TAIPEI, Taiwan, April 11, 2013 /PRNewswire/ -- GigaMedia
Limited (NASDAQ: GIGM) today reported fourth-quarter 2012 revenues
of $4.8 million.
Cash outflow from operations in the fourth quarter of 2012 was
approximately $383 thousand.
"In 2012, we lowered our cost structure in our online games
business FunTown, helping to offset the impact of a market decline
in PC-based games on our casual games business; we also started to
develop a new cloud computing business," stated GigaMedia Limited
Chief Executive Officer Collin
Hwang. "Despite challenging conditions, FunTown ended the
year with net income, excluding impairment and bad debt charges, of
approximately $2.5 million."
"In 2013, we are taking strong steps to grow and strengthen
FunTown by extending our offerings to the high-growth casual
browser/mobile games market and developing our games in-house
versus licensing games," stated GigaMedia CEO Collin Hwang. "We are leveraging our deep
expertise in casual games and our brand and creating a new
multi-platform games business that delivers improved performance
with lower business risk."
"We will begin by placing existing FunTown games on game
platforms in China in the first
half of this year," stated GigaMedia CEO Collin Hwang. "In the second half, we look
forward to new casual browser/mobile game launches on FunTown."
"In our newly launched cloud computing business, we continue to
see strong opportunities for our software as a service for SMEs in
Greater China, and are well
positioned to expand our services to government agencies," stated
GigaMedia CEO Collin Hwang. "We are
building a top-caliber product and team and moving quickly in
Greater China."
"Our new strategic cooperation agreement with global leader Atos
strengthens our services with bank-grade security customers can
trust, and will accelerate our growth by extending our market
presence and helping us find new distributors and customers,"
stated GigaMedia CEO Collin Hwang.
"We plan to continue expanding the scope, reach, and quality of our
cloud offerings by leveraging additional strategic channel and
technology partnerships going forward."
"Finally, we expect M&A to add synergies to our businesses
and help drive our growth in 2013," stated GigaMedia CEO
Collin Hwang. "In sum, we are
confident of delivering enhanced shareholder value in 2013 and
beyond, and look forward to updating everyone on our progress."
Fourth-Quarter Overview
- A.V.A. revenues grew approximately 20 percent
quarter-over-quarter; FunTown revenue declines were mainly
attributable to lower contributions from the licensed MMO game
Tales Runner.
- Net loss, excluding a non-cash write-down of goodwill in the
fourth quarter of $12.5 million
related to FunTown, was $2.9 million.
The non-cash write-down reflects GigaMedia's strategy shift to
multi-platform casual games and a more conservative management
forecast for its FunTown business compared to previous strategies
that focused on licensing MMO games and forecast aggressive growth.
FunTown is currently developing a suite of new browser/mobile games
in-house and plans to begin offering these games in the second half
of 2013.
- Cash outflow from operations of approximately $383 thousand.
- Cash, cash equivalents and marketable securities-current of
approximately $80.5 million at the
end of the fourth quarter of 2012.
- Short-term debt of approximately $7.7
million at the end of the fourth quarter of 2012.
- GigaMedia Chief Executive Officer Collin Hwang purchased 961,200 shares of
GigaMedia at an average price of $0.96 during the week of December 17, 2012. The purchases were made during
an open window period and in full compliance with all company and
legal guidelines. Mr. Hwang indicated his decision to purchase
shares reflects his firm belief that GigaMedia's shares are
undervalued.
Recent Developments
- GigaMedia announced a strategic cooperation agreement with
global technology consultant Atos to strengthen and further develop
GigaCloud, GigaMedia's platform of cloud solutions for
small-to-medium-enterprises (SMEs). GigaMedia plans to continue
expanding the scope, reach, and quality of its GigaCloud offerings
through additional strategic channel and technology partnerships
going forward.
- GigaMedia launched GigaCloud, its new cloud computing business
focused on providing SMEs in Greater
China with critical communications services and IT solutions
that increase flexibility, efficiency and competitiveness.
- GigaMedia's online games business FunTown is developing a suite
of browser/mobile games in-house and plans to begin offering these
games in late 2013.
Consolidated Financial Results
GigaMedia Limited is a diversified provider of online games and
cloud computing services. GigaMedia's online games business FunTown
develops and operates a suite of games in Taiwan and Hong
Kong, with focus on Web-based/mobile games. GigaMedia's
cloud computing business, GigaCloud, was launched in early
April 2013 and is focused on
providing SMEs in Greater China
with critical communications services and IT solutions that
increase flexibility, efficiency and competitiveness.
For the Fourth Quarter
GIGAMEDIA 4Q12
CONSOLIDATED FINANCIAL RESULTS
|
(unaudited, all
figures in US$ thousands, except per share amounts)
|
4Q12
|
4Q11
|
Change
(%)
|
4Q12
|
3Q12
|
Change
(%)
|
Revenues
(A)
|
4,833
|
7,373
|
-34
|
4,833
|
7,193
|
-33
|
Gross Profit
(A)
|
2,670
|
4,277
|
-38
|
2,670
|
4,888
|
-45
|
Loss from
Operations (A)
|
14,985
|
12,527
|
-20
|
14,985
|
909
|
-1,549
|
Income (Loss) from
Continuing Operations (A)
|
(15,306)
|
(49,683)
|
69
|
(15,306)
|
5,370
|
NA
|
Net Income (Loss)
Attributable to GigaMedia
|
(15,395)
|
(51,298)
|
70
|
(15,395)
|
5,869
|
NA
|
Net Income (Loss) Per
Share, Diluted
|
(0.30)
|
(1.01)
|
70
|
(0.30)
|
0.11
|
NA
|
EBITDA
(B)
|
(14,627)
|
(50,323)
|
71
|
(14,627)
|
6,707
|
NA
|
Cash, Cash
Equivalents, Restricted Cash, and Marketable
Securities-Current
|
80,503
|
109,344
|
-26
|
80,503
|
98,359
|
-18
|
|
(A) Excludes
results from discontinued operations.
|
(B) EBITDA
(earnings before interest, taxes, depreciation, and amortization)
is provided as a supplement to results provided in accordance with
U.S. generally accepted accounting principles ("GAAP"). (See, "Use
of Non-GAAP Measures," for more details.)
|
Consolidated revenues for the fourth quarter decreased to
$4.8 million from $7.2 million in the third quarter of 2012 and
from $7.4 million in the same period
of 2011. The quarterly sequential variation was primarily
attributable to a decline in Hong
Kong in the fourth quarter in the game Tales Runner,
overall softer demand for PC-based online games during the period,
and the beneficial impact on third-quarter 2012 results of games
licensing fees of approximately $1.5
million for games licensed to a foreign operator - all of
which more than offset growth in A.V.A. Excluding licensing
fees received in the third quarter, fourth-quarter 2012 revenues
declined by $852 thousand
quarter-over-quarter. Year-over-year results mainly reflected the
impact of the deconsolidation of the subsidiary IAHGames and
the effect on Giga's currently PC-based online games business of
the continuing shift in player preferences for browser/mobile
games. GigaMedia is currently developing a suite of browser/mobile
games in-house and plans to begin offering these games to its
userbase in the second half of 2013.
Average monthly active paying accounts in the fourth quarter of
2012 decreased to approximately 49,000. Average monthly revenue per
active paying account was approximately $30.49 during the fourth quarter, down 2 percent
from the previous quarter. Fourth-quarter peak concurrent users
were approximately 28,000, down 14 percent from the third
quarter.
Consolidated gross profit for the fourth quarter was
$2.7 million compared to $4.9 million in the third quarter of 2012 and to
$4.3 million in the same period in
2011. Fourth-quarter 2012 consolidated gross profit margin
decreased to 55.2 percent from 68.0 percent in the third quarter of
2012 and from 58.0 percent in the same period in 2011.
Third-quarter 2012 results benefited from game licensing fees
received in the period, a high-margin category of revenues not
recorded in the fourth quarter of 2012. Excluding such revenues,
consolidated gross profit margin decreased to 55.2 percent from
59.4 percent in the third quarter.
Consolidated operating expenses for the fourth quarter of 2012,
excluding a non-cash goodwill impairment charge of $12.5 million related to FunTown, were
$5.2 million; including the
aforementioned non-cash charge, the company's consolidated
operating expenses were $17.7
million. This compares to consolidated operating expenses of
$5.8 million in the third quarter of
2012 and $16.8 million in the fourth
quarter of 2011.
Consolidated product development and engineering expenses were
$502 thousand in the fourth quarter
of 2012 compared to $334 thousand in
the previous quarter and $827
thousand in the fourth quarter of 2011.
Consolidated selling and marketing expenses were $1.4 million in the fourth quarter of 2012
compared to $1.9 million in the
previous quarter and $2.3 million in
the fourth quarter of 2011.
Consolidated general and administrative expenses were
$2.5 million in the fourth quarter
versus $3.6 million in the previous
quarter and $4.3 million in the
fourth quarter of 2011. Corporate operating expenses were
$1.8 million in the fourth quarter of
2012, down from $2.3 million in the
third quarter of 2012.
Consolidated loss from operations for the fourth quarter of
2012, excluding a non-cash goodwill impairment charge of
$12.5 million related to FunTown, was
$2.5 million; including the
aforementioned non-cash charge, the company's consolidated loss
from operations was $15.0 million.
This compares to a loss of $909
thousand in the third quarter of 2012 and a loss of
$12.5 million in the fourth quarter
of 2011. The period variations primarily reflected the
aforementioned factors affecting revenues and costs and expenses,
including the fourth-quarter 2012 non-cash goodwill impairment
charge of $12.5 million.
Consolidated non-operating expenses/income during the fourth
quarter of 2012 were expenses of $413
thousand compared to income of $6.8
million in the third quarter of 2012 and expenses of
$37.1 million recorded in the fourth
quarter of 2011. The period variations primarily reflected the
gains on the sales of certain marketable securities and investments
in the third quarter of 2012 that did not occur on the fourth
quarter of 2012, and significant losses on equity method
investments recorded in the fourth quarter of 2011.
Consolidated net loss for the fourth quarter of 2012, excluding
a non-cash goodwill impairment charge of $12.5 million related to FunTown, was
$2.9 million; including the
aforementioned non-cash charge, the company's consolidated net loss
was $15.4 million. This compares to
income of $5.9 million in the third
quarter of 2012 and a loss of $51.3
million in the fourth quarter of 2011. The period variations
primarily reflected the aforementioned factors affecting
income/loss from operations and consolidated non-operating
expenses/income.
Consolidated EBITDA for the fourth quarter of 2012, excluding a
non-cash goodwill impairment charge of $12.5
million related to FunTown, was a loss of $2.1 million; including the aforementioned
non-cash charge, the company's consolidated EBITDA was a loss of
$14.6 million. This compares to
positive EBITDA of $6.7 million in
the previous quarter and a loss of $50.3
million in the fourth quarter of 2011.
Cash and Strategic Investments
Cash, cash equivalents, and marketable securities-current were
$80.5 million compared to
$98.4 million at the end of the third
quarter of 2012. The variation reflected a decrease in the value of
marketable securities-current, which are composed of GigaMedia's
holdings of certain of its game studio investments. Total
short-term borrowings remained at $7.7
million at the end of the fourth quarter.
For the Full Year 2012
GIGAMEDIA FY12
CONSOLIDATED FINANCIAL RESULTS
|
(all figures in US$
thousands, except per share amounts)
|
FY12
(unaudited)
|
FY11
(audited)
|
Change
(%)
|
Revenues
(A)
|
27,470
|
34,368
|
-20
|
Gross Profit
(A)
|
16,082
|
19,954
|
-19
|
Loss from
Operations (A)
|
(20,574)
|
(19,929)
|
3
|
Loss from Continuing
Operations (A)
|
(13,596)
|
(67,390)
|
80
|
Net Loss Attributable
to GigaMedia
|
(15,290)
|
(71,212)
|
79
|
Loss Per Share,
Diluted
|
(0.30)
|
(1.32)
|
77
|
EBITDA
(B)
|
(11,324)
|
(67,882)
|
83
|
|
(A) Excludes
results from discontinued operations.
|
(B) EBITDA
(earnings before interest, taxes, depreciation, and amortization)
is provided as a supplement to results provided in accordance with
U.S. generally accepted accounting principles ("GAAP"). (See, "Use
of Non-GAAP Measures," for more details.)
|
Consolidated revenues for 2012 were $27.5
million compared to $34.4
million in 2011. The decrease reflected the deconsolidation
of IAHGames and a decrease of $2.7
million in contributions from FunTown reflecting an ongoing
shift in game play from PC-based games to browser/mobile games. In
August 2012, GigaMedia concluded the
disposal of a majority ownership interest in its IAHGames
business unit as part of plans to rebuild the online games
business. GigaMedia is currently developing a suite of
browser/mobile games in-house and plans to begin offering these
games to its userbase in late 2013.
Consolidated gross profit for 2012 decreased to $16.1 million from $20.0
million in 2011 attributable to the aforementioned revenue
declines in GigaMedia's online games business resulting from the
deconsolidation of IAHGames and the aforementioned shift in
game play from PC-based games.
Consolidated loss from operations for 2012, excluding a non-cash
goodwill impairment charge of $12.5
million related to FunTown, was $8.1
million; including the aforementioned non-cash charge,
consolidated loss from operations for 2012 was $20.6 million. This compares to a loss of
$19.9 million in 2011.
Consolidated net loss for 2012, excluding a non-cash goodwill
impairment charge of $12.5 million
related to FunTown, was $2.8 million;
including the aforementioned non-cash charge, consolidated net loss
for 2012 was $15.3 million. This
compares to a loss of $71.2 million
in 2011.
Consolidated EBITDA for 2012, excluding a non-cash goodwill
impairment charge of $12.5 million
related to FunTown, was $1.2 million;
including the aforementioned non-cash charge, consolidated EBITDA
was a loss of $11.3 million. This
compares to a loss of $67.9 million a
year ago.
Business Outlook
The following forward-looking statements reflect GigaMedia's
expectations as of April
11, 2013. Given potential changes in
economic conditions and consumer spending, the evolving nature of
gambling software, online games, and various other risk factors,
including those discussed in the company's 2011
Annual Report on Form 20-F filed
with the U.S. Securities and Exchange Commission as
referenced below, actual results may differ materially.
Growth initiatives
In online games, GigaMedia is repositioning its business to
align itself with strong growth in browser/mobile games and the
development of a multi-screen, multi-platform market. The company
is leveraging its expertise in casual games to develop new
browser/mobile games in-house and plans to add new talent in 2013
to strengthen its FunTown operations. Management targets a
comprehensive, multi-platform offering of self-developed browser,
mobile and PC-based games by yearend delivering improved financial
performance and lower business risk.
In cloud computing, management continues to see strong
opportunities for software as a service for SMEs in Greater China. GigaMedia is leveraging
strategic channel and technology partnerships to expand the scope,
reach, and quality of its cloud offerings, and believes the
business is well positioned to expand its offerings to cloud
solutions for government agencies in the region.
First-quarter financial results
In the first quarter of 2013, management expects consolidated
revenues to decline 10-15 percent compared to the fourth quarter of
2012. Management expects gross margin to remain steady at
approximately 56 percent. The company does not anticipate bad debt
expenses or write-downs in the first quarter, which, combined with
ongoing tight cost controls, is expected to result in significant
decreases in total operating expenses and net loss
quarter-over-quarter, with positive operating income in GigaMedia's
online games business FunTown in the first quarter of
2013.
Use of Non-GAAP Measures
To supplement GigaMedia's consolidated financial statements
presented in accordance with US GAAP, the company uses the
following measures defined as non-GAAP by the SEC: EBITDA.
Management believes that EBITDA (earnings before interest, taxes,
depreciation, amortization and minority interests) is a useful
supplemental measure of performance because it excludes certain
non-cash items such as depreciation and amortization and that
EBITDA is a measure of performance used by some investors, equity
analysts and others to make informed investment decisions. EBITDA
is not a recognized earnings measure under GAAP and does not have a
standardized meaning. Non-GAAP measures such as EBITDA should be
considered in addition to results prepared in accordance with GAAP,
but should not be considered a substitute for, or superior to,
other financial measures prepared in accordance with GAAP. A
limitation of using EBITDA is that it does not include all items
that impact the company's net income for the period.
Reconciliations to the GAAP equivalents of the non-GAAP financial
measures are provided on the attached unaudited financial
statements.
About the Numbers in This Release
Full-year and quarterly figures
All 2012 quarterly and full-year figures and all 2011 quarterly
figures referred to in the text, tables and attachments to this
release are unaudited; all full-year 2011 amounts are audited. The
financial statements from which the financial results reported in
this press release are derived have been prepared in accordance
with U.S. GAAP, unless otherwise noted as "non-GAAP," and are
presented in U.S. dollars.
Results from continuing operations
In June 2012, the board of
directors approved a plan to dispose of the company's Jidi Joy online games operations in Shanghai. As a result, Jidi Joy operations have been accounted for as a
discontinued operation in accordance with U.S. GAAP. Therefore, the
results of operations for Jidi Joy
have been removed from the company's results of continuing
operations for all periods presented. The remaining assets and
liabilities of Jidi Joy were not
significant as of December 31,
2012.
Consolidated financial results for 2012 include results from the
company's IAHGames operations in Southeast Asia through July 2012. GigaMedia closed the sale of a
majority of its interest in IAHGames in August 2012. As a result of the aforementioned
changes, consolidated financial results for 2012 may not be
comparable with other periods.
Conference Call and Webcast
Management will hold an investor conference call and webcast on
April 11, 2013 at 8:00 p.m. Eastern Standard Time, which is 8:00
a.m. Taipei Time on April 12, 2013,
to discuss GigaMedia's fourth-quarter and full-year 2012
performance.
Dial-in numbers:
U.S.: +1-718-354-1231
International: +65-6723-9381
Passcode: 30476119
A replay will be available from 11:00
p.m. Eastern Standard Time on April
11, 2013 for seven days.
U.S.: +1-646-254-3697
International: +612-8199-0299
Passcode: 30476119
A link to the live and archived webcast will be available at
www.gigamedia.com.
Conference Call Format
The call will consist of brief prepared remarks, followed by
live Q&A and management responses to questions submitted via
email. Questions may be sent in advance to
IR@gigamedia.com.tw.
About GigaMedia
Headquartered in Taipei,
Taiwan, GigaMedia Limited (Singapore registration number: 199905474H) is
a diversified provider of online games and cloud computing
services. GigaMedia's online games business develops and operates a
suite of games in Taiwan and
Hong Kong, with focus on
Web-based/mobile games. The company's cloud computing business is
focused on providing SMEs in Greater
China with critical communications services and IT solutions
that increase flexibility, efficiency and competitiveness. More
information on GigaMedia can be obtained from
www.gigamedia.com.
The statements included above and elsewhere in this press
release that are not historical in nature are "forward-looking
statements" within the meaning of the "safe harbor" provisions of
the Private Securities Litigation Reform Act of 1995. These
forward-looking statements include statements regarding expected
financial performance (as described without limitation in the
"Business Outlook" section and in quotations from management in
this press release) and GigaMedia's strategic and operational
plans. These statements are based on management's current
expectations and are subject to risks and uncertainties and changes
in circumstances. There are important factors that could cause
actual results to differ materially from those anticipated in the
forward looking statements, including but not limited to, our
ability to license, develop or acquire additional online games that
are appealing to users, our ability to retain existing online game
players and attract new players, and our ability to launch online
games in a timely manner and pursuant to our anticipated schedule.
Further information on risks or other factors that could cause
results to differ is detailed in GigaMedia's Annual Report on Form
20-F filed in April 2012 and its
other filings with the United States Securities and Exchange
Commission.
(Tables to follow)
GIGAMEDIA
LIMITED
|
CONSOLIDATED
STATEMENTS OF OPERATIONS
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three months
ended
|
Twelve months
ended
|
|
|
|
12/31/2012
|
|
9/30/2012
|
|
12/31/2011
|
|
12/31/2012
|
|
12/31/2011
|
|
|
|
unaudited
|
|
unaudited
|
|
unaudited
|
|
unaudited
|
|
audited
|
|
|
|
USD
|
|
USD
|
|
USD
|
|
USD
|
|
USD
|
Operating
revenues
|
|
|
|
|
|
|
|
|
|
|
|
Asian online game and
service revenues
|
|
|
4,833,345
|
|
7,192,530
|
|
7,372,574
|
|
27,470,430
|
|
34,367,599
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating
costs
|
|
|
|
|
|
|
|
|
|
|
|
Cost of Asian online game and service revenues
|
|
|
2,163,347
|
|
2,304,217
|
|
3,095,826
|
|
11,388,027
|
|
14,413,176
|
|
|
|
|
|
|
|
|
|
|
|
|
Gross
profit
|
|
|
2,669,998
|
|
4,888,313
|
|
4,276,748
|
|
16,082,403
|
|
19,954,423
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating
expenses
|
|
|
|
|
|
|
|
|
|
|
|
Product development and
engineering expenses
|
|
|
501,642
|
|
333,780
|
|
826,565
|
|
1,470,535
|
|
1,956,245
|
Selling and marketing
expenses
|
|
|
1,418,748
|
|
1,903,527
|
|
2,254,088
|
|
8,376,673
|
|
10,078,755
|
General and
administrative expenses
|
|
|
2,477,315
|
|
3,553,053
|
|
4,344,841
|
|
13,384,233
|
|
18,100,919
|
Bad debt
expenses
|
|
|
1,429
|
|
7,161
|
|
1,450,919
|
|
168,400
|
|
1,820,461
|
Impairment
losses
|
|
|
13,206,787
|
|
0
|
|
7,926,991
|
|
13,206,787
|
|
7,926,991
|
Other
|
|
|
49,129
|
|
0
|
|
0
|
|
49,129
|
|
0
|
|
|
|
17,655,050
|
|
5,797,521
|
|
16,803,404
|
|
36,655,757
|
|
39,883,371
|
|
|
|
|
|
|
|
|
|
|
|
|
Loss from
operations
|
|
|
(14,985,052)
|
|
(909,208)
|
|
(12,526,656)
|
|
(20,573,354)
|
|
(19,928,948)
|
|
|
|
|
|
|
|
|
|
|
|
|
Non-operating income
(expense)
|
|
|
|
|
|
|
|
|
|
|
|
Interest
income
|
|
|
61,698
|
|
67,766
|
|
87,077
|
|
282,748
|
|
762,082
|
Gain on sales of
marketable securities
|
|
|
0
|
|
4,237,057
|
|
6,299,029
|
|
5,665,119
|
|
6,299,029
|
Interest (expense)
recoveries
|
|
|
(27,639)
|
|
277,573
|
|
(144,775)
|
|
(246,933)
|
|
(426,117)
|
Foreign exchange gain
(loss) - net
|
|
|
85,543
|
|
207,612
|
|
(191,506)
|
|
433,814
|
|
(365,432)
|
Loss on disposal of
property, plant and equipment
|
|
|
(149,677)
|
|
(5)
|
|
(25,499)
|
|
(208,834)
|
|
(48,835)
|
(Loss) gain on equity
method investments - net
|
|
|
(343,343)
|
|
513,795
|
|
(36,209,752)
|
|
234,273
|
|
(47,869,137)
|
Gain on disposal of
investments
|
|
|
1,024,413
|
|
1,455,935
|
|
4,738,588
|
|
2,480,348
|
|
4,738,588
|
Impairment loss on
marketable securities and investments
|
|
|
(1,018,011)
|
|
(174,504)
|
|
(13,326,719)
|
|
(1,192,515)
|
|
(13,326,719)
|
Recovery of loss on
termination of third-party participating right in
subsidiary
|
|
|
0
|
|
0
|
|
1,347,502
|
|
0
|
|
2,012,283
|
Other
|
|
|
(45,521)
|
|
189,162
|
|
296,175
|
|
200,797
|
|
518,018
|
|
|
|
(412,537)
|
|
6,774,391
|
|
(37,129,880)
|
|
7,648,817
|
|
(47,706,240)
|
|
|
|
|
|
|
|
|
|
|
|
|
(Loss) income from
continuing operations before income taxes
|
|
|
(15,397,589)
|
|
5,865,183
|
|
(49,656,536)
|
|
(12,924,537)
|
|
(67,635,188)
|
Income tax benefit
(expense)
|
|
|
91,207
|
|
(494,786)
|
|
(26,677)
|
|
(671,223)
|
|
245,013
|
|
|
|
|
|
|
|
|
|
|
|
|
(Loss) income from
continuing operations
|
|
|
(15,306,382)
|
|
5,370,397
|
|
(49,683,213)
|
|
(13,595,760)
|
|
(67,390,175)
|
(Loss) income from
discontinued operations, net of tax
|
|
|
(13,314)
|
|
14,387
|
|
(1,551,714)
|
|
(2,520,728)
|
|
(4,187,857)
|
|
|
|
|
|
|
|
|
|
|
|
|
Net (loss)
income
|
|
|
(15,319,696)
|
|
5,384,784
|
|
(51,234,927)
|
|
(16,116,488)
|
|
(71,578,032)
|
Less: Net (gain) loss
attributable to noncontrolling interest and subsidiary preferred
shares
|
|
|
(74,896)
|
|
483,935
|
|
(62,760)
|
|
826,928
|
|
365,783
|
|
|
|
|
|
|
|
|
|
|
|
|
Net (loss) income
attributable to GigaMedia
|
|
|
(15,394,592)
|
|
5,868,719
|
|
(51,297,687)
|
|
(15,289,560)
|
|
(71,212,249)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Earnings (loss) per
share attributable to GigaMedia
|
|
|
|
|
|
|
|
|
|
|
|
Basic:
|
|
|
|
|
|
|
|
|
|
|
|
(Loss) income from
continuing operations
|
|
|
(0.30)
|
|
0.12
|
|
(0.98)
|
|
(0.25)
|
|
(1.24)
|
Loss from discontinued
operations
|
|
|
0.00
|
|
0.00
|
|
(0.03)
|
|
(0.05)
|
|
(0.08)
|
|
|
|
(0.30)
|
|
0.12
|
|
(1.01)
|
|
(0.30)
|
|
(1.32)
|
Diluted:
|
|
|
|
|
|
|
|
|
|
|
|
(Loss) income from
continuing operations
|
|
|
(0.30)
|
|
0.11
|
|
(0.98)
|
|
(0.25)
|
|
(1.24)
|
Loss from discontinued
operations
|
|
|
0.00
|
|
0.00
|
|
(0.03)
|
|
(0.05)
|
|
(0.08)
|
|
|
|
(0.30)
|
|
0.11
|
|
(1.01)
|
|
(0.30)
|
|
(1.32)
|
|
|
|
|
|
|
|
|
|
|
|
|
Weighted average shares
outstanding:
|
|
|
|
|
|
|
|
|
|
|
|
Basic
|
|
|
50,719,976
|
|
50,719,976
|
|
50,742,119
|
|
50,719,976
|
|
54,038,870
|
Diluted
|
|
|
50,719,976
|
|
52,164,344
|
|
50,742,119
|
|
50,719,976
|
|
54,038,870
|
|
|
|
|
|
|
|
|
|
|
|
|
GIGAMEDIA
LIMITED
|
CONSOLIDATED BALANCE
SHEETS
|
|
|
|
|
|
|
|
|
|
|
|
12/31/2012
|
|
9/30/2012
|
|
12/31/2011
|
|
|
|
unaudited
|
|
unaudited
|
|
audited
|
|
|
|
USD
|
|
USD
|
|
USD
|
Assets
|
|
|
|
|
|
|
|
Current
assets
|
|
|
|
|
|
|
|
Cash and cash
equivalents
|
|
62,730,766
|
|
63,412,768
|
|
63,997,038
|
Marketable securities -
current
|
|
17,772,661
|
|
34,202,346
|
|
42,346,805
|
Accounts receivable -
net
|
|
2,828,683
|
|
3,840,731
|
|
6,450,950
|
Prepaid
expenses
|
|
801,333
|
|
658,753
|
|
1,574,362
|
Restricted
cash
|
|
|
0
|
|
743,611
|
|
3,000,000
|
Other
receivables
|
|
|
62,005
|
|
2,793,986
|
|
750,544
|
Other current
assets
|
|
939,601
|
|
1,005,737
|
|
799,981
|
Total current
assets
|
|
85,135,049
|
|
106,657,932
|
|
118,919,680
|
|
|
|
|
|
|
|
|
Marketable securities -
noncurrent
|
|
4,291,999
|
|
4,421,299
|
|
7,083,820
|
Investments
|
|
|
5,222,715
|
|
6,046,951
|
|
8,315,220
|
Property, plant &
equipment - net
|
|
1,949,390
|
|
2,193,171
|
|
4,288,097
|
Goodwill
|
|
|
16,934,063
|
|
29,388,112
|
|
28,436,978
|
Intangible assets -
net
|
|
15,675,066
|
|
15,831,067
|
|
15,534,597
|
Prepaid licensing and
royalty fees
|
|
8,644,471
|
|
9,398,615
|
|
7,102,457
|
Other assets
|
|
|
2,541,709
|
|
707,679
|
|
2,025,144
|
Total assets
|
|
|
140,394,462
|
|
174,644,826
|
|
191,705,993
|
|
|
|
|
|
|
|
|
Liabilities and
equity
|
|
|
|
|
|
|
Accounts
payable
|
|
|
323,988
|
|
448,785
|
|
1,831,495
|
Accrued
compensation
|
|
1,233,277
|
|
1,465,030
|
|
2,100,524
|
Accrued
expenses
|
|
5,181,903
|
|
7,279,465
|
|
10,633,710
|
Short-term
borrowings
|
|
7,747,934
|
|
7,679,181
|
|
11,773,920
|
Other current
liabilities
|
|
7,160,234
|
|
7,600,727
|
|
9,318,627
|
Total current
liabilities
|
|
21,647,336
|
|
24,473,188
|
|
35,658,276
|
Other
liabilities
|
|
|
853,965
|
|
747,752
|
|
1,186,094
|
Total
liabilities
|
|
|
22,501,301
|
|
25,220,940
|
|
36,844,370
|
|
|
|
|
|
|
|
|
Subsidiary preferred
shares
|
|
0
|
|
0
|
|
1,786,091
|
|
|
|
|
|
|
|
|
GigaMedia's
shareholders' equity
|
|
118,231,365
|
|
149,762,146
|
|
156,072,119
|
|
|
|
|
|
|
|
|
Noncontrolling
interest
|
|
(338,204)
|
|
(338,260)
|
|
(2,996,587)
|
|
|
|
|
|
|
|
|
Total equity
|
|
|
117,893,161
|
|
149,423,886
|
|
153,075,532
|
|
|
|
|
|
|
|
|
Total liabilities and
equity
|
|
140,394,462
|
|
174,644,826
|
|
191,705,993
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
GIGAMEDIA
LIMITED
|
Reconciliations of
Non-GAAP Results of Operations
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three months
ended
|
|
|
Twelve months
ended
|
|
|
12/31/2012
|
|
9/30/2012
|
|
12/31/2011
|
|
|
|
12/31/2011
|
|
12/31/2011
|
|
|
unaudited
|
|
unaudited
|
|
unaudited
|
|
|
|
unaudited
|
|
unaudited
|
|
|
USD
|
|
USD
|
|
USD
|
|
|
|
USD
|
|
USD
|
Reconciliation of Net
Income (Loss) to EBITDA
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income (loss)
attributable to GigaMedia
|
|
(15,394,592)
|
|
5,868,719
|
|
(51,297,687)
|
|
|
|
(15,289,560)
|
|
(71,212,249)
|
Depreciation
|
|
142,319
|
|
197,841
|
|
452,626
|
|
|
|
1,159,765
|
|
1,946,463
|
Amortization
|
|
596,534
|
|
538,120
|
|
553,716
|
|
|
|
2,204,480
|
|
2,267,934
|
Interest (income)
expense
|
|
119,971
|
|
(373,723)
|
|
(13,573)
|
|
|
|
(49,099)
|
|
(520,930)
|
Income tax expense
(benefit)
|
|
(91,207)
|
|
475,795
|
|
(18,091)
|
|
|
|
650,064
|
|
(363,234)
|
EBITDA
|
|
(14,626,975)
|
|
6,706,752
|
|
(50,323,009)
|
|
|
|
(11,324,350)
|
|
(67,882,016)
|
For further information contact:
Brad Miller, Investor Relations
Director
Tel: +886-2-2656-8016
Brad.Miller@GigaMedia.com
SOURCE GigaMedia Limited