LiveWorld, Inc. (OTC Markets: LVWD), today announced the audited financial results for the full years 2014. Total revenues were approximately $13.8 million for 2014 as compared to the approximately $14.5 million in total revenues reported for 2013.
The Company reported net loss for 2014 of approximately $0.4 million, or 3% of total revenues. This compares to the net income of approximately $0.8 million, or 7% of total revenues, reported for 2013. The loss per share on a fully diluted basis was $0.01 while the earnings per share was $0.02 for 2014 and 2013, respectively.
The company ended 2014 with approximately $4.4 million in cash and cash equivalents. The Company reported a positive working capital balance of approximately $3.8 million as of December 31, 2014.
“In 2014 we saw the company begin to transition our development, sales, and marketing efforts as we put greater emphasis on bringing new and compelling products to market,” states David Houston, Chief Financial Officer of LiveWorld. “We will remain focused on the long-term goals of the company which means making meaningful investments for our future growth.”
Detailed financial information may be downloaded at www.liveworld.com/investor-relations or at www.otcmarkets.com.
About LiveWorld
LiveWorld is a social media solutions company that provides services and software for human engagement at scale to help brands develop deeper relationships with customers. LiveWorld delivers a full range of social media solutions to improve relationship marketing, customer support, and market learning. Our solutions include social & content strategy, campaign management, customer support, moderation & engagement, listening & Insights and measurement and reporting. Our clients include the #1 brands in retail, CPG, pharma, and financial services who use our solutions to engage their customers in a way that’s social, personal, and direct, yet affordable and sustainable on a large scale. LiveWorld is headquartered in San Jose California, with additional offices in New York City and Austin. Learn more at www.liveworld.com and @LiveWorld.
“Safe Harbor" Statement Under The Private Securities Litigation Reform Act
This press release may contain forward-looking information concerning LiveWorld's plans, objectives, future expectations, forecasts and prospects. These statements may include those regarding LiveWorld’s current or future financial performance including but not limited to lists of clients, revenue and profit, use of cash, investments, relationships and the actual or potential impact of stock option expense, and the results of its product development efforts. Actual results may differ materially from those expressed in the forward looking statements made as a result of, among other things, final accounting adjustments and results, LiveWorld’s ability to attract new clients and preserve or expand its relationship with existing clients, LiveWorld’s ability to retain and attract high quality employees, including its management staff, the ability to deliver new innovative products in a timely manner, changing accounting treatments, and other risks applicable to the Company. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date hereof, and the Company undertakes no obligation to update these forward-looking statements to reflect subsequent events or circumstances.
| LIVEWORLD, INC. | ||||||||
| BALANCE SHEETS | ||||||||
| (In thousands, except share data) | ||||||||
| December 31, | December 31, | |||||||
| 2014 | 2013 | |||||||
| ASSETS | ||||||||
| Current assets | ||||||||
| Cash and cash equivalent | $ | 4,386 | $ | 4,413 | ||||
| Accounts receivable | 535 | 488 | ||||||
| Prepaid expenses | 397 | 336 | ||||||
|
Total current assets |
5,318 | 5,237 | ||||||
| Property and equipment, net | 144 | 257 | ||||||
| Other assets | 18 | 18 | ||||||
| Total assets | $ | 5,480 | $ | 5,512 | ||||
| LIABILITIES AND STOCKHOLDERS' EQUITY | ||||||||
| Current liabilities | ||||||||
| Accounts payable | $ | 99 | $ | 159 | ||||
| Accrued employee expenses | 597 | 576 | ||||||
| Other accrued liabilities | 54 | 6 | ||||||
| Deferred revenue | 714 | 665 | ||||||
| Total current liabilities | 1,464 | 1,406 | ||||||
| Stockholders' equity | ||||||||
| Common stock: $0.001 par value, 100,000,000 shares authorized 33,388,545 and 33,321,634 issued and outstanding as of December 31, 2014 and December 31, 2013 respectively | 34 | 33 | ||||||
| Additional paid-in capital | 141,735 | 141,448 | ||||||
| Accumulated deficit | (137,753 | ) | (137,375 | ) | ||||
| Total stockholders' equity | 4,016 | 4,106 | ||||||
| Total liabilities and stockholders' equity | $ | 5,480 | $ | 5,512 | ||||
| LIVEWORLD, INC. | |||||||
| STATEMENTS OF OPERATIONS | |||||||
| (In thousands, except share and per share data) | |||||||
| Twelve Months Ended December 31, | |||||||
| 2014 | 2013 | ||||||
| Total revenues | $ | 13,803 | $ | 14,523 | |||
| Cost of revenues | 5,756 | 5,262 | |||||
| Gross margin | 8,047 | 9,261 | |||||
| Operating expenses | |||||||
| Product development | 3,424 | 3,725 | |||||
| Sales and marketing | 2,104 | 1,875 | |||||
| General and administrative | 2,896 | 2,840 | |||||
| Total operating expenses | 8,424 | 8,440 | |||||
| Income (loss) from operations | (377 | ) | 821 | ||||
| Other income | ---- | 6 | |||||
| Income (loss) before tax | (377 | ) | 827 | ||||
| Provision for income taxes | 1 | 15 | |||||
| Net income (loss) | (378 | ) | 812 | ||||
| Basic net income (loss) per share | $ | (0.01 | ) | $ | 0.02 | ||
| Shares used in computing basic net income (loss) per share | 33,353,526 | 33,259,634 | |||||
| Diluted net income (loss) per share | $ | (0.01 | ) | $ | 0.02 | ||
| Shares used in computing diluted income (loss) per share | 33,353,526 | 41,291,384 | |||||
| Departmental allocation of stock-based compensation: | |||||||
| Cost of goods sold | $ | 57 | $ | 31 | |||
| Product development | 72 | 70 | |||||
| Sales and marketing | 55 | 32 | |||||
| General and administrative | 98 | 66 | |||||
| Total stock-based compensation | $ | 282 | $ | 199 | |||
| LIVEWORLD, INC. | ||||||||
| STATEMENTS OF CASH FLOWS | ||||||||
| (In thousands) | ||||||||
| Twelve Months Ended | ||||||||
| December 31, | ||||||||
| 2014 | 2013 | |||||||
| Cash flows from operating activities: | ||||||||
| Net income (loss) | $ | (378 | ) | $ | 812 | |||
| Adjustments to reconcile net income (loss) to net cash provided by operating activities: | ||||||||
| Depreciation | 155 | 134 | ||||||
| Stock-based compensation | 282 | 199 | ||||||
| Changes in operating assets and liabilities: | ||||||||
| Accounts receivable | (47 | ) | 29 | |||||
| Prepaid expenses and other assets | (61 | ) | (61 | ) | ||||
| Accounts payable | (60 | ) | (76 | ) | ||||
| Accrued liabilities | 69 | 61 | ||||||
| Deferred revenue | 49 | 84 | ||||||
| Net cash provided by (used in) operating activities | 9 | 1,182 | ||||||
| Cash flows from investing activities: | ||||||||
| Purchase of property and equipment | (42 | ) | (157 | ) | ||||
| Net cash (used in) investing activities | (42 | ) | (157 | ) | ||||
| Cash flows from financing activities: | ||||||||
| Proceeds from exercise of stock options | 6 | 6 | ||||||
| Net cash provided by financing activities | 6 | 6 | ||||||
| Change in cash and cash equivalents | (27 | ) | 1,031 | |||||
| Cash and cash equivalents, beginning of year | 4,413 | 3,382 | ||||||
| Cash and cash equivalents, end of year | $ | 4,386 | $ | 4,413 | ||||
| Supplemental cash flow information: | ||||||||
| Income taxes paid | $ | 12 | $ | 4 | ||||