio of more than 2,400 issued US and foreign patents includes technologies that allow mobile devices to connect to the Internet and enable mobile communications. The portfolio spans 2G, 3G, and 4G technologies, as well as cloud-based mobile applications and services. Unwired Planet's portfolio includes patents related to key mobile technologies, including baseband mobile communications, mobile browsers, mobile advertising, push technology, maps and location based services, mobile application stores, social networking, mobile gaming, and mobile search. Unwired Planet is headquartered in Reno, Nevada.
Cautionary Note Regarding Forward Looking Statements
Any statements in this press release with respect to future events or expectations, including statements regarding the Company's licensing activities and expectations regarding enhancing shareholder value are forward-looking statements within the meaning of Section 21E of the Securities Exchange Act of 1943 and Section 27A of the Securities Act of 1933. These forward-looking statements are subject to many risks and uncertainties that could cause actual results to differ materially from those projected. Notwithstanding changes that may occur with respect to matters relating to any forward looking statements, Unwired Planet assumes no obligation to update the forward-looking statements included in this press release. For a detailed discussion of these and other factors that may cause these forward looking statements not to come true, please refer to the risk factors discussed in Unwired Planet's filings with the U.S. Securities and Exchange Commission ("SEC"), including the company's Annual Report on Form 10-K for the fiscal year ended June 30, 2012. These documents are available through the SEC's Electronic Data Gathering Analysis and Retrieval system (EDGAR) at www.sec.gov or from Unwired Planet's website at www.unwiredplanet.com.
UNWIRED PLANET, INC. | ||||||||||||
CONDENSED CONSOLIDATED BALANCE SHEETS-UNAUDITED | ||||||||||||
(In thousands) | ||||||||||||
June 30, | June 30, | |||||||||||
2013 | 2012 | |||||||||||
Assets | ||||||||||||
Current Assets: | ||||||||||||
Cash and cash equivalents | $ | 47,613 | $ | 39,709 | ||||||||
Short-term investments | 10,793 | 43,860 | ||||||||||
Restricted cash and investments | 17,251 | - | ||||||||||
Accounts receivable, net | 88 | - | ||||||||||
Prepaid and other current assets | 420 | 3,960 | ||||||||||
Total current assets | 76,165 | 87,529 | ||||||||||
Property and equipment, net | 212 | 452 | ||||||||||
Long-term investments | - | 9,423 | ||||||||||
Deposits and other assets | 1,861 | 89 | ||||||||||
Total assets | $ | 78,238 | $ | 97,493 | ||||||||
Liabilities and Stockholders' Equity | ||||||||||||
Current Liabilities: | ||||||||||||
Accounts payable | $ | 2,317 | $ | 6,088 | ||||||||
Accrued liabilities | 3,876 | 4,161 | ||||||||||
Accrued legal | 3,686 | 3,958 | ||||||||||
Accrued restructuring costs | 594 | 12,871 | ||||||||||
Total current liabilities | 10,473 | 27,078 | ||||||||||
Accrued restructuring costs, less current portion | 259 | 827 | ||||||||||
Long term note payable | 22,096 | - | ||||||||||
Other long term payables | 1,485 | 959 | ||||||||||
Total liabilities | 34,313 | 28,864 | ||||||||||
Stockholders' equity | 43,925 | 68,629 | ||||||||||
Total liabilities and stockholders' equity | $ | 78,238 | $ | 97,493 | ||||||||
UNWIRED PLANET, INC. | ||||||||||||||||||||||
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS-UNAUDITED | ||||||||||||||||||||||
(In thousands, except per share data) | ||||||||||||||||||||||
Three Months Ended | Twelve Months Ended | |||||||||||||||||||||
June 30, | March 31, | June 30, | June 30, | June 30, | ||||||||||||||||||
2013 | 2013 | 2012 | 2013 | 2012 | ||||||||||||||||||
Revenues: | ||||||||||||||||||||||
Licensing Revenue | $ | 106 | $ | 30 | $ | 4 | $ | 142 | $ | 15,050 | ||||||||||||
Fee share | (21 | ) | - | - | (21 | ) | - | |||||||||||||||
Net Revenue | 85 | 30 | 4 | 121 | 15,050 | |||||||||||||||||
Operating Expenses: | ||||||||||||||||||||||
Sales and marketing expenses | $ | 27 | $ | 4 | 239 | 109 | 614 | |||||||||||||||
Patent licensing expenses | 4,705 | 2,861 | 4,623 | 16,281 | 13,089 | |||||||||||||||||
General and administrative | 4,960 | 8,350 | 2,527 | 21,451 | 7,651 | |||||||||||||||||
Restructuring and other related costs | (77 | ) | 42 | 190 | 1,771 | 2,666 | ||||||||||||||||
Total operating expenses | 9,615 | 11,257 | 7,579 | 39,612 | 24,020 | |||||||||||||||||
Operating loss from continuing operations | (9,530 | ) | (11,227 | ) | (7,575 | ) | (39,491 | ) | (8,970 | ) | ||||||||||||
Interest and other income (expense), net | 808 | (1,043 | ) | (258 | ) | (146 | ) | (469 | ) | |||||||||||||
Net loss from continuing operations | (8,722 | ) | (12,270 | ) | (7,833 | ) | (39,637 | ) | (9,439 | ) | ||||||||||||
Income taxes | 42 | - | (3,790 | ) | 42 | (1,289 | ) | |||||||||||||||
Net loss from continuing operations | (8,764 | ) | (12,270 | ) | (4,043 | ) | (39,679 | ) | (8,150 | ) | ||||||||||||
Gain (loss) on sale of discontinued operation | - | 600 | 45,133 | (150 | ) | 50,294 | ||||||||||||||||
Discontinued operations, net | 55 | (514 | ) | (9,237 | ) | (7,784 | ) | (27,577 | ) | |||||||||||||
Net Income (loss) | $ | (8,709 | ) | $ | (12,184 | ) | $ | 31,853 | $ | (47,613 | ) | $ | 14,567 | |||||||||
Basic and diluted net income (loss) per share from: | ||||||||||||||||||||||
Continuing operations | $ | (0.10 | ) | $ | (0.13 | ) | $ | (0.05 | ) | $ | (0.44 | ) | $ | (0.09 | ) | |||||||
Discontinued operations | $ | - | $ | - | 0.41 | (0.09 | ) | 0.26 | ||||||||||||||
Net income (loss) per share | $ | (0.09 | ) | $ | (0.13 | ) | $ | 0.36 | $ | (0.53 | ) | $ | 0.17 | |||||||||
Shares used in basic and diluted net income (loss) per share | 92,078 | 91,018 | 88,200 | 90,843 | 86,354 | |||||||||||||||||
Shares used in diluted net income (loss) per share | 92,078 | 91,018 | 88,200 | 90,843 | 86,354 | |||||||||||||||||
Stock-based compensation by category: | ||||||||||||||||||||||
Sales and marketing | $ | - | $ | - | $ | 15 | $ | 1 | $ | 15 | ||||||||||||
Patent initiative | 261 | - | $ | 43 | 261 | $ | 43 | |||||||||||||||
General and administrative | 1,742 | 4,413 | $ | 613 | 6,888 | $ | 1,774 | |||||||||||||||
Discontinued operations | - | 62 | $ | 3,554 | 624 | $ | 6,573 | |||||||||||||||
$ | 2,003 | $ | 4,475 | $ | 4,225 | $ | 7,774 | $ | 8,405 | |||||||||||||
UNWIRED PLANET, INC. | |||||||||||||||||||||
RECONCILIATION OF GAAP NET INCOME (LOSS) TO NON-GAAP NET INCOME (LOSS) | |||||||||||||||||||||
(In thousands, except per share data) | |||||||||||||||||||||
Three Months Ended | Twelve Months Ended | ||||||||||||||||||||
June 30, | March 31, | June 30, | June 30, | June 30, | |||||||||||||||||
2013 | 2013 | 2012 | 2013 | 2012 | |||||||||||||||||
Reconciliation between GAAP and Non-GAAP net loss: | |||||||||||||||||||||
